Tuesday, November 13, 2007

Windmills for the New School of Network Marketing

Anyone read Kim Klaver's post yesterday on Banana Marketing about Nu Skin.

NuSkin cutting jobs in Utah, China
Could it be the old school duo of aggressive recruiting and big income-promising is wearing thin? Even abroad?NuSkin is only one of many big MLM companies seeking to boost their flagging U.S. sales by going abroad.1. NuSkin reports that 50% of its business comes from Japan alone. They entered China with high hopes in 2002, but now, have to pull back. The Daily Herald notes:
Truman Hunt, the company's president and chief executive officer, said new Japanese and Chinese management teams are implementing plans to boost business in those markets."At the end of the third quarter in Japan, we began launching aggressive sales initiatives focused on distributor recruitment," said Mr. Hunt.They're not the only one looking abroad to keep things alive for the old school mlm.2. Amway's business in the U.S. has been on the decline for several years, based on my conversations with some major distributors. Amway's (Quixtar) business is mostly abroad - especially in Asia.3. Herbalife, another one of the big MLM companies in the US, reports in their last 10-Q that approximately 80% of their sales come from outside the US.Has the relentless focus on recruiting and the non-stop promises of big income (which virtually no one attains) finally done them in here?
Easy income promises notwithstanding, distributors leave faster than the recruiters can bring them in.And the old school solution hasn't changed: bring on more "aggressive sales initiatives focused on distributor recruitment" (with promises of big financial success). Is that the best they can do?Is there a lesson here for the rest of us?

I POSTED A REPLY BUT IT DIDN'T GET UP ON HER BLOG SO I'LL POST IT ON MY OWN BLOG. Have to get the windmills moving again. Those of you who are building multiple streams of income in the new school of network marketing don't need any guidance I am sure but it is really important to recognize that the paradigm is changing and we need to change along with it.

Wow - I love these posts. Finally people are waking up that old school apart from anything else is old fashioned. In order for a business to survive you need retail customers. Where did I learn that? A lady by the name of Kim something I believe. Maybe that is the reason why my former company - Arbonne is recruiting in Australia and the UK now because they are starting to burn their bridges here with the old school system of signing everyone up as a wholesale buyer - having their reps spend thousands of dollars on catalogs and samples and not making any money to speak of and then when they find a couple of leaders the comp plan has them breaking away from them until the recruiter passes them so it is all about recruit recruit recruit. Give me a break - Have you checked the Arbonne management promotions in the last 12 months and you will see what I mean. They are going south. Nu Skin, Arbonne, Quixar - as the french say "the more things change the more they stay the same". (they say it in French though and for you francophiles out there - La Plus ca change la plus c'est la meme chose) - Sorry i havn't figured out how to do accents on the blog yet! Network marketers need multiple streams of income in opportunities where there is synergy where they make retail income and can train and mentor a select team of people who will build the other residual income. Makes sense to me how come the people running those aforementioned companies don't see that. Juliette Gray www.itvsuccessline.com Bookmark my new umbrella website which should be up soon and will have links to all the synergistic programs I am www.whoisjuliettegray.net

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