Learnings from Story of Amway


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Its story behind Amway, as written in a book printed about 35 years ago!

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Learnings from Story of Amway

  1. 1. Amway
  2. 2. O Book
  3. 3. What is Amway?O What is your perception of Amway?O What is the full form of Amway?O When it was started?O How many countries they are in?
  4. 4. How it all started?O Two people met for car pooling.O Then went to fight war (WWII)O Later started air charter serviceO Drive-in restaurantO Invested in a Ship and went for a cruise O Got lost O Got sunk
  5. 5. How it all started?O Someone called with a business proposal to sell vitamin supplements of NutriliteO California based brandO How to get well and stay well: a booklet they distributed
  6. 6. How it all started?O A few successful sales later they did a “event”.O In a basement of a small restaurant.O 8 people turned up.O 1 was already a distributor and didn’t work for him.
  7. 7. As they grew:O They tried doing other businessesO Like a rocking horse! (lost big time)O Nutrilite business started sufferingO Concentrate on winner ! Don’t diffuse energy.O In less than 12 years they bought over Nutrilite
  8. 8. Network:O They had built a solid distribution network which was working smoothlyO Due to Nutrilite’ s production problems their network was suffering so they bought it.O Then they focused on things which are easy to sell like soaps, beauty care apart from VitaminsO Rule: Sell things any one can sell
  9. 9. O A lot of business start everyday, the challenge is to persist and prosper.O The premium in business is not fancy proclamation in morning but the quite statement of profit and loss at the end of the day
  10. 10. First products:O LOC : liquid organic concentrateO SA8: dry compound for laundry150 itemsO People use them daily.O Husband and wife build the business together.
  11. 11. Sales volumeO 1960 : $5 lakhO 1965 : $ 3.75 croreO 1977: $ 37.5 crore
  12. 12. Pyramid Schemes :O A lot of pyramid schemes came in 1975 and Amway employees helped govt draft law to ban Pyramid SchemesO Even today people mistake Amway for a pyramid scheme
  13. 13. 3 PrinciplesO Recruit (as they call it sponsor)O TrainO MotivateO Does it sound fimilar?
  14. 14. Some stories :O Art Charlton: Very poor: not even food to eat.O Went to Military serviceO 17 years worked in heating oil, in snow and slurryO One day will do a better business.O Sold off oil business to buy a ice cream shop with all the savings they had
  15. 15. O Disaster businessO $ 40 was per day requirement even when both of them workedO Not a single day they got $ 40 in 6 month periodO After that he got into Amway: made enough money to retire
  16. 16. O Stutter :O Most embarrassing problemO 2 Jokes:O He couldn’t get any job, and jobs which required written tests, he would be removed after getting hired.O In Navy he couldn’t report to senior which was a protocol
  17. 17. O His income was less than his expensesO Joined Amway (anybody who says yes)O He made a lot of sales and “down line”O Guess what: he got cured and he got rich
  18. 18. O A Blind person : very intelligent, but not given important jobs: Joined Amway and attracted a lot of disabled people.O A person with 7 children: does superb eventsO A group of singers joined and then they do events for their prospects
  19. 19. Amway today:O 80 countriesO 3 million people (30 lakh)O 53 year oldO In 2010 paid out more commission than any other direct marketing company
  20. 20. O Thanks