Amway is one of the top biggest MLM companies in the world. Amway is the first company that started the direct selling industry and given to new identity to the world. It is not only popular and famous in the direct seller company only but people know Amway very well who are outside of the direct seller industry. But what is the Amway India Business Plan and how can people earn money by joining Amway? There is no information regarding this.
In this blog, I will let you know what is Amway India? What is Amway’s business plan? Amway Products and its advantages and disadvantages.
What is Amway?
Amway is originally an American company, started in November 1959. There are two persons Jay Van Andel and Richard DeVos who are the founders of Amway. The head-court of Amway is located in Michigan, USA. The full form of Amway is American Way.
Before getting founding for Amway, Jay Van and Richard was selling direct products for a company called Nutrilite. At that time both were thinking of forming their own MLM company. Accordingly, Amway was launched with 5000 distributors in 1959. Later, Amway bought Nutrilite inside as well.
Since the introduction of Amway in 1959, Amway’s company has continued to grow. Amway created its debut in Australia first in 1971 and second in Europe in 1973. After that move to the Asian country and made the debut in Japan in 1979, Thailand in 1987, China in 1995, and India in 1997. With this awesome business journey, Amway is expanded in more than 108 countries. The turnover of Amway was $ 8.4 billion in 2019.
After Amway, Herbalife, Avon, Forever Living, Asclepius Wellness, Vestige, and Oriflame are popular names in the world including India. Amway has millions of distributors and more than 17,000 employees nowadays.
Journey of Amway in India
- Amway came to India in 1997. Before that, Amway had expanded in many countries, but after coming to India, Amway has faced many ups and downs.
- Many complaints have also been registered against Amway’s direct selling plan. In which Amway was also claimed to have an illegal scheme in India. That is a pyramid scheme.
- In India, Amway is one of the companies in which advertisements run at the national level.
- Hundreds of direct selling companies have started in India that considering Amway as their role model.
- Amway is one of the most popular and well-known name company which has the largest distributorship in India.
- Amway is also a founding member of IDSA out of 3 founding members. (See: IDSA Member List)
- In the last 5 years, Amway’s performance has not been good in India, the other reason is that the other Indian direct selling companies with cheap products in the industry have been the reason for this.
- Amway is one of the legal direct selling companies of India and follows the direct selling guidelines.
Now comes the most important issue, what is Amway’s MLM business plan?
First of all, you have to fill a form and join Amway as a distributor. Any interested person can become an IBO (Independent Business Owner) of Amway. It is mandatory to buy a fixed amount of Amway products after joining.
Amway’s business plan follows two arguments.
1. Product purchase and sale
When you join Amway company as a distributor, Amway will provide you the product at a lower price than MRP and you can sell the products further at MRP and earn the retail profit. Taking an example, suppose there is an Amway product whose MRP is 500 rupees. Amway will provide the product to the distributor for Rs. 450, then the distributor sells the product at MRP, it will get a net profit of Rs. 50.
In this direction, you can make a retail profit income by selling and buying products.
2. Recruitment
In Amway, you have to recruit the people. In which you have to recruit more people like you in your downline and build your network.
Now, whenever from your downline anybody buys a product, you earn also some percentage of its profit, it is also called passive income. Keep in mind, you will not earn money just by adding people. Rather, you will earn when your downline purchases the products regularly.
Amway Income Plan
There are the following main types of income in Amway:
- Retail margin
- Trade discount
- Compensation Plan-core Plan
- Monthly commission
- Annual commission
- Founders Achievement Award (FAA) commission
- TTCA (Global Award Recognition)
- Core plus Discietionery Incentive
- Early incentives
- Leader incentives
There is some condition to get each income Initially, the distributor does not get all the income initially. The distributor must fulfill the condition to get each income.
You can understand all the income of Amway India through its business plan PDF.
Amway India Business Plan PDF
Amway Products
Amway has a long product list. Which includes products like health, cosmetics, personal care, kitchen appliances. Amway Nutrilite Protein Powder and Nutrilite Daily Multivitamin are some of its most popular products.
Amway India products list along with the price, you can visit the link given below.
Amway India Products Price List
Apart from this, you can also see the product catalog of Amway India, which will give you detailed information about the product of Amway.
Amway India Catalogue PDF Download
Should I join Amway India or not?
Now finally the question comes, whether should I Join Amway MLM’s business plan or not. There is no qualification needed to join an MLM company. So anyone can join the Amway. To get the success in Direct selling industry, having strong communication and marketing skills will give you more benefits. Because without strong communication and marketing skills, there is very tough to make the future bright in MLM.
Judge yourself and think about your interest first to join Amway or any MLM company should be your own decision. Because you will have to spend your precious time and money. In such a situation, do not come in anyone’s words only. First of all, you should understand the business plan in detail and think practical, whether you will be able to do such types of business or direct selling. Apart from this, look carefully also the price and quality of the company’s product.
Advantages and disadvantages of Amway India:
Amway products are good in quality, but the Amway Products price are very high. Of course, most MLM company’s products are a bit expensive, but Amway products are very expensive compare to the market in India. A report of the well-known Newspaper The Hindu has also reported that Amway sells the tablets of calcium-magnesium for up to 600 rupees where the actual price of which is only around 60 rupees.
On the other hand, there are hundreds of MLM companies in India like Vestige, Modicare, Mi LIfestyle, and RCM, which quite low prices compared to Amway. Of course, each company has its own quality and manufacturing process, but price matters more in our country.
MLM is the business of the people, but if the people are not able to buy the product of that MLM company, then how will the business run? In the same way, Amway is a very old company, which is now also facing Market Saturation problem.
Conclusion
I hope you enjoyed this blog on Amway India Business. If you have any queries or suggestions related to Amway India, do let us know in the comments.
Ref/Source – Amway, Tech Mistry
It’s very nice and a genue business