Amway Myth: If the products are so good, why do so few new IBOs renew?

One of the superficially reasonable questions that some Amway/Quixtar critics have espoused is “If the products are so good, then why is it that so few new IBOs renew their businesses?”

On the face of it this seems a reasonable question. According to statistics revealed in the recent disputes between Quixtar and TEAM, only 3.8% of new IBOs renew their Quixtar businesses at the end of their first year.

You would think that even if they decided that the business wasn’t for them, that they would at least renew and continue to purchase the products at IBO price and enjoy other benefits of being an IBO. Yet a very large percentage don’t.

A reasonable conclusion would be that these new IBOs have decided that the products aren’t worth buying, even at IBO price, so they don’t renew.

The facts tell another story.

Another statistic was revealed in the Quixtar/TEAM dispute – only 5% of IBOs place any order after joining! This figure is quite stunning – only half of people who register with Quixtar ever even test the website and order products!

Now, granted many of those IBOs would have received some products when they registered, but Quixtar (and Amway elsewhere) has literally thousands of products available. What this figure tells us is that IBOs are doing a very poor job of helping new IBOs they sponsor try out the various products and the website.

It also tells us something else. 5% of IBOs place an order. 3.9% of IBOs renew. I think it’s safe to assume that IBOs renewing who never placed an order a few and far between, so the renewing IBOs are those that actually tried out Quixtar and the products.

Indeed, nearly 2 out of 3 IBOs who place orders after registering renew their business.

The message from this is clear – contrary to critics claims, the majority of people who actually try what we have to offer like what they find!

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15 Responses to “Amway Myth: If the products are so good, why do so few new IBOs renew?”

  1. cdsto

    If the products are so bad how come they are #1 in the world in health and beauty year after year.

  2. Yes, agree with cdsto..when people cannot do a business they start to complaint this is not right, that is not good and etc. If our products are not as good enough why we are in top 5 ranking (Artistry) and why we are top no.1 (Nutrilite)…these simple ranking figure shows that we don’t have to prove to people how good our products are..I’m using Artistry and taking Nutrilite and I’m having good business with it..

    The only thing you need to know is..learn from the right person and you need to use it first with the right way..then you know how good AMWAY products are!

  3. Seven

    It not the product, there is no doubt they are the best world wide.

    Millionaires know is a great opportunity, none millionaires
    think it doesn’t work. Who r you gona listen to???

    The problems are some IBOs. most of them have/come from a middle class mentality (i don’t include “poor” people, poor people have more potential of becoming some 1 here than people in the middle class. this happens because poor people are tire of being poor and wish they where rich, wile middle class are comfortable not being poor and with some money.) they’ve been living the same mental routine their whole life and are afraid to change, that’s why they are middle classed. So when they come to AMWAY, where you need a rich mentality to grow, its really hard for them to get use to such a way of thinking. so they complain, criticize and come up with excuses to cover up their failure.(This is just my opinion on what I’ve seen and experience.)
    AMWAY it self is a GREAT opportunity not many seem to see.
    the problem is us and the lack of dedication and effort we put in to it.
    correct me if im wrong.

  4. bill

    I was in Amway 25 years ago and i did sponsor a few people but never quite made it work for me. But i can tell you I was 18 when i started and had many people give me there time and knowledge to help me succeed. people only make money if they help other make money so people who were my upline would help me when ever i asked and if i had someone that was working hard they would help them just like they would help me. The cost i paid was nothing just work hard to make it work and help others and you will be rewarded in the end. My Boss at work has never done anything for me to succeed or really care if i need to make more money. Amway did not work for me but it help me become a man and to look to help others if you want to succeed in like they help me become the man i am today and will always be grateful to them for that. Amway is just product but the organizations like Dream Builders with in Amway help people become better people and love there family, country and God.

  5. Terry

    So, it comes down to this:

    [1] Amway IBO’s are focused on signing people into their downline and DO NOT want to sell the product.

    [2] The education programs, aka “tools” are not about selling and building a business, they’re about recruitment.

    • Ummm, no. (1) You don’t make a cent if you just sign up people in your downline, you only make money if products are sold. (2) The education program is entirely about selling and building a business. You seem to have the misconception that Amway operates like a pyramid, where you make money through recruiting. In Amway “recruiting” is not really any different to the marketing all companies do in order to “recruit” people to use and market their products. The great majority of people “recruited” are merely customers for the products.

  6. Vivek

    SUCCESS is always a minority.

  7. New Business Plan!

    Let’s examine these 2 points and compare them with reality.

    (1) You don’t make a cent if you just sign up people in your downline, you only make money if products are sold.

    I was told by my upline I didn’t have to sell, only buy my own products.

    (2) The education program is entirely about selling and building a business. You seem to have the misconception that Amway operates like a pyramid, where you make money through recruiting.

    I was told by my upline that all I needed to do was to sign up people to buy their own produts like I was doing and I’d make a ton of money. After I had read the Amway Rules and Regulations, I discovered that a certain amount of product did need to be sold in order to qualify for a bonus check. I even went so far as to contact Amway to get clarification of this rule and Amway informed me that this particular rule is what separated it from pyramid schemes. I showed Amway’s email response to my upline Direct and was told to “ignore it and don’t contact Amway anymore about rules.”

    Amway may not have been designed as a pyramid scheme but a number of upline biggies have turned it into one.

  8. (1) signing up people to buy stuff is selling products
    (2) while I’m being a little pedantic here, external customers isn’t what separates Amway from pyramid schemes, it does however over offer evidence it’s not a pyramid scheme
    (3) For this reason, among others, Amway rules state you must have external customers.

    The fact your upline was telling you to ignore your contract and ignore Amway says something about their integrity doesn’t it?

    The reality is that what you (or your upline) was doing was not Amway, it was something else hiding under the cover of Amway.

  9. There is also a path to success like any paths to anywhere. In Amway up line/sponsors show that path to new members. If they accept and choose the path they will reach success. others will blog/yell that Amway is wrong/failure. Determination and hard work is the key for success in any business. But most people are looking for and go behind easy money, easy business, Lottery, easy jobs, ………..
    Perfectly speaking AMWAY IS NOT FOR THAT CLASS!. BUT FOR THOSE WHO RESPECT EACH OTHER, THOSE WHO LOVE EACH OTHER, THOSE WHO WORK HARD, THOSE WHO ARE MORE MEN WITH FLARE TO HELPING OTHERS.

  10. Deepti

    If one wants to see the true sucess that comes with being associated with Amway, then all you need to do is look to India and study the phenomenal growth there.
    I recently signed up after having seen what my father in law and brother in law and a whole lot of friends involced in Amway. As for me having to ‘convince’ people, it really isnt that much of a big deal….these products are first class and THEY WORK. IPersonally me and my family have been using them for years and I wouldnt just blindly recommended them had I not been absolutely convinced of their results. Whether it’s the Home Care range or the Artistry line or the Nutrilite supplements, the stuff is amazing . And to think someone sees them as a cult or crappy products is laughable…come on we all have atleast half a brain and can decide if something is good or not, can’t we. The Nutrilite Kids Drink is amazing and has changed my kids immunity along with the chewable multies. And the Protein powder has really worked wonders for a lot of people esp the older gen , I only stick to Amway products for everything and I have no complaints. The stuff is good and people come upto me and want to buy. So you cant just sign up and sit on your backside and expect miracles..I think these lazy complainers have to learn from the Indian model of success and realize hard work is what pays off, and that along with selling world class products can never go wrong. See the number of fab success stories of all the emerald, platinum , diamond level folks and read up on how they did what they did.
    you can choose to be inspired and believe or be cynical only coz you are too damn lazy. Totally upto you!!

  11. sachin

    YES I AGREE THAT LOTS OF PRODUCTS ARE RUNNING IN INDIA BUT THEY R FILLING ONLY THEIR POCKET BUT THIS COMPANY IS GIVING US A OPURTUNITY TO EARN AND BE AN EQUAL FORTUNATE ENOUGH AS THIS COMPANY IS SO USE THY PRODUCTS HAVE FAITH ON THEM,,,, THEY R REALLY GOOD…WORKING

  12. sachin PANDEY

    APPLY THOUSAND EXCUSES TO NOT TO JOIN AMWAY AND USE ITS PRODUCTS BUT IF U REALLY WAANNAA BE ONE OF THE SUCCESSFUL PEOPLE….THINK ONLY ONE REASON TO USE IT &JOIN IT AND SEE THE MAGIC THAT HAPPENS………………………………….FOR ALL THE WORLD THIS IS THE ONLY FUTURE &SOLUTION TO ALL OUR FINANCIAL CRISIS ……BELIEVE IT & DO IT………….ABHI TOH KEWAL ENGINE START HUAA HAI ABHI TOH SAARI UDAAN BAAKI HAI…………..GOD BLESS ALL GOOD MIND THAT U UNDERSTAND THIS OPPURTUNITY……

  13. Colleen

    While I swear by DISH DROPS, I do not hold the same belief in Amway’s laudrr products. If I want a truly white wash, then I invariably use a competitor’s product, naming no names but using ghe colour ‘pink’ as a clue!

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