Recently, I've gotten this question posed to me via email quite a bit recently. My contact information is on this blog and some information seekers have asked whether I think they should join Amway or not. Unfortunately, I cannot answer this question for anyone. What I can do however, is provide information and share my personal experience so anyone considering the Amway business can make a fully informed decision.
Here's a few suggestions I would make to prospective Amway IBOs. Obtain an Amway product catalog or g to www.amway.com and look at their product line and pricing. Ask yourself if you would honestly use these products as a customer if you were not going to be involved in Amway. Try asking a few friends or relative if they would be interested in these same products for the quoted prices. What I found was that Amway products are generally not priced competitively and I could usually get more product at a cheaper price shopping at local retail stores instead of Amway.
I would also try to truly understand how the bonus schedule works and the costs associated with it. For example, your lowest bonus level would be 100 PV. 100 PV is roughly $300 in personal use and/or retail sales. Does a married couple typically spend that much each month on toothpaste, household cleaners and laundry detergent? For me, the answer is "no". Imagine being single and expected to go through that dollar amount of products.
You should also be fully aware of how much it will cost to be an independent business owner, or "IBO". For example, your upline or "mentor" will expect you to read books, listen to cds, subscribe to a voicemail system, and attend meetings and functions. These "tools" have a cost and it will typically cost about $200 or more for someone to be involved with Amway and to get "training". What many prospects are not aware of is your sponsor is supposed to train you at no charge, because they get to leverage any volume you produce. What many people also don't know is that upline and your "mentors" often earn significant incomes from selling these tools and that they make large profits, regardless of whether you make any profit and they profit even if you go bankrupt. There is also no unbiased evidence that the training is effective in producing results for you.
As an IBO, you are restricted by Amway's rules, which can inhibit sales. For example, you are not allowed to advertise your business or products unless you can specific approval from the Amway corporation. You are not allowed to sell products on ebay or craigslist so you have that handicap. Basically, you act as a commission only sales person for Amway whose only recourse is to sell products by word of mouth, typically to family and friends (ever see anyone get wealthy doing this?).
Lastly, if you do join and you move 100 PV, and participated in all the training, you will spend (approximately) $500 a month minimum, less any retails sales you are able to generate, and you will get about $10 from Amway. That $10 is compensation for all the time and effort needed to move that product volume. Typically, you will spend about 10-20 hours a week in your Amway business if you are even halfway serious. Conversely, you could get a 1% cash back credit card and earn $5 for doing nothing other than spending about the same amount that you did on Amway related goods, but with a cash back card, you likely spent very little of your time.
I could go on and on, but I've presented a few points about Amway that I believe will allow most people to make an honest and informed decision about the business. My contact information is on my profile for this blog if anyway has additional questions or thoughts about the Amway business. In the end, it is still ultimately your decision on whether to join or not.
16 comments:
First off, to your point on pricing, what are you asking? That the company hand you the lowest priced product in the marketplace and then PAY you to sell it? Who needs to do that?
The expectation is that you SELL the product. Sell is an active verb.
The reason there is an investment on your part in the training is to make sure that you are committed. They are trying to establish some bare minimum level of commitment on the part of its reps. Otherwise it is a waste of THEIR time and money.
In terms of advertising product, do you know that Amway would turn you down? Why should the cede control of their brand and brand image to any advertisement a rep wants to put forth? What if every McDonald's franchisee were permitted to do whatever they wanted?
Of course you cannot sell on Ebay and Craigslist. How do you divide up a national sales territory among reps? Why should they allow you to devalue their brand by placing it alongside a popurri of junk?
They expect you to spend 10-20 hours a week selling their product? Wow, taskmasters. Again, this isn't a free ride.
In essence, I think you answered the question. If people are not serious about SELLING this business, presenting and marketing the products to perspective clients, but instead expecting some kind of free ride then NO they shouldn't sign-up with Amway.
Ken, Amway is a lousy business opportunity. They have too many business inhibiting rules. Why are Amway distributors called "Independent Business Owners" when they are anything but independent?
Amway's prices are not competitive with retailers. That's another handicap that an Amway IBO has.
Why can't the distributors sell on ebay or craigslist? Why should Amway care how you move product? They apparently don't mind people lying and cheating others in the name of Amway. That's why their reputation is in the toilet.
If anyone is good at sales, you can make a lot more money doing something other than Amway.
To Ken Everett --
If you buy a product (from Amway or any other concern) it's YOURS. Period. You have the legal right to do whatever you want with it, including selling it to somebody else on E-bay. Got that, Kenny? Does Ford have the right to prevent me from selling a Ford car that I own, if I choose to do so?
Also, you have neatly avoided the main point: AMWAY PRODUCTS SIMPLY DON'T SELL. Most are self-consumed by IBOs.
That's not a real business. That's a make-believe business.
This is where people make me laugh in the aspect of everyone thinking they know a buinsess that they honestly have no clue about! Its like any other job you don't just go into the interview expecting the job to be handed over to you ?! You must have a profile or ethic that even get considered. And even when people get through the cracks and end up just not being productive for the company what happens they get fired and left with out income ... Same thing in this buisness we can't blame it all on the company when the people are the ones giving it the stigma it holds. Ive known and done amway for quite ahwile and it has given my family the time and money we need to not only live a life with value but influence others to do so as well. Sales is the last thing we think about so thats how i know most of you really dont know amway . Do not blame a company for YOUR faliures...
"Sales is the last thing we think about"
That sounds like you're running an illegal product pyramid.
To Unknown @ 5:25 PM --
If you are unconcerned with sales, where the hell is your money coming from? Could you please explain that, without any Amway jargon about "pro-suming" or "multi-level marketing" or the rest of the phony bullshit?
"thats not a real business. That's a make-believe business"
Hmm...having over 100 Amway locations around the world, employing thousands of Employees around the world (not to mention the tens of thousands of IBO's around the globe), and generating BILLIONS (...yes..with a "B") of dollars in revenue and putting that back into the Michigan community as well as others around the world...
Yep, definitely a make-believe business...
You probably got all your information from Blogs like this or off Wikipedia. Don't give out a useless opinion about a business in which you know nothing about.
Ken said, "First off, to your point on pricing, what are you asking? That the company hand you the lowest priced product in the marketplace and then PAY you to sell it? Who needs to do that?"
Uh...what??? Every business has sales persons, and the price of the product is dictated by the conditions of the market. Whether you are the highest priced, or the lowest priced there are always people paying others to sell their products. Your statement makes absolutely no sense.
Ken said, "The expectation is that you SELL the product. Sell is an active verb."
You should tell that to your flunky counterpart "Unknown" who said, "Sales is the last thing we think about so thats how i know most of you really dont know amway ."
Will the real Amwayer please stand up!?
These two comments being so close together is proof the Amway concept is a failure. Even the members don't actually understand what is going on, because it is all a ruse hidden by two-bit criminals that will say anything to con and get an extra buck.
Ken said, "The reason there is an investment on your part in the training is to make sure that you are committed. They are trying to establish some bare minimum level of commitment on the part of its reps. Otherwise it is a waste of THEIR time and money."
No, no, no Ken! The reason there is an "Investment" (I disagree with the use of that term), is to take dollars from their downlines and put it in their pockets. A waste of their time and money??? They never pay for anything...It all comes from their downlines pockets therefore this statement, also, makes absolutely no sense.
Ken said, "In terms of advertising product, do you know that Amway would turn you down?"
Yes, we know. They have done a good job of reinforcing that statement.
Ken said, "Why should the cede control of their brand and brand image to any advertisement a rep wants to put forth? What if every McDonald's franchisee were permitted to do whatever they wanted?"
First of all, Amway's "Brand" and "Brand Image" is horrible. This question is postulated on the idea that "Reps" (that doesn't sound like business owners) actually have autonomy, which they most certainly don't, so this question is a waste of time.
Let's leave comparisons to McDonald's out of this. There is nothing similar between the two organizations as one is a blue chip company and the other is a "Criminogenic Syndicate" (a la David Brear).
Ken said, "Of course you cannot sell on Ebay and Craigslist. How do you divide up a national sales territory among reps? Why should they allow you to devalue their brand by placing it alongside a popurri of junk?"
What!? There are so many wrong things with this.
1. eBay and Craigslist are not the only avenues for online selling, and they are great for ACTUAL salespersons. There is no brand damage by selling through those platforms.
2. Since when did Amway split up "Territories"? Amway is more like a virus that tries to spread as fast and as widely as possible. The last thing Amway has ever done is say people can't go after certain parts of the market by area.
3. "Potpourri [sic] of junk" has to be one of the most misleading but beautifully crafted BS statements I've ever heard. Kudos to you for thinking that one up, but also screw you for suggesting that those platforms only have stuff equivalent to couches at a dumpster. That is wildly inaccurate.
Ken said, "They expect you to spend 10-20 hours a week selling their product? Wow, taskmasters. Again, this isn't a free ride."
Ken, I have debunked this statement previously in this post (http://themlmsyndrome.blogspot.com/2016/11/mlm-and-hours-of-operation.html). Feel free to read about it in your free time.
Ken said, "In essence, I think you answered the question. If people are not serious about SELLING this business, presenting and marketing the products to perspective clients, but instead expecting some kind of free ride then NO they shouldn't sign-up with Amway."
Oh my! Look at that quick change! Ken jumped from selling a "Product" to selling the "Business"! The truth finally comes out! Nobody cares about the Amway products, so we'll blow past the second part of that sentence. This is about "SELLING the business" via love bombing, dream weaving, and of course an Amwayers favorite, LYING! Thanks Ken for confirming you are the same as the rest!
Unknown said, "This is where people make me laugh in the aspect of everyone thinking they know a buinsess that they honestly have no clue about!"
Instead of saying, "We don't have a clue", tell us what we don't understand! Why does every Amwayer/MLMer do this!? It is the weakest form of argument by simply saying, "You're wrong" without addressing how the person is wrong.
Unknown said, "Its like any other job you don't just go into the interview expecting the job to be handed over to you ?!"
What?! Have you actually seen someone get rejected from Amway? If you are attempting to be a member of Amway and you have money to burn, then you have met their qualifications.
Unknown said, "And even when people get through the cracks and end up just not being productive for the company what happens they get fired and left with out income ..."
Again, I have never seen anyone get "Fired" from Amway (Except the diamonds that challenged them), and I would hardly qualify them as the unsuccessful people "Getting through the cracks". What Amwayers are you talking about?
Unknown said, "Same thing in this buisness we can't blame it all on the company when the people are the ones giving it the stigma it holds."
When the failure rate is above 99% (According to Brad Duncan and Amway disclosures), then yes we can blame it on the business. Also, that is the reason the "Stigma" comes to be, but the people definitely don't help their garbage image.
Unknown said, "Ive known and done amway for quite ahwile and it has given my family the time and money we need to not only live a life with value but influence others to do so as well."
Uh huh, and that is why you are reading and posting on an anti-Amway blog. You clearly are super successful and couldn't possibly care about, or waste your time with, the yuppies out there claiming your "business" is a fraud. Thank goodness English isn't a credential for Amway.
Unknown said, "Sales is the last thing we think about so thats how i know most of you really dont know amway . Do not blame a company for YOUR faliures..."
WOW! You are in the business of selling products! How can you say such a dumb thing? YOU clearly don't know Amway or the FTC rules on MLM. I can most certainly blame the company for having idiots like you working for them!
Anonymous at 11:20 said,
"Hmm...having over 100 Amway locations around the world, employing thousands of Employees around the world (not to mention the tens of thousands of IBO's around the globe), and generating BILLIONS (...yes..with a "B") of dollars in revenue and putting that back into the Michigan community as well as others around the world..."
What does that have anything to do with being legitimate? There is nothing stated by the FTC that suggests making a certain amount of money or employing a certain amount of people makes you legitimate.
The mob used to make millions of dollars and had hundreds of "employees" that covered trade across the country and out of the country. Utilizing your criteria, it sounds like the mob should have been considered legitimate.
Bernie Madoff made billions "(...yes..with a "B") in his ponzi and was operating for decades. He had connections around the globe in the securities industry and he did lots of philanthropy. Again, utilizing your criteria, it sounds like Madoff should have been considered legitimate.
Anonymous said, "Don't give out a useless opinion about a business in which you know nothing about."
This is a great statement that applies well to yourself! You should probably take some time to read the FTC's opinion about MLM as well as Edith Ramirez's review of Herbalife. It would be...enlightening.
Function tickets cost $350.00 for two people to listen to a scammer. Travel cost round trip around $200.00 for gasoline to san diego for family reunion and back to vegas. Food for 3 days will run about $100.00 if we refuse to eat ramen noodles suggested by our douche bag wife of the upline scammer and eat pb n j and the over priced health bars.. Oh dont forget Ditto around $500.00 . Standing order and membership fees around $75.00, oh voice mail to listen to scamming upline around $36.00 from KATE voice mail . Oh if I did not have my own asset which is my TIME SHARE and thankfully I did not disclosed it to my ex upline they would have been upset not purchasing other hotels to rent for the weekend for which they get a cut or profit . It would have cost $300 for two days in a hotel. So the total cost spend for SCAMWAY scam from innocent victims will run around $1,461.00 .. More than rent, more than a house payment, more than our bi weekly fixed expenses. To listen to SCAMMERS being sleep deprived.. My husband and I will still go to SAN DIEGO and enjoy the beach but decided not to pay $350 listening to a CULT COUPLE who will be scamming us again. Sickening .
Jenna. Thanks for sharing your experience. I hope someone in your shoes can learn from it. For me, the "major" functions was worse because I live in Hawaii so I had to pay for airfare (for example) in March, July, October and January when the airfare is high. And I suffered through some of what you describe so I feel your pain. I hope you can get some money refunded.
To Anonymous at 11:20 PM:
Thanks for confirming that Amway is a real business -- real for the fat-assed bigshots in Ada, Michigan. I agree with you there.
It's a make-believe business for the thousands of small IBOs who are ripped off every month for CDs, Kate, Ditto, and endless stupid meetings and functions.
Get the difference, pal?
John Doe has pointed out something very important here. Amway is completely schizophrenic on the question of selling products.
On the one hand, we have somebody crowing that sales of product are vital to success in Amway, that you have get out there and hustle to SELL, SELL, SELL!
On the other hand, we have somebody crowing that sales are not important, and that the Amway business is not primarily about selling.
WTF?
You either sell products or you don't. Which is it, guys? Could we please have a straightforward and unambiguous answer on this point? Or are you allergic to clarity?
Well said!
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