Conclusion

The AMIVO website development has given UK-based IBOs an alternative, enhanced way of managing their businesses. The website rapidly attracted a significant number of IBOs keen to try the online service. Promotions helped to encourage repeat use of the site by demonstrating its unique benefits.

Today, over one third of Amway's UK business is transacted through the AMIVO UK website and it's well on the way to reaching 50% by the end of 2004. The average value of orders is 25% larger online than offline, and this has resulted in more efficient handling of orders and lower freight costs per order.

When organisations make strategic decisions they have to take into account many of the changes taking place in their business environment. This Case Study illustrates how, in a rapidly changing consumer goods industry, with IBOs facing significant competition from traditional channels of distribution, Amway has used emerging technology in a way that provides both it and its partners with a distinct advantage in the marketplace.