Amway makes major domestic market investment in $1.5m Philippines hub

By Cheryl Tay

- Last updated on GMT

My Amway Place is one of the company’s largest domestic market investments so far.
My Amway Place is one of the company’s largest domestic market investments so far.

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American direct-selling firm Amway has opened a $1.5m hub in the Philippines, with a focus on giving young business owners a leg up in the industry.

Called My Amway Place, the hub is located in Makati and positioned as a 'one-stop shop' for Amway business owners (ABOs) to receive retail support and undergo training; it also serves as the company's new Philippines headquarters.

Designed by Korean firm Anche Space Consulting Group, it is one of the company's largest domestic market investments so far.

It features a café on the first storey, a shop carrying products from Amway's brands on the second storey, and a training and events centre on the fifth storey.

Amway Philippines country manager Leni Olmedo told us that the development would help the firm tap into unique national trends: "The Philippines has a very young population — about 70% is below 35 years old, and our economy is one of the fastest-growing in South East Asia.

"It's not surprising that the biggest market trends are digital, and many of our business owners focus on creating digital programmes, maintaining a social media presence, and marketing mobile apps to their clientele."

Encouraging entrepreneurship

Having an all-in-one centre where ABOs can hold meetings with both colleagues and clients, attend training programmes, organise events, offer customer care, and introduce buyers to their products would help keep its members motivated, she added.

"We conduct monthly reviews for each of our ABOs," ​she said.

"It's important to us not just to know if their profits have increased, but if they are expanding their customer bases and product portfolios, maintaining sustainable business models and practices, and offering products and services that will actually benefit their buyers.

"We aren't interested only in financial gains; we want to offer opportunities to entrepreneurs who are committed to customer welfare."

Is the price right?

Another vital aspect of Amway Philippines' business strategy, Olmedo said, is ensuring affordability for the local market.

"The Philippines is largely lower-middle to middle class, and in this market, Amway used to be considered a company whose ABOs sold higher-end products.

"We've managed to change that perception over the years by addressing not just prices but also the value of the products we carry, especially in the area of skincare, which is one of the biggest sales drivers in the Philippines."

At the moment, Amway Philippines has 60,000 active distributors, and according to Olmedo, it hopes to double its number of platinum-level ABOs and overall revenue within the next five years.

My Amway Place contains the firm's fifth shop in the country, where it employs 80 people and offers delivery services.

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