Aashish said:
Friday, July 20, 2007 #

Great job! It's really is a very good prospecting tool. Just my thought, are there some more general magazines which cover the topic of Direct selling or Success from Home. Or can the best seller magazines like Business today etc cover this topic, and is there a possibility of approaching them. I assume you understand that this will add much more credibility, when talking to the prospect.

Janet said:
Friday, July 20, 2007 #

Thanks for being upfront about the corporation's involvement with the periodical. I suspect it might be damage control after previous spins, but it is still welcome.

rdknyvr said:
Friday, July 20, 2007 #

Thanks Robin, as soon as the new issue is available I'll be ordering a 5-pack (or whatever denomination they are packaged in) and will give it my best effort!!! I know you and Nick and the rest of your crew are working at it now to make it special.  ;)

Don Jones said:
Saturday, July 21, 2007 #

The reason why there are a lot on the warehouse shelfs is because of the pricing and also because they are only available in bundles.

Cathy Cross said:
Sunday, July 22, 2007 #

Why not put a complimentary copy of the 2006 Mag in new IBO orders?

Tim said:
Sunday, July 22, 2007 #

Breath some life back into the Krakoosh mag!!!  It is excellent and could be even better. It should be a quarterly or semi-annual mag and on a subscription basis.

Drop the idea that it's just a catalog and push the envelope with this hip and attractive marketing tool. Our team loves them and we are loving the entire krakoosh wave.

Kia said:
Sunday, July 22, 2007 #

Wow! So many great comments and questions for me to respond to. Ok, here goes.

.

Aashish, your comments really point to the value of a strong media relations program for the company and the industry. I'd love to be able to just get magazines like Forbes and BusinessWeek to cover this industry and this company regularly, but they have a lot of other companies to focus on too.  Also, we have been covered in mainstream publications, but you have to remember that we don't control the story in a publication like that and the result often is a story that IBOs aren't happy with. SO, we need to work on our problem areas before we aggressively seek media attention ... or else we get the same resulting stories we've gotten before that question certain aspects of our business.

.

Also, FYI, I serve on the Communications Committee of the Direct Selling Association and that organization has been aggressively seeking (with good results) media attention for the industry.

.

Janet: I've always been upfront about Success From Home as a great prospecting tool that tells the Quixtar opportunity story and has the appearance of a third-party magazine ... with much of the control of an in-house publication. There should never have been an impression on anyone's part that this was completely third-party because we have review rights for most stories and we're featured because we commit to a minimum purchase of issues.

.

Rdknyvr: I think we can't go lower than a 10-pack due to agreements with SFH and their printing vendor. AND, you don't have to wait til this fall ... we're going to be selling the June 2006 issue until they run out, and pretty soon we'll be dropping the price once again (they're currently at $30 per 10-pack).

.

Don, thanks for your comments. I think many IBOs are under the impression that they are the audience for this magazine, because they have said that 1o-packs are holding them back. If there was a stronger understanding that this is a prospecting tool and that, according the SFH stats shared by other Direct Selling companies, one out of every seven prospects who receive this pub from an IBO eventually register, people would understand this is a tool they can use to build their business. Also, we've dropped the price from $50 to $30 per 10-pack over the past year (and only priced it so high last year so as not to compete with IBO leaders who were offered these magazines at a much lower rate so they could sell them at their own events--singly or in packs). IBO leaders didn't buy too many of them, but we needed to wait awhile so that those who did buy in bulk for their groups had a chance to sell them before we started dropping the price and undercutting them.

.

Cathy:  Great idea and something we should look at particularly for Korean and Spanish issues (since there aren't that many English language ones left ...)

.

And Tim:  Glad your team liked Krakoosh.  I know many people did and maybe there's still a future for the pub. Just so you know, it was created in partnership with an external group who did most of the work and took considerable risk themselves to create the pub. I'm not sure if they'll be able to continue doing the pub given the sales numbers they experienced.

Michel said:
Sunday, July 22, 2007 #

Hi ,

The magazine ' Succes from home Quixtar version 'is not available in french ? But dont forget , this magazine represant different MlM each month...and i saw a competitor with the french version of succes from home !

Can sobody tell me if were gone be abble to have the new version in french . Its the samething for the web site of www.thisbiznow.com , we have the english and espanol version but no more french version ... Hope the corp. dont forget this good market in Quebec ( Canada ).

I Hope to get some responses ....

Thank you !

Kia said:
Monday, July 23, 2007 #

Michel, I was born and raised in Canada so I try very hard not to forget the French! That said, we did not translate last year's issue into French and it's highly unlikely we will this year. In fact, the Spanish and Korean language versions didn't sell well so it's unlikely we will do that again either.

.

You are correct that other companies are featured in the publication in other months. That actually adds to the credibility for Quixtar when it appears. Besides, you cannot order a subscription to the magazine ... you either have to buy it from a bookstore or newsstand, or receive it from a representative of the company featured. We hope many prospects will receive our issue from IBOs across the U.S. and Canada!

Janet said:
Monday, July 23, 2007 #

Robin;

Yes, you have always been open about it, but you have also only mentioned SFH in your blog just after Quixtar's involvement with the publication has been discussed elsewhere. The timing has always given me the impression of damage control. For example, when it was touted on another corporate blog as an example of third-party verification or when it was discussed on QBlog by an IBO using similar terms.

Josh said:
Monday, July 23, 2007 #

Kia,'

I have seen other companies "business plans".  Many of these other direct selling companies offer bonuses and other incentive programs to promote this magazine.  Perhaps Q* should do something similar if their goal is move the magazines as prospecting tools.  

I will try and brainstorm and come up with something.  For now all I can think of is part of an intro pack for prospecting (associate with other tools).  For buy 20 SFH mags and receive something for it.

karim said:
Monday, July 23, 2007 #

we might never see Krakoosh magazine again?  Noooooooo.......  I love it!

Kia said:
Monday, July 23, 2007 #

Janet: I talked about SFH last year when it first came out and several times after. It's OK, though, because I know that there are many people who weren't reading this blog back then (but it's all archived here!!).

.

In True IBO Stories, Nick erred in his description of SFH and I corrected that viewpoint in a comment. Please do know that we do not have some big corporate approvals machine on these blogs ... it is a bunch of individuals blogging and there will be errors expressed and, at times, disagreement!

.

Josh, you're right that some of the companies that have moved tons of these have provided incentives or, at the very least, subsidized the expense of the magazines. We have not yet set pricing for the 2007 version, and we're looking at different options. Thanks for brainstorming ideas for getting more of these into the hands of prospects!

Zina Lungu said:
Monday, July 23, 2007 #

Everyone should be aware that Success from Home magazine may not be as credible as it might appear. Most advertisers in the magazine are not paying to be there and in many cases they have not given the publisher the authority to publish or print their ads. Southwest Airlines only recently became aware of their ads being included in Success from Home without their permission. Southwest is currently reviewing their legal avenues while issuing a cease and desist order to prohibit any further unauthorized use of their brand. Bottom line is the magazine is losing credibility as a true journalistic medium. I advise using with caution and not investing too much money into acquiring an inventory of Success fro Home magazines.

Janet said:
Monday, July 23, 2007 #

Robin;

Can you put in the links for that? "Third party verification" has been spewed around so much that I always assumed that the term came from the top down. Since you were upfront about it from the beginning, it would seem that the term is just one of those spontaneous things. I noticed the same with the phrase "matriculate" a few months ago. Suddenly everyone was using it.

If it was in your "Kia" days, I definitely didn't read the blog. The first I remember you mentioning it through the opportunity zone was after an IBO at QBlog posted it as proof that the opportunity was valid. After other posters pointed out that it was a vanity magazine, there was a very forthcoming post here.

Not to say it wasn't mentioned before, but some dates or links would make finding the posts easier.

Bridgett said:
Monday, July 23, 2007 #

On July 18th, on the True Stories blog about SHF, Robin said, "The reality is that a bunch of other industry leading companies are using the SFH magazine as a prospecting "best practice" and succeeding wildly. In a few cases, companies have moved several million copies of the magazine through their sales forces, with reports that 1 out of 7 prospects presented the magazine are sponsored."

Um, Robin, 1 out of 7 prospects is not very impressive. In fact, that's like really lame results. AND MORE IMPORTANTLY IT IS A MEANINGLESS POOTA (plucked out of thin air) STAT.

Let's say that it is a verifiable stat (which it isn't). And let's say that 1 in 7 is a good success rate (which it isn't). So what that they "signed up". Then what? What did they do once they "got in". Did they move any product? Did they sponsor anyone? Did those that they sponsored move product? What is their retention rate?

Robin, come on. You are a P.R. guy! Of all people you should know better. SFH is just another "tool" that the inventors are making a fortune by marketing to the MLM industry. Write a book, weave in a couple of MLM superstars, and that will get the MLMers turned on to it. You'll make a millions! Cut a CD, about how fabulous the MLM/Network Marketing industry is, and get ready for the cash to pile high to the sky.

I cannot believe that you are falling for this. YOU ARE BEING USED. And you want us, the IBOs to be used.

I resent being asked to peddle someone else's product--especially when it will do squat for my business.

Bridgett said:
Monday, July 23, 2007 #

A recomment on what I said on True Stories on July 19th.

This seems to be a better thread to comment:

As far as Krakoosh, that is a wonderful tool. The problem is that it is so unique, so different, that very few IBOs knew how to use it. It's a tool that taught the IBO to lead with a product. THAT in itself is unique, because so many IBOs don't lead with a product. They lead with the business opportunity, and the products follow.

Krakoosh reverses it and then makes the business opportunity seem "cool" and "hip" and not dorky or "old". And, because of the "articles", it gives the appearance of being a third-party type of publication. Which leads to credibility.

Could be a very powerful tool. But it wasn't not promoted by the Corp properly nor effectively.

Very few IBOs even knew it exisited. The Corp gave more play to the first SFH than their own Krakoosh. That speaks loud and clear.

And the Corp promoted it as a catalog (it replaced the Momentum Catalog), and so IBOs were like, why would I pay $4 for a catalog when I can get the Choices for $2.50.

If the Corp had promoted Krakoosh properly, there wouldn't be a need for SFH and there wouldn't be a warehouse full of Krakooshes.

Bridgett said:
Tuesday, July 24, 2007 #

Zina Lungu, can you cite your source(s) regarding what you said about advertisers, specifically Southwest Airlines? I'm searching the Net and have been unable to find any support for the allegation.

Much appreciated.

Thanks.

rdknyvr said:
Tuesday, July 24, 2007 #

Robin, I find myself in great agreement with Bridgett and others above. I think you were a little hard on Nick by suggesting he "errored" in his first post. He was only quoting directly from the positioning promo put out by VidoePlus Publishing, where they emphasize their claim to "third party credibility." http://www.videoplus.com/pubnew.php

I'm looking at an ad right now in an issue of Direct Selling News and it states:

* Powerful Third Party Validation

* Nationwide Newsstand Distribution

* Positions Your Company as a Leader

* etc. etc.

So you guys were parroting back to us the positioning that VideoPlus was laying on you!!!

Question for you: what is the "kill fee" you would have to pay to cancel out of this edition and refocus your efforts into a new edition of Krakoosh? It's clear that the Corp did not check in with its "customers" (IBOs, Systems) on which magazine format/tool they wanted and would use. The whole thrust and messaging of SFH seems antithetical to the direction and repositioning work that's coming from the 'transformation' described so strongly by Jim Payne, and by Steve and Doug. At least Krakoosh wasn't pretending to be something it wasn't -- right on the masthead (page 9 of the second issue) it states that Quixtar is the Publisher, and that 'Krakoosh' is a trademark of Alticor.

Krakoosh may have been "targetted" or "imaged" toward an extreme sports segment, but I think it was of interest to a much broader demographic -- participants and spectators, which is just about everyone. As someone suggested above, with the new transformation being launched over the next 12-18 months, this is the ideal time to bring out a new issue that carries the new messaging.

You suggested in a post that you don't want to "cede" the field in the SFH area to the competition. Walking away from a losing proposition and creating your own unique and superior tool is not "ceding" the field. And using outside contractors to help produce Krakoosh is not the same as using SFH people for their mag. Alticor owns the Krakoosh brand and concept... no deception there... why not focus on developing the brand WE own and that already ties into our #1 product -- the XS BRAND, not a brand that VideoPlus owns? And where Quixtar/Alticor can totally shape the message to support the new directions?

And finally, if Zina (post above) is correct, you will be tying yourself to an ethical violation with great potential to hurt the image and brands associated with Alticor at the very time you are trying to rehabilitate them!!! Can you imagine how Rich DeVos will feel... trying to rehabilitate his Amway brand in NA, only to have it handicapped (again) before it's even out of the gate?

Huge mistake to keep going with the SFH concept.

With appreciation,

rdknyvr said:
Tuesday, July 24, 2007 #

P.S. Direct Selling News is also a publication of VideoPlus.

Zina said:
Tuesday, July 24, 2007 #

Bridgett, Camelot Communications media placement agancy for Southwest Airlines

rdknyvr said:
Tuesday, July 24, 2007 #

Robin, who is the outside vendor you are working with to develop Quixtar U training? Is it the same VideoPlus organization?

Bridgett said:
Tuesday, July 24, 2007 #

Zina, Thanks!

rdknyvr, you ROCK!

Robin, just so you know, I DO think there are some things that could be improved regarding Krakoosh. However, those are minor tweaks. Right now it is geared toward the self-centered California world. But I think the SPIRIT is much more in line with what we are trying to convey than ANY other publication I've seen Quixtar do (or outside vendor like SFH).

.

I love to have you do a post on what WE would keep and what WE would change/add with Krakoosh.

.

As an example of how I'd like to see Krakoosh expand it’s demographic appeal:

.

I’m a Midwest mom of toddlers. THAT is an Extreme Sport! A quick story or an advertisement that visually shows how I get through the day with our products (Rhodiola is my new best friend) could be quite appealing—and hit that 82% of women that Beth referred to (June 28th post at Inside Quixtar…http://insidequixtar.opportunityzone.com/2007/06/27/Tupperware-party-for-the-stars.aspx#comments).

.

Whadda say?

:-)

14er said:
Tuesday, July 24, 2007 #

Does Quixtar donate any portion of revenue to charity and if so how much?

Jeffrey said:
Tuesday, July 24, 2007 #

I have an idea that will move the business forward: Don't do Success from Home magazine again and instead, give IBOs free shipping on orders over $75.00. If the company won't give IBOs the free shipping, then they aren't serious about transformation. Don't give me something and tell me it's good. Instead, give me something good and I'll tell others about it.

Tex said:
Wednesday, July 25, 2007 #

Zina,

Can you provide a source for your Southwest Airlines versus Success From Home magazine claim, not just the reference to Camelot Communications, their media placement agency?

Bridgett,

You said, "Robin, come on. You are a P.R. guy!" Of course he's a PR guy, that's why he said what he said and how he said it. You can take the PR guy out of PR (and into a blog), but you can't take the PR out of the PR guy. Good job, Kia. Bridgett, you have to accept Kia is going to give us the PR spin on many occasions, it's his job. If he (and the rest of the Amway blogs) wanted a real discussion, this would be a real blog, not a monitored one.

rdknyvr said:
Wednesday, July 25, 2007 #

Robin, I just posted comment over on Code Review ('Can you hear me now' thread) about a YouTube-style video (link below)... have you thought about tying in a print-based tool like Krakoosh with video clips like this one produced by Bank of America -- accessed via laptop or mobile device -- so the IBO is able to promote and close with a "dual platform" tool? So each article – or even ads for Quixtar products like XS, Double X, etc. -- might have a short 2-3 minute clip that supports the 'print' with active video-based media. From what IBOFB has posted and referenced on his site, it would seem that Alticor (worldwide) is already there. Would go way beyond what any other recruiting tool is or could offer… http://www.dotmobiz.com/

Kia said:
Wednesday, July 25, 2007 #

Lot's of good stuff to respond to.

Janet: I've added "Success From Home" tags to previous posts where I've talked about the magazine. I also looked at SFH website promoting the publication and noted their positioning. It's a fine line. They are indeed a third party publisher, but they do work with us on the content of the pub. One of the reasons the pub is valued is that it does appear on newsstands, does contain third-party content and to the casual observer appears to simply be a third-party pub. In the end, however, I don't want to mislead anyone into thinking we don't have anything to do with the content. We select the IBOs to be featured and work with the editors and writers at SFH on the stories that eventually appear in the magazine.

.

I've asked SFH for any response they have to the Southwest comments. I hadn't heard of that and the person I talked to didn't seem to either. It was confirmed for me, however, that the publication has full-time ad sales staff and that ads are sold (not merely placed without knowledge of advertisers).

.

I'm not going to get into the whole Krakoosh vs. SFH debate other than to state a few things. First, they have two different purposes. SFH is a prospecting tool promoting the Quixtar business opportunity. Quixtar is barely mentioned in Krakoosh, which is a lifestyle "magalog" that features primarly nutrition and sports nutrition products.

.

As for promotion, Krakoosh was heavily promoted for its first issue and has had featured placement at IBO events like Achievers to encourage leaders to support the publication.

.

I want to state, again, that I like Krakoosh and support it and wish it would have been a wilder success. The numbers are what they are, however.

.

Bridgett, regarding your ideas of busy mom ... why wouldn't that be a good story for SFH?

.

Jeffrey, keep your ears open for more info on free shipping. Exciting news on the way.

.

14er, yes we give to charity. We're a national sponsor of Easter Seals (corporate gift of $200,000 plus staff support resulting in additional IBO giving that brings us to about $1 million). We also sponsor US Dream Academy and other organizations.

.

Alticor globally sponsors many other things (through Amway affiliates) but all tie into "One By One Campaign for Children."

.

Also, the DeVos and Van Andel families are huge philanthropists. In many other business situations, company founders will do all giving in the company's name or their name is so synonymous with their company that it's the same thing. In the case of Van Andels and DeVoses, the publicity isn't as huge. But if you come down to Grand Rapids you'll see the mark they've made on this community. You can also go to the National Constitution Center in Philadelphia and see DeVos' impact there.

.

Rdknyvr ... great ideas for prospecting tools. That's why each issue of Success From Home has a DVD available in the middle ... we're working on making the one for this year even better!

Bridgett said:
Wednesday, July 25, 2007 #

Robin,

You did not address the fact that you are throwing me POOTA (plucked out of thin air) stats regarding the "wildly" successful SFH.

.

Get off the spin and let's talk facts. Looking from many of the comments all over the Opportunity Zone, you are dealing with very savvy, very smart, very creative IBOs.

.

We are not some desperate group of people that dn’t have a ton of other options besides the Quixtar Opportunity.

.

Quixtar is VASTLY superior from other companies which are structured the same (mlms)

--Quality of products

--Scope of products offered

--Comp plan

--Stability of the company

just to name a few.

.

I do NOT want to be lumped in with those other companies. Yes Quixtar is a part of the DSA, but that’s not a positive! All these companies are little boats, and then here comes Alticor/Amway/Quixtar as a massive aircraft carrier.

.

Why are you trying to make us into a canoe?

.

I am affiliated with a superstar and you are aligning us with day-players.

.

We are roaring lions and you want us to play with kittens?

.

Do any of the employees at the Corp get us? Do you really, really get us?

.

The fact that you think Krakoosh isn’t a prospecting tool is another example that we are on different pages. That’s EXACTLY what I used it for.

It was a way of showing the plan and connecting the products to the business opportunity. It was a way where we had something tangible (products) to explain WHAT we do, and then the lifestyle (articles) to explain WHY we do what we do. And THEN to introduce the big guns behind it all that makes this possible (Alticor/Amway/Quixtar).

.

It’s called restraint and discernment.

.

Instead of letting companies like Video Plus in to the deep pockets of the Corp, to do the “training”, why don’t you let successful IBOs (not just at the Diamond level, ‘cause the majority are out of touch) train?  We are the ones doing it. It’s not theory.

.

You guys are getting a TON of ideas all over the Opportunity Zone—for FREE! But it feels like you’re not interested. You have your one agenda, to convince us of some lame idea, rather than being open to the possibility that the idea is not a good one. We even give you facts to back up our opinions.

.

This is all so very disheartening to me…

Bridgett said:
Wednesday, July 25, 2007 #

I forgot a HUGE distinction between us and them is our Partner Stores!

We are a hybrid--a direct selling company (like Avon) and an affiliate marketer (like Amazon).

.

Amway/Nutrilite was the first MLM. Now, in 2007, we are the first_____ (fill-in-the-blank).

.

We don't fit in to a neat little box. Let's embrace that reality, rather than being fearful of it and running away from it.

Kia said:
Wednesday, July 25, 2007 #

Bridgett:  Thanks for your comments and I'm sorry this is disheartening to you. You're right, I didn't address your POOTA comment and I should have.  There was just so much to respond to! :-)

.

The 1 in 7 stat came from a couple other companies that have used the publication. You're right that it's not a stat I can back up with real market research (and, if that's the case, I should just stop using it).

.

You're doing well if your stats are better than this ... we've been under the impression that prospecting was difficult.

.

I have zero stats to back this next statement up, so you can fire away at this if you like: I believe a new IBO who signs up after reading an issue of SFH all about the company will be a lot clearer about what business they're in, and have more realistic expectations about what they can accomplish in this business, than an IBO who registered because they saw Krakoosh, which says nothing about the business other than leaving the impression that we're "cool" and sell some pretty funky gear alongside our core health products.

.

I agree with your statements that we are a hybrid-ish company that offers a ton that other direct sellers don't. However, we can't ignore best practices occurring in our industry that is resulting in huge growth (while we remain relatively flat). Also, it would be a HUGE mistake to diminish the value of our DSA membership. Working together with other direct selling companies helps shape public policy that protects and benefits our company. We could not do this alone. Right now the FTC is looking at rules related to direct sellers. FDA is looking at product claims made by representatives of companies like ours. State attorneys general continue to cast a wary eye at MLM companies. Washington is looking at "independent contractors" and how they pay taxes and whether or not companies should provide benefits. This affects ALL of us and only together can we provide legislators the information they need to make an informed choice.

.

Regarding training, we haven't developed any training for the field outside of product for many years. SFH is not training ... it's positioning of the business. VideoPlus has not created any training for us to date; we've actually worked with a firm called Via to start creating training you will begin seeing this fall.

.

And, finally, we do appreciate all of the great ideas we get from IBOs in the Opportunity Zone. Some people might be disconcerted to see disagreement and critique ... I LOVE it!! It means you care about this business and only want to see it get better.

.

We all have to recognize, however, that there are a LOT of inputs into corporate strategy that have to be accounted for, so no person is going to be 100% satisfied with any approach we take. That said, I think we're moving in the right direction.

rkdnyvr said:
Wednesday, July 25, 2007 #

Robin, prospecting is NOT difficult when leading honestly with the Quixtar name. The difficulty is the 'human nature' psychological fear many have of rejection in general, and this is one place where the Systems' training is focused and where they do a very good job (at least, the one I'm associated with). By the way, thanks for the clarification on the QU development partner... can hardly wait for the launch.

.

Krakoosh, frankly, is better suited as a prospecting tool than SFH, but it's clear you're not keen on stepping back from you own "investment" in the project to objectively consider the evidence, and because you are also contractually committed to the SFH issue... nothing you can do about that now.

.

Bridgett, I'm 100% on board with what you've said above. My background is in publishing and marketing, and I see through the SFH spin. HOWEVER, perhaps give Robin's suggestion to be considered for a feature article some thought... since they are going to go ahead with SFH, lets at least do what we can to make it better. Best would be an adjusted Krakoosh, but perhaps we could at least help them get a "better" SFH out of it. You would be a great feature... 'Mom' as an extreme sport... my sister would totally identify with you...  she has four kids under 7!!! (This morning I was trying to teach my 7 year old nephew how to swing a bat, and he kept whacking line drives right at my head!!!) If someone from Robin's department could capture your honest, no-holds-barred attitude in an article, it would be great (better in Krakoosh, but still OK in SFH).

.

Although, if you felt it would completely compromise your principles to do so...

.

Robin, thanks for being open to different points of view and 'almost sharp words', and understanding that we're not making it personal... we do understand that you are tasked with making the decision and then doing your best to execute it well.

Bridgett, one more tip... get your husband the SKU 100277... it performs far better and doesn't break up half way through the stick.

.

OK, I'm gone for awhile. :)

.

With appreciation,

Kia said:
Wednesday, July 25, 2007 #

I want to follow up with some numbers. We sold our first order of 100,000 Success From Home magazines in 3 weeks. We are 80% of the way through the second order of SFH magazines a year later. (Spanish- and Korean-language issues are another matter.) I view this as (only) a mild success, because I have seen what other companies (and their reps) have been able to do with this tool to grow their businesses.

.

Since the latest Krakoosh catalog launched in September 2006, we have sold a total of 66,606.

.

We recouped all costs associated with the English-language version of SFH (we're not looking to make a profit on it). The decision to not continue with the Krakoosh books, which is not mine to make, btw, probably was made with our outside vendor and related to limited sales of that book (for the second consecutive issue).

.

Let me repeat, I REALLY do like the Krakoosh books. I think they're sharp and make a great statement about our business. I also think they can help in the prospecting process, but they are not sufficient on their own to tell a complete opportunity story.

Jeffrey said:
Wednesday, July 25, 2007 #

A/Q needs to get off the "multi-pack" mentality. A person is not going to order 10 or 20 of something to try it out, whether it is a product or a publication. Every single thing we carry needs to be available as an each. I never ordered Krakoosh magazine because I was simply not going to order a pack to see if I liked it or not. Same for the products. I won't mention the name although I could describe it CLEARLY, but there is a product line I have not ordered because they come in a cases of 24 for nearly $30.00. I actually had one on the order this week and took it off as I needed other stuff and didn't want to spring for the whole price, again, to see if I liked it. I cannot emphasize this enough. Get off this multi-pack mentality and watch this stuff start moving. Trust me on this one.

As for leading with the company name while prospecting for the business: good luck, especially when the name changes. I think if anyone (especially A/Q employees)thinks the prospect will WANT to see the business when the prospect knows the company name, that person is living in a fantasy land. The first words out of the prospect's mouth is, "I know all about that..." When you tell a prospect too much, too soon, that is called "spilling all your candy in the lobby." I had to learn that one the hard way. It does not work. Find out what they are looking for. If you don't get the right answers, don't give yourself the right answers just to "get one." They will either tell you to get lost, or get in to get rid of you, then they'll quit. I better stop now before I get too riled up.

Bridgett said:
Wednesday, July 25, 2007 #

rkdnyvr, I'm flattered, but I don't think Robin was offering me a spotlight in the mag. He was talking about my IDEA, not about me specifically.

.

Robin, along those lines, just as an FYI, I pitched the Mom-Extreme Sport concept to Krakoosh before the second issue. I had a LONG laundry list of "issues" with Krakoosh. And they didn't listen to a word. It's that California thing. In my industry (outside this one) I deal with a lot of Californians and they just really think they are the bomb and everyone wants to be just like them. So why should I have been surprised that they didn't listen? :-)

.

They were going after the "cool" factor. Which I do think is important. People want to feel like they belong to something cool. And THAT is what I really liked about the publication. The problem is that what they (California surfer dudes) think is cool and what the rest of America is cool is, um, different.

.

That arrogance led to the demise of Krakoosh. I’m just saying to keep the spirit (offering people to be a part of something cool, fun, adventurous) in mind when developing ways to promote this biz.

Emotions move people. Not facts.

Bridgett said:
Wednesday, July 25, 2007 #

Robin, regarding our affiliation with DSA, you are right and I DO have to remember we are dealing with government and rules and regulations and lawyers and blah blah blah. It’s not the association itself that I want to distance myself. It’s some of the goofy members. But I just got to get over my elitist self and realize that my goals with my affiliation with Quixtar are in the stratosphere compared to most people.

.

Most people just want to make a few hundred bucks a month. And I’d much rather them do it with our product line and our comp plan than anyone else’s.

.

I know that is the idea behind the First Circle Initiative. Prospecting isn’t hard. Selling a business concept where the prices are over the top is hard.

.

We must have competitive AT RETAIL prices for it to work, and I haven’t seen that yet. And there seems to be this force field around Ada, Michigan that prevents the inhabitants from knowing what competitors’ products cost. =)

Kia said:
Thursday, July 26, 2007 #

You are right about retail costs. It's not something we don't know and it's something being addressed as we speak. You will see some exciting new products this fall specifically geared to retailing, and we also are reviewing all products with an eye to cost and the price consumers will pay for particular types of products.

Josh said:
Thursday, July 26, 2007 #

Kia,

You address retail costs.  Are you also addressing the IBO costs as well?  Because to be completely honest, I give a decent discount off the retail price to nearly all of my customers.  On core line products I can typically give 10% off and still make some retail profit.

So for me that is something I already do.  However, I will lose that bargaining chip if all the corp does is lower the suggested retail price on products.  

It will look better for those viewing our pre-made websites, but our "flexibility" will be hindered.

Does this make sense?  If not I can clarify it next post.

Tex said:
Thursday, July 26, 2007 #

Josh,

You must live in a higher cost of living area of the country. I live in a lower one, and there aren't many coreline products competitive at the retail prices.  

Josh said:
Friday, July 27, 2007 #

Tex,

I also do not think it has to do with the area you live in the country.  It is who you are marketing your products to.  I don't market our premium products to trailer park residents.  Now there is nothing wrong with living in a trailer park (I did when I grew up), but those are not the clients you want.  Search for those that can afford the products that are a premium.

Tex said:
Saturday, July 28, 2007 #

Josh,

.

You don't think it has to do with the price of competing products in your area?

.

Then I have a great suggestion that will significantly increase the profit. Double the prices of all the products, put all of the increase into PV/BV, and we'll all get rich!

.

I hope you understand that was an exaggeration, but it was made to make a point. Prices are important. They may be more important to "trailer park" folks, but prices are also important to many of us who do not live in trailer parks.

.

We shouldn't have to "search for those that can afford the products that are a premium", we should have plenty of products that are competitively priced, as well as premium products.

.

I am not complaining about the prices of the products, only stating I am more focused on networking than retail, because of the local pricing of competing products. If you live in a higher cost area of the country, the retailing option makes more sense, because you can more easily charge retail and still be competitive.

.

We shouldn't have identical strategies if our environments are different, just like football teams wear different shoes depending on the field conditions.

Josh said:
Sunday, July 29, 2007 #

Tex,

I can agree with your thoughts on the everyday type products. What products would you be talking about?

I also have a focus on building the network first, but that doesn't keep me from finding customers.

rdknyvr said:
Sunday, July 29, 2007 #

So Josh, tell me, how would you approach someone living in lower economic conditions ("trailer park") who is keen on something like Double X... lets say a single Mom with 3 kids who is not getting child support and works all day, just barely makes ends meet? Send her to the Dailies when she really wants the full health protection offered by Double X but genuinely can't afford $75 or $90 (before shipping/taxes)? I go back to RDV's 'Compassionate Capitalism' and wonder about that.

If you were to work out a conceptual product map to visualize the 'market space' for some of our nutritional products (Double X), would it allow you to include people as Customers who are below the median income level? I want us to keep premium pricing on premium products, but these are questions I wrestle with personally. I'm genuinely interested in your feedback. And please don't say to sell it at IBO cost... I can do that and have done that, but doing so "un-validates" all the teaching about being 'profitable' by selling at retail.

With appreciation,

Nick Katsarelas said:
Monday, July 30, 2007 #

rdknyvr: You suggested that Robin was a little hard on me by saying I "errored" in the first post. When he wasn't because I did, in fact, err. Read my full confession in the SFH thread in True IBO Stories.

rdknyvr said:
Monday, July 30, 2007 #

Nick, I did. Read my reply there. You're both good guys doing excellent work that's much appreciated. Don't be so hard on yourself, just like I'm not beating up on myself for such an obvious spe111ing error :) lol

Jeffrey said:
Monday, July 30, 2007 #

I very seldom start someone on the Double X. I start them on the Daily, then promote the Double X to them later on. Sometimes just getting someone the Daily is a major accomplishment. And it's a great product, too.

As for stereotyping people that live in a trailer or an apartment, I have a problem with that. About 15 years ago, I was injured on the job. It got ugly with the company and I lost my job over it. I even ended up losing my unemployment insurance. I also lost a brand new car. I helplessly sat near the living room window and watched them tow it away. Then a couple weeks later, I lost my house after desperately trying to keep it. I moved into an apartment and was only going to be here 6 months. I've been here 14 years. I've learned since then that there are a lot more important things than a fancy house and a nice car. I've been snubbed by people because they automatically think I'm a "crumb" for living in an apartment. That's their problem. I can place a $300 order and not have to worry about my credit card being rejected, which is more than I can say for some of the people living in a big, nice house in my neighborhood. Some people look good and smell good but they're so broke, they can't pay attention. Maybe asking some pre-qualifying questions would be in order before making a sales pitch or a judgement. Sometimes the underdog is the one that really takes this thing and runs with it because nobody else will give them the time of day.

ibofightback said:
Tuesday, July 31, 2007 #

rdknyvr - I'd help and teach them how to make the money to pay for it.

Tex said:
Tuesday, July 31, 2007 #

Josh,

.

Not sure if I understand your question, please explain.

Zina said:
Tuesday, July 31, 2007 #

Will the new Quixtar Success from Home magazine be less effective since basically every other major MLM company has used the magazine as a self promotion piece?

Josh said:
Wednesday, August 01, 2007 #

Jeffrey,

Please note that I was not stereotyping by any means.  I have lived in trailers and sub-standard living arrangements most of my childhood and early adulthood (pre-college).  My point was if you want to increase the rate at which you sell the premium products (ie. Double X) your chances are greatly improved outside of a trailer park.  Also, not discounting your experience (infact, being a rare exception) people are living in a trailer park or similar for a reason.  I use my parents as the example.  Poor money management, gotta buy it cheap no matter what, don't hire a professional Joe down the street can do it, mentality.

.

rdknyvr

Well to be honest with you I do not have any customers currently that live in "lower economic conditions".  At least on the surface (as Jeffrey points out).

To answer the question, Jeffrey did a great job.  If a person in that situation was insistent about Double X I would check their current expenses (if they would be comfortable with that).  Aside from that just mention to cut out unnecessary spending.

As I said, I avoid that situation, not because of a lack of compassion, but rather simple business procedure.

Now if you talk about XS, that is something different and easy to sell to ANYONE, ANYTIME!!

Kia said:
Wednesday, August 01, 2007 #

Zina, good question.  I think it won't be less effective for a number of reasons.

.

1.  The only way you get this magazine is if you buy it from a newsstand (which means you're intrigued by the opportunity shown on the cover) or receive it from an IBO. You cannot subscribe to it, so there's no parade of opportunities crossing your doorstep on a monthly basis (unless you specifically go out and buy it or have lots of reps giving you their companies' versions).

.

2.  The fact that the magazine covers lots of different companies is what gives it the appearance of third-party credibility. Achieve is an "in-house" magazine where it is very obvious we create all the content, which is not the case with SFH.

.

3)  A prospect who has seen several issues of the publication should still choose Quixtar. If not, we need to work harder to make our business opportunity more compelling. If someone's looking to become involved in a home-based business, they will consider many things and we need to provide them with the best option.

.

4)  Several other companies have used this piece very successfully to promote and grow their business. That's not a reason for us not to do this. To me, that's a reason we SHOULD do it. They've demonstrated that the magazine is an effective way to tell the business story (without having to memorize long scripts and figure out ways to answer the "tricky questions") ...

.

Other companies advertise in Forbes and USA Today. Would that make an ad for our company placed in one of those publications less effective?  Competitors have had their corporate names placed on teams or sports venues (I'm REALLY jealous of Herbalife's sponsorship of the LA Galaxy, because David Beckham's picture is popping up everywhere with Herbalife imprinted across his chest).

.

A final point is this, Zina. The magazine and other communications like this, including programs from the DSA, help lift the profile and acceptance of the entire direct selling industry. That rising tide lifts all boats, including ours. If people do actually see a parade of successful direct selling companies being featured in a very nice magazine, their overall opinion of the industry goes up. The public will realize these companies are successful, their opportunities are viable, and their products are generally of a high quality.

.

Improving people's opinions of our industry also helps, by association, improve opinions of us.

rdknyvr said:
Wednesday, August 01, 2007 #

Josh, thanks for the reply. I tell people who challenge me on price (and "do you buy it for yourself?") that I look at it as an essential part of my monthly FOOD BUDGET (along with C F&V/Omega Heart) -- it is, after all, a DIETARY supplement -- and I talk about what's actually in it: the 20+ whole food concentrates, etc.) and why that should be considered part of one's food budget. I also make a couple points related to "health protection."

.

Having said that, I still have concerns about the pricing and accessiblity to a broader potential customer base as noted in other posts.

.

Thanks for your input.

Bridgett said:
Sunday, August 05, 2007 #

Hi Robin,

.

I looked through the September issue of SFH, and here are some of my thoughts on how I’d like the Amstar/Quixway edition to look/not look:

.

1)Short and to the point articles. This issue had way too much copy. Very little white space on the page. Overwhelming. Not at all inviting to read. People’s attention spans and lack of time (well, the skills to navigate their time) will prevent them from even starting to read any of those articles, let alone finish them.

.

2)Success stories are important, but again, short, sweet, to the point. The length of the Emeralds in the Achieve is a good length. Diversity—in pin levels, ethnicity, age, marital status, kids/no kids, gender, socio-economic level, careers/jobs (white collar and blue collar), regions of the country/world.

.

3)Give me a one page fact sheet with bullet points of why our company rocks and leaves everyone in the dust: history, years in business, revenues, number of products and product lines, number of affiliate partners, bonuses available. Maybe there wasn’t a fact sheet on this particular company because they are all hype and no substance—what I’ve seen with a lot of these STUPID mlms. Drives me nuts, can you tell. :-)

.

4)Short bullet points regarding our best product lines—one page “ads”. Again, this edition didn’t have any of that, even for their ONE product.

.

5)Logo page of our top (and most recognizable) affiliate partners. Maybe some bullet points of how we’ve increase their sales or are their #1 affiliate partner or something along those lines.

.

I know that I’ve said that emotions, not facts, move people. But perhaps we can present the facts in an emotional way (I have no idea what I mean—maybe with images and not just words?).

.

Make it SIMPLE and EASY to read. I think that a lot of the mlms get us on simplicity. Our strengths ARE in our breadth of products and insanely-fantastic-at-all-levels comp plan. But we have to find a way to talk about our strengths (products and comp plan) without people’s eyes glazing over.

.

If researching the business opportunity wears them out, they’re not gonna think they have the energy/time/stamina to build it!

.

Thanks for listening.

rdknyvr said:
Monday, August 06, 2007 #

Robin, Bridgett has some great suggestions above. I would perhaps add the following: . * use more sans serif fonts... and at an appropriate point size... looks more current, often is easier to read in a magazine format . * can you insert ONE profile each in SPANISH, KOREAN, FRENCH (to assist Michel, etc.). Could be a simple double or 4 page spread each. . * If it's too much trouble to translate one of the new profiles you've prepared for the upcoming issue, perhaps pull them from the Spanish/Korean issues from last year . * include some reference to this in Spanish, Korean, French on the front cover along with the English "subheads"... sends a message to all readers that Quixtar is supporting access and business building in other languages, a big message. . * I would strongly support Bridgett's suggestion of using our own "ads" to showcase key features of our best products... remember that this is an opportunity selling tool -- part of that opp is the business, but a big part includes the unique, incredible products we have access to. . With appreciation,

Zina Lungu said:
Thursday, October 04, 2007 #

Hi Robin,

How is Quixtar's feature in Success from Home going? Have you checked on the validity of the magazine's advertisers anymore? I'm sure Southwest will not have an ad in your issue. I think the reign of running free ads without permission is slowing, at least in the case of Southwest Airlines.

 

Editor's Note:  The response from SFH editor is that "we had permission to run various ads over a certain time period. And no there was no lawsuit. However, our contact there has since left the company and we are working with the replacement person in working out another deal, but in the meantime we are not running any Southwest ads until our contract is renewed. We are either getting paid for our ads or have permission to run those that we are not getting paid for." I hope this helps clarify the SFH ad situation for you.  -- RL

Zina Lungu said:
Monday, October 08, 2007 #

Thanks Robin. At least that is a step by the publisher to appear more honest. We all should be concerned about the integrity of the direct selling industry and make sure those we associate with are honest about their business practices. Leaders in this industry such as Quixtar have a responsibility to make sure what they are repeating and representing to their IBO’s is factual and honest. Due diligence is a necessity in many business situations especially those that would put your ethics in question. If I were spending several hundred thousand dollards to advance the cause of my company I would leave nothing to chance.