Digital tech and influencers get credit for Amway financial results

By Deanna Utroske contact

- Last updated on GMT

Digital tech and influencers get credit for Amway financial results
The direct-sales company’s 2016 results are positive in terms of retail strategy. Where beauty and personal care are concerned it’s a different story, though beauty-from-within shows promise.

The company calls these 10 countries its ‘top nations’: China, the United States, South Korea, Japan, Thailand, Taiwan, India, Malaysia, Russia, and Hong Kong. However, a press release announcing the annual financial results opens by acknowledging that Amway “experienced softening market conditions in China” ​last year.

Overall sales were down 7% for Amway in 2016. The company reports sales of $8.8bn for the year ending Dec. 31, 2016.

Direct sales

As a global retail model, Amway is optimistic about direct sales or social selling, as its being called more often now that digital technology and social media are part of the strategic mix.

“Above all, we are pleased to see the continued and growing relevance of the direct selling model in today’s marketplace as people place real value on personal recommendations, and technology enables our distributors to connect with customers at any place at any time,” ​Amway chairman Steve Van Andel tells the press.

The company sees direct sales as a distinctive entrepreneurial and consumer experience; it’s a different way to buy as well as an alternative space for consumer education and product recommendation. And to remain competitive, Amway has been creating digital tools for its representatives and for shoppers: “The company…launched an array of digital tools in markets around the globe, providing business management support, training, product details, and product recommenders to help distributors as they sell products, manage their day-to-day tasks and build their businesses,” ​according to the press release.

Personal care

In 2016 beauty and personal care accounted for 25% of Amway’s total sales. That figure is unchanged from the previous year. The nutrition business was the company’s largest, accounting for 49% of sales (a 3% gain over 2015).

Amway’s beauty brand Artistry launched Flora Chic, its first premium fragrance in 2016, according to the company. The brand’s Supreme LX anti-aging collection brought more products to more markets. And the Nutrilite brand launched a skin hydration collection called Truvivity last year.


Nutrilite is one of Amway’s supplement brands. And the Truvivity launch is a cross-category initiative brining wellness and beauty together.

“The convergence of our product categories, such as nutrition and beauty, continues to show strength,”​ explains the company. The Amway press release claims that Truvivity sales beat company estimates and that representatives find selling the supplement alongside skin care to be an effective approach.

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