Wednesday, July 22, 2020

The Problem With Amway?

Since the inception of Amway, there must have been tens of millions or more who have tried to build an Amway business but have failed. Many of these people were hard working and motivated but still fell short.  But why do so many people fail to net a profit in Amway?  Surely such a grand business would have a greater level of success?

I will submit that the Amway business is flawed and thus people fail by design because the system is set up that way.  The bad reputation of the business is soiled and for good reason.  The products are generic in nature but premium in price.  It’s great for the owners of Amway but not for rank and file IBOS trying to scratch out a profit.  Typically it would appear that most customers are sympathetic family and friends rather than actual customers who have a need.

Secondly, the system and diamonds systematically drain resources from IBOS by selling them an endless supply of audios, functions, books and other tolls that are supposed to be the key to success but in reality is the cash cow for the diamonds.  The IBOS are a captive audience of diamonds to exploit.  Subtle pressure is applied by sayings such as “tools are optional but so is success”.  I heard one where my upline said so and so diamond is a multi millionaire and thinks tools and functions are vital but if you want to go it alone then try it.  It’s sounds like opting out of tools is crazy but if you look at results and effectiveness, you can see that tools are an abject failure that only serve to line the pockets of the diamonds.

To summarize, trying to sell basically unsellable products and then simultaneously the IBOs are drained of their money by thinking that the good life is just around the corner if they subscribe to tools and keep going in Amway.   Many people accumulate debts and some accumulate massive debts because of the system.  In the end, Amway is just a massive money extraction scheme that uplines play with down line right under their noses under the guise of being advisors or mentors.  That’s the insidious part that many do not see.

IBOS and prospects, ask yourself tough questions about your own business and watch your bottom line each week and month.  If there’s no profit, ask yourself again why you joined Amway if it wasn’t to make some money.


Anonymous said...

The entire Amway racket is designed to run on what they call "the churn." This means the steady in-and-out flow of new IBOs who join Amway, are filled with enthusiasm for a few months or a year, and then silently drop out to be replaced by other stupid schmucks.

As long as this "churn" keeps going, money continues to flow to up-line. That's the whole deal. Nothing else.

Amway knows very well that nearly 99% of new IBOs will give up on Amway in a short period of time. But during that short period of time, they will be paying various fees and meeting costs and function expenses, purchasing at least $300 of Amway products per month, and buying all of the useless "tools" that are forced upon them. Keeping those deluded people enthusiastic and fired up for as long as possible is the REAL BUSINESS of the Amway Corporation.

Experienced Emerald said...

I built an Emerald business in Amway between 1990 and 2007. My 1099 from Amway in 1994 was $80,000.00. I know what i am talking about. I had 4 different legs reach 7500 and had 25 downline Platinums and above. There is no one who can successfully argue anything other than the truth with me. I became inactive in 2007 when I walked away from my upline and moved my line of affiliation to another system. I will tell you that these posts are absolutely correct. When I told my upline I was changing affiliations, they told me they would cut me in on 22% higher profits on tools. I did not know the 22% existed and obviously neither did any Platinums or other IBO's. At that point I was done. Never again was I spoken to or acknowledged by my upline even though our PV still flowed through them. It is all about tools, functions and those profits. PV is meaningless.

Anonymous said...

All of the many Amway AMO subsystems (WWDB, BWW, Network 21, etc.) were set up precisely to make money from the "tool and function" scam. They were the brainchild of successful Amway big pins, like Britt and Wilson and Yager and Puryear, who had already established a solid Amway business, but who realized that they could make a lot more money by setting up an organization that would "teach" the Amway business to new IBOs.

The logic went like this: "We're already working hard to teach the Amway Plan to our down-lines. Why not make some cash off them by setting up an Amway subsystem that organizes the teaching into a series of tapes or CDs or books? We can then charge for these materials, as well as collecting annual membership fees from the IBOs." (Please note: all of this was completely separate from the larger Amway organization.)

It was an easy step to move on to "functions," which are major money-makers for Amway big pins, and had the added advantage of producing euphoria and mindless enthusiasm in a lot of dimwitted IBOs, thereby keeping them in the business. Soon these AMOs were charging fees left and right, and bleeding cash on a regular basis from their down-lines.

The crucial thing to note is that NONE of the various AMO subsystems have any legal connection with Amway at all! They are completely independent entities! They have taken on a life of their own, and Amway is simply their supplier of products. For this reason they exist only to bleed money from down-line, and not necessarily to help any struggling IBO to succeed. As far as the AMOs are concerned, as long as there is a constant "churn" of new recruits into the system, and as long as these recruits are convinced to stay in as long as possible, nothing else matters.

Persons who are successful in Amway (a tiny minority) often brag that they haven't handled an actual Amway product in years. They make money solely from the "tool and function" scam. The various AMOs were set up precisely for this purpose.