Our world is currently confronted with environmental problems. Due to the existence of human beings, we have certainly been demolishing the nature.
In response to the Michelle Cheung’s blog, she illustrated that Amway has produced a new product line known as the “planet positive.” Within this package, it includes laundry products which the chemicals bring no harm to our planet.
Nowadays, most consumers are highly aware of eco-friendly products. Marketing research has shown that environmental products can affect consumer buying powering and spending powers. Since Amway sells their product by having Independent Business Owners known as IBO and most of them are mothers and wives, advertising is certainly not a barrier for Amway as word of mouth is a strong method to advertise.
Amway has a fascinating selling strategy which works as a pyramid structure. A small amount of people are up at the top of the pyramid which then each of them searches others who are interested in becoming an IBO to sell Amway products. Afterwards, these new IBOs engage in the same process and this chaining would continue on. Through this chaining method, each item that an IBO sells, the people on top of them would earn a small portion of commission.
Truly, Amway do not require much advertising as the main advertising strategy is through the word of mouth. As a result, consumers purchasing from these IBOs can instantly provide feedback to them and these IBOs would be able to report the good and the bad of their products to their heads.
Interesting post but what about the reputation of pyramid schemes?