Wednesday, June 10, 2015

Amway Is Not Get Rich Quick?

One of the things upline used to say was that Amway is not "get rich quick". I suppose they say this because most people would more likely think "scam" if they promoted it that way. But when you stop and think about it, 2-5 years, build it right and you have willable, residual income for life while walking the beaches of the world? That's not get rich quick? Or is it more of a disclaimer so that the opportunity doesn't sound "too good to be true"? One thing is for sure, even if uplines tell you that it's not get rich quick, it's obvious that IBOs think they will eventually get rich, even if it's not quick.

What most IBOs don't figure out quickly enough, is that they are unlikely to even make a net profit, let alone getting rich in Amway. How many of these people exist? Where are all of these retired Amway IBOs who built a business in 2-5 years and then walked away from their business and will be collecting a significant residual income for many years to come afterwards? I don't know of a single person who has done this and none of the Amway defenders and zealots I have encountered over the years has been able to supply this information either. When you consider the attrition in Amway (50+% quit each year), it's easy to see why residual income would be extremely difficult to achieve. While some people may have collected residuals for a while, it's pretty clear that attrition would eventually take it's toll on any Amway business sooner or later.

I can acknowledge that Amway is a business opportunity and will definitely take some work to be able to achieve something. But thinking realistically, what business could you actually be able to walk away in 5 years and not work again? More than likely that business doesn't exist, whether it's Amway or not. Say you opened a conventional business. There wouldn't be many scenarios where you could walk away after a number of years. The business would still require work and maintenance. But for some reason, people are mislead to believe that you can do this in Amway where there is a high attrition rate and where your business can only expand by person to person.

Sadly, many of the people who are attracted to the Amway opportunity are often young people looking to get more out of life. They are often ambitious but may lack a means to gain wealth, thus the appeal of the opportunity is there. Unfortunately, these nice young people are more likely to end up channeling their hard earned dollars into standing orders and functions which will almost guarantee that they end up with a net loss. The bottom line is that not only is Amway not get rich quick. The more likely scenario is that your involvement with Amway will very likely be not getting rich at all. A net loss is the most likely result. I challenge anyone to try and prove me wrong on this point.


Anonymous said...

I have been reading your blogs this morning and have gotten completely enthrawled in them. It took me down Memory Lane, that's for sure. Everything you are saying here is so completely true. There is really so much that can be added. One thing I have found in the MLM world is that most of the people who either are or appear to be successful were successful somewhere else to begin with and most of what you are seeing in terms of "wealth" or "financial comfort" was there to begin with. Prime example...when I was involved for a short period of time, our (I think it was called) Direct's been about 18 years ago now, was a head hunter for a major company. That, quite obviously, is not a $20,000 a year position. They were already financially stable, living in a nice condo in an upscale part of the county and his wife already stayed home. In addition through this and some other MLM opportunities I took part in, I learned quickly that the ones who make any money at all or have even limited success were people who were already upper-middle class. I attributed this, through a lot of observation, to the fact that these people generally had at least an entry level management position of some kind or another at their "time for dollars" job...and you would often find that they would have a lot of "recruits" who were beneath them on the totem pole at work. Also, you would find that these people had wealthier friends, mainly from their neighborhood...a lot of bored housewives with spending money to invest in tools and kits...those dang $100 kits are the bain of the MLM world. Every single "opportunity" has a $100-plus kit that you just have to buy before you can be official. The truth is that it was very hard for me, being in my very early 20's at the time and working at the local gas station to get anyone to "see the plan." No one wanted to be like me. The ones who tend to be the most successful are the ones with wealthy friends, some clout at an existing job where they are respected and younger versions of themselves wish to emulate them...or they attract people who wish to hob-knob with the upper middle class. This may sound crazy...but I am not in my lower 20's anymore, I graduated college with a business degree and I work in the business world; I see this kind of mentality every day. As far as "selling the dream" it is so easy to get sucked into it with Amway. Those conferences are so exciting...loud music, tons of people...speakers claiming to be millionaires who actually talk to you like you are one of makes you feel like you woke up on a different planet. But the truth of the matter is are so correct in what you are saying...buying cd's, attending conferences, buying starter kits, and being obligated to buy products that, while very good and decent quality, are 2 and 3 times more than you are used to paying for such items ie: diapers, shampoo, laundry soap etc...It will not just nickel and dime you, it will 10 and 20 you! I had to quit because I couldn't afford to get rich!

Joecool said...

Thanks for your comments. I too, joined Amway when I was young, thinking there might be a shortcut to financial success. I wanted to believe it because it sounded credible. After a short while, I began to question the system and started to suspect the upline's lies about not making any money off the system.

I started asking questions and my upline was getting uncomfortable. My sponsor eventually threw down the gauntlet and told me to ditch my fiance'. I quit and told my downline about it and they quit too. My sponsor blew out a major leg and I'm not sure that he ever recovered. Sadly,. he was still in the business now, 20 years from the time he joined.

I think he wasted a large part of his life and his children's younger years.