Is Amway MLM a Scam or a pyramid scheme? Welcome to my Amway MLM review which I have written after seeing so many questions online asking similar things such as Is Amway MLM a scam or is it legit, Can I make money with Amway and so on.
So after doing many hours of deep research I have been able to come up with some interesting findings and I will break these down in this post but please be assured that I am not affiliated in any way with this company so what I write good or bad is my honest opinion as I have nothing to gain or lose with this review which I hope is of some value to you should you be interested in selling products by Amway.
What Is Amway MLM?
Amway was founded in 1959 by Jay Van Andel and Richard DeVos, Amway is also known as American Way and is based in Ada, Michigan,
Amway is a Multi-Level Marketing company (MLM) which specialize in health, beauty, and home care products, Ideivedials have the opportunity to make money by selling the products and receiving commission from every sale achieved.
What Products Do Amway Sell?
Amway sells a huge amount of products with most being of great quality and the main selling products fall into the following categories…
- Home and Living: This can include products such as cookware and cutlery, Dish care, Cleaning products, Laundry care, and other accessories with the Amway Home, iCook, and eSpring brand including the eSpring water treatment system.
- Nutrition: In this category, they sell many items for nutrition needs which can include Targeted Food Supplements, Weight Management Products, Sports Nutrition, Healthy Foods, and Beverages Plus Nutrilite™ Accessories.
- Beauty: This is where the biggest sellers are, and included within this category is a huge selection of beauty products which are items such as Skincare products, Oral Care, Make-up, Hair Care, Bath, and Body, Fragrances plus also Male Grooming and many other products.
Are Amway Products Worth Their Price?
This is quite a debatable subject because being an MLM company you would think that Amway will inflate their product prices as most MLM companies do but at the same time most of the products are good quality.
I did read of a lady who bought cookware set for $200 in 1979 and still uses it regularly to this day, so as you can see you pay for quality and Amway do quality products but then again they have so many people selling for them that there is too much competition in this MLM battlefield and some sellers will end up offering Amway items cheaper on Amazon or eBay just to get sells but then make a loss of money.
How does Amway MLM Work?
As with most MLM systems, you will have to be recruited by an Amway sponsor and pay at least $100 towards your Amway Products, then you are able to sell these products and be known as an Amway IBO (Independent Business Owner). You will have full training from your sponsor on things like promoting and selling products.
The most common way for starter IBO’s to promote and sell their products is by hosting little selling parties from home with friends or family and showcasing the products (That they have already paid for) what these products do, how they can help, and how they work then hopefully make some sells.
When sales are made it will only be a simple matter of ordering the products and distributing them to the customers.
It’s not all about selling Amway products though, you will also be expected to recruit more IBO’s for them to sell products to their network of people too (Sort of like a pyramid scheme).
You will also have to meet certain conditions every month to able you to earn more commissions.
Can You Make Money With Amway MLM?
As with all MLM’s, it is a good idea, to begin with, and at the beginning, you can make some extra money by hosting party’s and selling Amway products to friends and family but with a wider view, it can be quite hard to make regular money because so many people are selling the same products (over 3 million).
The best way to make money long-term would be to recruit people to do the selling for you as IBO’s and then you can receive a commission from their sales but then they could drop out anytime if they don’t make sales.
With both cases, it works best if you have a large network of friends and family or excellent marketing skills to maybe go door-to-door or attend outdoor events.
How Much Does it Cost to Join Amway MLM?
There is no actual cost to join Amway but they do expect you to buy some samples for you to try and for you to give your honest opinion when it comes to selling the product.
You are free to choose your products to promote because you might just want to sell household items or only Amway beauty products, so the choice is yours, and most people when they start-up buy on average $100 worth of products and then buy more from their potential profit.
The Pros of Amway MLM
- A Very Well known Company: Amway has been trading for over 60 years and continues to grow so they are most definitely doing something correctly.
- Good Quality Products: There are more positive reviews on the quality of the items compared to negative ones, so there is a good chance that the product will not be returned and it may increase to repeat orders from regular customers.
- A Large Variety of Products: From Cookware to skincare, cleaning products to Protein bars there is a lot of choices when it comes to buying and selling.
- Free Courses: There are the training courses in which you can take for free to try and help you succeed but they do try to promote the World Wide Dream Builders Membership for a monthly fee.
- Available Worldwide: Amway has products for sale in over 100 countries across the globe.
The Cons of Amway MLM
- A High Competition Rate: With more than 3 million people selling Amway products it will be hard to expand your selling business, especially on the internet unless you are better at internet marketing than your competition.
- Expensive Products: Even though the quality of the products is great, most people are not prepared to pay such money and are far more likely to pay less money for similar items from the likes of Amazon and other well-known websites.
- Shipping Costs: Amway has kept it quiet but should you make a sale you would then have to set up the distribution order which will involve a shipping cost that you will have to pay for and from that it will affect your overall commissions.
- Guilty of Price-Fixing and Making Exaggerated Income Claims: Amway was fined £100,000 by the FTC for exaggerating the potential income which can be made by sellers, it was found that more than half of distributors made no money at all and the average distributor making less than $100 per month.
- Even More Low-Income Claims: (Also as above) The Independent watchdog studies have shown more shocking facts that 54% of recruits earn nothing (even lose money) and the rest earn on average only $65 per month which as it stands there are more than 1.6 million people earning nothing through Amway MLM.
Is Amway MLM a Scam?
Amway MLM is not a scam nor is it a pyramid scheme but as with most MLM opportunities, it is very hard to make any money with this business model.
The only way to make a little bit of extra money with this type of model is by just doing it a few times from home by selling to friends, work colleagues, and family members, you could even join as a distributor and take advantage of the wholesale price to keep the product for yourself but I would not advise relying on it towards your long-term financial plans.
Final Thoughts-Is Amway MLM Worth It?
I think after reading this article you will already know the answer and the answer is MLM’s Just do not work and the only people making all of the money are the main ones in the big offices.
MLM (Multi-Level Marketing) is an old business model, the oldest trick in the book and it’s been proven over time that less than 1% of MLM participants actually make a good income from it, and they are scary statistics
If you really have the desire to run your own business without the stress and hassle of selling to your friends and family then why not start to build your own online business? There are lots of ways to make money from your very own business website, you can even choose to promote anything that you want to, maybe something that you already enjoy and are passionate about?
If this sounds like a better option for you then check out my other review on my Number 1 recommendation on how to start your very own online business where it will show you how to get a free website, free training, lots of help, and support plus so much more.
I hope reading this Amway MLM review has been of some valuable info for you, if you have any questions or comments then please feel free to reach out and I will get back to you.
I wish you well with all your future goals and continued success.