The Company: Ambit Energy
Current CEO: Jere Thompson
Startup Cost: $429 + $24.95 p/m
The company was founded in 2006 by Chris Chambless and Jere Thompson, Jr. and specialises in electricity and gas services through an mlm business model throughout the United States. Ambit boasts over 350,000 independent consultants and a global revenue of more than $1.5 billion every year, pretty impressive!
The Ambit Energy Business Opportunity
Upon reaching the sales video you are met with a pretty corny video by a guy that screams ‘used car salesman’, personally it was not something I bought.
You are given the opportunity to sign up as a marketing consultant and you’re able earn money in 3 main ways:
Customer & Team Bonuses- This is paid weekly and allows you to start earning quickly by getting customers into your business and sponsoring others to do the same. You can earn $100 for getting 4 customer points, from what I can tell these can be gained by signing up to an energy plan yourself and by signing up for their personal website package. You earn that same $100 for helping someone else do the same.
Residual Commissions- This is the meat and potatoes of your earnings potential, bonuses are nice but this is what you are wanting to build. The amounts you will earn with this varies according tot he market you are operating in within the US. You have 6 levels of downline that you can earn commissions on based on your downlines customer activity.
Leadership Bonuses- This is where you can earn leadership bonuses based on a new Marketing consultant (MC) signing up and getting 4 customer points within their first 4 weeks. You also get paid a residual bonus based on any MC’s customers in your downline, infinite levels deep. This is a recurring bonus based on customer activity throughout your organisation. All of the leadership bonuses depend on what level you are at within the organisation, there are 5 positions within the company.
To get qualified as a marketing consultant will cost you $429 as a one time fee and $24.95 per month for your ‘personal business building system’.
There are no minimum purchase requirements to stay qualified. However in order to earn 4 levels deep in your downline, which will be mandatory if you want to make any real money, you need to personally enrol 10 customers and have them stay active. To earn the whole 6 levels you need to maintain 20 personally sponsored customers that stay active. I can’t say this is a bad thing since it forces reps to focus on promoting the product first and foremost to stay qualified, focus on product is always a good thing with mlm’s.
The Real Costs In Being A Rep
- $429 to join
- $24.95 per month for a business kit
- Cost of an energy plan, most people will sign up as it just makes sense. It also counts as customer points, which in turn count for bonuses and other qualifying requirements
- Various costs associated with attending conventions and seminars, while not mandatory they are generally heavily pushed in my experience
- Great product that people need, no storing useless overpriced junk in your garage
- Easy to understand compensation plan with a focus on the product
- Not a lot of hyped up income claims
- No big maintenance requirements
- Restricted to the US
- An Alarming amount of complaints about Ambit Energy online to do with the product itself
- You are being taught how to build your business by approaching friends and family, not getting targeted leads
Ambit Energy Complaints
There have been nearly 600 complaints in the last 3 years alone with the BBB, that is alarming! They are due to the product itself and in particular, their billing system. Let me explain…
When a customer signs up to a plan they receive what they ordered and all is well, however if they do not renew their contract by choosing another plan or sticking with their current plan, they are automatically switched over to a MUCH higher rate plan. This new plan is a variable plan instead of a fixed rate plan and as I said, is much higher. This has caused many of the complaints and does beg the question, is this company legally yet craftily misleading people? I’ll let you be the judge of that one.
Why Most People Fail With Ambit Energy As A Consultant
One of the core reasons people fail with this company and other mlm companies is that you are not being shown how to build your business the right way. You are being shown how to get a few people, who may or may not get a few people.
This sounds good in theory but it simply does not work and will not build you the kind of income you are looking for. You are being shown how to leverage a trusted relationship to sell them into your business, plain and simple. There is no sugar coating it. This kind of method still makes the top cats wealthy because over a large number of people’s efforts throughout the entire organisation, they are still making money.
But for YOU, this is a very average way to go about building your business in my opinion. At best your customers and referrals will dry up, it really is that simple. You can hear all the motivational hype in the world and dream all day long, but without leads your business will die. This is a fact. The top earners know this, and have strategies in place that took them years to learn and develop. Do not be fooled into thinking you’ll just get a few people who will get a few and magically your business will just grow.
This is definitely not the worst company around and has some really great points. They have a good focus on the product and an easy to understand compensation plan which are important elements in weighing up this kind of opportunity. There is however, an alarming number of complaints and they teach the warm market approach which I’m personally not keen on. Whatever you decide, I wish you the best of success and hope this article ahas been helpful!