Friday, August 17, 2007

So how high are Quixtar/Amway prices?

One of the most profitable products Quixtar has is Double X multivitamins. If you go to Quixtar (don't log in if you are an IBO) you can find that the price is quoted as $74.75, and add $8.75 shipping, that gets you $83.50. That's for a 30 day supply (take two times a day).

If you are an IBO (ignoring case discount, since it is going away in September) and you are buying 100 PV from Quixtar that month (minimum to get a rebate) it would cost about $53.05, with shipping, after rebate and factoring in using the Quixtar VISA card.

As a comparison, I went to Amazon. I found the most expensive Centrum I could find (lycopene silver 200 count). I used the quoted retail price, not the discount price, of $35.98 and with $5.50 shipping. If we assume that you take two a day, that would come out to $12.86 for a 31 day supply.

So how can an IBO retail a vitamin for 6.5x the price of other vitamins? Even if the IBO were to break even, that would be 4x the price of other vitamins.

Don't get me wrong. I took my Double X this morning. I love Double X. It is just very expensive. If the "Jay Factor" is true, then for every box of Double X I buy, the "families" get $17.88, more than enough for them to buy some Centrum.

9 comments:

Kunoichi said...

I love Double X, too. I first began using it while pregnant with my first daughter - almost 15 years ago! It was the ONLY thing that stopped my "morning" sickness (more like morning, noon and night sickness!). Nutrilite supplements are the *only* supplements I've tried where I can actually feel an improvement (some other brands actually made me feel worse). Then there's the other supplements, like the digestive enzymes, which have been the only thing that has worked for my husband who's had intestinal difficulties of unknown cause for years. We haven't been able to afford those for months.

Today, however, I only take XX sporadically. There's 4 of us, and we share one box and make it last the month, because we can't afford to buy enough for each of us to take them twice a day - or even once a day. We can't afford to buy them every month sometimes, too. Our budget is tight, and if we spent all that money on a box of XX for each of us, it would be about 45% of our total food budget for the month! (Yeah, our food budget is that low - and it has to cover non-food items like shampoo, deoderant, toilet paper, etc.)

I LOVE Nutrilite products. I LOVE XS drinks. I love a lot of the products we get through Quixtar. Yet we can't afford to buy 100pv's worth a month, and still be able to buy groceries and pay the bills. It's been frustrating me for years.

LM said...

Unfortunately Quality alway's does cost more. As for the Jay factor... If the formula is to triple the cost of a product. the means 30% goes to make it. If you divide the last years sales verses what the IBO's recieved in bonuses it comes to 32%. So 32% goes to the IBO's. According to my math that leaves 28% to run Alticore a 6.8 billion corp with thousands of employees and overhead. The Owners should certainly have some return for their years of investment. Isn't that what business is about? Maybe if they produced in in China like everyone else it would make everyone happy.

Tom Morris said...

The point is that 1/3 goes to make it, 1/3 goes to the people moving the products (I heard around 300,000 people) and 1/3 goes to the family. I would have no problem with that if the prices were competitive. Since they are not, where should the money come from to reduce the price? The biggest expense with the least effect on the actual production and sale of the products is the 1/3 that goes to the family.

Amway and Quixtar - an opportunity for anyone said...

Double X is simply the best nutritional supplement on the market - without peer. It's not really possible to do a price comparison.

Quixtar though markets itself as a health and beauty company, so lets look at the #2 product range after Nutrilite - Artistry. Q* clearly names it's competitors in the beauty arena - Estee Lauder, lancome, Clarins, Clinique, and I believe Christian Dior.

And remember, it's been put in that class by an independent assessment by Euromonitor.

Every time I've done a RRP price comparison, Artistry has won easily.

That covers more than two thirds of Amway/Quixtar's turnover, so frankly I really don't get this "prices are too expensive" talk. One brand is the best in the world, the other is clearly significantly cheaper than the competition.

www.thetruthaboutamway.com

josh said...

"LM said...
Unfortunately Quality alway's does cost more. As for the Jay factor... If the formula is to triple the cost of a product. the means 30% goes to make it. If you divide the last years sales verses what the IBO's recieved in bonuses it comes to 32%. So 32% goes to the IBO's. According to my math that leaves 28% to run Alticore a 6.8 billion corp with thousands of employees and overhead. The Owners should certainly have some return for their years of investment. Isn't that what business is about? Maybe if they produced in in China like everyone else it would make everyone happy"

It's pretty clear in the wording of the class action that the cost of the product INCLUDES the cost of the incentive and payments programs, as well as all distribution costs. (allegedly) Then multiply that number by three, and you have "Wholesale Cost". Any other business that tried this, wouldn't be in business, but because of so many loyal shoppers, they have gotten away with it for years. Read the Class Action and you will see what i'm saying is right.

Cat said...

I am trying to sell the jewelery and stuff from the new catalog at work. At WHOLEsale prices, no less. "Great stuff," they tell me. About the perfumes, "more expensive than the same stuff at Macy's on sale!" About the jewelery, "too expensive, even at wholesale costs!" I can't sell this stuff and still not take a blessed profit . . .

nakedtommy said...

What makes you think any Centrum product is comparable to Double X? Any review of both products will quickly show it's not in the same class. Be fair and find a comparable product before making price comparison claims. Yes the price for Double x is high, but the quality is super high.

Tom Morris said...

True, Double X is far superior to Centrum. I've just taken Double X so long, I don't know what to compare it to. Neither do most of my potential "customers" who will cite that the can get Centrum for a lot less.

elieagle said...

I have been taking double X for years, It is a high end multi vitamin and those that take it know that. if you are not taking a multi vitamin now double x would seem very costly to someone, So thanks to Amway being the great company they are they listened to us IBO's and our clients and came up with simply nutrilite mens and womens 31 day supply for reatil .83 a day. $25 a month and a great product. Client orders of $75.00 or more free S & H even on the bulky 48 roll box of T.P. Check out the new simply nutrilite products twist tubes for.53 as opposed to Vitimin water for $1.75 to 2.25.depending on where you buy. And the new snack bars will blow you away.