Published in Manufacturing

Amway sales rebounded in 2021 following COVID disruption, layoffs

BY Wednesday, April 20, 2022 01:58pm

ADA — Sales last year for multi-level marketing heavyweight Amway Corp. increased slightly from 2020, anchored by its popular brand of vitamins, minerals and dietary supplements.

In Amway’s yearly sales announcement, which was accompanied by its 2021 Global Impact Report, the company reported $8.9 billion in sales last year, a 4-percent increase from 2020 during the most restrictive phases of the COVID-19 pandemic.

Amway Corp. CEO Milind Pant COURTESY PHOTO

Amway’s Nutrilite brand, which sells various vitamins and supplements, accounted for 53 percent of the company’s total sales. Nutrilite Double X, a vitamin that features a proprietary blend of botanical extracts, stood out as the marquee product for the brand.

“Everything we accomplished in 2021 was because of the dedication, passion and agility of Amway employees and Amway business owners across the world,” Amway CEO Milind Pant said in an announcement. “Amway is powered by people, an incredibly diverse group bound together by our common desire to help people live better, healthier lives.”

Amway also owns XS Energy LLC, which manufactures and sells XS Energy Drink. Last year was the first year in operation for the company’s new $15 million XS Experience Center, a highly automated production facility located at the Amway world headquarters that produces the beverage.

Workers at the 60,000-square-foot facility are able to produce 500 cans of the energy drink every minute.

Despite the 2021 sales increase, the COVID-19 pandemic already did its share of damage to the world’s largest direct seller. In March 2021, the company announced that it was cutting 6 percent of its global workforce, which equated to around 900 jobs. Most of the cuts were made to workers that held professional roles at the headquarters.

Amway also announced at the time that it would be shifting some of the Nutrilite manufacturing capacity from Buena Park, Calif. to West Michigan, creating 125 manufacturing positions along the way.

“Nutrition is our fastest-growing category and will lead us into our envisioned future. We aim to continue being an entrepreneur-led health and wellness company; and to manufacture in the United States, the preferred country of origin for these products across the world,” the company stated in a memo sent to employees in March of last year.

The company also had to take action in light of Russia’s invasion of Ukraine, two countries where Amway does business.

Amway team members in Ukraine are helping to donate and distribute food, beverage and personal care items while Amway suspended operations in Russia.

“The continuing war, along with the global legal and operational environment, makes it impossible to continue business as we have been in Russia, and so we are announcing the immediate suspension of product imports and will be pausing other operations as well,” the company stated in an announcement last month.

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