Is Amway a Pyramid scheme
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Is Amway a Pyramid Scheme? Don’t​ Join Until You Read This Review!

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Amway is a name, a brand and an organization that has been famous for years now.

Amway is not a company that is new in the market. It has been in the business for around 60 years now and still is considered to be one of the best network marketing or MLM structured company.

The online market is flooded with so many companies today offering jobs that we can’t even remember the names of most of them. Plus, the fact that most of them sell more or less the same products or services and they sell on the same business ideas too.


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Just that every company chooses different words and sentences to claim something that its competitor companies may not have. However, that does not differentiate one company from the other because most of them are only MLM companies at heart.

Amway has been in the business for years and years now, but the work it does is no different from other MLM companies.

So can we trust Amway just because it has been in the business for the maximum number of years?

Alternatively, should we judge them based on the products it offers and whether it is genuine with its compensation plans and business with its distributors?

Well, today we are going to know whether Amway has been genuine in the business and whether all in all it is a pyramid scheme or not?

History Of Amway

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Two young lads named Rich Devos and Jay Van Andel initiated the company way back in the year 1959.

These two young boys from Ada, Michigan, USA dreamed of having a business of their own who were hungry for success and wanted to give equal opportunity of business to others as well.

The name Amway comes from the “American Way.” It now successfully operates in more than 100 countries and territories around the world.

What Are The Fundamentals On Which
Amway Is Built?

  • Freedom – the freedom of starting a business with Amway and changing lives.
  • Family – the Amway family supports and encourages its members.
  • Hope – it creates an environment where hope thrives on doing better business.
  • Rewards – Amway rewards individuals who achieve & help others achieve success.

Amway also has set specific visions and values that it thrives on like Partnership, Integrity, Personal worth, Achievement, Personal responsibility and Free enterprise.

What Is The Product Range Of Amway?

Amway has a huge products range, but we can sort it in 5 different lists:

Nutrition – This includes different brands of supplements, energy bars, meal replacements, sports nutrition, energy drinks, etc.

Beauty – This includes cleansers, moisturizers, toners, serums, eye & lip care, masks, exfoliators, intensive treatments, anti-acne, etc.

Makeup – This includes foundations, primer, concealers, powder, blushes, mascara, eyeliners, lipsticks, lip crayons, lip gloss, lip balms, kits & accessories, etc.

Bath & Body – This includes shampoos, conditioners, hair sprays, deodorants, soaps, lotions, body wash, creams, toothbrush & toothpaste, etc.

At Home – This includes detergents, sprays, fabric softeners, multi-purpose cleaners, wipes, kitchen and bathroom cleaners, disinfectant sprays, dishwashing liquids, dispenser bottles, water purifier replacement cartridge, auxiliary faucet kit, air treatment system, replacement carbon filter, stainless steel, frypan sets, etc.

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Also, there are many other products as well, and the list always keeps expanding with Amway.

Though, Amway has this wide range of products it offers at the end of the day it is only a network marketing company ( similar as Arbonne, Herbalife or Melaleuca) that wants to increase its business and profits through recruiting new members and building a team that can further the business opportunity to many others.

How Can You Get Started
With Amway?

Since we all know that Amway too is an MLM business opportunity any person wanting to become their member would have to pay specific fees to get started with them.

The signup cost for Amway is $69, which is a one-time fee plus there is also a starter kit worth $99 one-time fee.

What Is Amway’s Compensation Plan?

Just like any other MLM company, Amway too has two primary ways which can make the Independent Business Owners (IBO) make money as below:

  • Direct selling – buying the products on a wholesale rate (typically you will get a 20%-30% discount on products) and selling it on the actual price which gives you commissions.
  • Building a team – this is nothing but recruiting individuals and developing a team with them to earn more profits and bonuses whenever a sale happens through them.

There is one more way through which you can earn is sponsorship marketing.

Amway gives you bonuses based on you and your team’s efforts and performances for which you need to reach Point Volume. The more the PV is, the more will be the commission rate, but the maximum commission rate is 25%.

They also have Bonus Value which they give based on your gross performance that is the more people you have in your team that churns out more sales, the more you will keep earning.

Amway Pros And Cons

Good Things About Amway

Wide range of products

Though there are many competitors in the market but Amway deals in almost everything right from beauty, make up to home products, etc.

Comparatively low product prices and good quality

Amway gives reasonable product prices for almost all its products in comparison to its competitors.

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More opportunity for IBOs

Since Amway has a variety of product categories; the distributors also have plenty of opportunities for selling.

Bad Things About Amway

Slow growth

Though it claims it pays you good profits but earning the same can take a lot of your time and the process of growth eventually becomes very slow-paced.

Hidden fees

The signup and the starter kit fees are only the tips of the iceberg; there are many other hidden fees that you will be asked to pay later to continue in the business.

Some people spent thousands of dollars on Amway education books, tapes, seminars, and still, they didn’t earn much ( or, at all!).

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Focuses more on recruiting

Amway pays more attention to recruiting members and encouraging them to do the same and then later does not care about how much the distributors make profits.

Many Complain Amway To Be A Pyramid Scheme

Is It One Or Just A Misconception? Is Amway A Pyramid Scheme?

A pyramid scheme is a business model where participants only keep recruiting members and earn money by doing that.

Is Amway a Pyramid scheme

It is also illegal in many countries and lures people by the “get rich quick” scheme where members are only making money through recruiting others and does not necessarily involve earnings through selling products or services because most of such programs do not have any products or services to be sold.

Does Amway Do The Same?

Well, certainly Not!

Amway at first may look like a pyramid scheme that but it is not.

It also includes a compensation plan where members do recruit others for earning more bonuses and profits, but that does not make it a pyramid scheme.

There are reasons to support this like Amway has actual products to be sold, they also offer a 100% money-back guarantee on the business registration fee as well as to customers who are unhappy with the products or if the products are damaged in any case.

There are no minimum product orders as well.

So, Amway is not a pyramid scheme and not a scam as well.

It has been in the business for the past 60 years now. Had it been any scam it wouldn’t have survived for so long, and it is still in the market.

It is spread across countries like India, Japan and Korea, China, Indonesia, Malaysia, Australia, and New Zealand, Brunei Darussalam, Philippines, Singapore, South Africa, Thailand, Vietnam, also across Europe and Americas.

A company old enough in the business which is spread across the globe and considered as one of the best MLM structured companies is not a scam.

BUT! Can you make fortune with Amway? Probably not!

As you can see from their Earnings Disclosure Statement, most of the people (almost 80%) in 2016 earned from 53 – 143 EUR monthly ( $56 – $150). And just 59 people has an average monthly income of about €2,666 ( $3,000).

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Do I Recommend Amway?

Although Amway is not a scam or pyramid scheme, I don’t like MLM concept. I’m an introvert person and crowing people is not something that I can do.

Earning from other online opportunities like Affiliate marketing is a much better option than making money through any MLM business no matter how old or authentic a company has been in the market.

I will ditch this Amway business opportunity because there are many other online income-earning opportunities that you can try out that can give you more profits without any hassle of recruiting members.

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Hello, ladies! I hope you liked this post. I started my online business journey in 2003, worked for others or sign in at wrong programs. A three years ago I started with affiliate marketing, and now I am running my own online business, working from home. So, I can help you to start your own business.

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