okay thanks.
my business turns over about 50-60k British pounds (what's that about 85-95k US) but its dropped significantly over the last six months. If i needed to work out just how much money I earn per hour I could do it.
so here is the question I'm a motivated self employed salesman already with a network of clients. How much time would it take for me to earn say 10,000 pounds? how much stuff would i have to sell? can i just sell and not pay for anything else? dont need tapes/conferences etc i have customers already.
OK, UK system is slightly different to US. Initial income is Custom Volume Rebate - essentially retail markup, it's set at 25%. So, as a starting point £40,000 in sales would generate £10,000 from this markup alone. However, there are additional volume rebates ranging from 6% to 25%. (actually up to 29% at present, but they're part of year to year incentives that can change so I'll leave that out). It can vary depending on the particular product mix, but more than £10,000 in sales in a month is likely to get you to the top of that scale, so we're looking at 50% profit margin. So roughly £20,000/mth in sales would generate £10,000/mth in gross profit. There's additional yearly bonuses and travel incentives if that's kept up consistently.
if you can give me volumes/timescales i can figure out if it would ever work for me.
Well, the example above, while some do it that way, isn't really the attraction of Amway for most people. What we try to do is have as many of those customers shopping direct from the website themselves, so that less time is needed to look after them. In addition, rather than try to drum up all the business ourselves, we profit share with others and give them incentives to drum up business. Done properly the end result is that you're generating far more volume than you could possibly hope to do yourself, and with decreasing amounts of effort. This approach generally takes more effort (for less immediate reward) at the beginning but with greater rewards for less effort down the track.
Amway UK implemented some novel changes last year and we don't really have enough statistics yet to be able to say what's needed with this approach to generate £10,000/mth income. Experience elsewhere in Europe indicates this kind of profit would come from a network of around 200 registered customers and consultants, with an additional 100-200 unregistered customers dealing directly with the consultants. Typically we find around 1 in 4 people approached are interested either in the business opportunity or products, so out of 100 you might pick up 25. Of those 8 or so will register and never do a thing, not even try products. A handful will be your direct personal clients, ie you take orders, deliver products etc. 4 will do nothing more than shop online, another 5 will shop and maybe introduce a couple of other people, and 3 will go out and show it to 100 folk, duplicating the process. The 3rd party business system (and related expenses) is designed to get this duplication working while minimising the time you need to devote to it. It's not recommended at all if you're only interested in developing a personal retail business, though I personallly believe the personal skills training alone is invaluable in that area.
How long it takes then depends on how quickly you expose (professionally) the setup and products to 100 people personally, go through the recommended steps with them to get them started as either clients or business partners, and then help the interested parties get the same process going. 15-20hrs/wk for 1-2 years seems to be about normal. Many folk put in a lot less hours and take longer. Some put in a lot more hours and do it quicker.
