In 2013, eSpring was one of the Reader's Digest Trusted Brands Award winners in the water purifiers category in Malaysia. In 2015, Amway was recognized for the sixth consecutive year by Frost & Sullivan as Asia Pacific Water Filtration company of the year. According to an Amway commissioned study of global sales conducted by marketing research firm Verify Markets, eSpring was the world's largest selling brand of kitchen water treatment systems and home water treatment systems in 2014.
Amway breaks down its commission by PV and BV. The PV is your total point value for monthly sales, while your BV is percentage cash value based on the PV. There are possible bonuses at certain PV levels. The actual cash value of your downline is predictably complicated and, like credit card points, cleverly encourage more spending on Amway’s products.
Clockwise, from upper left: Amway cofounders Jay Van Andel (left) and Richard DeVos (center) meet in the Oval Office with President Gerald Ford, who is holding a copy of Richard’s book, “Believe!”; former Florida Gov. Jeb Bush and Richard DeVos during a 2009 event at the Scripps Research Institute; an aerial shot of Dick & Betsy DeVos’s primary residence in Ada, Michigan; Dick & Betsy enjoy their courtside seats at an Orlando Magic game—an NBA team owned by the DeVos family. | National Archives; AP; Getty Images
1, no inventory loading? Hebalife distributors are re-evaluated for their qualifications every January. Based solely on how much products they purchased. Distributors can claim the products are for their own personal consumption any time they need to make up the volume points they needed for the qualification. 2, way over priced products : 2-10 times of equivalent products in the market. Why would a real consumer pay such premium for products that are available everywhere? 3, the refund policy. Herbalife distributors make purchase through their uplines. Uplines get rolty override payment on every purchase their downline made. This policy only encourage focus on recruiting, push unwanted purchase, and in factual denied refund.
One of my best friends (whom I've known since the 3rd grade) has become a Amway IBO. He and I are very close, however we have different interests. He invited me over one night to participate in a meeting and I agreed. After the 2 hour long meeting, I knew that this was a scam to make money off of him. I tried to tell him and convince him that Amway will just make money off of his hopefulness by selling him hope (making him buy motivational tapes). No doubt I love the guy, but damn his pride. He's a very committed guy and great at whatever he chooses to do.
Engler was opposed to the idea—the timing was off. “I was pretty certain that it was premature to go to the ballot in 2000,” Engler says, “because if you’re going to go to the ballot, you want to win.” The DeVoses had counted on his support, and when it didn’t materialize, things soured. (“[John Engler] would have a hard time being a first mate even on the largest ship in the world,” Betsy DeVos later wrote. “I think he’d sooner be captain of a smaller boat than the first mate on a much bigger ship.”)
Betsy’s campaigning earned the attention of the Ford team, which tapped her to attend that year's Republican National Convention in Kansas City as a participant in the “Presidentials” program for young Republicans. The budding politicos attended training on campaign strategy and political techniques, and were divided into groups based on geography so that they could get acquainted with potential allies from their home states. There were also more practical desires for a squadron of young volunteers at a contested convention: “Anywhere there needed to be noise, there were always kids,” Betsy Prince told a reporter for the Holland Sentinel in 1976 (“Betsy Helps Cheer Ford Through in Kansas City,” read the headline, beside a photo of a T-shirt-clad Betsy sporting a feathered, Farrah Fawcett-lite hairdo).
We follow the right edge of the course, past houses hiding behind rows of palms: pool screens and burnt-orange rooftops flash by, one after another. Dale tells us that the country club owner’s philosophy is not to overseed the fairways and greens but to preserve their natural beauty through proper maintenance. The tee boxes are overseeded with rye grass because people are taking strokes off them every day.
From that point forward it became more demanding and more exhausting. Our lives had been taken away. There were Thursday meetings, Saturday events, Sunday night meetings, conferences, etc. We just lost control of it all. And on top of everything else, we were losing money, not gaining money. Finally, in mid-December, I told our mentors we couldn't do it any longer. Their first response was to blame my father who I had mentioned was skeptical (like any normal person would be). They immediately assumed he had forced us to quit when it was honestly our own decision. My dad was supportive. The next day we were cut out of their delusional lives completely. We were de-friended and blocked on social media and never to speak a word to us again.
The Michigan gubernatorial race that year had been a dogfight of personal attacks between DeVos, the Republican nominee, and Democratic Governor Jennifer Granholm. Gloomy, bleached-out b-roll of shuttered factories in anti-Granholm ads made the governor’s sunny economic promise that “You’re gonna be blown away” sound less like an aspiration than a threat. Anti-DeVos ads cut closer to the bone, with one depicting a cartoon DeVos cheering a freighter hauling Michigan jobs to China. It was an unsubtle reference to DeVos’ time as president of Amway, the direct-sales behemoth his family co-founded and co-owns, when he eliminated jobs in Michigan while expanding dramatically in Asia. DeVos ended up personally spending $35 million on the race—the most expensive campaign in Michigan history—and when the votes came in, lost by a crushing 14 points.
The prospect is alarming enough that Charles Paul Conn, in Promises to Keep, works hard to prove it’ll never happen. “The reality,” he tells us, “is entirely different from what might be predicted by a statistician with a slide rule.” He points to the millions of likely untapped prospects—youths, retirees, downsized professionals, foreigners—although he fails to acknowledge that recruiting them would only make the Business hungrier. More plausibly, he adds that Amway is a small part of the population and will stay that way. The Business’s high dropout rate, he explains, though “often cited as a negative factor, actually serves to keep the pool of potential distributors large.” In other words, Amway’s salvation is its high rate of failure.
As its Sales & Marketing Plan demonstrated, there were two ways to make money in Amway. You could buy products cheap (at wholesale costs reportedly 30 percent below retail) and sell them dear; or, more lucratively, you could share The Business with others, and build your own empire of “downlines.” Since Amway awards bonuses to its distributors based on their wholesale volume, and since each distributor’s wholesale figures includes the sales made by his or her “downlines,” each convert to the Amway cause would enlarge his or her own incomes. To see how this worked, we were told to imagine recruiting six distributors, each of whom would bring in four more, who in turn would each net an additional two. Our downlines, according to this “6-4-2” formula, would then have seventy-eight members. If each of our underlings did $100 a month in sales, we’d be making an extra $2,000 a month in bonuses.
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.
Individuals may buy products through Quixtar's web site with a referral number from an IBO. Quixtar also gives IBOs the option to create free personal websites that can be personalized to focus on health, beauty, health and beauty, and/or gift and incentive products. The referring IBO then receives the retail/wholesale profit (usually 30%), and a percentage ("bonus") of the cost of the sold goods (from 3% up to 31% depending on total PV generated), with Quixtar-exclusive products yielding a higher bonus per dollar in Point Value and Business Value (PV/BV). Quixtar offers a wide range of products for its IBOs to purchase for personal use and/or to sell to customers through Quixtar.com and IBO personal e-commerce sites.
When I got started with Amway Global back in 2006, like you, I too though at first it was a scam or pyramid scheme. But than I decided just to take the dive because it was working for others. I was told by my upline to build or make a list of all my friends, family members, etc and contact them to sell products and present to them the business opportunity. And if possible, schedule a home event or get them to a local hotel meeting, on a 3 way call, or attend a live webinar presentation.
Scott Coon (the millionaire from Seattle), on the other hand, was the genuine article: His breezy small talk projected an illusion of sincere interest, his well-fed face reflected self-assurance. Scott worked the small crowd with consummate slickness. After a mumbled intro from Josh (followed by whoops from the audience), Scott stood beaming at us, rubbing his hands in anticipation.
There were some rational explanations for Josh’s behavior. To recruit others, he needed the propaganda talents of his upline World Widers, who made it clear that their underlings had to be “fanatical about personal use,” and even held this up as an index of a distributor’s positive attitude. Another rationale was provided by the well-worn anecdote, often retold in the first person, about the distributor who missed a new Performance Bracket by a few dollars when a little bit more personal use could have taken them over the edge. The story always ended, “Well, you better believe I never made that mistake again!”
Georgia put the game away by halftime with a 42-7 lead that included three touchdown passes from sophomore quarterback Jake Fromm, another from freshman signal caller Justin Fields as well as his first career rushing touchdown, and a 100-yard rushing performance from junior tailback Elijah Holyfield, the first of his career as well. Sophomore wideout Jeremiah Holloman turned in a breakout performance with three grabs for 90 yards and a touchdown.
There was a silver lining for the DeVoses, albeit one not immediately apparent. They had established a purity test for fellow Republicans: Had they supported Prop 1? And in unintentionally contributing to Senator Abraham’s loss, they had created a scenario in which, once Engler was term-limited in January 2003, the state GOP would be without any marquee statewide officeholders. No governor. Neither U.S. senator. An attorney general and secretary of state without any previous statewide experience.
The meeting was hosted by Sherri’s friend Josh and his wife Jean, he a commodities broker, she a high school math teacher. Sherri and Josh had attended the same small Christian college. Before that, he had been an Indiana farm boy, and he still had the look: a beefy, boyish face with a grin that verged on gaping, mussed hair with perpetually sweaty bangs, a brown suit that flared in all the wrong places, and a general air of guilelessness. This cast in high relief his constant, ill-advised attempts to put on city airs: the firm handshake, the breezy small talk, the man-of-the-world asides.
5. Amway has a 90day 100% money back guarantee for startup cost (which is less than $60) for anyone who tries the business and a 6 months, no questions asked refund policy on all products purchased, even if used. So you really have to be an idiot to lose money. There is no buying quota, you don’t have to front load products and you and your customers can order what you need directly from the site and get things shipped to their front door in 3-5 days. You get paid a cash percentage of all spending resulting from your personal orders as well as referrals.
Now the husband and wife team continues to work together, taking the time to slow down and help others. The business enables them to live their lives with flexibility, spending more time with family and one another. The strengthening of their bond depends on a connection with others; building trust and helping others find a way to meet whatever goals they may have.
If you think a lot of this smacks of a pyramid scheme, you’re not alone. In fact, the company was the subject of a 1979 Federal Trade Commission ruling that found Amway’s business practices to not be “inherently illegal,” though they were required to “cease price fixing and cease misrepresenting the apparent success achieved by the average distributor.”
My parents and I were solidly middle class when we collided with Amway. We owned our home. We lived in a safe neighborhood where I could play outside without supervision and walk home alone after the sun went down. We always kept an excess of food in the house. I got new shoes whenever I outgrew my old pair. I received new toys when my old ones broke and new books when I finished reading the ones I had. I went to gymnastics practice four times a week, singing lessons once a week, camp over the summer, and back-to-school shopping in the fall. We didn’t need Amway.
Whether there is more emphasis on referrals or sale of products is very debatable. It pretty much depends on the individual IBO involved. In the Amway gathering I went to, the IBO making the presentation stressed the prospect of saving through the “discounted” prices on the hub rather than trying to sell us the idea of making a lot of money. Some IBOs might try to sell you the idea of making a fortune right away. Some are pushy, some are nice people.
Sustainability is a core principle, as well, and has been for decades. Amway controls much of the process, from where ingredients are sourced (some come from nearly 6,000 acres of Amway-owned certified organic farmlands), to where they are manufactured. In addition, 50 percent of the energy powering Amway’s world headquarters in Ada, Michigan, is wind-generated. These are best practices in the industry and they have been a part of Amway’s DNA from day one.
The Products are Expensive; well personally, I think they are a bit overpriced, which obviously is understandable because they have to pay you and your down line. However, it is a struggle to sell a bottle of $80 vitamin pills when there are other products with the same quality for a lot less. We are not exactly living in the old days anymore and people are cautious now when it comes to spending, meaning you will have to work double time to sell products at a higher price.
Mr. DeVos and Mr. Van Andel left college to serve in the Army Air Corps during World War II. When they returned, they started Wolverine Air Service, their first joint venture. Several more businesses followed, including a failed charter schooner service, which almost led to their drowning, as well as a drive-in restaurant and a distributorship for a California-based marketer of vitamins and nutritional products.
The Dream is “sort of about pyramid schemes,” as host Jane Marie says at the beginning of the new podcast series, but it takes a moment to figure out just what that means. In the beginning of the first episode, which you can listen to exclusively here, Marie dives into a classic pyramid scheme of the 70s and 80s, the “airplane game,” a trend that became so prevalent among a certain subset in New York and South Florida that The New York Times caught on, calling it “a high-stakes chain letter.”
The 12-step shtick was a ready justification for the cult-like regimen of World Wide followers. Like alcoholics, wage junkies had to attend frequent meetings, supplemented with books and tapes, to keep on track; they had to dissociate themselves from bad influences, i.e. “broke” friends and relatives who would try to keep them down; they had to follow “Eight Core Steps” (four of which involved buying stuff from either Amway or World Wide Dreambuilders); and they had to let go of their ego and overcome their fear of change, to open themselves to the counseling of their upline “sponsors.” Sponsoring, as in Alcoholics Anonymous, was an act of love and healing. Your uplines would never mislead you, even if their wisdom might seem strange to your still job-addled mind.
The lack of government prosecutions, along with sophisticated PR spin and misleading income data have given MLM schemes an aura of legitimacy, heightening their ability to fool consumers and the media as well. Gradually, though, the truth about how MLMs have escaped regulation is coming to light. The answer is plain and simple: MLMs bought influence in Washington and in some state legislatures with campaign contributions and high pressure lobbying.
I was invited by a gentlemen from eastern Suffolk area, NY and had told him I was busy in other things. What I didn't realize was how I had went to see this same presentation in someone's house about 20 years prior to 2015. So it was May 2015 and people want to return to the American dream and here comes these floating characters straight out of a horror video game. So they smiled their way and have their game plans down to a science. There's no way I'm going to sit through a presentation that makes me feel I am chained down in my seat 24/7.
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In Amway's eyes, your friends and family are all potential cash cows you should be milking -- you're trained to go after the people closest to you first (to rack up those sweet pity sales). "I was thinking that every friend that didn't join my network didn't want success for himself or me, that he was somehow against me." This crazy train of thought led Kyritsis to harass his loved ones in an attempt to better their lives. Desperate to convince someone of the amazing untapped Amway potential, Kyritsis pushed the Amway rhetoric on anyone who would listen, especially his girlfriend. He would tell her that her studies were pointless when she could be making so much more money, dragging her to seminars and showing her the Amway tapes like a really boring version of The Ring.
Others Receiving Votes: Kentucky 98; Duke 55; South Florida 45; Colorado 41; South Carolina 40; Iowa 36; Washington State 35; Brigham Young 30; Missouri 21; NC State 19; Appalachian State 13; Syracuse 11; California 11; Utah 10; Cincinnati 10; Texas 9; North Texas 5; Troy 4; Minnesota 3; San Diego State 3; Florida 3; Arizona State 3; Houston 2; Tennessee 2; Arkansas State 2; Vanderbilt 2; Fresno State 1.
Dick DeVos, on stage with his wife, echoed her sentiments with a lament of his own. “The church—which ought to be, in our view, far more central to the life of the community—has been displaced by the public school,” Dick DeVos said. “We just can think of no better way to rebuild our families and our communities than to have that circle of church and school and family much more tightly focused and built on a consistent worldview.”
Amway’s leading brands include Nutrilite™ vitamin and mineral dietary supplements and Artistry™ skin care and cosmetics. In addition, the company offers the eSpring™ water purifying system; Legacy of Clean™ environmentally-conscious home cleaning products, and Atmosphere™ home air treatment systems, among others. Amway business owners across the globe build their businesses on these brands.
Fittingly, my encounter with Amway began during a long-term temp assignment at Andersen Consulting’s ENTERPRISE 2020 project, an ongoing exhibit to which consultants would bring potential clients to scare them about the future. The main attraction was a battery of “industry experts” who produced customized nightmare scenarios to help manufacturing executives from across the globe see the Third Wave coming at them. The experts would discourse gravely about globalization, accelerating technology, managed chaos, self-organizing supply chains, flex-this, flex-that, and nano-everything, eventually arriving at the message of this elaborate sideshow: The future is not to be faced without an Andersen consultant on retainer.
Her alienation didn’t stop with non-Amwayers. She was also bitterly resentful of “crosslines,” her Amway cousins who belonged to other downlines. As fellow unrecovered wage junkies, they were a potential reservoir of misinformation, discontent, and backsliding. Josh cautioned her against fraternizing: Polite small talk was O.K., but you shouldn’t, say, go to a movie with them (Amway lore is full of disaster stories about crosslines who carpool). But Sherri’s animus went further. Crosslines were her competition, soaking up prospects and “saturating” Chicago before she had a chance. She was incensed when they hogged seats at meetings, hysterical when they went Direct.