Amway is now a household name with its various home cleaning products and beauty products. Amway has operated almost all countries of the world and it offers a business opportunity that offers a flexible schedule if that what’s you are searching for. But before jumping in MLM company, you must know how these companies work and in this Amway MLM Review, I will discuss both the advantages and disadvantages of Amway.
What is Amway MLM?
Watch this short video on Amway:
Amway products are marketed all over the world through its representatives. Amway claims itself the world’s largest direct selling company. Amway had recorded 8.80 billion revenue in 2018 and more than 3 million sales.
Amway has varied products from weight management shakes, eye & lip care, laundry detergent, household cleaners, and beauty products.
Are Amway Products Worth Their Price?
Amway has a wide range of products and you can buy these products directly from the Amway representatives. Although Amway products can be bought from e-commerce sites like Amazon and at much lower rates compared to Amway’s website.
Let’s take the example of the “Nutrilite Daily” top-selling product of Amway.
You will get 120 tablets of NUTRILITE Daily for Rs.2,229.00 but the same product is available on Amazon for a much cheaper price.
You can see that on Amazon you will get the same product for Rs.1965 and you will get 150 tablets instead of 120 tablets. In short, you are paying Rs.13 per tablet instead of Rs. 18.57, when you buy from Amazon Website.
p.s: You will find complaints on the Amazon for the tampering of products, so if you want to buy the product, I will suggest buying from Amway representative or their website.
p.s: In India, Highcourt overturns order restraining Amazon from enabling the sale of Oriflame & Amway. Read Here
The Amway MLM Opportunity
Amway offers an opportunity where you can become an Amway IBO (Independent Business Owner). To start with you need to invest $100, to buy a starter kit from an Amway representative.
The kit comes with the following:
1. A step-by-step guide to help distributors understand the business, products, training resources, and details on bonus programs
2. Marketing support
3. Direct sales tips
Once you register with Amway, you then need to promote these products through your friend and social circle. Your friend host a party and you then demonstrate and explain the usage of Amway products and their benefits.
You may get orders for products, you order them and distribute them. You then receive a certain percentage for the product sell.
You also need to expand your network by recruiting other members under you, to increase your income potential. You earn commission by recruiting other people to Amway and the sales they made.
You can cancel your Amway membership within 90 days and it comes with a money-back guarantee.
How Much Does It Cost to Join Amway?
There is no registration fee for joining Amway but you need to buy a starter kit to start as an Amway representative, this kit costs $100, which comes with a money-back guarantee, for 90 days.
Can You Make Money with Amway?
Amway is an MLM Company, where your success depends upon the network you build. So if you have a wide network, a lot of friends, family, and neighbors who are interested in Amway products, you can earn a good commission.
But the tough part is to maintain a steady income with this business model since Amway is around for almost 60+ years, the market for Amway is saturated and the scope for growth is very limited.
One source says that Amway’s payouts to distributors show that more than 99 percent of all who sign up never earn a profit. So you can imagine how terrible the condition is.
Secondly, since it’s an MLM opportunity, most of your success depends upon your marketing skills. If your team members are active, you can earn a good amount of money, but if they are not active your earning potential is limited.
Since it is very easy and cost-effective to join Amway, there is n number of consultants and you may find it really difficult to sell products. Many new members may drop out of the network if they do not make consistent sales.
Amway products are easily available on e-commerce sites and you will get Amway products at much cheaper rates than its official website. That makes the condition worse.
Amway offers you a 90-day money-back guarantee if you find that Amway is not suitable for you. It’s really a great feature of Amway, as you need to invest $100 to start as Amway IBO.
Amway was started way back in 1959, so it has created a name and brand for itself. You will find many good reviews and ratings on different e-commerce sites like Amazon. People seem to like Amway products.
Amway also has several notable partnerships with companies such as:
Amway offers a number of free courses, podcasts, and presentations to help you succeed. You can also join their World Wide Dream Builders for an additional monthly fee.
Amway is not new to dealing with a class-action lawsuit. Here are some of the lawsuits received by Amway:
- Amway criminally violates federal racketeering law
- Amway violates California’s “endless chain” law
- Amway deliberately deceives consumers to enroll in the pyramid scheme in which they inevitably suffer financial loss
- Amway commits wire fraud and mail fraud
Over-Hyped Income Claims:
Like any other MLM company, Amway makes overhyped income claims but in reality, a negligible number of people earn a good income by promoting Amway.
Amway’s level of retention can also be discouraging since less than 41 percent of its distributors are active.
One source says that Amway’s payouts to distributors show that more than 99 percent of all who sign up never earn a profit.
No Income Disclosure:
The income disclosure statement is the best way for consumers to find information on an MLM company’s earning opportunity directly from the consumer. Amway does not provide any Income disclosure for the US.
It’s more serious that as per the UK income disclosure, an average network marketer Amway would make an annual average below the U.S. poverty line.
Is Amway a Scam?
Amway is an MLM company and established itself as a quality brand over the years. It is definitely not a Scam. But the MLM module is such that, unless you make a sale you are not going to earn a dime.
Most of your success is dependent on your team members, who joined under you. Unless they are active and making sales, your earning potential is limited.
You will find good reviews about Amway products but there are lot of complaints about the business plan.
The market for Amway products is very saturated and it has become very difficult to sell Amway products, as they are easily available on Amazon for cheaper rates.
It is a proven fact that it’s very hard to earn with MLM, only a few at the top strata earns a substantial income and that’s the main concern with MLMs.
Other MLM Reviews:
Amway is an MLM company and it runs like any other MLM module, but the good thing about Amway is it comes with a 90-day money-back guarantee. Also, you need to consider other facts like shipping charges.
It has many hidden costs like shipping charges. You need to pay all the shipping charges for yourself, that may eat up any commission that you make.
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