Amway
Amway – a portmanteau of the phrase “American Way” – is clearly among the top 5 MLM business opportunities of the world today, even surpassing most non-MLM businesses. The company is run exclusively through network marketing. Its physical office is located in Ada, Michigan but its network spreads out to the various nooks and crannies of the world. It has at least 90 countries in its network today under the name of Amway. In the US and Canada, it has taken on a new identity – Quixtar – which is a part of Amway. Today, Amway and its family (the Alticor companies) have a global turnover of $7.2 billion which is a very commendable figure for the entire business realm.
This mega-storming company was launched in 1959 (making it one of the oldest MLM enterprises still existing today) by two people, Jay Van Andel and Rich DeVos. Today, their sons Steve and Dick are running the Amway show since 1995 and 1992 respectively.
The product line of Amway is one of the most exhaustive for a multilevel marketing venture. This includes mostly home care products such as water purifiers and air purifies and personal care products such as cosmetics. There are also electronic items that can be used around the home. Jewelry is one of the premier products that are sold through the Amway network. In addition, Amway has numerous other concerns, also MLM oriented, such as the Nutrilite dietary supplements. It also has a hotel now, the Amway Grand Plaza Hotel, which is located in Grand Rapids, very close to the Gerald R. Ford International Airport.
The Amway Network Marketing Plan is one of the most comprehensive plans for multilevel marketing businesses and that is what has let the company stay on top for all these decades. The company was a simple sell-and-make-profit-and-commission network marketing venture in its early years, but now the concept has changed. Now, Amway does not concern itself much with product sales. The greater emphasis is on the sales that sponsors make when they sign on distributors into the network.
This is what has made Amway somewhat controversial too, including allegations that it is a pyramid scheme. However, a closer scrutiny by the Federal Trade Commission as far back as 1979 disproved that Amway was a pyramid concept in any way. Still, there is an impression even among the MLM world that Amway is kind of a big bully and a rogue, a company that bends the MLM rules to suit its requirements but sails through because of its humongous network. That be as it may, the distributors of Amway are among the most zealous and hardworking of all.
Amway makes it necessary for distributors to sell at least 70% of their monthly purchases if they want to become eligible for bonus payments. Also, if the downline does not sell any product, the sponsor is compelled to buy them back. There are also bonuses for selling products to 10 people in a month. It is ploys such as these that have managed this company to stay afloat and succeed even today.
Cheers, Devendra Patel
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[...] multilevel marketing world. He is one of the people who contributed their time and effort to make Amway what it is. Being associated with the most exalted MLM enterprise in the world and that too being [...]
Thank you for a very clear and helpful post. I am definitely a violator of many of these rules. I often find myself conflicted when writing a blog post because I see myself writing more than people want to read, but I feel that I have to do the subject matter justice by thoroughly covering it. I feel that by following some of these rules I end up cutting out important aspects to the discussion. I guess you have to find a balance.