One thing many IBOs will talk about is how they were told that they would have to work hard and that they would not get rich quick in the Amway business. That Amway was not a get rich quick scheme. I do believe this, but what many Amway IBOs and Amway enthusiasts will not mention is that somewhere in the plan or when they were recruited, they were either directly told or implied that they would eventually "get rich" by joining Amway, whether it was "quick" or not.
If people were told that they would not get rich/wealthy and that they would have to work hard and that they would have to overcome the name reputation, how many people would join? As evidence to prove my point, many IBOs and former IBOs know about a major function occuring around this time of the year called "Winter Conference" or "Dream Night". A handful of diamonds would host a dinner and they would show slideshows of extravagant wealth. Since in my days, IBOs were told there was NO PROFIT IN TOOLS, it was implied that all the luxurious trappings were a result of Amway income.
The slide show was shown while the song "I wanna be rich" was playing in the background. There were pictures of jet skis, yachts, boats, jets, fancy cars, golf courses and designer suits and mansions. The audience was told that diamonds paid for everything in cash. The diamonds would stand on stage and tell the audience that they will work 24/7 but it was so worth it to go diamond. That you could catch up on sleep when you are a diamond. That the IBOs in the audience needed to hurry up and join them so they would have more playmates.
Looking back, it was a nice function. It got people to dream of having all of this material wealth. Sadly, I don't think a single one of the audience I was in ever got close to achieving that kind of success. In fact, the LOS I was in, WWDB, didn't have many new diamonds since I left Amway and in fact I think some diamonds have disappeared! Maybe they became negative losers?
Yes, when you are prospected in Amway, the speaker may tell you that Amway is not
get rich quick.
What they don't tell you is that you probably won't become rich at all.
Thursday, December 9, 2010
Wednesday, December 8, 2010
Uplines Exploit Downlines?
Some big companies and some private entrepreneurs have been accused of being "sweat shop owners". This is when they exploit their workers. Often in foreign countries, big companies may hire workers for a very small wage and poor working conditions. For example, a foreign operation may have a warehouse full of women and children working all day under poor conditions for a few bucks a day. The owners of these operations can rake in the dough as they save a ton of money in labor costs.
Some uplines operate just like sweat shop owners, but in many cases, they are worse then sweat shop owners because even exploited workers earn something, even if it's not a lot. At the end of the month, they have a net gain, even if it might be small. In the case of many Amway IBOs, they spend money on Amway products, and uplines take the lion's share of the rebate/bonus that is generated by those sales, and then in turn, these same uplines try to get many of their downline to also become customers of their system of cds, books, voicemail and seminars or functions. In many, probably most cases, uplines will make just as much if not more income from the system, than from Amway. And for the downlines who may earn some bonus, upline will advise them to reinvest that bonus and more back into buying more system materials.
These same upline will also teach firece loyalty to the system. Never miss a function. Make sacrifices to buy more books or cds, and make sure you are always looking for people to sponsor to add to the system. Joining the system almost guarantees that you will suffer a net loss in the Amway business. It is why I continue to write about what IBOs and prospects should look for when they are being recruited or indoctrinated into these systems. It is why there are so many defenders of Amway, most of whom are losing money, but think they are still successful because it is what upline teaches. I have heard many times about the "proven system", but all the system has proven is that it can nearly guarantee that downline IBOs will lose monet, almost exclusively due to the system expenses.
I know most IBOs won't believe this, but I will say it anyway. IBOs on the system are probably worse off than sweat shop employees because they are paying their upline to do their work. At least sweat shop employees get a salary. Upline will teach you that it is an honor to drive them around, or to do tasks for them. Many platinums works as free doormen and ushers at meetings and functions. Upline benefits by maximizing profits from functions. It is pure downline exploitation and I hope eventually that more and more IBOs will recognize this. It's all cleverly planned to make it seem as if a downline IBO benefits by "associating" with upline. But you are not associating, you are simply doing unpaid labor. Stop and think for a minute, for all your time and expense, what tangible gain did your business realize?
Many uplines exploit their downline and at the same time, teach their downline that this is beneficial to them. Don't believe it!
Some uplines operate just like sweat shop owners, but in many cases, they are worse then sweat shop owners because even exploited workers earn something, even if it's not a lot. At the end of the month, they have a net gain, even if it might be small. In the case of many Amway IBOs, they spend money on Amway products, and uplines take the lion's share of the rebate/bonus that is generated by those sales, and then in turn, these same uplines try to get many of their downline to also become customers of their system of cds, books, voicemail and seminars or functions. In many, probably most cases, uplines will make just as much if not more income from the system, than from Amway. And for the downlines who may earn some bonus, upline will advise them to reinvest that bonus and more back into buying more system materials.
These same upline will also teach firece loyalty to the system. Never miss a function. Make sacrifices to buy more books or cds, and make sure you are always looking for people to sponsor to add to the system. Joining the system almost guarantees that you will suffer a net loss in the Amway business. It is why I continue to write about what IBOs and prospects should look for when they are being recruited or indoctrinated into these systems. It is why there are so many defenders of Amway, most of whom are losing money, but think they are still successful because it is what upline teaches. I have heard many times about the "proven system", but all the system has proven is that it can nearly guarantee that downline IBOs will lose monet, almost exclusively due to the system expenses.
I know most IBOs won't believe this, but I will say it anyway. IBOs on the system are probably worse off than sweat shop employees because they are paying their upline to do their work. At least sweat shop employees get a salary. Upline will teach you that it is an honor to drive them around, or to do tasks for them. Many platinums works as free doormen and ushers at meetings and functions. Upline benefits by maximizing profits from functions. It is pure downline exploitation and I hope eventually that more and more IBOs will recognize this. It's all cleverly planned to make it seem as if a downline IBO benefits by "associating" with upline. But you are not associating, you are simply doing unpaid labor. Stop and think for a minute, for all your time and expense, what tangible gain did your business realize?
Many uplines exploit their downline and at the same time, teach their downline that this is beneficial to them. Don't believe it!
Tuesday, December 7, 2010
Defending Amway?
I got into the Quixtar/Amway debate back in about 2004 or so. I've seen many Amway defenders and critics come and go. I have thought about quitting but somehow, some new injustice perpetuated by some upline leaders resurfaces and Joecool gains a renewed sense of dedication to exposing the truth about the opportunity and some of the unethical upline leaders. The purpose of this blog is to provide information to those who seek it, whether it be an IBO or a prospect. The information on this blog is from my personal experiences, the opinions I have formed about the business and the opinions and facts that I have gathered as an experienced blogger on the subject.
There's one particular visitor here from Scarborough Canada, basically a troll, who wants to defend Amway, but he is unable to defend Amway on the merits of the business so he results to personal insults and idle threats. Unknowingly, these kinds of Amway defenders make themselves and the business reputation worse as the audience here will often associate the bad manners with the Amway opportunity in general. I believe it is because when you debate on sound business principles and common sense, there is practically no way to defend Amway and the tools system as a sound business opportunity. The vast majority of IBOs end up with a net loss, and those who attend functions and buy other training materials often end up with massive losses in the tens of thousands of dollars.
A common defense of Amway is to show one individual who may have overcome the odds to succeed. What is not said is that this individual may have all his or her downline losing money, or that the success they enjoy was not sustainable due to the attrition of IBOs. Or they may portrat thay success as the best case scenario and not tell prospects about what is likely. There is no unbiased documentation to prove that the system has any effectiveness. It's amazing how one's opinion of the foolproof system changes within a few months. So many IBOs have visited my blog to fight and debate, only to sheepishily email me later to say I was right on many points and that they have since quit Amway. As I said, this blog is not encouraging anyone to quit, but to please be aware of your business expenses and to look at the facts, not ignore them.
A business exists to make money. Some uplines will tell you that you are a nicer person or a better father. That the business is not about money. They would be dead wrong. You joined the business, presumably to make money. If not then you have just joined a very expensive social club. For those who wish to defend Amway and the systems, that certainly is your right and this blog welcomes all opinions, even those that are not aligned with my own. But defend the business and the systems base on facts and results, not on anecdotal stories, best case scenarios and photocopies of someone else's checks. Then you have something to stand on. If not, as I said in a previous post, try getting a business loan by showing the loan officer a copy of Bill Britts bonus check as proof that the business works. Or try securing a loan by showing the bank the 6-4-2 plan.
Seriously, a good debate is great but lacking facts and common sense, the defense looks feeble. Good luck if you are seeking information and I hope this blog provides what you are seeking.
There's one particular visitor here from Scarborough Canada, basically a troll, who wants to defend Amway, but he is unable to defend Amway on the merits of the business so he results to personal insults and idle threats. Unknowingly, these kinds of Amway defenders make themselves and the business reputation worse as the audience here will often associate the bad manners with the Amway opportunity in general. I believe it is because when you debate on sound business principles and common sense, there is practically no way to defend Amway and the tools system as a sound business opportunity. The vast majority of IBOs end up with a net loss, and those who attend functions and buy other training materials often end up with massive losses in the tens of thousands of dollars.
A common defense of Amway is to show one individual who may have overcome the odds to succeed. What is not said is that this individual may have all his or her downline losing money, or that the success they enjoy was not sustainable due to the attrition of IBOs. Or they may portrat thay success as the best case scenario and not tell prospects about what is likely. There is no unbiased documentation to prove that the system has any effectiveness. It's amazing how one's opinion of the foolproof system changes within a few months. So many IBOs have visited my blog to fight and debate, only to sheepishily email me later to say I was right on many points and that they have since quit Amway. As I said, this blog is not encouraging anyone to quit, but to please be aware of your business expenses and to look at the facts, not ignore them.
A business exists to make money. Some uplines will tell you that you are a nicer person or a better father. That the business is not about money. They would be dead wrong. You joined the business, presumably to make money. If not then you have just joined a very expensive social club. For those who wish to defend Amway and the systems, that certainly is your right and this blog welcomes all opinions, even those that are not aligned with my own. But defend the business and the systems base on facts and results, not on anecdotal stories, best case scenarios and photocopies of someone else's checks. Then you have something to stand on. If not, as I said in a previous post, try getting a business loan by showing the loan officer a copy of Bill Britts bonus check as proof that the business works. Or try securing a loan by showing the bank the 6-4-2 plan.
Seriously, a good debate is great but lacking facts and common sense, the defense looks feeble. Good luck if you are seeking information and I hope this blog provides what you are seeking.
Monday, December 6, 2010
Dreams Fulfilled?
One of the things that uplines talk about is fulfilling dreams. They want to show IBOs and prospects "what is possible". But what is possible is like showing off the winners of lotteries because the reality of the Amway business is many will lose so a few can win. A simple analysis of the 6-4-2 plan or whatever version your group uses will reveal that the lower layers of IBOs are losing money, and they lose more if they are subscribing to various tools such as voicemail, standing order, and attending functions and meetings.
So whose dream are fulfilled? Based on projected income from Amway bonuses and income from selling the tools, I would have to say that only the dreams of your upline get fulfilled by your hardcore dedication to the tools system. Even someone at 1000 to 2500 PV will be losing money if they are hardcore sold out to the system. Of course some of this might depend on where you live and how far you must travel to attend functions. But in general, many IBOs are being advised to "reinvest" any of their bonuses into tools and functions. Ironically, reinvesting into the tools is why these IBOs end up with a net loss.
Another sad chain of events is that upline will ask for your trust. That they have your best interest at heart and want your trust. Do as they advise and you are assured of success. Then if you do everything you are told, your upline will blame you for failure or teach you to blame yourself for a lck of effort. Uplines as far as I know have never been accountable for advice that they pass downline. But they are quick to take credit for the limited success that is grinded out of the system. It is puzzling to see shameless apologists like IBOFB continue to defend and promote an opportunity where the vast majority end up with a net loss. In some cases where downline have sold out to the system, the losses can mount into tens of thousands of dollars over a short period of time.
Later this month and into next month, there will be a function called Dream Night. A function where you might see slide shows of mansions, yachts, sports cars, exclusive vacations and other trappings of wealth. The diamonds may say do as we say and you can have what we have. What goes unnnoticed in all this is that the diamonds may not in fact own or have some or all of the goodies shown in the slide shows. They might not have the incone you think. Some may have financial difficulties but one thing seems clear to me. That downline's dedication and tool purchases help the upline diamond's to fulfill their own dreams.
So whose dream are fulfilled? Based on projected income from Amway bonuses and income from selling the tools, I would have to say that only the dreams of your upline get fulfilled by your hardcore dedication to the tools system. Even someone at 1000 to 2500 PV will be losing money if they are hardcore sold out to the system. Of course some of this might depend on where you live and how far you must travel to attend functions. But in general, many IBOs are being advised to "reinvest" any of their bonuses into tools and functions. Ironically, reinvesting into the tools is why these IBOs end up with a net loss.
Another sad chain of events is that upline will ask for your trust. That they have your best interest at heart and want your trust. Do as they advise and you are assured of success. Then if you do everything you are told, your upline will blame you for failure or teach you to blame yourself for a lck of effort. Uplines as far as I know have never been accountable for advice that they pass downline. But they are quick to take credit for the limited success that is grinded out of the system. It is puzzling to see shameless apologists like IBOFB continue to defend and promote an opportunity where the vast majority end up with a net loss. In some cases where downline have sold out to the system, the losses can mount into tens of thousands of dollars over a short period of time.
Later this month and into next month, there will be a function called Dream Night. A function where you might see slide shows of mansions, yachts, sports cars, exclusive vacations and other trappings of wealth. The diamonds may say do as we say and you can have what we have. What goes unnnoticed in all this is that the diamonds may not in fact own or have some or all of the goodies shown in the slide shows. They might not have the incone you think. Some may have financial difficulties but one thing seems clear to me. That downline's dedication and tool purchases help the upline diamond's to fulfill their own dreams.
Saturday, December 4, 2010
My Upline Is Rich?
One of the things so many IBOs and others do is assume that their upline diamond is rich beyond belief. At meetings, the speaker would be introduced as being in the top one tenth of one percent income bracket. While it may or may not be true, nobody ever questioned it, they just assumed it because people saw pictures of mansions and copies of 5 year old bonus checks. Even I never went and studied how the diamond bonuses worked. Most people just assumed that the money would be huge at the diamond level. But looking back, I can recall some things that make me believe that the diamonds were cutting corners and needed their platinums working free in order to maximize profits.
The diamonds in our group often did not stay in hotels, but in the home of another diamond or some lucky downline platinum. The diamonds rarely rented a car. Instead, a downline platinum or higher would be lucky enough to be the unpaid and uncompensated chauffeur for the weekend. The platinums basically were the doormen and ushers at the functions and in many cases, probably didn't even get to hear the speakers since they were busy working. Their reward for their troubles was "spending time" with their uplines.
The downline are like unpaid volunteers. For example, ever see diamonds actually renting a moving van and hiring movers? I believe most of them had downline groupies who did the work for free, just for the honor of being near their upline. Just my opinion, but if these folks had mountains of cash, why wouldn't you hire movers so your downline didn't have to use up a valuable Saturday or Sunday to do that work? That's like having all of their stores closed. No products sold, no new recruits prospected. If Ray Kroc moved his residence, would all the nearby McDonald's owners close their stores to help him move?
Another things IBOs and prospects should note is that pictures of mansions, sports cars and jet skis doesn't mean someone is wealthy. Someone could have all those things on credit or rented afterall. And many people who truly are wealthy, do not show off their wealth. It is possible that many diamonds live mundane middle class lives on their income but need to portray wealth to lure in new IBOs. While your upline diamonds may act and look rich, how would you really know? I can take a homeless guy, clean him up an put him in a suit and a sportscar and he would probably look like a diamond.
If your uplines are implying that they are so wealthy ask them to verify some of the claims. I'm not talking about their personal income, but in business, verifying business income is very common. If you are being invited into the business and a business system such as WWDB, BWW or N21, you have every right to check your upline's credentials. Avoidance of the truth, or an answer such as "none of your business" should be a red flag. It is your business if you are being asked to join and follow upline advice.
The diamonds in our group often did not stay in hotels, but in the home of another diamond or some lucky downline platinum. The diamonds rarely rented a car. Instead, a downline platinum or higher would be lucky enough to be the unpaid and uncompensated chauffeur for the weekend. The platinums basically were the doormen and ushers at the functions and in many cases, probably didn't even get to hear the speakers since they were busy working. Their reward for their troubles was "spending time" with their uplines.
The downline are like unpaid volunteers. For example, ever see diamonds actually renting a moving van and hiring movers? I believe most of them had downline groupies who did the work for free, just for the honor of being near their upline. Just my opinion, but if these folks had mountains of cash, why wouldn't you hire movers so your downline didn't have to use up a valuable Saturday or Sunday to do that work? That's like having all of their stores closed. No products sold, no new recruits prospected. If Ray Kroc moved his residence, would all the nearby McDonald's owners close their stores to help him move?
Another things IBOs and prospects should note is that pictures of mansions, sports cars and jet skis doesn't mean someone is wealthy. Someone could have all those things on credit or rented afterall. And many people who truly are wealthy, do not show off their wealth. It is possible that many diamonds live mundane middle class lives on their income but need to portray wealth to lure in new IBOs. While your upline diamonds may act and look rich, how would you really know? I can take a homeless guy, clean him up an put him in a suit and a sportscar and he would probably look like a diamond.
If your uplines are implying that they are so wealthy ask them to verify some of the claims. I'm not talking about their personal income, but in business, verifying business income is very common. If you are being invited into the business and a business system such as WWDB, BWW or N21, you have every right to check your upline's credentials. Avoidance of the truth, or an answer such as "none of your business" should be a red flag. It is your business if you are being asked to join and follow upline advice.
Friday, December 3, 2010
The "System" Doesn't Work
Based on my experience in Amway, my blogging experience, and observation of other people who give financial advice such as real estate gurus who teach you to buy property with no money down, or others such as Robert Kiyosaki for that matter, all show testimonials of sucessful people. Obviously they do not show you the vast majority of people who try their systems and fail. I don't believe any of these systems have a bonafide unbiased record of success. It is why they all have disclaimers about success being rare or unique.
It is my informed opinion that whether it is Amway, WWDB, BWW, N21, real estate or the cashflow business, the vast majority of people who try these systems do not make any kind of significant income. Sure, some do, and those are shown as the possibilities. But if you watch infomercials, you will see in small print on the bottom of the screen, "unique experience", your results may vary. Your resurts are likely to be a loss. But they never tell you what's likely, only what's possible. I believe that a similar message used to be at the end of Amway diamond recordings as well.
These systems in general do not work for various reasons. Many people simply do not have the acumen to work the system. Or the system has too many variables for the system to work, or the system calls for things beyond your control. For example, success in Amway generally requires you to sponsor others, something that is beyond the control of most people. Add in the lazy and people who are hoping for a quick score and it is understandable that most will fail. But these systems are often set up where the majority simply cannot all succeed. Nowhere is that more true than the Amway business where the pyramidal compensation plan nearly guarantees failure for the lower level IBOs.
So what can someone do? Well, it may not be as sexy or attractive but a part time job and investing and saving might be something to think about. Even a part time business where you focus on selling products for a profit might work. It just seems prudent to avoid these "systems" as the primary beneficiary of these "systems" are the ones who directly profit from them. The IBOs simply supply the money for the tool sellers.
It is my informed opinion that whether it is Amway, WWDB, BWW, N21, real estate or the cashflow business, the vast majority of people who try these systems do not make any kind of significant income. Sure, some do, and those are shown as the possibilities. But if you watch infomercials, you will see in small print on the bottom of the screen, "unique experience", your results may vary. Your resurts are likely to be a loss. But they never tell you what's likely, only what's possible. I believe that a similar message used to be at the end of Amway diamond recordings as well.
These systems in general do not work for various reasons. Many people simply do not have the acumen to work the system. Or the system has too many variables for the system to work, or the system calls for things beyond your control. For example, success in Amway generally requires you to sponsor others, something that is beyond the control of most people. Add in the lazy and people who are hoping for a quick score and it is understandable that most will fail. But these systems are often set up where the majority simply cannot all succeed. Nowhere is that more true than the Amway business where the pyramidal compensation plan nearly guarantees failure for the lower level IBOs.
So what can someone do? Well, it may not be as sexy or attractive but a part time job and investing and saving might be something to think about. Even a part time business where you focus on selling products for a profit might work. It just seems prudent to avoid these "systems" as the primary beneficiary of these "systems" are the ones who directly profit from them. The IBOs simply supply the money for the tool sellers.
Wednesday, December 1, 2010
Do You Truly Believe?
In the past, and I believe still today, some leaders in motivational groups talk about faith and belief. Speak it into existence. Some of this is the mantra amongst IBOs who believe they are going diamond. Never mind that statistically, your chance of winning the lottery might be better than going diamond in Amway. In fact, I believe there have been more powerball lottery winners than new Amway diamonds in the US and Canada in recent years. But an honest question for IBOs, prospects, and Amway supporters. Do you truly believe that this business works and that you will succeed?
If you truly believe, would you feel confident walking into a bank and meeting a loan officer. Tell the loan officer that all you do is sponsor 6 who sponsor 4 who sponsor 2 and you will be a new platinum (silver). Then all you need is 6 of these groups and the money will roll in forever while you sit on a beach in the Bahamas while money rolls in by the barrelfull. And then ask the loan offier for a business loan. If you think this suggestion is crazy, maybe you don't truly believe in the business. Surely a loan officer would have some financial acumen and would be able to determine the viability of the business prior to approving a loan.
Would you feel comfortable talking to your doctor about joining Amway because a diamond makes much more income with less effort? How about a business professor at your local university? Surely someone with an established expertise in business would see the value of an Amway business and join your efforts? Or would the professor laugh you out of his office? Do you truly believe in what you do? If so, do you use the curiosity approach or are you straight up with prospects and invite them to an Amway meeting? If it's the latter and not the former, maybe your belief isn't that strong?
How hard do you work at building your business? If you truly believe that going diamond is the answer to all of life's challenges and problems, why aren't you building it and working on it as if your very life depended on it? Maybe your belief isn't what you think it is? Are you adding people to your downline every week or month? If not, maybe your belief isn't what you think it is?
If you have some doubts about what you are doing, then it is probably because you see IBOs coming and going. Maybe you see monthly losses in your business. Maybe you see people quitting the business regularly. Maybe you see the same old leaders on stage giving the same rah rah speeches. Maybe you see the logic and the common sense in most of the articles posted on this blog. My blog isn't here to make anyone quit Amway. My blog is to provide information to information seekers and to assist people in making informed decisions if they seek information prior to joining Amway and a motivational group such as WWDB or BWW.
Do you truly believe in what you're doing? Joecool truly believes in what he blogs about.
If you truly believe, would you feel confident walking into a bank and meeting a loan officer. Tell the loan officer that all you do is sponsor 6 who sponsor 4 who sponsor 2 and you will be a new platinum (silver). Then all you need is 6 of these groups and the money will roll in forever while you sit on a beach in the Bahamas while money rolls in by the barrelfull. And then ask the loan offier for a business loan. If you think this suggestion is crazy, maybe you don't truly believe in the business. Surely a loan officer would have some financial acumen and would be able to determine the viability of the business prior to approving a loan.
Would you feel comfortable talking to your doctor about joining Amway because a diamond makes much more income with less effort? How about a business professor at your local university? Surely someone with an established expertise in business would see the value of an Amway business and join your efforts? Or would the professor laugh you out of his office? Do you truly believe in what you do? If so, do you use the curiosity approach or are you straight up with prospects and invite them to an Amway meeting? If it's the latter and not the former, maybe your belief isn't that strong?
How hard do you work at building your business? If you truly believe that going diamond is the answer to all of life's challenges and problems, why aren't you building it and working on it as if your very life depended on it? Maybe your belief isn't what you think it is? Are you adding people to your downline every week or month? If not, maybe your belief isn't what you think it is?
If you have some doubts about what you are doing, then it is probably because you see IBOs coming and going. Maybe you see monthly losses in your business. Maybe you see people quitting the business regularly. Maybe you see the same old leaders on stage giving the same rah rah speeches. Maybe you see the logic and the common sense in most of the articles posted on this blog. My blog isn't here to make anyone quit Amway. My blog is to provide information to information seekers and to assist people in making informed decisions if they seek information prior to joining Amway and a motivational group such as WWDB or BWW.
Do you truly believe in what you're doing? Joecool truly believes in what he blogs about.
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