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    Top Companies Report

    11. Amway

    ...

    11. Amway
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    06.30.17
    Ada, MI
    www.amway.com

    Sales: $2.8 billion for home and personal care products.

    Corporate sales: $8.8 billion.

    Key Personnel: Steve Van Andel, chairman; Doug DeVos, president; Michael Cazer, chief operating officer; Su Jung Bae, chief marketing officer; Samir Behl, regional president, Europe, Africa and India; Mark Beiderwieden, regional president, Asia Pacific; George D. Calvert, PhD, chief supply chain and R&D officer; Gan Chee Eng, regional president, greater China; Candace Matthews, regional president, the Americas; Michael Mohr, general counsel and secretary; Michael Nelson, chief administrative officer; John Parker chief sales officer; Bill Payne, vice chairman; Jim Payne, vice chairman; Kelly Savage, chief human resource officer; Mark Stevens, chief financial officer; Alex Yeung, chief information officer.

    Major Products: Artistry, Body Blends, Clear.now, Personal Accents and Tolsom skin care and cosmetics; Body Series personal care; Glister oral care; Legacy of Clean home care.

    New Products: G&H bath and body care; Artistry—Exact Fit Longwearing Foundation, Signature Color eye and cheek kit; Exact Fit Beauty Balm Perfecting Primer, Ideal Radiance Illuminating CC Cream, Essentials makeup removing wipes, Polishing Exfoliant, Light Lotion, Deep Cleansing Mask, Essentials 3-Step Bundles, Essentials 2-Step Bundles, Luxe Metallic Eye Shadow Trio.

    Comments: Sales of household and personal care products fell more than 7% last year, in line with a corporate sales decline of 7%, too, to $8.8 billion. It marked the third year in a row that the privately-held Amway reported a decline in sales.

    “Across the world, Amway did well in 2016,” insisted Amway chairman Steve Van Andel.  “We experienced sales growth in several top markets, saw double-digit percentage growth in nine additional markets, and continued to evolve the business in China as we seek to take advantage of shifting market conditions and achieve the market’s long-term growth potential.

    “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.”

    The 2016 drop in sales was the smallest in three years, and, despite the decline, Amway remains the biggest player in the direct sales industry. Beauty and personal care sales accounted for 25% of Amway’s revenue, while home care added just 7%. The top 10 markets for Amway in 2016 were China, US, South Korea, Japan, Thailand, Taiwan, India, Malaysia, Russia and Hong Kong.

    In April, Amway started rolling out G&H, billed as naturally inspired and thoughtfully made bath and body care for the whole family. The range includes a dozen products—bar soaps, deodorant, hand creams and body washes, etc.—in three collections (Nourish, Protect and Refresh), all featuring naturally inspired ingredients and eco-sensitive packaging. All G&H products are manufactured using 100% wind power. Bottles and cartons are 100% recyclable and packaged in innovative bottles designed to use less overall plastic per unit. In addition, Amway is also offering eco-efficient refill pouches for multiple products.

    Amway concluded a seven-site, $100 million manufacturing expansion more than a year ago, but the company continues to make infrastructure investments. Amway recently completed a 17,000-square-foot expansion at its Quincy, MA plant.
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