Back in 2010, Inc. Magazine named Ambit Energy the fastest-growing private company in America. This was only four years after Jere Thompson and Chris Chambless jumped on the US energy deregulation and founded this somewhat unusual MLM.
Now, Ambit Energy is worth over $1 billion and offers natural gas, electricity, and solar power in multiple states across the nation (as well as Canada and Japan). Can jumping on board as an affiliate of an energy company make you money or is it a surefire way to waste your own energy?
As per usual, our goal at Legendary Marketer is to guide you through the process of building an online business. These MLMs are constantly marketing themselves as a great way to create your very own online empire. We're here to talk about whether or not that's true.
Keep reading to find out everything you need to know about Ambit Energy, from what it is to how you can make the most of it.
What Is Ambit Energy?
As we mentioned earlier, Ambit Energy is an unusual MLM that was founded back in 2006. We consider it unusual because while most MLMs offer tangible products (ie diet products or wellness products), Ambit offers something we tend to consider intangible: energy.
Basically, the idea is that energy is something that everyone needs, and there's no reason why you can't start selling it, yourself. Are Ambit Energy affiliates expected to learn the ins and outs of how energy works or how to, say, install a solar panel? Absolutely not.
Instead, Ambit Energy affiliates are there to explain the perks of switching to Ambit. You'll need to learn all about Ambit's contracts, how they can fulfill various energy-usage needs, how their pricing works–basically, Ambit affiliates take care of all things sales-related.
How Much Money Can You Make as an Ambit Energy Affiliate?
Energy is a massive industry and, as you can see so far, entering into this line of work has gone quite well for Thompson and Chambless. Does that mean that you can get a big piece of the energy pie by signing on as an Ambit Energy affiliate? It's not a guarantee.
Like most MLMs, Ambit Energy offers their affiliates two key ways to build up an income. The first is good old commission: you sign up a customer, you get a portion of their bill of sale. The second is recruitment: you're not just selling energy to new customers, you're bringing on new sales team members.
How much does this add up to on average? Based on a recent Ambit Energy income disclosure statement, over 90% of Ambit Energy affiliates are selling at the lowest tier: Marketing IC. On average, Marketing IC members are making $110 per year, although apparently there is at least one Marketing IC member that is making six figures.
$110 per year isn't exactly enough to build a retirement plan on. So, what gives? Why might Ambit Energy appeal to you and what makes it so hard to get your Ambit Energy gig up and running?
Why Isn't Ambit Energy Considered a Scam?
Ambit Energy isn't considered a scam because it offers an actual service that actual customers buy. In order to qualify as a pyramid scheme (or a scam), a business would have to rely almost entirely on its internal revenue. That means that all or most of the money would have to come from affiliates who are just trying to stay in the game.
Fortunately, Ambit Energy does make a great deal of money from the energy packages they offer. Consumers can choose between a varied, fixed, or green energy package. The appeal for most of them is that in the early stages, Ambit Energy bills tend to be far lower than the competition.
At the end of the day, it's not a bad business model and it's not a bad service. It's just not the easiest to master, especially if you're hoping to see that six-figure salary some MLM affiliates like to brag about online.
What Makes the Ambit Energy Business Model Difficult to Master?
If Ambit Energy is offering a decent service and it isn't a scam, why is it so difficult to make four figures, much less five or six? Selling consumers on switching a major utility isn't as simple as offering a low-cost, impulse-buy product. Plus, it's easy to saturate a small market when what you have to offer is a contract for a service, not a product line.
How much you make each month with Ambit Energy comes down to how many customers you and your downstream have signed up. Most of the time, those customers are locked into a two-year contract, although some contracts allow customers to terminate early if they're unsatisfied. How do you make sure that you keep thousands of people happy with Ambit Energy?
The key is to look beyond your own social circle and even your own community. Selling an energy plan isn't exactly glamorous, so tapping into the right audience presents unique challenges you may not find with other MLMs. That being said, if you can crack the energy marketing code, you can start to see some serious numbers in your bank account.
Go Beyond Our Ambit Energy Review and Boost Your Marketing Techniques
Ambit Energy is one of the more unusual MLMs that presents a unique challenge to affiliates. At Legendary Marketer, we rise to every challenge and leave no stone unturned. That's why we're here to help.
If you want to boost your marketing techniques, we suggest taking our crash course in all things marketing. Watch this free video and find out everything you need to know about building an online presence, building a massive audience, and building your income.