One of the myths that upline used to, and likely still perpetuates is the claim that you can build an Amway mega empire on 8-12 hours per week. I'm venturing an educated guess that this number is used because while it still represents time, it is probably less hours than working a part time job. But let's take a closer look at this 8-12 hours per week.
If you listen to one (1) cd per day as recommended by upline and read one of their "success" books 15 minutes each day, you already close to nine hours of time used and neither of these activities produces any income for your Amway business. In fact, both activities cost you money and produce no tangible result. If you spend another 15 minutes a day contacting people, you are close to 12 hours per week. Where will you find additional time to show the plan and to expand your name and contact list? What about servicing customers, at least for IBOs who actually may have some customers. And you also need to follow up with people you've contacted and/or shown the plan to.
What about attending meetings and functions? These are also non income producing activities. It's no wonder the vast majority of IBOs don't make money. Their upline has them running around participating in activities that produce no income for their businesses. Ironically, their non income producing activities such as listening to a cd, produces a lot of income for certain uplines who produce and sell them. To me, it is just an elaborate game of bait and switch played by upline. The worst waste of time and money is a function, especially if air travel is needed to get there. It takes you away from your business and it costs you a lot of money. Double damage!
You sell the prospect the dream of financial freedom. You tell that that Amway is their best chance. You tell them that you can help them and that the tools of the business (standing order, voicemail, books, functions) are the key to their success. Those who are serious enough to commit to the system likely won't quit without making some effort and will allow uplines to earn some nice profits before these downline eventually realize they aren't profitable and quit. Because many IBOs are sponsored by family and friends, you don't see too many formal complaints about the business. Most people chalk it up as a life lesson and do not complain.
But IBOs and information seekers, do not be fooled into thinking that you will create a financial empire by working 8-12 hours a week. What's happening and most IBOs don't see it, is that your upline diamond is creating their financial empire by your tool purchase and efforts of 8-12 hours a week. You as an IBO, are expendable.
Absolutely right, Joe, but here's the catch: Down-line IBOs may be ripped off and remain profitless when they first join Amway, but some of them have the attitude that if they manage to develop THEIR OWN down-line, they'll exploit those people in the same manner. It's what an Ambot said here some time back in reply to one of the posts: "Every up-line person was a down-line person once!"
ReplyDeleteSo the attitude is "Sure, I'm paying through the nose now as a lowly IBO. But if I'm persistent and develop my own down-line, they'll pay through the nose to me eventually!"
It's the same principle as in a daisy-chain: I'm getting fucked from behind, but I'll be fucking the person in front of me.
Yep, in Amway, whoever exploits the most people makes the most money.
DeleteJoe,
ReplyDeleteI really like this post, because I never thought to actually break down the time and always took it for granted. My sponsor used 10-15 hours a week which equates to virtually no difference, but I figured I would be precise with my figures.
Here was the break down of my supposed introduction to the business with my FED last October. On Friday, I finished my work shift and immediately drove two hours (traffic is a nightmare on Fridays in Southern California at 4pm) to the venue. I was there from approximately 6-11:30pm and then drove an hour and a half home. Hours spent including travel = 8, and money spent thus far was around $50 dollars for gas and food.
Saturday I woke up at 6:30 a.m. and left at 7:30 a.m. to make sure I arrived by 9 a.m. The morning session went until 3 or 4 p.m. I believe, and then we took a 3 hour break (however I am adding that to my time, because I was very far away from my house and I had to return to the night meeting). The night session continued from 6-7 p.m. until midnight (I was not invited to the after hours meeting for eagles and up), and then I drove home. Total hours involved that day was 13 hours, and approximate cost was $85 for gas and meals (I'm a pretty frugal person, and people were giving me snacks which helped).
Sunday I woke up at 7:30 a.m. and left my house at 8:30 a.m. I arrived at the venue at 10 a.m. The morning session ended at 12 p.m. I believe and there was another 3 hour break (again I am adding the time because I was unable to do anything else and had to return). The meeting then continued from 3 p.m. until 11 p.m. and then I had to drive home. Total time spent 11 hours, and approximate cost $85 for gas and food again.
Total time spent for the 3 days travelling and attending meetings was 32 hours, and my very reasonably estimated costs were $220 (Again I'm a frugal person and I didn't pay for tickets...my assumption is many people paid over a thousand with travel, lodging, food and tickets).
My net gains at the end of this experience were, learning about the diamond's lifestyles and to keep dreaming. Learning how to operate on extremely limited amounts of sleep for extended periods of time. Learning not to listen to high ranking members about relationship advice (Emerald told me Amway should come before my fiance).
My net losses were -$220 for the weekend. 32 hours of my life spent at this experience for a supposed part time job learning experience. No substantial information given to operate and generate revenue for the business.
Ben, I live in Hawaii and 4 times each year, there was a "major" function. For the leadership function, family reunion function and FED, we had to fly to California or to Portland for functions. When you add in airfare, rental cars, hotels and food, these were $1200 weekends and many hours away from home and my business. We also had smaller regional functions when there was no major function. Add up all the time and you're spending probably 24 hours per week or more on non income producing business activities.
DeleteWhile it may seem funny, you are literally better off trying to sell Amway products door to door. At least that is an income producing activity.
Yes, Joe -- absolutely on target. If Amway were simply about retailing Amway products, it would be a defensible (and maybe profitable) business enterprise.
DeleteBut the big pins in Amway smile with contempt when you talk about selling products to the general public. They know that Amway is really about the Amway "Plan," not the Amway products.
The real business is in selling books, cds, functions and other materials. The profit margin is higher than on Amway products and the people sharing in the profits are only the emeralds and higher.
DeleteThey don't have to sell it to the public, that is because IBO's themselves are the end consumers of their products.
DeleteAgreed. I'm pretty certain, although I can't prove it, that 80% of sales are to the IBOs. There may be a few actual customers and the rest is sold to family and friends who feel sorry of the IBOs.
DeleteYour upline will show you "the Plan" but in the back, they will do anything to slow you down from reaching the goals of "the Plan" because if you climb the ladder of "the Plan" eventually you will receive a share in the profit of tools which your upline doesn't like: profit sharing.
ReplyDeleteYes for that very reason, I believe the diamonds are perfectly happy with people churning in and out because if more people went diamond, there is another person sharing in the function and tools income.
DeleteExcellent point, Anonymous 9:06!
ReplyDelete