1. Because of FTC Regulations, Quixtar is required to report how much each of their individual business operators (IBOs) make. In 2005, the mean average income from Quixtar for each IBO was only $115 per month. The real figure is much lower because Quixtar only counted IBOs in which they considered “active” by some arbitrary measure. This number does also not factor in any expenses that the employee may have paid for such as motivational materials or advertising.
2. Many high level Quixtar IBOs make much more on selling promotional and motivational materials to their down-line than they actually do by selling Quixtar products. Dateline NBC uncovered this interesting bit of information in 2004.
3. 66% of Quixtar IBO’s drop out the first year. Some Quixtar IBOs will be quick to tell you that this is because not everyone is cut to be in sales. However if it were such a lucrative and worthwhile opportunity, wouldn’t more people find success in it?
4. Quixtar & Amway are the exact same company. Quixtar was created in 1999 by the same two men which founded Amway in 1959. Amway’s image was so tarnished from years of FTC investigations and public criticisms that the company had to start over under a new name.
5. Quixtar IBOs use deceptive marketing techniques. People in the business who are trying to create a down line are taught to use vague and deceptive means in order to lure potential IBOs into business meetings. There are many personal stories which you can read online about very bad experience people have had with Quixtar IBOs using deceptive marketing techniques to recruit them.
6. Products which Quixtar sells and markets are consistently more expensive than their big box store alternatives. For every consumable item that Quixtar sells, there is a comparable product which can be bought cheaper at WalMart or CostCo. With Quixtar products, you have to pay in profit to the Quixtar company, a percentage for the IBO, as well as shipping. These added cost are built into the prices of Quixtar products, which will always make them more expensive than their big box store alternatives.
7. Quixtar does not release any information about effective hourly wages. Quixtar tells us that the average IBO only makes $115 a month on the system, yet releases nothing about how long people work to get that $115. Some people could be working for just a few dollars an hour, or less!
8. Quixtar admitted that they have been “Google Bombing”, or making specific changes to their website so that they would be more prominently featured in search results. This is considered to be inappropriate business practices by most technology users.
9. Quixtar is a pyramid scheme. Although the FTC ruled in 1979 that Amway was not technically a pyramid scheme because there were no direct payments made for recruiting new sellers, Quixtar IBOs and Amway Sellers are given a higher percentage of sales when they recruit more people. Quixtar IBOs are encouraged to recruit more Quixtar IBOs because they have a financial intensive to do so.
10. It’s all about recruiting. The only way to make large sums of money through Quixtar over long periods is to have a very large and successful down line. There are whole companies dedicated to creating large Quixtar down lines, they often refer to themselves as teams. These companies often sell their IBOs on motivational materials which often make the companies more than the actual sales of Quixtar products.
