India and network marketing, a sleeping Giant is awakening.
Although India is the home of 1.3 billion people with over 50% youth population and the 3rd largest economy (PPP) in the world, Multi-Level Marketing is only one billion dollar in annual sales in India and growth is stagnant.
Lack of clarity in law and countless Money Chain/Ponzy schemes are responsible for the same. But Legalization process of Multi-Level Marketing (MLM) in India is getting completed now. MLM started in India by European major Oriflame in 1995.
Although Direct Selling was legal as per the Indian law, Multi-Level Marketing often confused with Money Chain, which is banned by Prize Chit & Money Circulation Schemes (banning) Act, 1978. Many Fly by Night operators mushroomed in India in the name of MLM in the last decade.
Situation became critical
Tag Archive for Amway
Hot Business News Today
Amway Expects Centre To Draft Direct Selling Norms Soon
by Ted Nuyten • • 0 Comments
Amway India Enterprises is expecting draft guidelines for direct-selling industry in India in a couple of months. Samir Behl, regional president (Europe, Africa and India), told TOI that the company was able to dispel the Government of India’s long-standing notion on the direct-selling industry as ‘pyramid’.
According to the top Amway official, the inter-ministerial group on direct-selling would set aside the negativity and misconception and come up with a draft guidelines, which might pave way for a full-fledged legislation and regulatory framework for the industry soon. The direct-selling giant said it will remain a B2B (business to business) player and has no plans to go for tie-ups with e-tail giants like Flipkart or Amazon.
“This business does not have a pyramid structure. Had it been a pyramid, direct-selling businesses across the country would have
Hot Business News Today
Amway Targets Sales Of $1 Billion In India
by Nicole Dunkley • • 0 Comments
Amway has had a difficult ride in India with regulatory uncertainty over direct selling. Despite its former India head getting arrested over lack of clarity on what constitutes direct selling, the company continues to be bullish over investing in the country.
The company set up a manufacturing plant in Tamil Nadu last year and wants to achieve a billion dollars in sales in the country. BusinessLine met Douglas L DeVos, President, Amway Inc, on the sidelines of Make in India to discuss the company’s roll-out plans.
Are you convinced about the Make in India story?
Yes. It is gaining momentum. I think the Make in India event here is a pretty solid demonstration of the commitment. The leadership this government is showing is very encouraging.
In 2013 you made a statement that a lot of
Hot Business News Today
Amway Reports Sales of $9.5 Billion In 2015
by Nicole Dunkley • • 0 Comments
Amway Corp. on Wednesday released its 2015 financial results, announcing annual sales of $9.5 billion.
Despite constant-dollar sales growth in 70 percent of Amway’s top 20 markets, revenue fell 12 percent from a year ago, hurt by currency fluctuations and soft sales in China, where the economy experienced its slowest growth in 25 years. The company reported similar trends in 2014, when revenue dropped 8 percent to $10.8 billion.
In 2015, the company’s top 10 markets were China, South Korea, United States, Japan, Thailand, Russia, Taiwan, Malaysia, India and Ukraine. Management also singled out Brazil and Mexico as emerging markets that recorded considerable gains.
“We experienced growth in seven of our top 10 markets, and emerging markets in Latin America and elsewhere continue to perform well,” Chairman Steve Van Andel noted in Amway’s report. “Several
Hot Business News Today
Amway Reports 2015 Sales Of $9.5 Billion – Down 12%
by Ted Nuyten • • 0 Comments
Amway today announced sales of $9.5 billion USD for the year ending Dec. 31, 2015, a decline of 12 percent when compared to 2014 figures.
The direct seller saw constant dollar sales growth in 70 percent of its top 20 markets but, like many international companies, experienced soft sales in China and unfavorable currency exchange rates that negated gains.
“We experienced growth in seven of our top 10 markets and emerging markets in Latin America and elsewhere continue to perform well,” said Steve Van Andel, Amway chairman.
“Several markets achieved record sales levels in 2015 with others producing their best performance in some time. An increasingly competitive environment in China and unfavorable currency exchange rates mask a positive year overall for Amway globally.”
The company experienced notable growth in legacy markets like the United States,
Hot Business News Today
Network Marketing Changing Lives In Zimbabwe
by Ramya Chandrasekaran • • 0 Comments
The Herald newspaper in Zimbabwe features a young network marketing professional who changed his life through network marketing.
A few years ago, Tendai Chinoperekwei was living on the fringes.
With a banking and finance degree, an administrative job with a women’s organisation, he could only afford to stay in one room together with his family.
It was not until his then boss, Minister of Women’s Affairs Gender and Community Affairs Nyasha Chikwinya, introduced him to network marketing when it dawned on him that life had much more to offer than earning a salary.
Today, 34-year-old Tendai owns a house in the plushy suburb of Borrowdale and drives a top of the range car. All these rich trappings are part of his rewards for his high level marketing skills nurtured over the few years.
He belongs to
Hot Business News Today
Amway Partners Up With Microsoft
by Nicole Dunkley • • 0 Comments
Amway is working with technology major Microsoft to digitise its brick-and-mortar stores. Stores here imply outlets, where Amway distributors can place orders and collect their goods from the company.
There are 154 such Amway stores located in 150 cities in the country, with the company now looking to introduce a digital wall in each of these physical stores that will allow distributors to directly place orders, make payments and pick-up their goods without human intervention.
“This in-store digital platform will be seamlessly linked to the company website that will allow distributors to click and pick either at the store or in their homes,” says Anshu Budhraja, CEO, Amway India.
In other words, this platform would act as an omni-channel retail network, giving distributors the convenience they’ve been seeking, said Budhraja. This model will also be
Hot Business News Today
Amway Chairman Visits Russia To Commemorate 10th Anniversary
by Ramya Chandrasekaran • • 0 Comments
Amway Chairman Steve Van Andel recently visited Russia to commemorate the affiliate’s 10th anniversary. His visit included a series of employee meetings, Amway Business Owner (ABO) events and conversations with government officials and business leaders.
Amway Russia has much to celebrate since launching in 2005. In a relatively short period of time, it has become the sixth largest market for our global enterprise and continues to show resiliency and promise, despite recent political unrest and economic slowdowns in the region.
The largest selling category for the market is home care, followed by personal care, nutrition and beauty. Nearly a third of all ABOs are under the age of 35. Amway Russia also has become a champion of entrepreneurship—especially women empowerment, as more than 80 percent of the market’s ABOs are female.
One of their local efforts to
Hot Business News Today
Amway Continues To Make Changes In Their Indian Market
by Tina Williams • • 0 Comments
In May 2013, shock and a pall of gloom descended over the Indian operations of Amway, the direct selling firm whose portfolio includes shampoo and protein powder. Its expat managing director William Pinckney along with two other senior leaders were arrested and taken to jail on allegations of “cheating distributors and unethical circulation of money.”
This was followed by yet another round of arrests of Pinckney and a couple of others lasting over two weeks, the direct selling industry facing litigation, apprehensive employees and distributors looking for other employment options and the growth momentum winding down.
A few years later, a cricket match is on within the same office premises, with the man in the corner room, Anshu Budhraja, donning the wicketkeeper gloves and urging employees to give the tournament — Amway Premier League
Hot Business News Today
Amway Opens $25 Million Manufacturing Plant
by Tina Williams • • 0 Comments
Amway today announced the opening of its new $25 million USD manufacturing plant in Binh Duong, Vietnam. The 55,000-square-meter facility will house select manufacturing operations for Nutrilite™, the world’s No. 1 selling vitamins and dietary supplements brand* offered exclusively from Amway Business Owners.
Part of the company’s ongoing $332 million USD global manufacturing expansion, the Binh Duong plant is one of six new facilities opening in 2015 for Amway. Other facilities are located in the United States (California, Michigan and Washington), India and China.
“Amway Vietnam is a success because of the entrepreneurial spirit and hard work of the people who sell our products and grow their businesses,” said Amway Chairman Steve Van Andel. “The opening of our second factory in Vietnam will help our distributors reach more customers and become even more successful. We’re