When I was an IBO, I often saw my upline diamond driving around town dressed in a business suit. I used to wonder why he keeps working if he can "walk away" and collect residual income? My sponsor told me that the diamond only works because he cares about his downline and wants to help them. So there are two possible scenarios, the diamond is working to help his downline out of a genuine concern for them, or possibly he is working because he has to! The only difference now is that the diamond works the nite and/or graveyard shift, because many IBOs are building the business after the complete their day jobs. This is probably why diamonds sleep until the "crack of noon", because they are working all night!
Now Amway has stated that the average diamond earns about $150,000 a year. That is a decent income, but after yaxes and paying for basic expenses such as medical and dental insurance, the average diamond probably lives a very middle class lifestyle. Keep in mind that a large portion of a diamond's income comes in the form of an annual bonus, thus a diamond's monthly income may be quite small. Yes, diamonds may have other sources of income such as speaking engagements and income from standing orders and functions. But this income depends on the diamond's continued appearances and efforts.
So is it likely that a diamond is "free"? I would have to conclude that a diamond is not free, and may actually have to spend more time maintaining his group than if the diamond simply had a 9-5 job. For one thing, a diamond needs to maintain a personal group to keep qualifying for bonuses. With a poor retention rate in Amway, I am fairly sure that a diamond spends much time recruiting personally sponsored IBOs to maintain this group. Additionally, a diamond must help his six or more groups of downline platinums to maintain their businesses or face the possibility of falling out of qualification. My former diamond dropped down to the emerald level but has since re-qualified at diamond. A diamond must also dedicate time to reward up and coming movers and shakers, to keep them motivated. I got to spend time with my upline diamond when I was considered a promising up and coming pin.
In order to continue to receive tools income, a diamond must also travel to numerous functions and speaking engagements. Although the tools income allegedly doubles a diamond's income, it also adds a lot of expenses, especially if the diamond and his family travel first class to show off the diamond lifestyle, and stays in 5 star hotels. It is probably why diamonds need free transportation to and from the airport and why they stay with friends when traveling as much as possible.
After breaking down projected income and considering projected expenses, I can only conclude that a diamond probably lives a middle to upper middle class lifestyle, and probably works as much as a man with a 9-5 job, except that a diamond works nites and weekends. A good portrait of this is shown in Ruth Carter's book (Amway Motivational Organizations: Behind The Smoke and Mirrors). In the book, the diamond had a net income of over $300,000, but lived in debt, could barely pay his mortgage, and was always on the run from one function to the next. It is very expensive and time consuming to travel from city to city showing off your freedom and diamond lifestyle.
Is this the freedom you are seeking?
Tuesday, February 28, 2017
Monday, February 27, 2017
(False) Amway Income Claims?
One of the things that is so common on this blog and others is IBOs passing by, making big income claims without a shred of evidence. IBOs will tell you that it's none of your business, or that what they earn is not reflective of what you might earn. I believe it's very relevent. As a prospect, I would want to know what the typical IBO might earn. If I were going to open a Subway franchise, I would want to know what my likely earnings would be. In Amway, they only show you best case scenario and not what is likely or typical. Of course this is to make the oppportunity more attractive than it really is in hope of getting you to sign up.
Look at a recent comment from an anonymous blogger from India:
"Hi i wish to tell you that i am a scientist and full time into research. I have the time for my hobbies like bowling, horse riding etc. But the big news is that i am also at emerald level in Amway. Now what do you have to say about that Mr Joe(un)cool?????????"
If you'll notice, the commenter is basically sayiing he has a full time job, but enjoys his hobbies all the while running an emerald business. Then he also tosses in a minor insult towards Joecool while he's at it. Now we know there is documentation that many platinums do not make any money (net), therefore, an emerald likely doesn't make that much from Amway. I'm sure a decent job will net you more money than the average emerald.
Also, I call BS on this claim. Someone who is emerald would likely be burning the midnite oil churning out new IBOs to maintain the business and trying to push towards diamond. I'll give the anon one things. the name of Amway hasn't been completely ruined in India as it basically has been in the US and Canada. But I'll toss in one more thing. An emerald, even if making a net profit, likely has several hundreds of downline who are losing money because of functions and other tools that ironically, are designed to help an IBO succeed.
I wonder why IBOs are taught to be deceptive? Why can't they speak honestly about Amway and what they earn from Amway? Is it against Amway rules or do the uplines want to hide something that is paindfully obvious? I know that WWDB, my former LOS, taught IBOs to "fake it till you make it". Translated, that meant to lie about your Amway income and to make yourself look successful, even if you had no money to put food on your table.
So which is it? False/inflated income claims or outright lying? You decide.
Look at a recent comment from an anonymous blogger from India:
"Hi i wish to tell you that i am a scientist and full time into research. I have the time for my hobbies like bowling, horse riding etc. But the big news is that i am also at emerald level in Amway. Now what do you have to say about that Mr Joe(un)cool?????????"
If you'll notice, the commenter is basically sayiing he has a full time job, but enjoys his hobbies all the while running an emerald business. Then he also tosses in a minor insult towards Joecool while he's at it. Now we know there is documentation that many platinums do not make any money (net), therefore, an emerald likely doesn't make that much from Amway. I'm sure a decent job will net you more money than the average emerald.
Also, I call BS on this claim. Someone who is emerald would likely be burning the midnite oil churning out new IBOs to maintain the business and trying to push towards diamond. I'll give the anon one things. the name of Amway hasn't been completely ruined in India as it basically has been in the US and Canada. But I'll toss in one more thing. An emerald, even if making a net profit, likely has several hundreds of downline who are losing money because of functions and other tools that ironically, are designed to help an IBO succeed.
I wonder why IBOs are taught to be deceptive? Why can't they speak honestly about Amway and what they earn from Amway? Is it against Amway rules or do the uplines want to hide something that is paindfully obvious? I know that WWDB, my former LOS, taught IBOs to "fake it till you make it". Translated, that meant to lie about your Amway income and to make yourself look successful, even if you had no money to put food on your table.
So which is it? False/inflated income claims or outright lying? You decide.
Thursday, February 23, 2017
Amway IBOs Pass Judgment On Others?
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. It's only positive if it's Amway related and anything non Amway is negative. Anyone see a problem with this?
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 Superbowl winning 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. I believe this has been crafted by upline to apply pressure to downline IBOs to "never quit'.
In all of this, people's jobs are also criticized. That a job stands for "just over broke" or "jackass of the boss" and other insults. Many IBO's goals and dreams consist of ditching their job so they can sleep until "the crack of noon" 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, many of the folks calling people losers and broke are 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. Or inform your upline that when you point a finger at someone, there are even more fingers pointing back at you.
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 Superbowl winning 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. I believe this has been crafted by upline to apply pressure to downline IBOs to "never quit'.
In all of this, people's jobs are also criticized. That a job stands for "just over broke" or "jackass of the boss" and other insults. Many IBO's goals and dreams consist of ditching their job so they can sleep until "the crack of noon" 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, many of the folks calling people losers and broke are 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. Or inform your upline that when you point a finger at someone, there are even more fingers pointing back at you.
Wednesday, February 22, 2017
Is The Truth "Negative"?
One of the silly things many IBOs are taught is to avoid negative. I believe this is taught today by uplines and it was certainly a point of emphasis even in my days as an IBO. The upline diamond would say that the world of full of negatives and that we as people take in too much of these negatives. Therefore, the IBOs were told to avoid television, newspapers and other forms of communication with the outside world. The group was also told to avoid people who speak negatively about Amway. For this reason, many people have considered Amway groups such as WWDB or N21 as cultish or cult-like. (information deprevation or information control).
I can agree that you surely don't want to only take in negatives as it can wear you down, but not seeing the news or reading about current events in the paper simply makes you apathetic and uninformed. For example, wouldn't you want and need to know if there was a storm heading your way? I live in Hawaii and we occasionally have hurricanes. Avoiding news could be very detrimental to your family and home. If you lived in the midwest of the US, wouldn't you want and need to know if a tornado was headed your way? Do you avoid the doctor because his assessment of your health might not be "positive"? For these reasons, I believe that many Amwayers walk around wearing a mask with a false smile, trying to overly positive.
Another important thing that many IBOs cannot distinguish is the difference between negative and the truth. If your wife asks you if her new dress makes her look fat, the truth might be that the new dress indeed makes her appear fat. That answer may be uncomfortable for you to deliver, but the truth is the truth. The truth at times can be positive or negative but it is still the truth.
Most IBOs earn less than $100 a month. That is the truth. Most IBOs lose money if they participate in functions and standing orders and such. That is the truth. Most IBOs will never even sponsor a downline. That is the truth. Most IBOs, filled with motivation and dreams, will never see those dreams fulfilled. That is the truth. Many upline diamonds, who advise IBOs to purchase tools and attend functions, and fill the IBO's heads full of dreams, make significant incomes from the sale of tools and functions. That is also the truth. In a 1 year timespan, approximately 50% of IBOs will quit. That is the truth.
Is it negative to tell the truth? Or can IBOs not handle the truth?
I can agree that you surely don't want to only take in negatives as it can wear you down, but not seeing the news or reading about current events in the paper simply makes you apathetic and uninformed. For example, wouldn't you want and need to know if there was a storm heading your way? I live in Hawaii and we occasionally have hurricanes. Avoiding news could be very detrimental to your family and home. If you lived in the midwest of the US, wouldn't you want and need to know if a tornado was headed your way? Do you avoid the doctor because his assessment of your health might not be "positive"? For these reasons, I believe that many Amwayers walk around wearing a mask with a false smile, trying to overly positive.
Another important thing that many IBOs cannot distinguish is the difference between negative and the truth. If your wife asks you if her new dress makes her look fat, the truth might be that the new dress indeed makes her appear fat. That answer may be uncomfortable for you to deliver, but the truth is the truth. The truth at times can be positive or negative but it is still the truth.
Most IBOs earn less than $100 a month. That is the truth. Most IBOs lose money if they participate in functions and standing orders and such. That is the truth. Most IBOs will never even sponsor a downline. That is the truth. Most IBOs, filled with motivation and dreams, will never see those dreams fulfilled. That is the truth. Many upline diamonds, who advise IBOs to purchase tools and attend functions, and fill the IBO's heads full of dreams, make significant incomes from the sale of tools and functions. That is also the truth. In a 1 year timespan, approximately 50% of IBOs will quit. That is the truth.
Is it negative to tell the truth? Or can IBOs not handle the truth?
Tuesday, February 21, 2017
Are You "Playing Amway"?
One thing my sponsor often told the group was that many of us were "playing" Amway. What he meant was that many people can listen to a tape or CD every day, read a success book 15-30 minutes each day, attend all the functions, use and/or sell 100 PV or more each month, but never make progress in the business. Basically what he was saying was unless you are showing the plan and sponsoring downline, you are just playing Amway. And while I agree, I honestly believe that most IBOs simply "play" Amway.
They can do most of the CORE steps such as listening to standing orders or cds each day. They can read every day and attend all the functions. They can even use and sell Amway products. But because of previous IBO behavior, many people cannot get anyone to see the plan, let alone sponsor others. Seems like everyone (at least in the US and Canada) know of someone who was lied to, or tricked into attending an Amway meeting. This alone has given Amway a shady reputation and just the mention of the name Amway can send people running. I was tricked into a meeting once, and as an IBO, I saw people get up, cuss and leave the meeting because they were lied to or tricked into attending a meeting based on the curiosity approach.
I do not believe that IBOs in general are dishonest or deceitful. I believe that most of them are probably motivated, wanting more in life, and hard working. But they are taught to duplicate or copy their uplines. I believe it is some of the tenured leaders who teach bad business practices that are duplicated and spreads a bad reputation like an infectious disease. I believe that because of this, Amway's North American sales tanked and now they don't even report the North American sales seperately from Global sales.
When you stop and take a deep breath, you see the signs of weakness and the chinks in the armor of the once untouchable and "divine" diamonds. We see diamonds suing other diamonds and Amway. We see diamonds losing their homes to foreclosure (so much for paying cash). A triple diamond was in chapter 7 bankruptcy and hoards of diamonds leaving their LOS along with their "awesome" mentors and lifelong friends to form their own LOS. Why is this happening? I believe it is because of greed. Why else would you leave a "mentor" and "lifelong friend" to start your own LOS? It's all about the money.
Sadly, while all of this goes on, most IBOs come and go, lose money and "play Amway" along the way. It truly saddens me that this has gone on for so long, and it looks like (in my opinion), that my former LOS, WWDB, seems to have been the worst of the bunch with no apparent improvement in the last 15 years or so.
You can "play Amway" hard, but you most likely won't make enough net profit to buy a value meal a McDonald's. Of course you are welcome to prove me wrong.
They can do most of the CORE steps such as listening to standing orders or cds each day. They can read every day and attend all the functions. They can even use and sell Amway products. But because of previous IBO behavior, many people cannot get anyone to see the plan, let alone sponsor others. Seems like everyone (at least in the US and Canada) know of someone who was lied to, or tricked into attending an Amway meeting. This alone has given Amway a shady reputation and just the mention of the name Amway can send people running. I was tricked into a meeting once, and as an IBO, I saw people get up, cuss and leave the meeting because they were lied to or tricked into attending a meeting based on the curiosity approach.
I do not believe that IBOs in general are dishonest or deceitful. I believe that most of them are probably motivated, wanting more in life, and hard working. But they are taught to duplicate or copy their uplines. I believe it is some of the tenured leaders who teach bad business practices that are duplicated and spreads a bad reputation like an infectious disease. I believe that because of this, Amway's North American sales tanked and now they don't even report the North American sales seperately from Global sales.
When you stop and take a deep breath, you see the signs of weakness and the chinks in the armor of the once untouchable and "divine" diamonds. We see diamonds suing other diamonds and Amway. We see diamonds losing their homes to foreclosure (so much for paying cash). A triple diamond was in chapter 7 bankruptcy and hoards of diamonds leaving their LOS along with their "awesome" mentors and lifelong friends to form their own LOS. Why is this happening? I believe it is because of greed. Why else would you leave a "mentor" and "lifelong friend" to start your own LOS? It's all about the money.
Sadly, while all of this goes on, most IBOs come and go, lose money and "play Amway" along the way. It truly saddens me that this has gone on for so long, and it looks like (in my opinion), that my former LOS, WWDB, seems to have been the worst of the bunch with no apparent improvement in the last 15 years or so.
You can "play Amway" hard, but you most likely won't make enough net profit to buy a value meal a McDonald's. Of course you are welcome to prove me wrong.
Friday, February 17, 2017
Join Amway To Decrease Efficiency?
Is Amway The Least Efficient Way To Move Product?
I remember seeing the plan as a prospect back over a dozen years ago. I remember the speaker talking about how you can capitalize on distribution efficiencies to make money. We as IBOs would simply cut out the middleman and that savings would be passed onto us as IBOs. In its simplest form, it made sense and the misconception passed onto the audience was that you will actually save money by purchasing Amway products. I even remember the speakers saying that even if the whole world signed up for Amway, even the last guy getting would would have the benefir of saving money. Looking back now, much of it was deception and lies. And to think, people now and back then paid good money for training on how to become, in my opinion, the least efficient manner in which to move products.
We recently enjoyed the Superbowl. And as you know, superbowl commercials can cost millions of dollars. But do you know why? It's because hundreds of millions of people across the world are tuned into the superbowl. Companies probably have their best staff working on developing these commercials because they want to leave a lasting impression on their viewers. And it apparently works because people today are still willing to shell out serious coin for these commercials.
Amway IBOs advertise person to person, one person at a time.
What are the chances of an IBO ever moving a significant amount of products or being able to reach out to potential new downline when they prospect person to person, face to face, one at a time? To me, that is the most inefficient manner of expanding business. And let's face it, Amway's rules don't help when you are not supposed to advertise online without special permissions and you are not supposed to sell product on Ebay or Craigslist. In today's technological society, it seems almost crippling to be so inefficient.
And even your beloved uplines, at your expense, run the most inefficient manner of doing business. Who needs voicemail when we have facebook, email, twitter or text messaging? Not to mention the added expense IBOs face by these outdated technologies. Also, with video conferencing, skype, or webcams, why do people need to travel long distances for meetings and functions? The answer is simple, your upline might not want your success, they simply might just want your money. All of the training and motivation is a profit center for upline and modernizing would simply reduce their tool profits.
Try asking that of your upline. Why do we keep using the most expensive and inefficient means of doing business and communicating? I'd be curious to hear that answer.
I remember seeing the plan as a prospect back over a dozen years ago. I remember the speaker talking about how you can capitalize on distribution efficiencies to make money. We as IBOs would simply cut out the middleman and that savings would be passed onto us as IBOs. In its simplest form, it made sense and the misconception passed onto the audience was that you will actually save money by purchasing Amway products. I even remember the speakers saying that even if the whole world signed up for Amway, even the last guy getting would would have the benefir of saving money. Looking back now, much of it was deception and lies. And to think, people now and back then paid good money for training on how to become, in my opinion, the least efficient manner in which to move products.
We recently enjoyed the Superbowl. And as you know, superbowl commercials can cost millions of dollars. But do you know why? It's because hundreds of millions of people across the world are tuned into the superbowl. Companies probably have their best staff working on developing these commercials because they want to leave a lasting impression on their viewers. And it apparently works because people today are still willing to shell out serious coin for these commercials.
Amway IBOs advertise person to person, one person at a time.
What are the chances of an IBO ever moving a significant amount of products or being able to reach out to potential new downline when they prospect person to person, face to face, one at a time? To me, that is the most inefficient manner of expanding business. And let's face it, Amway's rules don't help when you are not supposed to advertise online without special permissions and you are not supposed to sell product on Ebay or Craigslist. In today's technological society, it seems almost crippling to be so inefficient.
And even your beloved uplines, at your expense, run the most inefficient manner of doing business. Who needs voicemail when we have facebook, email, twitter or text messaging? Not to mention the added expense IBOs face by these outdated technologies. Also, with video conferencing, skype, or webcams, why do people need to travel long distances for meetings and functions? The answer is simple, your upline might not want your success, they simply might just want your money. All of the training and motivation is a profit center for upline and modernizing would simply reduce their tool profits.
Try asking that of your upline. Why do we keep using the most expensive and inefficient means of doing business and communicating? I'd be curious to hear that answer.
Thursday, February 16, 2017
Amway Sales Down Again?
http://globalnews.amway.com/pressroom/news-release/news/amway-announces-2016-sales
I find it interesting how Amway spins a 7% decline into a positive. Amway sales were at 11.8 billion in 2013. The Amway defenders were shouting from the rooftops that this was proof that Amway had arrived and they were going to "explode". Well, Always sales in 2014 was 10.8 billion. Their sales totaled 9.5 billion in 2015, a 12% decline, and now 8.8 billion, another 7% decline.
I honestly don't know exactly what to attribute the big decline to. It could be that Amway is reaching market saturation and because information is easily accessible, people are finding relevant information and making wise decisions.
In any case, it will be interesting to see what happens in the next few years. With less sales, I would assume that there are ewer big pins and less tool money for the diamonds. I had heard that some functions were moving to smaller venues which could mean that tools income could be shrinking and maybe diamonds are not rolling in cash anymore. Anyway, stay tuned. Time will tell.
ADA, MICH., USA (Feb. 8, 2017) – Amway today announced sales of $8.8 billion USD for the year ending Dec. 31, 2016, a decline of 7 percent when compared to 2015 figures. The direct seller increased sales in seven of its top 10 markets, but experienced softening market conditions in China.
“Across the world, Amway did well in 2016,” said Amway Chairman Steve Van Andel. “We experienced sales growth in several top markets, saw double-digit percentage growth in nine additional markets, and continued to evolve the business in China as we seek to take advantage of shifting market conditions and achieve the market’s long-term growth potential.
- See more at: http://globalnews.amway.com/pressroom/news-release/news/amway-announces-2016-sales#sthash.4g213ipz.dpuf
I find it interesting how Amway spins a 7% decline into a positive. Amway sales were at 11.8 billion in 2013. The Amway defenders were shouting from the rooftops that this was proof that Amway had arrived and they were going to "explode". Well, Always sales in 2014 was 10.8 billion. Their sales totaled 9.5 billion in 2015, a 12% decline, and now 8.8 billion, another 7% decline.
I honestly don't know exactly what to attribute the big decline to. It could be that Amway is reaching market saturation and because information is easily accessible, people are finding relevant information and making wise decisions.
In any case, it will be interesting to see what happens in the next few years. With less sales, I would assume that there are ewer big pins and less tool money for the diamonds. I had heard that some functions were moving to smaller venues which could mean that tools income could be shrinking and maybe diamonds are not rolling in cash anymore. Anyway, stay tuned. Time will tell.
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