Amway's product line grew from LOC, with the laundry detergent SA8 added in 1960, and later the hair care product Satinique (1965) and the cosmetics line Artistry (1968). Today Amway manufactures over 450 products, with manufacturing facilities in China, India and the United States, as well as Nutrilite organic farms in Brazil, Mexico and the United States (California and Washington State). Amway brands include Artistry, Atmosphere, Body Blends, Bodykey, Body Works, Clear Now, eSpring, Glister, iCook, Legacy of Clean, Nutrilite, Peter Island, Perfect Empowered Drinking Water, Personal Accents, Ribbon, Satinique, Artistry Men and XS.
Pyramid schemes have nothing to do with real commercial activity or product sales. Pyramid schemes are a form of financial fraud based on recruiting new people to make investments into a business, and then using those investments to pay the people who joined earlier. In Amway, distributors (Amway Business Owners) make money from the sale of our products – not from recruiting others to join.
The FTC also cites Amway’s “Buyback Rule” as a feature distiguishing the Business from a pyramid scheme. Distributors can return any “products, literature, or sales aids” for “whatever refund is agreed upon between the departing distributor and his or her sponsor.” The Manual adds this note: “To return Amway literature for credit or refund, the literature must be sent back in its original wrapping, unopened and unused.”
2 of my friends have recently become IBOs with Amway. They are still young in the business and are still buying the hype of being “business owners”. They really believe they can make money selling the products they themselves were made to buy. They have since been trying to sell us those products to no avail. This is what you will be reduced to if you choose to become an IBO with Amway.
Methodology: Source Euromonitor International Limited. Claim verification based on Euromonitor research and methodology for Amway Corporation conducted from May through June 2018. Euromonitor determined reviewed all competitors and eliminated those whose total sales for 2017 were less than half of Amway's stated 2015 bonuses paid out. The bonuses of the remaining companies were compared to Amway's 2017 bonuses paid out and no companies remained after this stage. To the extent permissible, Euromonitor does not accept or assume responsibility to any third party in respect of this claim.
Building network marketing teams that last is incredibly difficult in North America (specifically USA). This may sound a bit harsh, but I have not seen Amway break a single Diamond in the USA in 2 decades (it was brought to my attention recently that there was 1, but I have not verified this). The reason teams are difficult to keep together, even with the promoting of events, is because building a business entirely offline is not attractive to most people in this country. And as much as leaders may complain that the internet has ruined this industry in some circles, it doesn’t change the fact that the marketplace is an entity all of its own; it’s not up to us to determine what’s best for the marketplace, it’s our duty to find out how they want to be marketed to and then meet that desire. Building solely offline gets tiring and the vast majority of people simply don’t want to burn the rubber off the tires any more. Now don't get me wrong, building a local team can be extremely powerful (I do it in fact), but if you are not leveraging the power of the internet then your method of marketing may not be attractive to most prospects. Additionally there are a lot of companies that have embraced the internet, and since most people go to the web for information it is easy for Amway reps to get discouraged and explore other options when they find out a business can be built online. Again, don't get me wrong, there's nothing wrong with the local offline approach, but it's best when combined with the internet.
We should also note that Kyritsis lives in Greece, a country just coming through the other side of an intense financial crisis (see: "targeting desperate people", above). Amway is based in Michigan, but they do about 90% of their business outside of the United States. It's not hard to see why: Amway is increasingly well known as a scam in the U.S., and American citizens have an easier time suing the company for unethical business practices. In 2010, Amway settled with disgruntled American customers for $155 million.
The center’s impressive exteriors made of glass and metal showcase its modernity with a 180-foot tall tower serving as a beacon over the city’s downtown skyline. The 875,000-square-foot center can accommodate up to nearly 19,000 fans. Amway Center features 1,100 digital monitors, the largest main scoreboard in the NBA with four primary high imagery video displays, and a true grade concert sound system, making it one of most technologically advanced arenas in the world. The center also boasts five concourses, a number of suites, 1,428 club seats, three retail stores, and several restaurants and bars. There are about 10,000 parking spaces located in the vicinity. Staying in one of the hotels nearby is a great option if you want to walk to the center.
To Bill, dupes would always be dupes, and he signaled his confidence in this by launching into a monologue that would have caused a scandal before a more critical audience. He told us, matter of factly, that World Wide had $8 million in assets, in which only those at the Diamond level had any equity; that the twenty World Widers who sat on its board frequently had food fights that splattered the HQ’s silk wallpaper; and that World Wide tapes are so bad that Bill himself would regularly throw them out his car window. In short, he was tossing us rope to hang him with, baldly acknowledging that World Wide was nothing but a support system for a bunch of fast-talkers who lived high on the hog by charging their bamboozled underlings outrageous prices for spurious advice. This was the most damning critique of Amway I had ever heard. Yet none of it mattered to the crowd; they seemed only to be dreaming of the fancy wallpaper that they might one day be able to soil.
Amway is based out of Ada, MI, and has an A+ rating with the Better Business Bureau, with only 11 closed complaints over the past three years. It appears that Amway has a generally negative reputation among IBOs, and the most common complaints we encountered during our research cited difficulty making money, high prices, and dishonest recruiting tactics.
He tells us the club no longer has an initiation fee – they were forced to waive it six years ago in response to the economic downturn. ‘You have the top two or three clubs in the area – Bayou Club, Belleair Country Club, and probably Feather Sound – with no initiation fees to join,’ he says. ‘It makes it very easy to be part of a club these days.’
The top four teams remained the same, with No. 1 Alabama continuing to receive 61 of 64 first-place votes after the Crimson Tide cruised past Arkansas. Georgia retained the No. 2 spot after taking down Vanderbilt. No. 3 Ohio State overcame a sluggish start to put away Indiana and retained one No. 1 vote. Fourth-ranked Clemson, retaining two No. 1 nods, also held steady after its most lopsided result of the season at Wake Forest.
The next evening (Sunday because that's URA's phone session night) I received a call from the girl. I missed the call but immediately called her back thinking she was wanting to make dinner plans or something along those lines. She began talking about this cool business opportunity she has and felt like we would be perfect for it! The way she explained it made it sound legit. She said it was a company who endorses major brand products online, etc., etc. I was intrigued at first. They had us in the palm of their hands. When I hung up the phone, my husband immediately said "They're using us. This is some MLM scam." I believed him, but I had liked the couple so much I didn't want to lose their friendship, so we decided to just try it out. See if it's for us.
These functions, all of which were sponsored by World Wide Dreambuilders, were rhetoric-fests where Amway’s self-help message was pushed to its logical addiction-recovery extreme—although with the roles curiously reversed. “J-O-B people,” meaning those who were not Amway-style entrepreneurs, were portrayed as the helpless addicts, hooked on the “immediate gratification” of a weekly paycheck. It was they who were in denial, telling themselves that they didn’t have a problem, that they were happy working all day for practically nothing. In contrast, the “delayed life” was a healthy process of withdrawal, of gradually replacing the “negatives” in your life (including non-Amway products) with “positives.” Most importantly, you learned to “dream” again, reconnecting with the inner child who, before the 9-to-5 beat it down, had fantasized about big houses and fast cars.
It was very good at the beginning, loved the selection. The products went a long way, they were very effective and did the job, I loved the personal interaction with the distributor, things came on time and full order. However, products were not cost effective, they were very expensive to ship and the constant pressure to become a distributor was unnerving. I just wanted to buy the products annually.
Amway is a multilevel marketing corporation. Some call it a pyramid scheme. In 2015, its parent company, Alticor, claimed transglobal sales of $9.5 billion. It is the biggest direct-selling company in the world. Distributors make money by signing up other distributors and – somewhere in the background – ‘selling’ Amway products. It’s not exactly clear how Amway products should reach the public. That isn’t part of Amway’s marketing plan; The Plan mostly teaches distributors how to sign up other distributors, to whom they then distribute Amway products, who then distribute Amway products to other distributors they sign up, and onward. Amway has been the target, along with its affiliate companies, of multimillion-dollar lawsuits and other legal actions on almost every continent.
I loved the days when we’d go to the Bayou Club as a family. We began going immediately after joining Amway, when I was in second grade. The development was new, still under construction. There was space between the houses and the far stretch of the golf course undulating luxuriously around them. Model homes rose from the landscape like castles, bigger than any houses I’d ever seen – and vacant. Never occupied. Empty dreams, waiting to be filled.