How Diamonds Prosper?

  One of the things that many Amway IBOs do not understand is where the upline diamond profits actually come from. They think they will obtain passive residual income but most do not understand how it works or where the money comes from. What most people see instead, is a photocopy of an upline's check, or they may see upline driving a nice car or something like that. They do not understand how the business works and the fact that there are two businesses at work. The Amway opportunity and the tools (business support materials) business. Frankly, most IBOs would be much better off giving their upline a check for $50 each month and never getting involved in the Amway opportunity to begin with.

Upline diamonds (or higher ups) earn some income from the movement of products. Amway returns about 33+% of their gross in the form of bonuses. Most (active business building) IBOs earn 3% while uplines split up the remaining 30% of the bonus. Not such a great deal when you think about it. Also, most IBOs overspend on Amway products. They are not simply replacing what they normally buy. If they did, then there would be tons of former IBOs continuing to move 100 PV or more. Instead, when an IBO quits, they either buy nothing from Amway anymore, or they may use a few products here and there. The opportunity and the way it is promoted simply creates an artificial demand for Amway products. If the products were so great, why then after 50 years of business, why the Amway sales aren't going through the roof if former Amway IBOs get hooked on the products and keep buying them? The answer is that they typically stop buying once the "dream" of residual income ends.

Then you have the tools business where IBOs don't even get a measly 3% of the profits. Uplines keep all of the tool profits. Also, the tools have a higher profit margin than Amway products. While this may seem acceptable on the surface, keep in mind that the tools are inefficient. There is no unbiased evidence that I know of that suggests that the tools create a natural progression of IBOs from 0 PV to diamond. I cannot name more than a few new diamonds in the US since I left the business in 1997 or 1998. And even if there were some new diamonds, I believe there were even more who quit or left Amway for other reasons. One might wonder why a diamond would quit in the first place if there really was residual passive income involved.

So where does upline profits come from? Simple, it comes directly out of the pockets of downline. If IBOs actually sold products, then some profits would come from sales and customers. Instead, most Amway sales are simply made from upline to downline. And virtually ALL sales in the tools business comes from upline to downline. Thus many IBOs spend $250 to $300 a month on products and get back $10 if they reach 100 PV. Then you factor in the $100 to $250 monthly that IBOs typically spend on tools. Suddenly that cheap or no risk opportunity doesn't sound so cheap. And try working it for several years and IBOs can easily rack up tens of thousands of dollars of expenses or more.

That's where upline profits come from folks. Do the math, most IBOs truly would be better off giving upline a check for $50 a month and doing nothing else.

Diamond Wealth?

  One thing that Amway diamonds like to do is to show off the diamond lifestyle.  But what is the diamond lifestyle?  Basically, it’s a show of excessive wealth.  Allegedly they fly first class everywhere and stay in five star hotels.  They wear designer clothes and supposedly buy expensive cars and homes all in cash. They come and go as they please and they only work out of love for their down line.  At least that's the narrative they want you and other prospects to believe.

At least that’s the story they want you to buy when you are at meetings or at functions.  There are poor saps in the audience who want that so badly that they have tears in their eyes because they want it so badly.  It certainly inspires you to try harder and to get your business booming with growth and excitement.  So, you get the inspiration, but the reality is that the diamond dream will not materialize.  

I hate to break this news to IBOs and prospects, but I highly doubt that any diamond lives like that unless they are up to their ears in debt.  But then again showing you a middle-class lifestyle wouldn’t quite be as exciting.  How do I know this? Simple, just do the math.   Look at the Amway income disclosures.  A Q12 diamond, which is quite rare (the exception, not the rule) makes around $600k annually gross income.  After taxes and expenses, you aren't buying mansions and sports cars in cash while flying the around the world first class. 

Amway used to report that an average diamond earns about $150k annually but now Amway doesn't disclose the income of an average diamond.    Although Amway no longer reports this, their compensation plan hasn't changed to a point where the average non Q12 diamond would earn significantly more than in the past.  Thus, the average diamond likely earns around $150k annually along with income from tools and functions.  Even if they earn another $100k from tools and functions, that's an income of about $250k.  

Now that’s a nice income for sure, provided the diamond is currently qualified although Amway doesn’t say who is and who is no longer qualified. Assuming they are qualified, their taxes, medical insurance and other expenses and business expenses likely claim more than half of that income. 

Let’s say a diamond clears $10k per month after all if the expenses I mentioned and believe me I’m being very generous here.  Well, you can’t buy a home in cash on that income, so you likely have a mortgage.  If a diamond pays $4000 a month for a mortgage, they have $6000 remaining.  You aren’t buying a sports car in cash.  

If the kids go to a private school, more income is gone.  How much if left for first class travel and five star hotels did fabulous vacations.  I’d say a diamond lives a middle-class lifestyle.  I believe some of the higher up pins such as crowns might live better but the rest of the diamonds lifestyle probably would impress you if you saw the truth. 

So where is the Uber diamond wealth?  I don’t know, you tell me. 

IBOs = Fraud Victims?

 I've heard over the years, many IBOs who failed in the Amway opportunity who blamed themselves for not putting in enough effort, not trying hard enough or not working the system. While I don't doubt that some IBOs didn't work hard enough, I cannot fathom that so many motivated and eager prospects simply failed because they didn't work hard enough. I believe IBOs are taught to accept failure as their own by their trusted "mentors and uplines".  I find this so ironic because one of the core principles taught by upline is accountability.   But in the end, upline teaches downline accountability but not their own accountability.

Uplines will tell new IBOs to trust them and that these new IBOs will succeed if only they will follow the advice of the allegedly successful diamond because they have already blazed the trail for you. Ironically, after many IBOs fail, upline will never take responsibility for the advice they issued that led to downline failures. They then turn the tables on their downline and say that their advice is like a buffet. You pick and choose the advice you need and disregard the rest. That is such a bunch of crap that I cannot fathom downline IBOs buying what they are shoveling. A new IBO places their trust in the diamonds because they have achieved the pinnacle of success, but a new IBO is supposed to pick and choose which advice to follow? And then failure is the fault of the downline?

Ironically and sadly, these downlines, when they ultimately fail, often end up blaming themselves and just disappear unless someone recruits them again. They are often sponsored by friends and family, so you won't see them filing complaints against Amway or the uplines who led them astray. Uplines nearly assured their success if only these new IBOs would buy the training materials and attend all of the functions. But many IBOs work hard and do everything outlined by upline only to fail. It is likely because the system doesn't work. Many financial systems are for sale out there and most of them have very little success. Amway is no different, except that uplines promote their systems as sure fire.

It is however, my belief that many or possibly most IBOs are the victims of fraud in that they are given possibly false positive information about the Amway opportunity. They get involved and find out that the system doesn't work, and then they end up quitting with a loss and them blaming themselves. Brilliant for the uplines who profit but, in my opinion, it makes IBOs the victims of fraud by upline. Upline profits whether or not their downline makes a cent. Some upline strongly encourage downline to buy more and more tools, even when they know that those downlines have no chance of making money in the Amway opportunity. It makes the IBOs victims, and it makes the uplines a bunch of crooks.

Mentors?

 The really insidious part about some of the LOS leaders, such as the ones I had in WWDB, is that they apparently are cutthroat ruthless businessmen with nice suits and disguised as your mentors and friends. They get you to trust them, and they will tell you that they have your best interest at heart, or that they would never purposely lead you astray. On the surface, you may think this is true but look at their actions and you can easily discern that some of these uplines are absolutely ruthless businessmen who would take every cent from you if they could. I was in WWDB and I have good reasons to believe that they are still doing this, based on a WWDB IBO blog. On this blog, I see all the same teachings today, that I heard as an IBO and some of the same claims such as buying homes in cash. It's scary.

As an IBO, the diamonds would tell you to never miss a function, ever. The only good reason for missing a function was for your own funeral. I recall some cross line IBOs rearranging pre-planned anniversary parties, weddings, and other special family events in the name of being core and attending all functions. Some IBOs actually did quit their jobs to attend functions, and they very well may have done so because some uplines taught this. IBOs were also encouraged and told to go into debt to attend a function. This was okay because it was an investment into your business.

Our group was also strongly encouraged to buy extra cds every week. To be core, you needed to listen to a cd each day and you cannot listen to the same one each day, right? Couples were told to buy their own separate standing orders. Brad Duncan even had a true north tape (cd) that said sponsors were to eat the standing orders for downlines who quit because it was too much trouble to call upline who calls upline who calls upline to cancel a standing order. Oddly enough, they didn't mind upline calling upline calling upline to add a standing order.

In the end, I was lucky enough to have been progressing up the pin ranks so my losses were not that devastating. I ended up losing in my early months of the business but mostly broke even when I was at 4000 PV. Sadly though, my cross line did not fare so well. I know of one couple who declared bankruptcy. I don't know how much their WWDB involvement contributed to bankruptcy, but I am certain it was a major factor, and I know of two couples who had homes foreclosed, and I believe that their allegiance to WWDB was a factor in those foreclosures. But I guess hey, two WWDB diamonds had homes foreclosed so maybe they were duplicating?

Do not be fooled. The diamonds may have a nice smile and a nice suit, but they are ruthless businessmen who will take your last dime if you allow them to.

Avoid The Name?

 I often find it comical that to this day, I still see people who like to hide the Amway name when recruiting others. I believe this tactic has been a major factor in why Amway has a bad reputation in North America. When I was recruited, I was lied to as well. I was invited to a "beer bust" only to find out it was an Amway meeting. I went home that night thinking WTH was that? They lie to us and then expect us to join the business. And to this day, I believe this practice continues. They might use another name such as "Liberty Marketing" or "Worldwide Group" to mask the opportunity they are pitching. My question is why?  If you're ashamed of the name, how can you possibly overcome any other objections to the business by prospects?

Over the years, IBOs have tried all kinds of ways to disguise the Amway opportunity. In the past, it was network marketing, e-commerce, online shopping mall and the corporation even changed Amway in North America to "Quixtar". Sadly, the name change to Quixtar did not really work, probably because the same tactics were used when recruiting new IBOs into Quixtar. Amway eventually changed the name back to Amway. I believe this bad reputation in North America is why Amway, in years past, enjoyed the most business growth overseas where people either do not know the Amway name, and likely because there haven't been enough former Amway/AMO victims to soil the name in other countries. As markets mature and people get to know about Amway, we see what is happening now. Amway revenues plummeted from 11.8 billion in 2013 to 8.8 billion (global) in 2016. That's a serious decline!  And unless I'm mistaken, Amway hasn't exceeded that 11.8 billion dollar mark since, despite covid sending online sale through the roof.

So IBOs, how can you expect someone to trust you and do business with you if you are deceitful or outright lie about the Amway opportunity? Are you ashamed of the Amway name? If you are ashamed or scared to drop the "A bomb" on people, how will you ever be able to show any plans, let alone sponsoring anyone into the business? My former sponsor used to tell our group that the biggest challenge is overcoming the name Amway. To be fair, Amway the corporation is not the reason for the bad reputation. It is the unethical and bad behavior of IBOs that lead to a bad reputation but on the other hand, it's not the like Amway police have been cracking down and visibly taking action against the violators so Amway is also guilty to some degree in my opinion.

Conversely, people who come right out and talk about Amway are unlikely to net any decent results either because of the past reputation. It's an almost no-win situation for IBOs and prospects. For these reasons, I believe it to be nearly impossible to build and maintain a group, especially if your goal is to reach diamond. It seems as if more diamonds have left Amway in recent years than there have been new diamonds. I believe this to be spot on for WWDB, my former LOS. So IBOs, are you ashamed of Amway? If not, why are there still so many IBOs using trickery and deception in recruiting prospects?

If you avoid using the Amway name, what are you ashamed of?

Ashamed Of The Name

 I often find it comical that to this day, I still see people who like to hide the Amway name when recruiting others. I believe this tactic has been a major factor in why Amway has a bad reputation in North America. When I was recruited, I was lied to as well. I was invited to a "beer bust" only to find out it was an Amway meeting. I went home that night thinking WTH was that? They lie to us and then expect us to join the business. And to this day, I believe this practice continues. They might use another name such as "Liberty Marketing" or "Worldwide Group" to mask the opportunity they are pitching. My question is why?

Over the years, IBOs have tried all kinds of ways to disguise the Amway opportunity. In the past, it was network marketing, e-commerce, online shopping mall and the corporation even changed Amway in North America to "Quixtar". Sadly, the name change to Quixtar did not work, probably because the same tactics were used when recruiting new IBOs into Quixtar. Amway eventually changed the name back to Amway. I believe this bad reputation in North America is why Amway, in years past, enjoyed the most business growth overseas where people either do not know the Amway name, and likely because there haven't been enough former Amway/AMO victims to soil the name in other countries. As markets mature and people get to know about Amway, we se what is happening now. Amway revenues have plummeted from 11.8 billion in 2013 to 8.8 billion (global) in 2016. That's a serious decline!

So IBOs, how can you expect someone to trust you and do business with you if you are deceitful or outright lie about the Amway opportunity? Are you ashamed of the Amway name? If you are ashamed or scared to drop the "A bomb" on people, how will you ever be able to show any plans, let alone sponsoring anyone into the business? My former sponsor used to tell our group that the biggest challenge is overcoming the name Amway. To be fair, Amway the corporation is not the reason for the bad reputation. It is the unethical and bad behavior of IBOs that lead to a bad reputation but on the other hand, it's not the like Amway police have been cracking down and visibly taking action against the violators so Amway is also guilty to some degree.

Conversely, people who come right out and talk about Amway are unlikely to net any decent results either because of the past reputation. It's an almost no-win situation for IBOs and prospects. For these reasons, I believe it to be nearly impossible to build and maintain a group, especially if your goal is to reach diamond. It seems as if more diamonds have left Amway in recent years than there have been new diamonds. I believe this to be spot on for WWDB, my former LOS. So IBOs, are you ashamed of Amway? If not, why are there still so many IBOs using trickery and deception in recruiting prospects?

If you avoid using the Amway name, what are you ashamed of?

Diamonds Are Forever?

 I've seen some interesting discussions about how achieving a diamond pin is like winning a gold medal. That you don't get it taken away from you later even if you don't qualify anymore. The discussion also flowed as to where they mentioned that former US President Jimmy Carter is still addressed as Mr. President. Or that someone with a Superbowl ring can be addressed as a Superbowl champion. While I agree with that to some degree, I think the issue of diamond or former diamond is significant and different from former President Carter or a former Superbowl Champion. Terry Bradshaw or Joe Montana don't parade around as if they just won the Superbowl last year.

The diamond pin is a significant achievement for sure. Seems that recently, it's even harder to achieve in North America. I don't know of more than a few new diamonds emerging in the last ten years or so in the US. But if say a diamond qualified in 1988 and never qualified again, how would you as an IBO feel about paying to see this diamond speak function after function and how many would continue to buy standing orders from a guy who may have achieved diamond 20 years ago and never again? Would the audiences be "fired up" to see these speakers? I find this ironic also, because many Amway defenders like to criticize Amway critics for having an outdated experience. Well, conversely, a onetime diamond would be basically the same thing. If not, then Joecool should command the respect of a 4000 PV Eagle since that was my highest level.

I actually have no issue with Amway allowing the achiever to carry their highest pin as a recognized achievement, but I do believe that those who use their former pin status to exploit and profit from new IBOs and prospects should be stopped. I know I would not have been so excited attending a function where the keynote speaker went diamond for 6 months a decade ago and was no longer qualified. Else, by upline's definition, he will teach me to go diamond and fall apart? I believe there are fewer North American diamonds now than ten years ago. Some diamonds resigned and some outright quit. So much for residual/passive income. Obviously if these things existed, then nobody would quit or walk away from residual income.

BTW, an article on an Amway Corporate website says this about passive income:
"Passive income is a term we do not permit distributors to use and it’s not a term the Corporation uses. In our business, there is no such thing as doing no work, and expecting money to still come in.” Link:
http://blogs.amway.com/answers/2010/11/02/unwelcome-words/#comments

Still think there's a free ride at the end of the tunnel?

Love Bombing?

  I recall the love bombing in Amway when I used to be an Amway IBO.  It was quite weird to me.  I mean who says they love you just shortly after joining Amway?   The relationships were basically superficial as those who left Amway were shunned and often called losers.  Funny how you can go from loved to being a loser in a few short days or weeks, but it confirms that Amway loyalty is what the uplines "love" and not necessarily you in particular.

Upline would justify it by saying the person leaving was breaking the relationship, so it was on them.  Amway leaders are good at blaming the victim.   It was never about the lousy business of Amway or tha lack of actual net profits, despite following precisely what upline leaders "advised" that caused the IBO to quit.  Selling generic nature products for high end prices is a challenge that the vast majority of people cannot manage no matter how much skill they possess.  Frankly, dishonestly likely takes you farther in the Amway business, in my informed opinion.

The inability to move products and sponsor new people seem to be the reason why people quit so often.  Then you add in the never-ending costs of paying for personal use products, tools and functions.  It takes a huge toll on IBOs and their finances and the most likely is the reason why so many people quit so often. 

It is not because They IBOs are lazy or incompetent.  It’s because when they join Amway, they join a business opportunity that is designed for the majority to fail.  That is the nature of MLM and Amway.  You need to constantly recruit new members or the scheme will fall apart like a cheap suit.  

Being that Amway is now an online business, you’d think they would be flourishing but I suspect that Amway and their IBOs are suffering because they can’t recruit new members easily.  And an emphasis on recruitment and not on actual sales could be a red flag of a product pyramid scheme.  I’m not here to condemn Amway, but my own experience along with Amway's actual numbers tell a story in itself.   

A Carpenter Needs Tools?

  One of the things my Amway upline always pushed on us was the tools system. While the tools are said to be optional, they are not promoted that way. They were promoted as vital, necessary, almost as if you were insane to try and build an Amway business without tools. Basically, the tools were a defacto requirement. My upline always claimed that nobody ever "made it" without tools. Some Amway defenders insist that the tools work, and that IBOs who were on the system proved it with higher levels of success and product volume. But the tools work for maybe a fraction of 1% of IBOs who try them. The vast majority of people who use tools make nothing or lose money. Similar to a lottery.   Some Amway defenders say "A carpenter needs tools", which is true, but they don't need to buy a new set of tools every week  or month (like standing orders or book of the month).

IBOs participating in the system (voicemail, book of the month, standing orders, functions, etc) do more PV. I believe this is true, but it is true, only because once the upline can convince you to participate in the system, then that same IBO is also convinced that they should or must do 100 PV as part of the deal. People who aren't convinced that the system is vital, subsequently do not purchase or sell as much PV because they have not been convinced that moving PV will make them successful or wealthy.

Critics and Amway supporters have debated this issue for years, but clearly, the evidence supports my position. Why? Because if there was a true demand for Amway products because of their quality and/or value, then there wouldn't be such a steep drop off in movement of volume when an IBO becomes a former IBO. Many, probably most former IBOs never buy a single Amway product once they leave the business. If the products had true quality and value as Amway supporters claim, why don't people continue to purchase 100 PV per month when they quit? Because they never wanted or needed all of that product in the first place? If former Amway IBOs continued to buy products, Amway sales would continue to increase. Amway's sales and revenues dropped more than 25% from 2014 to now (2018).

If someone is convinced that Amway will be their financial savior and that by using tools and moving 100 PV will result in long term financial security and residual income as claimed by upline, then that is what they will do in hopes of achieving the end goal. When that goal or dream doesn't materialize, the former IBOs realize that the tools and products no longer have the value they once thought they had. How many former IBOs will buy standing order or attend functions? If these materials really made you nicer, or saved marriages, why don't any former IBOs keep buying them? Why do they resort to selling them for pennies on the dollar on Ebay or Craigslist? What happened to the great return policy?

Bottom line is that the tools don't work. They only work for the uplines who directly profit from the sale of tools, plus the artificial demand in product sales created by those IBOs who are convinced that Amway will make them rich. Once the reality sets in that Amway will not make them rich, and that the tools are simply draining their resources, then the demand or tools and Amway products disappears almost instantly. There is no unbiased evidence that I know of to suggest that these tools work, and basically, the miserable amount of new diamonds emerging in the US seems to confirm this fact.

The Catch?

 In the Amway business, most active IBOs are advused to trust upline. To think of upline as a coach or a mentor. These upline mentors or coaches are supposed to have your best interest at heart and they will guide you to success if only you will be open to learning. Many uplines, including my former uplines used to coin the term "copy" or duplicate. If you can do that you will be successful. Even the simplest of people can copy. The upline may crack a joke about getting thru school by copying. Thus, many IBOs follow exactly what their upline advises them to do.

But then uplines turn the responsibility away from themselves. Many Amway defenders will also claim that downline should not simply follow the advice of upline. They may make a ridiculous claim that standing orders and functions contain advice that must be discerned. That information is like a buffet. You pick and choose what you need and discard the rest. If you are a new IBO or prospect, let me tell you that is a load of guano (bird crap) that is being heaped on you. Your upline is touted as having experience and wisdom in the Amway business, which is why you are paying good money for voicemail, books, cds/audio files, and functions. So why would their advice be something you pick and choose? How would a new IBO know what to pick and choose?

Imagine hiring a guide for a trek in the wilderness. The guide is supposed to be an experienced outdoorsman, perhaps an expert. So if he recommends that you eat certain plants or fruits, you trust that he is going to guide you right. Imagine eating something that made you sick to your stomach, only to have the guide tell you that he just points out plants and fruits and you have to discern which is good for you and which is not. You would fire the guide and tell everyone you know not to use that guide anymore.

But here we have these "systems" such as Network 21, WWDB or BWW that have been "guiding" IBOs for up to 20 years or more in some cases, and the number of diamonds are negligible. Sure there might be new platinums, but many tool consuming platinums have been found to be losing money or making very little money for their efforts. What's more, it would appear that Amway is losing ground in sales. Amway's sales dropped from 11.8 billion in 2013 down to 8.6 billion in 2017. One can reasonably guess that any new platinums that break are simply replacing the volume for a platinum that no longer exists or a platinum that no longer qualifies. My former upline diamond appears to have all new qualifying platinums from the time I was in the business and here's the kicker. My former diamond had 6 downline rubies. As far as I know, none of these rubies are qualified as platinum anymore, much even in the business.

Uplines also program their downline to take responsibility for the failure. Thus you have IBOs who did everything that was asked of them, only to fail. Yet these IBOs often blame themselves for their failure. It is my opinion that former IBOs who did everything asked of them only to fail should file a formal complaint against their LOS with the better business bureau. Amway defenders like to think that a lack of formal complaints means that the system works when clearly, there is no unbiased substantial evidence to suggest that the system works. It looks like some succeed in spite of the system, not because of.

The catch in all this is uplines skirting responsibility for the outcomes of those they "mentor" and profit from. IBOs should ask if upline really cared about their success, why do you have to pay for any help that you receive from your upline diamond?

The Cult?

  One of the things that is noticeable to a neutral discerning eye is that Amway groups and leaders have some resemblance to a cult.  The main difference is that you can come and go, but still, there is a lot of peer pressure to keep going and not quit the group because quitting would give you the label of being a quitter, loser, or broke loser.  This pressure might be subtle but it’s real.  The thought being that if you quit, you are destined to be broke and a loser because you have no hope without Amway.   

The diamonds are given undue adulation.   I recall my first open meeting as a prospect, the diamond was treated like royalty and was given  a standing ovation as he entered the room.   And his claim to fame?  Achieving a level in Amway.  Sure, achieving diamond is no easy feat but surely not worthy of rock star status.  But worshipping a leader is a cult like trait.  

The IBOS all have a common cause.  They all seek financial freedom thru the Amway business and they all plan to do it in a relatively short amount of time.  The IBOS dress alike in business attire and they act similarly and they use many of the same products.  They all fall in in line and try to “earn time” to spend with the leader.  These are also cult like traits.  I mean who really needs to wear a suit to learn to buy stuff, sell stuff and recruit others to join?  The rank and file think they are just acting successfully because they will eventually make it if they just keep going.  

But in the end, the upline just uses their position to force the down line into basically doing their bidding.  They sell them the hope of a better life by convincing them that you need an endless supply of training and Amway education via tools and functions.  In my informed opinion, the diamonds don’t give a good about the down line.  They are just there to be exploited so the diamonds can enjoy the diamond lifestyle.  

For this reason, the diamonds have to charge full or nearly full price for zoom meetings and such even though many IBOs can’t build a business because the Amway opportunity isn't run like a real business, in my opinion.  Good luck to you if you read this and join Amway anyway, but you can’t say you weren’t warned.   😃

Facts Don't Matter?

 One of the crazy things that our Amway upline taught the group was that the facts don't matter when you have a dream. There is evidence that this is still taught today and in particular, I have heard that from IBOs who claim to associate with WWDB. IBOs are taught to ignore facts because the facts make their Amway businesses look like a joke. Spend $300 a month on products to gain a $10 rebate when you could have bought the same or similar products at Walmart for a fraction of the cost. Then many IBOs spend another $200 or more so they can be taught to ignore facts or that this is somehow a great deal.

Any real business owner would never ignore facts. A real business owner makes business decisions based on facts. IBOs are being duped into making business decisions based on emotions and hype. The Amway opportunity already is already saturated with handicaps and challenges, particularly in the US and Canada, where the reputations and previous antics of fellow IBOs has so stained Amway's name that it appears to be negatively affecting sales and preventing any meaningful growth. Despite what Amway apologists claim, Amway revenues are shrinking (about 25% decline from 2013 to 2017) and will continue to do so unless improvements and corrections are made, in my opinion. It's also possible that it is too late to right the ship at this point.

It is also why many IBOs talk about how Amway saves marriages, or Amway made them nicer people. Uplines will teach this because it takes a business owner's focus away from their bottom line, the profit or loss. Or IBOs are taught that a loss just means they are investing in their business, despite being told upfront that there is little or no investment needed and that a profit can be turned quickly in Amway. These uplines have gone on for years with no accountability placed upon them by either Amway or their downlines. Any "incidents" are simply ignored or history revised by uplines.

There is one blog on the internet, where a WWDB IBO is writing about buying homes in cash, and Amway IBOs having a 2% divorce rate compared to more than 50% in the rest of the world, yet you have Amway defenders claiming this isn't being taught, when clearly it is. Cover it up all you want; the evidence is right there but these folks aren't interested in the facts. I urge great caution to people who are ignoring facts to pursue an Amway dream.

The Warrior?

  I received this comment by a fired-up Amway and WWDB IBO some years ago. I think re-posting it now will be quite humorous. It might in interesting to note that I took "Bryant" up on his offer and friended him on facebook. After a week or two, he stopped responding to my comments and questions and a few months later, he unfriended me on facebook and apparently quit Amway. When I looked him up, he was not posting Amway stuff anymore and just reverted back to his "quitter" or Broke loser" lifestyle.  I am posting it for your reading enjoyment. BTW, I was downline of the infamous WWDB Duncans as an IBO. I wonder if Greg recovered from his chapter 7 bankruptcy in 2009?

Bryant Xxxxxx July 31, 2015 at 4:29 AM

Dear Joe,

First, wow do you sound like a quitter; have you ever dedicated yourself to anything? Sorry that was an attack at you, I’m new to WWDB, and I enjoyed reading your quitting words and how you inspired more quitters to quit. I personally have researched WWDB before I came to the WWDB group because I seriously thought it was Amway and I’ve been approached 5x by Amway. Guess being a cage fighter gives me a great personality.

I would also like to call you out on your line ups since I know the Duncan’s beside their children could never possible be your uplines. Brad is very selective on who he mentors and it is usually the non-quitters that he mentor, the diamonds and emeralds, My upline Fenton and Susie Eng are mentored directly by Brad and Julie.

Before I was a Dream Builder, I was chasing the money; I sold drugs, damn right, just like the cartel blood that flows thru my veins. I was proud to be a drug dealer, finally I was a cool person, and then I woke up and realized ever one fronts that they have money but no one really knows how to get it. I held a regular job, sold drugs and trained every day to fight in a cage. Wow my life was in utter chaos, then my best friend asked me to meet her sponsor and mentor, Jerry Liu and Fenton Eng (emerald mentor) so with one foot out of the door and my right ass check of the chair ready to bolt, I sat down and meet them. First there was never any offer made in fact I had an application process to go thru and win my mentorship which I am so glad and happy I fought for it. I guess we all come from different paths and what im really trying to say is I would love to sit down and speak to you face to face and prove that your wrong about world wide dream builder, I haven’t paid out a single cent and I’ve so far been receiving the Kate messages for free and haven’t need to buy a single thing, yes I will because that apart of this program.

Did you expect money to fall from the sky? If you would have listened to your mentor, you would have learned one of the key parts to this entire program. Without HARDWORK you get nothing. Hard work is the key that slipped past you obviously! I have permanently been changed by the world wide group and will defend WWDB with my dying breath that’s what it means to not quit and not give in. I would love you to meet ALL of Fentons teams, Las Vegas and Atlanta and Bellingham Washington. Everyone of them would look at you and shake their heads, you were in and I don’t understand how you could leave. Unless…wait for it….. you’re a quitter. Hmm I was tired of being a loser and a quitter to now I am a worldwide dream builder for life! Plus the Family Reunion blew my mind thank God I’m willing to sacrifice for my future, unlike some cooljoe who wrote this blog.
With love because we all make mistakes,

Bryant Xxxxxx find me on facebook I dare you!

Just Buy From Yourself?

 As an Amway IBO, our group was often told that selling products were not that important. Just buy from yourself and get others to do the same. When prospecting, you ask if someone likes selling and if they say no, you say "great, this business is perfect for you". Or if someone says they like selling, you say "great, this business is perfect for your". Keep in mind that a business exists to sell a product or service for a profit. I believe many Amway folks forget about this simple and basic business fact.

People naturally do not like selling stuff to people, thus the adaptation to being your own best customer or buying from your own store. While it's fine to support your own business, it is not true that a McDonald's owner would never eat at a Burger King or other silly claims. Do you believe that a McDonald's owner would only eat food sold at his own restaurant? I guarantee you that isn't true. I know someone who owns a very popular pizza franchise, and she says she never eats at her own restaurant because she's sick of eating pizza. You make money selling pizza so you can have other options.

Another thing that Amway IBOs are probably not aware of is that buying from yourself and getting others to do the same without real sales to actual customers is running a illegal pyramid scheme. Another MLM company Herbalife, was investigated by the FTC and while they were not shut down, they were fined and had to change their operations because the FTC found that they lacked sales to legitimate customers. Herbalife is now forced to track retail sales with a compliance monitor watching their moves. There are stories of Herbalifers trying to fudge sales and Herbalife higher ups encouraging people to sign up as preferred customers instead of business builders. That suggests to me that Herbalife is basically admitting they are a sham. If they had legitimate demand, they would run a campaign to recruit more business builders who would in turn, sell products to customers who want their products.

So, Amway IBOs, are a majority of your PV sales to yourself or to customers? Are your customers your family and friends who are somewhat reluctantly buying products from you, if at all? If you are just buying and using your own products, you are actually not entitled to an Amway performance bonus. On the bright side, it seems that Amway just ignores this requirement and pays bonuses anyway. But without legitimate demand, sales and revenues dry up when the markets begin to get saturated. Amway's sales hit a peak at 11.8 billion in 2014 and hasn't (AFAIK) exceeded that figure again.   Not even during the covid crisis, when online sale were going through the roof.

With sales and revenues down, that can only mean there are less sales and volume, therefore there are less Platinums and diamonds that can be supported by sheer numbers.  But Amway prospects will never know because once you earn diamond recognition, Amway never updates it. Once a diamond, always a diamond, if you will. Thus the leaders that are Bing worshipped on stage might not even be diamonds anymore.

In the end, I write this post to give you food for thought. Too many prospects and IBOs are not aware of these issues but they certainly should be,

Bait And Switch?

 Many prospects an even Amway IBOs are apparently unaware that the Amway business along with the insidious "tools" business is a bait and switch scam. Prospects are told that with some part time effort, they can achieve untold wealth and retire early. Many people get "fired up" at the thought of a shortcut to early retirement and wealth beyond their dreams. If the prospect gets excited enough to actually sign up, that's when the bait and switch scam occurs.

You see, if you register to be an Amway IBO and get involved with purchasing support materials such as books, CDs, voice mail and seminar tickets, you think you are on the road to riches as an IBO. Don't feel bad, many people have made this mistake, including myself. But when you register as an Amway IBO, you think you will be an "independent business owner". But nothing can be further from the truth. This is just an illusion that the upline will use on prospects.

When you register for Amway, you actually become a customer of Amway and a customer of the tools business run by upline. You purchase products from Amway, and if you purchase enough product, you might receive a rebate of sorts. 100 PV, roughly $300 in cost, will get you a rebate of 3%, or roughly $10. Your 100 PV actually generates about $100 in Amway bonuses, but the remaining $90 goes to your uplines. If you can sponsor downline who also use and/or move products, you can earn a greater percentage of a rebate, but in the end, you are still basically an Amway customer. As an Amway business owner, you can't easily advertise or do things to generate more sales without Amway's permission. You are also at the mercy of Amway in the event of a dispute.

As an Amway IBO, you are also a customer of the tools. Your upline will sell you an endless supply of materials which I listed above. What IBOs also don't know is that these products/tools also carry and larger profit margin than Amway products and, the rank-and-file IBOs don't get to earn any bonus of the volume of tools. And I might add that the tools may cost more than the cost of your 100 PV worth of products. So, you buy in and you get nothing. I might add that the tools are ineffective, otherwise there would be a constant movement of people achieving higher levels.

Sure, Amway apologists will point out all of the new platinums, but they fail to mention that there are also thousands of people who were but no longer qualify as platinum or higher. Amway sales were at 11.8 billion in 2013 but sales have dropped since then and I don

t believe they've exceeded that figure since.

So for prospects and current IBOs, I hope you realize that you're not really an IBO, but a customer of Amway and a customer of the tools. How many customers do you know of that became wealthy by purchasing things? I can't think of any.

Amway Saves Marriages?

 http://www.unhappyfranchisee.com/will-amway-make-you-annoying/comment-page-12/#comment-92192

■DoAsISay on January 8th, 2012 9:31 pm
I finally decided to search the web after being out of Amway now since February 2011. I was hesitant to do so because I had been told not to so many times by my uplines that there is negative on the internet even about Mother Teresa. That was the “line” that they used to trick me into not doing my research. I am a college graduate with a bachelors degree in accounting and I was taught to always research a company to learn more about them if you are going to be involved with them. Anyways, I am glad that I did because I now realize that I am not the only one who disagrees with Amway and their approaches to “the business”.

A little more background about my situation which I’m sure is not unique to many others who have been in Amway. My girlfriend and I were introduced to this business by a friend of my girlfriend and her husband. From the presentation that was shown to me I thought that it sounded VERY easy to do. I was told that I only needed 3 friends out of my 200 contacts in my phone to want to save money and make money at the same time. That was the first lie that I later found out. First of all, we didnt save any money. We threw away over $7000 and saw under $300 return. How exactly am I saving money? Secondly, IF, IF you get (trick) 3 friends to signed up, you have alot more work to do than that. Try 50 people and by the time u get 50 people involved, 48 of those will have quit once they finally realize that you took advantage of them and weren’t straight forward with them.

So Time went on and I hung around and observed the behaviors of people in Amway and how they talked. I said to myself, I want to be nothing like these people. They all sounded the same to me and it was just a little weird. Finally I realize that they have all been brainwashed how to think, how to spend their money, who they spend their time with, and how they spend their time. Amway with the help of the “EDUCATION” has completely taken control of the lives of many, many naive, weak minded, gullible, ignorant, or too trusting (you fill in the blank) individuals who worship their upline like they are God. Sure I thought it was cool that I knew a millionaire and got to hang out at his house and all, but Im not going to empty my bank account for anyone! How about this line…”You don’t make money FROM your friends when they get involved, Your making money WITH your friends”. WHAT?!? Last time I checked anyone you sponsor in the business, you collect their business volume from the stuff they buy and get a kickback from those purchases. I believe that’s called making money FROM your friends. They have another sneaky tactic that they use to conceal the truth. “You’re not making money from your friends, Amway is paying you for driving volume to their website. Ok, Yeah that’s still making money from your friends. Im not an idiot and your blender of words and phrases don’t have any effect on me.

Back to November 2010, I got married to my girlfriend I was in the business with and shortly after she became an Ambot as I’ve heard people refer to it. In February 2011, i had enough of it and decided to cut my loses and get out. My wife didn’t share the same thoughts and feelings though because she had been soaking in every last drop of the expensive “Education” we were receiving. Up until the point of me getting out of the business since I had known her, we NEVER had an argument. We were inseparable and much in love. That all changed as time progressed. We started disagreeing and this horrible person came out of her as I never seen before. She physically hit me on 3 occasions and we would fight, mostly her, as I like to be calm and collective. I rather reason things out by gathering the facts and explaining my perspective. Her reasoning went out the door with her mind because everything out of her mouth was something about the business.

I spent many nights home alone waiting for her to get back from those stupid waste of time meetings. Eventually in October I had enough. We got in another fight and she asked me to leave, so I did! Now supposedly when a woman says leave, that means dont leave in translation, but I took it at face value and left. We are currently separated and in the process of filing for a dissolution. I never thought Amway could destroy a marriage like that, but I’ve read so many sad stories where has done just that. Like I said, I’m sure my story isn’t a unique one, but I just wanted to share in hopes that I can TRULY HELP people steer clear of this plague. Not only will it empty your bank account, waste time you could be living your life and enjoying the company of family and true friends, it will destroy your relationships with the ones you love. These people that were in our business call themselves Christians, yet they can easily let a marriage be destroyed and not even flinch. Greed and lies are all I see in these people!

I would like to sit my wife down and show her some information so maybe, just maybe she will snap out of it, but I feel like she is so programmed at this point that I won’t be able to get her to read it. If anybody actually reads my entire story (I know its long) and has any advice on getting her out let me know. I got nothing to lose at this point since I’ve pretty much lost the love of my life.

The Reality?

 One of the things that keeps some Amway IBOs going is the "reality". What I mean by that is for some IBOs, once you have been in Amway for a while, it can be hard to quit. You were possibly recruited with dreams of lifelong residual income and walking on all of the exotic beaches of the world. Retiring young and spending that time with your wife and family, and Amway friends. To quit means an IBO would have to face the reality that these dreams will not come true, at least not with the Amway business. The fact is that the Amway opportunity probably would not have delivered those dreams anyway. Even a diamond more than likely cannot afford those dreams. In fact, I would estimate that most diamonds, if they flaunt some excessive lifestyle, are near broke or in heavy debt as a diamond income cannot sustain a jet set lifestyle, save for a founder's double diamond or something similar. 

I believe the prominent WWDB triple diamond bankruptcy (in 2009) shed a lot of light into the finances of an upper level diamond pin and it wasn't as impressive as I would have thought.  The income was far less that I would have even imagined for a triple diamond.   The tools and functions income was (about) half of this diamond's income.  There were no charitable contributions (AFAIK).  The total income (gross) wasn't nearly enough to buy mansions in cash and many of the other "trappings" that you would imagine the diamonds have.

The triple diamond who filed for chapter 7 bankruptcy made about half a million dollars annually from Amway. That's a great income and more than most people earn, but seriously, a half million dollars income is not going to allow you to buy mansions paid for in cash, or a fleet of sports cars. After paying taxes and business expenses, I'm not even sure someone with that kind of income even lives a worry free life of leisure. And we're talking about a triple diamond, not your average run of the mill regular diamonds who I would safely assume, earns much less than a triple diamond.

But what really is the harsh reality? It's working hard only to drift between 100 and 500 PV. It's finally sponsoring a new IBO only to have a downline quit. It's talking to people about Amway and getting laughed at or getting rejected. It's your upline or sponsor pushing you to do more. Possibly your upline is one who questions your manhood if you aren't working hard enough. It's your upline or sponsor reminding you that a winner doesn't miss functions, especially the major ones. It's staying up late for team meetings or night owls when you need a good night's rest to do your job the next day. It's driving the miles to show a plan, only to have your prospect not show up. It's having to be deceptive about what you are doing. It's skipping functions with family and friends so you can be core to the business.

As IBOs, do you see any of this? I saw some of this during my involvement. While I have not been an IBO in some years now, I still see many testimonies and comments by more current and even some active IBOs to indicate that a lot of this still goes on. While Amway defenders will deny it, I see no reason why any of this would have changed over the years since Amway has made no significant changes to stop abusive uplines. If Amway did make any changes, they are not immediately apparent and the continuous string of comments and testimonies do not confirm that any clean up has been done.

For active IBOs or prospects, these are the harsh realities that may be attached with the Amway opportunity. Much of it is because of motivational groups such as WWDB, but if you are seeing these traits in your group, ask the tough questions. If you happen to decide that the Amway opportunity is not for you, take heart! There are other ways to achieve your financial goals and dreams and there are more efficient ways out there. Sometimes, quitting something that isn't working is a wise business decisions and sometimes you can lose more by not quitting. Good luck in whatever you decide.

Funny Amway Quotes?

Some funny Amway quotes posted over the years.  What's interesting is that things don't seem to change much at all over the many years since I left the Amway business:

 

"Strictly speaking, all make money, regardless. Zero is a real quantity. So, making zero money is like making zero money for it is measurable. If zero were irrelevant, why does the decimal system make use of this quantity? Just as the digit one has its virtues so does zero. Hopefully though, you are looking at more than zero if you like to play with numbers. If you don't, zero is a perfect, neutral choice. But don't complain about it to others! It's your choice!"

"Plus people get annoyed because the Amway people they know try to recruit them and sell them things, taking advantage of personal relationships to build their business."

"just about anything they can peddle out the door to the sellers who purchase it at inflated prices who then make money when the people under them sell the junk to somebody else who has been swindled with the "dream" of SCAMway. It is a pyramid scheme but they get around that with a few legal manuvers. They hold these giant pay your own way in rallies that consist of a bunch of oversexed hair sprayed bozo's manipulating people with motivational speeches."

" So he comes over and, you guessed it, tried to sell us on amway, both buying the products and becoming one of his sales "associates". We pretty much asked him to leave as politely as we could. Yes, this really happened and yes, we complained to the school. Amway people are some of the most brainwashed cultish people I have ever talked to. Right up there with boshbots"

"Another guy saying the economy and stock market were going to collapse and our only hope for the future is Amway since 401Ks and IRAs will all become worthless. Most of the tapes were full of religious right bilge too. I dropped out after finding out how much money the DeVos family donates to Repugs."

"While all you broke losers are going to work I will be sleeping in. I will make sure that I hire you to clean my toliets. And don't worry I will make sure that you get good benefits"

"The thing is, is that the higher-ups don't make their money on selling products, they make their money on selling audio tapes to the newbies, and intermediates. You know, the kind that supposedly will help you "sell better" ect... Anywho, that's my experience. They're all really just creepy."

"Early 90s. Friend of mine keeps hinting about his new "business," and how I need to "get on board." He is very coy and will not tell me the name of the company. Wife and I spend next two hours telling him, "This sounds just like that Amway crap," proceed to tell him every horror story we know about Amway, and essentially grind the Amway name into the ground. He leaves and I run into his brother a few days later. His bro asks me, "So, has my brother tried to sell you that soap stuff?" "Soap stuff?", I ask. "Yeah. He's selling that Amway crap." Never heard a peep from my friend about his new "business" again."

"Just admit that you didn't have the 'balls ' to build this business.
I going to be retiring in the next 6 mths making $5000 a mth. So eat that crybabies!"

"Yes, I am! My first cheque was $ 7.85 and my second cheque in going to be more. Why? Leverage! I just signed up my first business partner as part of my up until now, a one man team. Besides, he has someone who wants to sign up too. That's exciting news! I change some of my buying habits and I help others build business by teaching them how to do the same."

"For your information buddy, my last check was $ 15.66. That is more than eight, don't you think? So yeah, you can pass by $ 15.66 too on your way to financial freedom for you are not stuck at $ 15.66 just because that's the top money one can possibly ever make!"

Success Speaks Volumes?

Sorry, I was on vacation and internet and wifi was so spotty that I couldn't post articles.  But back to work:  

 I heard a great comment from a commentator on a related Amway blog. Basically, he said if IBOs were so successful, people would just naturally be attracted. And that's true! Where I live, the local electric company is an attractive place to work with a good salary and benefits package. When there's a handful of openings, you might get as many as 6,000 people applying for these positions. When the federal government hires for the local post office, you get thousands of applicants for a handful of jobs as well.

But IBOs have to justify their positions. The common ones are how Amway products are concentrated, or they have magical ingredients in their vitamins. It is my position that if these products were so good and the opportunity actually produced successful IBOs, there would be no need to be deceptive about the products or opportunity. The products could easily me marketed. In fact, customers would be seeking IBOs to find the products and there would be lines of people waiting to see the opportunity. But that isn't the case. Clearly, Amway IBOs use some degree of deception usually called the curiosity approach or outright lies.

Instead, IBOs themselves are the primary consumers of Amway products. Many IBOs are deceptive when inviting people to see the Amway plan. Some prospects are outright lied to when recruited for the Amway opportunity. The curiosity approach is still used by many, because mentioning "Amway" is more likely to get you funny looks than interest. If what I am writing is not true, why do IBOs need to deceive people? Why don't some IBOs open their books and display the financial success they claim to have? Why so secretive? Why aren't there hordes of new diamonds and emeralds each month? Instead, you mainly hear of the Amway growth in foreign countries. Most likely because the Amway name and reputation has not yet been soiled as it has in the US and Canada.

In the US, I see primarily the same old diamonds who were in control of the functions and systems from more than 20 years ago. In fact, factoring in diamonds who quit or dropped out, I believe there are fewer diamonds now than when I was an IBO in the 1990s. Some of these diamonds also had some apparent financial difficulties. The opportunity is far from how it's promoted. Success speaks louder than words, and where North American Amway success is concerned, the silence is deafening!