Tuesday, November 15, 2011

Amway Myth - IBOs Sign Up Just To Buy Products?

One of the myths perpetuated by IBOFightback aka David Steadson is that a lot of IBOs only sign up with Amway and they exclusively buy Amway products with no intention of building the business. Therefore, the poor results of Amway business owners are actually much better because as IBOFB seemingly claims ad nauseum, that these folks are a success because all they want is the ability to buy products. IBOfightback recently mentioned this on another blog. Of course that makes me question IBOFB's truthfulness when in the past, he said he was making efforts to build his business again. Secondly, it makes me wonder why he has decided to self proclaim himself as Amway's savior when he in fact is only involved as a customer.

How would anyone actually know why someone signed up for Amway? If most sign up and "do nothing" as steadson claims, what about the rest? Even if you were to analyze the business opportunity based on "business building" IBOs, the rate of success is a fraction of 1%, using platinum as the target. The Amway compensation plan is designed that way. In the
6-4-2 plan, which is commonly used at open meeting or at home board plans, shows a group of 79 IBOs, all serious enough to move 100 PV. Well, there's 1 platinum in the bunch and lost of lower level IBOs. I know there aren't any real groups organized like the 6-4-2, but if these IBOs were all on the tools system (functions, cds, etc), then most of these IBOs would lose money. The platinum would likely be the only one with a net profit if these were all "serious" and "dedicated" IBOs. Let's qualify that serious and dedicated is someone who attends all functions and meetings, included major functions, is on standing order, voicemail, book of the month, and invests in other related training materials.

I know there are some people who are IBOs who stopped building the business but remain as customers. But there folks are likely a small percentage of the IBO sales force. This can be confirmed by the attrition rate that Amway has. While nobody can know an exact figure, simple math and common sense would indicate that someone who can get similar products for a fraction of the price would likely abandon their Amway loyalties in favor of WalMart. If you can't see that, you still have soap in your eyes.


Anonymous said...

Does Joecool have a real name?

Anonymous said...

Is Anon a WWDB Amway IBO unable to articulate a substantive response to Joecool?


Anonymous said...

Who wants to know?