Pros and cons of investing in Amway MLM
Amway is a direct selling and MLM company formed in the late 1950’s. It now has 3 million Independent Business Owners worldwide. With over 1.1 million monthly searches for “MLM” and 1.8 million for “Amway”, you can’t help but actually consider being an Independent Business Owner yourself.
Before you break the bank or submit your resignation letter, let’s try to see whether investing in Amway is, indeed, the way to go..
Advantages of Amway MLM
They get better and reach farther with age. In 2010, Amway had a revenue growth of 9.5%. Today, it is a 9 billion dollar MLM company marketing in 80 countries.
Similar to franchising a business, you would definitely want a company that is stable. One of the most difficult but important factors in starting up a business is reputation. Amway has withstood recessions, making them one of the top direct sellers in the world. The longer the company has been in the industry, the better.
They are ahead of their time. Amway was first known for their organic cleaning product called “Liquid Organic Cleaner”. In the late 50’s, environmentally safe products were the least of worries of manufacturers. At present, because consumers are educated about the importance of earth-friendly items, Amway products are definitely on the right track. That’s a huge relief for IBOs.
Efficient and Adequate MLM Support. For Amway, it is not enough that you sign up and then they leave everything up to you. To help IBOs, Amway has created The Learning Center to provide them with training materials, tips on bookkeeping, tax tips, and more guidelines for the success of their MLM business.
Moreover, Amway’s Business Reference Guide is available online. As a future entrepreneur, you would want to carefully study what you’re getting into. Amway also has the Independent Business Owners Association International. The group serves as the voice of IBOs, at least in North America.
Marketing is a priority. Brand recall is important in business. Amway makes sure that the world remembers them by investing in national advertisements, brochures, and magazines. They are also very much involved in event sponsorships and corporate social responsibility-related activities.
What You Might Not Be Too Crazy About
Pricey Products. Amway best selling cleaning products average at around $12. Although IBOs may be representing a good brand, consumers, especially with the current economic conditions, may go for quantity versus quality.
No available information on start up cost. Although Amway has the Business Reference Guide on The Learning Center, they do not provide a clear information on their MLM start up cost. Knowing how much you have to invest is a very important factor in business.
Long list of leadership positions. Without even going through every Amway MLM leadership positions and their qualifications, just looking at it may be intimidating. When you look at the list, the first thing that comes to mind is, “Can I even get halfway there?” Rather than the rewards becoming a come-on, the twenty-plus positions just discourages future IBOs.
The compensation plan may be difficult to comprehend. Well, really, which MLM company’s compensation plan isn’t? It probably is the way it is presented in their guide; but because this is one of the first things wanna-be-IBOs ask about, you can never go wrong with having a compensation plan that’s efficient and easy to understand.
Amway doesn’t really have to prove anything anymore. Being more than half a century old in the MLM business with millions of IBOs already say a lot. As in any business, there are disadvantages. The thing is, when it comes to your personal success, every bit of decision comes from you.