Quixtar Review – What’s Your Name Now Amway?
Amway launched Quixtar in the year 1999. Even for just a decade old company, Quixtar has now achieved the title of “Amway Global”.
Amway products and Quixtar products are practically the same. Their services include nutrition supplements, cosmetics, beauty products and even tools and apparatuses available through a friend without getting to enter a store.
The company makes use of the concepts of MLM (multi-level marketing) business technique, meaning that a salesman can gain more profits by recruiting more people. However, the new Quixtar business model benefits from an additional convenience of having the Internet, which previous Amway model didn’t have. This assists in making Quixtar the 21st century Amway – a network merchandising business.
The company still banks on a good word of mouth publicity and goes with minimal to no advertising, making one curious about their initiative with the web. However, one can easily expand his network of contacts to thousands every day, by just contacting the known people, acquaintances, family and friends, as is clearly evident by many viral emails.
For a person who wants to become an IBO(Independent Business Owner), he must get acquainted to another IBO. Each member of the Quixtar network who is a business owner, is instigated to construct their own website in order to campaign for the products. As a matter of fact, it is a prerequisite. Quixtar is projected to be a web business.
As in any store, IBOs are asked, to first buy the products they want to re-sell. In addition, they are perked up to enlist other IBOs. An IBO gets the commissions from his recruits, just as the recruiter generates revenues off of all the IBO’s purchases.
One hindrance comes from the fact that Quixtar forbids standard publicity of IBO’s websites. So fundamentally, it gets back to the outdated word of mouth and man-to-man correspondence in modern-day means. One would guess that social networking sites like MySpace and Facebook could assist in spreading the word. However, since Quixtar’s rules are often lacking clarity and distinctness, such kind of activities may breach their policies and conditions.
The byword “it takes money to make money” employs as well. Right from kickoff, the IBO has to bear the expenditure, to build and manage a website, in addition to spending some amount on purchasing the products to sell. The expenses should also include a starter kit worth $200, to be counted in the budget.
The IBO gets revenue off of the retail net gain to buyers, alike any other store would. In addition, each member builds 3-25% of business volume, which is controlled by the competency, and both monthly and annual leadership allowances and bonuses, based on the group proficiency.
It may look like a pyramid scheme, but Quixtar persists that it is, in reality, not. Each affiliate of the company is an authentic business owner. And similar to many small business owners, it depends on an affiliate to construct creative processes and skills to earn income. Obviously, while staying within the limitations of company’s norms.
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