My upline Platinum made the claim that Amway is a recession-proof business more than once, and I lost count of how many times I heard it. Immediately following that statement, he would point out that people still require food, drink, and the use of toilet paper, regardless of the economic climate.
On one of our sponsor's recordings, he says things like "people running around with their heads cut off about the recession and getting laid off." He then goes on to say how he starts instilling fear in people about their jobs and how he hopes they don't put all their eggs in one basket because they'll be finished. His scare tactics continue, with the latest statement being that he hopes they have more than one source of income because, if business is slow now before Christmas, what is going to happen after the holidays?
Smarmy son of a b*tch, to be sure.
So, what happens when a family's income is disrupted as a result of layoffs or a reduction in working hours? Do they look for ways to save money, or do they spend their money like crazy on high-end products?
I can't recall the exact price of Amway's toilet paper, but it seemed to me to be around $60 for a package that contained maybe 48 rolls. Whatever the number of rolls, it's still too many. At the grocery store or drug store, you can get 48 of a well-known brand for $15 or $20.
That was brushed aside without a second thought. The Platinum sack of poo also emphasised eating and drinking, which is something that everyone must do.
To be sure, when I want food and drink, I want it as soon as possible, not a few days later after it has been shipped to me. When it comes to fruits and veggies, I always shop at a local produce market that is open all year round. I find that they are more fresher and significantly less expensive than supermarket stores. My shopping list may change depending on the availability of seasonal produce in my area or the recipe I'm preparing, but I can go to the produce store and buy a sack of potatoes, a bag of onions, tomatoes, carrots, celery, mushrooms, peppers, bananas, grapes, oranges, and apples and get change from a twenty dollar bill.
In what varieties of fresh veggies and fruit does Amway specialise? Is it possible that there are none? ...but wait, some IBO is going to disagree with me and say that who needs fresh veggies when they can buy Nutrilite supplements instead? Yes, there is a healthy option available. Not to mention that it is a costly one. When you're hungry, munching on an apple may help you feel a little fuller. If you take a vitamin, you'll still be hungry an hour later!
Is it true that Amway sells eggs? Hmm, would that be another "no" for the record? However, my next-door neighbour sells them for $1 per dozen.
There's a warehouse bakery in the area that supplies all of the grocery stores in the neighbourhood. They have a shop on the premises of their warehouse. Over the years, I've been going there and purchasing bread at a fraction of the cost of what I'd pay at the grocery store otherwise. Using only gourmet grain bread, garlic bread, bagels, and hamburger buns, I can stock my freezer for a month's worth of meals for less than $20 a week.
What kind of bread does Amway sell, and where can I find out? It is possible that an IBO will argue that Amway sells crackers and that I should adjust my eating habits.
I'm willing to bet the crackers cost a lot less at the grocery store than they do on the Amway website.
After that, I went to the grocery store to finish off my shopping list. Amway Independent Business Owners (IBOs) will attempt to persuade me that nearly every product sold at the grocery store is available through Amway. What about seafood - do you prefer it fresh or frozen? Is that something Amway sells? Some IBO is going to spout off about Nutrilite with Omega 3 in the near future.
Drinks? I don't drink energy drinks, and XS is disgusting, so I would never buy something like that! Perfect Water is available for purchase at a cost of $2 per bottle. I can get a case of bottled water for $2 or $3 at Wal-Mart, depending on whether or not it is on sale. In any case, I don't generally purchase bottled water. The water from our taps is excellent. I once purchased a tetra pack of Amway drink that had a chocolate flavour to it. It had a chalky taste to it. I had no idea what it was. I liked it, so Ambot bought more, which arrived after the expiration date had already gone, so I couldn't drink them because they were expired. Amway maintains extremely high standards of quality control.
Whether there is a recession or not, people enjoy getting a good deal, and they will shop where they can get a good deal and get their money's worth. When money is tight, some people would even compromise on quality in order to save money. I can stock my refrigerator, freezer, and pantry with nutritious foods for a month for less than $300, which is the bare minimum that IBOs are required to spend each month in order to qualify for a check worth less than $10 per month. That $300 in PV isn't allowing me to put hot, flavorful, and nutritious meals on the table. Not to mention the ice cream for dessert, which Amway is unable to provide me with.
Amway Independent Business Owners (IBOs) can make all the claims they want about Amway being a recession-proof business, but can you find clients or sign up new prospects when money is scarce?
Amway is a recession-proof enterprise, but whether or not you are an independent business owner (IBO) is questionable. It is, however, difficult to sell to customers who have been affected by the recession and are watching their spending money. What is the point of putting pressure on these people? They are already experiencing financial difficulties, so why force them to embark on a venture with a 99 percent failure rate?
A recession is a period of economic decline that is defined by a considerable fall in economic activity. This decrease in economic activity can lead to a loss of employment, which in turn can lead to a decrease in consumer expenditure. Even while this may be a difficult moment for businesses, there are still a number of industries and types of enterprises that often fare rather well during economic downturns. In this post, we will discuss some of the most important qualities that define a firm that can withstand a recession, as well as provide some suggestions for beginning your own recession-proof enterprise.
Defining characteristics of a company that can weather a recession
Provides items or services that are necessary.
Businesses that are resistant to economic downturns often provide goods or services that are indispensable to day-to-day living, regardless of the state of the economy. The provision of food, healthcare, housing, and transportation are all examples of these. Because consumers will always have a demand for the products and services provided by these businesses, they are less likely to be adversely affected if the economy experiences a downturn.
Has a wide range of different types of customers.
A broad customer base that is not dependent on any one particular industry or demographic segment is an essential component of a recession-proof organization. This can help to insulate the business from any economic shocks that may occur in a specific industry or population. This can be beneficial to the business.
Costs of operation that are little
A company that can weather economic downturns should have minimal operational costs that are simple to manage and keep under control. This can involve things like lowering overhead costs, outsourcing operations that are not essential to the business, and negotiating better deals with the companies who supply the company's goods and services.
Effective handling of the cash flow
A strong cash flow management system that gives a company the ability to ride out any potential economic storms is one of the key components of a recession-proof corporation. The management of inventory levels, the reduction of expenses, and the improvement of payment terms with consumers are all examples of this.
Dedicated to retaining existing customers
A business that is resilient to economic downturns should place a strong emphasis on maintaining strong relationships with existing clients over the long term. This can be helpful in ensuring that the company continues to have a constant stream of revenue even when the economy is in a downturn.
Business strategies that can withstand a recession
Services that transport food and groceries to customers' homes
Even when the economy is in a downturn, people's need for critical services like food and grocery delivery won't go away. The fact that these services can give clients benefits such as ease and the saving of time might contribute to the development of long-term connections and loyalty.
Services related to healthcare and overall wellness
People will still require necessary services such as telemedicine, mental health services, and home healthcare even during a recession. Additionally, services related to healthcare and wellness, such as those mentioned above, are vital services. These services can be provided remotely, which can assist to cut costs and boost accessibility for clients. Additionally, this can make it easier for customers to find the services they need.
Instruction and study available online
Traditional classroom-based education can be offered at a lesser cost than what is possible with online education and training, which are both becoming increasingly popular. In times of economic hardship, individuals may place a greater emphasis on furthering their education and professional development in order to enhance their prospects of securing employment.
Services for repairing and maintaining residential properties
Repair services for people's homes, including plumbing, electrical, and heating, ventilation, and air conditioning (HVAC), are examples of vital services that people will still require even during a recession. These services may help to maintain the value of homes as well as their functionality, which is something that may be especially crucial during times of economic unpredictability.
Businesses that focus on providing value in addition to discount shops
The economy is typically favorable to value-oriented and discount merchants, such as dollar stores and discount chains, which tend to fare well during economic downturns. These companies provide products at reasonable prices, allowing customers to continue making purchases even when they have less discretionary income available.
Conclusion
Beginning a firm that can withstand economic downturns involves thorough preparation and evaluation of the essential qualities that should be possessed by such a company. A business is able to weather economic downturns and survive in any economic climate if it provides important products or services, has a diverse client base, has a strong emphasis on customer retention, and manages expenses and cash flow effectively. You can create your own recession-proof firm and build a thriving enterprise that can endure any economic hardship if you give some thought to the ideas that have been presented in the previous paragraphs.
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