A frequent topic of debate regarding Amway
are the "tools"--tapes, books and rallies--that Dexter Yager
, Bill Britt and leaders of other Amway distributor groups move through their downlines.
distributors generally claim that 1) neither Britt, Yager
, nor anyone else makes any significant amount of money from the sale of these tools, or 2) that they do make a lot of money from the sale of tools, but that the tools are absolutely necessary to achieve success in Amway.
, for example, from Rome, N.Y., is a distributor whose "downliners"--distributors downstream, who generate commissions for him--account for perhaps a third of Amway's direct-sales volume.
non-Amway tape-book-rally business brings two-thirds of his
annual income--roughly $1.5 million.
The most important thing is your attitude"--Amway super salesman Dexter Yager.
* According to a recent three-part article on Yager in the Charlotte Observer, things don't seem to have changed much since the Detroit Free Press article.
The hub of Dexter Yager's
worldwide empire is a bustling factory on South Boulevard.
The $35 million-a-year spin- off of Yager's
Amway business generates consistent profits and persistent problems.
Yager's network of 1 million distributors -- Amway's largest -- provides a ready-made market for the Yager motivation sideline.
"support system" strengthens Amway sales, but ex- distributors argue that its central focus is selling to the sales force.
Dexter Yager said his Amway and Internet businesses give him an income of "several million" a year.
makes more from Amway sales than Internet profits, but stays too busy to track his
"a very successful venture."
"It sounds like Mr. Yager
has made a lot and he's
forgetting these people who are in need of extra money to make ends meet."
Five former distributors sued Yager
, his companies, a key operative, and the Amway Corp.
last year, contending that they were misled about the costs, profitability, and chances of succeeding in Amway
"I have never coerced anybody to buy anything that I made money on," said Dexter Yager
TAPES HELPED, YAGER
The 55-year-old multimillionaire said he
became interested in motivation because he
needed a boost when he
first began selling Amway
31 years ago.
experienced an initial flurry of business before he
hit several years of uneven results.
"My first three years in the business I never read a positive-thinking book.
I never listened to a tape," he
"I was dealing with big dreams one day and discouragement the next," he
"And I didn't know how to get it together."
said it helped him to read positive-thinking books.
In the 1970s, he
began selling them to his
began writing his
own books -- he's
produced 12 -- and recording his
In 1980, he
family formed a corporation called Freedom Distributing.
It became Internet Services Corp.
in 1989 and by that time, three of Yager's
seven children -- Doyle, Jeff and Steve
-- were running it.
"I think Dexter
had the right idea with the communications system," he
There are some (but not all) of my reasons for believing that Bill Britt, Dexter Yager
, and other Amway high rollers are making most of their money selling motivational tools rather than Amway products.