When I was recruited into Amway, I was told that I could make money, which would roll in forever and ever. Residual income. That was the concept that appealed to me when I was recruited. I was also intrigued when I was told that I could do as much or as little as I wanted. The plan seemed achievable at first, until the realities of the business began to sink in.
However, when I signed up, my sponsor told me that I would be wasting my time signing up to sell products (not verbatim). That if I was going to get involved, I may as well try to build an organization and make the big bucks. I consented and then he immediately told me that I needed to get on standing order. I was told that standing order was a tape subscription and it was only $6 a tape. Nobody ever mentioned that every other week, it was a two tape set, so you are committing to 6 tapes/cds a month and upline also expected that you purchase more because you can't listen to the same ones each day and learn.
After a week or two, I had registered a couple of my friends into the business and my sponsor tells me that I cannot be a leader without attending all of the functions, and that I cannot listen to the same tapes over and over. That's when my expenses shot up like crazy. Of course I was excited with the folks I had sponsored so I went along with the plan, and I was edified for it so it seemed like I was "being an emerging leader".
Amway defenders question how I could possibly spend an average of nearly $1000 in a month for tools. Here's the breakdown, and although my WWDB group experience may not apply to all, I certainly continue to hear similar stories of abuse. I've also seen and heard of others with similar experiences.
Standing order $36 a month. (6 tapes/cds a month @ $6 each)
5-7 extra tapes/cds each week $120 - $168 a month
Amvox $24 a month
Open Meeting $6 a month
Regional functions $24 a month
Major functions (4 times a year) I live in Hawaii, and major functions required mainland travel at peak travel times (January, March, July, October).
Round trip airfare $700
Hotel: $240 (for 2-3 days)
Rental car: $150 - 50 per day for 2-3 days)
Function tickets $100 - $150
Meals and other misc expenses pushed a major function to over $1200 for each trip.
These costs, not including gas money and other incidental expenses, totals about $8000 a year. Add in the cost of products and you are spending about $1000 a month on Amway. Yes, the products are not really a business expense, but then again, how many of those over-priced products would you buy if you were not an IBO? Do any former IBOs still buy double x? Do IBOs actually sell any double x? I believe these customers are rare.
If your sponsor told you that Amway would cost you nearly $1000 a month (high end, including product) or $150 a month (low end, not including products), would you still join? Once you agree to register, the expenses are then slowly revealed to you and in many cases, called investments into your business. Be wary and ask tough questions as to whether these items help you to make a profit, or whether they take away your profit.