Last Updated:

2024-05-17 11:37:38

Amway

American MLM company founded in 1959

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American MLM company founded in 1959

Amway, short for 'American Way', is a leading American multi-level marketing company offering health, beauty, and home care products. Founded in 1959, it operates globally with reported sales of $8.9 billion in 2019. Despite being the largest MLM company by revenue, Amway has faced legal issues and investigations for alleged pyramid scheme practices in various countries, including settlements and fines.

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1924

Birth of Jay Van Andel

Jay Van Andel, co-founder of Amway Corp, was born in 1924 in Grand Rapids, Michigan. He later went on to establish a successful business partnership with Rich DeVos.

1949

Establishment of Ja-Ri Corporation

In 1949, Jay Van Andel and Richard DeVos founded Ja-Ri Corporation, a distributor of Nutrilite dietary supplements. They were inspired by Nutrilite's plant-based nutritional products and saw the potential to make an impact in the health industry.

1950

Founding of Amway in Ada, Michigan

In the 1950s, Jay Van Andel and Rich DeVos founded Amway in Ada, Michigan, coining the name as an abbreviation for 'American Way'.

1959-04

Founding of Amway

Jay Van Andel and Richard DeVos, after being distributors for Nutrilite food supplements, founded Amway in April 1959 to represent distributors and expand their product offerings.

1960

Introduction of the 'L.O.C. Multipurpose Cleaner'

In 1960, Amway introduced the 'L.O.C. Multipurpose Cleaner', a product that would become one of the company's flagship offerings. This marked a significant milestone in Amway's product development and sales strategies.

1962-10

Opening of Amway's First International Office in London, Ontario, Canada

In October 1962, Amway expanded internationally by opening its first office in London, Ontario, Canada. This marked the beginning of Amway's global expansion, eventually reaching over 80 countries and territories.

1964

Amway reaches $1 million in annual sales

In 1964, Amway achieved a major milestone by reaching $1 million in annual sales. This financial success demonstrated the company's growing influence and market presence in the multi-level marketing industry.

1967

International expansion of Amway to Canada

In 1967, Amway expanded its operations internationally by entering the Canadian market. This strategic move marked the beginning of Amway's global expansion and solidified its position as a key player in the multi-level marketing sector.

1968

Launch of Artistry Brand

In 1968, Amway launched the Artistry Skin Care and Cosmetics brand.

1971

Amway extends market in Australia

In 1971, Amway expanded its market presence in Australia, reaching out to a new customer base in the country.

1972

Entry into the Asian Market with Taiwan

Amway made a strategic move by entering the Asian market in 1972 with its expansion into Taiwan, paving the way for further growth in the region.

1973

Amway opens 1st market in Europe, United Kingdom

In 1973, Amway made its entry into the European market by opening its first market in the United Kingdom, marking a significant milestone in its global expansion.

1974

Amway opens in Asia

In 1974, Amway expanded its operations into Asia, tapping into the diverse market opportunities and establishing a presence in the continent.

1979

FTC Ruling in Favor of Amway

In 1979, the Federal Trade Commission ruled that Amway was not a pyramid scheme, validating their business model and allowing for further growth and success.

1980

Amway surpasses 1 Billion $ sales mark

By 1980, Amway achieved a major milestone by surpassing the $1 billion mark in sales, showcasing its significant growth and success in the direct selling industry.

1981

Amway's Grand Plaza Hotel opens in Grand Rapids

In 1981, Amway opened the Grand Plaza Hotel in Grand Rapids, Michigan, USA. The four-star, 682 room hotel played a significant role in enhancing and growing the Western Michigan community.

1982

Amway co-founders indicted in Canadian tax fraud case

In 1982, Amway co-founders Richard M. DeVos and Jay Van Andel, along with an executive vice president, were charged in Canada for underreporting goods' value and defrauding the Canadian government of over $28 million. The charges were eventually dropped in 1983 after Amway pleaded guilty to criminal customs fraud charges.

1983

Amway Admits to Defrauding Canadian Government

In 1983, Amway admitted to defrauding the Canadian government for 15 years and had to pay a fine as a result.

1984

Amway celebrates its 25th Anniversary

In 1984, Amway celebrated its 25th Anniversary, marking a quarter of a century since its establishment.

1985

Amway expands in Latin America

In 1985, Amway expanded its operations into Latin America, further solidifying its global presence and reaching out to new markets in the region.

1986

Amway Violation of FTC Order

In 1986, Amway violated an FTC order by running an ad campaign that misrepresented the earnings potential of its distributors, resulting in a $100,000 fine.

1990

Amway expands internationally

In the 1990s, Amway experienced international expansion as its sales outside the United States surpassed 1 billion dollars.

1994-10

Amway's Contribution to the Republican National Committee

In October 1994, Amway made the biggest corporate contribution recorded at that time, donating $2.5 million to the Republican National Committee. This made Amway the number one corporate political donor in the United States.

1995-04

Procter & Gamble vs. Amway Distributors

In the 1990s, Amway distributors spread an urban legend claiming the Procter & Gamble service mark was a Satanic symbol. Procter & Gamble sued the distributors for defamation and slander, leading to a series of lawsuits that lasted for over a decade.

1996-07

Richard DeVos Honored at Republican Party Fundraiser

In July 1996, Amway co-founder Richard DeVos was honored at a $3 million fundraiser for the Republican Party. Shortly after, Amway attempted to donate $1.3 million for Republican 'infomercials' but withdrew the offer due to criticism.

1997-04

Richard DeVos' Donation to the RNC

In April 1997, Richard DeVos and his wife, Helen, made a $1 million donation to the Republican National Committee, marking the second-largest soft-money donation at that time.

1997-07

Tax Break for Amway and Other Companies

In July 1997, a provision was added to a tax bill that granted Amway and four other companies a $19 million tax break on their Asian branches. This move was controversial and drew attention.

1997-08

Amway's Influence in Congress

In August 1997, it was reported that Amway had a significant presence in Congress, with five Republican House members also being Amway distributors. They held informal meetings with Amway executives to discuss policy matters.

1998

Amway Campaign Contributions to GOP Causes

In 1998, Businessweek analysis revealed that Amway, along with its founding families and top distributors, donated over $7 million to GOP causes in the previous decade. Political candidates like Representatives Bill Redmond, Heather Wilson, and Jon Christensen received campaign funding from Amway.

1999

Establishment of Alticor

In 1999, the founders of Amway established a new holding company named Alticor, leading to the launch of new companies and diversification of business.

2000

Introduction of eSpring Water Filter by Amway

In 2000, Amway introduced the eSpring water filter, which was the first system to combine a carbon block filter and ultraviolet light with electronic-monitoring technology. The eSpring filter achieved multiple certifications for water treatment standards.

2001

Network 21 lawsuit ruling

In 2001, a regional court ruled in favor of Network 21 in a lawsuit. However, the legal battle continued with Amway's civil lawsuit being dismissed by the Warsaw Regional Court in 2004, but later won on appeal with fines and a public apology.

2003

Amway One by One Campaign for Children Launches

In 2003, Amway launched the One by One Campaign for Children, which aimed to utilize the resources of the entire Amway family to positively impact the lives of children globally.

2004-12-07

Jay's Death

Jay passed away on December 7, 2004.

2005-11-08

Corporate Citizenship Award for Alticor

On November 08, 2005, Alticor, the parent company of Amway, was awarded the Corporate Citizenship Award by the United States Chamber of Commerce for their One by One Campaign for Children.

2006-09

Raids and Seizures Against Amway Distributors in Andhra Pradesh and Telangana

In September 2006, Andhra Pradesh and Telangana state police conducted raids and seizures against Amway distributors, alleging violations of the Prize Chits and Money Circulation Schemes (Banning) Act.

2007-03-20

Procter & Gamble Awarded $19.25 Million

A U.S. District Court jury in Salt Lake City awarded Procter & Gamble $19.25 million in a case against four former Amway distributors for spreading false rumors about the company.

2008-11-24

Settlement of Procter & Gamble Case

The case between Procter & Gamble and the Amway distributors was officially settled in November 2008, bringing an end to the legal battle that lasted for years.

2009-01

Amway Announces Voluntary Recall of Nutrilite and XS Energy Bars

In January 2009, Amway announced a voluntary recall of Nutrilite and XS Energy Bars due to possible Salmonella contamination from Peanut Corporation of America. Despite the recall, no illness reports were associated with the products.

2009-03

Amway Global becoming presenting partner of Los Angeles Sol of Women's Professional Soccer

In March 2009, Amway Global signed a multi-year deal to become the presenting partner of the Los Angeles Sol of Women's Professional Soccer.

2010-10-01

Opening of Amway Center

On October 1, 2010, the Amway Center officially opened in Orlando.

2010-10-28

Orlando Magic's First Game at Amway Center

On October 28, 2010, the Orlando Magic played their first game at the newly opened Amway Center.

2010-11-03

Amway U.S. Class Action Settlement

On November 3, 2010, Amway announced a $56 million settlement to resolve a class action filed in Federal District Court in California in 2007, alleging fraud and operating as an illegal pyramid scheme. The settlement, subject to court approval, included $34 million in cash and $22 million in products.

2011-08-06

Sealing of Amway Offices by Kerala Police

On August 6, 2011, Kerala Police sealed multiple offices of Amway in Kerala following complaints, as part of crackdown on alleged money chain activities.

2012-12-18

Court ruling on screening of Welcome to Life film

On December 18, 2012, the court ruled that the film 'Welcome to Life' could be screened with certain conditions. The makers were required to remove 'untrue information' from the movie, leading to ongoing legal battles and the film remaining banned on other grounds.

2013-05-27

Arrest of William S. Pinckney and Amway India Directors

On May 27, 2013, Crime Branch officials of Kerala Police arrested William S. Pinckney, Managing Director & CEO of Amway India Enterprises along with two other directors of the company from Kozhikode on charges of running a pyramid scheme. They were granted bail the next day and the business was unaffected.

2013-06-08

Lifting of Freeze on Amway Offices in Kerala

On June 8, 2013, Kozhikode Court lifted the freeze on Amway offices in Kerala.

2014-05-26

Arrest of William S. Pinckney by Andhra Pradesh Police

On May 26, 2014, Pinckney was arrested by Andhra Pradesh police on the basis of a consumer complaint alleging unethical circulation of money by Amway. He was subsequently arrested in other criminal cases registered against him in the state on allegations of financial irregularities by the company.

2015-01-14

Amway Acquires XS Energy Brand

On January 14, 2015, Amway announced the acquisition of XS Energy, a California-based brand of energy drinks and snacks. This acquisition expanded Amway's product portfolio and market presence in the energy drink sector.

2017-02-07

Betsy DeVos Confirmation as Secretary of Education

On February 7, 2017, Betsy DeVos was confirmed by the Senate as the 11th Secretary of Education.

2018-09-06

Death of Rich

Rich passed away on September 6, 2018.

2019-01-02

Milind Pant becomes CEO of Amway Corporation

In January 2019, Milind Pant assumed the role of Chief Executive Officer at Amway Corporation.

2020

Alticor / Amway Corp. Ranked as No. 1 Company in Direct Selling Industry

In 2020, Alticor / Amway Corp. achieved the top position in the Direct Selling Industry, according to Direct Selling News Global 100. The company's global sales in 2019 reached $8.4 billion.

2021

Enforcement Directorate Labels Amway's Business Model a 'Pyramid Fraud'

In 2021, the Enforcement Directorate attached company and bank assets, labeling Amway's business model a 'pyramid fraud' and its product offerings a 'masquerade'.

2022-04

Enforcement Directorate Attachment of Amway India Assets

In April 2022, the Enforcement Directorate attached both movable and immovable assets of Amway India worth ₹757 crore (US$95 million) including the firm's factory in Dindigul along with bank accounts under the Prevention of Money Laundering Act (PMLA).

2023-10

October 2023

October 2023 holds importance for the activities associated with Amway.

2023-12

December 2023

December 2023 could be a crucial time for the mentioned events or activities.

2024-03-25

Amway plans $127.6M expansion in West Michigan

Amway announces a $127.6 million expansion project in West Michigan, showcasing their commitment to growth and development in the region.

2024-03-27

Amway Plans $127.6M Expansion in West Michigan

Amway announced a substantial $127.6 million expansion project in West Michigan, showcasing the company's commitment to growth and development.