Below is the updated Best Practice Message on the Seventy Percent Rule and Verified Customer Sales (“VCS”).
Amway helps IBOs adhere to Best Practices and requirements for selling and sharing products through its Seventy Percent Rule (Rule 4.12) and Verified Customer Sales (“VCS”) to receive bonuses and recognition.
Selling to customers is the heart of the Amway business, and it’s simple to track and verify each sale! A Verified Customer Sale (VCS) is a sale to a customer through the Amway channel, in the following ways:
- Sale through the Amway website;
- Sale through MyShop Digital Storefront;
- Sale through the Amway app (through Amway.com logged in as a customer); or
- Sale from an IBO’s inventory that is recorded with Create a Receipt
To qualify for VCS, each sale must capture the customer’s name and valid, unique mobile phone number.
Rule 4.13 – the Customer Volume Rule (CVR) applies to IBOs who have not yet reached the Platinum level. To earn a bonus on downline volume during a given month, IBOs must:
• Have at least 50 PV of VCS in sales to any number of retail customers
OR
• Make at least one VCS sale to 10 different retail customers
VCS are the most profitable sales, and Rules 4.12 and 4.13 of the IBO Contract help ensure that all IBOs are focused on generating VCS. For an IBO to be bonused on full BV for the month, the IBO’s personal volume must satisfy specific customer sales requirements:
• Rule 4.12 requires – in order to be bonused on full BV for the month – each IBO’s personal volume to meet the requirement of at least 70% customer sales (without any personal or family use counting toward the 70% requirement).
• This is measured by a minimum of 60% needing to come from VCS. The other 10% can include products purchased to support customer sales, such as products given to customers as samples or used in demos.
• The remaining 30% may include other purchases, including personal use, unreported customer sales, products in inventory, and any products purchased to support customers sales that exceed the 10% sales support allowance noted above.
• If 60% VCS is not generated in a given month, the IBO's BV - and the BV passed up - will be prorated according to the percentage of VCS achieved. Non-bonused BV that is removed from personal circle does not flow to upline and does not contribute to bonus calculations. However, PV is unchanged and is passed up as usual.
EXAMPLES:
IBO generates 60% VCS. 60% is 100% of the target so the IBO will be bonused on 100% of the BV and 100% of the IBO’s personal BV will be passed upline.
IBO generates 50% VCS. 50% is only 83% of the target – 60% VCS – so the IBO will be bonused on 83% of BV and only 83% of the IBO’s personal BV passes up.
This Best Practices Message gives you a few highlights or reminders – but can’t cover everything you need to remember, so you may want to review the appropriate Rules of Conduct for the further and complete information.
Contact the IBOAI and/or Amway Business Conduct and Rules if you have any questions. Also, be sure to check out previous Best Practices Messages.
