Flaunting one's wealth is something that the Amway diamonds and other huge pins enjoy doing. They arrive at meetings in flashy cars, prefer to dress in fine outfits, and my old LOS, WWDB, even had and still has a "Dream Night" option. The diamonds display photographs of houses, aircraft, vehicles, and vacations during Dream Night, claiming that everyone will one day join them in their lives of luxury and excess. Despite these extravagant shows of riches, there is evidence that these gems may not be able to buy all of these luxuries. In reality, I have a strong suspicion that many diamonds are in debt since their wages, especially when included Amway and tool money, are insufficient to support these fairy dream lifestyles. Now, I'm not saying that every diamond is in debt, but I wouldn't be surprised if half of them were.
IBOs at all levels try to appear wealthy. They may dress properly and all that, but when you see what these IBOs drive around in the parking lot at functions, you could get a more accurate picture of reality. At neighbourhood occasions, I recall seeing a number of broken down cars, some of which were on their final legs. However, if you spoke to some of these pleasant people, you would learn that they are doing well and that business is flourishing.
But, my point is, why isn't all of Amway's success apparent? Why do IBOs avoid answering questions regarding their Amway compensation? Why do diamonds like to imitate a once-a-year bonus and act as if they make that much money on a regular basis? Only a small handful or less of all IBOs would be standing in a room full of IBOs if only those with a NET profit stood up. The majority of the others are unlikely to earn enough to afford the expense of their voicemail.
Why can't a whole team of IBOs make a profit? The solution is straightforward. The cost of tools exceeds the group money produced through Amway in the vast majority of cases. It's easy to see when you do the arithmetic. Unless your group refuses to buy any tools and instead focuses on selling items, you will almost certainly lose money. Success isn't obvious, and there's a good reason for it. A platinum group, for example, would be made up of 100 committed IBOs. A minimum of 7500 PV and 22,500 BV would be generated by platinum. However, let's round up to 10,000 PV and 30,000 BV.
30,000 BV would bring in around $7500. (25 percent of 30,000). On average, $7500 divided by 100 IBOs equals $75 per person. Of course, the most of it would go to the platinum, while everyone else would receive smaller sums, usually around $10 for rank and file employees who received a bonus. Now, if each of these hardworking IBOs spends $150 a month on voicemail, premier club, and functions, that's a total of $15,000 in tolls. They'd be spending (as a group) twice as much on tolls as they do on bonuses. The disparity between bonuses and expenses widens as the company grows.
It is self-evident that Amway is a losing proposition. I just completed the calculations.
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