Monday, July 30, 2018

How Your Upline Gets Wealthy?

A recent comment left on my blog inspired this article. The comment was that basically, IBO's are "donating" to their upline on a monthly basis. You start by donating upline in the form of monthly purchases. Your 100 PV is roughly equal to $300 and most of the bonus generated by that volume goes somewhere upline. This will go on forever until you either quit and stop buying, or unless you somehow manage to sponsor enough downline who will then "donate" to you.

If you attend those open meetings, you are again donating to the upline's coffers. As an IBO, I was strongly encouraged to attend these meetings even if I had no new prospects to bring. And of course, there was an entrance fee at the door. I don't think this was a major profit center but still, a room with perhaps 1000 attendees = $6000 collected and a room with chairs and a speaker doesn't cost that much for an evening.

If you purchase standing orders, you are donating to your upline on a weekly basis. If the upline can reproduce audios for 50 cents or even a dollar a piece, this is a very healthy profit center. Also, most upline recommend that you listen to a cd/audio each day, thus you need to purchase some additional audios/cds in addition to the standing orders.

Voicemail and book of the month are also monthly donations. Who in the world needs voicemail these days? But uplines still recommend it as they make some serious coin from it. The book of the month might have some value but the uplines are still making profits from these. Think about it, these diamonds claim they want your success but they make you pay for just about any help you receive, regardless of whether that help is beneficial to your business or not. By Amway rules, your sponsor is supposed to train and motivate you free of charge.

The regional and major functions are like the monthly fund raisers for the diamonds. Major functions can have thousand or tens of thousands of people in attendance. If they pay $100 (or more) each, it is a serious money maker for upline. A convention center or arena has costs in running events but those costs (while they vary) might be $10 to $25 per person. The rest is pure profit for the diamonds.

All in all, the profit margin is much higher for these tools and functions than from Amway products. Thus it's perfectly reasonable to think that the diamonds can make much more money from selling tools than from Amway itself. For groups where current qualifications are not required for a cut of the tools, these diamonds might make nearly all of their money from tools and functions. It's more like a diamond fundraiser than a function to help IBO's. Afterall, who gets the biggest financial benefit from the tools and functions? The diamonds or the IBO's?


Anonymous said...

This is the real dirty secret about Amway: Your up-line doesn't really care that much about how much PV you generate. All he wants is for you to buy enough (mostly for personal use), and get persons underneath you to do the same. Other than that, he demands that you pay for all sorts of meaningless crap that you don't need (like CDs, tapes, books, CommuniKate, function tickets, and fees charged at the door for your stupid weekly meetings in some loser's living room).

What are the actual real-world results of all this? Here goes --

1) You are forced to purchase products that you might not want or need, at prices that are way beyond what they are worth, or what you might pay at a normal retail outlet.

2) You get absolutely stupid CDs and tapes that repeat the same mindless bullshit over and over, telling you nothing at all of practical value about running your business.

3) You get an overpriced voicemail system that is as obsolete as a Model T Ford, and which does nothing but allow your pompous up-line to harass you at every hour of the day with imbecile announcements and messages.

4) You are forced to attend half-assed but expensive "functions" in distant cities, where all you do is listen to fatuous Diamonds and their airhead Barbie-doll wives tell what a great life they're having as a result of the money you are sending them every month.

TO ALL IBOS: Get it through your heads... the LOS subsystems like WWDB and BWW and Network 21 and all the rest of them HAVE NO REAL INTEREST IN AMWAY PRODUCTS, and they don't give a rat's ass if you sell them or not. All they want is for you to be "in the Plan," and to be constantly sending them fees.

Amway and all of its rotten LOS subsystems are just a legalized extortion tacket, where the ones being extorted are too stupid to see what's happening to them.

Joecool said...

If you want to see my conversation with a mindless amway drone, check out this link: