Do you know that Amway is the direct competitor of Avon? But how do they compare in matters of their details, managers, position among the top 100 MLM companies, products offered, number of countries in which they do business, business models, annual sales, pros and cons, legal issues, and our views of them?
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That’s what we’re going to see using the 10 factors we draw on to write our MLM reviews.
That said, let’s dive in to see the first one.
Year of creation / Number of years of company and other details
AMWAY BUSINESS AND AMWAY BUSINESS OPPORTUNITY
Amway was created in 1959.
Desirous to manufacture their very own product to sell, the founders had a scientist from Chicago design an all-purpose cleaner. Satisfied with the product, they bought the rights to it and called it liquid organic cleaner or LOC for short.
Now, the company signed a contract with a company called Atco manufacturing that made their product. With time they acquired 50% stock in Atco and changed the company’s name to Amway Manufacturing Corporation.
With that they began to expand into other countries. This was not only a wise move but also a successful one. It made Amway one of the most successful MLM companies in the world, actually becoming number one on this list!
The company diversified their product lines too. Soon they had established ones such as household cleaners, cosmetics, artistry, Nutrilite, epring, and XS under many different divisions.
Amway sponsors many different commercial entities. The DeVos family even owns the Orlando Magic that play their games nowhere else but in the Amway Arena!
Apart from those, Amway also actively participates in politics. They support the Republican Party and have even had a distributor back in 1994, Sue Myrick
They are very Christian based and use biblical quotes in many of their training sessions. Even one of the company’s main mottos is, “Christian Morality and free enterprise!”
They are very set in their ways. So it would be wise to share their values and ideals to really be able to excel in the company. Regardless of that, a determined person could become very successful as Amway are set up for success!
Avon is rather a very old company as it was founded way back in 1886. But it only bore that name in 1932.
There’s one notable thing about Avon. Many people personally have had some experience using many of the company’s products and swear by them. Having used their products, we ourselves have to admit that they are some of the finest in the industry.
One other thing can be said about them. Avon have a proven track record of award-winning products and a compensation program above all others in the industry.
Furthermore, this company contributes a lot to the fight against domestic violence as well as to the effort to cure breast cancer.
With all those nice things said about them, let’s see how it all began for this company.
In effect, a man called David started out by selling books door to door. He soon changed his products to perfumes. Afterwards he created a company called “California Perfume Company”. Through several mergers and partner mergers, that company became Avon.
They used direct marketing practices. This made them grow to the fifth-largest beauty company and also the number two on the list of direct sales companies in the world.
No wonder that Avon has over 6.4 million representatives.
Are you the type of person who can’t stand any form of cruelty to animals? Then you’ll love Avon! For another notable fact about them is that the company is in the forefront of the fight against testing on animals. It was in this regard that Avon took a pledge way back in 1989 and leads the charge against this practice everywhere in the world.
But it’s not all roses for the company.
One thing is that sales have been declining for the last five years. The company has even dropped to as much as 18% in one year alone.
Moreover, the company has been withdrawing from major markets around the world. These include France, Australia, and New Zealand. But this has nothing to do with the company but rather the markets. They are not following the company’s policies and procedures in their business practices.
We can see there as hopefully a bright side to this though.
The company Natura whose review you can read here bought Avon Products Inc. this year. This operation led to the creation of the 4th biggest beauty company in the world.
It is expected that Natura will help reorganize the company and turn around the dramatic fall in sales.
If it’s not all rosy for the company, it’s also not all that bad. For they have celebrity beauty ambassadors including Lauren Conrad, Lucy Hale, and Ashley Greene.
The company also runs the Avon Foundation, a philanthropy that is dedicated to women’s causes.
This foundation offers scholarships to its representatives as well as their families and is an awesome perk for people who sell for them.
Avon is also highly active in backing up the cure for breast cancer. They do it with their Avon walk for breast cancer charity walks and also the Avon Breast Cancer Crusade. They donate all of the proceeds to cancer research and cures.
Founder(s) and/or Director(s) of the company
Amway owes its creation to two gentlemen called Richard DeVos and Jay Van Andel.
The company is based out of Ada, Michigan.
The founders have an interesting story.
Richard and Jay have been friends and business partners since childhood. They first got into the line of selling products through a company they founded called Nutrilite.
The gentlemen began as distributors for this company and managed to build up a force of over 50000 distributors.
The pair introduced the multi-level marketing aspect of commissions. They not only gave profits from sales to their distributors, but also handed out a piece of the distributors’ sales below them in the pyramid.
In 1959 they changed the name of the company to American Way or Amway for short.
The founder of Avon is a gentleman called David H. McConnell.
He started out by selling books door to door. Soon he changed his products to perfumes.
Next David created a company called “California Perfume Company”.
Through several mergers and partner mergers California Perfume Company became the company known today as Avon.
Position among top 100 MLM companies in the world
AMWAY BUSINESS AND AMWAY BUSINESS OPPORTUNITY
This is the number one rated multi-level marketing company in the business.
AvonProducts Inc is number 2 on the list of top-performing multi-level marketing companies in the world.
Products and/or services offered
After designing, manufacturing and selling their very first product called LOC, Amway was well on their way.
But they did not stop there.
Avon began to add new products to their product line. Soon they grew that line into one of the most successful ones of wholesale products available anywhere in the world.
It didn’t take long for them to have a lock on the market, an upper hand that they enjoy up to this day.
Today, the company boasts in their portfolio over 450 different products that are made all over the world.
We find in Wikipedia that, “Amway brands include Artistry, Atmosphere, Body Blends, Bodykey, Body Works, Clear Now, eSpring, Glister, and iCook.”
Others mentioned are “Legacy of Clean, Nutrilite, Peter Island, Perfect Empowered Drinking Water, Personal Accents, Ribbon, Satinique, Artistry Men and XS.”
Amway also has all of the original products plus the company of Nutrilite as it has gone on to be a force all by itself in the MLM niche.
One surprising thing we said we found about Avon is that many people swear by this company. We also remarked that is not all that strange as these people personally have some experience using many of their products. We have to say they are some of the finest in the industry.
The company has a proven track record of award-winning products.
No wonder many of their product brands are known worldwide. This explains why they are at the top of their category for quality and reliability. Examples are Skin So Soft, and ANEW.
Avon is exclusive as well. They are a huge reason why they can have such complete quality control and stand behind their products so steadfastly.
You can only buy from Avon distributors at very reasonable prices for the quality you are receiving.
Here are some examples of the products they offer:
- Avon Moisture Therapy Intensive Healing & Repair Hand Cream Avon Anew Ultimate Multi-Performance Night Cream
- Avon Skin So Soft Bath Oil Original 25 fl oz
- Avon True Color Glimmersticks Eye Liner
- Avon Moisture Therapy Intensive Healing & Repair Hand Cream
- Avon True Color Flawless Cream-to-Powder Foundation
- Avon Today Tomorrow Always Eau De Parfum Spray – 1.7 fl oz bottle
- Avon Far Away Eau de Parfum
- Avon Mesmerize Bonus Size Roll-On Antiperspirant Deodorant
Note that these are just a few of the many products this company sells. You will be pleasantly shocked at how competitive their prices are compared to the general market. Yet the quality exceeds anything out there off the shelf.
Number of countries in which the companies do business
After mastering their home market, Amway started expanding into other countries. This soon made them one of the most successful MLM companies in the world. They even actually became number one!
Avon is a worldwide company. They have representatives in North America including Canada, Puerto Rico and the United States and also around the globe.
Using direct marketing practices enabled Avon to blossom to sales in over 100 countries.
Business model / Compensation plan
Here, Amway works like most MLM companies. In effect, they pay for both direct sales and for recruiting new distributors they call Independent Business Owners or IBO’s for short.
Amway pays on several levels including sales performance bonuses and incentives.
Amway has so many companies under its chief brand. So this opens up different marketing strategies for its IBOs. They can get into individual circles for each subdivision and create a downline over and over. This increases the potential for no cap profits.
They also take out insurance for their distributors in addition to all kinds of sales incentives.
Amway also offers many different training sessions both online and live. IBOs can attend conventions the company organizes all over the world.
It is under this factor that this company excels above most other multi-level marketing companies. For they have a proven program that has been feeding their distributors for over 130 years now. This is in addition to so many success stories which would be impossible to list all in a book!
How the business model works is simple: they sell exclusively through their distributors. This makes it impossible to be undercut anywhere. Such a system gives them total control of their products and costs.
There is no way you can find their product on Amazon or similar sites for less than you can buy them through the company. This explains the biggest part of their success.
Avon have a program for women who want to enjoy quality products and at the same time make money!
The company proclaims that no dream is too small or too large. And they can make it happen for their distributors. Above all else they really have a family-based atmosphere.
All you have to do to become a distributor for Avon is to make your first purchase of a starter kit for $25.00. That kit contains samples to get you going on building your customer base. This certainly is a very small out of pocket expense to open the door to an awesome business opportunity.
Selling products is Avon’s number one priority. Fortunately it’s the distributors’ also. That is the second reason why this company does not bend. The compensation is the direct result of your sales. And as you have the best product available, it is a set up for a win-win situation all around.
As a distributor, you begin making money on the dollar of your fist sale. And as you grow you will be totally in charge of how far up the ladder you would like to work your way.
The next step is to reach the President’s club. This happens after you reach sales of $10.000. That’s when the business opens many great perks for you.
You will now receive a 40% commission on all sales and will also be part of many of the companies’ VIP privileges. And there are many of them!
Now comes the next level where you build a downline of distributors you have personally recruited. This is where the money really starts coming in. Now you’re getting the opportunity to become a member of the advanced leadership program. This program is ideal for the career-minded person who really wants to do this for a very healthy living.
With your $25.00 starter kit you receive enough material to run three campaigns and get started on a customer base. You will also be empowered to set up an online store of your own as well as benefit from unlimited training from the company. Avon does all of these to ensure you have all the tools you need to make this a success.
You will build your business up to the level you want it to be at, be that with just enough customers for some extra cash to the level of a full-time lifestyle change. This is all up to your desires!
The company was built off the backs of what they call Avon ladies and Avon men. These people would do door to door selling of their products and brochures. These sellers are also called representatives and sales representatives, depending on which market you are in around the world.
The company still continues to use this model to an extent along with online stores. They even organize Avon parties similar to Tupperware’s.
Avon sells to their representatives wholesale just as similar MLM companies do. The representatives then resell those products at retail and keep the difference as profits.
The company also has a sponsor program. In this recruits under representatives earn money for the sponsors.
Avon puts extensive training at the disposal of their representatives. Many different incentive plans and sales goals awards are also open to all.
What else they have is an annual Avon Repfest. Here, they hold a three-day event that is open to all representatives to attend.
The Repfest is full of training seminars. It is held at prestigious places like the MGM Grand in Las Vegas. They move this eventaround the country from year to year. It is fee-based.
Avon really appears to care about its causes and its workers. They stay true to those beliefs and we can get behind that.
Amway makes 8.8 billion dollars.
Avon on its part records 5.67 billion dollars.
Pros and cons
- You won’t have to worry too much about stability with this one.
- Their product quality is mostly outstanding.
- A high rating from the Better Business Bureau.
- As the most well-established network marketing company, Amway offers top-notch training materials and events for their IBOs.
- On the business opportunity side, Amway’s reputation is all but in the crapper.
- Throughout the decades, the company has been the target of numerous FTC investigations.
- Being the original MLM, it’s not surprising that IBOs are heavily pressured to sell products like crazy and buy more for personal use.
- The over-the-top Amway meetings and cult-like culture turns many people off.
- It’s only $30 to start
- You can make your dreams come true with them
- Earn $3,50 within your first 4 months
- The more you sell, the more you make
- Earn$3,250 within your first 8 campaigns
- There are no sales quotas
- Free online store, training and support
- You may run into some competition
Bans / Complaints / Legal issues
We’re proud to say there is none to report for both companies. This shows how serious they are.
Our view of / take on the company
While carrying out research for our review of this company, we found good things about them.
Our own experience using their products growing up is something to shout on the mountain tops about. And then living next door to a very highly successful Amway independent business owner cannot but all make us give this multi-level marketing program a huge thumbs up!
As we said, we know firsthand how the products work and how eco-friendly they are. We also saw how much our neighbor was constantly flying off here and there on trips and business ventures. What else do we need to be sure that Amway and its products were good?
Amway have a great product line. In addition to that, they back their distributors better than any other MLM company we know of. It’s just that they hold the number one spot on the most successful MLM companies in the world.
This company holds a cherished place on our list of top MLM programs. We are fondly in love with their products and their compensation plan. Thus we can only give them a huge thumbs up!
Avon has the reputation of a leader and this title is not stolen!
Not all MLM companies care as much about their members the way they do with their profits. But Avone does and it shows.
So, yes, you can make money with Avon. Not just any money but as much as you desire. So the sky is the limit, as the saying goes!
In spite of the fact that sales have decreased and the company is in the middle of a reorganization of sorts, Avon still holds the position of the number two direct sales giant in the industry.
As a caring company, Avon is a force against animal testing. Being also a major player in the fight against breast cancer, speaks volumes of them.
The fact that the company offers its distributors scholarships show that they care about them. Add the fact that they are also a huge supporter of philanthropic causes, and we don’t know what else to say about this company.
Avon representatives or distributors can make all kinds of money if they are good at direct sales.
Being an Avon representative is a wise choice for those who have what it takes to make it in the world of direct marketing.
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