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 January 29

by Michael Granados

Is Amway A Pyramid Scheme AND earn in 3 different ways for $1,000’s+ in commissions every day?

I’ll cut right to the chase, Amway IS Not a pyramid scheme because they actually have products, but I get why you’re thinking that way, and even Amway made a video about it:

I was once in your shoes like an uninterested buyer in a mall window shopping but when something was too good to be true I’d say “No way”, but still had to check it out. There are LOADS of making money online opportunities, especially in the health and wellness space…

And Amway is one of these but the bigger question still lingering in your mind “Is Amway the right place for me?”

Luckily I “Michael Granados” a health and wellness business owner who works from home will pull back the curtains and reveal to you ALL there is to know about Amway, the pros and cons, alternatives and so much more so by the time you’re done reading you’ll have a greater grasp as to how to have more freedom, get your time back and be able to live truly on your own terms.

How’s that sound? Alright, let’s get started.

What Is Amway?

what is amway

Amway is the world’s largest direct selling company which is a Network Marketing/MLM that’s reported over $8.8 Billion sales in 2018, and they manufacture and distribute Nutrition, beauty, personal care, and home products that are currently being sold in 100 countries through Amway Independent Business Owners(IBOs).

Why Amway?

For one, Amway invests in product innovation and holds over 800 patents. In the past seven years, Amway has invested $335M in New Manufacturing and R&D Facilities across the Americas which has added one million square feet to their plants in:

  • Michigan
  • California
  • Washington

AmwayPROMISE has a 100% satisfaction guarantee and superior customer service program that sets them apart from other direct selling companies and when it comes to their products they offer you this:

  • Low Cost, Low-Risk Opportunity
  • 100% satisfaction guarantee
  • Warranty Programs
  • Customer Services
  • The Right To Know

And the other part would be the fact that you’re contributing to the growth of BILLIONS of people worldwide to attain greater health.

Now let’s go inside the compensation plan at first and then I’ll share with you the types of products they have.

Amway Compensation Plan

amway compensation plan

As an Independent Business Owner, you get access to over 350 High-Quality Products and 3 ways to make money.

#1 Retail Margin

This is where you’ll buy the product at a special IBO price and sell these to your future customers at a price you get to determine and you keep the difference(the retail margin).

#2 Bonuses

You earn performance points on products sold and as your business grows you can also earn points sold from products sold by IBOs you sponsor.

So this is where the whole “Recruiting” or Duplication if you want to call it that comes into play. Like any network marketing/MLM company, their highest way of making the most commissions is by duplication which simply means recruiting other people who want to start a business with Amway and do what you’re doing…

  • Recruiting Others AND/OR
  • Selling Products

Honestly, most people make their money by recruiting rather than selling the actual products, that’s how you get paid the most, why?

Think of it like a web, the deeper the web goes the more you get to cast a net of food and protection as well as shelter for other people below you. If you’re at the top of the pyramid in your web, you’ll make the most in commissions…

It’s basically like the Food Pyramid. The higher you’re up, the larger the predator you are, and the lower in the chain, the more of prey you are. So anytime your team makes commissions, you do too, and the repeating trend I see from Amway and other MLM programs is this…

Most people NEVER move up, why? Well, when you put your effort into recruiting someone, you should train them to replicate the process of recruiting others, but most people don’t. They give up, they don’t put their time and energy to and let’s face it, it’s flat out boring!

#3 Incentives

You get Exclusive Growth Incentives and rewards that include:

  • Fast Track Incentive Program awards for new IBO’s
  • Rewards for key achievements in extraordinary growth and helping others succeed
  • Trips and one-time cash awards

The average monthly gross income for “active” IBOs was the US $207 and in Canada was CAD $186.

Doesn’t that sound like a little? It’s basically chump change and if you’re trying to earn more than just a couple hundred dollars, good luck!

What Other People Are Saying...

amway reviews
amway reviews truspilot
amway reviewed

Going Inside Amway

Let’s start this off on the Home page and then build into the business opportunity, okay?

amway home page

If we scroll down the home page you’ll see this right below the image above:

amway products

You can discover quality products here from four categories:

  • Nutrition
  • Beauty
  • Personal Care
  • Home

I’ll start off with Nutrition:

amway nutrition

You can either shop Amway Nutrition as a whole or if you scroll down you’ll be able to shop by category

amway nutrition category


  • Energy Drinks
  • Sports nutrition
  • Vitamins and supplements
  • Weight management

Nutrilite Traceability

nutrilite traceability

When it comes to the nutrition category, Amway makes sure they trace every ingredient to ensure Pure, Safe, and Effective Supplements, and here’s how they trace them in nine steps:

STEP 1: Choose the Botanical

amway botanical

STEP 2: Seed Selection

amway seed selection

STEP 3: Choose The Farm

amway choose the farm

STEP 4: Growing

amway growing

STEP 5: Harvesting

amway harvesting

STEP 6: Extracting

amway extracting

STEP 7: Manufacturing

amway manufacturing

STEP 8: Packaging

amway packaging

STEP 9: You

amway you

So these types of products are tested by NSF International who’s an independent third-party lab.

How Much Does Amway Cost?

You can get started as an IBO with Amway for a little less than $100 and you’re expected to buy A LOT of products for your own personal which is like over $300 per month in order to qualify for the 100 PV that allows you to request a refund and also gives you access to more payments.

Who’s Amway For?

Amway is designed for people who are health conscious and want an opportunity to test out and promote health and wellness products to an audience for commissions. Here’s more:

  • Beginners who want to learn “Networking” and building relationship skills and understanding how to market and sell health products to a niche audience. As well as be able to effectively recruit people into a downline so you can get compensated.
  • Intermediates and experts who are looking for another income stream or have tried another network marketing/MLM and it didn’t work for them.
  • People who don’t mind spending over 90% of their time recruiting people into their downline AND being able to teach and show others how to do the same so you can earn more.
  • People who don’t mind paying before you earn.
  • Moms and Dads
  • Retirees
  • Students

Who’s It Not For?

  • People who don’t want to be tied down to ONLY promoting a companies products
  • People who don’t want to spend money upfront just to join the opportunity
  • People who don’t want to spend their precious time recruiting.
  • If you want to earn more

Pros And Cons

Pros: 

  • Quality products are guaranteed so you can be inspired to live a healthier, more confident life which means you’ll become happier in your day to day life.
  • 4+ categories in health and wellness products so you can always find what you need most which mean you’ll always discover new products to use for every area of your life.
  • 3 Premium ways to earn as an IBO so you can keep earning and never get bored with how you can earn which means you’ll want to keep pushing yourself outside your comfort zone.
  • Done-for-you tools to manage your business so you don’t have to waste time getting started which means you’ll grow your business right away.

Cons:

  • Your chance of earning peanuts is far greater than earning a good living.
  • You have to spend your time recruiting people to earn.
  • You have to keep paying your way in if you want to earn more.
  • It’s a network marketing/MLM with too many barriers in your way.

Alternatives

There are definitely better alternatives especially if you’re looking in the health and wellness space so I’ll give you a few network marketing companies(which I don’t recommend) and then my # 1 recommended business model with a FREE Health Cheat Sheet.

For network Marketing:

Don’t get me wrong, Network Marketing is great for building a network, learning entrepreneurship, and how to sell but there’s more…

Specifically one business model where you don’t have to be:

  • Tied down top promoting a companies products/service…
  • Pay to play...
  • Recruit and sell products...
  • And depend on others to help make you money...

I’m talking about having complete FREEDOM and more control, and that’s with Affiliate Marketing. With Affiliate Marketing you don’t have to hold any kind of inventory, fulfill on customer support or be this “techy” person, in fact, you don’t have to even worry about recruiting!

For Affiliate Marketing:

I also have my FREE Healthy Affiliate Cheat Sheet that’ll show you my 6-step formula for earning Higher Commissions in the health space and how you can do it faster, would you like to see:

What I Liked Most About Amway

Hmm, I’d have to say their products. I like how clean and naturally many of them are and are backed up by third-party lab testing and results so that you can have peace of mind whether you’re buying and using them or selling them as an IBO, you can feel comfortable knowing people are getting quality and not just quantity.

I think the way they’ve structured their compensation plan is simpler than most network marketing companies with loads of Matrix’s, but Amway does a good job at keeping it simple for a beginner to understand and get in there to earn.

What I Liked Least

I mean, there’s a lot but if I had to pick just ONE thing...I’d say it’s a Network Marketing/MLM company, why?

At the end of the day, it’s a numbers game and the more people you recruit the more you’ll make and I personally don’t like spending my time recruiting people just to make money. Plus, they are really overrated, so many people want to join because of all the products but you have to look at the bigger picture…

You can fall in love with the product(s) but if you don’t sell anything or fail to recruit, you’ll lose out.

Final Verdict: Amway Is A Pyramid Scheme?

No, but it is a tricky program, why? Again, you’re limited to ONLY promoting the companies products and having to pay a hefty fee upfront and every month so you can remain eligible for greater payments, and with just about every network marketing company, it’s NOT easy to earn.

You’ll end up getting frustrated at the amount of energy you’re putting into promoting the product(s) of your choice as well recruiting people(if you wish) and when a day, week, month, and even year passes by and you look back at how much you’ve earned…

You’ll want to kick yourself in the foot. There are just SO many moving parts, like when you recruit someone, you better make sure that person gets trained to recruit others or else your earning will be limited, and even when they do get trained under you, you won’t earn as much.

The only really good thing about Amway and any other network marketing program in my belief is that you get to learn communication skills, becoming a leader and growing relationships…

But for everything else like earning, scaling and becoming more independent, you don’t get that as much. So if you’re someone like me who doesn’t like being limited, and want to earn more money than you could comprehend while changing the lives of many people, click below to grab my FREE Healthy Affiliate Cheat Sheet and learn how to use the power of Affiliate Marketing to change your life financial…

What were your thoughts on this Amway Pyramid Scheme post? Do you have any questions? Feel free to leave me a comment down below and I'll get back to you within 24 hours!

Michael Granados


Michael Granados is an expert blogger and a 5+ figure-a-year affiliate marketer. He's created a health and wellness brand as well enjoys helping others learn about different marketer tools and helping people achieve an awesome life personally, physically, and professionally.

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