A Kline said:
Friday, January 04, 2008 #

Thanks for the comments. I was just curious, the "new" logo set looks exactly like I remember it twenty years ago. There may be changes, but from a marketing stand point, it gives the same feel.

Is this by design?

Darnay said:
Friday, January 04, 2008 #

Yes, I ready for a new beginning.  I am putting all my past failures behind in this new year and take the approach to be successful so I will be able to spend time with family, friends and getting to reinvent myself.  Also, I will put god first.

rocket said:
Friday, January 04, 2008 #

I'm sure this comment will never see the light of day, and I know you are just doing your job with enthusiasm, but

"honest, open and transparent communications create trust and understanding."

Nobody believes that you know.  

It's good you're ready, but I don't think anyone believes your organization is going to do what you say you are going to do.

A Kline said:
Sunday, January 06, 2008 #

Is it just me or does the "new and transformed" Amway logo look the same as it did twenty years ago?

It may have small design differences, but from a marketing standpoint it gives me the same feel and connotation as it did years ago.

Is this by design?

Cathy Cross said:
Monday, January 07, 2008 #

I truly hope with this upcoming  transformation, that Amway Global will revise what IBO's are called as well.

A more accurate reflection of what we REALLY are would be "AUTHORIZED GLOBAL DISTRIBUTOR" (AGD)or Authorized Sales Representative (ASR).  

Using IBO, or being one for that matter, means nothing.  We are no more INDEPDENDANT than a common employee.  We can't use their pictures, descriptions, we can't open our own brick and mortar store (as regular business owners can); they squelch and keep tight reigns on everything we try to do to build a successful BUSINESS.

There are more RULES about what you cannot do, than there are products.

I wish they would fine tune that to "What you CAN do - everything else is not approved".  That would be about two paragraphs.

In the world of BUSINESS, in all reality; Quixtar North America amd Amway Global are simply suppliers or Vendors.  And that's just the plain truth.  For them to tell us we cannot market other products or conduct a "sideline business" while we are IBO's is simply too restrictive.

The catalogs should be FREE to us to market THEIR product line OR we should be getting PV/BV o nthem when we buy them.  It's THEIR RBrand, not OURS.  They should pay US to market it, rather than us paying them for sales materials.

I would rather be called what we really are - DISTRIBUTORS or Sales Reps.  It is very confusing when conducting B2B business to have my own company name then present a Quixtar 30 net financing application.  It confuses the customer, especially when the payments have to be made out to Quixtar, rather than ME, the business owner.  Particularly when attempting to get LARGE business volume (municipalities, Government entities, etc), the conflict of us as business owners YET everything is in Quixtar's name is quite mind boggling to a new customer.

They don't even drop ship under OUR business name as a courtesy.

So call us DISTRIBUTORS again.  No shame in that.  It IS what we REALLY are, and it is WAY less confusing to the customer.

Thanks for letting me bend your ear.

Cathy Cross

5127985

Kia said:
Monday, January 07, 2008 #

A Kaline, thanks for your comments regarding the logo. The current Amway logo used around the world has not been used here in the U.S. It is type treatment with red swoosh underline. The old Amway logo was type treatment under a white globe on blue and red bar background. That said, we're looking at everything as part of the business transformation. . Cathy, thanks for your comment regarding the term "IBO" vs. "distributor." The current terminology reflects the desires of IBOs as represented by the IBOAI. . You may be correct that another term would be more accurate, and maybe others have some good ideas on that front. . There should be no doubt, however, that you are an independent business owner. A McDonald's franchise owner can be independent of the company based in Illinois and still have to follow the head company's rules. McDonald's wants to ensure a consistent experience for its customers, as do we. No matter what your "doing business as" name is, the brand you represent will take the reputation hit when there's a bad experience. . They are our brands and we hope you are proud to present them to your customers. Your clientele will be more impressed about the products and the global company behind them when you proudly present that upfront. Our global marketing campaigns will be more effective for you if you use our global brand names upfront. . You do have some new opportunities with regard to a physical presence, by the way. New rules allow for service providers like Health Clubs and Beauty Parlors to present products, and all IBOs have new opportunities to market products at public events, including sporting events, health expos, and more. . Your B2B customers should have a greater sense of security knowing that your local, independent business is backed by a major, international company. They can feel good about supporting a local business without concern that the products are "fly by night." Plus, we can help you better service them through automatic replenishment and direct, timely shipment. . I'm open for new terminology. I'd love to hear some good suggestions!

.

Editor's Note:  OK, I've been informed that I messed up. The event sales part is accurate, the service providers part (health clubs, beauty parlors) is not. It's a proposal that has been worked on but has not yet been given the green light.  Sorry people!  -- RL

Bridgett said:
Tuesday, January 08, 2008 #

Robin,

I agree that there is security a customer has knowing that IBOs are affiliated with a 50-year old global company.

However, the challenges that Cathy mentions cannot be ignored. I've heard the employees of the Corp mentioned many times that we are in a "partnership". And yet, there are small, though profound details, which do not reflect this partnership.

One example: When I register a new customer, they are sent a welcome email from Quixtar, congratulating them on becoming a "Quixtar Customer".

I have asked, repeatedly, if we can tweak that email to include (not replace, but include) MY business name [or if an IBO hasn't branded themselves, then their actual name(s)].

And I'd also like the email to give MY contact info, NOT Quixtar Customer Support.

I have a MUCH greater incentive on serving my customers than anyone over at Customer Support.

All the explaining I have to do, as Cathy mentions she must do with her customers, is confusing, time consuming, and sometimes causes some trust issues.

_______________________________________________________________

Using McDonald’s as an example is flawed because McDonald’s owners don’t go around drumming up retail business and SPONSORING  like we IBOs do.

You don’t have McDonald’s owners meeting people in their homes, or online, or wherever, explaining the “value proposition” of products.

You don’t have McDonald’s owners giving out samples, and following up, and hand-holding, and showing Ditto, etc. etc. etc.

The McDonald’s owner opens a store, and people flock to it because they know what to expect.

AND, from the non-retail side, we are NOTHING like McDonald’s. There isn’t any true mentorship in that business model. You shell out a million bucks, book your ticket to Hamburger U, and that’s it baby.

You don’t have your Sponsor and/or Upline driving or flying to your home, or talking with you on the phone, or going out in to the “field” with you helping you grow your business as they train, motivate, and mentor you.

__________________________________________________________________

I think it would be really swell if the executives at the Corp would spend a day/night with an active IBO to see what we do to build our business—retail side and organizational building side. The executives go to the major functions of Systems to do their PR thing. But I am talking about when and where the REAL business gets done. Off the stages, when the crowd ISN’T cheering.

.

Editor's Note:  Thanks Bridgett.  I agree that the McDonald's example isn't an exact match for our business. It was used as an illustration that someone owns the franchise but still must follow the company's very specific guidelines for how they do their business.  We provide a lot of latitude for how IBOs do the business, but there must be some baseline consistent experience consumers have with our products and opportunity.  Your idea to have a co-branded welcome message is great and I hope the only holdback on that is technical.
.

Also, we have a program called The Learning Lab where we are working with numerous Platinum groups testing different approaches and participating in weekly "Partnership Program" phone calls. We've had numerous IBOs come into the corporation and give presentations to all staff about their daily business experiences.  And, of course, the Consultants from Sales are constantly in touch with IBOs.  I think we're doing a better job than ever before understanding what's happening in the field and what IBOs need to build their businesses.

.

Thanks for your constant vigilence, Bridgett.  I hope that more and more of the ideas you're pushing for become realities!  -- RL

Randy Casey said:
Tuesday, January 08, 2008 #

Robin, when will the the new rules be available for review regarding service providers being able to present products and IBOs being able to market products at public events.  Is there somewhere we can go now on the site to view these new rules?  Looking forward to a Great 2008!!

 .

Editor's Note: I think I flubbed on the service providers part.  That's not progressed beyond the "idea" stage yet.  The event sales part is right, though.  Perhaps someone from Rules will jump in with their comment to point you in the right direction!  -- RL

Ellie said:
Tuesday, January 08, 2008 #

Hello Bridgett, Kia and Cathy,  All great information.  Things that the corporation needs to think about.  I got into this business to be an IBO and represtent Free Enterprise, not to have a job being a distributor.  

My main concern is, "WHAT happened to the PV?"  

The PV cost ratio has changed drastically over the last 15 years, more than income and inflation.  15 years ago 1 PV would cost $1.7.  Today with Artistry Essentials 1 PV costs $2.9.  It is very difficult to create enough PV to go Platinum.  

The corporation launched Simply Nutrilite as a lower cost line.  

To save money for them they just gave us less PV or made the PV to COST Ratio greater.  How long will it take to go Platinum selling the twist tubes?  

WHAT happened to the PV?  

---Ellie

Bridgett said:
Tuesday, January 08, 2008 #

Robin,

Thanks for your comment regarding Learning Lab, Partnership Program, etc. Very encouraging to hear.

Regarding the co-branded email, shall I bug the IT guys over at Code Review? :)

. 

Editor's Note:  LOL Bridgett. Yes, you SHOULD bug the guys at Code Review!  RL

Kia said:
Wednesday, January 09, 2008 #

Another updated from my friends in Rules. The new Event Sales rule goes into effect on March 1. Information will be posted on the Quixtar website very soon, but in the meantime, contact your Platinum (who has received details on this exciting opportunity) or the Rules department here at the Corporation via email (qbcr.department@quixtar.com) or at 616-787-6712.

Bridgett said:
Wednesday, January 09, 2008 #

Hi Ellie,

From what I understand, the PV:BV ratio will ALWAYS go up, as the cost of products go up. The BV is tied to the cost of the products.

.

So either the BV goes up as the cost of the products goes up

OR

The PV goes down if the cost of the products stays the same BUT inflation goes up [which inflation is always going up, right? :-)]

.

The PV:BV ratio was developed in the 70s to protect our bonuses--to make them inflation-proof if you will.

The Platinum bonus money (the 25% money) is supposed to have the same buying power today as it did when The Plan was first drawn up.

.

When the Marketing Plan was originally conceived, there was only PV.

And PV was the price of the product.

So if you (or you and your group) moved $7,500 of product, you would go in to Platinum qualification and would be entitled to 25% back on that volume--$1,875.

.

(Today, 25% on 2.9 BV is $5,438. Today, you can make $1,875 in bonus money between the 2,500 & 4,000 PV level)

.

Then, the PV:BV ratio was invented, because what was happening was people were hitting Platinum, but the buying power of the bonuses weren’t as strong a decade or so earlier.

AND, the Corp was paying out 25% on LESS volume. Yes the $$ amount brought in by the sales of distributor was the same, but the actual product moved was less.

.

(That’s like a company giving its employees raises when sales haven’t increased. As some point, the money would run out.)

.

As an example, a box of Double X (given that name ‘cause it cost $20) used to be 20 PV. Today, that box is 24.35 PV. So really, we are getting 22% MORE PV than the distributors of yesteryear.

To go Platinum before the ratio invention, 375 boxes of Double X would have to run through your business.

To go Platinum today, with the PV:BV ratio, 308 boxes of Double X would have to run through your business.  Almost 18% LESS volume to hit Platinum.

.

And today we have more products, better technology, drop shipping, DITTO—all things that the pioneers in this biz didn’t have.

.

I think the idea is to focus on profitability rather than the Pin.

And that’s what I think the Corp is attempting to do with the First Circle initiative.

.

I've had to change my thinking drastically, because, even though I was taught that profitability is important, the accolades and attention were/are given to the Pins. Being a Diamond was/is held in such high-regard, but I think the real honors should be going to those who've helped X-number of people earn X-number of dollars.

.

There's a big difference between being a Platinum and being a PROFITABLE Platinum. Same at the Diamond level.

I'm all for recognition, but when it's all said and done, it ain't gonna pay my bills. :-)

.

Editor's Note:  Wow!  Great explanation Bridgett. There probably are few people outside of Sales and Finance who could have done as well!  -- RL