Amway’s mlm business and product choices

Amway’s mlm product choices

Amway’s mlm business and product choices

Amway MLM business is pro-choice.  No, we’re not talking about morality here.  Starting out in 1959 as a company that sold household products, Amway now has a wide range of brands and products to choose from.  Can you imagine Amway being one of the top direct selling companies with just a single product?

One thing that is certain about consumers in this fast-paced age is this:  they are constantly looking for choices.  Amway, drawing from 52 years’ worth of experience in direct selling, understands that consumers’ need.  From a business person’s point-of-view, having a specific product may be more favorable at a quick glance.  It’s easier to manage.  The business is more focused.

However, offering just one product, particularly in the MLM business is like trying to grow a plant without soil, water or oxygen.  “Specific variety” seems to be one of the keys to success of Amway’s MLM business.

Choices from the start

Upon signing up with Amway’s MLM business as an Independent Business Owner (IBO), you are already given choices.  You can opt to earn from just your immediate income, which is the profit you get from the products you sell.  You may also prefer getting bigger commissions by purchasing wholesale Amway products, which you can later on personally use or sell for retail.  As you go along, you are also given the opportunity to receive bonuses and incentives apart from your immediate income and commission.

In the compensation plan section of the Amway Business Reference Guide, they state this at the bottom of each page:

“The average gross monthly income earned by “active” IBOs was %115 US.”

“Approximately 66%of all IBOs of record were found to be active.”

“Based on an independent survey during 2001, “Active” means an IBO attempted to make a retail sale or presented the Amway Global Independent Business Owner Compensation Plan, or received bonus money, or attended a company or IBO meeting in 2001.  “Gross Income” means the amount received from retail sales, minus the cost of goods sold, plus the amount of Performance Bonus retained.  There may be significant business expenses, mostly discretionary, that may be greater in relation to income in the first years of operation.”

Having been presented with these information, you clearly can choose to take the risk, which all businesses have; or step back and look for more choices.

“Specific Variety”

“Specific variety” of choices is not as simple as having just anything in your MLM business.  It’s a variety of choices leading to a specific goal.  Amway brands and products, although composed of different choices, are all geared towards health and beauty.

According to the Direct Selling Association statistics, home and family care, wellness, and personal care rank as the 3 highest selling categories in the direct selling industry with a percentage sales of almost 70%.

Founded by Jay Van Andel and Rich DeVos, Amway immediately gave every household a choice in their cleaning needs.  They introduced one of the first bio-degradable earth and health-friendly cleaner, L.O.C. (Liquid Organic Cleaner) in 1959.  From L.O.C. (now called Legacy of Clean), Amway developed and partnered with brands such as eSpring, iCook, Satinique, and Nutrilite continuing to give choices to consumers in their health and beauty needs.


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