Amway plays up R&D, charity efforts in China

Admin   |   21 July, 2015   |   637   |   3980

THIS year marks the 20th anniversary of the establishment of Amway (China), and the world’s biggest direct-selling company has been stepping up quality production as well as leveraging Internet technologies to better connect with consumers.

The US company has been viewing China not only as an important market and revenue source, but also an important battlefield and forerunner for its new research and development efforts.

Amway has invested in a number of research and development facilities in China and has expanded its manufacturing lines since it first set up a factory in Guangzhou 23 years ago.

Amway deeply acknowledges China’s economic reform efforts and has been beefing up local research efforts to help China upgrade its manufacturing industry.

Amway has launched a series of nutritional food products for local consumers and has incorporated Chinese herbal medicine into its nutritional supplements for global consumers.

In 2012, Amway announced a 600-million-yuan (US$95 million) investment plan in China to expand its production site in the Guangzhou Economic and Technological Development District, and establish a research and development center in Wuxi, Jiangsu Province.

The China Botanical Research Center in Wuxi also uses cutting-edge research techniques to bring the benefits of traditional Chinese medicine to a wide range of products for the international market.

In this way, its cutting-edge products will not only serve local markets but global consumers as well.

Gan Chee Eng, president of Amway China, said on the celebration ceremony for the 80th anniversary of Amway Nutrilite that in the future Amway aims to provide tailor-made nutrition and health care services for different types of consumers.

In Amway’s Guangzhou manufacturing site, it introduced a strict quality assurance program where as many as 600,000 tests were conducted at its quality guarantee lab to make sure its products are of prime quality.

The Internet industry and smart devices have changed the way consumers communicate with each other and share product information. Amway also grabbed the opportunity to stay closer to consumers.

Last October, Amway launched its product exhibition center in Shanghai in an effort to allow consumers a better understanding of its products and business model.

Apart from key cities like Shanghai and Shenzhen, Amway also set up exhibition halls in second or third-tier cities as offline stores still serve as an indispensable channel for consumers to interact and try Amway products.

The Internet has made the direct- selling business more effective and accurate and Amway has already embraced the trend.

Based on its cloud computing technologies, Amway has allowed its direct-selling partners easier access to their business performance evaluation as well as new product information and the latest marketing campaigns.

Last year, Amway’s official WeChat account was named one of the outstanding cases by WeChat’s official team with more than 600,000 followers.

Apart from driving business growth, Amway China has always been an active player in the corporate social responsibility sector.

In 2011, Amway established the Amway Charity Foundation with 100 million yuan after registering with the Ministry of Civil Affairs. It has initiated a number of projects such as Spring Sprout Project, Rainbow Project and Sunshine Project for rural boarding students in poverty stricken areas, left-behind children as well as migrant children living in cities.

It has also carried out a series of charitable activities in collaboration with the Shanghai Charitable Fund and the Shanghai Committee of the Communist Youth League of China.

Steve Van Andel, chairman of Amway Corporation, also served as the chairman of the US Chamber of Commerce.

As a member of the US Chamber of Commerce, Amway also joined the “Make a different Alliance” by the US Chamber of Commerce in 2011 and organized volunteers to engage in green planting activities. In June 2015, as the sponsor of Shanghai AmCham CSR events, Amway cooperated with AmCham, and held the 2015 AmCham CSR Innovation Fair in Amway Experience Center. Amway will seek more breakthroughs in terms of Corporate-Chamber cooperation in the future.