Thanks for dropping by to check out my Ambit Energy Business Review. Ambit Energy uses the MLM model to market its business. You could have landed on this page for several reasons:
- You want to become an Independent Representative of their MLM Program (Consultant)
- You are already an Independent Representative and wish to improve your results
- You want to replace your current electricity provider
- You want to replace your current gas provider
- You want to install solar panels on your roof
No matter what caught your interest you will find the information provided here invaluable as you learn more about the following:
- The Company Details
- What is the business about
- How does their business work
- Pros & Cons
- Is This Right For You, either as a customer or a business
The Company’s Details
- Founders: Jere W. Thompson Jr. & Chris Chamblis
- Founded in 2006
- Purchased by Vistra Energy in November 2019 for $475 Million and working capital. NY Stock Exchange (VST)
- Ambit is located in Dallas, Texas
- Serves 1.1 Million Customers in 17 States. Hence, it operates only in the US.
- Website: https://www.ambitenergy.com/
What Is The Business About
Ambit took advantage of energy deregulation that started in the 1990s, to market electricity and gas to customers in 17 States that allowed it. These are, California, Connecticut, the District of Columbia, Delaware, Illinois, Massachusetts, Maryland, Maine, Michigan, Montana, New Hampshire, New Jersey, New York, Ohio, Pennsylvania, Rhode Island, and Texas.
When the infrastructure is owned by third parties, Ambit supplies the electricity to their grid system, and feeds the gas into their pipelines paying a fee to do that. The customers then receive their energy from Ambit through the infrastructure owned by third parties.
Ambit also is connected with the solar electric system company Sun Run. Hence, those who wish to have renewable energy can do so with Ambit.
In their 2016 financial reports Ambit Energy generated an annual revenue of $1.2 Billion. Inc. Magazine in 2010 cited Ambit Energy as the fastest growing direct selling company at the time. The Direst Selling News in 2017 ranked Ambit Energy in the 16th position out of the top 100 Direct Selling companies.
Hence, the company is doing well in the direct selling world.
Their website home page is shown below. Note that Customers and Consultants have separate login tabs at the top menu bar as you would expect
Ambit has a brief video presentation that highlights what the company is about and how its business opportunity works.
Ambit provides energy services to both residential and commercial customers. In addition, they also offer solar panel installation through their solar electric system partner, Sun Run. If you are looking for lower rates I suggest you fill in their inquiry form to get a quotation and compare that with the rates you are currently receiving.
Ambit are also targeting entrepreneurs who want to become consultants and generate sales through their own efforts as well as the efforts of other consultants they recruit into their organization typical of how a MLM system works. This is explained in the next section.
How Does The Business Work
Ambit markets its energy products through a network of consultants using the Multilevel Marketing (MLM) sales model. One of the early pioneers of MLM who became a behemoth in this industry was Amway.
Since almost everyone needs and uses energy they have to make regular payments for electricity and it is piped in to their home, gas.
The unique selling proposition of Ambit is to help customers save money they spend for energy. They also have a plan where any of its consultants and customers can get their energy for free.
Ambit states a consultant can earn money three ways:
- Bonuses for signing up customers
- Bonuses when the consultants you recruit into your organization sign up customers
- Residual income that comes from the customers regular payments for the energy they purchase from Ambit
1 – Bonuses For Signing Up Customers
A customer point system is used to calculate how much a consultant earns. For example, when a consultant becomes a customer, they earn 1 point. When the business building website is set up the consultant earns 2 more points. When you sign up two more customers within the first 4 weeks, the consultant earns 2 more points. This all adds up to 5 points qualifying the consultant for their first bonus of $100.
When the consultant signs up 5 more customers they will earn another bonus of $100. The more customers signed up the more bonuses earned up to a maximum of $400.
2 – Bonuses When Their Team Signs Up Customers
When a consultant signs up a new consultant and is helped to sign up new customers, the new consultant will earn $100. And the consultant sponsor will also earn $100.
These bonuses keep on adding up as a consultant meets the requirements to get promoted up to 4 consultant levels shown below:
- Regional – $55 in additional bonuses
- Senior – $135 in additional bonuses
- Executive – $215 in additional bonuses
- National – $240 in additional bonuses
3 – Long Term Residual Income
A consultant earns residual income not only from their customers monthly bill payments, but also from the customers signed up by the consultants they recruited into the business going down 7 levels deep.
The Compensation Plan Explained
You can watch a high level video presentation on how all of this works. The math is rather complicated hence it’s best to let the video do the job of explaining it.
A scenario is provided that shows how it is possible to earn over $10K a month. Before you get all excited let me tell you what it costs to become a consultant for Ambit Energy.
- $429 sign up fee for the tools to start your business including your business building website
- $24.95 a month for the business management system
Pros & Cons
- You can save money on energy usage being a customer
- You can earn money by signing up customers
- You can earn even more money by signing up consultants and helping them sign up customers
- You can earn residual income when customers pay their bills
- The high upfront sign up fee
- A consultant is limited to $400 on personal customer sign ups
- In order to earn more income, a consultant must build a network of other consultants to generate sales
- Fear and discomfort in selling to others as well as recruiting other consultants
- The vast majority of consultants don’t earn enough
Is This Right For You?
I shall talk about two angles. Customer and/or Consultant.
Ambit Energy is an innovative company. They are operational in only 17 States. In order to be a customer you need to reside in one of these States.
Before you decided to change your energy provider for either gas or electricity, I suggest you compare the rates they give you in the quotation with what you are currently paying. If you decide to make the switch to Ambit, it would be a good idea to find out it there are any hidden charges such as a fee for using the infrastructure of your existing providers. That should be factored into price comparison.
If you feel there are savings and that amount is attractive to you, go ahead and make the switch. You have nothing to loose in getting a quote from Ambit.
Ambit has a form on their website you can fill in to get a quotation shown below. You can also control your account from anywhere using your computer or mobile devices.
Most MLM businesses have only a small percentage of those who sign up that make any decent money. It is possible to earn good money in MLM. But you have to work very hard at it and have what it takes to experience a lot of rejection.; It is only the persistent consultant who works closely with their upline leaders who have a chance to make it.
Sadly, most consultants give up pursuing the business and remain as customers only.
A Better Way To Make Money – Online!
May I ask if you landed on this page as an Ambit MLM Consultant? Or involved in MLM with any their company? There is a better way to make money that has none of the disadvantages of MLM.
- You don’t have to ask your family and friends to join
- You don’t have to recruit anyone into your business
- You don’t have to go to meetings
- You don’t have to “invest” your money going to conventions
- You don’t have to make minimum purchases of the product each month to qualify for commissions
- You don’t have to pay any upfront sign up fees
Here are some good things about it:
- You can do this business all by yourself
- You can do it from your computer
- You can scale it bigger with little extra effort
- You can set your own earning limits
- You also learn marketable skills
In its basic form Affiliate Marketing is when you help another person make a buying decision about a product. They go to the store and buy it. The store gives you a commission. Only fair, right?
It doesn’t happen quite that way. A structure is necessary to track the transaction, for this to work. Thousands of retail companies know that they alone cannot reach all those who may be interested in their products. It is even more than reaching people. They need to help potential customers feel good that this particular product will work for them or meet their needs.
Advertising can do that to some extent. However, if a customer can communicate with someone else more knowledgeable about that product to help them make a buying decision wouldn’t they feel better about their purchase?
That is how this whole field of Affiliate Marketing blossomed.
I wrote an article that compares MLM to Affiliate Marketing. I suggest you check that out. It will be quite revealing and most likely help you to make a decision which one is right for you. If you are in MLM now, or even a consultant in Ambit how are you doing? Let me know in the comments section below.
What Do You Need To Start An Affiliate Marketing Business will help you get started with Affiliate Marketing.
You can build a website where you help others find solutions for a problem using products you write about. People also like to buy things for fun. And you can help them make an informed decision to buy or not to buy.
When they decide to buy, they can go to the supplier’s website directly by clicking a link on your website. You earn a commission from the purchases they make.
How does this sound to you?
How would you like to start right now? Does the thought of building your own website and have it hosted for free sound like something you would like to do? At the very least by going through the process you will know if this is right for you.
Let me warn you that any new venture doesn’t become a success overnight. It takes education and practice to succeed. A little mentoring can help too. One trait that all successful people have is they never give up. They know they need to learn and make mistakes to help them learn what not to do, as well as what to do, before success can be achieved.
Are you willing to give it a go? Let me give you that link again:
What Do You Need To Start An Affiliate Marketing Business
I hope you were happy with the information I provided you on Ambit Energy. Let me know what you think in the comments section below. If you have any questions about Ambit or Affiliate Marketing, please ask me. I’ll be happy to answer you.
In the meantime I wish you the very best outcome in whatever you do.
14 thoughts on “Ambit Energy Business Review – Is Ambit Right For You?”
As good as this company sounds and as helpful has they seem to be to a lot of people, the idea behind their business model just doesn’t cut it for me. I don’t like the idea of the company using an MLM business model because the truth is that it doesn’t pay very well for a lot of people who do not know how to recruit or that are not very sociable. I’m happy you have this information because I was already considering joining the platform.
When deregulation occurred it was amazing how several energy companies stepped into the fray. Ambit is just one of them. I also don’t like the thought of using utilities as a vehicle for MLM.
If Ambit Energy didn’t have a cap on personal sails I would have recommended using the affiliate marketing process to generate sales. But they force its consultants to build a team since the maximum personal sales points is limited to whatever earns $400 max!
There is no doubt that Wealthy Affiliate provides the best approach to create ones own business. That is why I offered that option to anyone considering Ambit as a business.
Thanks for your comments.
This is a very unique field that I feel with proper planning and diligence in work, success is attainable.
To be honest,this is the first time I am seeing an electricity MLM business offer that you shared here. However, without removing the risk factor that is associated with MLM businesses, I feel it would be wise to invest in a platform like Wealthy Affiliate instead, that provides superior earning options while teaching marketing and sales skills as well.
Thanks for your comment. I agree that the MLM option makes Ambit a risky way to earn an income, And that Wealthy Affiliate is far better to develop a business based on affiliate marketing. That’s the reason I offered that option at the end.
All the best to you.
It always feel great to visit your site and I love the information I have gotten from it once again. Ambit energy business is really nice and I like its various ways at which one can benefit from it by getting involved in the business.
However, it would be better to go into the MLM program and and build a good downline where you stand to benefit a lot. That’s where I will advise most people to go. Being a customer and having the opportunity of lower light bills to pay isn’t bad if you keep on bringing in new members as well.
For me, the high membership fee,makes sense to go into their MLM program to earn some money as an offset.
Glad to hear you like visiting my website for the information I provide.
The high membership fee only applies if you want to sell its energy products. Customers do not have to pay any membership fees, Just thought I’d clarify that point.
Knowing that would you still join their MLM program?
All the best to you.
Edwin, thank you for the comprehensive analysis of the Ambit opportunities. I found it thorough and informative and there are certainly some attractions in the bonus model.
I have something of an allergic reaction to the MLM style of business, given my own rather tainted experience. I searched for many years to find something that would provide the same promised benefits that MLM provides (but sadly seldom delivers on in my experience).
Where I am leading to here, is that I did discover Affiliate Marketing and I have not looked back since. There are a number of good companies out there, some better than others, and some world leading.
So from a personal experience perspective, having tried both models, I would certainly recommend the latter, rather than the former to your readers, but hey each to their own, the important thing is to do the research and due diligence before deciding.
Thanks again for a really well written balanced analysis.
Glad you enjoyed reading my comprehensive analysis of Ambit Energy. I also have misgivings of MLM opportunities working out for most people. Hence I wouldn’t join their MLM program.
However, if I found out that their electricity and gas rates were significantly less than what I am paying now, I would consider switching.
Thanks for your well thought out comments.
Hi you had so much information that I bookmarked to continue reading later. However on the subject of, affiliation for electricity contract I am interested. There is only one problem that they are not from the USA, but if by chance they decide to broaden their operations. I will be happy to hear from you. The business record is consistently good. Hello for now and good job.👍
Ambit Energy doesn’t offer an affiliate program. Instead they only have the MLM model.
I was surprised you didn’t read my account that they are based in Texas. And that they are only available in 17 States. Can you enlighten me why you concluded they were not available in the US? Did you read my whole article before commenting?
Normally I wouldn’t approve a comment if I thought the reader didn’t read my article sufficiently to give me accurate comments. In this case I will give you a break and approve it.
Just a word of advice. When you give comments, I suggest you read the whole article first.
All the best to you.
Hi Edwin. I have been excited about joining the Ambit Energy business. But your article has put my feet back on the ground. I know that the high upfront sign up fee is difficult for me to reach. And I also know that many consultants don’t earn enough.
Thanks for introducing me to the concept of affiliate marketing. I’ll check that alternative. Thanks!
Thanks for your comments. Glad I was able to help you make a decision regarding Ambit Energy. Affiliate Marketing is a better option than MLM as there is no sign up fees for affiliate companies.
However, some of the companies that offer affiliate programs do have time limits where they expect a sale, otherwise they will end their agreement with you. Of course you can rejoin. But that time limit will start again.
Wealthy Affiliate is a great company that teaches us to make sales. Hence this should not be a problem if you learned the trade of affiliate marketing through their training program.
Al the best to you.
Thank you so much for sharing such an informative article with us. I really enjoyed this post. I greatly appreciated how you have discussed the details about Ambit Energy.
I’ve been doing research on this and I like your specific points on Ambit Energy. I’ve read lots of articles on this but yours is the first that states Ambit is also targeting entrepreneurs who want to become consultants and generate sales through their own efforts.
I learned that Ambit Energy Business markets its energy products through a network of consultants using the Multilevel Marketing sales model. I have learned a lot from this article. I’m so impressed. Thanks for presenting the information beautifully.
Lastly, I would like to share this post on my social media so everyone can know about Ambit Energy. Thanks
Glad you liked my article on Ambit Energy. By all means you can share my post with others in your social media.