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Amway 

is the largest direct selling company and manufacturer in the world

that usesnetwork marketing to sell a variety of products, primarily in the health, beauty, and home

care markets.Amway was founded in 1959 by Jay Van Andel and Richard DeVos. Based in Ada,

Michigan, the company and family of companies under Alticor reported sales growth of 2.3%,

reaching US$8.4 billion for the year ending December 31, 2009. Its product lines include home

care products, personal care products, jewelry, electronics, Nutrilitedietary supplements, water

purifiers, air purifiers, insurance and cosmetics. In 2004, Health & Beauty products accounted for

nearly 60% of worldwide sales. Amway conducts business through a number of affiliated

companies in more than ninety countries and territories around the world. It is ranked

by Forbes as one of the largest private companies in the United States and by Deloitte as one of

the largest retailers in the world

Our Values

 Vision

 Inspiring people to live better lives.

 
Mission
 To provide the best business opportunity. To deliver exceptional quality products to urban
and semi urban homes in the areas of nutrition and wellness, cosmetics, personal care,
home care, home tech and insurance.
 
Our Values
 Amway has established some simple shared values that unite the entire company, and all
of the Business Owners that are associated with Amway. We believe that these values
guide our actions and help us to achieve everything we are capable of without compromise
or harm.
 
Integrity
 We will uphold the highest personal and professional integrity which demonstrates
honestly, loyalty, respect and high ethical standards in all our responsibilities, obligations
and other activities. We are committed to behave at all times in accordance with the
ethical practices of the organization.
 
Trust
 Building reliability and dependability for self by displaying commitment, honesty,
confidentiality and consistency in all actions.
 

Founding

Jay Van Andel and Richard DeVos, friends since school days, had been business

partners in various endeavors including a hamburger stand, air charter service, and a sailing

business. In 1949 they were introduced by Neil Maaskant (Van Andel's second cousin) to

the Nutrilite Products Corporation. Nutrilite was a Calisfornia-based direct sales company founded

by Dr. CarlRhenborg, developer of the first multivitamin marketed in the United States. In August

1949, after a night-long talk, DeVos and Van Andel signed up to become distributors for Nutrilite

food supplements. They sold their first box the next day for $19.50, but lost interest for the next

two weeks. Shortly thereafter, at the urging of Maaskant, who had become their sponsor, they

traveled to Chicago to attend a Nutrilite seminar. The meeting was at a downtown hotel, with over

a hundred people in attendance. After seeing promotional filmstrips and listening to talks by

company representatives and successful distributors, they decided to pursue the Nutrilite business

opportunity with enthusiasm. They sold their second box of supplements on their return trip to

Michigan, and rapidly proceeded to develop their new business further.

In 1949, DeVos and Van Andel had formed Ja-Ri Corporation (abbreviated from their

respective first names) for importing wooden goods from South American countries; after their trip

to the Nutrilite seminar, they droppedthis business and Ja-Ri became their Nutrilite
distributorship. In addition to profits on each product sold, Nutrilite also offered commission on the

sales of products by new distributors introduced to the company by existing distributors—a system

today known as multi-level marketing or network marketing. By 1958, DeVos and Van Andel had

built an organization of over 5,000 distributors. However, following concerns about the stability of

Nutrilite, in April 1959 they and some of their top distributors formed The American Way

Association to represent the distributors and look for additional products to market.

Their first product was called Frisk, a concentrated organic cleaner developed by a

scientist in Ohio. DeVos and Van Andel bought the rights to manufacture and distribute Frisk, and

later changed the name to LOC (Liquid Organic Concentrate). They subsequently formed Amway

Sales Corporation to procure and inventory products and to handle the sales and marketing plan,

and Amway Services Corporation to handle insurance and other benefits for distributors (Amway

being an abbreviation of American Way). In 1960 they purchased a 50% share in  Atco

Manufacturing Company in Detroit, the original manufacturers of LOC, and changed its name

to Amway Manufacturing Corporation. In 1964 the Amway Sales Corporation, Amway Services
Corporation, and Amway Manufacturing Corporation merged to form a single entity,Amway

Corporation Amway bought control of Nutrilite in 1972 and full ownership in 1994.

International expansion

Amway expanded overseas to Australia in 1971, to Europe in 1973, to parts of Asia in 1974, to

Japan in 1979, to Latin America in 1985, to China in 1995, to Africa in 1997, to India and

Scandinavia in 1998, to Russia in 2005, and to Vietnam in 2008.

BRANDS

Amway's product line grew from LOC, with the laundry detergent SA8 added in 1960, and
later the hair care product Satinique (1965) and the cosmetics line Artistry (1968). Today Amway
manufactures over 450 products, with manufacturing facilities in China, India & the US , as well as
Nutrilite organic farms in Brazil, Mexico and The United States (California & Washington State). In
addition, Amway affiliates market products from hundreds of other manufacturers offering
everything from books (e.g. Barnes & Noble, North America) to wine (World of Wine, Europe) 

Founder's Fundamental                                    

Rich DeVos and Jay Van Andel built the Amway business on the following principles,
which they and their families believe constitute a sound foundation for a meaningful life.
 
Freedom
Provides conducive environment in which to live, work, achieve and grow. The Amway business
recognizes, supports and expands freedom, which is both personal and economic. It gives the
freedom to operate as independent business people and conduct a full-time or part time business.
 
Family
The family is our primary social structure, providing love, heritage and legacy. The Amway
business respects and supports the family, as evidenced by the Amway Board of Directors and the
prominence of “family” in Amway business. Amway provides the opportunity to build a family-
owned business which can be passed on to generations.
 
Hope
Hope gives us the power to transform our lives in positive ways. It is a force that allows us to
envision dreams, establish goals, and achieve great things. By offering hope, we open windows of
possibility for others, irrespective of social status, profession or educational background.
 
Reward
Reward involves the shared action of giving and receiving. Reward helps us grow, either as the
giver or the recipient, and there are many ways we are rewarded. Reward is integral to the Amway
business as we help each other grow as people and as entrepreneurs. Hard work is followed by
high rewards.

CORPORATE CREDENTIALS 

 Amway India is a wholly owned subsidiary of US $ 7.2 billion Amway Corporation, Ada,

Michigan, USA. Amway Corporation is one of the largest Direct Selling companies in the world.

It has a presence in 80 countries & territories. 

 Established in 1995, Amway India commenced its commercial operations in May 1998 and has

emerged as the largest Direct Selling FMCG Company. The Company is headquartered at the

National Capital Region of India - New Delhi. 


 Amway has invested in excess of US $ 35 million (Rs. 151 crore) in India of this; US $ 6

million (Rs. 26 crore) is in the form of direct foreign investment. 

 Amway India has 400 full time employees and has generated indirect employment for 1,650

persons at all the contract manufacturer locations. 

 The Company has provided income generating opportunity to over 4,50,000 active

independent Amway Business Owners. 

 Amway India provides free and unlimited training to all its distributors to help them grow their

business. Amway India conducted over 29,000 training sessions during in the past 12-months

with an attendance of over 1.5 million Amway Business Owners and prospects. 

 Amway India recorded a sales turnover of over Rs. 800 crore during January’07 –

December’07. 

 Amway India is a member of the Indian Direct Selling Association (IDSA). The IDSA is an

industry regulatory body, with several reputed international and Indian Direct Selling

companies as members. 

 Amway India is also a member of the Confederation of Indian Industries (CII) and Federation

of Indian Chambers of Commerce (FICCI). 

 The World Blind Union presented an award and citation to Amway India in 2003, for its

peerless work for the blind children. 

Logo and slogan

CORPORATE RESPONSIBILITY 

AMWAY OPPORTUNITY FOUNDATION (AOF)  


 

Amway Opportunity Foundation (AOF) a registered non-profit organisation which

looks after Amway India’s Corporate Social Responsibility (CSR). Amway distributors are also

volunteers of AOF and they have enthusiastically participated in all AOF activities. Globally,

Amway’s CSR campaign is known as the One By One Campaign for Children. 
Type Private

Industry Direct selling

.
Founded 1959

Founder(s) Rich DeVos

Jay Van Andel

Headquarters Ada, Michigan, United States

Area served Worldwide

Key people Steve Van Andel (Chairman)

Doug DeVos (President)

Al Koop (Chief Operating Officer)

Russ Evans (Executive Vice

President and Chief Financial Officer)

Revenue USD 8.4 billion (2009)[1]

Employees 13,000[2]

Parent Alticor

Website http://www.amway.com/

 Awards and Recognition 

 Presented the Millenium Outstanding Service Award 2000, by the All India Confederation

for the Blind (AICB), in recognition for work carried out for the visually challenged.

 
 The Indian Red Cross Society, Orissa awarded AOF a memento & certificate for conducting

a mega-Blood Donation camp of 816 units on 4th May, 2003.

 
 The Surat Raktdaan Kendra felicitated Amway India at their annual function on 5th Oct,

2003, for the largest number of donors at a Blood Donation Camp (BDC) held by any financial and
commercial institution and industry. The Mayor of Surat - Snehlata Chouhan - presented a trophy

and a certificate of appreciation.

 
 Amway also received the Hajee Sulaiman Omar Memorial Ever Rolling Shield, by

the Madurai Medical College. Amway was the ONLY corporate entity to conduct a BDC on such a

scale - rest of the camps are held by educational institutions.

 
 Presented an award by the World Blind Union (WBU), for sterling contribution to improve

and elevate the quality of life of visually impaired children', at a function in Delhi on Dec 2nd 2004.

The award included a citation and a large-sized statue of Saraswati, the Goddess of Knowledge,

was presented by the Lt Governor of Delhi, Shri Vijai Kapoor. WBU is an apex body for the visually

impaired that enjoys consultative status with the United Nations.

The Central Red Cross Bank, Cuttack awarded Amway Opportunity Foundation with a trophy and

Certificate for contributing the highest number 400 units to their Blood Bank. 

Business model

Amway combines direct selling with a network marketing strategy. IBOs may both

market the products directly to potential customers and also recruit (sponsor) and train other

people who become IBOs themselves and in turn have the same opportunity. Each IBO may earn

income both from the retail markup on any products they sell personally, plus a performance

bonus based on the sales volume they and their downline have generated. People may also

register as IBOs to buy products at a discounted rate. Amway has been accused of using high

pressure tactics and in effect brainwashing its IBO's, using peer pressure in meetings and threats

to get IBO's to recruit more, lower income members who are less likely to complain about being

taken advantage of. These claims however have never been proved in the many court cases

against them
Amway India

Amway India

Local Name: Amway India

Launch: May 5, 1998[1]

Website: http://www.amwayindia.com

Est. # IBOs: >450,000[2]

Est. Sales: Rs. 1407Cr (Dec 2009)


Amway India, a wholly owned subsidiary of Amway Corporation, was established in August

1995 after approval by India's Foreign Investment Promotion Board (FIPB). Amway India

commenced commercial operations on May 5, 1998 [1] and is now the largest Direct Selling FMCG

Company. The Company is headquartered at the National Capital Region of India - New Delhi.

Amway has invested in excess of US $ 35 million (Rs. 151 crore) in India of this; US $ 6 million

(Rs. 26 crore) is in the form of direct foreign investment. Amway India has 400 full time

employees and has generated indirect employment for 1,650 persons at all the contract

manufacturer locations.

Amway India provides free and unlimited training to all its distributors to help them grow

their business. Amway India conducted over 34,000 training sessions during in the past 12-months

with an attendance of over 1.5 million Amway Business Owners and prospects.

Amway India is a member of the Indian Direct Selling Association (IDSA). The IDSA is an

industry regulatory body, with several reputed international and Indian Direct Selling companies as

members. A Mumbai-based consumer rights activist, Asha Kidnani, is IDSA’s Ombudsman & Code

Administrator. Amway India is also a member of the Confederation of Indian Industries (CII) and

Federation of Indian Chambers of Commerce (FICCI).

Sales Data
Known Sales Data

Wholesale Sales (IRP)

0.99 million 

2,48 million 

5,53 million 

6,26 million 

5,79 million 

6,36 million 

6,33 million 

7,68 million

7,99 million 

11,28 million 

14,07 million 

Products

Exclusives
 Artistry

 Dish Drops

 Nutrilite

 SA8

 LOC

 Body Series

 Glister

 Attitude

Nutrilite®
NUTRILITE® is the world’s leading brand of vitamin, mineral, and dietary
supplements, grown harvested, and processed on its own certified organic farms.

Artistry®
ARTISTRY® is one of the world’s top five largest-selling prestige brands of facial skin care
and colour cosmetics.

Attitude®
All products of Attitude contains Skin Vitalising Complex that synergistically combine to
cleanse, Replenish & Moisturise the skin making it soft & supple.

Dynamite®
Dynamite's range of male grooming products, formulated internationally is designed to
deliver the ultimate grooming experience.

Persona®
Persona Premium 3 in 1 Soap is a complete soap for the entire family promises refreshing
confidence.
Featured Products for Persona®

Satinique®

Satinique Advanced Range with unique Ceramide Infusion System uses nature's own
renewing technology to rejuvenate, strengthen and protect your hair.

Glister®
Glister Toothpaste is a revolutionary Multi-Action Toothpaste with Sylodent that offers
seven benefits.

Dish Drops®
Dish Drops is a concentrated hand dishwashing liquid with a powerful "Triadic Detergency
System".

SA8®
SA8 Gelzyme is India's only 3-in-1 laundry detergent which pretreats, cleans and softens.

LOC®

LOC High Suds is a multipurpose household liquid cleaner.


Great Value Products®
Great Value Product Range offers you Great Quality, Great Performance, Great Price
and a Money Back Guarantee!

Competitors
Amway competitors are primarily in the Cleaning Products industry. Amway also competes in
the Housewares, Personal Care Products, and Nonalcoholic Beverages sectors.
Amway competitive landscape includes:

 Avon
 Mary Kay
 Procter & Gamble

Unless otherwise indicated, all Web Site design, text and graphics is Copyright 2007 Amway
of Australia. All rights reserved. None of the material may be copied, downloaded, displayed,
posted, transmitted used or reproduced in whole or part in any form or by any means for any
purpose unless such use is expressly permitted by Amway or by applicable copyright laws.

To the extent necessary in order to lawfully access and use the services available on this Web
Site, you are granted permission to display, download, save and to print portions of this web site
for non commercial use only provided that the materials are not modified and any reproduction
contains all copyright and other proprietary notices contained in the materials. IBOs may
download, reproduce and distribute materials for the purposes of their IBs provided that each item
is reproduced in its entirety and contains the following notice: "Reproduced with the permission of
Amway of Australia, ABN 49 004 807 756".

All trade names, brand names, trade symbols, logos, slogans, trade marks or services marks
followed with an asterisk are trademarks or proprietary interests of Amway Corporation, Ada,
Michigan, USA.

There are other trade names, brand names, trade symbols, logos, slogans, trade marks, service
marks, or company names, indicated on the Amway Web Site that are the property of their
respective owners.
Sales of Amway

One To One
The Direct selling Success story in India 

Having witnessed the blazing growth of direct selling in


India, I was surprised not to have come across any
direct distributors in the US, which is ironically the
birthplace of the industry. Consider a comparison of
revenues for Amway versus FMCG giant P&G in India:
in 3 years, Amway has surpassed P&G and many other
established FMCG players in terms of total revenue.

As is evident, Amway has been registering revenue growth of nearly 100% yoy, whereas
conventional FMCG firms have struggled to achieve even 4-6% in this stagnant economy.
Clearly, no other market has recorded such phenomenal growth for direct selling and it is
believed there are some distinct structural factors in the Indian market which make direct selling
(aka network marketing) a potent distribution model for consumer goods. So what are those key
success factors and characteristics of the Indian consumer that make this model a runaway
success? Let us begin by understanding how it all works in India.

Sales places

Amway now operates in over 80 countries and territories around the world

Amway manufacturing

Amway Manufacturing & Distribution Center


(Guangzhou) is located in Guangzhou Economic & Technology Development Zone, Amway (China)
Logistics Center covers 40,000 M2 with warehouse area 16,000 M2. It is the headquarter of
Amway logistics and responsible products replenishment to Amway (China) 200 shops across the
country.

Amway Manufacturing & Distribution Center is equipped with advanced equipments and
high quality storage conditions in its daily operations including modern electronic driven forklift,
automatic adjusted loading/unloading docks, and constant temperature warehouse. RF (Radio
Frequency) warehouse management system is applied in warehouse daily operations, which makes
the operation more accurate, in time, and convenient. With RF system implemented, Amway
Manufacturing & Distribution Center realizes paperless in the daily operation. 

To further support home delivery service a 2000 square meter new home delivery
pick/pack center has been built in Amway Manufacturing & Distribution Center. The new home
delivery center equipped with automated equipments of Digital Pick system (DPS) and auto-carton
former and sealer together with a semiautomatic conveyor and automatic products weighing
machine etc.

Amway (China) manufacturing factory is Amway Corporation's largest overseas production


base, with factories area of 141,000 square meters. It has around 30 modern production lines. 

It produces more than 170 kinds of merchandises, including the series of nutrition and health food,
beauty cosmetics, personal care products and home nursing. 

Conclusion

Direct selling FMCG company, Amway India, is eyeing a Rs 2,500 crore turnover in the next two-
years by expanding reach, launching new products and strengthening its marketing.

"We have grown from Rs 799 crore to Rs 1,128 crore to 1,407 crore over the past three years,
essentially as the quality of the Amway pick-up centres has undergone a sea change and are more experiential
for the consumer," Amway India's Vice-President (Technical and Regulatory), Vinay Kumar, told reporters here

This year the turnover is expected to be around Rs 1,700 crore and Rs 2,500 crore by 2012," he said.

Amway India is a wholly-owned subsidiary of $8.2 billion US-based Amway Corporation. The company
manufactures its products through seven third-party contract manufacturers in the country with Baddi-based
Sarvotham Care being Amway India's largest vendor (contract manufacturer).

Around 85 per cent of Amway products sold in India are being manufactured by Sarvotham Care.

The company is mulling to set up a new contract manufacturing facility in south India to cater to the
demand of its products in the coming days.

"Our products are more in demand in South India. We are thinking of setting up a new contract
manufacturing facility in south India, but nothing has been finalised," Kumar said.

The company plans to up its branches to 250 from present 130 in the next three years. "We will increase
our branches to 250 from the present 130 across the country by 2013. We are eyeing an at least 25 per cent
year-on-year growth for the next five years," he said.

The company offers 123 products in personal care, home care, nutrition and wellness, cosmetics and
great value products.

"We are planning to launch 12 new products in 2011 and 10 products in 2012. We also plan to increase the
number of brand experience centres to 25 from the present 10 over the next two years," he said.

Stating that the direct selling industry has good potential in the country, Kumar said, "Direct selling industry in the
country is estimated at Rs 3,500 crore (excluding insurance) and is expected to reach around Rs 5,300 crore by
2013

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