Hey there! Are you looking to learn What is Amway About?
Amway is one of those MLM companies that have been established in the last century and have stood the test of time.
Is it a good move to join Amway nowadays and can you actually make money with it?
In today’s post, I will include all my findings of this company so that you can have all the information you need to know about this company in one place and you don’t need to endlessly browse the web looking for answers to all of your questions.
So, let’s waste no more time on empty talking and let’s get started right now!
What You Will Learn Here
- 1 Amway Global Overview
- 2 What is Amway Global?
- 3 Who are the Founders?
- 4 Are Amway Products Any Good?
- 5 How Much Does it Cost to Join Amway?
- 6 How You Make Money With Amway?
- 7 The Good and The Bad
- 8 Can You Make Money With Amway?
- 9 My Final Opinion About Amway Global + A Better Alternative
- 10 Amway MLM
- 11 Pros
- 12 Cons
Amway Global Overview
Full Name: Amway Global
Type: Multi-Level Marketing Business Opportunity
The Founders (s): Richard Marvin DeVos & Jay Van Andel
Year of Establishment: 1959
Price to Join: $100 annual fee
I want to make clear here that I am not an Amway distributor so you will not see me here promoting their products or push you to buy them.
My whole purpose with this website is to offer you as much accurate information as possible about different online money-making opportunities so that you can make an informed decision for yourself.
If You Don’t Want To Waste Anymore Time On MLMs,
See My #1 Recommended Way of Making Money Online:
What is Amway Global?
Based in Michigan, USA, Amway is a direct selling company (also referred to as multi-level marketing, network marketing, or referral marketing company) that has been established in the late 50′ of the last century.
It specializes in selling a wide range of products (over 350) from vitamins and nutritional supplements under the Nutrilite brand, skincare, and cosmetics products under the Artistry brand, to sports nutrition and energy drinks under the XS brand, and personal care products under the G&H brand, etc.
Amway is one of the MLM companies with the most impressive amount of earnings.
According to their official website, in 2019 they have made sales of $8.4 billion USD, which is though, 5 % less than in 2018 ($8,8 billion USD).
Who are the Founders?
Richard Marvin DeVos and Jay Van Andel were two school friends that further became co-partners, founding
Amway Global in 1959.
Prior to the establishment of the Amway company, they have observed the multi-level marketing business model in a previous venture together, selling Nutrilite dietary supplements.
Richard’s parents were working in the electrical business. Over the years, Richard has managed to become an American billionaire, Forbes awarding him spot #351 among billionaires from all around the world in 2018.
Richard was also the owner of a number of American basketball teams and he is also an author of a range of books about success and personal development.
Jay was raised in a devoted Christian family and later on, he wrote several books on this topic. It’s interesting that Jay founded a non-profit organization called the Van Andel Institute, that focuses on science education and disease research, primarily cancer and neurodegenerative diseases such as Parkinson’s.
Nowadays, Richard and Jay are no longer with us in this world and the Amway company, today under the corporate umbrella of Alticor, is run by their children.
Are Amway Products Any Good?
According to Amway’s official website, “… We grow, harvest, and process plants on our very own certified organic farms. So we always know our supplements contain high-quality ingredients”.
Besides that, Amway has its own researchers and scientists team who formulate the products and find the best ingredients to combine.
Even with such apparently enormous work on providing a good quality product, it seems like Amway dietary supplements, like vitamins and protein powders, are not FDA approved.
In 2015, they got in trouble with Indian courts pronouncing that “Amway has been making false and misleading health claims for its vitamin supplement Nutrilite Daily and violating India’s food law”.
Digging deeper, I have found that indeed Amway products are not that perfect as they claim them to be.
If they would, there wouldn’t be complaints from customers, right?
Take a look here at some of the complaints I have found on ConsumerAffairs.com:
However, my goal here is to be as unbiased as possible so I will not ignore the fact the at this same web source, there is also plenty of positive reviews like this:
At the same time, my personal observation is that I got a feeling that these positive reviews were written by either present or former Amway distributor.
If we look at the complaints submitted to another reputable source BBB (Better Business Bureau), we find a total of 18 complaints from real customers who have reported issues regarding bad customers service, Amway products causing damages to goods as a result of their application, billing/collections issues, delivery issues, etc.
How Much Does it Cost to Join Amway?
In order to become an Amway Independent Business Owner (IBO, aka Distributor), you’ll have to pay an annual registration fee of $100.
This fee is set up to cover all the expenses associated with providing you with all the necessary tools and promo materials to help you start and run your business effectively.
In particular, what you are going to get for this fee is your own virtual office, online and offline training materials, product and marketing materials, customer service, and mobile business management tools.
How You Make Money With Amway?
Like with any MLM company out there, Amway has its own Compensation Plan, according to which, there are 3 ways to make money as Amway Independent Business Owner (IBO):
#1. Selling Products at Retail Margin
Being an Amway distributor, you can set the price you’ll charge for Amway products.
When you sell products to customers above your cost, you’ll keep the difference. This is your Retail Margin.
To illustrate this better, here is the formula:
Customer’s Cost – Your Cost = Retail Margin
#2. Earning Monthly Performance Bonuses on Product Sales
When one of your customers wants to build their own Amway business, you then bring her/him into the business.
Now, your customer is Amway IBO, he/she now has the possibility to also earn money from selling Amway products.
Your role here is to mentor and support people who you have signed up underneath you, along the way.
For these efforts, you are going to earn points for each product sold by your team/group.
The more your group sells, the more you all can earn.
Accordingly, these points can earn monthly bonuses, which are calculated emerging from Your Points + Group Points = Your Monthly Bonuses.
#3. Discretionary Cash Awards for Reaching Monthly and Annual Performance Level.
When you work hard over a few years and keep earning monthly points, you then get rewarded with additional cash rewards.
These may also take a form of invitations to all expanse paid trips or fun destinations.
The minimal amount of points is 7500 for 6 consecutive months or more.
If you want a more detailed explanation of the Amway business plan, you may wish to check the video below:
The Good and The Bad
#1. Legitimate Company, in Business for Decades
Amway is one of a few MLM companies with that long story to tell. According to their official website, they are currently having over 3 million IBO in 100 countries from all around the world.
Since its inception in 1959, Amway has paid out $58,6 billion in bonuses and incentives to its IBOs worldwide, which is more than any other direct selling company in history.
#2. Training Provided
When you join Amway as an IBO, you get access to their library of online courses.
This is especially convenient as you can choose when and where you want to learn, you can access these courses from any of the devices you like: mobile phone, tablet or desktop.
The topics included are making money, selling, product knowledge, and business essentials.
These courses are available in five languages (English, Spanish, French, Mandarin, and Korean) so that no matter what is your native language, you can take the opportunity of learning from the Amway knowledge database.
Besides that, you also get access to In-Person Learning Database.
This is for the times when you’ll gather friends or relatives at your home or any other location convenient for you, to make a presentation of Amway business opportunity, or to further teach your team.
In-Person Learning content includes the following materials:
- A PowerPoint Presentation with videos
- A Facilitator Guide with speaker notes
- Different Activities to keep your team motivated and energized.
#3. Money-Back Guarantee
Amway offers a satisfaction guarantee for customers (180 days), as well as for IBOs (90 days).
So you can consider it a risk-free investment, as Amway offers a 100% money-back guarantee in the first 90 days of joining Amway business opportunity.
At the same time, be aware of some of the complaints assuming that Amway would intentionally not respond to an inquiry about the dissolution of the partnership contract with the aim of delaying the time so that 90 days would expire and thus, they will not have to follow their Return Policy conditions.
#1. Amway Products Could be Found on Amazon & eBay
According to Amway’s official website, their products “are exclusively sold in 100 countries through Amway Independent Business Owners (IBOs)”.
But if you search for them on some of the online shopping platforms like Amazon or eBay, you can easily find them there available for sale.
On the one hand, it’s great for us, regular customers, to have a choice to buy Amway products from any place is more convenient for us, whether it would be Amazon, eBay, or Amway official website.
On the other hand, with all my respect, and I am sorry to say this, Amway, but this doesn’t add any exclusiveness when your products are available for buying elsewhere besides your IBOs.
Multi-level marketing is in its essence not the easiest business model out there.
What to say when the products are present in the most popular online shopping platforms?
I personally think that this is in detriment for Amway distributors, although chances are that Amway distributors are the ones who sell Amway products through the Amazon online platform.
#2. Beware of Negative Product Reviews and Customer Complaints
I have already mentioned above that Amway products received a good deal of negative reviews. Also, take note that Amway products are not FDA approved.
It’s important to take all of these into consideration when making a final decision whether to join Amway business opportunity or not.
At the end of the day, this is you who will be associated with Amway products, right? I bet you want to be part of a company with an unblemished reputation.
#3. Beware of Lawsuits Against Amway
One of them was filled just recently, in January 2020.
According to the Los Angeles Times, one of the former Amway distributors, William Orage accuses Amway of being ” heavily focused on recruiting new distributors because of the sign-up and annual renewal fees they pay.
IBOs are incentivized to bring in new ones because they receive a premium on Amway products purchased by their recruits”.
This is not the first time when Amway gets into trouble with the law.
Back in 1979, the U.S. Federal Trade Commission (FTC) discovered that the company had overstated its profitability.
Then, in 2010, a former Amway subsidiary agreed to settle a suit for an estimated $155 million, alleging that it ran a fraudulent pyramid scheme.
Can You Make Money With Amway?
I personally believe that whether a business opportunity will make you or break you, that depends, on the most part, on your own belief in the product that you are going to sell, as well as your desire and willingness to invest your time and effort to make this thing work for you.
First of all, in order to be able to make money with Amway, you’ll have to use yourself Amway products so that you know all the pros and cons of these products and can make a good recommendation for your potential customers.
Second, there is a minimum order you’ll need to make every month in order to keep your current status.
So if you still are not using any of the Amway products, make sure you replace all the brands in your house with Amway products.
The next question is how much money can you make selling Amway products?
Again, this depends solely on you and your efforts but to get an idea of income potential, here is what I have found among Amway promo materials:
On average, $200 a month can make a good extra income but I assume it’s far not enough to make a living from Amway business opportunity.
My Final Opinion About Amway Global + A Better Alternative
I personally like the fact that Amway doesn’t make those claims that you will make thousands of dollars with them in a matter of no time.
They don’t position themselves as a “get-rich-quick” scheme so it’s a good sign right from the start.
With all those pros and cons I have explained above, if you feel like MLM business model is what you want to dive into, Amway could be a good choice for you.
But if you are like me (multi-level marketing is definitely not my cup of coffee) and you are looking for a more passive way of making money, you may wish to consider affiliate marketing.
This is what I do and I love it!
If You Don’t Want To Waste Anymore Time On MLMs,
See My #1 Recommended Way of Making Money Online:
I hope you have enjoyed reading this review and now you know better What is Amway About.
If you have any questions, or just want to say “Hi” or tell your story, you are more than welcome to leave a comment below.
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Thank you for reading and I hope you and your family are well and stay safe during these hard times of Covid-19.
Take care and I’ll talk to you within my next post.