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Amway, is it a scam?

Amway, is it a scam?

Amway is a business that deals with direct selling.

It has been in existence for over 50 years and carries out its operations in over 100 nations.

It has also made claims to have assisted over 2 million IBOs or Independent Business Owners pave their way to success.

The company claims to do this by providing a massive and unique product line, excellent customer support, elaborate training and a host of others.

Amway carries out its operations from Ada, MI and has a rating of A+ with the BBB.

Read more about Amway history and its products.

Over the last three years, they have only had 11 closed complaints.

It seems Amway has a reputation that is not entirely positive among Independent Business Owners, and the most regular complaint cited high prices and difficulty making cash.

How Does Amway Work?

At its core, Amway is a direct-selling company.

What this means is that they base their business model on individuals selling the products they offer exclusively.

These individuals get a commission on every sale.

You can benefit from Amway either as a business owner who sells products or as a customer who buys products.

You will be required to register as an IBO first before you are allowed to sell Amway product. This will give you the opportunity to earn cash via their compensation plan.

After you have signed up as an IBO, Amway claims that you will always have support. This is because of their world-class training, education, mentoring, business resources and support.

3 methods of Making Cash with Amway

You can make cash from Amway in 3 ways which include:

  • Retail Margin: This cash comes from the product you can sell
  • Bonuses: They base bonuses on your team’s performance and your performance
  • Growth incentives: The more sponsors you have, the larger your group can become.

Some product categories offered by Amway

The following are a few products Amway offers. They include:

  • Beauty products: Makeup, skincare and a host of others
  • Nutrition: Sports nutrition, weight management, vitamins and supplements, and energy drinks
  • Home products: Surface care, Laundry, cookware, dish detergent, and many others
  • Accessories and Jewelry: Gift sets, Bracelets, Necklaces and a host of others
  • Fragrances: Numerous collections from Personal Accents
  • B2B Products: Cleaning, commercial size agricultural and laundry products

Amway Pricing

Prices you get when you sign up with Amway as an IBO vary dependent on the Business Kit you select.

They include:

IBO Literature Kit comes with detailed instructions to begin your business with Amway.

It also provides training programs, brochures and other information relating to the bonus program of the company.

Pricing starts at $62.

IBO product Kit: comes with everything you get on the welcome kit as well as products worth $150 that you can try out. Pricing begins at $83.99

Amway Compensation Plan

You can become a part of Amway as a distributor by paying $62. It comes with a 60 days money-back guarantee.

As a distributor, this fee gets you a catalogue of the company’s products, and a getting started guide and information related to the award programs of the company.

The starter kit Amway offers to new distributors comes alongside materials for training.

Distributors can set the prices they desire for products they are selling. This means they can determine the amount of profit they want to earn.

This provides them with lots of flexibility and earning when it has to do with selling to customers.

The monthly bonus of a distributor comes when their sponsored distributors make sales.

This urges them to introduce more individuals to the platform.

Pros of Amway

  • In the hands of the right individual, the compensation plan Amway provides can earn you lots of cash
  • Amway is a recognized name globally and has been existing for a long time. This means you can be sure of its sincerity.
  • The compensation plan comes with a decent training plan and low startup costs

Drawbacks of Amway

  • There have been complaints about issues locating sponsors
  • Some of the products can be quite pricier than that of competitors which makes selling difficult
  • It has to do with more of marketing and outdoor selling which most people may not be comfortable with
  • If you are not great at getting people to be distributors and you acting as the sponsor, you might not make as much cash as you desire with this platform.

Bottom Line: Is Amway a Scam?

Bottom Line: Is Amway a Scam?When it boils down to it, this organization has been existing for quite a long time. They also ensure they pay following their compensation plan.

As a result, even with their generally not so great reputation online, they are not a scam.

Nonetheless, they have faced criminal investigations in the past, and this is something a lot of individuals may not want to associate themselves with.

Another important consideration for the organization not being a scam is the number of products they have available.

There are numerous products distributors can choose to grow from.

But the main drawback with this platform is that you would need to be able to draw in distributors and be their sponsor if you plan on making a decent amount of cash.

The problem is further intensified by the fact that the majority of the people who partake in MLMs do not understand how to get leads consistently every day.