Best Practices Message- March 2019

March 01, 2019

Below is the updated Best Practice Message on Inventory Management … better known as the Seventy Percent Rule.


Part of building a successful balanced business is adopting a smart approach to handling an inventory for your business needs. 

Amway helps IBOs adhere to Best Practices for selling, sharing and using products through its Seventy Percent Rule (Rule 4.12) to receive bonuses and recognition. 

This practice, explained in greater detail in the Amway Rules of Conduct, specifies that you must sell or use at least 70% of the products you purchase on

average each month in order to be eligible for bonuses or recognition on the volume. To clarify – 70% of your personal PV (not group PV) includes sales to customers

and can include personal and family consumption, and a reasonable amount given out as gifts, samples, or donations. 


For many, this Rule probably seems unnecessary.  But the idea behind the Seventy Percent Rule is simple: it’s a measure to help keep IBOs from overstocking inventory

and overextending themselves financially to qualify for bonuses and recognition.


While it’s possible that an IBO might think this sounds like a plan for reaping the rewards of the business, it ends up hurting sustainability and growth,

not to mention personal finances.  After all, the goal of an IBO Business isn’t just to reach a certain qualification – it’s to make money and build a profitable, sustainable business! 


Maintaining a reasonable inventory if you choose to have one is an important key to success in both regards.  The Seventy Percent Rule is not intended to discourage IBOs from purchasing product – and it certainly doesn’t mean that you can’t purchase a reasonable amount of inventory to have on hand to service your customers or for personal use. 


It simply is a way to ensure that products that are purchased are being sold and used to help IBOs develop effective inventory practices to help achieve maximum profitability.


Remember, you’re in a business of your own, but you are never alone.  Your upline, the IBOAI®† and Amway are here to assist you with what you need to help succeed.