Let's dissect the 6-4-2 strategy (Re-print)
Basically, it's a strategy to become direct (platinum), and all you have to do is sponsor six of these direct organisations to become a diamond and retire early, right?
1PV = 2.5BV are the assumptions. A single PV costs around $2.70.
The 6-4-2 strategy is based on the idea that you do 100 PV and sponsor 6 frontline members who also do 100 PV. Your six frontline sponsors four (24 IBOs) who each do 100 PV. Each of these four IBOs also sponsors two other IBOs (48 IBOs).
So here's how your direct empire looks:
1 platinum medal 6 PV groups sponsored 6 PV groups sponsored 6 PV groups sponsored 6 PV groups sponsored 6 PV groups sponsored 6 PV groups sponsored 6 PV groups sponsored 6 PV groups sponsored 6 PV groups sponsored 6 Sponsored 4 PV groups with a total of 24 300 PV units. 2 48 100 PV IBOs were sponsored.
7900 PV in total. 1 PV = 2.5 BV = 7900 PV BV = 19750. 19,750 BV multiplied by 25% equals $4937.50 each month. $59,250 on an annualised basis. Q12 bonus 69,250 (year income of platinum group, excluding retail sales profit). To maintain 7900 PV, the cost of the product is around $21,300 per month or $255,960 per year.
The platinum has 6 1300 PV groups that he must pay. 6 frontline 1300 PV = 3250 BV = $390 per month ($4680 annually). $4680 multiplied by six equals $28,080.
69,250 – 28,080 = 41,170 is kept by the Platinum (net, but not including operating and system expenses, but this includes the Q 12 bonus)
The six frontline members must now pay their four IBOs who funded two of them. 300 PV = 750 BV = $45/month or $540/year As a result, the 6 frontline make $4680 per year while paying out $2160 to the downline, resulting in a net of $2520 per year, or $210 each month.
After that, each IBO earning $45 per month or $540 per year must pay their downline (2 each) $7.50 per month, or $90 per year x 2 = $15 per month or 180 per year. As a result, the IBO with 300 PV earns $30 per month or $360 per year.
Let's go over it again:
One platinum makes $3430 per month, or $41,170 annually. 6 1300 watts IBOs are paid $210 per month, or $2520 annually. PV 24 300 watts IBOs are paid $30 per month, or $360 annually. PV 48 100 IBOs are paid $7.50 per month, or $90 annually. This is before taxes and expenses, and it excludes retail profits, but hey, that's why we teach you to buy from yourself, right?
Let's have a look at the costs of tools. Let's pretend that just the platinum, the six frontline, and the four people who sponsored others are on tools (Is this a fair assessment?). That's 31 IBOs out of 79 IBOs on tools, or 39% of the total, and keep in mind that all of these IBOs do 100 PV every month.
KATE, Website, standing order, book of the month, open meetings, monthly functions, big functions (some IBOs must fly to functions), petrol, incidentals, and babysitters are all examples of tools that cost money. Let's say the monthly cost of these instruments and other charges is $160. (Very conservative IMO). $160 x 12 months = $1920 x 12 months = $1920 x 12 months = $1920 x 12 months
Let's take a look at the NET revenue for the entire group.
1 platinum medal $3430 minus $160 every month equals $3270 per month, or $39,240 per year. 6 on the front lines (1300 PV) dividing $210 by 160 equals $50 a month, or $600 per year 24. (300 PV) A loss of $1560 per year is $30 - $160 = $130 every month. 48 IBOs are paid $7.50 each month, or $90 annually.
The total income for the group is $69,250. Expenses for Group Tools = (31 x $160 = $4960 per month, or $59,520 annually) For the year, the group profit was $9,730.
79 IBOs working 10 hours a week for a total of 790 hours per week or 9480 hours per year.
For the entire year, these IBOs earned an average of $1.02 per hour. Or………
The Platinum's hourly wage was $78.48.
Six IBOs on the front lines were paid $1.15 per hour.
PV – 24 – 300 IBOs were losing $3 each hour.
Each of the 48 100 PV IBOs earned 17 cents per hour.
The Amway Corporation, a direct selling corporation that offers a wide range of products, including health and wellness supplements, beauty products, and homecare items, use a sales and marketing approach known as the Amway 6-4-2 Plan. This plan is also referred to as the Amway Diamond Club. The plan is intended to provide assistance to Amway distributors in establishing and expanding their companies through the recruitment of new members and the sale of Amway items.
The 6-4-2 plan is built on a basic premise that encourages distributors to concentrate on developing a team of six personally sponsored distributors, four sponsored by each of the six, and two sponsored by each of the sixteen. This strategy encourages distributors to focus on building a team of sixteen personally sponsored distributors. The goal is to establish a reliable network of distributors who will collaborate in order to achieve commercial success. The plan is one of the most widely used marketing plans in the sector since it offers a step-by-step approach to constructing a successful Amway firm and is one of the industry's most popular plans.
The 6-4-2 plan is intended to assist Amway distributors in accomplishing the following three major objectives:
In order to build a team of personally sponsored distributors, you must first find six people who are interested in becoming Amway distributors and are prepared to work under your direction. These six people will be the foundation of the first level of your downline, and you will receive commissions on the sales that they generate.
Assist each of your six distributors in the recruitment of four new distributors: When you have reached the point where you have personally sponsored six distributors, you will then assist each of those distributors in the recruitment of four new distributors. By doing this, a second level of 24 distributors will be created, and you will also receive commissions on the sales that these distributors make.
As soon as you have a team of 24 distributors, you will assist each of them in recruiting two new distributors. In other words, you will be helping your second level find new distributors. By doing this, a third level of 48 distributors will be created, and you will also earn commissions on the sales that these distributors make.
The 6-4-2 plan gives a road map for success in the Amway industry, but in order to follow it to its conclusion, one must put in a lot of effort, be dedicated, and be persistent. Distributors have a responsibility to prioritize the development of strong connections with the members of their teams, and to provide those individuals with the education and assistance they require to achieve commercial success.
Regardless of the expertise or background of the distributor, the 6-4-2 plan always provides a clear road to success. This is one of the most significant benefits of this distribution strategy. Amway distributors have the ability to accomplish their objectives and generate a big revenue from their Amway business if they adhere to the plan.
In addition to providing its distributors with the 6-4-2 strategy, Amway also offers its distributors a wide variety of resources and training programs to assist them in developing prosperous businesses. Online courses, in-person lectures, and programs matching mentors with students are all included in these offerings. In addition to this, Amway offers its distributors a thorough compensation scheme that acknowledges and appreciates their efforts and commitment to the company.
In general, the Amway 6-4-2 plan is an efficient sales and marketing technique that has assisted a large number of Amway distributors in developing prosperous businesses for themselves. Amway distributors have the ability to accomplish their objectives and generate a sizeable income from the company's business if they adhere to the plan and make effective use of the tools made available to them by Amway. On the other hand, just like any other kind of business, becoming successful in the Amway industry calls for a lot of hard work, devotion, and perseverance.
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