Amway Doesn't Work?

Breakdown of CORE and why it doesn’t work. Here are the CORE steps. Some groups may have variations of CORE, but this is generally what many groups use. CORE is what many Amway leaders swear is the key to success, but the results prove otherwise:

1 - Show the Plan (10-15 per month)
2 - Retail the Products (10 customers @10 PV each)
3 – Tapes/cds
4 - Books
5 - Functions (attend all)
6 - Accountability
7 - Counsel with Upline (Be teachable!)
8 - Buy 100% of your own products
9 – Communikate

Many upline will tell you that your success is nearly 100% guaranteed if you follow these steps for 2-5 years. Some Amway enthusiasts will tell you that 6 months of this activity will nearly assure you of a platinum level business. Certain steps are within the IBO’s control, such as reading every day and listening to cds, and attending functions. It is also easy enough to be accountable, counsel with upline, buy your own products, and use KATE (voicemail).

Here’s where an IBO’s efforts will break down. Showing the plan and retailing products. And remember, if you cannot do these steps then you are not considered “CORE” and your upline will likely tell you that it is your own fault and that you simply haven’t been CORE, therefore you did not achieve success. There is some truth in this but let me expose the system in a different angle.

Amway has a crappy reputation in the US. I don’t think anyone can dispute this fact. Therefore, for the vast majority of people, being able to show the plan 10-15 times per month is a nearly impossible task. If you are able to do this, you are a really good salesman or a good liar. In this scenario, the IBO is already successful, but not because of CORE, but simply because the IBO has the gift of being able to convince people into seeing the plan. But for many IBOs, they may contact hundreds of people and not be able to get anyone to see the plan. Even IBOs who follow upline advice on how to contact will probably not be able to show 10-15 plans per month. Thus this IBO, who is doing the work, will not be able to succeed. The system will blame the IBO, but the reality is that the IBO has too big of a disadvantage to overcome.

Secondly, with high prices (on average) and with a spotty reputation, most IBOs are unable to retail products. Amway itself has admitted that less than 4% of Amway products are sold to customers (non IBOs). Thus most IBOs are unable to sell products, therefore they are not CORE, therefore upline will blame the IBO for failure..

What if an IBO contacts 1000 people and cannot get 10 people to see the plan? Upline will claim that IBO is not CORE and therefore it is personal failure of the IBO. IMO, the only reason why upline can claim that CORE works is because in order to do the CORE steps consistently, you have to already be at a certain level of success. The vast majority of IBOs cannot and will never be able to reach that level.

That is the myth and the deception that many uplines will use to attract recruits. That each IBO can do the CORE steps. When only a fraction of 1% ever reach the level of platinum or higher, the numbers strongly support what is written here. Apologists are welcome to try and prove me wrong, but they can't. :D

No Losers In Amway?

One of the things that my upline taught, and I believe is still taught today in various groups is that winners join Amway and losers do not. Or that you were a winner because you were doing something to better your financial future and those who didn't were losers. or broke minded. Of course the upline who said this had no knowledge about those who were not in Amway. Some of them may already have been financially sound or may have been doing something to better their financial future. I'm not sure why these uplines, who promote "positive", had to resort to calling people losers simpy because they did not agree that Amway was the greatest thing since sliced bread.

In many games or sporting events, there will be someone or a team that wins the game and someone or a team that loses the game. Losing a game doesn't make you a loser and certainly, a team that wins the game would not say the losing team were losers. Can you imagine a pro football team's coach taking the podium after a game and saying his team won because the other team was a bunch or broke minded gutless losers? That would never happen, yet we see that frequently in the Amway/IBO world. The owner of Amway, Rich DeVos had once said in a recorded message that just because people do not agree with you (paraphrased) about Amway, does not make them losers and that IBOs should not call people losers.

In all of this, people's jobs are also criticized. That a job stand for "just over broke" or "jackass of the boss" and other blurbs. Many IBO's goals and dreams consist of ditching their job so they can sleep all day and live a life of luxury. Ironically, it is most IBO's jobs that continue to produce income so they can pay their bills and feed their family. It is also an IBO's job that funds their Amway and AMO expenses such as product purchases and functions and voicemail, etc. Without having a job, most people could not even join Amway or pay for any tools. Sadly, most IBOs won't make any money in Amway either, and will have to continue to work at their jobs. I do not believe that someone earning an honest living working a job is a loser. Ironically, the folks calling people losers are often not even netting a profit from their Amway business!

Yes, in this business or the sports world, there will be winners and there will be losers. The question is whether you are the one who is allowed to be the judge of who is and who isn't. I would also suggest that IBOs are completely shutting down potential future business by their behavior. What if I went to a store to purchase something but the item was not available on that particular day, so I don't purchase anything and leave. As I leave, the store owner says I am a loser for not buying something there. Will I go back? Very unlikely. If an IBO truly sees themselves as a store owner, all prospects should be seen as potential business, whether future or present. If your upline tells you that people not interested are losers, you should hand him a mirror.

Information For Amway Prospects?

When I was an IBO, my upline used to advise us to recruit people who had a financial need or young people who were open minded as they may not have preconceived ideas about Amway. When I was recruited, I was not where I wanted to be financially as I was in my 20's when I first got recruited by my sponsor. I believe that this is still common practice today, to look for people who are in need and then offer Amway as a solution. Sadly, Amway and the tools systems will more likely become a problem than a solution for the vast majority who try.

In my opinion, this is why some people defend Amway so fiercely. They accept Amway as their solution for long term financial stability and to admit that they were in error is difficult as it would not only expose the error, but would leave the IBO as not having that "hope" of long term financial freedom. It's hard to admit you got fooled or scammed and some people will dig in and press on, hoping that success will eventually come. Hope is a powerful thing after all. However, for most, it is false hope that is pitched in recruitment meetings and functions.

Many prospects see big dreams when the diamonds parade on stage with designer suits and talk about waking up at noon and enjoying a lifestyle chock full of luxuries. It's almost like dreaming about hitting it big in Las Vegas or winning the lottery. I can't fault prospects for wanting some of these things. I know I certainly had some of these same dreams when I was an IBO. The problem is that Amway is highly unlikely to be the vehicle that delivers these dreams. For most, a second job along with saving and investing will bring more long term success. The problem is that people don't like to wait for the long term and Amway is presented as a short cut to success.

The sad reality is that some (maybe most) diamonds are simply putting on a show, like a illusionist or a magician. Diamonds may indeed earn a six figure income, but after taxes and other expenses such as medical insurance, a diamond is very likely to live a very middle class lifestyle. Now I'm fairly sure that a crown ambassador type may have a million dollar income, but these Amway crowns are very rare, and the ones who exist have been in the business for a long time. There is not much chance of any new IBO coming in and achieving that level. In fact as time rolls on, it seems that more diamonds drop out due to divorce, better MLM opportunities or simply quit. It is apparent that long term residual income is a myth. Why do crowns seemingly keep working (or die on the job) if they could "walk away" and live a life of luxury with no worries?

Amway reports that the average IBO earns $202 a month. I believe that number is also questionable as "most" IBOs (as shown in 6-4-2) actually earn more like $9 or $10 a month. Is this what you are signing up for? Don't forget about the ongoing expenses for tools and functions which results in net losses for most who get involved.

Amway prospects can benefit by knowing this before signing up.

Your Amway Upline - A Wolf In Disguise?

The really insidious part about some of the Amway 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 much of the same teachings today, that I heard as an IBO and some of the same claims such as buying homes in cash, Amway saves marriages, etc. 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 crossline IBOs rearranging pre-planned anniverssary 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 seperate standing orders. Brad Duncen 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 crossline 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.

Comparing Amway To College?

Many IBOs justify their involvement in the system of cds, tapes, books and seminars by comparing it to college. They claim they need this education and that it is much cheaper when compared to a college or university. Of course this is the upline propaganda that IBOs are fed, much like the concept that a job is a bad idea. In fact, the Amway leaders want to make you dislike your job so that you will see the Amway business as the only solution.

In college, it is true that not everyone graduates, but approximately half of those who start college end up graduating. Those who do not graduate still benefit from their education on a year to year or course by course basis. When you are job seeking, a college degree will give you more options than those who don't educate. This claim cannot be made by Amway IBOs. The education an IBO receives by seminars and cds do not even equate to success in Amway, much less in other venues in life. Only a small fraction of IBOs ever reach platinum, which supposedly is the break even point. So as an IBO, you have less than one half of a one percent chance to break even as compared to approximately a 50% chance of graduating college. It is also well documented that college graduates on average, earn more income than people who skip college.

Also, once you graduate and receive your degree/diploma, it is complete. Sure, you may still learn things and continue to read books and other mind stimulation materials, but these are by your choice and not because you need to keep educating yourself as if you are still in a college curriculum. In Amway, there are many many many examples of people who reached levels as high as diamond or above who could not maintain the level. There are also many examlpes of diamonds who quit Amway. If there were such a thing as "residual" income, why would anyone quit when they could sit back and watch the cash roll in. I think the answer is quite obvious.

There is also no real evidence (as far as I know) that your Amway related education of cds and seminars actually work. The tiny fraction of 1% of successful IBOs is not a good case for arguing the success of the system. Colleges on the other hand, have accreditation standards, which is nothing like the ineffective Amway accreditation of groups such as BWW, WWDB or Network 21.

The fact that IBOs even dare to compare a college education to their teaching in Amway is a joke. Try telling a prospective employer about your Amway education and see what that gets you. LOL

Returning Products That Don't Work?

When I was recruited into Amway, one of the catch phrases was that you are now a business owner. It sounds cool to be a business owner, but in reality, it appears that IBOs are simply salesmen for Amway who are afforded no guaranteed wage or any fringe benefits. In fact, many Amway salesmen do Amway a favor and go out recruiting other salesmen for Amway without any compensation. It makes sense though, because to attain levels of significance, you need to have downline. While it is possible (but nearly impossible) to reach platinum and even ruby without downline, any levels higher will require you to have downline.

So as an Amway salesman, you have no minimum sales requirement. That may seem like a good thing but many uplines will impose a defacto 100 PV requirement for "serious" IBOs. If you are planning to sponsor someone, your upline will likely tell you that your donwline will duplicate your efforts, therefore the 100 PV "requirement". 100 PV will cost about $300. While it is possible to sell some products, it would seem that most IBOs simply buy their own goods and do not sell to non IBOs. It's puzzling to me that so many IBOs argue about Amway's superior quality of products, yet so few former IBOs continue to use Amway products at all once they are not IBOs and even those that do, would rarely ever attain 100 PV. So much for that argument.

What many IBOs do not realize is that their upline diamonds are also salesmen. In addition to moving Amway volume, they will be selling you voicemail, standing orders, premiere club, functions, book of the month. All of these materials brings in a higher profit margin than Amway products. Thus it would only make sense that your upline salesmen would want to sell tools more than Amway products because it has more profit. Where this gets shady is when your upline tells you that they have your best interest at heart or that you virtually cannot succeed without these tools. Imagine your reaction if a vacuum cleaner salesman told you that he has your best interest at heart and that you cannot possibly clean your home without his vacuum. In an odd way, that is exactly what is happening when you purchase tools from upline. What's even worse is that the tools rarely ever work out for the IBOs who buy them. What if you bought a vacuum that didn't work? You would return it for a refund. What if the salesman said you can't return it because you used it?

I find it odd that IBOs accept this BS from upline. That you can only return unused tools. You should be able to return a product because it didn't work! Did that standing order actually help you to sponsor new people? Did you sell more products because you attended a function? Whether a tool is used or unused should not matter. You should be able to get a full refund if the tools didn't work. If not, IBOs who cannot return tools should complain to Amway and the better business bureau, and file formal complaints. Many IBOs simply quit and walk away, giving the tool sellers a break. If the tools don't work, you should return them on that basis and demand a refund. I challenge IBOs and former IBOs to do this.

Making Millions In Amway?

I was sponsored into Amway by a good friend back in the 1990's. My friend had gone "direct" at the time so he recruited me by saying that going direct was "easy" and that he could easily show me how to do it. I had been recruited by an Amway IBO before and it was not a good experience where I was lied to in order to get me to "see the plan". I was in college and a friend had invited me to a "beer bust". I attended the meeting wearing a T-shirt and jeans only to arrive to see people wearing suits and ties and I was thinking WTH? My friend who invited me assured me that we would down some beer after the meeting. I was mad even though I stayed for the meeting.

I didn't join and my friend eventually told me that he may not be able to hang out with me in the future because he would be rich and may not have time to hang out anymore. I went home a bit mad and spoke to my friend who I came with. We talked about whether money could be made in Amway and decided that the Amway opportunity was likely saturated so we decided not to join.

Fast forward to the 1990's and a friend of mine has gone "direct". I didn't really know exactly what that was but I knew that the term "direct" meant you accomplished a significant level in Amway. I decided to join and see if my friend could deliver on his promise that he could show me how to go direct. I should have taken it as a red flag when I asked him about his Amway income and he told me it was none of my business. But he smoothed that over by assuring me that we would both be "Millionaires" traveling the world together in the future.

I worked really hard and managed to sponsor 12 frontline legs in about 7-8 months and I was climbing the Amway ladder. I was considered a "mover and shaker" so I got exclusive time with the upline Diamond. I even got to attend special meetings and house "plans" with the diamond.

The ironic part of thei story is that I purchased a home in about the year 2000 and I made the purchase for about $300K. My real estate agent also knows my Amway sponsor and contacted him about purchasing a home on Oahu (Hawaii). My former sponsor told the agent that he would only buy a home in cash (Amway/WWDB teaching). Fast forward to 2017 and my $300K home is worth nearly one million dollars so my home equity alone nearly makes my net worth a million dollars. When you add in my cash savings and investments, I am worth about 1.3 million. Sure, nothing to brag about and it's still not a life of luxury, but my former sponsor from Amway who is a physician is still renting a home and is nowhere close to retiring. I will be retired soon, with enough cash to live comfortably which includes frequent travel other luxuries.

While I may not be a diamond living the "diamond" lifestyle you see at functions on a slide show, I suspect that I'll be better off that some of the diamonds who live "bouts check to bonus check" trying to portray a lifestyle of "keeping up with the Joneses". Diamonds portray an excessive lifestyle of wealth but I suspect that many of them cannot afford the lifestyle they portray. There have been "factoids" that support my claims. The fact that a triple diamond in WWDB declared chapter 7 bankruptcy and another diamond had a home foreclosed (diamonds pay cash for everything?) shows that diamonds may not be as financially free as they claim.

So who's making millions in Amway? IMO, they folks selling CDs, voicemail, functions and books.