MLM - Network Marketing Blog

What Makes Quixtar A "Great Opportunity"?

I just saw a comment from a reader that suggested that Quixtar is a "great opportunity".  I see this statement a lot, but I say that the facts show something entirely different.  The facts show a poor compensation plan that pays out 25% less on the wholesale volume than the top growing companies today. I see thousands of me-too products that differentiate themselves only by being priced higher than everyone else and I see arguably the worst reputation in the industry.

Compare Quixtar to a job and Quixtar can look pretty good.  Compare Quixtar to the fast growing and well managed Network Marketing companies of 2008 and Quixtar looks pretty bad.

So, you know my perspective, now lets see your perspective...

What Makes Quixtar A Great Opportunity?

Orrin Woodward Lowers Tools Prices By 33% To His MonaVie Team

According to a recent post at Orrin Woodward's blog, the TEAM is lowering tool prices by 1/3 on tools related to building MonaVie.

The most telling (to me) is the following...

MonaVie rewards so lucratively in their pay plan that the MonaVie Executive Policy Council thought it was time to start the virtuous cycle we have been talking about.  Lower prices leads to a better education of the new person on business building techniques and principles.

You see, I believe that the profit motive in the tools system is a direct result of one of the worst compensation plans in Network Marketing.  Quixtar/Amway diamonds work very hard to get to their level of success and it's human nature to want to be rewarded equitably for your labor. I wouldn't be surprised if Orrin made double his Quixtar income with less people doing less volume in his new business.  That is not so much a testament to MonaVie (although they are certainly growing!) as it is a condemnation of Quixtar's plan.  Orrin could have picked a number of great companies and accomplished the same goal.

If Quixtar truly rewarded their associates in an equitable fashion, there would be no need for the diamonds to replace supplement their income with an unequitable amount of tool money.

 

Quixtar Success?

Just read this on former Quixtar Executive Diamond and founder of the TEAM, Orrin Woodward's blog:

My letter to Doug Devos clearly explains that over 600,000 people who speak English as a first language signed up into Quixtar in 1999 and 2000.  Out of these 600,000 IBO’s (misnomer?) only six achieved Founders Emerald or above by the end of 2004.  This is 4 to 5 years and only 1 out of 100,000 achieved $87,000 annual income from the plan with both the husband and wife working exhaustively.  Out of those six who achieved Founders Emerald by 2005, five were on the Team – Tim Marks (Founders Diamond), Doug Stroh, Mike Foos, Matt Abraham, Kirk Birtles were all founders emerald or above by the end of 2004. (I believe this is the five.)

If this is not true, Amway's legal team would be all over Woodward, leading me to believe that the statistics are true.

Your thoughts?

Amway Buys MonaVie?

Ugh.  I can't believe I thought of this April Fools Joke 3 days too late.

Imagine the fun created by an Amway buyout of MonaVie...

On a serious note, I have often thought about why Amway doesn't buy up and coming Network Marketing companies. Tupperware actually owns 8 brands (I think all through acquisition) including BeautiControl and the acquisitions have spurred growth in a number of markets.

Fixing Quixtar - Amway in North America

Critics often get criticized for being negative or not offering solutions so I thought I would take some time to offer a (partial) solution for Amway/Quixtar in North America.

Here are what I see as the biggest issues with Quixtar/Amway in North America (not in any order):

1. Outdated Compensation
2. Poor Reputation
3. Lack of Product Focus
4. High Prices

Now for my solution:

1. Break up Amway - Quixtar (North America) into four new Network Marketing companies:

• XS Energy
• Artistry
• Nutrilite
• Amway

This actually helps solve three of the four major issues, lack of product focus, reputation and compensation.  Each product focused company could come out with an updated compensation plan with a focus on balance and the best reward strategy for the product line.

It is should be no secret that the fastest growing companies in Network Marketing over the last five years have been single product or narrow product line focused (such as weight loss).  Narrowing the product focus strips away confusion and allows the unique products to shine.

The reputation will be helped by the renewed focus on products and less focus on the "2-5 year plan".

2. Reduce prices and get PV/BV back to a reasonable level ($3 to 1PV is not reasonable). The PV/BV situation overlaps with compensation but it is also needs to be mentioned with pricing.  You can't drop the prices by 30% and then drop the PV/BV associates with the products by 50% and claim to now magically have competitive pricing.

Just get reasonable here.  Mercedes has proven that you don't have to be the cheapest to be successful, but there is a line where the average consumer will say: "I don't care how good you say (the product) is, I'm not paying that much for (fill in the blank - Amway Product).

3. Update the compensation plan for the 21st century.  Adding $60 million in new bonuses and then making them twice as hard to achieve is not updating the plan.  Add some money for the newest growing associate.  The IBOAI propaganda is suggesting that Quixtar/Amway now has the best compensation plan in the industry. 

Uh, yeah.  If I was driving a car from 1959 and claimed that it got better gas mileage than a 2008 hybrid, you would laugh at me.  In the same manner, people that understand compensation plans within the industry are laughing at the IBOAI.

Lastly, this breakup would help address the core of the reputation problem by nullifying the power of the IBOAI, who haven't really represented the newest IBO in decades. 

Bo Short and Ty Tribble Merge Online Network Marketing With Face To Face Building In Max International

CHARLOTTESVILLE, VA — (MARKET WIRE) — 03/07/08 —   Bo Short and Ty Tribble have formed a groundbreaking partnership, uniting their collective expertise in the Network Marketing Industry, under the name MaxImpact International, LLC. They have affiliated their new organization with a cutting-edge Network Marketing company called Max International. The goal of their organization is to create a new paradigm for success for the millions of people that have faced the conventional challenges associated with building a network marketing organization.

According to Industry leader Ken Dunn, “The partnership of Bo Short and Ty Tribble will no doubt have people talking in the Network Marketing Industry. It’s almost like Google(TM) partnering with Costco(TM), you will get the best of online and offline training and mentorship.”

MaxImpact International, LLC has offices in the states of Washington and Virginia. They are currently building teams throughout the United States and Canada. In a recent Max International news release, Bo and Ty were recognized for their achievements in two separate categories. They were honored as Top Revenue Recruiters and Top Associate Recruiters.

Ty said, “Building a successful Network is a team effort. We are working with some of the greatest partners in the industry that truly care about the success of their teams and are passionate about assisting them as they build their independent businesses. We are honored to serve them.”

In addition, they were recently identified to be among “52 of the brightest minds inside and outside network marketing.” Included in that list were notables such as Robert Kiyosaki, Paul Zane Pilzer, and Dr. Denis Waitley.

According to Bo, “Our primary focus is to mentor individuals on our team to achieve success. We cultivate leaders, not followers. We are attracting individuals that want to build a long-term income, create value through association and establish a new paradigm of success in this industry.”

Mike Dillard, creator of “Magnetic Sponsoring” and “Building on a Budget,” commented, “Ty Tribble is one of the few networkers out there who’s really on top of the Internet marketing world… If you want to learn from one of the best, Ty’s your man…”

Rudy Ruettiger, author, speaker and the inspiration for the motion picture “RUDY,” said, “Bo Short develops great leaders. He has a talent for coaching people to attain significance in their personal and professional lives.”

For More Information Contact: MaxImpact International, LLC www.MaxImpactllc.info 1-801-461-5000

Quixtar's Non-Compete Ruled "Unenforceable"

According to this court document, Quixtar's non-compete is ruled "unenforceable".

I picked up this story via a web log called The Quixtar Whistle Blower.

No comment yet from the IBOAI, Amway, Alticor or Quixtar.

I'm no Denny Crane, so I'll ask this as a question, does this ruling allow Quixtar IBOs to leave and build a profitable business with another company if they choose to do so?

The judge basically said that because of the huge geography area, the non-compete can not be enforced.

The Insider/IBOFightBack/Amway Truth spin is that Quixtar is an Internet business and companies have enforced non-compete of this nature over large geography.

However, Quixtar isn't really an Internet business in the sense that IBOFightBack would like you to think.  The marketing and sales arm (IBO) of Quixtar has nothing (or very little) to do with the Internet.  Quixtar IBOs don't use the Internet for marketing.  The Internet is simply an ordering mechanism.  The real business happens all across the country in living rooms, dens and hotel conference rooms. 

Big loss for Quixtar.  Big gain for Quixtar IBOs who are ready to move forward and make an impact in 2008.

Question I Posed At Amway Uncensored...

Here is my question...

I see a lot of defense of the Quixtar business...if nothing else compares to it, then why hasn't it grown in North America over the last 5 years?

Direct Sales in the U.S. has doubled from 1996 to 2006.

Quixtar has stagnated around $1 Billion, no argument here about the magnitude of $1 Billion in sales, but there is ZERO growth. Why?

Post your answers at: Amway Uncensored

Quixtar 2007 Sales Results

This is less of a dip in sales than I expected but it is important to consider that there has been zero growth at Quixtar over the last 5 years...

ADA, Mich., Feb. 15 /PRNewswire/ -- Quixtar Inc. today announced fiscal 2007 sales of $1.072 billion, the fifth consecutive year in which the company surpassed the billion-dollar mark. The results represented a slight decline from the previous year's sales of $1.12 billion, which were the best in Quixtar's nine-year history.

Results were affected minimally by actions the company took to terminate the business of a few Independent Business Owners in August of 2007 after they refused to change unacceptable practices.

Quixtar Independent Business Owners (IBOs) earned $363 million in bonuses and other incentives for their business efforts in 2007, which also included $70.1 million in sales at Quixtar's Partner Stores.

In 2007, Quixtar launched a new line of nutritional snacks, juices and supplements for busy families under the Simply Nutrilite(TM) brand, as well as the new ARTISTRY(R) essentials line of skin care and cosmetics products. Quixtar.com was redesigned to improve usability and to better support IBO sales efforts, and Quixtar University was launched to provide online and aided sales and brand training to help IBOs build profitable businesses.

Since 1999, IBOs have earned nearly $2.6 billion based on total Quixtar sales of more than $7.86 billion and Partner Store sales of more than $577 million. Driven by its strong Health and Beauty brands, Quixtar again was ranked #1 in online Health and Beauty sales by Internet Retailer's "Top 500 Guide" in 2007, and 22nd overall in e-commerce.

"Our business is on the right path at the right time," said Jim Payne, Executive Vice President - Amway & Quixtar. "New leadership was brought in this year with Steve Lieberman, the new Managing Director for Quixtar who joined us in August. We also recently hired a new VP of Sales, Sandy Spielmaker, who will have a tremendous impact on our sales team."

Plans were announced in 2007 to change the business opportunity brand in North America to better leverage and align with Amway's $7 billion global business.

"We're working with IBOs to properly position our North American business within the context of the larger Amway global brand," said Lieberman. "To better support IBO efforts, we are focusing in particular on how consumers interact with our products and our brands."

"Our goal is to provide the best business opportunity in North America," said Lieberman. "From products and IBO compensation to sales training and marketing programs, everything we do in support of our IBOs is being examined to ensure we achieve that goal."

    ABOUT QUIXTAR

Based in Ada, Mich., Quixtar Inc. is part of the Alticor group of companies, founded by the DeVos and Van Andel families. Alticor is led by Steve Van Andel, Chairman, and Doug DeVos, President. Global sales for the Alticor group of companies, which include Amway, Access Business Group, Alticor Corporate Enterprises (ACE), and Quixtar, exceeded $7.1 billion in fiscal 2007.

Quixtar currently supports independent businesses in the U.S., Canada, Puerto Rico, and various trust territories and independent island nations in the Pacific and Atlantic Oceans and Caribbean Sea. Quixtar Canada Corp. headquarters are located in London, Ont., Canada.

                                                Website: http://www.quixtar.com/

Orrin Woodward on Internet Critcism

I pulled this from Orrin Woodward's Leadership Blog. Interesting commentary from Orrin on Internet Criticism (note the bold portion):

At first I took it personally, but then I realized I had to take it professionally.   I had the opportunity to go to an Atlanta Falcons football game with John Maxwell and asked him how he handled criticisms.  He told me, "Orrin always, always, always, take the high road!"  I will never forget that pearl of wisdom.  Some of the things stated had suggested motives for my behavior that were simply not true.  But I am thankful that it happened to me.  It was the first time I read the criticisms online with a spirit of confronting reality.  I asked myself, “What parts of the criticisms have an element of truth and what can we do to fix them?”   This was a humbling exercise, because I had to admit our business was not perfect and needed to be reformed in several areas.  The criticisms online were right in many areas.  I told Ken McDonald back in 2004, “It’s not the negative lies online that are killing us, but the negative truths.” He agreed and said we needed to fix them.

Orrin Woodward Teams With MonaVie?

A court injunction doesn't allow Orrin Woodward to do anything for at least another 45 days, but it looks like Orrin will bring on MonaVie as one of his suppliers in the near future.

Just a guess, but I suspect that Orrin is thinking bigger than just MonaVie.

More commentary and analysis to come soon.  Off to my son's basketball game!

Bill Gouldd Is Good For Amway

I sometimes say that Amway/Quixtar arguably has the worst reputation in the Network Marketing industry.  When I say that, I am generally speaking about companies that are still in business.

Bill Gouldd's Equinox is a prime example of a company that might have a worse reputation than Amway/Quixtar partially because they were shut down by the FTC and partially because of the owner Bill Gouldd.

Now Bill Gouldd appears to be back and attacking his detractors.  This is probably good news for Amway/Quixtar because there is now someone else out there for people to talk about.

Check out Gouldd's new web site here (fur coat, f-bombs and all).

Update: I watched most of the Bill Gouldd video and really only heard one f-bomb, the rest of the video had to do with his current lifestyle, (apparently he has done well since the demise of Equinox) and some new thing that he is keeping secret but will make billions (not MLM).

I have also spoken with a handful of people that I greatly respect in the Network Marketing industry who are familiar with Gouldd.  They all say his training is top notch.

Court Tosses Out Amway/Quixtar Arbitration?

I am not an attorney, even though I think it would be fun to play one on Boston Legal, but I think this is pretty big...

It looks like the courts ruled Amway/Quixtar Arbitration "illusory and unenforceable".

In the recent past, if you sued Amway/Quixtar you went to arbitration and the arbiters were actually trained by Amway/Quixtar employees and high level distributor leaders, leaving little hope for a win against the company.

This ruling apparently tosses out arbitration.

More at AmQuix.info

Sales At Quixtar Down - Amway Sales Up

2007 Quixtar Sales Announced...

mLive:

Sales at Quixtar, its direct-selling arm in the United States, fell slightly but still topped $1 billion for the fifth consecutive year, according to the company.

Quixtar faced a major revolt among its distribution base in 2007 as the company tried to reform business practices and weed out distributors the company said would not agree to its new terms. The dust-up resulted in lawsuits and the resignation of more than 15,000 distributors.

Alticor reiterated its plan to do away with the Quixtar name, saying it would transition back to using the Amway brand by the end of 2009.

The company said 70 percent of its Amway affiliate markets -- 39 of 55 -- posted sales increases during 2007. Alticor said such growth shows it can grow in established as well as emerging markets.

The company said sales were robust in Asia, especially China, where the government has settled regulatory uncertainties and Amway sells through 180 retail stores.

Orrin Woodward Talks About The MLM Blog and Ty Tribble

A few days ago, I wrote an article about Orrin Woodward and The TEAM and how I believe building methods that the TEAM uses would perform with a different compensation plan outside of Quixtar.

Would you believe that Orrin Woodward actually commented on my post? (Yes, I confirmed that it was actually him.) If you follow my blog closely, you might remember that Orrin's lawyer and I have had a handful of "exchanges" in the past.  I have been critical of Orrin and the TEAM in the past, but if you really look at what I have been saying all along, you will see that I am really more critical of Quixtar because of the price of their products and the poor compensation plan. 

The majority of my criticism directed at Orrin Woodward and the TEAM was because people were losing money in Quixtar and to be honest the $80-ish a month on training is not the biggest factor in that loss.

There is little doubt that the TEAM training system could use a price cut (in my opinion), but the numbers from the TEAM camp are nothing short of amazing considering the Quixtar  reputation, product pricing and compensation plan.

If done right, the TEAM concept applied to  right company will have a lot of people making thousands of dollars in Network Marketing and that is a good thing for the industry.

So, in case you missed Orrin's comments, here they are:

Ty, I have enjoyed your articles and believe you are one of the most experienced people in the MLM field. You have studied the companies and have benchmarked the best in different areas. When I look for news in the MLM area I come to your site. thanks, Orrin (Woodward)

---------

Want To Learn How I Created Over 3,500 Leads
Who Paid Me Over $10,000 To Prospect Them?

Subscribe to Ty Tribble's Success Newsletter

Orrin Woodward's TEAM Analysis II

In my last post, I talked about how Orrin Woodward's TEAM would might see great success in a Network Marketing Binary Compensation plan.

However, I should also point out that the TEAM concept (again slightly modified) would work well (perhaps better in the long run) with a Unilevel compensation plan as long as there are some additional depth bonuses. (Univera has this type of plan.)

The Unilevel plan is considered (by many) to be the most fair plan for the average person.

In the case of Univera's compensation, the added depth bonuses (called generational bonus) allows an associate to be paid (2 to 14%) as far down as six diamond level organizations in depth.

Imagine someone from the TEAM who used to spend $300/month to make 100PV, now spending $125/month to make 100PV, with every person (on their team) netting out a larger check bonus check. That is the potential of a new plan for the TEAM.

Orrin Woodward's Team Would Tear Up A Binary Plan

I was in Phoenix over the weekend at a Network Marketing event with Todd Falcone, Jeffery Combs, Erica Combs and Michael Bernoff, where I met the owner of a Network Marketing company by the name of Michael Wenniger.  Wenniger owns Fun Unlimited which is actually being re-branded as I write this.  He has a much better name coming out soon. (I'll get you the new name once I have permission). 

Anyways, I spent a few hours hanging out with Mike and talking about his company, a binary compensation plan with health and wellness products.  The biggest claim to fame for the company is their Power Pops which are candy that help people lose weight.  Chris Angel and Britney Spears have reportedly both used the candy.

The company also has a vitamin lollipop designed for children.  Pretty unique products that seem to be priced well,  (50 cents to one dollar for the weight loss and vitamin lollipops). They also have a skincare line and a new functional beverage coming out soon and they do not have an autoship requirement in order to get your check.

Now, I mentioned earlier that this company has a binary compensation plan and for those that are not clear on comp plans, a binary has two legs or teams.  Typically (not in every case) one of the legs or teams is called the "Power Leg" and is usually built by the leaders within the company, leaving others to focus on the lesser leg.

This type of compensation plan got me to thinking about Orrin Woodward's former Quixtar group called "The TEAM".  Let me say this...I don't agree with the amount of money that the TEAM charges it's members for training, but I can not argue with their ability to bring in numbers, especially into a deal as bad as Quixtar.

What I am driving at here is that if the TEAM were to apply their strategy (slightly modified) to a company like the one Mike Wenniger owns, they would tear it up.  The binary compensation plan is focused on depth.  Mike's plan also has some matching bonus money that could bring in huge checks. 

I'm not trying to broker a deal here, just pointing out that the main problem with the TEAM is probably not the amount of money that they make on training, it was probably the company they chose to affiliate with.  If the TEAM were to build a binary with the numbers they bring in, a lot of people would be making money through products moving into the hands of consumers.

Is Larry Winters Leaving Quixtar?

File this in the MLM Rumor Mill until further notice, but I have heard and noticed some interesting search engine trends that suggest that Larry Winters might be preparing to pack up and leave Quixtar.

Some are speculating that Larry was watching the Orrin Woodward/Team lawsuits to see what happens before he takes his team to another company.  The main reasoning behind the possible move is apparently Quixtar's change back to the Amway name.

Again, this is only a rumor at this point, but we have been pretty accurate in terms of Larry Winters in the past when we broke the story about Larry Winters leaving Britt World Wide for his own system, LTD.

Update:

To be more specific, I have noticed that people are finding my web site by searching "Larry Winters Leaving Quixtar".  That doesn't mean that Larry Winters is leaving Quixtar, it just means that people are curious about that subject.  In no way, shape or form am I reporting that Larry Winters is leaving Quixtar.  For all I know people could have Larry Winters confused with Orrin Woodward.

Update 2:

A couple of people seem to be threatening legal action over this post.  This is a very simple process.  If the rumor is untrue, Larry Winters, or someone that works for Larry Winters can send me an email: mlmblog@mlmblog.net, telling me that the rumor is false.  I will immediately update the post to reflect the statement.

Update 3 (final update?): 

After getting a couple of additional searches related to "larry winters new mlm", I did some additional investigation and found that Quixtar's IBOAI Board Blog has posted a response to this rumor (would have been neat if they had told me...oh well).

Here is the response:

Online rumors that Double Diamond Larry Winters is discontinuing his Quixtar business are completely false.  It's the kind of outlandish thing bloggers write when they have nothing substantive to say.

My response is that I can show proof that people are searching Google for "larry winters new mlm" and I am guessing that some of my readers think that is substantive. Again, I am not saying that Larry Winters is leaving Quixtar (or is it Amway?), just that I noticed search traffic and in that past, search traffic has been fairly accurate.

Quixtar Refuses To Pay Distributors?

Quixtar (Amway) appears to be refusing to pay bonuses to some of it's distributors.

Check this out:

November, 29, 2007

Quixtar/Alticore
7575 Fulton St. E
Ada, Mi 49355

Re: QBI Bonus and Founders Platinum Bonus

To whom it may concern,

We are writing you today to inquire about our Founders Platinum and QBI bonuses. To date, we have not received either of these bonuses. We have called your company several times to inquire about these bonuses. Each time we have encountered a similar response, “all bonuses affiliated with Team IBO’s are under review”. I didn’t realize the IBO’s affiliated with Team had different qualifications of those not affiliated with Team.

In May of ’07 my husband and I attended your Platinum Conference. We had a wonderful time, and your company laid out the red carpet for us. Your staff and the service went above and beyond to make our stay informative and enjoyable. We were informed there, by one of your staff members, that we were right on track for our QBI and Founders Platinum bonuses. According to our QBI tracking report for August of ’07, we are eligible for that bonus. To the best of my knowledge, 12 qualified months in 1 fiscal year also qualifies us for a Founders Platinum bonus.

We were independent business owners with your company for almost three years. As far as we know, we were business owners in good standing. Therefore, we fail to understand why you are holding our bonuses. As you know, the end of the year is rapidly approaching and we would greatly appreciate a response to this correspondence, in writing, which explains what exactly is being reviewed about our qualifications for these bonuses.

We appreciate your attention to this matter.

Sincerely,

Dominic & Terry Zettel
4093360

------------------------------------------------------
(AMQUIX RESPONSE:)

From: Julie.Savara@quixtar.com
To: TNZETTEL@YAHOO.COM
Sent: Monday, December 3, 2007 2:53:46 PM
Subject: QBI Bonus

QBI money and trips are offered and paid at Quixtar's sole discretion. If you would like to appeal Quixtar's decision not to pay, you may seek conciliation through Quixtar's dispute resolution process.

Julie Savara

Are you serious?  Quixtar now pays it's IBO's at their discretion instead of actual qualifications.  What the hell?  How can any Quixtar IBO feel comfortable with that deal?

Quixtar and it's loyal IBOs are busy spouting off about the $60 million in new bonuses that the company has promised but from the looks of it, they can yank those bonuses out from underneath you at any time.

So much for the "best business opportunity in the world".

UK Secretary of State for Business Agrees With Orrin Woodward About Amway Quixtar Pricing

I hate to say that I told you so (OK I really like to say it), so, I told you so.  I have been talking about Amway/Quixtar product pricing since as a big issue (the biggest issue?) since 2003.

Now the UK authorities are talking about the same issues in this recent article.

TimesOnline:

(Mark Cunningham, QC, on behalf of John Hutton, the Secretary of State for Business, Enterprise and Regulatory Reform):

Mr Cunningham said that the vast majority of products offered by Amway to its agents were overpriced even before they were expected to add a further 20 to 25 per cent for retail. “The unattractive pricing explains some the graver vices that are at the centre of the winding-up application,” Mr Cunningham said.

Update:

According to former high level Quixtar IBO,  Chuck Goetschel's blog, Amway UK has already reduced prices on some products.  Here are some examples:

BODY SERIES™ Concentrated Liquid Hand Soap 250 ml

UK price: £1.75  was Retail £7.95

BODY SERIES™ Fresh Scent Deodorant and Anti-Perspirant Spray 200ml/130 g

UK price: £2.95 was Retail £6.50

BODY SERIES™ 3-in-1 Bar Soap 6 bars - 150 g

UK price: £4.50  was Retail £12.25

SA8 SOLUTIONS™ Pre-Wash Spray 400ml

UK  price: £1.65  was Retail £5.90

L.O.C. ™ Mini Wipes 4 travel packs each with 24 wipes

UK price: £4.25  was Retail £10.90

GREEN MEADOWS™ Air Freshener 150 ml

UK price: £1.25 was Retail £4.30

PURSUE™ Toilet Bowl Cleaner 750ml

UK price: £2.45  was Retail £5.50

L.O.C. ™ Plus SEE SPRAY Glass Cleaner 500 ml

UK price: £1.45 was Retail £5.85

L.O.C. ™ Plus Soft Cleanser 500 ml

UK price: £1.35 was Retail £5.80

AMWAY™ Wax Furniture Polish 400 ml

UK price: £1.45   was Retail £6.65

BODY SERIES™ Concentrated Liquid Hand Soap Refill 1 Litre

UK price: £5.95 was Retail £26.40

Can Amway - Quixtar Be Built Online? Free Webinar

I got a call the other day from a Quixtar (soon to be called Amway again) IBO that was interested in using the Internet to create leads for his business.

Of course most Quixtar IBO's are looking to create business opportunity leads but that is a good way to waste time and money.  It's an uphill battle because really, who hasn't heard the 2-5 year financial freedom pitch?

If someone is searching online for a business opportunity, and you mention Amway, you are pretty much done at that point.

But I am always up for a challenge so I wanted to find an angle that would help this young man build his business. Even though I told him that other companies would be easier to build and more lucrative, he was set on Quixtar, so I set out to give him some free advice.

A friend who is well connected to Amway once told me that there are roughly 6 million former Amway/Quixtar IBOs in the U.S. and based on that number, one would assume that a handful of those people liked one or more of the products.

Ah ha!  A niche has been found.

Former Amway/Quixtar IBO's that liked a product or two, but their upline was a butt or they moved or for whatever reason, they stopped buying the product.

So here is what I am going to do: I am going to do a free one hour webinar that will show Quixtar IBOs how to build their business on the web by finding a product niche.

The free webinar has a limited capacity so it will be first come first served:

Register here for the free Quixtar Internet Marketing Webinar

Amway - Quixtar's Simply Nutrilite Reviewed By Michigan News

I thought that Amway/Quixtar was moving past their previous disconnect with reality. Maybe not. Based on a report from Mlive,  people that tried the Simply Nutrilite products UNIVERSALLY said the prices were too high, but "Amway Officials" said the pricing is competitive...

Tastewise, the juices received fairly high marks, while the various "Food Bars" (not a real appetizing name, is it?) didn't fare as well.

Pricing for the two sampled products, quoted without shipping from the list prices at simplynutrilite.com, was universally derided as too high. Amway officials said the pricing is competitive with other similar products.

My other favorite lines from people who tried the food bars...

• "Chemical-like flavor. I eat cashew bars, I eat Caribou bars, I eat health food, but those are not good."

• "I'm telling you, it left a soapy aftertaste."

I did try one of the food bars myself and I would try the other products and write a review about them if Amway would send me a care package. (What's up with that? I get thousands of readers a day on the subject of Amway/Quixtar/Network Marketing yet no love... = )).

I thought the taste of the food bar was actually above average for healthy type bars.

Quotes from mLive.

Nuskin Profits Hit By Convention Costs

Nuskin needs to look up a guy by the name of Orrin Woodward who reportedly brought in $3 Million from a 10,000 person for his former Quixtar TEAM.

High level Quixtar distributors have made handsome profits over the years by staging conventions and seminars. These conventions along with sales of CDs, Books, Voicemail and Web Sites have long supplemented the below average Quixtar/Amway compensation plan, allowing the high level distributors to new distributors because of the perception of wealth.

Salt Lake Tribune:

Nu Skin Enterprises Inc.'s third-quarter earnings were hindered by the cost of staging a convention that drew more than 10,000 of its distributors to Salt Lake City in September.
 
The Provo-based manufacturer and distributor of nutritional and personal-care products said today it earned $13.5 million, or 21 cents per share in the quarter. A year earlier, it earned $13.2 million, or 19 cents per share.

"Earnings per share include approximately 5 cents of net costs associated with the global distributor convention" staged to energize its commission-only sales force and to try to build investor confidence after a disappointing 2006, a company statement said.

Judge Rules Woodward TEAM Allowed to Have Convention

A judge ruled that Orrin Woodward's TEAM can go on with plans to hold a convention this weekend. According the the report in The Grand Rapids Press, the convention will generate $3 Million for TEAM.

MLive:

More than 15,000 TEAM members, most of whom have been distributors for Quixtar, are expected in Louisville, Ky., for the annual event beginning Friday.

The multiday motivational gathering is expected to generate more than $3 million for TEAM through ticket sales and sales of merchandise, including books, CDs and clothing.

Orrin Woodward Takes The Witness Stand - Quixtar - TEAM Lawsuit Video

According to a report on WOOD TV, a Quixtar IBO was pressured to quit and join the TEAM System in August.

But another witness who used to work under (Orrin) Woodward and TEAM said his associate threatened the distributorship she and her husband operated. Melissa Seeback testified that in an August phone call, "we better quit Quixtar and join the TEAM system or we wouldn't have anything left in business."

There is also a video of Orrin Woodward taking the stand in the current Court Case.

Read the article and watch the video here.

Quixtar Sues Qrush? - Amway Sues Bloggers

Quixtar has sued a group of anonymous bloggers, forum posters and YouTube video posters.  I bring up Qrush because the Quixtar Qrush site was an anonymous blogger from Michigan who posted disparaging remarks about those that opposed the Quixtar business.  Several of the new "TEAM Anti-Quixtar Blogs" resemble the work of Qrush.

GRAND HAVEN, Mich. (AP) — Direct-marketing firm Quixtar Inc., a sister company of Amway Corp., has sued 30 people who anonymously posted what it considers disparaging remarks about Quixtar in blogs and online forums and in YouTube.com videos.

In the lawsuit filed this past week in Ottawa County Circuit Court, Quixtar seeks an injunction and damages of more than $25,000 against the posters, identified only as John Does.

Quixtar believes the videos and other postings are part of an organized effort by former distributors who unsuccessfully sued Alticor and are under court order not to disparage the company or disclose proprietary information, according to the lawsuit.

In one video the lawsuit cites, a man wearing a shirt that says "Property of Quixtar" rants about the company. In another, a man points out products at a grocery store priced much lower than comparable Quixtar products.

Quixtar plans to ask for permission to subpoena various online companies to figure out who posted the materials, spokesman Rob Zeiger said.

Quixtar develops and manufactures nutrition, beauty and cleaning products that are marketed through a tiered selling system. Parent company Alticor Inc. uses the Quixtar name for its U.S. and Canadian direct sales unit and sells products throughout the rest of the world as Amway Corp.

Alticor, a $6.3 billion company based in Ada, Mich., announced in June that it will start phasing out the Quixtar name and rebuilding its Amway brand in the U.S. and Canada.

Trouble for Orrin Woodward TEAM - California LAwsuit Dismisses

This one really has to hurt Orrin Woodward and the TEAM apologists. They will try (once again) to spin this but this is a BIG blow.  From the Alticor Media Blog:

We received official word from California federal court this afternoon that Woodward et al v. Quixtar has been dismissed.

The dismissal deals a severe blow to Orrin Woodward’s federal class-action legal attack. Woodward and other plaintiffs cynically claimed that Quixtar was an illegal pyramid scheme in an attempt to avoid their contractual obligations, embarrass the company and damage its IBOs. The company adamantly denied the charges and noted that a Michigan court had already ordered the plaintiffs to arbitrate their claims.

This is a major victory, and we are grateful that the judge agreed with our arguments in the case.

In his ruling, Feess noted that “the Michigan court has already enjoined Plaintiffs from violating the covenants not to compete and not to solicit and sent the case to arbitration.” He later added, “[T]he Court agrees with the Michigan court and believes the parties’ arbitration agreement is valid and binding.

“[T]he court GRANTS Quixtar’s motion to dismiss on declaratory relief abstention grounds and the matter is hereby DISMISSED WITH PREJUDICE.”

Quixtar - Woodward Team Lawsuit Update

The folks over at the Alticor Media Blog have given me permission in the past to fully post information from their blog, so I am going to post the latest Quixtar - Orrin Woodward - TEAM lawsuit update in full as opposed to posting a fair sue portion of the post. 

I said it before and I'll say it again.  Orrin Woodward, Chris Brady and the TEAM is in over their heads in this deal and because of that these so called leaders are placing the financial future of thousands of TEAM IBO's at risk. The TEAM IBO's will blindly follow and listen to the Woodward/Brady spin, but frankly they would be far better off either staying with Quixtar or quietly leaving to find a better company in the industry.

The post serves as an interesting update from the Quixtar/Amway perspective:

We respect perspectives. But they can’t hide facts.

First, the “new” Texas case mentioned in “Spaghetti.” This was a brand new case, with TEAM as the plaintiffs, attacking from a whole different angle than they did in California case. Dismissed.

The “other” Texas case.  Simmons et al v. Quixtar will be heard de novo – “from the start” – by a new judge, though the previous judge recommended a preliminary injunction.

The California case. Still waiting.

The Michigan case:  Our preliminary injunction remains in effect, as does the preliminary injunction won by the IBOAI.

The TROs: By our count, TEAM’s class-action spammers filed for 18 restraining orders in nine different states:

• One, the Simmons case, only has the recommendation for a preliminary injunction. But we’ll give them that one for now.
• Seven were denied, withdrawn or have expired.
• Ten have yet to be decided.

We would count that as one win for the spammers, seven losses, and 10 games still being played.

Orrin Woodward’s class-action ace D.J. Poyfair has been seen in courtrooms in Michigan, California and Texas. He has yet to attend a win.

TEAM trends:

1. Fewer leaders. We’ve already commented enough on the dwindling number of plaintiffs in the California case. But you may want to read what Fred Harteis has to add to the discussion.
2. Less transparency. When we were in Texas this week, in the course of one day we heard about TEAM; Signature Team Management LLC; Woodward International Networking Systems; and – our favorite – Signature Management Team, LLC, D/B/A TEAM, A Nevada Limited Liability Company.

   Now, every corporation can get confusing if you sift through enough paperwork, ours certainly included. But in this instance, we don’t like the way Mr. Woodward’s name jumps in and out of the stack, depending on legal and PR needs. Does Orrin Woodward own these companies? Does he run them? Is he a part of them? Yes. No. Maybe so.

3. More business. Or maybe less. There’s that line about “we’re going to a million.” And then there’s what TEAM CEO Robert Dickie and COO Thomas Maguire stated in their Texas affidavits about how business is going: “a deluge of product returns;” customers “calling wanting their money back;” “a significant decrease in tool sales;” attendance “has fallen and events have even been canceled.” Dickie and Maguire claim it is because of our actions; we can’t help but wonder whether attacking us as a pyramid and alienating countless former customers has anything to do with it.

Those are the facts, as best as we can gather them. We welcome your perspectives.

Quixtar: Fred Harteis and the Orrin Woodward Team

Based on the following statement from Fred Harteis, it appears as though Orrin Woodward and the TEAM are not the leaders they suggest they are.  How can you be a great leader when you don't have a clue who is standing beside you?

This statement comes from the IBOAI Blog and is attributed to Fred Harteis (you can read the whole statement and a little more background here):

At no time did I authorize Mr. Poyfair or any other attorney to include me as a Plaintiff in the lawsuit.  Again, I've never spoken with Mr. Poyfair or any other member of his law firm.  At no time did I authorize any other person, including any Plaintiff named in the lawsuit, to include me as a Plaintiff in the lawsuit.  Moreover, neither Mr. Poyfair nor any other attorney for Plaintiffs contacted my attorney, Rick Abraham, to seek his authorization to include me in the lawsuit.  Mr. Poyfair had met Mr. Abraham one or two months prior to filing the lawsuit and knew without any doubt that Mr. Abraham was my attorney.

Once I discovered my name was included in the lawsuit my attorney immediately contacted Mr. Poyfair and his co-counsel and demanded that I be dismissed from the action.  Mr. Poyfair contacted Mr. Abraham and admitted that he had never spoken with me at any time.   

I understand Mr. Poyfair has on more than one occasion brazenly suggested that he has me in his "hip pocket."  Nothing could be further from the truth.  The foregoing facts should dispel any such notion.

Quixtar's Opportunity Zone is Pretty Smart

A recent article at mediapost.com talked about Quixtar's web strategy and how they first tried Google Bombing and them decided to simply bring the discussion into their own living room, (via the Opportuntiy Zone) where they have more control over the direction of the dialogue.

They have done a pretty good job at tolerating the criticism, (much of it from disgruntled and "upline-programmed" TEAM IBO's who don't seem to do much thinking on their own).

Key and Dunn both offered examples of social media strategies done wrong, then corrected. Key said Amway is a case study in why creating one's own 'living room' online is better by far than trying to subvert someone else's. "There were folks criticizing Amway in a blog Amway didn't control," he said. "Amway tried 'Googlebombing,' basically creating a lot of sites to displace the anti-Amway blog out of search results," he says--adding that the strategy didn't work. "They realized that if there's a conversation and it's negative, it's better to have it in your living room."

Amway created opportunityzone.com, where consumers could disagree with company policies. "When you do that, you are having the conversation in your living room and set the rules. But you must tolerate criticism."

The TEAM Mighty 11...oops...10...wait...9....errr...8

First there was the Mighty 11.  Eleven high level Quixtar IBO's joined Orrin Woodward to make a stand against the Quixtar tyranny.  Then, Fred Harteis said "I was never part if this deal".

Now Don Wilson and Randy Haugen are out as well.

Would you believe that Orrin Woodward and Chris Brady are now leaving the TEAM?

The TEAM is crumbling, in fact, Orrin Woodward doesn't even want to be associated with the TEAM.

What's that leave, like 6 leaders?

Where does that leave TEAM IBO's?

Up a creek holding a non-compete.

P.S. Does TEAM have it's own non-compete agreement?

5 Alternative Companies To Quixtar

Here is the plain reality of Quixtar.  You will spend more money and work significantly harder for less bonus money with Quixtar than many other companies in this industry.

Here are three reasons why:

1. Reputation
2. Compensation
3. Product Pricing

I have been writing professionally about the Network Marketing industry for several years and in that time, I have had the opportunity to look at a lot of companies.  So, the following is a listing of companies that a Quixtar IBO could join and see better and faster results than they would see working with Quixtar.

Bottom Line: Same effort = more money.

In no special order...

Isagenix
Xango
Max International
Arbonne
Send Out Cards

Honorable mentions...

USANA
Herbalife
Nuskin/Pharmanex

Double Diamond Joe Markiewicz Statement about Quixtar

Those of you who have not been involved with Quixtar may not grasp the following post and if you don't get it, don't worry about it.

In a recently released document, Quixtar Double Diamond Joe Markiewicz of LTD - Larry Winters Team fame said the following:

"In my opinion, if this business (Quixtar - Amway) is to become the most desirable business in North America again..."

In other words, a Double Diamond in Quixtar is suggesting that Quixtar is not the most desirable business in North America?

Haven't I been saying that for the last 4 years?

It appears that the Quixtar Double Diamond and I agree.  There are lots of opportunities that are more desirable than Quixtar in North America.

Quixtar Lawyers vs. TEAM Orrin Woodward Lawyers

This would be so fun if people's dreams and goals weren't on the line here.  The people that are following Orrin Woodward come hell or high water need to WAKE UP and the people that are loyal to Quixtar need to think about placing themselves in the shows of these TEAM IBOs that didn't have much clue before the hammer dropped on their upline.

Check out the recent post at the Alticor Media Blog.

If you would like to talk about this with someone that has experience in transitioning out of Quixtar, contact me through my web site.

The Silent Quixtar Majority

This comes from True IBO Stories:

So when you read the many disparaging, critical comments on the Quixtar and Alticor blogs, it's important to keep them in perspective: For every negative opinion, I know there are a hundred IBOs (dare I call them The Silent Majority?) who have positive experiences to share, continue to find promise in this business opportunity, doggedly pursue their goals, and "go placidly amidst the noise and haste."

This type of suggestion has been a major theme with the Author of Amway/Quixtar Facts known as IBOFIGHTBACK or Insider.

Insider and the author of True IBO Stories are trying to suggest that for every negative comment about Quixtar that you read on the Internet, there are a hundred happy IBOs that never post anything. That is probably true.

However, here is the reality.  For every hundred happy Quixtar IBOs, there are probably 1,000 unhappy former Amway/Quixtar IBOs that quit the company for one reason or another, yet never contribute to the conversation either.

Interesting Quote from a former TEAM IBO

I found this quote from a former TEAM IBO on one of the forums, interesting stuff given what was being said by Bo Short about Quixtar more than 6 years ago while Woodward was defending the company and saying anything possible to harm Bo Short's credibility:

"Despite my deepest respect for Orrin and Chris, the fact remains that as leaders, they led thousands upon thousands, who trusted them completely, in the wrong direction for years, knowing full well what they were doing was not fully right. And that everyone knew that Quixtar was the wrong partner. "

AND

"If they would have recognized they were going the wrong direction 8 years ago and led their flock beside cool waters rather than over a cliff or into the thicket as they have now, imagine the difference it would have made.

Update: I made a slight change to the post title and content based on the information I received in a comment. 

Do TEAM IBO's Know Who Owns XS Energy Drinks?

Wow, I get the feeling that TEAM IBOs are really in the dark about their future. It is obvious that someone on the TEAM was spreading the rumor that TEAM may be adding XS Energy Drinks as a product in their new MLM company.

Attention members of the TEAM:

This is not some game. This is your financial future.  If you did some research you would figure out that XS Energy Drink is actually owned (at least partially) by a current Quixtar Triple Diamond who partnered with a cousin of the Van Andels!

I wonder what other lies the TEAM is feeding the people in order to keep them from running.

Welcome to the MLM Blog

My name is Ty Tribble and I would like to welcome you to the MLM Blog. I launched this site in 2003 as a journal of my thoughts and opinions on Network Marketing.

While I write about many companies, I am only active in one, if you would like more information about myself or my business, visit my personal web site at TyTribble.com

If you have story ideas, comments or questions, you can contact me at ty (at) tribble (dot) org.

Game Over For Woodward's TEAM?

The chatter that I am getting from Quixtar IBOs (formerly?) associated with the TEAM is that they are very confused.  On one hand the TEAM leadership is telling people to continue with "business as usual" and then on the other hand the same leaders are bashing Quixtar.

What I hate to see is these decisions that can impact a family for decades being made based on the cult-like loyalty to Orrin Woodward.  I have heard several different people suggest that TEAM likes to say something along the lines of "discretion is the enemy of duplication". , independent thinking, or the ability to discriminate against bad ideas.  In other words following someone to the point where your personal judgment and clear thinking are clouded. That is a scary position to place yourself and your family in. 

Hello rock, meet hard place.

I have been saying that Quixtar is a bad business opportunity for nearly 4 years and my friend and business partner, Bo Short has been saying a lot of the same things that Orrin Woodward is now saying for nearly 6 years.  The price of Quixtar's products, the compensation plan and the reputation make Quixtar on of the most difficult to build companies in an industry that is difficult to build already.

Then you have the TEAM.  Woodward and Co. are no doubt in over their heads at this point.  I can guarantee you that they did not expect to rack up three court losses two weeks into this chaos.

Are Woodward and company charismatic leaders? Perhaps.

Are they global business strategists? I'm thinking no.

So, what now?

Now you be loyal to your family and be wise about your financial future.

You and I both know that the concept behind this industry is good and I know that you have the skills to make this business happen.  If you would like to speak with m

Orrin Woodward and Team Lose All 3 Lawsuits to Quixtar

Game over for TEAM?

A judge has ruled in favor of Quixtar in all three lawsuits, effectively crushing the chances of an easy exit for Orrin Woodward's TEAM and the high level Quixtar leaders that followed him out of the company.

1. Woodward and company can not contact their TEAM IBO's for any business related purpose.
2. Woodward and company can not talk about events and happening that took place at Quixtar association functions. (This effectively keeps Woodward, Haugen, Brady, Wilson and co. from spilling the beans about information that they know would damage Quixtar if the average IBO found out the details).
3. TEAM and Co. can no longer sell any support materials to Quixtar affiliated IBOs.

In other words, TEAM is OUT OF BUSINESS.  Woodward and company will do whatever they can to hold it all together, including what I saw recently as an obvious and scary ploy to bring TEAM associates together by relating Biblical examples to Orrin Woodward's fight against Quixtar.

Here is a copy of Quixtar's press release:

Complete defeat for Woodward and other terminated TEAM distributors in Quixtar court battle

Quixtar TEAM Lawsuit Update

This just came across my desk from mLive:

GRAND RAPIDS -- Arguments were to continue Thursday in lawsuits filed in an effort to keep Quixtar distributors from disclosing confidential information in what Quixtar and a distributors' association say is a smear campaign.

Kent County Circuit Judge Paul Sullivan heard arguments for more than three hours today in cases Alticor, Quixtar's parent, and the Independent Business Owners International Association filed.

They are seeking to prevent former high-profile distributors Orrin Woodward and Chris Brady, among others, from releasing information they say could cause irreparable harm to Quixtar and other distributors, known as IBOs.

The cases spawned from Quixtar's dismissal of at least 15 IBOs after the company said they refused to agree to the company's demands they fall in line with its business rules.

The IBOs then filed suit, alleging Quixtar the non-compete clauses that were part of those rules were invalid because is an illegal pyramid scheme.

Chuck Goetschel Speaks Out About Quixtar, Amway, Stacking and Prices

What do you do when you learn that what you have been promoting isn’t working? Do you simply complain about it? Do you keep telling everyone that the good times are coming? Or, do you do something about it?

Let me complicate it: What if you learn the supporting facts of this business failure after you’ve invested 17 years of your personal life, and your parents have invested over 35 years? What if you find yourself financially dependent upon the business income; the basis of which was built years ago? What do you do? This is the story of where I found myself and why I chose to do what I have done.