Multi-Level Marketing Holds the Future—a Review of Amway

 Amway is a 50-year-old-company. Their history dates back to 1959. The company specializes on dietary supplements, skin care, purified water, and general household toiletries. They are still a force in this industry. 2008 sales exceeded $8 billion. And the company is now present in over 80 countries around the world. Amway’s products are distributed by more than three million distributors (known as Independent Business Owners, IBOs).

They implement what they call Low risk, Low-cost Business Opportunity that is open to everyone. The company rewards you for selling its products and also for sponsoring others to sell the products. These rewards can be summarized as follows:

• Retail profit on product sales to customers
• Monthly performance bonuses—this range from 3% to 25% business volume, depending on the IBOs monthly productivity.
• Monthly and annual leadership bonus and cash awards
• Business incentives based on group performance

Additionally, for health, and home care products, retails margin normally average 29% when these are sold at suggested retail prices. But IBOs are allowed to independently determine the prices at which to sell to customers. So the margins on these items can be considerably higher.

Amway has an array of tools to support their sales force—the Independent Business Owners (IBOs). Yes, they are independent in the way they manage their time and their business. But that doesn’t mean they are without support from Amway. When it comes to supporting their distributors’ businesses, Amway actually treats these IBOs as though they were company staff. They’re provided with customer care information for enquiries about registration, renewal, and product information. The IBOs also get assistance with things like shipping, order handling, and management of customer accounts.

In addition, Amway provides each Independent Business Group their own sales advisor, who supplies advice, training suggestion, and helpful business direction. The company invests heavily in raising public awareness about their business, the opportunity and the products. This includes national and local advertising.

Is Network marketing for you?

Well, studies reveal that nearly 100 million people are involved in direct marketing of various products worldwide. Amway has millions of people as distributors, or IBOs. Majority of these were no doubt attracted by the potential of the opportunity, the size of the company, the visible and extensive level of support, and of course the compensation plan. So whether success to you means earning additional income for yourself and your family, or a greater sense of fulfillment, or something else entirely, it’s up to you. Whatever success means to you, it is no doubt dear to you. And as such you’ll appreciate and evaluate an opportunity to attain such success, which is why this may appeal to you.

 The activities enumerated above surely qualify this as a MLM or direct marketing opportunity, no doubt. Indeed Direct Marketing is now the darling of most entrepreneurs. And why not? It is an industry whose growth has simply been breathtaking. Between 2005 and now, this industry has expanded by over $300 billion! And this is happening at a time many industries—auto, petroleum, metals, etc—are experiencing massive contraction. All this would suggest that network marketing and MLM are the business of the future. Won’t you rather position yourself for the growth that has just begun? The truth remains that no conscientious direct marketer has regretted venturing into this line of business. Levels of success may vary according to individual talents, abilities and level of commitment, but failures are rare. And coupled with the flexibility of the work schedule it offers, most persons today simply find it hard to resist the lure of multi-level marketing. But if you are serious about building a network market business learning how to effectively market yourself and your business opportunity will be the key to your success.

If you would like to learn how to market and attract quality leaders to your Amway MLM business visit my website and blog for more information on Lead Generation tips.