Friday, September 4, 2015

What's Realistic For An Amway IBO?

One thing that many Amway promoters don't like to talk about is what your realistic chances of success are. I will define success as Diamond because that is what the outcome of the 6-4-2 and 2-5 year plan. Of course you may be able to earn some income at lower levels, but my understanding is that diamond is where the real money from Amway and the tools start rolling in. And I can also understand why people promoting Amway do not discuss your realistic chances of winning. Afterall, lottery promoters do not show you the millions of losers, they only parade the winners in front of you.

Many people, including Amway enthusiasts will agree that many IBO do little or nothing. Some people never even place an order or make any attempt to do any business. For the purpose of this article, I am not speaking about these folks. I am talking about people who actually put in some effort to the business. This is about people who actually invest time and money into this business.

For many people who want to make an earnest effort, they will purchase and hopefully sell a few items with the goal of reaching 100 PV. For that effort, you will receive approximately $10 from Amway and whatever profit you might have earned by selling products. Here's the catch. You will likely need to pay website fees in excess of the $10 you earn from Amway. For the more dedicated IBOs, you may be payin for voicemail, standing orders, book of the month, and possibly attending functions. These expenses will exceed your income month after month unless you are able to increase your volume by selling enough products and/or sponsoring downline who buy and sell products.

Because Amway has to include the IBO bonuses in their prices, the products come at a premium price. Thus sales to non IBOs are relatively low. Without sales to non IBOs, the only other way to generate more volume is to sponsor people who will buy and sell products. But due to past unethical IBO behavior, getting people to see the Amway sales and marketing plan may be a challenge. Also, most IBOs are unable to sponsor a single downline.

Some Amway enthusiasts will claim that if you do their CORE steps for 2-5 years consistently, that you are likely to succeed. Sound easy, but becaue of the factors I have identified, some of these steps are impossible to do consistently. It's not like walking a mile each day where you have control of the step. People will likely fail in showing the plan and sponsoring others because they cannot find enough people who are willing to see an Amway plan. Many, possibly most other IBOs can and will do certain steps consistently such as listening to a CD daily and reading a success book. But because of a spotty reputation in the US, IBOs will very likely fail to be able to show enough plans to succeed.

Your realistic chance of success? My informed guess is less than 1 tenth of 1 percent. That's the likelihood of going diamond. Your chance of going platinum? My informed guess will be about 1/4 of 1 percent (1 in 400: Source Amway.com). If you think you can beat those odds, go for it. For most people, it might be wise to look into other opportunities.

4 comments:

Anonymous said...

For anyone who is in Amway or is considering doing it: Understand that less than one percent of Amway distributors break even, let alone make anything at all, let alone get rich at it. Then honestly ask yourself: "What do I have that makes me better than 99%+ of these hopeful bright energetic people around me who are going to fail at this?" The lottery is a sucker game too but is better than Amway because it costs less and doesn't have to become a lifestyle.

Joecool said...

Agreed. There are many ways to make some extra money that are not only easier, but will realistically make you some money. Building Amway takes away your time and your money in most cases.

Anonymous said...

I read this blog often. Its concurs It my own views in many areas. However the reality is that there mare many peiple who are prepared to join even if not for long. Hence an ibo who believes this and keeps going will eventually get decent size group together. Only a few will be able to hang in there. But they will have to keep at it

Joecool said...

When I was in the business, my sponsor was good at getting new downlines but in the course of 6 months or so, hoards of people came and went. On paper, Amway makes sense but reality paints a different picture. When I saw the prices, I had to ask what 30% savings?