amway products business plan

Amway Business Plan Template

Written by Dave Lavinsky

Over the past 20+ years, we have helped over 1,000 entrepreneurs and business owners create business plans to start and grow their Amway companies.

If you’re unfamiliar with creating an Amway business plan, you may think creating one will be a time-consuming and frustrating process. For most entrepreneurs it is, but for you, it won’t be since we’re here to help. We have the experience, resources, and knowledge to help you create a great business plan.

In this article, you will learn some background information on why business planning is important. Then, you will learn how to write a Amway business plan step-by-step so you can create your plan today.

Download our Ultimate Business Plan Template here >

What is an Amway Business Plan?

A business plan provides a snapshot of your Amway business as it stands today, and lays out your growth plan for the next five years. It explains your business goals and your strategies for reaching them. It also includes market research to support your plans.

Why You Need a Business Plan for an Amway Business

If you’re looking to start an Amway business or grow your existing Amway network, you need a business plan. A business plan will help you raise funding, if needed, and plan out the growth of your Amway business to improve your chances of success. Your Amway business plan is a living document that should be updated annually as your company grows and changes.

Sources of Funding for Amway Businesses

With regard to funding, the main sources of funding for an Amway business are personal savings, credit cards, bank loans, and angel investors. When it comes to bank loans, banks will want to review your business plan and gain confidence that you will be able to repay your loan and interest. To acquire this confidence, the loan officer will not only want to ensure that your financials are reasonable, but they will also want to see a professional plan. Such a plan will give them the confidence that you can successfully and professionally operate a business. Personal savings and bank loans are the most common funding paths for Amway companies.

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How to write a business plan for an amway business.

If you want to start an Amway business or expand your current Amway business, you need a business plan. The guide below details the necessary information for how to write each essential component of your Amway business plan.

Executive Summary

Your executive summary provides an introduction to your business plan, but it is normally the last section you write because it provides a summary of each key section of your plan.

The goal of your executive summary is to quickly engage the reader. Explain to them the kind of Amway business you are running and the status. For example, are you a startup, do you have an Amway business that you would like to grow, or are you operating Amway businesses in more than one state?

Next, provide an overview of each of the subsequent sections of your plan.

• Give a brief overview of the Amway industry.
• Discuss the type of Amway business you are operating.
• Detail your direct competitors. Give an overview of your target customers.
• Provide a snapshot of your marketing strategy. Identify the key members of your team.
• Offer an overview of your financial plan.

Company Overview

In your company overview, you will detail the type of Amway business you are operating.

For example, you might specialize in one of the following types of Amway businesses:

• Retail Sales Amway Business: In this type of Amway business, you will concentrate on retail sales to customers within your developing network.
• Leadership Team Development Business: If you are concentrating on developing leaders within Amway networks, your concentration will be on conferences, events, training materials and other forms of leadership training and communication.
• High Volume Amway Business: This type of Amway business is focused on high-volume network customers who buy in bulk in order to distribute to Amway business owners who have a lower-level volume of sales.
• Online Amway Business: Offering select Amway items that are available in an online-only format, this type of Amway Business has online customers and network growth via digital sales exclusively.

In addition to explaining the type of Amway business you will operate, the company overview needs to provide background on the business.

Include answers to questions such as:

• When and why did you start the business?
• What milestones have you achieved to date? Milestones could include the number of customers served, the amount of revenue during the past six months, opening a second Amway network, etc.
• Your legal business structure. Are you incorporated as an S-Corp? An LLC? A sole proprietorship? Explain your legal structure here.

Industry Analysis

In your industry or market analysis, you need to provide an overview of the Amway industry.

While this may seem unnecessary, it serves multiple purposes.

First, researching the Amway industry educates you. It helps you understand the market in which you are operating.

Secondly, market research can improve your marketing strategy, particularly if your analysis identifies market trends.

The third reason is to prove to readers that you are an expert in your industry. By conducting the research and presenting it in your plan, you achieve just that.

The following questions should be answered in the industry analysis section of your Amway business plan:

• How big is the Amway industry (in dollars)?
• Is the market declining or increasing?
• Who are the key competitors in the market?
• Who are the key suppliers in the market?
• What trends are affecting the industry?
• What is the industry’s growth forecast over the next 5 – 10 years?
• What is the relevant market size? That is, how big is the potential target market for your Amway business? You can extrapolate such a figure by assessing the size of the market in the entire country and then applying that figure to your local population.

Customer Analysis

The customer analysis section of your Amway business plan must detail the customers you serve and/or expect to serve.

The following are examples of customer segments: individuals, families, corporations, medical distributors, and civic organizations.

As you can imagine, the customer segment(s) you choose will have a great impact on the type of Amway business you operate. Clearly, individuals would respond to different marketing promotions than corporations, for example.

Try to break out your target customers in terms of their demographic and psychographic profiles. With regard to demographics, including a discussion of the ages, genders, locations, and income levels of the potential customers you seek to serve.

Psychographic profiles explain the wants and needs of your target customers. The more you can recognize and define these needs, the better you will do in attracting and retaining your customers.

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Competitive Analysis

Your competitive analysis should identify the indirect and direct competitors your business faces and then focus on the latter.

Direct competitors are other Amway businesses.

Indirect competitors are other options that customers have to purchase from that aren’t directly competing with your product or service. This includes warehouse store chains, grocery stores, mail-order companies, and wholesalers. You need to mention such competition, as well.

For each direct competitor, provide an overview of their business and document their strengths and weaknesses. Unless you once worked at your competitors’ businesses, it will be impossible to know everything about them. But you should be able to find out key things about them such as

• What types of customers do they serve?
• What type of Amway business are they?
• What is their pricing (premium, low, etc.)?
• What sets their business apart from others?
• What are their weaknesses?

With regard to the last two questions, think about your answers from the customers’ perspective. And, don’t be afraid to ask your competitors’ customers what they like most and least about them.

The final part of your competitive analysis section is to document your areas of competitive advantage. For example:

• Will you provide options for volume discounts or special deliveries?
• Will you offer products or services that your competition doesn’t?
• Will you provide better customer service?
• Will you offer better pricing?

Think about ways you will outperform your competition and document them in this section of your plan.

Marketing Plan

Traditionally, a marketing plan includes the four P’s: Product, Price, Place, and Promotion. For a Amway business plan, your marketing strategy should include the following:

Product : In the product section, you should reiterate the type of Amway company that you documented in your company overview. Then, detail the specific products or services you will be offering. For example, will you provide Amway products with a 2-day delivery service for senior orders?

Price : Document the prices you will offer and how they compare to your competitors. Essentially in the product and price sub-sections of your plan, you are presenting the products and/or services you offer and their prices.

Place : Place refers to the site of your Amway company. Document where your company is situated and mention how the site will impact your success. For example, is your Amway business located in a business district, a home office, or is it purely online? Discuss how your site might be the ideal location for your customers.

Promotions : The final part of your Amway marketing plan is where you will document how you will drive potential customers to your location(s). The following are some promotional methods you might consider:

• Advertise in local papers, radio stations and/or magazines
• Reach out to websites
• Distribute direct mail pieces to your target audience
• Engage in email marketing
• Advertise on social media platforms
• Improve the SEO (search engine optimization) with target keywords on your website

Operations Plan

While the earlier sections of your business plan explained your goals, your operations plan describes how you will meet them. Your operations plan should have two distinct sections as follows.

Everyday short-term processes include all of the tasks involved in running your Amway business, including answering calls, taking orders, planning and scheduling Amway deliveries, paying invoices, contacting customers, etc.

Long-term goals are the milestones you hope to achieve. These could include the dates when you expect to reach a high-level in the network , or when you hope to reach $X in revenue. It could also be when you expect to expand your Amway business to include additional Amway networks.

Management Team

To demonstrate your Amway business’ potential to succeed, a strong management team is essential. Highlight your key players’ backgrounds, emphasizing those skills and experiences that prove their ability to grow a company.

Ideally, you and/or your team members have direct experience in managing Amway businesses. If so, highlight this experience and expertise. But, also highlight any experience that you think will help your business succeed.

If your team is lacking, consider assembling an advisory board. An advisory board would include 2 to 8 individuals who would act as mentors to your business. They would help answer questions and provide strategic guidance. If needed, look for advisory board members with experience in managing an Amway business or successfully running an Amway distributorship.

Financial Plan

Your financial plan should include your 5-year financial statement broken out both monthly or quarterly for the first year and then annually. Your financial statements include your income statement, balance sheet, and cash flow statements.

Income Statement

An income statement is more commonly called a Profit and Loss statement or P&L. It shows your revenue and then subtracts your costs to show whether you turned a profit or not.

In developing your income statement, you need to devise assumptions. For example, will you serve 25 online customers per day, and/or offer special Amway volume sales with an online order? And will sales grow by 2% or 10% per year? As you can imagine, your choice of assumptions will greatly impact the financial forecasts for your business. As much as possible, conduct research to try to root your assumptions in reality.

Balance Sheets

Balance sheets show your assets and liabilities. While balance sheets can include much information, try to simplify them to the key items you need to know about. For instance, if you spend $50,000 on building out your Amway business, this will not give you immediate profits. Rather it is an asset that will hopefully help you generate profits for years to come. Likewise, if a lender writes you a check for $50,000, you don’t need to pay it back immediately. Rather, that is a liability you will pay back over time.

Cash Flow Statement

Your cash flow statement will help determine how much money you need to start or grow your business, and ensure you never run out of money. What most entrepreneurs and business owners don’t realize is that you can turn a profit, but run out of money and go bankrupt.

When creating your Income Statement and Balance Sheets be sure to include several of the key costs needed in starting or growing a Amway business:

• Cost of inventory and related packaging
• Cost of furnishings or accessories
• Payroll or salaries paid to staff
• Business insurance
• Other start-up expenses (if you’re a new business) like legal expenses, permits, computer software, office supplies and equipment

Attach your full financial projections in the appendix of your plan, along with any supporting documents that make your plan more compelling. For example, you might include your office location lease or a list of friends and associates who are already lined up to buy Amway from your business.

Amway Business Plan Template PDF

You can download our amway business plan PDF to help you get started on your own business plan.

Writing a business plan for your Amway business is a worthwhile endeavor. If you follow the template above, by the time you are done, you will truly be an expert. You will understand the Amway industry, your competition, and your customers. You will develop a marketing strategy and will understand what it takes to launch and grow a successful Amway business.

Don’t you wish there was a faster, easier way to finish your Amway business plan?

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Since 1999, Growthink has developed business plans for thousands of companies who have gone on to achieve tremendous success.   Click here to learn about Growthink’s business plan writing services .

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How to Write an Amway Business Plan [Sample Template]

Are you about starting an Amway company? If YES, here is a detailed sample Amway business plan template & FREE feasibility report. Amway over the years have grown to become one of the world’s biggest direct selling companies by providing any willing entrepreneur with the platform to have a business of their own.

Known as a front – runner in the united states multilevel marketing (MLM) industry, Amway Corporation manufactures and sells its own products as well as brand name products from other companies through a network of three million independent distributors worldwide.

But unlike all other MLM firms, Amway provides a broad selection of items, from cleaning products, cosmetics, vitamins to travel services, discount car purchases, and catalog merchandise. The company’s manufacturing facilities include a 3.5-million-square-foot production plant in Ada, Michigan, as well as plants in California, South Korea, and China.

Meanwhile, Amway products are delivered to distributors in the United States and the Caribbean region through 12 Amway Service Centers.

A Sample Amway Business Plan Template

1. industry overview.

Before going further, it’s pertinent you first understand about multi-level marketing. The Multi-level marketing scheme is a model that can be used to sell goods along with the services of the company with the help of promoters and partners of the company. The total earnings which are collected from the entire sale are distributed amongst the key players. So, in the process, the seller is not the only owner of the profit accumulated from the sale.

There is also an involvement of the step where the associates will have to get paid with the help of a proper multi-level system, and there are commissions provided to these associates and promoters as well. Multi-level marketing, popularly termed as Network or Referral Marketing, has always been in the news due to its seemingly contentious scheme of marketing.

Amway Business Owner (ABO) plays a major role in channelizing the business at a different level. ABOs let the Amway products reach the customers. With the Amway Business model, the associates will be able to sell the products of the company directly and also they can make sure that they help in the promotion of the products as well. This will create different levels of people working towards one common goal.

Note that the functioning of the Amway Business Model is based upon the performance of ABOs (Amway Business Owners). So, for evaluating their performance, Amway has a term known as Product Value, i.e. PV and Group Product Value, i.e. GPV. PV is actually the MRP of the product, and commissions of ABOs are decided as per the PV of that product.

Howbeit, in the hierarchy, the top-level ABO will get the product from the company at a discounted price based upon their commission, so he or she can sell that to others by that retail margin. In addition, ABOs get the bonuses as per their performances, plus growth incentives are offered to them, so they stay motivated in making the chain to channelize the multi-level marketing program of the company.

The business model of Amway is not really that difficult to understand. There are certain roles that ABOs will be playing. They can either act as the distributor of the company, or they will be playing the role of the recruits who are recruited by the distributor.

You will also be able to easily recruit the people in order to do the job for you in the best way. So, it seems quite obvious that the Amway Business model is one of the best models from the other models of businesses.

2. Executive Summary

Amway is an American company which deals in health, beauty, and home care commodities. At Amway Chicago, which is literally an Amway product store in the heart of Chicago, we will still offer a complete line of Amway products.

Our product prices will be quite stable since we will be buying direct from Amway Corporation. Another beneficial features of this relationship which is of significant value to us is the willingness of Amway Corporation to allow our store in Chicago to place orders as small as $160. The Amway Model is acutely infiltrated into the market, that is what makes it unlike the others and appears as a sham to many.

This is because the networking needs to keep on increasing for better results – more and more people are to be made to join hands and more and more people are to be talked to. At Amway Chicago, we have made plans and drafted result oriented strategies to be able to attract consumers who will in turn become distributors

Amway Chicago, just like Amway Corporation, will offer an efficient and effective distribution model where the products are purchased direct from the Corporation ensuring the highest quality and low prices. They are then sold direct to the consumer.

MLM businesses are often confused with pyramid schemes which are illegal in the U.S. Pyramid schemes are business forms that offer compensation specifically for the recruitment of new sellers. People are promised economic rewards for the more people they recruit, independent of what these people sell.

Herein lies the crucial distinction that regulatory authorities analyze when determining if a business is a pyramid scheme: the way compensation is rewarded. If it is based on recruitment, it is presumed illegal. At Amway Chicago, we will only compensate distributors for sales, an effective and efficient sales and distribution system.

Amway Chicago is an exciting new business which will leverage individuals’ needs for good and quality products and the ability to make money while sharing this need with friends and colleagues. By carefully using the efficient multi-level marketing business model, we will quickly generate sustainable revenue.

Sales forecasts indicate that sales for year two and three respectively will be $1,200,000 and $2,340,000. Net profit for the same years will reach 6.19 percent and 9.81 percent.

3. Our Products and Services

Amway Corporation is known to manufacture and sell a wide variety of products that are of top-notch quality which helps the company in making good money. At Amway Chicago, we will still offer a complete line of Amway products to the people of Chicago. These products include;

• Household Cleaners
• Original multi-purpose cleaning product LOC
• SA8 laundry detergent
• Dish Drops dish-washing liquid
• Health and Beauty
• Body Series
• Atmosphere and iCook as well as XL and XS Energy drinks

4. Our Mission and Vision Statement

• Our vision at Amway Chicago is to grow an organization that compensates individuals for sales made by other people that they recruit, while also satisfying the need for Amway products all over Chicago.
• At Amway Chicago, our mission is to build of a environmentally friendly distribution company that uses grassroots and network marketing techniques to sell the product and make a meaningful contribution to the environment. Earthly Clean exists to support its members and to support the environment.

Our Business Structure

In Amway business functioning, Amway Business Owners have the right to sell the products at different levels. The hierarchy is like: Amway – ABO1 –  ABO2 – ABO3 – Customer. ABO gives a fix commission to ABOs, plus income of 1st ABO added when he or she adds the second ABO.

This hierarchy continues, and in some way, the commission gets added in the account of every ABO. We at Amway Chicago, with our salespeople who are a part of the company, will be working down the entire hierarchy. We will be selling all the products from the list and to the distributors that are working in the retail markets. We plan to do this with the help of some great promotional marketing options and schemes.

Our distributors who will be entrusted with all sales methods will also get to recruit some other new dispensers that they want around the entire hierarchy which can be further helped when it comes to the expansion of the network in the best way. We at Amway Chicago also plan to recruit employees to help in the running of our open store.

Leveraging an effective interview process designed to staff our store with highly qualified people for each position, we will also create a path to let them join the network. Background checks will be utilized for designated positions. Recruiting efforts will always center on referrals. These roles include:

Store Operator

Information officer

• Department managers

Store manager

5. Job Roles and Responsibilities

• Increases management’s effectiveness by recruiting, selecting, orienting, training, coaching, counselling, and disciplining managers; communicating values, strategies, and objectives; assigning accountabilities; planning, monitoring, and appraising job results; developing incentives; developing a climate for offering information and opinions; providing educational opportunities.
• Creating, communicating, and implementing the store’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall store’s strategy.
• Tasked with fixing prices and signing business deals
• Tasked with providing direction for the business
• Tasked with signing checks and documents on behalf of the Amway Chicago

Financial Officer

• Tasked with preparing financial reports, budgets, and financial statements for the store
• Provides managements with financial analyses, development budgets, and accounting reports
• Tasked with financial forecasting and risks analysis.
• Performs cash management, general ledger accounting, and financial reporting
• Tasked with developing and managing financial systems and policies
• Tasked with administering payrolls
• Ensures compliance with taxation legislation
• Handles all financial transactions for the store
• Serves as internal auditor for the store
• Provide technological guidance within the store.
• Supervise information system and communications network.
• Develop and implement a customer service platform to serve the store in every aspect.
• Design, establish, and maintain a network infrastructure for local and wide area connectivity and remote access.
• Consult with administration, department managers, and manufacturing representatives to exchange information, present new approaches, and to discuss equipment/system changes.
• Oversee Internet and computer operations.
• Assess and anticipate technology projects and recommend appropriate action and resources.
• Establish and direct the strategic and tactical goals, policies, and procedures for the information technology department.
• Propose hardware/software solutions to accomplish Amway Chicago’s business objectives.
• Identify user needs and resolve problems.
• Maintains receiving, warehousing, and distribution operations by initiating, coordinating, and enforcing program, operational, and personnel policies and procedures.
• Complies with federal, state, and local warehousing, material handling, and shipping requirements by studying existing and new legislation; enforcing adherence to requirements; advising management on needed actions.
• Safeguards store operations and contents by establishing and monitoring security procedures and protocols.
• Controls inventory levels by conducting physical counts; reconciling with data storage system.
• Maintains physical condition of store by planning and implementing new design layouts; inspecting equipment; issuing work orders for repair and requisitions for replacement.
• Completes store operational requirements by scheduling and assigning employees; following up on work results.
• Maintains store staff by recruiting, selecting, orienting, and training employees.
• Maintains store staff job results by coaching, counselling, and disciplining employees; planning, monitoring, and appraising job results.
• Provides the client with a personalized customer service experience of the highest level
• Through interaction with customers on the phone, uses every opportunity to build client’s interest in the Amway Chicago ’s products
• Takes care of administrative duties assigned by the operator in an effective and timely manner
• Consistently stays abreast of any new information on Amway Chicago, promotional campaigns etc. to makes sure accurate and helpful information is supplied to customers when they make enquiries
• Tasked with cleaning the store at all times
• Makes sure that toiletries and supplies don’t run out of stock
• Any other duty as assigned by the operator.

6. SWOT Analysis

Just like Amway Corporation, our goal at Amway Chicago is to grow a more efficient marketing machine that does away with the inefficient traditional distribution systems. We’ve gone the length of analyzing our chances in the Chicago market and have properly stated our SWOT analysis. Clearly summarized below is the result of our SWOT Analysis;

• All our products are of high quality and their demand in our Chicago market has peaked.
• We will only recruit experienced salespersons to assist in the sales of the products.
• Build the company on a solid basis of integrity.
• Recruiting and retaining quality employees
• Tight margins will allow little wiggle room for error

Opportunities

• Little barriers to entry allows for immediate business opportunities
• New and viable market
• Multi Level Marketing has always been in the news due to its seemingly contentious scheme of marketing.
• Rising operating costs
• Building/maintaining sales volume
• Parent Club legal issues

7. MARKET ANALYSIS

8. our target market.

The reality of Amway’s networking business model is that besides the retail end customer, the very salespersons recruited or sponsored by the ones higher up in the network also act as end-user retail customers for Amway as they are required to pay an entry fee to join the network.

Aside that, we at Amway Chicago have identified two distinct type of customers for our Chicago store. The first customer is the end user of Amway products. These are people who have needs for health, beauty, and home care commodities. The second customer group will be a good number of people from the first group with an interest in becoming distributors of Amway products.

These two customer segments are very much attractive because they represent people who are most likely to be consumers of all Amway manufactured supplies. The distributors will be individual consumers who have an even stronger conviction and belief in the products as well as have the time to sell the products and find potential people to recruit into the distribution effort.

To be a distributor does not require a huge sacrifice of time, the majority of distributors will have full-time jobs in addition to marketing Amway. This makes the job of distributor all that more attractive, the person is able to adjust their already existing job with another source of income.

• Our Competitive Advantage

From our due diligence, we at Amway Chicago have been able to properly identify concrete competitive advantages that will help us succeed.

• Quality Products

Every product sold at/by Amway Chicago are manufactured and supplied by Amway Corporation. This offers us the unique platform to sell very competitive products that meet the needs of the market.

• Stable Pricing

At Amway Chicago, we will be able to offer great pricing because all our products are sourced directly from Amway Corporation. Although Amway Corporation pays out sale commissions to the various layers of distributors, this grassroots distribution model is still more efficient than the traditional distribution channel, keeping prices competitive.

• Favorable Business Model

Unlike other businesses in the industry, instead of profits going to a large corporation, all profits are dispersed among the user distributors that assist Amway. This arrangement is quite rare, and attractive for the targeted customer segment.

9. SALES AND MARKETING STRATEGY

At Amway Chicago, our marketing strategy will focus on the need to generate visibility for Amway as a company that offers health, beauty and home care commodities. Our primary marketing strategy will be based on grassroots networking. We believe that this strategy is most effective when the person selling the products knows the products and is passionate about what they are selling.

This is specifically why we chose to sell Amway products. We understand that in the MLM industry, networking is the key to increased visibility and distribution. Networking will take place in a number of venues including: the traditional work environment, social organizations, religious organizations, and other gatherings/situations that bring people together.

Distributors are expected to set up a meeting with the prospective person (someone they generally already know and have some sort of relationship with), show them the product catalog and provides them with samples.

Immediately the client must have used the products and impressed by them, another meeting can be scheduled to determine if the person is interested in making a purchase, and/or is interested in an additional source of income selling Amway products.

10. Sales Forecast

At Amway Chicago, we will be tracking both the sales to the individual consumers and the revenue received through commissions from sales from the various distributors. Our sales forecast indicates that initially the bulk of revenue will be from sales to the individual customers.

But as time progresses and more distributors are secured, the amount of revenue from the distributors will increase. We at Amway Chicago have adopted a reasonably conservative sales forecast. We estimate that our total first year sales should reach $1,200,000. Our second year will see sales increase to $2,340,000. The third year, with the addition of such a significant number of outlets, we will see sales increase to $5,192,440.

11. Publicity and Advertising Strategy

At Amway Chicago, our plan is to gather enough brand awareness to leverage the product line into other regions and gain inquiries from potential investors. To achieve this goal to expand and grow, we plan to do the following;

• Amway Chicago will spend $1,450 per month on Public relation services for the next year intended to build awareness of editors and product information insertions, reviews, etc.
• Amway Chicago will also spend $440 per month concentrating on drive time Radio advertising. We plan to experiment with different stations, keeping careful track of results. As with the school fundraising program, we expect the stand and signage to be a substantial portion of our advertising.
• List our business on local directories
• Attend relevant international and local health, finance and business expos, seminars, and business fairs et al
• Leverage on the internet to promote our business
• Engage direct marketing approach
• Encourage word of mouth marketing from loyal and satisfied clients

Sources of Income

With the help of the products and services that are provided by Amway Corporation, we at Amway Chicago will be able generate encouraging revenue. Amway Corporation manufactures more than 450 products, and via its MLM model, it sells those products all across the globe, generating a good amount of money.

Amway practices direct selling which is ‘A method of selling goods directly to the consumer by an independent Distributor. A Distributor can then introduce further Distributors and generate income from retail profits supplemented by bonus payments based upon the total sales of the group built by a Distributor”. We at Amway Chicago will generate income through:

• The retailing of Amway goods to consumers. Retail margins (mark-ups) on the basic wholesale price represent income to the selling distributor.
• Additional performance and leadership bonuses, paid on the volume of personal business and the business volume we plan to introduce into the business. Various levels of leadership bonuses, dependent upon the overall size and shape of the business, paid on achieving different levels of business performance.

12. Our Pricing Strategy

Amway as a company maintains a stable price for all products. With the Amway Business models, all associates will be able to sell the products of the company directly and also they can make sure that they help in the promotion of the products as well. This will create different levels of people working towards one common goal, and that is to make sure that the company of Amway is able to make a lot of money.

Meanwhile, the functioning of the Amway Business Model is based upon the performance of ABOs (Amway Business Owners). So, for evaluating their performance, Amway has a term known as Product Value, i.e. PV and Group Product Value, i.e. GPV. PV is actually the MRP of the product, and commissions of ABOs are decided as per the PV of that product.

So, in the hierarchy, the top-level ABO will get the product from the company at a discounted price based upon their commission, so he or she can sell that to other by that retail margin. In addition, ABOs get the bonuses as per their performances, plus growth incentives are offered to them, so they stay motivated in making the chain to channelize the multi-level marketing program of the company.

• Payment Options

All our payment options at Amway Chicago will be inclusive and acceptable because we understand greatly that different people prefer different payment options as it suits them. Here are the payment options that we will make available to our clients;

• Payment by cash
• Payment via Point of Sale (POS) Machine
• Payment via online bank transfer (online payment portal)
• Payment via Mobile money

We have also chosen banking platforms that will help us achieve our plans with little or no issues. Our bank account numbers will be made available on our website and promotional materials to clients who may want to deposit cash or make online transfer for our products charge.

13. Startup Expenditure (Budget)

To get started with Amway, Individual Business Owners need to pay a $62 registration fee. This is direct profit for the company, but it also comes with a 100% satisfaction guarantee for the first 90 days. The fee provides a welcome kit that helps to get new representatives up-to-date with the various product lines that are offered.

Those who are just starting are also recommended to purchase an $83.90 product kit so the items that Amway sells can be sampled and sold with authenticity. The product kit contains $160 worth of full-sized Amway products to try. Meanwhile, we at Amway Chicago have incurred the following expenses for the launching of our store:

• Storage space: This will be used for the storage of product inventory.
• Service provider fees: We’ve incurred both accountant and attorney fees in the setting up of the business. The accountant will set up the Linton accounting system and the attorney will develop and register the business formation as well as draft some sale agreements for distributors.
• Computer system: The computer system will be used for correspondence, accounting purposes as well as to develop marketing and sales information. The system will include a laptop computer, printer, fax/scanner, and a broadband Internet connection. Earthly Clean will use Microsoft Office and Linton Accounting as their preferred software.
• Assorted types of paper and stationery: Personalized with a logo, return addresses, etc. for catalogs, and brochures.
• Assorted office furniture and accessories

Generating Funding/Start up Capital for Amway Chicago

Amway Chicago is a Store owned by Martha Flinch and Damson Cone. Both have been with Amway Corporation for over 10 years and understand the visions and values of the company. At Amway Chicago, we hope to raise our startup fund through the following ways;

• Generate part of the startup capital from personal savings
• Source for soft loans from friends and family
• Generate fund from angel investors

Note : The owners of the company are willing to invest $200,000 to start up Amway Chicago.

14. Sustainability and Expansion Strategy

The key to a successful business with Amway has to be in the building of the downstream. When working appropriately, the Amway business model is one that can work. The tiered levels of sales representatives in each up line can all help us and our distributors succeed.

The unfortunate fact, however, is that many Amway representatives get involved thinking that they can start their own business for a small price and very little overhead. The reality is that Amway is just like any other business opportunity, but with a small twist – sales reps don’t actually have their own business.

For those in Chicago that are good at sales and love to be social with people, we will offer them a tremendous opportunity for success. The underlying fact is that the Amway Business Model is not a scam. Just that it is not really a pyramid model of business – all it relies on is a granted hierarchy of partakers who purchase, retail and further spread out this sequence to earn more proceed-fractions, which is more of a network than a pyramid.

At Amway Chicago, our sales strategy will emphasize our high quality products and 100% customer satisfaction. We believe that by combining these two benefits, consumers are able to try the available products risk free. This provides them with the opportunity to test them out and determine if they are as good as they claim to be. Once the consumer has recognized the outstanding quality that Amway offers, the option of becoming a distributor becomes more attractive.

If the consumer truly believes in the product, then it becomes that much easier to convince them that there is an excellent opportunity available that allows them to sell a product that they believe in, obtain an additional source of revenue, and make a positive impact on the environment. All of this will be done on a grassroots, one-to-one level.

Also, retailing Amway products enables us provide immediate financial incentive rewards to our distributors. Direct selling involves sales people showing and demonstrating products to obtain orders. The objective involves matching consumer needs with the product.

The better the match, the more lasting the potential for the relationship between the seller and the buyer. The selling process is aided by Amway’s retail strategy to provide high quality, readily purchasable items with a good environmental positioning, offering consumers good value for money.

As with all direct selling activities, the process involves two-way communication and this can be time-consuming. Business success and the resulting financial results are a direct consequence of effort, commitment and personal group motivation.

Personal contact between distributors at one-to-one or group meetings provides the opportunity for individuals to discuss strategies, difficulties, levels of involvement and plans for the future. The income objectives and individual targets may be determined by each distributor based upon what he or she wants to earn.

Checklist /Milestone

• Business Name Availability Check : Completed
• Business Incorporation: Completed
• Opening of Corporate Bank Accounts: Completed
• Opening Online Payment Platforms: Completed
• Application and Obtaining Tax Payer’s ID: In Progress
• Application for business license and permit: Completed
• Purchase of Insurance for the Business: Completed
• Conducting feasibility studies: Completed
• Leasing, renovating and equipping our store: Completed
• Generating part of the start – up capital from the founder: Completed
• Applications for Loan from our Bankers: In Progress
• writing of business plan: Completed
• Drafting of Employee’s Handbook: Completed
• Drafting of Contract Documents: In Progress
• Design of The Company’s Logo: Completed
• Printing of Packaging/Promotional Materials: Completed
• Recruitment of employees: In Progress
• Purchase of software applications, furniture, office equipment, electronic appliances and store facelift: In progress
• Creating Official Website for the Company: In Progress
• Creating Awareness for the business (Business PR): In Progress
• Health and Safety and Fire Safety Arrangement: In Progress
• Establishing business relationship with banks, financial lending institutions, vendors and key players in the industry: In Progress

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Amway Business Model

Named after the expression “American Way”, this company has already been one of the top-performing businesses in the world, also featured in the Forbes Magazine . The Amway business model is currently based on direct selling and multi-level marketing and has faced some controversies in the past. 

Let’s go a little deeper into the Amway business model, which starts back in 1959.

A brief history of Amway

Amway was founded in 1959, by two childhood friends: Richard Devos and Jay Van Andel . Before that, they had already been partners in other businesses, and their Amway history starts with the introduction of Nutrilite products.

Neil Maaskant, a cousin of Van Andel’s had introduced Nutrilite to the duo, and, despite both of them hadn’t shown any interest, Maaskant was able to convince them to attend a meeting in Chicago, and they then decided to move on with the brand, thus making him his sponsor. Devos and Van Andel became Nutrilite distributors, and they enjoyed the way they did business since they made a profit not only by selling their products but also through commissions that they earned on the sales of other distributors, that they had introduced to Nutrilite — it is what, today, is called multi-level marketing.

Van Andel and Debos built a successful organization with over 5,000 distributors. So, in 1958, along with those distributors, they formed the Amway association.

After that, they got the rights to manufacture an organic cleaner, one of the world’s first biodegradable multipurpose cleaners, which became a high-seller and established a secure base.

Three years later, Amway acquired the Nutrilite brand, and, in the next decade, they would begin its expansion worldwide. 

Nowadays, Amway is one of the largest private American companies, with an estimated revenue of 8 to 10 billion dollars annually.

Who Owns Amway

Amway, which is officially called Amway Corporation, Inc., is still up today, owned by one of its founders, with Steve Van Andel being the Chairman. Since January 2019, the CEO position is occupied by Milind Pant, a businessman that was the former president of Pizza Hut International for about 10 years.

Amway’s Mission Statement

To help people live better lives, by offering people a business opportunity that allows them to succeed through their own hard work. 

How Amway makes money

Registration fee.

Amway sellers are not called contractors or distributors, but Amway Business owners. Anyone that wishes to become an Amway business owner must pay a registration fee to start. This fee varies according to the country that which it is held.

Amway manufactures more than 450 products and the majority of its revenues comes from the sales of these products, through multi-level marketing. The ABOs (Amway’s business owners) make money in three ways: one by selling products directly to the customers, another when they get bonuses if the sales volume is high, and the last one through incentives when the business grows.

Currently, nutrition and wellness products are responsible for approximately 52% of total sales, and beauty and personal care products are responsible for around 26% of total sales. Nutrilite, Artistry, eSpring, and XS are some of the top-performing brands of Amway.

Amway’s Business Model Canvas

Let’s take a look at the Amway  Business Model Canvas  below:

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Amway’s Customer Segments

Amway’s customer segments  consist of:

• Independent contractors (Amway’s business owners)
• The general public (consumers)

Amway’s Value Propositions

Amway’s value propositions  consist of:

• For ABOs : To choose their own hours and earning potential, and to earn money through commissions;
• For consumers : Well-known, trustful, and respected brand; quality products.

Amway’s Channels

Amway’s channels  consist of:

• ABOs network
• Website and app
• Social network

Amway’s Customer Relationships

Amway’s customer relationships  consist of:

• Customer support

Amway’s Revenue Streams

Amway’s revenue streams  consist of:

• Direct sales
• Registration fees

Amway’s Key Resources

Amway’s key resources  consist of:

• Intellectual property and formulas
• Sales network

Amway’s Key Activities

Amway’s key activities  consist of:

• Product manufacturing
• Distribution
• Marketing and sales
• Inventory management

Amway’s Key Partners

Amway’s key partners  consist of:

• Distribution network

Amway’s Cost Structure

Amway’s cost structure  consists of:

• Raw materials
• Manufacturing and operations
• Labor force

Amway’s Competitors

• Dollar Shave Club : Founded in 2011, it is a subscription business model company that delivers shaving products in the United States;
• Avon : The giant retailer founded in the 19th century (1886) is a worldwide manufacturer and marketer of beauty, health, cosmetics, and other related products;
• Walker & Company Brands : As the company itself states, this retailer founded in 2013 aims to “make health and beauty simple for people of color”;
• Oriflame : With over 50 years of existence, this company manufactures and distributes consumer goods, mainly cosmetics, health, and beauty products;
• Purplle.com : An online portal, founded in 2011, that sells consumer goods, including cosmetics, skincare, haircare, health, beauty, and fragrances. 

Amway’s SWOT Analysis

Below, there is a detailed  swot analysis  of Amway:

Amway’s Strengths

• Presence : Amway is one of America’s largest privately held companies, and it is present in more than 80 countries with over 3 million business owners;
• Range of customers : Its consumers encompass the mass market, from babies to the elderly.
• Awards : such as the Year Award for Asia Pacific Frost & Sullivan Filtration Company, LEED gold certification, and more;
• Range of products : It manufactures and sells products in five categories, including personal care, home care, diet and wellbeing, cosmetics, and gift catalogs. Some of the products are very famous;
• Financials: Amway has an extremely strong financial position.

Amway’s Weaknesses

• Restricted availability: Amway products can be only acquired through direct sellers or online sellers of the company, which lowers its market share;
• Cost: Its products are relatively expensive, thus confining the target market to the luxury category;
• Advertising: The brand does not advertise on TV or similar mass media, depending exclusively on word of mouth ads.

Amway’s Opportunities

• Expansion : The company can increase the availability of products in international markets;
• Online market : Online shopping can be a good way to reach a global market;
• Partnerships : The company can partner up with chains of beauty salons and health experts;
• Media : Amway can invest in communication and explore opportunities for advertising, such as digital marketing.

Amway’s Threats

• Competition : There is increasing competition in both national and international markets, with very low switching costs, also being easily replaced by local products;
• Rising costs: The rising technology and raw material costs may pose a potential threat.

National and international rules and regulations: governments’ rules and regulations may affect and restrict the business of Amway.

To end the conversation about the Amway business model , it is important to say that the company and its board have been subject to several controversies during the brand’s history because their business has been mistakenly confused for a Pyramid Model.

However, in a pyramid model, people can make revenue by simply recruiting new members. According to the brand, participants of Amway, unlike that, rely on a granted hierarchy of members who purchase, retail, and further spread out this sequence, characterizing more of a network than a pyramid itself.

Who is Daniel Pereira ?

I love understanding strategy and innovation using the business model canvas tool so much that I decided to share my analysis by creating a website focused on this topic.

More About Me

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Amway Business

Start Your Journey to Success with Amway

The Ultimate Guide to Starting an Amway Business: Tips and Best Practices

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Embarking on the entrepreneurial journey with Amway can be a transformative experience, offering the promise of financial independence and personal growth. In this comprehensive guide, we delve into the dynamic world of starting an Amway business, providing you with invaluable insights, proven tips, and best practices to set you on the path to success.

Amway, a global leader in direct selling, has empowered countless individuals to build their own businesses, offering a diverse range of high-quality products. Whether you’re a seasoned entrepreneur or a budding business enthusiast, this guide is designed to equip you with the knowledge and strategies necessary to navigate the challenges and seize the opportunities that come with launching and growing your Amway business.

Join us on this exciting journey as we uncover the essential steps to kickstart your entrepreneurial venture with Amway. From understanding the fundamentals of direct selling to harnessing the power of digital marketing, we’ll cover it all. Let’s unlock the doors to financial freedom and personal achievement together, as we explore the ultimate guide to starting an Amway business.

Understanding Amway and Direct Selling

Amway, short for “American Way,” is a global leader in the direct selling industry. Founded in 1959 by Richard DeVos and Jay Van Andel, the company has grown into a multinational enterprise with a presence in over 100 countries. Amway operates on a unique business model that empowers individuals to become entrepreneurs and build their own businesses by marketing a diverse range of high-quality products.

At the core of Amway’s philosophy is the belief in the power of personal relationships and direct selling. Unlike traditional retail, Amway products are distributed through a network of independent business owners known as Amway Business Owners (ABOs). These individuals have the opportunity to earn income by selling products directly to consumers and by building and managing their own sales teams.

The Philosophy and Values of Amway

Amway is guided by a set of values that prioritize integrity, trust, and a commitment to excellence. The company emphasizes the importance of ethical business practices and places a strong emphasis on social responsibility. Amway’s dedication to sustainability is reflected in its efforts to reduce environmental impact, support communities, and create products that contribute to overall well-being.

In addition to providing a platform for entrepreneurship, Amway places a significant focus on personal development. Through training programs and resources, ABOs have the opportunity to enhance their skills, expand their knowledge, and cultivate the mindset needed for success in both business and life.

Advantages of Direct Selling

Direct selling, as exemplified by Amway, offers several advantages for both consumers and entrepreneurs. For consumers, the direct selling model provides a personalized shopping experience, allowing them to receive product recommendations tailored to their needs. ABOs, on the other hand, benefit from the flexibility of being their own bosses, setting their own schedules, and having the potential to earn based on their efforts and sales.

Amway’s commitment to product quality and innovation has contributed to its longevity and success in the direct selling industry. As we explore the journey of starting an Amway business in this guide, it’s essential to appreciate the values and principles that underpin the company’s unique approach to commerce.

Getting Started with Amway

Embarking on your Amway journey is an exciting venture into the world of entrepreneurship and direct selling. As you take your first steps towards building a business with one of the global leaders in the industry, this section will guide you through the crucial initial phases. From the essential registration process to selecting the right products and understanding the intricacies of the compensation plan, getting started with Amway is a foundational step towards realizing your entrepreneurial dreams. Let’s explore these key elements that lay the groundwork for a successful Amway business.

Registration and Product Selection

• Enrollment Process : Navigate the straightforward registration process on the Amway website, providing essential details to kickstart your entrepreneurial journey.
• Product Familiarization : Explore Amway’s extensive product offerings. Select products aligning with your interests and market demand, ensuring a compelling and diverse inventory.

Understanding the Compensation Plan

• Comprehensive Overview : Delve into the Amway Compensation Plan, gaining insights into various income streams, bonuses, and incentives available to business owners.
• Setting Income Goals : Establish clear financial objectives, understanding how the compensation structure aligns with your aspirations.

Initial Steps for Success

• Create a Business Identity : Develop a unique brand identity, including a business name and logo, to distinguish your Amway venture.
• Legal and Financial Considerations : Ensure compliance with local regulations and familiarize yourself with the financial aspects of running an independent business.

Training and Support Resources

• Utilize Amway Training : Take advantage of Amway’s training modules, designed to equip you with product knowledge, sales techniques, and effective business strategies.
• Connect with Upline Support : Establish a relationship with your upline, drawing on their experience and guidance as you embark on your Amway journey.

Product Showcase

• Host a Launch Event : Introduce your Amway business to friends and family through a launch event, showcasing the quality and diversity of Amway products.
• Utilize Starter Kits : Leverage Amway’s starter kits to provide potential customers with a curated selection of popular products, simplifying their initial purchase decisions.

Embark on your Amway venture with confidence, laying a strong foundation for future success through strategic product selection, a clear understanding of the compensation plan, and effective utilization of training and support resources.

Building Your Foundation

Establishing a solid foundation is crucial for the success of your Amway business. This involves clarifying your vision, crafting a business plan, and identifying your target market.

Defining Business Goals

Setting clear and achievable goals is the cornerstone of any successful venture. Consider the following aspects:

Crafting a Business Plan

A well-thought-out business plan serves as your roadmap. Consider including:

Identifying Your Target Market

Knowing your audience is essential. Consider creating a detailed profile for your ideal customer:

By clearly defining these elements, you’ll build a strong foundation that aligns with your business aspirations and positions you for sustainable growth in your Amway journey.

Sales Strategies

In the dynamic realm of direct selling with Amway, mastering effective sales strategies is the key to unlocking the full potential of your entrepreneurial venture. This section will guide you through the art of connecting with customers, honing your pitch, and utilizing modern techniques such as digital marketing. Whether you’re a seasoned sales professional or just starting, these strategies will empower you to not only sell quality Amway products but also build lasting relationships with your customers. Get ready to elevate your sales game and witness the impact it can have on the growth of your Amway business.

Crafting Compelling Pitches:

• Understanding Amway Products: Showcase your in-depth knowledge of Amway’s diverse product range.
• Highlighting Unique Selling Points : Emphasize what sets Amway products apart from competitors.
• Tailoring Pitches to Your Audience: Customize your approach based on the needs and interests of your potential customers.

Utilizing Digital Marketing:

• Building an Online Presence: Establish a professional and engaging presence on social media platforms.
• Content Marketing: Create valuable content related to Amway products, sharing tips, testimonials, and product demonstrations.
• Leveraging Email Campaigns: Implement targeted email campaigns to nurture leads and keep customers informed about promotions.

Building Customer Relationships:

• Personalized Interactions: Foster genuine connections by remembering customer preferences and offering personalized recommendations.
• Follow-Up and After-Sales Service: Demonstrate commitment by following up post-purchase, addressing concerns, and ensuring customer satisfaction.
• Loyalty Programs: Implement loyalty initiatives to reward repeat customers and encourage long-term relationships.

These sales strategies will not only help you effectively communicate the value of Amway products but also establish lasting connections with your customers, fostering trust and loyalty in your growing business.

Leveraging Amway Resources

Harnessing the resources provided by Amway is crucial for maximizing your business potential. Whether it’s accessing training materials, connecting with other business owners, or staying informed about product updates, these resources can significantly contribute to your success.

Training and Support

Amway prioritizes the growth of its business owners through robust training and support systems.

Networking with Fellow Business Owners

Building a strong network within the Amway community is vital for sharing experiences and gaining insights.

Staying Informed About Product Updates and Promotions

Keeping abreast of product information and promotions is essential.

By effectively leveraging these resources, you’ll position yourself for success in your Amway business journey.

Overcoming Challenges

Navigating the entrepreneurial landscape is not without its hurdles. As you embark on your Amway journey, understanding and effectively addressing challenges will be key to your success.

Common Challenges Faced by Amway Business Owners

• Market Saturation: Addressing competition and finding unique selling propositions.
• Rejection and Resilience: Overcoming the fear of rejection and developing resilience.
• Time Management: Balancing the business with other commitments.

Strategies for Overcoming Obstacles

• Continuous Learning: Staying informed about market trends and adapting to change.
• Mentorship: Seeking guidance from experienced Amway entrepreneurs.
• Effective Communication: Enhancing communication skills to connect with customers and potential team members.

Learning from Setbacks

• Analyzing Setbacks: Evaluating challenges as opportunities for growth.
• Adjusting Strategies: Adapting your approach based on lessons learned.
• Community Support: Engaging with the Amway community for shared experiences and insights.

In the face of adversity, your ability to overcome challenges will define the trajectory of your Amway business. By anticipating and proactively addressing these hurdles, you pave the way for sustained growth and success.

Celebrating Success

Achieving success in your Amway business is a significant milestone that deserves recognition and celebration. This section highlights the importance of acknowledging your accomplishments, setting the stage for continued growth and motivation.

Recognizing Achievements

• Milestone Markers: Reflecting on key milestones, such as reaching sales targets or expanding your customer base, is crucial. Take the time to acknowledge and celebrate each achievement.
• Team Triumphs: If you’ve built a team of distributors, recognizing their contributions and successes fosters a sense of camaraderie and collaboration. Celebrate collective victories to strengthen team spirit.

Setting New Goals

• Goal-Setting Rituals: After celebrating your achievements, it’s essential to set new, challenging goals. Establish a goal-setting ritual that aligns with your long-term vision for your Amway business.
• Personal and Professional Growth: Success isn’t just about financial gains; it’s also about personal and professional development. Embrace opportunities to learn, grow, and enhance your skills.

Embracing the Amway Community

• Networking Events: Participate in Amway community events and conferences to connect with other business owners. Share your success stories and learn from the experiences of fellow entrepreneurs.
• Mentorship and Support: Seek mentorship within the Amway community, offering your expertise to others and learning from those who have achieved significant milestones in their businesses.

Celebrating success is not just a momentary pause; it’s a strategic practice that fuels continued motivation and sets the stage for even greater achievements in your Amway journey.

Conclusion: Your Amway Success Awaits

In wrapping up this guide to kickstarting your Amway business, remember that success is an ongoing journey, not a destination. By mastering the basics, setting goals, and celebrating achievements, you’ve set the stage for a flourishing entrepreneurial venture.

As you navigate this dynamic landscape, cherish both personal and professional growth, connecting with the supportive Amway community along the way. Embrace challenges as opportunities and keep the momentum going.

Armed with knowledge, determination, and a community of allies, you’re ready to embark on your Amway success story. Here’s to a rewarding journey filled with growth, achievement, and prosperity!

Tina Gurnaney Senior Content Editor

Hi there! I'm Tina Gurnaney, and I go by She/Her pronouns. I'm a marketing professional currently working at Open Network For Digital Commerce (ONDC) in Delhi, India. As a Marketing Consultant, I've been... More by Tina Gurnaney

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COMMON QUESTIONS

Amway answers, about amway.

Amway offers a range of apps and digital resources for Amway Independent Business Owners to give them the convenience of running their businesses anytime or anywhere from a computer, smartphone or tablet.

• Amway Business Center app helps Independent Business Owners manage their business on the go by letting them check personal and team performance, register new Independent Business Owners or customers as well as view action reports.
• Amway Resource Center App offers a one-stop destination for multimedia materials. With an updated look and easy-to-use navigation, the app is designed to help Independent Business Owners access and share business resources on the go.
• Nutrilite Supplement Recommender can suggest supplements perfectly suited to a person’s needs by taking a quick, simple, and scientifically-supported assessment.
• The Amway Mobile website via any internet-enabled smartphone can quickly and easily register a customer or an Amway Independent Business Owner, check personal and team performance results, access educational resources, and shop. Users can also switch between the full site and mobile site at their convenience.

You can access the Amway home page by following these easy steps.

• Open your web browser.
• Go to the menu bar at the top of the browser.
• Type in Amway.com
• Hit the enter button.
• You’ll be directed to the Amway home page.

When you access the Amway home page, you can discover more about Amway, a global leader in selling products that support a healthy lifestyle. You can also learn about the Amway opportunity and building a personalized business.

Amway is one of the world’s largest direct-selling businesses. The company sells products for nutrition, beauty, personal care and the home. Amway is family owned, financially stable and led by a diverse global management team that supports Amway Independent Business Owners and their goals. Amway is built on principles, people and products that have touched millions of lives around the world.

Amway started in 1959 by friends and founders, Rich DeVos and Jay Van Andel. Rich and Jay were two friends who shared a similar goal and ambition: they wanted to make more out of life for themselves, their families and their friends. In 1959 – after numerous ventures into entrepreneurship – they started a new business together in the basements of their homes in Ada, Michigan. They built Amway on the belief that business ownership improves lives through personal achievement and the opportunity to earn income. Now, the company has become the No. 1 direct selling company in the world*.

*As ranked by 2019 Direct Selling News Global 100, published in the June 2019 edition of Direct Selling News, based on 2018 revenues.

The leadership team at Amway includes Milind Pant, Steve Van Andel and Doug DeVos. This global team is the company’s key executive decision-making body focused on global strategy development and delivering meaningful Amway Independent Business Owner and customer experiences.

• Milind Pant joined Amway in January 2019 as Chief Executive Officer. He is the first non-family member to lead the business since its founding in 1959. He leads the overall management of Amway and is responsible for setting the company’s strategic vision and growth strategies.
• Steve Van Andel is co-chair of the Board of Directors of Amway. He is the eldest son of Amway Co-Founder Jay Van Andel. He has been part of leading a strategic transformation of the company with a focus on growth through digital tools, mobile experiences and product innovations.
• Doug DeVos is co-chair of the Board of Directors of Amway. He is the son of Amway Co-Founder Rich DeVos. He previously served as president of Amway for more than 16 years. His focus on fostering entrepreneurship and providing opportunities for people around the world to start a business of their own helped drive Amway to its leadership position in the industry.

Yes, Amway is still in business and has been for more than 60 years. The company was founded in 1959 by Jay Van Andel and Rich DeVos, two entrepreneurs who started numerous business ventures of their own and saw the importance of helping others do the same. Amway is based in Ada, Michigan, operates in more than a hundred countries and territories and is the number one direct selling company in the world, according to Direct Selling News.

Learn more >

Amway is a global company with more than 1 million Independent Business Owners operating in 6 continents and more than 100 countries and territories. Amway's presence stretches from South Africa to Thailand and England to Australia. Amway has 750+ physical locations around the world that include experience centers, shops, plazas and distribution centers. Wherever your travels take you, there is probably an Amway experience center or an Amway Independent Business Owner near you! You can see what countries and territories Amway operates here .

Amway has a rich history, dating back to the company’s founding in 1959, in Ada, Michigan, by school friends Jay Van Andel and Rich DeVos. The company has expanded through the years to a multi-billion-dollar enterprise that has brought a business ownership opportunity to millions in more than 100 countries and territories worldwide.

• In 1959, Amway launched its first product, Frisk Liquid Organic Cleaner Concentrate, later named L.O.C. – one of the world’s first biodegradable, concentrated multi-purpose cleaners.
• In 1967, Amway sales reached $50 million as the company expanded and, a year later, debuted the Artistry™ brand.
• 1970s: Amway acquired the Nutrilite™ brand, added eight more international markets and expanded the world headquarters to almost one million square feet.
• 1980s: The Amway Opportunity reached a total of 20 countries through the power of more than one million distributors.
• 1990s: Amway expanded into 33 additional markets around the world. Amway would more than double in size during the decade.
• 2000s: Brought new partnerships, new innovations and new efforts to help Amway achieve its vision of Helping People Live Better Lives.
• 2010 on: Amway continues to impact the lives of people around the world using new communication technologies and social media tools. Strong sales lead to a global manufacturing expansion and new company milestones.

Rather than owning companies, Amway has a broad portfolio made up of a family of brands in nutrition, beauty, personal care and home care designed to support your journey toward a healthier lifestyle. Amway™ brands include:

• Nutrilite™ nutrition products, including vitamins, dietary supplements, and wellness snacks and beverages
• BodyKey by Nutrilite™ weight-management products
• XS™ Sports Nutrition drink, snack and performance products
• Artistry™ skincare and makeup products
• Satinique™ hair care collection
• eSpring™ Water Purifiers
• Atmosphere Sky™ Air Treatment System
• Amway Home™ environmentally sensitive home-cleaning products
• iCook ™ cookware, with its advanced design, and knifeware

There are many good things about Amway. Amway is the trusted source for over 350 exclusive healthy products. They are both award-winning* and independently recognized by leading third party organizations. Amway meets or exceeds regulatory standards in every country where products are sold. And then there’s the opportunity for satisfied customers to become Independent Business Owners (IBOs). Amway offers a low cost opportunity. IBOs make money when their customers buy Amway™ products and when others in their organization sell products. Their sales are backed by a 100% satisfaction guarantee on all products.† There are no inventory requirements and Amway also offers a 100% satisfaction guarantee if you decide being in business for yourself isn’t for you.† But the company’s cutting-edge tools and network of business owners can help you rise to reach your goals. Ultimately, what you accomplish depends on the effort and time you put into your business. Amway grew into the #1 direct sales company in the world by partnering with people around the globe. ‡ Over the past six decades, Amway has paid out over $58 billion in income and bonuses.§

* Nutrilite received two Stevie® Awards in 2019 . and the EPA’s 2017 Safer Choice Partner of the Year Award .

† Exclusions and additional fees may apply. For complete details, visit www.amway.com and search Satisfaction Guarantee

‡ Amway named the world’s #1 direct selling company by Direct Selling News.

§ FreedomRep.com

Amway is a trusted source that manufactures and distributes over 350 unique nutrition, beauty, personal care and home products sold exclusively through Amway independent business owners. Amway also provides a low risk opportunity to earn extra money selling those products. Launched in 1959, Amway has grown into the world’s largest direct selling company.* Amway manufactures and distributes nutrition, beauty, personal care and home products exclusively sold in more than 100 countries through a network of more than 1 million Independent Business Owners (IBOs). The company is committed to product innovation, which is why it holds more than 1,000 patents and patents pending. In the past decade, Amway has invested more than $335 million in new manufacturing and R&D facilities across North America. The Amway Center, the sports arena and entertainment venue in Orlando, Florida, is the namesake of this successful and philanthropic family-owned business. In a 1979 ruling that stands today, Amway was recognized by the United States Federal Trade Commission as a legitimate direct selling business whose distributors sell quality products to consumers, and one in which no one earns income unless products are sold. This ruling is used by nations around the world as they established regulations for the direct selling industry. Amway IBOs earn income by recommending and selling high-quality products and building a team to do the same. Amway’s extensive range of personalized, healthy nutrition, beauty and home products help people live more balanced and active lives. The Amway business model is designed with flexibility in mind. Through their Amway logins, IBOs can access on-demand training and digital tools that empower them to run their businesses wherever and whenever they want.

* Source: GlobalData; https://gdretail.net/amway-claims

Yes, Amway is good. Amway is a great way to earn extra money and empowers people to pursue their best lives.  So it’s not surprising that Amway is the world’s largest direct selling company.* For the past 60 years, this family-owned business has manufactured and distributed nutrition, beauty, personal care and home products now exclusively sold in 100 countries through Amway Independent Business Owners (IBOs). The company’s more than 350 high-quality nutrition, beauty and home products support health and well-being. Amway holds more than 1,000 global patents and patents pending for products, a natural result of the company’s focus on innovation and rigorous testing processes. The Amway Promise is another factor that sets Amway apart from other direct selling companies. Amway offers 100% satisfaction guarantee* for both products and the Amway opportunity, along with responsive customer service support. The company’s low-cost business model sets IBOs up to reach their goals. As one of the most recognizable businesses in the industry, Amway has attracted attention through the years – good and bad. While many IBOs have a positive experience, owning a business may not be right for everyone. In a 1979 ruling that stands today, Amway was recognized by the United States Federal Trade Commission as a legitimate direct selling business. Amway provides more than 1 million business owners around the world with the opportunity to supplement their income through product sales, to mentor others who share the same passion for Amway™products, and to become part of a business that can balance work with family. And with support, IBOs bring high-quality products and frictionless shopping experiences to their customers.

* Exclusions and additional fees may apply. For complete details, visit www.amway.com and search Satisfaction Guarantee

Amway offers the opportunity to be in business for yourself, but never by yourself. As an Independent Business Owner, you set your own pace to earn extra income – with Amway's free education courses and the support of fellow business owners. You will have a choice of more than 350 high-quality health, beauty, and home care products to sell and Amway delivers the training to start and build a business. There are no purchase requirements, and products are backed with a 180-day satisfaction guarantee. Business Owners review an agreement at registration, which outlines specific terms, policies and protections. Business Owners make money through product sales, either through retail profit or bonuses. Amway is a direct selling company that compensates its Independent Business Owners (“IBOs”) for their own sales and for sales generated by IBOs who are members of a sales team that they support in the business, using a multi-level marketing (MLM) plan structure. Amway is a legitimate direct seller and has offered people a way to earn additional income for more than 60 years. Amway, the #1 direct selling company† in the world, has paid out over $58 billion since opening in 1959.

*Exclusions and additional fees may apply. For complete details, visit www.amway.com and search Satisfaction Guarantee

† Amway named the world’s #1 direct selling company by Direct Selling News.

Amway is a direct selling business that operates in more than 100 countries and territories around the world. In Amway, distributors (Amway Independent Business Owners) make money from the sale of products. In fact, an individual can earn more than the person who sponsored them in the business. There is a written contract between Amway and a Business Owner defining the relationship and providing Rules of Conduct.

Direct selling is a business plan recognized by legal and law enforcement entities. According to the U.S. Direct Selling Association, there were 7.3 million** people selling to nearly 44.6 million customers in 2021, contributing an estimated $42.7 billion in retail sales to the nation’s economy.

For over 60 years, Amway has researched, designed and sold high-quality nutrition, personal care and home consumer products that borrow from the best of nature, use the best of science, and keep pace with the evolving marketplace.

https://www.dsa.org/statistics-insights/overview Source: DSA 2022 Growth & Outlook Study; For further information visit https://www.dsa.org/benefits/research

When people register to become an Amway Independent Business Owner, they become part of a network of entrepreneurs willing to share their wisdom and expertise to help new IBOs build sustainable Amway businesses selling high quality products to customers.

Amway believes it can be the change for a better world. Its goal is to unite quality products, volunteerism and CSR programming to benefit communities across the Americas and worldwide. Through charitable contributions exceeding $315 million and more than 4.5 million volunteer hours, Amway employees and IBOs have supported more than 14.5 million people in the past 20 years.

You get what you pay for. Amway™ products are priced higher because they’re made to a higher standard – and they’re backed by the AMWAY PROMISE™ 100% customer satisfaction guarantee.** Product quality, superior ingredients, design excellence and rigorous testing ensure our products are pure, safe, effective and durable, which can sometimes result in a higher price than our competitors’ products. Amway™ products combine the best of science and nature, many formulated with plant-based ingredients derived from plants grown and harvested on nearly 6,000 acres of organic farmland that we own around the world, using sustainable, chemical free methods*. Our agricultural experts and scientists partner to optimize the nutrients gathered from nature’s most powerful plants, to develop the most powerful products for your nutrition, beauty and home. In just the last few years alone, Amway has invested $300 million in manufacturing and R&D facilities to continue our legacy of delivering world-class products to our Independent Business Owners and their customers. *Products and ingredients are not organic. **Exclusions apply. For complete details on returns and replacements, visit Amway.com.

Our mission to help people live better lives is fulfilled through a growing family of respected brands and science-based products that benefit your nutrition, beauty and home, including:

• Nutrilite™ is the world’s #1 selling vitamins and dietary supplement brand* and the only global vitamin and dietary supplement brand to grow, harvest and process plants on their own certified organic farms.*
• Artistry™ is among the world’s top 10, largest selling, premium beauty brands.* These personalized skincare and makeup products are infused with natural botanical ingredients and backed by Amway’s scientific expertise in skin health.
• Amway Home™ is a leading brand of environmentally-sensitive home cleaning products that are better, naturally.
• eSpring™ is the world’s largest-selling selling brand of home water treatment systems.† These powerful purifiers effectively destroy 99.9% of disease-causing microorganisms and effectively reduce more than 140 potential health-effect contaminants.
• Atmosphere™ is the best-performing HEPA air purifier among top competitors for removing allergens and other contaminants. †† These best-in-class air treatment systems that deliver clean air to your home or your car, connected to you on mobile
• iCook™ is cookware that builds confidence in the kitchen and brings family and friends together through food.
• XS™ Energy was the first exclusively sugar-free energy drink brand sold globally.*

For nearly 60 years, we’ve researched, designed and manufactured premium products that combine the best of nature and the best of science to make the world a healthier place for our Independent Business Owners and their customers. GlobalData; https://gdretail.net/amway-claims †Based on a Verify Markets study of 2012 global sales. ††Based on Internet claims as of February 2018 and based on 99.99% removal of airborne allergens and contaminants down to 0.007 microns that pass through the system.

All Amway™ products are safe when used as directed. In fact, product quality, effectiveness and safety are what set Amway apart. Amway products are award-winning and independently recognized by leading third party organizations.

DITTO TM is an Amway scheduled delivery program. It’s a way for Amway Independent Business Owners and customers to set up an order once and have the products repeatedly shipped on a schedule they determine. A DITTO TM scheduled order is easy to set up, use and monitor. Customers can adjust the cadence to monthly, bi-monthly or the specific months that work best for you. Notifications are sent prior to an order being processed so orders can easily be changed or cancelled without hassle or penalty. To help customers in determining the right amount and the right timing for deliveries, there is a usage calculator on the product pages. This is one more way Amway makes the ordering simple and seamless.

Amway makes more than 350 high-quality products in nutrition, beauty, personal care, and home care that are sold through a global network of more than 1 million Amway Independent Business Owners. With so many Amway products favored by customers, it can be a challenge to name the best product. Based on global sales, these products have the greatest universal appeal:

• Nutrilite™ All Plant Protein Powder
• Artistry™ Intensive Skincare Advanced Vitamin C + HA Treatment
• Glister® Advanced Toothbrush
• eSpring™ water treatment system

Nutrilite is part of the Amway family of high-quality product brands. Nutrilite is the world’s No. 1 selling vitamins and dietary supplements brand,* featuring botanical extracts made from plants grown on Amway’s nearly 6,000 acres of certified organic farmland. And Nutrilite is the only global vitamin and dietary supplement brand to grow, harvest and process plants on their own certified organic farms.* This trusted brand provides a complete array of vitamins and supplements for a range of needs, including general nutrition, heart health, weight management, and children's nutrition.

*Source: GlobalData; https://gdretail.net/amway-claims

Amway offers high-quality products in nutrition, beauty, personal care and home care. Products that help people live healthier lives. Some of Amway’s leading brands include:

• Nutrilite: The world’s No. 1 selling vitamins and dietary supplements brand*, featuring plant-based ingredients many of which are made from plants grown on Amway’s nearly 6,000 acres of certified organic farmland* in the U.S., Brazil and Mexico.*
• Artistry: Personalized beauty products infused with natural botanical ingredients and backed by Amway’s expertise in skin science.
• eSpring: The world’s No. 1 selling brand of home water treatment systems,** providing clean drinking water to families around the world.
• Atmosphere: The best-in-class air treatment system delivers clean air to homes by removing allergens and other contaminants from air passing through the filters.
• Amway Home: A full line of environmentally sensitive cleaning products for the home that use biodegradable ingredients.

For 60 years, Amway has researched, designed and sold high-quality nutrition, beauty, personal care and home consumer products that borrow from the best of nature, use the best of science, and keep pace with the evolving marketplace.

* Products and ingredients are not organic.

** Source: GlobalData; https://gdretail.net/amway-claims

Amway sells a broad portfolio of healthy products and solutions that support your journey toward a healthier lifestyle. Products in nutrition, beaty, personal care and home care that combine the best of nature and the best of science. With our 100% Satisfaction Guarantee* ensured by the AMWAY PROMISE ™ program, you can be confident in the product quality you are receiving.

*Exclusions apply. For complete details on returns and replacements, visit Amway.com and search: AMWAYPROMISE.

Amway™ products can be purchased online at Amway.com or by working directly with an Amway Independent Business Owner. For personalized service before, during and/or after you receive your product, working with an Amway Independent Business Owner can bring peace of mind knowing that you have a product expert who has your back. Additionally, Amway stands behind their products and offers a 100% Satisfaction Guarantee* with the AMWAY PROMISE ™ program.

Amway protein powders can be used to increase weight and muscle mass when used as part of a weight-gain plan. Since protein is an important building block of bones, muscles, cartilage, skin and blood, our body constantly needs protein but doesn’t store excess protein. Daily protein intake is necessary to ensure that our bodies function properly, and both of Amway's unique protein powder products contain all the elements to meet those needs.

• Nutrilite™ All Plant Protein Powder provides protein from its tri-blend – soy, wheat and yellow peas, giving you tri-benefits of 100% plant-sourced, cholesterol-free and lactose-free food. It is also designed to give synergy of all the nine essential amino acids, making it easy to digest.
• XS™ Sports Protein Powder offers 23 grams of protein per serving. It also contains essential amino acids and comes in Chocolate Milkshake, Cookies & Cream and Vanilla Dream flavors.

Yes, Amway offers two protein powders and both are good for your health. Nutrilite™ All Plant Protein Powder and XS™ Sports Protein Powder help you build and maintain lean muscle † :

• Nutrilite™ All Plant Protein Powder helps maintain lean body mass, with 10 grams of protein in each 12.5-gram serving, while sustaining energy and satiating hunger. †
• XS™ Sports Protein Powder, available in single-serving stick packs and multi-serving tubs, helps build lean muscle with 23 grams of whey and casein proteins. It gives your muscles what they need to repair quicker, so you’re recharged for your next adventure. †

 †This statement has not been evaluated by the Food and Drug Administration.   This product is not intended to diagnose, treat, cure or prevent any disease.

Yes, Amway™ protein powder products are safe when used as directed. Amway’s two protein powder products are:

• Nutrilite™ All Plant Protein Powder: This product offers nine amino acids in the ideal ratio and is vegetarian suitable and dairy free. It can be mixed in food, and it is great in smoothies.
• XS™ Sports Protein Powder: This product offers 23 grams of whey and casein protein per serving, contains essential amino acids and comes in Chocolate Milkshake, Cookies & Cream and Vanilla Dream flavors.

All of our products are safe when used as directed. In fact, product quality, effectiveness and safety are what sets Amway apart from the rest. Our products are award winning and independently recognized by leading third-party organizations.

Safety and satisfaction go hand in hand. That’s why we back every Amway™ product with the AMWAY PROMISE™  100% customer satisfaction guarantee.*

Yes. In North America, Legacy of Clean™ and Amway Home™ are the same product brands. Amway Home™ products were formerly branded as Legacy of Clean™. In 2018, Legacy of Clean™ products transitioned to the Amway Home™ brand. Amway Home™ products continue to deliver on all the promises from the Legacy of Clean™ brand:

• High-performing cleaning power – consumers enjoy the same amazing formulas as Legacy of Clean™ products.
• Safer for your family – many products are recognized by the U.S. Environmental Protection Agency’s Safer Choice Program for containing safer ingredients that don’t sacrifice quality or performance.
• Safer for the environment – biodegradable formulas, with no phosphates, chlorine or other unpleasant ingredients.

See all Amway Home™ products here .

Amway’s water filter product, the eSpring™ UV Water Purifier, dramatically improves the taste, odor and clarity of drinking water. In addition, it effectively reduces more than 140 potential health-effect contaminants, too small to notice, that may be present. The eSpring™ UV Water Purifier is available as an above counter or below counter model.

• Ultraviolet light technology: Effectively destroys microorganisms in drinking water with light, not chemicals. The eSpring™ UV lamp emits up to 40 millijoules of ultraviolet light* to effectively destroy more than 99.99% of waterborne pathogenic bacteria and viruses.
• Monitor technology: Smart-chip technology monitors filter usage and gives you audio and visual indications that it’s time to replace your filter cartridge.
• One eSpring™ filter cartridge replaces 10,000 16.9 fl. oz. bottles of ** This amount of water is equal to 1,320 gallons of water** – enough for a family of six to cook with and drink for a year.
• The eSpring™ UV Water Purifier is certified by  NSF International (NSF/ANSI Standards 42, 53, 55B and 401), a leading third-party independent testing lab, and has earned the Gold Seal from the Water Quality Association.

*In best-case water conditions.

**Average filter life. Actual filter life depends on usage and water quality.

Formerly Nutrilite® Rhodiola, XS™ Energy + Focus is now part of the XS™ Sports Nutrition line of products for people who are active and adventurous. It gives you increased energy from Rhodiola Rosea and natural caffeine from green tea extract to support mental and physical performance during exercise. †

  XS™ Energy + Focus

• Helps maximize physical endurance and mental focus during exercise. † Get quick energy during workouts or whenever you need a fast, effective stamina boost.
• Supports the body’s stress response to shorten recovery. † Research suggests Rhodiola Rosea helps decrease recovery time by supporting your body’s stress response system.

† This statement has not been evaluated by the Food and Drug Administration. This product is not intended to diagnose, treat, cure or prevent any disease.

Amway offers Glister ® Multi-Action Fluoride Toothpaste. It provides a healthy clean you can see and feel with every smile.

• Whitens teeth and removes stains.
• Fights cavities and polishes teeth to a brilliant shine.
• Light, creamy formula removes plaque with regular brushing and freshens breath.
• Promotes restoration of minerals that, with regular brushing, helps to repair early cavities.
• Helps prevent demineralization, which can lead to decay.

Advisories: 

Keep reach out of children under 6 years of age. If more than used for brushing is accidentally swallowed, get medical help or contact a Poison Control Center right away.

Amway offers a broad product portfolio in nutrition, beauty, personal care and home care that supports your journey toward a healthier lifestyle. For specific product details and pricing, visit Amway.com or talk to an Amway Independent Business Owner. Amway™ product prices reflect the quality, design excellence and rigorous testing that ensures that they are pure, safe, effective and durable. And they’re all backed by the AMWAY PROMISE™ 100% customer satisfaction guarantee.*

Amway™ brands include:

• Truvivity by Nutrilite™ Hydrating System
• G&H bath and body care
• Amway Home™ environmentally sensitive home cleaning products
• iCook™ Cookware, with its advanced design, and Knifeware

*Exclusions and additional fees may apply. For complete details on returns and replacements, visit Amway.com and search: AMWAYPROMISE.

Amway offers two different multivitamins – Nutrilite™ Double X™ supplement and Nutrilite™ Daily.

Nutrilite™ Double X™ is the ultimate multivitamin.

• Contains an optimal blend of 22 vitamins and minerals and 22 plant concentrates, including plant nutrition from every color of fruits and vegetables.
• Supports healthy heart, brain, eyes, skin, bones and immune system.†
• Contains a patented blend of Rosemary, Turmeric and Fava d’Anta extracts that helps your body defend against free radicals.†

Nutrilite™ Daily is a once-a-day, convenient multivitamin.

• Contains 24 essential vitamins and minerals with exclusive plant concentrates.
• Fills the vitamin and mineral gaps in daily diets.
• Provides 100% or more of the Daily Value for 17 essential vitamins and minerals, without the gluten.

Nutrilite™ is the only global vitamin and dietary supplement brand to grow, harvest and process plants on their own certified organic farms.* Our supplements are pure, safe and effective, and almost all are certified by NSF International, a third-party independent testing lab. 

†This statement has not been evaluated by the Food and Drug Administration. This product is not intended to diagnose, treat, cure or prevent any disease.

*Source: GlobalData; https://gdretail.net/amway-claims . Products and ingredients are not organic.

Amway offers a variety of exclusive soap products that are pure, safe and effective. Whether for the hands, face or body, each product contains naturally inspired ingredients to protect, nourish and refresh skin:

• G&H Protect+™ Bar Soap effectively cleanses and deodorizes skin with an exclusive technology. The naturally inspired formula contains an exclusive blend of white tea extract, natural minerals and bilberry extract.
• G&H Protect+™ Concentrated Hand Soap is designed to deep clean and neutralize odors without drying out skin. It leaves skin hydrated even after frequent hand washing.
• G&H Nourish+™ Complexion Bar leaves skin feeling soft and nourished. Rich, creamy lather gently cleans without leaving residue on skin. This Customer Favorite is upgraded with new honey and fragrance, but it still contains skin-loving glycerin, which forms a protective layer that helps prevent moisture loss.
• G&H Nourish+™ Body Wash cleanses gently and leaves skin feeling soft, smooth and conditioned without any sulfate.
• G&H Refresh+™ Body Wash – Gel cleanses deeply yet gently while a patented anti-irritation complex helps soothe skin. This sulfate-free product leaves your skin feeling clean and soft, never tight or dry.

Amway offers cleaning products under the Amway Home™ brand. They’re made with concentrated, naturally derived ingredients, but what truly sets them apart is how well they work. They clean effectively, and their dermatologist-tested formulas won’t harm your home or the people you love. Amway Home™ products include:

Amway Home™ L.O.C.™ Multi-Purpose Cleaner : Works on all washable items and surfaces that water alone won’t harm, including sealed tile, wood, vinyl siding, stone, linoleum and ceramic surfaces.

Amway Home™ L.O.C.™ Multi-Purpose Wipes : Same cleaning power as the Multi-Purpose Cleaner, in a convenient wipe.

Amway Home™ Kitchen Cleaner : Whisks away grease, dirt and grime in one shot.

Amway Home™ Bathroom Cleaner : Contains powerful, naturally derived ingredients to remove hard-water spots and film.

Amway Home™ Glass Cleaner : Eliminates dirt, dust and fingerprints with a single swipe – and without the chemical odor.

Amway’s vitamin C product is Nutrilite™ Vitamin C Extended Release with 500 mg of vitamin C. It includes vitamin C from acerola cherries, one of nature’s most concentrated forms of vitamin C, and offers all-day immune support. † It’s more vitamin C than you would get from seven oranges, 16 lemons or six grapefruits!

• Slow, steady release minimizes waste associated with a single, instant-release dose of vitamin C.
• Vitamin C antioxidant properties protect blood vessels from cell-damaging free radicals. †
• Easy-to-swallow, slow-release tablet is ideal for those with a sensitive stomach.

† This statement has not been evaluated by the Food and Drug Administration.  This product is not intended to diagnose, treat, cure or prevent any disease.

Amway offers its own cookware collection, iCook™ Cookware, which is the brand’s name in the United States. Another name for iCook™ is Amway Queen™ Cookware, sold in other countries, but the products are the same. iCook™ uses the best technology and style to create a one-of-a-kind culinary collection that brings effortless, healthy and delicious meals to your kitchen table.

• Made from a thick, heavy-gauge stainless steel with an Optitemp™ fully encapsulated slab base for durability, longevity and even heating.
• Multi-ply construction with a carbon-steel core for even heat distribution and inner and outer layers of 18/10 surgical-grade stainless steel.
• The Vitalok ™ cooking method, which locks in one-third more nutrients, without added fats or unnecessary water.
• Ergonomic handle designs to make everything easy to grip and use.

Amway™ has makeup products to match your every mood as part of its Artistry™ line of colors and cosmetics. The Artistry™brand is a skincare and color cosmetics brand. For more than 50 years, Artistry™ scientists have combined ideal ingredients in precise amounts, using exclusive technologies and formulations that raise the bar for performance and safety. This premium line helps women care for their skin and bring out their natural beauty. The Artistry brand sources ingredients from Nutrilite™– the number one selling global vitamin and dietary supplements brand.* Many ingredients come from Nutrilite™ organic farms and each one is cultivated for quality and harvested at peak potency. Amway never stops testing and refining Artistry™ products until they pass rigorous safety tests. Like all Amway™ products, the Artistry™ comes with a 100% customer satisfaction guarantee. The way Artistry™ products are sold sets it apart from the typical makeup shopping process, which can spiral into confusing price lists and online reviews. Artistry™ makeup is only available from Independent Business Owners (IBOs). Working with their customers, IBOs take the time to show their customers the best way to use Artistry™ products, from foundation to brushes to makeup kits. These face-to-face sessions can be complimented by the brand’s online blogs and videos that offer expert-led tutorials and mini-makeup courses. By analyzing over 32,000 faces from all over the world, the Artistry™ has developed a full range of beauty products, and a complete line of skincare and makeup products for every skin tone and age. Amway’s skin care and color collections have received critical acclaim and have been worn by celebrities at New York Fashion Week.

Amway began in 1959 with a cleaning product that set the bar for natural cleaning products – long before there was a movement for safe, effective and environmentally-sensitive cleaning solutions.

Since then, Amway Home™ L.O.C.™ Multi-Purpose Cleaner has become the go-to cleaner for millions of families. The concentrated cleaning formula saves you money by cleaning more for less. Just 1 liter of concentrated multi-purpose cleaner fills 20 spray bottles. Less packaging waste is better for the Earth.

These cleaning products have been top sellers for decades because they stand out from the competition.

For six decades, Amway has been committed to creating products that are better and safer for both your home and the environment. As part of this commitment, Amway began partnering with the U.S. Environmental Protection Agency (EPA) in 2008, to ensure that almost all Amway Home products meet the rigorous standards of their Design for the Environment (DfE) program. Today, DfE is called “Safer Choice.” It’s the same program, with the same standards, and represents the same dedication to the people and the planet.

All Safer Choice formulas are biodegradable, and dermatologist and allergy tested. They are free of phosphates and chlorine. Amway lists every ingredient and all products come with the Amway Promise, a 100% customer* satisfaction guarantee. Many of our products contain ingredients naturally derived from coconut oil, orange oil, as well as aloe vera.

The L.O.C.™ Multi-Purpose Cleaner works on all washable items and surfaces that water alone won’t harm, including sealed tile, wood, vinyl siding, stone, linoleum and ceramic surfaces. Also in the family of cleaning supplies are Amway Home™ L.O.C.™ Multi-Purpose Wipes, Amway Home™ Kitchen Cleaner, Amway Home™ Bathroom Cleaner, and Amway Home™ Glass Cleaner.

These products provide a proven way to clean better, naturally.

Visit Amway.com/amway.ca/Amway.com.do to learn more.

For more than 60 years, Amway customers have enjoyed the convenience of shopping from home. Part of the fun is browsing through Amway product catalogs which provide the ultimate one-stop shopping experience.

These beautifully designed catalogs are a comprehensive resource of every Amway™ product. They feature brand stories, explain product benefits, list key ingredients, and highlight favorite customer products. The 3-pack catalog bundle of Optimal Health, Real Beauty, and Essential Home offers an easy way to learn about the company’s high-quality beauty, nutritional and home products.

The Optimal Health catalog has a convenient format organized around different nutritional needs, from weight loss to how to optimize workouts. It’s filled with a wealth of informative facts about Nutrilite™, the world’s number-one selling vitamins and dietary supplements brand,* plus our other nutrition brands – BodyKey by Nutrilite™ Weight Management shakes, bars, and snacks; XS™ Energy Drinks; and XS™ Sports Nutrition.

The pages of the Real Beauty catalog are filled with information about skincare and makeup collections from the Artistry™ brand along with fragrances and personal care products including Satinique™ Hair Care and G&H Bath and Body Care.

The Essential Home catalog is divided into three categories so it’s easy to find the cleaning solutions, laundry products, and body care items. Under Clean Care, there are safe and effective products such as Amway Home™ Laundry, Surface, and Dish Cleaners products. The Personal Care section highlights G&H Bath and Body Care Products and Glister™ Oral Care. And the Healthy Home section is where you will find Amway essentials such as Atmosphere Sky™ Air Treatment System, eSpring™ UV Water Purifier, and iCook™ Cookware.

Amway also offers the convenience of these popular catalogs online, where you can shop for more than 350 high-quality beauty, nutritional and home products on your phone, tablet or computer.

Learn more: www.amway.com

*Source: GlobalData; https://gdretail.net/amway-claims Catalogs make shopping with Amway easier

Some of the brightest minds in the world support Amway's quality products. We have nearly 800 scientists, technicians and engineers on our Innovation and Science team who hold over 200 advanced degrees collectively. We also work with a team of Scientific Advisors who are experts in health, wellness, nutrition and skincare and provide input to our scientific studies and connect us to the latest research and innovation in their fields.

Amway has more than 640 scientists and engineers working at over 75 science and innovation labs across the world, researching botanical ingredients, developing and testing new products and technology and looking for ways to improve existing products to meet customers’ needs. As a result of their work, Amway has more than 750 patents and patents pending in support of the company’s health and wellbeing products and solutions.

DIRECT SELLING

In a word, no. Our Independent Business Owners (IBOs) don’t need to carry product inventory and there are no purchase requirements with Amway – not ever, no exceptions.

Instead of stocking inventory before they begin selling, our IBOs rely on Amway to efficiently and affordably ship products directly to themselves and their customers. However, some IBOs may keep their own inventory for customer events or to demonstrate products and have them readily available for purchase. As entrepreneurs, it’s 100% their choice.

People choose to become an Amway IBO and start a business for a variety of reasons. Some IBOs focus on making a little extra money on the side to meet certain financial goals, while others want to become entrepreneurs and work to build their own full-time business. The good news is that it’s simple to become an Amway IBO. It’s complimentary to sign up and it comes with access to plenty of training, education and support to help you get started on your way to earning extra income through selling Amway’s high quality products.

Amway provides IBOs with the foundational resources they need to start their business quickly, including complimentary first-year registration, free training and education, digital tools for managing a business, support from the IBO community and the potential to earn a little extra income from selling any of the more than 350 high quality health and wellbeing products the company offers.

The cost to become an Amway Independent Business Owner is absolutely nothing. Anyone who wants to develop their entrepreneurial skills as an Independent Business Owner (IBO) selling health and wellbeing products to customers can do so without any upfront costs. The Amway registration fee is complimentary and after the first year it’s followed by an annual renewal fee.

Amway believes you’re in business for yourself but never by yourself. Amway offers free training and education to all IBOs through Amway Education, including more than 150 virtual courses and activities in multiple languages.

Registration is complimentary and Amway IBOs get access to a digital storefront as well as other online and mobile tools to help manage their business and educate customers about which of the nearly 400 high quality products might be right for them.

Amway Customer Service is also available in five languages to answer questions from customers or IBOs about products for the business.

MAKING MONEY

• Selling Amway™ products with a retail markup and pocketing the margin.
• Earning personal sales bonuses based on your personal volume of products sold.
• Achieving Growth Incentives for building a team of others, who in turn also sell Amway™ products.

The short answer is yes, and in the United States tens of thousands of people do. You may or may not have heard of Amway, but it is the world’s number one direct selling company* and has been helping people be in business for themselves for more than 60 years. How do you make money with Amway? Through the sale of Amway’s high quality health, beauty and home products as a registered Amway Independent Business Owner (IBO).

*As ranked by 2024 Direct Selling News Global 100 based on 2023 revenues.

• Amway is a business that takes effort and time to get going. It’s not a “get rich quick scheme”.
• The Amway™ business is accessible to everyone but not right for everyone.
• IBOs only make money when they sell Amway™ products, not by sponsoring people who then sponsor more people and sell nothing. THAT is a scam.
• Since 1959, Amway has paid out more bonuses and cash incentives to its distributors worldwide than any other direct selling company in history.*
• Amway is the #1 direct selling company in the world, with 2023 global sales of $7.7 billion.
• If you start an Amway™ business, how much money you make depends on your effort.
• If our IBOs don’t succeed, Amway doesn’t succeed. We support them with free training through Amway Education, a robust online curriculum of more than 80 virtual courses and activities.
• We operate in more than 100 countries and territories worldwide. Our IBOs have no restrictions on where they can sell products, so long as Amway operates in that country or market.
• Our IBOs have no quotas or purchase requirements, but make no mistake: They only make money when they sell Amway™ products.
• Every product our IBOs sell is backed by the Amway Promise™ 100% customer satisfaction guarantee. If you don’t like it, we will happily refund your money.

No, Amway is not a pyramid scheme. Unfortunately, a lack of understanding and misperceptions, especially on social media and forums such as Reddit®†, can incorrectly put this label on direct selling or multi-level marketing companies, like Amway.

It’s important to be alert to the difference between a multi-level marketing (MLM) opportunity and an illegal pyramid scheme. Amway is one of the oldest multi-level marketing — also known as direct selling — companies in an industry that spans the globe. Direct selling is a business plan recognized and protected under law. In a 1979 landmark ruling, the U.S. Federal Trade Commission (FTC) found in Amway’s favor, setting the standard for legitimate multi-level marketing businesses.

Can you make money with Amway? Amway has grown into the No. 1 direct selling company* in the world by offering people a way to start their own business and earn additional income by selling exclusive products. Whether you are looking for high-quality products or a chance to start a business, Amway has been a credible option for 60 years.

There are no purchase requirements. Amway is committed to quality and innovation, so its portfolio of more than 350 products is specially designed to meet individual needs for nutritional support, beauty, personal care and home care.

Commitment to people is a cornerstone of this American business. The company’s success is dependent on the success of Amway Independent Business Owners (IBOs) and the confidence people have in its products. That’s why the Amway global R&D team for years has partnered with leading universities and institutes to create some of the most innovative products on the planet. From organic farming to high-tech manufacturing, quality is always at the forefront.

Millions of Amway IBOs carry on the legacy of this family-owned company and, as a result, have created their own success stories.

* Direct Selling News, 4/7/2020. † Exclusions and additional fees may apply. For complete details, visit www.amway.com and search Satisfaction Guarantee. †Reddit® is a registered trademark of Reddit, Inc.

Whether you are looking for high-quality products or a business, Amway has been a credible option for 60 years. Amway has grown into the #1 direct selling company* in the world by offering people a way to start their own business and earn additional income by selling exclusive products.

How do we know so much about starting a business? Amway was founded by two entrepreneurs who started numerous business ventures of their own and saw the importance of helping others do the same. Millions of Amway Independent Business Owners (IBOs) carry on the legacy of this family-owned company.

There are no purchase requirements. Amway is committed to quality and innovation, so our portfolio of more than 350 products are specially designed to meet individual needs for nutritional support, beauty, personal care and home care.

Our commitment to people is a fundamental part of the business. Our success is dependent on the success of Amway IBOs and the confidence people have in our products. That’s why our company’s global R & D team for years has partnered with leading universities and institutes to create some of the most innovative products on the planet. From organic farming to high-tech manufacturing, we take quality seriously.

The Amway opportunity is a low-cost independent business supported with the resources of a global corporation. Optional training and digital tools help empower you to run your business wherever you want. We’ve designed it with flexibility and freedom in mind. While you’re building your business how you want, you’re not alone.

There’s a network of millions of IBOs around the globe to brainstorm ideas and celebrate together. We know you’re busy, so we make it easier to get started and keep going.

* Direct Selling News , 4/7/2020 † Exclusions and additional fees may apply. For complete details, visit www.amway.com and search Satisfaction Guarantee

Launched in 1959, Amway is one of the oldest and most successful multi-level marketing (MLM) businesses – also known as direct sales – in the world. Direct selling is a business plan recognized under law. There are 6.8 million people involved in direct selling in a market made up of nearly 40 million customers. According to the U.S. Direct Selling Association, this industry contributed an estimated $35.2 billion in retail sales to the nation’s economy in 2019.

Amway offers more than 350 high-quality nutrition, beauty and home products that support health and well-being. The company holds more than 700 global patents and patents pending for products, a natural result of the company’s focus on innovation and rigorous testing processes. This deep commitment to product quality, effectiveness and safety along with a 100% satisfaction guarantee† are what set Amway apart from the competition.

Amway™ products can only be purchased through Amway Independent Business Owners (IBOs) to ensure quality customer demands are being met. The Amway direct selling business is built on the personal customer service and thoughtful product recommendations from an IBO who knows the products and their benefits.

Amway appeals to those who want to own their own business while having the support and expertise of a global organization behind them. Amway IBOs make money when their customers buy Amway™ products and when others on their team sell products. The company’s technology tools can help you reach your goals.

Ultimately, what you accomplish depends on the effort and time you put into your business. Amway grew into the #1 direct sales company* in the world by offering an opportunity to people around the globe to reach their goals. Over the past six decades, Amway has paid out nearly $58 billion** in bonuses and incentives to its distributors worldwide.

† Exclusions and additional fees may apply. For complete details, visit www.amway.com and search Satisfaction Guarantee * Direct Selling News , 4/7/2020 ** GlobalData; https://gdretail.net/amway-claims

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What's the Amway Business Model?

July 25, 2024

Analyzing the success of the Amway business model

Amway is a direct selling company that operates on a unique business model known as multi-level marketing (MLM). Let's review the key elements of the Amway business model:

Product portfolio: Amway offers a diverse range of products in various categories, including health and wellness, beauty, homecare, and personal care. Their product lineup includes nutritional supplements, skincare products, cleaning supplies, and more.

Independent business owners (IBOs): Amway relies on a network of independent business owners who act as distributors of the company's products. These IBOs are individuals who sign up with Amway and are responsible for selling products directly to consumers.

Personal sales: IBOs earn income through personal sales by purchasing Amway products at a discounted price and selling them at a retail price, keeping the difference as their profit. They are encouraged to build a customer base and establish relationships to promote repeat sales.

Commission structure: In addition to personal sales, IBOs have the opportunity to earn commissions through a multi-level compensation structure. They can recruit and build their own sales teams, known as downlines, and earn a percentage of the sales generated by their team members.

Training and support: Amway provides training and support to IBOs to help them succeed in their business. They offer educational materials, seminars, conferences, and online resources to enhance sales skills, product knowledge, and business management capabilities.

Global expansion: Amway operates in multiple countries worldwide, allowing IBOs to conduct their business internationally. This global presence enables IBOs to tap into new markets and potentially expand their customer base beyond their local area.

Emphasis on relationships: Amway places a strong emphasis on building and maintaining relationships. IBOs are encouraged to develop personal connections with their customers, provide personalized service, and offer ongoing support to foster loyalty and repeat business.

Product quality and research: Amway emphasizes product quality and invests in research and development to ensure their offerings meet high standards. They have manufacturing facilities and conduct extensive testing to deliver products that align with their commitment to quality.

Online presence: Amway has a digital presence that supports their business model. They offer online platforms and tools for IBOs to manage their business, track sales, access training materials, and facilitate online ordering and delivery.

Social responsibility: Amway is involved in various corporate social responsibility initiatives, including environmental sustainability, philanthropy, and community engagement. They aim to make a positive impact in areas such as education, health, and entrepreneurship.

It's important to note that while some individuals have found success in the Amway business model, MLM structures can be controversial and have faced scrutiny.

Prospective participants should thoroughly research and evaluate the business opportunity, including understanding the costs, income potential, and the effort required to build and maintain a successful Amway business.

Understanding the Amway business model

History of amway.

Amway, which stands for “American Way,” was founded in 1959 by Rich DeVos and Jay Van Andel in Michigan, USA. The company started as a small direct selling business, offering household products like laundry detergents and cleaners.

However, the founders had a vision of creating a company that would not only provide high-quality products to consumers but also offer a business opportunity for people to achieve financial independence.

Through their hard work and dedication, Amway grew into a global enterprise that operates in more than 100 countries and territories worldwide. Today, the company offers a wide range of products, including health and wellness supplements, skincare products, and household items.

The multi-level marketing (MLM) structure

One of the defining features of Amway's business model is the MLM structure. This marketing model relies on a network of independent distributors to build sales networks, as opposed to relying solely on traditional advertising methods.

By doing this, Amway is able to cut out the middleman and offer its products to consumers at a lower cost, while providing a potentially lucrative business opportunity for those who are willing to work hard and build their network.

The MLM structure allows individuals to become independent business owners and earn income by selling Amway's products directly to consumers.

Distributors are encouraged to build a team of other distributors under them, creating a downline that can generate additional income. This structure also provides support and training to help distributors succeed in their businesses.

How Amway products are Sold

Amway's product line consists of several verticals, including a range of dietary supplements, skincare products, and household goods. Distributors are responsible for promoting and selling these products through direct selling and network marketing.

In essence, distributors earn money by purchasing products at a wholesale price and then reselling them to their customers at a retail price, thus earning a commission on each sale.

Additionally, distributors are incentivized to build their network of other distributors under them, earning a percentage of the sales made by those in their downline.

Amway also offers a variety of training and support programs to help distributors succeed in their businesses. These programs include online training courses, business seminars, and mentorship programs.

Distributors are encouraged to attend these events to learn new skills and strategies for growing their businesses.

Overall, Amway's business model offers a unique opportunity for individuals to become independent business owners and achieve financial independence. With a strong focus on quality products and a supportive community of distributors, Amway continues to be a leader in the direct selling industry.

Pros and cons of the Amway business model

The Amway business model has been around for over 60 years and has been the subject of much debate and discussion. While some people swear by it and have achieved great success, others have had negative experiences.

In this article, we will explore the pros and cons of the Amway business model for distributors and consumers.

Advantages for distributors

One of the primary advantages of the Amway business model is the potential for earning passive income. Distributors can earn commissions on sales made by those in their downline, which can lead to significant earnings over time.

This means that even if a distributor is not actively selling products, they can still earn money from the sales made by their team. Additionally, Amway provides exceptional support for its distributors, offering training sessions, marketing materials, and other resources to help them build their businesses.

This support can be especially helpful for those who are new to the MLM world and may not have experience in sales or marketing.

Another advantage of the Amway business model is the flexibility it offers. Distributors can work from home and set their own schedules, which can be especially appealing for those with families or other commitments. This flexibility allows distributors to build their businesses at their own pace and in a way that suits their lifestyle.

Disadvantages for distributors

One of the primary drawbacks of the Amway business model is that it can require a significant time commitment. To be successful, distributors must be dedicated and willing to put in the work to build their network. This can mean spending many hours each week recruiting new members, training them, and promoting products.

Additionally, the MLM model can be challenging for some, as it requires ongoing recruitment and the ability to motivate and train others to sell products. This can be especially difficult for those who are introverted or who do not have experience in sales or marketing.

Another potential disadvantage of the Amway business model is the cost. While distributors are not required to purchase inventory, they are encouraged to do so in order to build their businesses.

This can be expensive, and some distributors may find themselves spending more money on product than they are earning in commissions.

Impact on consumers

From a consumer perspective, Amway's products are generally high quality and competitively priced. The company offers a wide range of products, including health and wellness supplements, beauty and personal care items, and home cleaning products.

Many of these products are exclusive to Amway and cannot be found in traditional retail stores.

However, the MLM structure can raise concerns for some customers, as it can be difficult to determine whether the products are genuinely superior to those of other retailers, or if they are simply being marketed by distributors who stand to profit from their sale.

Additionally, some consumers may be put off by the aggressive sales tactics used by some Amway distributors, which can include high-pressure sales pitches and attempts to recruit new members.

In conclusion, the Amway business model has both advantages and disadvantages for distributors and consumers. While it offers the potential for significant earnings and flexibility for distributors, it can also require a significant time commitment and be expensive.

From a consumer perspective, the quality and pricing of Amway's products are generally good, but the MLM structure can be off-putting for some. Ultimately, whether the Amway business model is right for you will depend on your personal goals, experience, and preferences.

Amway's products

Amway is a global leader in the direct selling industry, offering a wide range of products to help people live healthier and more fulfilling lives. From supplements to skincare to household cleaning products, Amway has something for everyone.

Nutrilite supplements

Nutrilite is Amway's flagship line of vitamins and supplements. These products are made from natural ingredients and are designed to support overall health and wellness. Nutrilite offers a wide range of products, including multivitamins, probiotics, and supplements that support heart health, immune health, and more.

The Nutrilite brand is backed by extensive research and testing, ensuring that each product is of the highest quality.

One of the unique aspects of Nutrilite is the company's commitment to sustainable farming practices. Amway owns and operates its own organic farms, where many of the ingredients used in Nutrilite products are grown.

This allows Amway to have complete control over the quality and purity of its ingredients, while also ensuring that the farming practices used are environmentally responsible.

Artistry skincare and cosmetics

Artistry is Amway's line of skincare and cosmetics. These products are formulated to address a range of skincare concerns, from aging to uneven skin tone and texture. Artistry offers a wide range of products, including cleansers, toners, moisturizers, and serums, as well as makeup products like foundation, mascara, and lipstick.

One of the key ingredients used in many Artistry products is the rare and highly coveted Tahitian black pearl. This ingredient is known for its ability to promote healthy, radiant skin. Artistry also uses other natural ingredients like aloe vera, green tea, and chamomile to nourish and protect the skin.

Spring water treatment systems

eSpring is Amway's line of water purifiers and filters. These products are designed to remove impurities from tap water, providing a healthier drinking water solution. eSpring uses a combination of ultraviolet light and carbon filtration to remove contaminants like chlorine, lead, and bacteria from water.

One of the unique features of eSpring is its patented cartridge replacement system, which ensures that the filter is always working at optimal capacity. The eSpring system also includes a digital display that lets you know when it's time to replace the filter.

Legacy of clean household products

Legacy of Clean is Amway's line of household cleaning products. These products are made from plant-based ingredients and are designed to be environmentally friendly while still effectively cleaning your home. Legacy of Clean offers a wide range of products, including laundry detergent, dish soap, and all-purpose cleaners.

One of the key ingredients used in many Legacy of Clean products is the powerful cleaning agent, citric acid. Citric acid is a natural, plant-based ingredient that is effective at removing dirt and grime without harsh chemicals.

Legacy of Clean also uses other natural ingredients like coconut oil and aloe vera to moisturize and protect your skin while you clean.

Overall, Amway's product line offers a wide range of high-quality products that are designed to help you live a healthier, more fulfilling life.

Whether you're looking for supplements to support your overall health, skincare products to promote healthy, radiant skin, or environmentally friendly cleaning products for your home, Amway has you covered.

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In-Depth Business Model of Amway – One Of The Oldest MLMs In The World

By Aditya Shastri

Quick Read   The Amway business model revolves around direct selling and multi-level marketing. This business model of Amway case study explores Amway’s unique selling model, revenue streams, and market strategies, demonstrating how the Amway business model sustains its global operations.

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One of the oldest and most reputed MLM (multi-level marketing) in the world, the business model of Amway serves as a valuable case study for enthusiasts aiming to learn how to succeed in business.

To give you some context, Amway is a USA-based company established in 1959. Currently, Amway’s revenue stands at $8.4 billion. In this case study, we will delve into the intricate details of Amway’s business model to understand how they have channelled their efforts to become a leading company globally.

About Amway

Source: Google

Amway, short for ‘American Way,’ was founded in 1959 by Jay Van Andel and Rich DeVos in Ada, Michigan, USA. Initially starting with a single product, Amway has grown into a global leader in the direct selling industry. Its mission is to help people live better, healthier lives. Key milestones include the introduction of Nutrilite, a leading dietary supplement brand, and expansion into over 100 countries and territories.

Amway is known for its robust network of independent business owners (IBOs) who drive its unique business model.

Amway utilises both direct selling and the MLM model, having established its presence in India through a subsidiary in 1995. So let’s delve deeper into the Amway business model to understand its success and applicability.

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Updated Statistics

• Annual Revenue: $8.5 billion in 2022 (Amway Annual Report, 2023).
• Global Presence: Operates in over 100 countries and territories (Amway Statistics, 2023).
• Independent Business Owners: Over 1 million active IBOs worldwide (Amway Statistics, 2023).
• Product Range: More than 450 high-quality products across nutrition, beauty, personal care, and home care (Amway Product Catalogue, 2023).

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Business Model of Amway

A business model is a high-level plan for running a profitable firm in a certain market. The value proposition is an essential component of the business model, describing a company’s strategies and why customers or clients find them appealing. Ideally, it articulates this in a way that distinguishes the product or service from its competitors.

Amway employs a mix of demographic and geographic segmentation characteristics, such as age, gender, occupation, location, and economic class, to understand consumer elements that might help in finding new customers. This approach is central to the Amway business model, particularly the Amway direct selling model. In the coming sections, we will further study various other important aspects of Amway’s business plan.

1. Amway’s Business Plan: Market Share & Analysis

Amway holds a significant share in the global direct selling market, competing with companies like Herbalife, Avon, and Mary Kay. It leverages its extensive network of Independent Business Owners (IBOs) to penetrate diverse markets effectively.

Market analysis indicates steady growth driven by increasing demand for health and wellness products. Amway’s business plan is bolstered by its strong brand reputation and high-quality products, making it a preferred choice for consumers and sellers alike.

As the largest direct seller in the world, Amway excels in the nutrition and wellness category, which is its largest business segment. With growing global awareness of health and wellness, Amway aims to expand its nutrition business in India. It holds a 12% market share in the vitamin supplements sector, valued at an estimated Rs. 9400 crore.

2. Amway’s Business Model: Product Offerings

Amway offers a wide range of products across categories such as nutrition, beauty, personal care, and home care. Key products include Nutrilite dietary supplements, Artistry skincare and cosmetics, and eSpring water treatment systems.

These products are marketed through its network of Independent Business Owners (IBOs), ensuring a personalised sales approach. The extensive product portfolio caters to various consumer needs, promoting health, beauty, and household wellness.

When it comes to the best quality products at reasonable prices, Amway is a leader, having become the world’s largest direct-selling FMCG company. The Amway business model relies on a direct selling approach, leveraging a robust network of IBOs.

Here is a list of the top 5 best products:-

1. Nutrilite Protein Powder

This product contains as follows:

• Combination of protein from soy and milk
• Refills all 9 amino acids in the body
• Used for muscle repair
• Building for bodybuilders

2. Attitude Gel Cleanser 

The following are the ingredients present in the product:

• Removes excess oil
• A soap-free
• Non-drying cleanser and gives you clean, matte skin.

Satinique 2-in-1 Shampoo & Conditioner

In our busy schedules, we forget or skip conditioning our hair. So its single wash gives you the following:

• Hair stronger
• Tangle-free

3. Nutrilite Daily Tablets

This product contains:

• Overcome nutritional deficiencies with multivitamins and multiminerals
• It is a single-dose tablet.
• It is a power packer with 11 minerals and 13 vitamins.

4. Artistry Youth Xtend Enriching Cream

This product has:

• An ultra-hydrating formula.
• Goodbye to your damaged skin, signs of ageing, and scars.
• Get your glowing skin back in a few weeks.

These are the different product portfolios introduced by the company. Many people believe that Amway operates multi-level marketing schemes, but the company has always denied this, maintaining itself as a direct selling company.

Amway products are reasonably priced and cater to the middle and upper classes. Although they are slightly more expensive than their competitors, Amway justifies this with superior quality.

By understanding the Amway business model, including its direct selling model and premium pricing strategies, we can better appreciate how the company positions itself in the market. The Amway business plan, particularly in India, involves a structured approach to selling that ensures quality and profitability.

There are many other so many other business models out there that all follow different rules when it comes to adopting marketing strategies. Whether it’s a personal care or a hospitality sector, these brands spend significant resources identifying and catering to specific consumer groups. To learn more about how these companies successfully define and target their audience, consider exploring our digital marketing case studies . They offer insights into the strategies employed by industry leaders like Dove, Marriott International, and many others.

Need a starting point? Begin here by taking a look at the marketing strategy of Marriott International and the SWOT analysis of Dove . Understanding their product offerings, pricing strategies, distribution channels, and promotional tactics can provide valuable insights into effective audience targeting

3. Amway’s Business Plan: Target Audience

Amway’s target audience includes health-conscious individuals, beauty enthusiasts, and homemakers. It primarily targets middle to upper-middle-class consumers who prioritise quality and wellness. The Amway business model in India and other countries focuses on individuals seeking entrepreneurial opportunities, providing them with the tools and support to build their businesses. This dual focus on end consumers and potential Independent Business Owners (IBOs) ensures broad market reach.

Amway uses a mix of demographic and geographic segmentation characteristics such as age, gender, occupation, location, and economic class to understand consumer elements that might help in finding new customers. Because the majority of Amway’s products are offered through cross-selling and upselling to current clients, the company employs a homogenous targeting strategy.

Amway has long been known for its innovative business approach and high-quality merchandise. To position itself as a quality brand in the minds of consumers, it employs a customer benefit and value-based positioning strategy. The Amway business plan reflects its commitment to providing quality and value to both consumers and IBOs.

4. Amway’s Business Model: Funding & Investors

Amway is a privately held company and has not required external funding since its inception. The founders’ initial investments and the company’s profitable operations have fueled its growth.

The lack of public investors allows Amway to maintain control over its business strategies and reinvest profits into product development and market expansion.

5. Amway’s Business Model: Revenue Model

The revenue model of Amway is based on direct sales through its network of IBOs. IBOs earn income through retail markups on products and performance bonuses based on their sales volume and the sales of their recruited downline.

This multi-level marketing structure ensures continuous revenue generation from both product sales and new IBO enrollments. The company’s revenue streams are diversified across various product categories and international markets.

Revenue is important, but not everyone is a natural with numbers. Some of us are more creatively inclined and thrive on the strategic side of business. If this resonates with you, then you should explore this list of online marketing courses in India . It’s tailored for people like us, where we can turn our passion into a career that feels like play.

6. Amway’s Business Model: Marketing Strategy

Amway’s marketing strategy relies heavily on its network of Independent Business Owners (IBOs) who use personal selling and word-of-mouth to promote products. The company supports IBOs with extensive training, marketing materials, and digital tools.

Amway also invests in brand advertising, sponsorships, and community engagement to enhance its market presence. Additionally, the Amway business model review highlights the effectiveness of its loyalty programmes and promotions in driving customer retention and sales growth. This approach underscores the powerful business plan of Amway and the success of its direct selling model.

7. Business Model of Amway: Value Proposition

Amway’s value proposition lies in its high-quality products, personalised customer service, and entrepreneurial opportunities. The direct selling model offers consumers access to premium products with the convenience of home delivery.

For IBOs, Amway provides a flexible business opportunity with the potential for significant income, supported by comprehensive training and resources. This dual value proposition appeals to both customers and aspiring entrepreneurs.

8. Business Model of Amway: Operational Model

Amway’s direct selling model utilizes a network of IBOs to market and distribute products. The company supports its operations with state-of-the-art manufacturing facilities and distribution centres worldwide.

Amway’s operational efficiency is enhanced by its investment in technology and supply chain management. The company’s robust infrastructure ensures timely product availability and high service standards.

9. Business Model of Amway: Strategic Alliances & Partnerships

Amway has formed strategic alliances with various research institutions, ingredient suppliers, and technology firms to enhance its product offerings and operational efficiency. Collaborations with scientific research organisations ensure the development of innovative, high-quality products.

Partnerships with logistics and technology providers help streamline distribution and improve customer experience. These alliances are crucial for maintaining Amway’s competitive edge in the direct selling industry.

10. Amway’s Business Plan: Technological Innovations

Amway invests in technological innovations to support its IBOs and improve customer experience. The company leverages digital tools, e-commerce platforms, and mobile apps to facilitate product sales and business management.

Innovations in product formulation and manufacturing processes ensure the delivery of superior products. Amway’s commitment to technology enhances its operational efficiency and helps IBOs manage their businesses effectively.

AI’s transformative influence extends to Amway as well. Numerous businesses across sectors are leveraging AI to gain a competitive edge. Amway utilizes AI tools to enhance their operations, from personalizing customer experiences to optimizing supply chain management. To harness the power of AI, consider exploring a free ChatGPT course to learn how to effectively utilize this cutting-edge technology in your business endeavours.

Corporate Social Responsibility (CSR)

Amway’s CSR initiatives focus on health, education, and community development. The Amway One by One Campaign for Children supports various programs to improve child health and education. The company also engages in environmental sustainability efforts, aiming to reduce its carbon footprint and promote green practices.

Amway’s CSR activities reflect its commitment to social responsibility and community well-being, enhancing its corporate reputation.

Top Competitors

A global nutrition company offering dietary supplements and personal care products, competing with Amway in the health and wellness sector.

Known for its beauty and personal care products, Avon operates on a similar direct selling model, targeting a similar consumer base.

A beauty and skincare company that utilises direct selling, focusing on high-quality cosmetic products and empowering women entrepreneurs.

Offers a range of beauty and wellness products through direct selling, with a strong presence in Europe and Asia, competing directly with Amway’s international markets.

Provides personal care and dietary supplements, using a direct selling model with a focus on innovation and anti-ageing products, challenging Amway’s market share in these categories.

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Conclusion 

The business model of Amway integrates direct selling with a robust network of independent business owners, high-quality products, and innovative marketing strategies. This business model of Amway highlights its unique selling model, revenue streams, and competitive advantages, demonstrating how it continues to thrive globally.

In today’s world, we don’t easily find the right brand which is comfortable for ourselves and better quality. Amway is the one which is the world’s largest direct-selling company and its quality is very good it is also fitting for everyone and there are some details of the business model of Amway that help you.

Extra Details

Understanding the digital marketing landscape is essential for businesses seeking to thrive in today’s competitive environment. As we explore Paytm’s success story, it’s important to recognise the role of digital marketing in driving brand growth. For those interested in learning more about this dynamic field, consider exploring digital marketing courses in navi mumbai and digital marketing courses in south delhi .

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FAQs About the Amway Business Model

Amway's primary revenue source is direct sales through its network of independent business owners (IBOs).

Amway has over 1 million active IBOs worldwide.

Amway offers products in nutrition, beauty, personal care, and home care, with key brands like Nutrilite and Artistry

Amway's main competitors are Herbalife, Avon, Mary Kay, Oriflame, and Nu Skin.

Amway uses direct selling and multi-level marketing to offer diverse products through independent business owners, supported by extensive training.

Amway's business model combines direct selling with multi-level marketing, allowing independent distributors to sell products and recruit others for commissions.

Amway supports its IBOs with training, marketing materials, digital tools, and performance-based incentives.

Amway's value proposition includes high-quality products, personalised customer service, and entrepreneurial opportunities.

Amway ensures product quality through stringent manufacturing processes, research and development, and partnerships with scientific institutions.

Amway's CSR initiatives focus on health, education, community development, and environmental sustainability.

Author's Note: My name is Aditya Shastri and I have written this case study with the help of my students from IIDE's online digital marketing courses in India . Practical assignments, case studies & simulations helped the students from this course present this analysis. Building on this practical approach, we are now introducing a new dimension for our online digital marketing course learners - the Campus Immersion Experience. If you found this case study helpful, please feel free to leave a comment below.

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Aditya Shastri

Lead Trainer & Head of Learning & Development at IIDE

Leads the Learning & Development segment at IIDE. He is a Content Marketing Expert and has trained 6000+ students and working professionals on various topics of Digital Marketing. He has been a guest speaker at prominent colleges in India including IIMs...... [Read full bio]

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• English (en)
• Understanding the Plan

Your income

Promote* quality products that people use every day. Earn in three ways:

• Retail profit (CVR) from every Amway TM  product that a registered customer purchases.  
• Bonuses calculated from your business growth. 
• Incentives rewarded as you reach key milestones in your business. 

*Only Amway Business Owners who have sufficient registration of business activity with the local state and tax authorities are eligible to receive any income deriving from the business.

Retail profit.

We have a retail price for each product that is 20% higher for your registered customers that the price for an Amway Business Owner. The difference between ABO price and retail price is the first part of your earning: your base discount. Amway Business Owner price  - ABOs pay a special ABO price for every product.

PV determines your qualification level

PV stands for Point Value. Nearly all products have a PV. The total PV of all product orders placed by you and the business group together for the month determines your bonus level. This table shows you the PV amount you need to earn per month in order to qualify for the different Performance Bonus percentages. Point values of individual products can be found online.

BV is used to calculate your Performance Bonus

BV stands for Business Volume. Nearly all products have a BV value, which determines the size of the bonus you will receive at a certain bonus percentage level.

Your Income example

When you calculate your bonus all you need to know is the total PV and BV of all your orders for a full month – that’s your sales volume. You can track your monthly PV and BV in 'My Office' on the Amway website after you log in. If you have sponsored a business group, you also need to know the volume of this group to calculate your overall bonus. You will discover there is a ratio between PV and BV. The total of all PV determines your bonus percent level and the total BV determines the amount of bonus you can receive. If you have ABOs who are also eligible for a bonus it will be deducted from your gross Performance Bonus; they will not lose any of their achieved bonuses.  Let’s say your sales volume is 2,400 PV. Look back to the table to find your bonus percentage. Your Performance bonus is 12%! Great job! Now we have all the information we need to see how much you’ll earn this month!

The example that follows is based on PV / BV (PV / £) coefficient of 1,69439 and a 20% base discount.

1 Only those ABOs, who have sufficient registration of business activity with the local state and/or tax authorities, are eligible to receive bonuses and cash incentives as well as income deriving from retailing can participate in business seminars such as NPS, LTS and DC.  Assumes ABO performs consistently and meets requirements each month. PV/BV ratio of “1,69439" is used as an example only. For the currently valid PV/BV ratio please check Amway webpage or contact Customer Service. 

You have earned a 12% bonus by selling products to customers and you have already sponsored 3 downlines (each with customers of their own) who are earning a 3%, 6% and 9% bonus.

Suggested Retail Profit 4

20% x 169 BV = 34 GBP

Your Personal Performance Bonus

Your Group PV is 2,400 PV/4,067 BV (200 personal PV/339 BV, plus 300 PV/508 BV from sponsored ABO A, 700 PV/1,186 BV from ABO B and 1,200 PV/2,033 BV from ABO C) 169 Personal BV X 12% Performance bonus _________________________ = 41 GBP

3 This calculation is for estimation only, may vary depending on actual circumstances and can contain out-of-date information. Information is for illustration only and neither constitues a promise, guarantee nor other bonus payment obligation by Amway. Income calculation results are gross and do not consider expenses and taxes related to the Amway business.

4 This calculation with suggested 10% retail profit is based on ABO price.

The Differential Bonus is the Performance bonus percentage difference between you and your direct downline ABOs. How to calculate it: your percentage bracket minus the downline ABOs percentage bracket is the differential percentage. If you take the downlines’ group BV x differential percentage, you can calculate your differential bonus. Your Differential Bonus from A = 46 BGP (9% x 508 BV = 46 BGP) Your Differential Bonus from B = 71 GBP (6% x 1,186 BV = 71 GBP) Your Differential Bonus from C = 61 GBP (3% x 2,033 BV = 61 GBP)

Your Monthly Income

Retail Profit + Your Personal Performance Bonus + Your Differential Bonus 34 GBP + 41 GBP+ 172 GBP= 252 GBP

Your Yearly Income 252 GBP x 12 = 3,030 GBP

How do you make money with Amway?

Amway Business Owners (ABOs) make money when their customers buy Amway products and when others in their organization sell products.

Primarily, money can be made by:

Retail Mark-up – ABOs are able to sell their products at a mark-up (the difference between cost and retail price) to earn retail margin on the sale.  ABOs can set their own prices, but Amway does establish a suggested retail price for every product we sell.

Bonuses – ABOs can receive monthly bonuses based on their personal sales volume – how many products and what types of products they sell.

Growth Incentives – As their business grows and new members join their group, ABOs receive monthly bonuses based on the product sales volume of their team.  ABOs are awarded growth incentives for reaching key business building milestones, such as one-time cash awards and business trips.

Related Questions

+ How much money can you make with Amway? The majority of Amway Business Owners run their businesses part-time to make a little extra money to support themselves and their families, or to reach a specific financial goal. If their business grows and they develop experience, they may choose to Read more >

+ How much does it cost to start Amway? The startup cost for Amway Business Owners is less than $100 annually in every country where Amway operates and is fully refundable within 60-180 days if a person decides Amway isn’t for them. Compare this to the cost of starting any other kind of Read more >

+ What is direct selling? Direct selling refers to selling products directly to the consumer in a non-retail environment. ​Direct selling allows a person to start a business with little overhead costs and with no experience required. Direct selling offers accessible entrep Read more >

+ What does Amway sell? We are trying to make the world healthier and helping people live better lives by offering high quality products. Some of our leading brands include: Nutrilite: The world’s No. 1 selling vitamins and dietary supplements brand, featuring plant  ba Read more >

+ Do you have to recruit other people to make money with Amway? No. Amway Business Owners make money from the sale of our products. Simply put, if no product is sold, nobody makes any money. On each product sold, we set aside a portion of the product cost as “bonus” (sales commission). This is shared by Amway Read more >

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Your income

Promote* quality products that people use every day. Earn in three ways:

• Retail margin from every Amway™ product that a registered customer purchases.
• Bonuses calculated from your business growth. 
• Incentives rewarded as you reach key milestones in your business. 

*Only Amway Business Owners who have sufficient registration of business activity with the local state and tax authorities are eligible to receive any income deriving from business.

Retail margin.

We provide retail prices for every product, which are 20% higher than your Amway Business Owner price. The difference between the ABO price and retail price is the first part of your income: your retail margin. Amway Business Owner price - ABOs pay a special ABO price for every product.

PV determines your qualification level

PV stands for Point Value. Nearly all products have a PV. The total PV of all product orders placed by you and the business group together for the month determines your bonus level. This table shows you the PV amount you need to earn per month in order to qualify for the different Performance Bonus percentages. Point values of individual products can be found online.

BV is used to calculate your Performance Bonus

BV stands for Business Volume. Nearly all products have a BV value, which determines the size of the bonus you will receive at a certain bonus percentage level.

Your Income example

When you calculate your bonus all you need to know is the total PV and BV of all your orders for a full month – that’s your sales volume. You can track your monthly PV and BV in 'My Office' on the Amway website after you log in. If you have sponsored a business group, you also need to know the volume of this group to calculate your overall bonus. You will discover there is a ratio between PV and BV. The total of all PV determines your bonus percent level and the total BV determines the amount of bonus you can receive. If you have ABOs who are also eligible for a bonus it will be deducted from your gross Performance Bonus; they will not lose any of their achieved bonuses.

Let’s say your sales volume is 2,400 PV. Look back to the table to find your bonus percentage.

Your Performance bonus is 12%! Great job! Now we have all the information we need to see how much you’ll earn this month!

The example that follows is based on a PV / BV (PV / BGN) ratio of 3,37174 and a retail margin of 20%.

1 Only those ABOs, who have sufficient registration of business activity with the local state and/or tax authorities, are eligible to receive bonuses and cash incentives as well as income deriving from retailing and can participate in business seminars such as NPS, LTS and DC. The same rules apply towards calculation of Member Plus discounts. Assumes ABO performs consistently and meets requirements each month. PV/BV ratio of “3,37174" is used as an example only. For the currently valid PV/BV ratio please check Amway webpage or contact Customer Service. 

2 2PV/BV ratio of “2” is used as an example only. For the actual ratio in your market, please refer to Amway online or contact your Amway affiliate.

You have earned a 12% bonus by selling products to customers and you have already sponsored 3 downlines (each with customers of their own) who are earning a 3%, 6% and 9% bonus.

Suggested Retail Margin 4

20% x 337 BV = 67 BGN

Your Personal Performance Bonus

Your Group PV is 2,400 PV/8,092 BV (200 personal PV/674 BV, plus 300 PV/1,012 BV from sponsored ABO A, 700 PV/2,360 BV from ABO B and 1,200 PV/4,046 BV from ABO C) 337 Personal BV X 12% Performance bonus _________________________ = 81 BGN

³This calculation is for estimation only, may vary depending on actual circumstances and can contain out-of-date information. Information is for illustration only and neither constitutes a promise, guarantee nor other bonus payment obligation by Amway. Income calculation results are gross and do not consider expenses and taxes related to the Amway business.

4 This calculation with suggested 20% retail margin is based on ABO price.

The Differential Bonus is the Performance bonus percentage difference between you and your direct downline ABOs. How to calculate it: your percentage bracket minus the downline ABOs percentage bracket is the differential percentage. If you take the downlines’ group BV x differential percentage, you can calculate your differential bonus. Your Differential Bonus from A = 91 BGN (9% x 1 012 BV = 91 BGN) Your Differential Bonus from B = 142 BGN (6% x 2 360 BV = 121 BGN) Your Differential Bonus from C = 121 BGN (3% x 4 046 BV = 121 BGN)

Your Monthly Income Retail Margin + Your Personal Performance Bonus + Your Differential Bonus 67 BGN + 81 BGN + 354 BGN = 502 BGN

Your Yearly Income 502 BGN x 12 = 6 029 BGN

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• Amway Business Opportunity: Start your own business
• Amway Core Plan

Amway Sales and Marketing Plan (Core Plan)

The Amway Core Plan still reflects the original business concept developed by Amway founders Rich DeVos and Jay Van Andel, introduced for the first time back in 1959. It is a compensation system that rewards Amway Business Owners (ABO) for sharing their knowledge and products, and for motivating others do the same.

Very important to know!

Your income is determined by your own performance and not by your position. There are ABOs whose financial rewards are higher than those of their sponsors (the ABOs who brought them into the business) and is based on the time and effort they put into building their business. 

The Bonus system

You can increase your own sales volume by acquiring new customers who purchase products and by encouraging your existing customers to purchase more products. By sponsoring new ABOs, supporting and advising them in the promotion of products, you may enhance your success and earn additional bonuses based on the performance of those in the business group. 

Understanding the Plan

Your Amway income is made up of your retail margin set by yourself when selling products to customers plus any bonuses you've earned.

• Deutsch (de)
• English (en)
• Amway Business Opportunity: Start your own business
• Amway Core Plan

Amway™ Sales and Marketing Plan (Core Plan)

The Core Plan still reflects the original business concept developed by Amway founders Rich DeVos and Jay Van Andel, introduced for the first time back in 1959. It is a compensation system that rewards Amway Business Owners (ABO) for sharing their knowledge and products, and for motivating others do the same.

Very important to know!

Your income is determined by your own performance and not by your position. There are ABOs whose financial rewards are higher than those of their sponsors (the ABOs who brought them into the business) and is based on the time and effort they put into building their business.

The Bonus system

You can increase your own sales volume by acquiring new customers who purchase products and by encouraging your existing customers to purchase more products. By sponsoring new ABOs, supporting and advising them in the promotion of products, you may enhance your success and earn additional bonuses based on the performance of those in the business group.

Understanding the Plan

Your Amway income is made up of your retail margin set by yourself when selling products to customers plus any bonuses you've earned.

Looking for answers?

Delivery options and charges for customer and registered customer orders.

The Flat Rate+ shipping program offers a single fee based on service level rather than order size, including DITTO™ scheduled orders.

Lead Time Promise

Lead Time Promise is the total time from order placement to door delivery. Amway™ offers several shipping preferences to best meet each customer’s need for speed, convenience, flexibility and tracking.

The “magic math” that helps us calculate delivery dates is dependent on cut-off times. For example, an order placed before 3 p.m. ET will take a true five business days. However, orders placed after 3 p.m. ET will calculate the next business day and appear to take six business days.

The following options are available for the U.S. only.

* DITTO scheduled orders default to DITTO Ground and cannot be upgraded.

† U.S. order minimum: $139. Alaska and Hawaii order minimum: $299. Puerto Rico, Guam, U.S. Virgin Islands and the Pacific Rim Islands order minimum: $699.

‡ Delivery outside the contiguous U.S. includes Alaska, Hawaii, Puerto Rico, Guam, U.S. Virgin Islands and the Pacific Rim Islands.

Additional weight fee ¶

A fee of $1.50 will be added automatically for products that weigh 6-10 lbs. For products that weigh over 10 lbs., a fee of $10 will be added automatically. Each surcharge is a per-unit cost.

State of New York delivery signature requirements and fees

New York law requires an adult (age 18+) signature and proof of age upon delivery of certain dietary supplements making “weight loss” or “muscle building” claims. An additional fee covers handling costs and will be shown in the cart at checkout.

If no one over 18 is available to sign at delivery, FedEx® §   will reattempt delivery two times. If the driver cannot obtain a signature on any attempt, FedEx will hold the package for pickup at a local FedEx location for up to 10 calendar days. Recipients picking up a package at a FedEx location must show valid proof of identification (e.g., a valid driver’s license, passport or U.S. Military ID) and sign for the package.

If the order isn’t picked up at the local FedEx location within 10 calendar days, it will be returned and Amway will process refunds for the product price. Shipping fees and surcharges will not be refunded.

We are unable to deliver impacted products to P.O. Boxes in the state of New York.

Agriculture products fee

Shipping surcharges include $100 on 30-gallon barrels and $650 on 275-gallon totes. Any orders with these products will receive free shipping. These surcharges will still apply to orders that qualify for Free Ground shipping. Products are shipped by truck; allow two to six weeks for delivery. Not available to all offshore locations, including Alaska, Hawaii, Puerto Rico, Guam, the U.S. Virgin Islands and the Pacific Rim Islands. For truck-shipped items, you may be asked to receive the merchandise at the rear of the truck, at which point the carrier’s delivery obligation is complete. It may be necessary for you to assist or move merchandise from the back of the truck into your home or office. A request for inside delivery is an extra cost service payable by you. A daytime telephone number is required so the carrier can schedule your delivery appointment and confirm arrangements with you.

¶If an order meets the Free Ground shipping threshold of $139+, the AmPerks customer will be awarded free shipping but will be assessed for these surcharges if the order contains impacted products. §FedEx is a registered trademark of Federal Express Corporation.

The “magic math” that helps us calculate delivery dates is dependent on cut-off times. For example, an order placed before 3 p.m. ET will take a true seven business days. However, orders placed after 3 p.m. ET will calculate the next business day and appear to take eight business days.

Note: Delivery charges are subject to change without notice. Sales tax will be applied to delivery charges according to federal and provincial sales tax laws.

* Ground shipping available in all Canadian provinces and territories. Delivery within seven business days unless otherwise specified. Not available for truck shipments. Shipments to Remote Areas: An area is deemed to be remote if deliveries cannot be made by ground year-round. Contact Customer Service to determine if an area is deemed remote. All orders for remote areas will be assessed with a delivery fee of $37. There is no free shipping into remote areas. We reserve the right to refuse to ship by ground if the costs are expensive and prohibitive.

† Premium shipping available on orders weighing 30 lbs. or less. Delivery within two business days unless otherwise specified. Not available for items shipped separately from the vendor or on a DITTO scheduled order. Available on orders weighing 30 lbs. or less. Hazard code and other shipping restrictions may apply.

Additional weight fee

A fee of $2 will be added automatically for products that weigh 6-10 lbs. For products that weigh over 10 lbs., a fee of $13 will be added automatically. Each surcharge is a per-unit cost.

Note: If an order meets the Free Ground shipping threshold of $185+, the AmPerks customer will be awarded free shipping but will be assessed for these surcharges if the order contains impacted products.

Amway™ offers several shipping preferences to best meet each customer’s need for speed, convenience and flexibility.

Lead Time Promise is the total time from order placement (date and time) to home delivery or pick up at the Dominican Republic Service Center or EPS locations.

* Tax on the Transfer of Industrialized Goods and Services (ITBIS) not included.

Explanation of signature requirements

Recipient’s signature and date on the copy of the Order Pack List is required at the delivery address.

If recipient is not available to sign at the delivery address, the home delivery service provider will reattempt delivery two times. If the driver cannot obtain a signature on any attempt or cannot locate the address, the service provider will return the order to the Dominican Republic Service Center. It will be held for 20 days.

Service Center Pick Up

Recipient’s signature and date on the copy of the Order Pack List is required at the Service Center.

Third persons must provide written authorization for pick up on behalf of the ordering customer, including copies of both IDs.

If the order isn’t picked up within 20 days, Amway has the right to process a return and refund the ordering customer for the product price. Pick up fee won’t be refunded.

After 30 days past the order date, the ITBIS won’t be refunded.

EPS Location Pick Up

Recipient’s signature and date on the EPS internal receipt is required at the EPS Location.

If the order isn’t picked up within 20 days, EPS will return the order to the Dominican Republic Service Center. Once received, Amway has the right to process a return and refund the ordering customer for the product price. Pick up fee won’t be refunded.

After 30 days of the order’s date, the ITBIS won’t be refunded.

Note: The Ground Home Delivery and Free Ground Home Delivery shipping options and lead time promises above are standard. Ground shipping and pick up itineraries vary during the end of the month and during holidays. Updated schedules are available when apply. Service Center and EPS Location pick ups are available accordingly. When placing an order near the end of the month or close to a holiday, contact Customer Service for more information about shipping and pick up schedules.

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• Small Business

E-Commerce on a Shoestring: Launching an Online Business With Minimal Investment

Published on Aug. 5, 2024

By: Chris Neiger

• Find your niche product or unique marketing angle to stand out.
• Don't overlook the importance of creating a business plan.
• Marketing your product is a must in the crowded e-commerce market.

Many Americans dream of launching their own businesses, but some stop before they even get started because of expected financial hurdles.

Some may be deterred by the fact that small business expenses can add up quickly, but the good news is that you can launch a business with a shoestring budget.

Pick a stand-out product

Estimated cost: Free

Most experts recommend taking some time to figure out a niche product, whether a digital or physical good, to sell online. In other words, don't just do the same thing everyone else does and expect to generate lots of sales.

Why a Business Credit Card Could Transform Your Small Business

These business credit cards that offer a convenient and efficient way to separate personal and business expenses, simplifying accounting and tax reporting.

Additionally, business cards can provide valuable perks such as rewards points, cashback, and expense tracking tools, enhancing financial management and the potential to help save money in the long run.

Building a brand around your product or service is one way to separate your business from the crowd. For example, if you're selling an online career course, you could focus your brand on your personal story of making a significant career change.

Come up with a plan

Estimated cost: $15 per month

Any small business owner will likely tell you that having an idea is just the beginning. You also need a plan on how to make your business successful.

Of course, you can't plan for every hurdle you'll encounter, and you won't be able to map out every win, but research shows you'll be far more successful if you have a game plan.

The National Federation of Independent Businesses says creating a business plan is one the most important things you can do to build a successful business. The business plan should include an executive summary, market research, competitive analysis, and financial projections.

Software like LivePlan and PlanGuru can help you create a business plan and even map out financial forecasting. The starting cost for some of these products is $15 per month.

Choose your platform

Estimated cost: $29 per month

There are endless websites where you can build your e-commerce, with varying customer bases built into them. For instance, if you're making and selling jewelry, you might choose Etsy's platform, where shoppers are looking for hand-crafted gifts.

Or, if you want to build your own following and keep most of your profits, you might build a website through a dedicated e-commerce platform like Shopify. Shopify is one of the best-known options, and its cost starts at $29 per month.

You could also build your own website. However, hiring a web designer and developer to create one will cost more money in addition to your web hosting costs.

Market your product

Marketing your product or services is another critical step in launching a successful business. It's not enough to develop a great idea, build an e-commerce website, and expect everyone to find you.

There's no one catch-all marketing strategy for every business, but your business plan will help here. Ask yourself how similar brands communicate with potential customers and how you can get your product or service in front of potential buyers.

Once you've answered these questions, choose the right social media management software to help you create and schedule posts. For example, for just $5 per month, you can use Buffer to schedule your social media posts and track engagement. The platform is easy to use and even has a free plan with limited features.

There's no guarantee that launching an e-commerce business will be easy, but it is possible on a limited budget. Just make sure you have a business plan in place to keep you on course and do your homework ahead of time to find the right marketing strategy.

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Our Research Expert

Chris Neiger is a full-time freelance writer with more than 10 years' experience covering personal finance and investing-related topics. He was also a writer for the BBC for three years and marketing manager for two non-profits.

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Allbirds Enters the Next Phase of Transformation After Reporting a Solid Q2

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Now that Allbirds has turned the corner on its transformation plan, the brand is doubling down on revamping its product line-up.

In a call with analysts discussing the company’s second quarter results, Allbirds chief executive officer Joe Vernachio said that consumers are already reacting positively to Allbirds’ new product strategy , which involves refocusing on core styles  like the Wool Runner and limiting launches to avoid saturating the market.

According to the CEO, new products like the Wool Runner 2, Tree Runner Go and Canvas Piper “have all been met with positive consumer response.” He expects a similar result when the new Tree Glider launches in the next few weeks.

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Under armour losses mount but less than expected, boot barn sees sales gains in q1, raises guidance for the year.

In describing Allbirds’ new focus, Vernachio compared a brand to an orange, and design to its juice.

“If you’ve ever had an orange with no juice, it’s not very good, right?” Vernachio said. “So we are spending a lot of time and energy and momentum in creating that juice that we are going to be using to then apply to a product line and a product offering.”

To “inject newness as quickly as possible,” Vernachio said Allbirds used its resources to create new colors and materials for existing silhouettes for the second half of 2024 and into 2025. Allbirds is also currently working on creating 10 new product launches for fall ’25 and spring ’26, which Vernachio said will “not only enhance our product range, but also reinforce our dedication to quality, comfort, style and sustainability.”

When it comes to measuring progress, Allbirds is looking to acquire new customers that are entering the brand through new products and marketing.

“Paramount to the new products, we have to get new customers into our business,” Vernachio said. “And so we’re really focused on that performance.”

He added that all of Allbirds’ new products are selling for full-price, which is also important for brand equity.

“All of this combined, we feel really positive about where we’re headed,” Vernachio said. “We think we’re just at the very beginning of the process.”

The San Francisco-based footwear company on Wednesday reported that Q2 revenues dropped 26.8 percent to $51.6 million, in line with its guidance. Net loss was $19.1 million, or 12 cents per basic and diluted share, which was also in line with guidance. The results beat the expectations of analysts surveyed by Yahoo Finance, who were looking for a loss of 17 cents per share and $50.51 million in revenues.

After several quarters of falling sales, Allbirds announced a business  turnaround plan  in March 2023 centered on revamping product, optimizing U.S. distribution and store profitability, re-evaluating its international strategy and improving cost savings.

Since then, Allbirds has closed 14 retail stores, transitioned to a distributor model for its international business, cut goods and operating costs, decreased inventory and narrowed operating cash use. In addition to bolstering product, the next phase of the transition will also strengthen storytelling and shopping experience.

Tim Walz Wore These Popular Cole Haan Comfortable Dress Shoes to a Campaign Rally in Michigan

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Japan rivals Nissan and Honda will share EV components and AI research as they play catch up

Nissan Chief Executive Makoto Uchida, left, and Honda Chief Executive Toshihiro Mibe shake hands during a joint news conference in Tokyo, Thursday, Aug. 1, 2024. Japanese automakers Nissan and Honda say they plan to share components for electric vehicles like batteries and jointly research software for autonomous driving. (Kyodo News via AP)

FILE - Logos at a Nissan showroom are seen in Ginza shopping district in Tokyo, March 31, 2023. (AP Photo/Eugene Hoshiko, File)

FILE - Logos of Honda Motor Co. are pictured in Tsukuba, northeast of Tokyo, on Feb. 13, 2019. (Kyodo News via AP, File)

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TOKYO (AP) — Japanese automakers Nissan and Honda say they plan to share components for electric vehicles like batteries and jointly research software for autonomous driving.

A third Japanese manufacturer, Mitsubishi Motors Corp., has joined the Nissan-Honda partnership, sharing the view that speed and size are crucial in responding to dramatic changes in the auto industry centered around electrification.

A preliminary agreement between Nissan Motor Co. and Honda Motor Co. was announced in March .

After 100 days of talks, executives of the companies evinced a sense of urgency. Japanese automakers dominated the era of gasoline engines in recent decades but have fallen behind formidable new players in green cars like Tesla of the U.S. and China’s BYD.

“Companies that don’t adapt to the changes cannot survive,” said Honda Chief Executive Toshihiro Mibe. “If we try to do everything on our own, we cannot catch up.”

Nissan and Honda will use the same batteries and adopt the same specifications for motors and inverters for EV axels, they said.

By coming together in what Mibe and counterpart at Nissan, Makoto Uchida, repeatedly called “making friends” to achieve economies of scale, the companies plan more strategic investments in technology and aim to cut costs by boosting volume.

Each company will continue to produce and offer its own model offerings. But they will share resources in areas like components and software development, where “making friends” will be a plus, Mibe and Uchida told reporters.

They declined to say whether the friendship will extend to a mutual capital ownership, while noting that wasn’t ruled out.

The two companies also agreed to have their model lineups “mutually complement” each other in various global markets, including both internal combustion engine vehicles and EVs. Details on that are being worked out, the companies said.

Honda and Nissan will also work together on energy services in Japan. Under Thursday’s announcements, Mitsubishi will join as a third member.

Toyota Motor Corp. , Japan’s top automaker, is not part of the three-way collaboration.

Although Honda and Nissan have very different corporate cultures, it became clear, as their discussions on working together continued, their engineers and other workers on the ground have a lot in common, Uchida said.

“Speed is the most crucial element, considering our size,” he added.

Uchida and Mibe repeatedly stressed speed, openly admitting BYD is moving very quickly, but they said there was still time to catch up and remain in the game.

“In coming together, we will show that one plus one will add up to become more than two,” Uchida said.

Yuri Kageyama is on X: https://twitter.com/yurikageyama

Amway Business Plan [Sample Template]

By: Author Tony Martins Ajaero

Home » Business Plans » Wholesale & Retail

Are you about starting an Amway company? If YES, here is a detailed sample Amway business plan template & FREE feasibility report. Amway over the years have grown to become one of the world’s biggest direct selling companies by providing any willing entrepreneur with the platform to have a business of their own.

Known as a front – runner in the united states multilevel marketing (MLM) industry, Amway Corporation manufactures and sells its own products as well as brand name products from other companies through a network of three million independent distributors worldwide.

But unlike all other MLM firms, Amway provides a broad selection of items, from cleaning products, cosmetics, vitamins to travel services, discount car purchases, and catalog merchandise. The company’s manufacturing facilities include a 3.5-million-square-foot production plant in Ada, Michigan, as well as plants in California, South Korea, and China.

Meanwhile, Amway products are delivered to distributors in the United States and the Caribbean region through 12 Amway Service Centers.

A Sample Amway Business Plan Template

1. industry overview.

Before going further, it’s pertinent you first understand about multi-level marketing. The Multi-level marketing scheme is a model that can be used to sell goods along with the services of the company with the help of promoters and partners of the company. The total earnings which are collected from the entire sale are distributed amongst the key players. So, in the process, the seller is not the only owner of the profit accumulated from the sale.

There is also an involvement of the step where the associates will have to get paid with the help of a proper multi-level system, and there are commissions provided to these associates and promoters as well. Multi-level marketing, popularly termed as Network or Referral Marketing, has always been in the news due to its seemingly contentious scheme of marketing.

Amway Business Owner (ABO) plays a major role in channelizing the business at a different level. ABOs let the Amway products reach the customers. With the Amway Business model, the associates will be able to sell the products of the company directly and also they can make sure that they help in the promotion of the products as well. This will create different levels of people working towards one common goal.

Note that the functioning of the Amway Business Model is based upon the performance of ABOs (Amway Business Owners). So, for evaluating their performance, Amway has a term known as Product Value, i.e. PV and Group Product Value, i.e. GPV. PV is actually the MRP of the product, and commissions of ABOs are decided as per the PV of that product.

Howbeit, in the hierarchy, the top-level ABO will get the product from the company at a discounted price based upon their commission, so he or she can sell that to others by that retail margin. In addition, ABOs get the bonuses as per their performances, plus growth incentives are offered to them, so they stay motivated in making the chain to channelize the multi-level marketing program of the company.

The business model of Amway is not really that difficult to understand. There are certain roles that ABOs will be playing. They can either act as the distributor of the company, or they will be playing the role of the recruits who are recruited by the distributor.

You will also be able to easily recruit the people in order to do the job for you in the best way. So, it seems quite obvious that the Amway Business model is one of the best models from the other models of businesses.

2. Executive Summary

Amway is an American company which deals in health, beauty, and home care commodities. At Amway Chicago, which is literally an Amway product store in the heart of Chicago, we will still offer a complete line of Amway products.

Our product prices will be quite stable since we will be buying direct from Amway Corporation. Another beneficial features of this relationship which is of significant value to us is the willingness of Amway Corporation to allow our store in Chicago to place orders as small as $160. The Amway Model is acutely infiltrated into the market, that is what makes it unlike the others and appears as a sham to many.

This is because the networking needs to keep on increasing for better results – more and more people are to be made to join hands and more and more people are to be talked to. At Amway Chicago, we have made plans and drafted result oriented strategies to be able to attract consumers who will in turn become distributors

Amway Chicago, just like Amway Corporation, will offer an efficient and effective distribution model where the products are purchased direct from the Corporation ensuring the highest quality and low prices. They are then sold direct to the consumer.

MLM businesses are often confused with pyramid schemes which are illegal in the U.S. Pyramid schemes are business forms that offer compensation specifically for the recruitment of new sellers. People are promised economic rewards for the more people they recruit, independent of what these people sell.

Herein lies the crucial distinction that regulatory authorities analyze when determining if a business is a pyramid scheme: the way compensation is rewarded. If it is based on recruitment, it is presumed illegal. At Amway Chicago, we will only compensate distributors for sales, an effective and efficient sales and distribution system.

Amway Chicago is an exciting new business which will leverage individuals’ needs for good and quality products and the ability to make money while sharing this need with friends and colleagues. By carefully using the efficient multi-level marketing business model, we will quickly generate sustainable revenue.

Sales forecasts indicate that sales for year two and three respectively will be $1,200,000 and $2,340,000. Net profit for the same years will reach 6.19 percent and 9.81 percent.

3. Our Products and Services

Amway Corporation is known to manufacture and sell a wide variety of products that are of top-notch quality which helps the company in making good money. At Amway Chicago, we will still offer a complete line of Amway products to the people of Chicago. These products include;

• Household Cleaners
• Original multi-purpose cleaning product LOC
• SA8 laundry detergent
• Dish Drops dish-washing liquid
• Health and Beauty
• Body Series
• Atmosphere and iCook as well as XL and XS Energy drinks

4. Our Mission and Vision Statement

• Our vision at Amway Chicago is to grow an organization that compensates individuals for sales made by other people that they recruit, while also satisfying the need for Amway products all over Chicago.
• At Amway Chicago, our mission is to build of a environmentally friendly distribution company that uses grassroots and network marketing techniques to sell the product and make a meaningful contribution to the environment. Earthly Clean exists to support its members and to support the environment.

Our Business Structure

In Amway business functioning, Amway Business Owners have the right to sell the products at different levels. The hierarchy is like: Amway – ABO1 –  ABO2 – ABO3 – Customer. ABO gives a fix commission to ABOs, plus income of 1st ABO added when he or she adds the second ABO.

This hierarchy continues, and in some way, the commission gets added in the account of every ABO. We at Amway Chicago, with our salespeople who are a part of the company, will be working down the entire hierarchy. We will be selling all the products from the list and to the distributors that are working in the retail markets. We plan to do this with the help of some great promotional marketing options and schemes.

Our distributors who will be entrusted with all sales methods will also get to recruit some other new dispensers that they want around the entire hierarchy which can be further helped when it comes to the expansion of the network in the best way. We at Amway Chicago also plan to recruit employees to help in the running of our open store.

Leveraging an effective interview process designed to staff our store with highly qualified people for each position, we will also create a path to let them join the network. Background checks will be utilized for designated positions. Recruiting efforts will always center on referrals. These roles include:

Store Operator

Information officer

• Department managers

Store manager

5. Job Roles and Responsibilities

• Increases management’s effectiveness by recruiting, selecting, orienting, training, coaching, counselling, and disciplining managers; communicating values, strategies, and objectives; assigning accountabilities; planning, monitoring, and appraising job results; developing incentives; developing a climate for offering information and opinions; providing educational opportunities.
• Creating, communicating, and implementing the store’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall store’s strategy.
• Tasked with fixing prices and signing business deals
• Tasked with providing direction for the business
• Tasked with signing checks and documents on behalf of the Amway Chicago

Financial Officer

• Tasked with preparing financial reports, budgets, and financial statements for the store
• Provides managements with financial analyses, development budgets, and accounting reports
• Tasked with financial forecasting and risks analysis.
• Performs cash management, general ledger accounting, and financial reporting
• Tasked with developing and managing financial systems and policies
• Tasked with administering payrolls
• Ensures compliance with taxation legislation
• Handles all financial transactions for the store
• Serves as internal auditor for the store
• Provide technological guidance within the store.
• Supervise information system and communications network.
• Develop and implement a customer service platform to serve the store in every aspect.
• Design, establish, and maintain a network infrastructure for local and wide area connectivity and remote access.
• Consult with administration, department managers, and manufacturing representatives to exchange information, present new approaches, and to discuss equipment/system changes.
• Oversee Internet and computer operations.
• Assess and anticipate technology projects and recommend appropriate action and resources.
• Establish and direct the strategic and tactical goals, policies, and procedures for the information technology department.
• Propose hardware/software solutions to accomplish Amway Chicago’s business objectives.
• Identify user needs and resolve problems.
• Maintains receiving, warehousing, and distribution operations by initiating, coordinating, and enforcing program, operational, and personnel policies and procedures.
• Complies with federal, state, and local warehousing, material handling, and shipping requirements by studying existing and new legislation; enforcing adherence to requirements; advising management on needed actions.
• Safeguards store operations and contents by establishing and monitoring security procedures and protocols.
• Controls inventory levels by conducting physical counts; reconciling with data storage system.
• Maintains physical condition of store by planning and implementing new design layouts; inspecting equipment; issuing work orders for repair and requisitions for replacement.
• Completes store operational requirements by scheduling and assigning employees; following up on work results.
• Maintains store staff by recruiting, selecting, orienting, and training employees.
• Maintains store staff job results by coaching, counselling, and disciplining employees; planning, monitoring, and appraising job results.
• Provides the client with a personalized customer service experience of the highest level
• Through interaction with customers on the phone, uses every opportunity to build client’s interest in the Amway Chicago ’s products
• Takes care of administrative duties assigned by the operator in an effective and timely manner
• Consistently stays abreast of any new information on Amway Chicago, promotional campaigns etc. to makes sure accurate and helpful information is supplied to customers when they make enquiries
• Tasked with cleaning the store at all times
• Makes sure that toiletries and supplies don’t run out of stock
• Any other duty as assigned by the operator.

6. SWOT Analysis

Just like Amway Corporation, our goal at Amway Chicago is to grow a more efficient marketing machine that does away with the inefficient traditional distribution systems. We’ve gone the length of analyzing our chances in the Chicago market and have properly stated our SWOT analysis. Clearly summarized below is the result of our SWOT Analysis;

• All our products are of high quality and their demand in our Chicago market has peaked.
• We will only recruit experienced salespersons to assist in the sales of the products.
• Build the company on a solid basis of integrity.
• Recruiting and retaining quality employees
• Tight margins will allow little wiggle room for error

Opportunities

• Little barriers to entry allows for immediate business opportunities
• New and viable market
• Multi Level Marketing has always been in the news due to its seemingly contentious scheme of marketing.
• Rising operating costs
• Building/maintaining sales volume
• Parent Club legal issues

7. MARKET ANALYSIS

8. our target market.

The reality of Amway’s networking business model is that besides the retail end customer, the very salespersons recruited or sponsored by the ones higher up in the network also act as end-user retail customers for Amway as they are required to pay an entry fee to join the network.

Aside that, we at Amway Chicago have identified two distinct type of customers for our Chicago store. The first customer is the end user of Amway products. These are people who have needs for health, beauty, and home care commodities. The second customer group will be a good number of people from the first group with an interest in becoming distributors of Amway products.

These two customer segments are very much attractive because they represent people who are most likely to be consumers of all Amway manufactured supplies. The distributors will be individual consumers who have an even stronger conviction and belief in the products as well as have the time to sell the products and find potential people to recruit into the distribution effort.

To be a distributor does not require a huge sacrifice of time, the majority of distributors will have full-time jobs in addition to marketing Amway. This makes the job of distributor all that more attractive, the person is able to adjust their already existing job with another source of income.

• Our Competitive Advantage

From our due diligence , we at Amway Chicago have been able to properly identify concrete competitive advantages that will help us succeed.

• Quality Products

Every product sold at/by Amway Chicago are manufactured and supplied by Amway Corporation. This offers us the unique platform to sell very competitive products that meet the needs of the market.

• Stable Pricing

At Amway Chicago, we will be able to offer great pricing because all our products are sourced directly from Amway Corporation. Although Amway Corporation pays out sale commissions to the various layers of distributors, this grassroots distribution model is still more efficient than the traditional distribution channel, keeping prices competitive.

• Favorable Business Model

Unlike other businesses in the industry, instead of profits going to a large corporation, all profits are dispersed among the user distributors that assist Amway. This arrangement is quite rare, and attractive for the targeted customer segment.

9. SALES AND MARKETING STRATEGY

At Amway Chicago, our marketing strategy will focus on the need to generate visibility for Amway as a company that offers health, beauty and home care commodities. Our primary marketing strategy will be based on grassroots networking. We believe that this strategy is most effective when the person selling the products knows the products and is passionate about what they are selling.

This is specifically why we chose to sell Amway products. We understand that in the MLM industry, networking is the key to increased visibility and distribution. Networking will take place in a number of venues including: the traditional work environment, social organizations, religious organizations, and other gatherings/situations that bring people together.

Distributors are expected to set up a meeting with the prospective person (someone they generally already know and have some sort of relationship with), show them the product catalog and provides them with samples.

Immediately the client must have used the products and impressed by them, another meeting can be scheduled to determine if the person is interested in making a purchase, and/or is interested in an additional source of income selling Amway products.

10. Sales Forecast

At Amway Chicago, we will be tracking both the sales to the individual consumers and the revenue received through commissions from sales from the various distributors. Our sales forecast indicates that initially the bulk of revenue will be from sales to the individual customers.

But as time progresses and more distributors are secured, the amount of revenue from the distributors will increase. We at Amway Chicago have adopted a reasonably conservative sales forecast. We estimate that our total first year sales should reach $1,200,000. Our second year will see sales increase to $2,340,000. The third year, with the addition of such a significant number of outlets, we will see sales increase to $5,192,440.

11. Publicity and Advertising Strategy

At Amway Chicago, our plan is to gather enough brand awareness to leverage the product line into other regions and gain inquiries from potential investors. To achieve this goal to expand and grow, we plan to do the following;

• Amway Chicago will spend $1,450 per month on Public relation services for the next year intended to build awareness of editors and product information insertions, reviews, etc.
• Amway Chicago will also spend $440 per month concentrating on drive time Radio advertising. We plan to experiment with different stations, keeping careful track of results. As with the school fundraising program, we expect the stand and signage to be a substantial portion of our advertising.
• List our business on local directories
• Attend relevant international and local health, finance and business expos, seminars, and business fairs et al
• Leverage on the internet to promote our business
• Engage direct marketing approach
• Encourage word of mouth marketing from loyal and satisfied clients

Sources of Income

With the help of the products and services that are provided by Amway Corporation, we at Amway Chicago will be able generate encouraging revenue. Amway Corporation manufactures more than 450 products, and via its MLM model, it sells those products all across the globe, generating a good amount of money.

Amway practices direct selling which is ‘A method of selling goods directly to the consumer by an independent Distributor. A Distributor can then introduce further Distributors and generate income from retail profits supplemented by bonus payments based upon the total sales of the group built by a Distributor”. We at Amway Chicago will generate income through:

• The retailing of Amway goods to consumers. Retail margins (mark-ups) on the basic wholesale price represent income to the selling distributor.
• Additional performance and leadership bonuses, paid on the volume of personal business and the business volume we plan to introduce into the business. Various levels of leadership bonuses, dependent upon the overall size and shape of the business, paid on achieving different levels of business performance.

12. Our Pricing Strategy

Amway as a company maintains a stable price for all products. With the Amway Business models, all associates will be able to sell the products of the company directly and also they can make sure that they help in the promotion of the products as well. This will create different levels of people working towards one common goal, and that is to make sure that the company of Amway is able to make a lot of money.

Meanwhile, the functioning of the Amway Business Model is based upon the performance of ABOs (Amway Business Owners). So, for evaluating their performance, Amway has a term known as Product Value, i.e. PV and Group Product Value, i.e. GPV. PV is actually the MRP of the product, and commissions of ABOs are decided as per the PV of that product.

So, in the hierarchy, the top-level ABO will get the product from the company at a discounted price based upon their commission, so he or she can sell that to other by that retail margin. In addition, ABOs get the bonuses as per their performances, plus growth incentives are offered to them, so they stay motivated in making the chain to channelize the multi-level marketing program of the company.

• Payment Options

All our payment options at Amway Chicago will be inclusive and acceptable because we understand greatly that different people prefer different payment options as it suits them. Here are the payment options that we will make available to our clients;

• Payment by cash
• Payment via Point of Sale (POS) Machine
• Payment via online bank transfer (online payment portal)
• Payment via Mobile money

We have also chosen banking platforms that will help us achieve our plans with little or no issues. Our bank account numbers will be made available on our website and promotional materials to clients who may want to deposit cash or make online transfer for our products charge.

13. Startup Expenditure (Budget)

To get started with Amway, Individual Business Owners need to pay a $62 registration fee. This is direct profit for the company, but it also comes with a 100% satisfaction guarantee for the first 90 days. The fee provides a welcome kit that helps to get new representatives up-to-date with the various product lines that are offered.

Those who are just starting are also recommended to purchase an $83.90 product kit so the items that Amway sells can be sampled and sold with authenticity. The product kit contains $160 worth of full-sized Amway products to try. Meanwhile, we at Amway Chicago have incurred the following expenses for the launching of our store:

• Storage space: This will be used for the storage of product inventory.
• Service provider fees: We’ve incurred both accountant and attorney fees in the setting up of the business. The accountant will set up the Linton accounting system and the attorney will develop and register the business formation as well as draft some sale agreements for distributors.
• Computer system: The computer system will be used for correspondence, accounting purposes as well as to develop marketing and sales information. The system will include a laptop computer, printer, fax/scanner, and a broadband Internet connection. Earthly Clean will use Microsoft Office and Linton Accounting as their preferred software.
• Assorted types of paper and stationery: Personalized with a logo, return addresses, etc. for catalogs, and brochures.
• Assorted office furniture and accessories

Generating Funding/Start up Capital for Amway Chicago

Amway Chicago is a Store owned by Martha Flinch and Damson Cone. Both have been with Amway Corporation for over 10 years and understand the visions and values of the company. At Amway Chicago, we hope to raise our startup fund through the following ways;

• Generate part of the startup capital from personal savings
• Source for soft loans from friends and family
• Generate fund from angel investors

Note : The owners of the company are willing to invest $200,000 to start up Amway Chicago.

14. Sustainability and Expansion Strategy

The key to a successful business with Amway has to be in the building of the downstream. When working appropriately, the Amway business model is one that can work. The tiered levels of sales representatives in each up line can all help us and our distributors succeed.

The unfortunate fact, however, is that many Amway representatives get involved thinking that they can start their own business for a small price and very little overhead. The reality is that Amway is just like any other business opportunity, but with a small twist – sales reps don’t actually have their own business.

For those in Chicago that are good at sales and love to be social with people, we will offer them a tremendous opportunity for success. The underlying fact is that the Amway Business Model is not a scam. Just that it is not really a pyramid model of business – all it relies on is a granted hierarchy of partakers who purchase, retail and further spread out this sequence to earn more proceed-fractions, which is more of a network than a pyramid.

At Amway Chicago, our sales strategy will emphasize our high quality products and 100% customer satisfaction. We believe that by combining these two benefits, consumers are able to try the available products risk free. This provides them with the opportunity to test them out and determine if they are as good as they claim to be. Once the consumer has recognized the outstanding quality that Amway offers, the option of becoming a distributor becomes more attractive.

If the consumer truly believes in the product, then it becomes that much easier to convince them that there is an excellent opportunity available that allows them to sell a product that they believe in, obtain an additional source of revenue, and make a positive impact on the environment. All of this will be done on a grassroots, one-to-one level.

Also, retailing Amway products enables us provide immediate financial incentive rewards to our distributors. Direct selling involves sales people showing and demonstrating products to obtain orders. The objective involves matching consumer needs with the product.

The better the match, the more lasting the potential for the relationship between the seller and the buyer. The selling process is aided by Amway’s retail strategy to provide high quality, readily purchasable items with a good environmental positioning, offering consumers good value for money.

As with all direct selling activities, the process involves two-way communication and this can be time-consuming. Business success and the resulting financial results are a direct consequence of effort, commitment and personal group motivation.

Personal contact between distributors at one-to-one or group meetings provides the opportunity for individuals to discuss strategies, difficulties, levels of involvement and plans for the future. The income objectives and individual targets may be determined by each distributor based upon what he or she wants to earn.

Checklist /Milestone

• Business Name Availability Check : Completed
• Business Incorporation: Completed
• Opening of Corporate Bank Accounts: Completed
• Opening Online Payment Platforms: Completed
• Application and Obtaining Tax Payer’s ID: In Progress
• Application for business license and permit: Completed
• Purchase of Insurance for the Business: Completed
• Conducting feasibility studies: Completed
• Leasing, renovating and equipping our store: Completed
• Generating part of the start – up capital from the founder: Completed
• Applications for Loan from our Bankers: In Progress
• writing of business plan: Completed
• Drafting of Employee’s Handbook: Completed
• Drafting of Contract Documents: In Progress
• Design of The Company’s Logo: Completed
• Printing of Packaging/Promotional Materials: Completed
• Recruitment of employees: In Progress
• Purchase of software applications, furniture, office equipment, electronic appliances and store facelift: In progress
• Creating Official Website for the Company: In Progress
• Creating Awareness for the business (Business PR): In Progress
• Health and Safety and Fire Safety Arrangement: In Progress
• Establishing business relationship with banks, financial lending institutions, vendors and key players in the industry: In Progress

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Petrobras keeps door open for potential extra dividends this year

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