Thursday, December 28, 2023

The Real Cost?

 One of the common things Amway leaders apparently do is to disparage people with jobs. Oh, they would say we needed people to wait on our tables and clean our toilets, but in general, jobs were put down and basically the group was told that Amway is their best chance at achieving financial freedom, giving them the ability to flush their jobs. Ironically, IBO's jobs are what funds their Amway businesses. Most IBOs would be out of business within weeks if not for their job income funding their Amway businesses.

The key selling point appears to be the 2-5 years of part time work rather than working a job for 30 - 40 years and then retiring on social security which may or may not be there when you retire. This plants a fear in people about the future and then the Amway opportunity is presented in a positive light because the Amway opportunity comes with a low start up cost. What uplines do not mention is how the opportunity can become a money pit as the monthly defacto 100 PV quota starts to add up. It is my guess that if people only bought items they truly needed, these IBOs would likely move 100 PV every three months, unless they are actively selling goods to non IBO customers. With Amway products being so concentrated and efficient as IBOs claim, why would you need to replenish these products so often?

When an IBO finally agrees to register, it is then that the true, but hidden costs are revealed. Many uplines will introduce standing orders and functions and present these tools as vital to IBO success. Most new IBOs don't know better and feel subtle pressure to conform and give it a try. Some upline may loan some tools to downline in the beginning but eventually, the IBO will be encouraged to be a "serious" business owner who should be purchasing their own tools to loan to their downline and the cycle goes on. There is also the cost of additional cds, books, voicemail and other business related costs that are not mentioned until later which the prospect doesn't necessarily know prior to start up.

If you examine some version of the Amway recruitment plan, you will see that most IBOs are at the 100 PV level, which will reward you with a monthly bonus of about $10 or so. If that same IBO subscribes to the tools system, than IBO will likely be losing over $100 to $250 a month not including the cost of the product purchases. And because many IBOs have been convinced that working a job is so horrible, that they can be convinced that this condition of losing money is temporary and that untold wealth is right around the corner. Sadly, for most, this condition is the norm and even the sponsorship of a few downline, the losses continue to mount. Yet many are convinced that this is better than a job. And this is just the financial cost, not the time and effort spent pursuing a false hope and dream that Amway IBOs and recruiters promote.

Ironically, a job allows people to pay their monthly bills, feed their families and many people enjoy their work and co workers. While upline leaders may convince you otherwise, it is this very same excuse upline leaders use when asked why they are still working instead of walking the beaches of the world collecting massive amounts of residual income. I would encourage IBOs to truly analyze their efforts in Amway and determine if it is beneficial to your finances. In most cases, your Amway efforts ONLY benefits your upline's finances. For most who get involved, the Amway opportunity is not better than a job.

3 comments:

Anonymous said...

The idea of having a "standing order" to receive a certain number of Amway products every month is totally alien to the whole idea of a retail business. A retailer orders only what he needs, and when he needs it. His requirements might be seasonal, or they might fluctuate according to general economic trends. There might be some products that he knows will sell regularly at all times, but there are many other products that are not like that.

So if your asshole up-line insists that you have a "standing order" for Amway products every month, he is just ripping you off. In a real business, you order only the material that you know you can sell.

Amway is NOT a real business. It's just a racket for your up-line to bleed you dry.

Anonymous said...

Consider myself ripped off for about two and a half years. In URA / URAssociation / URAssociation , the requirement was 300 PV by the 5th of each month. Then, I think somewhere in 2017, they changed it to "recommendation" because it was stated from stage at a conference that they had gotten in trouble with Corporate.
But it gets better. We had to have a Ditto process on the 1st of each month or we would be ripped to shreds by Upline. And with 300 PV, that's $900 gone just like that to put you in the hole each month.
Later, they would start pushing 500 by the 5th and "recognizing" those doing 500 on the 1st.
So predatory and so wrong. I still have bags of stuff that I haven't used six years later.
As for "standing order" or membership, that was another $49.99 a month gone. They had a lower tier at $39.99, but Upline never pushed that because they would not get credit for their incentives (Arrow) if IBOs purchased the cheaper membership. Of course, there was an Unlimited Plan which was around $100 a month that was promoted that some even bought into.
So when you add this up combined with the weekly meetings while not counting any conferences or any other events, you're about $1,000 in the hole each month.
This means, at minimum during a non-event month, you have to find an extra $1,500 a month in order to have that extra $500 a month which is pushed as being something possible through Amway.
If you're in, get out now while you still can.

Anonymous said...

URA is probably the most predatory and vicious of all the AMO subsystems. A membership in it can cost you over one thousand dollars a month with all of the requirements and fees.