Thursday, February 19, 2009

Amway Global Opportunity Versus Working At McDonald's

When you visit the Amway Global blog, they have a sectiobm I believe called "by the numbers". When you click it, it takes you to "Thisbiznow" and shows the average income of "active" IBOs to be $115 a month - and that's after disregarding about 1/3 of the IBO sales force as they are not "active". I believe that this figure is based on a 2001 survey done by the corporation (And Amway supporters complain and bemoan critics for not having currect information).

One of the things I often hear from Amway supporters is a comparison of Amway and franchises. (McDonalds in particular). First of all, unless I am mistaken, Amway is not a franchisor, and their salesforce (IBOs) are not franchise owners. This is simply a trick used by some lines of sponsorship to make you feel nice and important (I guess). So there is no valid comparison between an IBO and McDonalds.

But let's look at one very telling comparison between Amway IBOs and McDonalds. In Hawaii, the minimum wage is $7.25 an hour. If someone were employed at McDonald's for $7.25 per hour, and they worked 5 hours per week, or 20 hours in a month, their gross income would be $145.00! That's more than 30% more than an average IBO receives from the Amway opportunity! For you average IBOs out there - want a 30% raise? Get a 5 hour per week job at McDonalds! Go Big Mac!


Rykel™ said...

Just want to point out that you are confused between a McDonald's EMPLOYEE and Franchisee. The people who are employed by IBOs to work for us are the Employees, but not the IBOs ourselves.

The corresponding roles are as below:
McDonald's - Franchisees - Employees - Customers
Amway Global - IBOs - Employees - Customers

Thanks for updating your blog.

Joecool said...

Hey Rykel,

Thanks for visiting my blog.

I'm not confused. I think you have the McDonald's sequence right.

But for Amway, in many cases, it is Amway - IBO/Customer.

The distinction between IBO and customer can be blurred when you have IBOs who sell primarily to themselves.

florencew said...

I suggest all of you should do your homework first before you comment. I don't understand why people like mislead others with the facts that they are not clear or made up by them.

No matter what you said, Amway is a multi billion company that no one can denie...

Joecool said...

Hi Florence, thank you for commenting. Could you please elaborate which facts I may have wrong?

Also, as you can see, I have nowhere denied that Amway is a multi billion dollar company.
I'm sure Amway officials are thrilled with their good sales year as recently reported. However, Amway's success does not translate into success for teh rank and file sales force, as clearly illustrated by this blog post.

Please feel free to drop by again.

Anonymous said...

Joecool- Just curious... what is your annual income?

Anonymous said...

nunya. look that word up!