Amway Review: Is It Really an MLM?

Product Name: Amway
Website: www.amway.com
Price: $500-$600/mth
Owner: Richard DeVos and Jay Van Andel
Overall Ranking:  85 out of 100 

Would you like to own your own store online selling basic everyday items? This is a popular question asked by Amway distributors.

But is it possible to own a convenience store and supermarket with Amway? Get others to buy from you and build your own brand?

In this review, I will be telling you about the Amway aka (American Way) business opportunity, and what it really entails. Sit back, as we take a few minutes to unfold this so-called MLM.

Introduction About Amway


Amway has been around for quite some time dating back as far as 1965. That’s more than 60 years in business.

Their headquarters is based in Ada Michigan and was started by  Richard DeVos and Jay Van Andel.

These men have left their families a legacy and the company is now operated by CEO William Pinckney.

Amway has businesses set up in over 80 countries worldwide. They provide the opportunity for persons to become independent business owners (another term for sales distributors) through them.

Additionally, the company has a line of over 450 products to select from. These products acquired from a number of independent companies.

Pro’s and Con’s of Amway


 Pro’s

  1. Legitimate business opportunity.
  2. The business is global.
  3. Active community.
  4. Low start-up fee.
  5. Business training conferences worldwide.
  6. Access to training material for distributors and recruits.

Con’s

  1. Family and friends are key targets which is bad for business.
  2. You need to do consistent recruiting.
  3. Too many upsells.
  4. Competition is tight for business owners. (3million distributors)
  5. Products are overpriced.
  6. Bad reputation being a pyramid scheme all over the internet.
  7. The Independent Business owner becomes customer support for its products sold.

Who is Amway for?


This opportunity is for someone who does not mind hunting down their friends and family to join the program. It is for people who are willing to settle making $200 or less per month.

It is also for those who enjoy being a not so original salesperson: debating, arguing, and persuading others to buy into the product every minute of the day, every day of the week, every week of the year.

Finally, it is for those who are willing to spend a few thousand dollars in products, training, recruiting and other costs just to lose their time and hard-earned money.

Training and Tools Overview


There are varying training available within Amway. From self-taught reading materials provided in books, and digital downloads to online training tools, and conference calls.

When one signs up this is what they will get:

  • Both online and offline training materials
  • A backend office to manage store (virtual)
  • Mobile apps which are management tools
  • Access to Amway customer service.

Amway top distributors have stepped up to the plate offering a program called World Wide Dream Builders to help new recruits but that program I find to be not authentic either.

What are the Products?


You may ask the question what are these products and does Amway make them? Well, the company has used the strategy of making business alignment with other companies and that’s where they get their products.

These companies are known for supplying Amway with products:

  • Nutrilite
  • Ribbon Store
  • Alticor
  • Quixtar
  • Legacy of Clean
  • Artistry

When you view their product line, you will realize that the product brand names are not necessarily the name of the company. Below are some names of products you will see:

  • Body Works
  • Glister
  • XS
  • Nutrilite
  • Artistry
  • LOC
  • Santinque

These Amway brands may or may not be the usual brands that you buy-in your regular store and are familiar with. All of these companies supply home care products. The products they supply are in four main areas.

  1. Beauty/ Cosmetics
  2. Energy and weight loss supplements
  3. Home Care
  4. Nutrition

Do these products work? There have been many complaints online on the ineffectiveness of some of the products. Some leading to health complications. The feedbacks are many.

The complaints are not just about the uselessness of some products but also about being scammed and losing lots of money to the company.

How Does It Work?


Recruit, recruit, recruit

Recruiting others to join plays a major part in being an Independent Business Owner with the company.  The program was designed to have a 2-3 year plan before being financially free.

In 2-3 years getting prospective clients to buy products from your store as well as joining the business opportunity would create incomprehensible revenue.

So as you can see the main emphasis here is to recruit people and sell the products. If one does not get their downline recruits to replicate what they are doing, that is where they will fall short.

A bad part of getting new recruits is the emphasis placed on getting your family and friends to join. This can make relationships get sour in the long run.

Meet Your Quota

There is a minimum you have to spend on products monthly to be an Independent Business Owner (IBO). Yes, you need to purchase your own products.

Monthly you need to purchase $100 worth of your own products to remain in the company. It is also important to note that the products are a little more expensive than their competitors.

Look at it, the company has 3,000,000 distributors globally. The stats tell us that 40% of their members who join are active and that 0.3% of Americans are making $180-$200 per month.

That is less than 1%.

What does it Cost to be a Member?


To be a member will come at a cost of $100 USD annually. There is however a registration cost of $60. They outline that this registration cost is refundable in 60-180 days.

It is important to note that Amway has other upsells. Below is a description of what it typically costs a member to be apart of the program:

Monthly Expense

Ditto  $300.00

Apps  $80.00

Books  $75.00

Audios  $25.00

Local Meeting  $88.00

Total monthly cost: $568.00

Quarterly Expenses

Gas   $150.00

Food   $100.00

Conference: $186.00

Hotel  $400.00

Total quarter cost: $836.00

There are 4 quarters in the year so that’s  $3,344.00 on conferences alone. Sometimes you may even need to take a plane flight which I have not included. The total monthly expense for the year is $6,816.00.

So that is $3,344.00 + $6,816.00=10,160 for the year.

If you make $200 per month that is an income of $2000.00 per year. Many distributors have their families and would oftentimes incur additional costs to sustain their families and home while they are away at these conferences.

My Final Say


Is Amway an MLM? YES, it does use that model and it is one company that has survived decades to operate legally as an MLM under the disguise of its products.

I would not consider this as passive income though as it is presented. Seeing you have to be doing constant recruiting, attend training through conferences and selling of products.

You are always gonna be in a tight competition with other Independent Amway Business Owners and your downline to find new recruits and sell more products.

Can you earn money through the Amway business opportunity? YES (being an aggressive sales rep and recruiting agent). This income as you see is nothing compared to the expenses.

Can you be financially free with this program? NO. In order to earn a passive income, it is better to own your own business.

Amway is a job selling other people’s products. Learn the skills to start your own online business by trying out My #1 Recommended program.

This program has taught me the skills needed since 2015 and I know that you too can earn a genuine income from it. It is free to join and will not cost you $10,000 USD like Amway.

Author,

Nichole

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