Inside Quixtar

Beth,

As someone has said on another post, the 21st century is all about change, isn't it. Considering the range feelings that well up, and weighing the various options that come to mind in response to Jim's announcement, I guess the bottom line is 'what can I do to be part of contributing to the success of this new opportunity,' and just choose to define it in my mind as a new opportunity and move forward with it from there. Am looking forward to more details as you are able to share them. And thanks for your commitment to transparency -- you and all your colleagues at the Alticor companies.

With appreciation,

Wow,

We wanted change and we got it. After I thought about it for a few minutes I began to realize this makes sense.  Alhough we attempted to get traction with the Quixtar name the simpe fact is we ended up talking about Amway anyway and it was just confusing. While it is apparent that there is going to be numerous details discussed over the next few months one of the keys will be the company's commitment to a real marketing campaign regarding the Amway brand that is first preceded by the improvements that are outlined.  

This won't be a guessing game.  There are many successful examples of rebranding and they always get the message across that "this is not you daddy's experience".

This is the single best move you could have done!  I am so excited.  People still know the Amway name, and the behavior and demeanor of the IBO talking to an individual will determine how that person feels about Amway.  "Quixtar" was a non-starter.  Just yesterday, a total stranger I met did not know the Quixtar name but was familar with the Amway name.   He didn't have an opinion, but he recognized the name.  

Time marches on.  Many people I've met don't recognize either name, and we can use that to our advantage.

When Quixtar started, it had no reputation.  The actions of some IBOs quickly gave it one, and the inaction of Quixtar let it stick.  But many things are changing now.

I want the new Amway to be a respected business, one where the IBOs act in a business-like and socially acceptable manner.  By "socially acceptable," I mean one where people won't try to avoid you because they know what business you're in; one where the curiosity approach is a thing of the past (deception breeds mistrust, and hence the "avoiding" problem); one in which it is your own Amway income has that has paid for the house, car(s), or other possessions that you may show to motivate your organization, and not your BSM income!!

It is the behavior of the IBOs that truly makes the reputation.  The new "Amway" will be just as quickly tarnished if the old behavior is tolerated.  Those that wanted to run away from the old Amway in 1999 quickly made the same mistakes in Quixtar.  For my money, if those kinds of IBOs don't want to behave, let them stay in a tarnished "Quixtar," while the rest of us move on to a new "Amway!"

Thanks Steve, thanks Doug, thanks Jim (Payne), and thanks most of all to Rich.  You have been a role model to me for over 30 years!

This is great news. I’ve always loved the Amway name because this business absolutely represents the “American Way.” Amway is a name to be proud of, not to hide. It represents courage, entrepreneurship, and creating wealth for all through a serious, legitimate business model.

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Also, the infusion of more bonus money is fantastic, and the introduction of new competitive products is so crucial to rebuilding the Amway image of great products and great value.

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And about the name change, I don’t think it’s really a major shift, anyway. I always have explained Quixtar as “the new Amway.” I mean Quixtar is Amway. I’ve always found it very deceptive when people claim that Quixtar is new and not the same as Amway (sadly this happens far too often). As a side note, now we can finally crush the rumors about how Amway was in legal trouble and had to change names and how Amway is trying to deceive everyone by changing names.

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So I for one am very glad to move back toward the basics of this business. A family with the desire to improve their lot in life can, through hard work and growth, provide products that will help others, and give those people the chance to do the same. “It’s the American Way, it’s Amway.” :)

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P.S. It’s like Darth Vader said, “The circle is now complete. When we last met, Quixtar was but the learner, now Amway is the master.”

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Or, here’s a reference only us kids will get, “All your Amway are belong to us!”

Beth:

I must say that all the transformational efforts appear to be more high level than specific.  In particular the Quixtar/Amway infusion.  I had never been involved in the 'old' business model of Amway, so I truly have no point of comparison, personally.  But I do know that the negative perceptions that exist in the market about Amway have made my acquisition efforts (prospecting) less than pleasurable.  I am a founders Platinum and we have already helped one of our businesses go Platinum as well, so it's not like my wife and I are sitting around 'waiting' for things to happen.

At first reaction, I must say that I am concerned and if you can bring more clarity to the reason behind this 'image infusion' it would be helpful.

In addition, what is the management team doing to truly help our businesses acquire, engage, mature, connect and retain future business builders.  I like to call this a 'connected strategy'.  Basically, what is the company going to do, not just to help create awareness but to usher in people and help them perform a proper discovery of our opportunity in an ever increasing dis-connected culture.

Thanks for listening.

One proviso for those posters above with a history in the old Amway... talking about "the American Way" is a non-starter with a lot of people outside the USA, particularly in Canada. That's not my opinion, it's a market environment reality. If Alticor is going to re-brand the business with 'Amway' then stick with the name 'Amway.' If you want to talk about "the American way," go into politics :) . I say this in a friendly and collegial sense, please don't interpret it in any other way.

With appreciation,

I am disappointed that we are bringing back the Amway name. It carries way more baggage than most people realize. Instead, the company should make Alticor the global brand. It's a name that sounds relevant to today.

Besides, you cannot bring the sins of one business into another and hope to change perceptions by a name change. People adapt to a new name fairly quickly if they have a quality experience with the company. People have not had a quality experience with Amway or Quixtar because of the deceptive training systems.

Changing the name back to Amway would be like Pontiac changing back to it's original name so it could "get back to it's roots." Hey everybody, let's go buy a brand new Oakland. Doesn't that just get you all excited? Sounds like 1908. "Amway" sounds like 1959.

Sorry, but that's just how I feel about it. :-(

I don't know what to think yet.  I was in the "old" Amway for a while, and vowed never to do that again, because of all the negative connotations.  Now so much of the same negative is associated with Quixtar, and I find myself in an LOA which heavily promotes "system" in its Open meetings, and never mentions the Quixtar name, much less Amway.  "We are not a products business, we are an education business."  And of course, many of my Diamond leaders made their fortunes under the old Amway.  I'll have to digest this. I don't expect any of my uplines to talk about any of this, so a big THANK YOU to all the folks who make these blogs possible and contribute REAL information.

And this comes up when I realize I may only be 6 months away from beginning "profit sharing" from the system; I've been told that when I reach that point, my income from profit-sharing (tools) will exceed my Bonus income by a wide margin.  I want to feel good about my business, so I'm looking forward to see what A/Q comes up with to improve our training outside the "systems".  I'd like to feel I'm not pressured into lying to my prospects about how much money they will lose (excuse me, invest) before they start to make money.

Just gotta digest this!

To me, this is all about the continuing strategy of going on offense. When we talk about this opportunity with others, the constant fear is that they will go to the web and discover the connection to Amway and Alticor. Why not start at that point? Personally I'm tired of trying to dance around an issue that I can't control. Lets stop being defensive and go forward.  If the folks in Ada can improve the reputation of the Amway brand like they did with Quixtar, I think we'll be in good shape and this could work to our benefit. As I listen to other IBOs in my organization, the business isn't working as well as it could be, so why would this change be a bad thing? To continue with something that we know doesn't work would be insanity.

SOUNDS LIKE THE NAME CHANGE HAS ALREADY BEEN MADE ,  NOW WE WILL WAIT FOR THE LAUNCH OF THE NEW NAME . NOT THAT IT WILL MEAN A WHOLE LOT TO YOU , BUT I CAN'T ACCEPT THAT THE IBOA SIGNED OFF ON THE NAME CHANGE ? QUIXTAR DID CONSULT THE IBOA ? DIDN'T THEY ?

I THINK I SPEAK FOR A LOT OF IBOS , I LOVE THIS BUISNESS. JUST THE SAME IF QUIXTAR GOES BACK TO THE AMWAY NAME , I WILL LEAVE ASAP.

                                                JIM TELLER

rdknyvr,

I disagree. America has, even before it existed as a country, a place that promised opportunity. Thousands have literally died trying to get here and/or to place that are representative of freedom, such as the Berlin Wall. The American Way isn't political, it is freedom. Happy Flag Day.  

Jeffrey,

I agree with you about the tool profit issue, a name change by itself won't fix this problem.

James Teller,

Goodbye. Anyone who can't get over a name probably doesn't have the stuff to build the business to begin with.

Please think twice before you do this. its going to be a disaster.

Amway has a very bad image in USA for sure. and its like committing

suicide.

If you are looking for one name I think Alticor is better name than Amway/Quixtar.

90% of people got into the business because its not Amway.

And they will quit because its Amway now.

In society people rarely give second chance. and what you are

expecting them to do is give us one more?

Its just my thought.

@ Bo – I don't think it'll be a disaster… most marketing research will tell you that it's MUCH easier to rehabilitate a brand with problems than it is to launch a totally new brand. Consider AT&T and Cingular. When AT&T went into the cellular business, they decided they wanted a new/young/hip brand, rather than the "old and boring" AT&T brand… but it didn't work out, and now they're merging Cingular back into AT&T… if you have a TV, I'm sure you've seen those ads.

A LOT of parallels here actually between Amway/Quixtar and AT&T/Cingular.  

People take this opportunity and run because it solves some type of need in their life, not because it's called Quixtar or Amway. If you build a relationship with your customers and prospective IBO's they will follow your lead because they trust YOU. If you loose a person to "the negative" than you have not spent the time upfront to connect before you pitch this opportunity, they may still say no but at least they will understand the true Amway. People that want the rewards for building this business will always do what it takes to succeed.

Mike.

Does anyone know what the response is from LTD. Personally, I don't care what most of the Diamonds think because they've done nothing but lose numbers since the launch in '99 (although I respect their previous accomplishments).

Editor's note:  Comment edited to remove specific names.

Bo and others: changing the name to Alticor or any other new name would only further confuse the issue and cause major mistrust. …Then we be like that Prince guy (formerly known as, formerly known as).

I agree with G_W. Most people I talk to recognize the Amway name but don’t know much else about it, so with some “rehab” Amway will be a very effective name. Afterall, is the core Amway business model has been proven many times.

Furthermore, if it is true that “Amway has a very bad image in the USA” then the solution is total and sincere change so that the new Amway will not have the problems the old Amway had (mostly LOA problems coupled with lack of action on Amway’s part, it would seem).

And I agree with Tex that a name change without an ACTUAL business change won’t do any good. But it sounds like Amway is doing awesome things that will result in real change. So keep up the great work, Amway.

Oh, and Canadians are North “Americans” too. :)

Tex, re. your post above,

I’m with you and many others here all the way on the ‘exceptionality’ of what the US represents in and to the rest of the world, the uniqueness of its Constitution-based form of republican govt, and other history-changing ideas as laid out in the original Federalist Papers, and Alexander Hamilton, who laid the commercial foundation for modern free enterprise. In fact, if you’re looking for a good summer read, check out Ron Chernow’s recent biography of Hamilton… you’ll never look at free enterprise in the same way again. My own brother-in-law survived harrowing circumstances to get to this country, and hundreds of thousands of his Vietnamese compatriots died trying to do the same thing in the 80’s and 90’s. My cousin’s husband survived the Mariel exodus from Cuba in 1980, I think it was, to get to a better land, so I think to some degree we share similar sentiments on this topic.

As to my comments on “the American way,” however, my intent was to highlight the need to be aware of real differences on this continent across the 49th parallel, at least if maximizing image impact, growth potential, positioning, and market share for this business is important, as it is for those who have business in Canada. The social/political culture in Canada is such that even strong conservative admirers of the US see themselves as ‘different’ from Americans – in good ways – but still different, and this sensitivity and individualism cuts across all economic/political stripes. To make in-your-face connections in the Canadian market between ‘Amway’ and ‘the American way’ is just a non-starter for 99% of the population. Why would one go out of their way to unnecessarily alienate potential customers and business colleagues? For those who honor being customer-centric, I think it is a fair consideration.

On other matters, thanks for your ongoing postings on the various threads – you’re always an interesting and stimulating read.

With appreciation,

Is this the first notification of this change?  I find it interesting that no one up to and including my Diamaond has mentioned this.  I have mixed feelings about a name change.  If it had been called Amway I would not have joined (I actually ran off someone when it was still Amway!), but now I know what it is and am tired of trying to convince people that SA8 etc. isn't Amway. Does this mean that I can finaly have overseas clients now?  What new bonus money?  How do these people know about all of this?  Where and how can I get this kind of information?

I'm disappointed about this decision, and wonder if you actually asked existing IBO's in the US if they thought this name change is a good idea? I

can remember all the negativity I used to encounter around Amway, and can't

understand why you'd want to open that can of worms?

Another thought. After being around the business for a while, I'm starting to see that the criticism about tool volume being an entitlement program for many diamonds has validity. Quixtar changing their name to Amway will seal the deal for a lot of people, because instead of trying to be a step forward, it will appear to be a step backward to the past, and all the negativity surrounding it. I agree with James, I find it highly unlikely they consulted IBO's before making this decision. How disappointing.

rdknyvr said:

The intent of the "American Way" slogan is not the in-your-face, we're better than you, my way or the highway, etc.

It is pure, simple freedom.

If you or anyone else wants to take it the first way, that is their decision.

I recently served on a jury and one of the fellow jurists was one of the Vietnamese boat people. He left his entire family behind, didn't know where he would end up, and actually the U.S. wasn't his first choice, but that is how it worked out. Amazing story. He was looking for freedom. Period.  

Carroll,

There's a lot your upline Diamond isn't telling you, the name change is one of the least significant. Ask them how much tool money they make (books, CD's, voice mail system, functions, etc.).

Alan,

The weak will leave, and we will be left with a healthier foundation. The corp has clearly stated there must be other changes, and we must ensure one of them is to clear up the tool profit mess.

You can call it whatever you want. I know Amway created a lot of wealthy people.  Quixtar also created some wealth. If we want the Amway name to be a positive name then we need to look in the mirror and make it just that. IBO's represent how we are looked at, not the guys in Ada. I am sure the corporation will do what it can to via advertising to help but in the end its up to us.  Let's look forward to the positives and make our lives better through this opportunity. Good luck and STP!

The One who is going to get affected the most is platinums. (either positive or negative) So i think the corporation need to take a POLL on this name change.

Because of most of the diamonds are not bringing new people in the biz,

the one who is in the field is the best person to give feed back.

Regarding cleaning up tool issues etc, i am so excited.

At the same make sure its not just any other MLM. Because i got into

business because of the system. I made a decision to build the biz because of a conference. (whether someone makes money of it or not i dont care) but its the same system that made me stronger person to lead. now i am platinum in 3 countries.

Regarding increasing the bonus levels, i wish if we can help a brand new IBO make 100$ (min) in the first month. That helps their belief a lot.

Just my thought.

A final comment on the name change. My attitude about this is the same as my attitude on mixing politics and religion with the business. If it's not

necessary, and it will potentially turn some people off, why do it? I've seen people walk away because they didn't want to mix business with politics or religion. We can thump our chests and say "the weak will leave and the strong will remain", but we forget that some of us were "the weak" when we came into this environment, and we -changed-. Best not to chase people off before they've had a chance to grow, in my view. I see the potential downside of changing the name to Amway as much greater than the potential upside, but hey, this is when instance when I really hope I'm wrong. We'll soon find out.

The positive aspect of the name Quixtar is that it is a North American business.  Based on my brief

time here in this region (I am an American, by the way), "The American Way"is not something that

I want to be marketing here.  Whatever name is chosen, please assure that the alienation that rdknyvr

refers to does not become a reality.  Choose the name wisely.

Steve,

They did. It's Amway.

We started "Our" business at the launch of Quixtar.  "The Business" is an old Amway term that should have gone the way of the dodo bird.  We built a Ruby business that has received the Q-12 check 3 years in a row.  In this competitive economy, I agree that the contracting company we use(whatever name you call it) should streamline and cut at least 50% of the "fat".  This will allow the price of many products to go down (like we've seen with the Incredible Edibles) while still putting more money into our compensation plan, which is already the top compensation plan in the industry.  The contracting corporation needs to keep its focus on finding products in the marketplace that the public buys and sign contracts for us to market those companies' products.  This approach will allow the corporation to have a more competitive price versus having to take the time and the risk to manufacture everything "in house".  While the corporation has proven its expertise in manufacturing dietary supplements with Nutrilite and skin care and cosmetics with Artistry, any products outside of this area of expertise should be found in the marketplace, & marketing contracts should be negotiated with manufactures that are experts in their particular line of products.  A great example of this is XS Energy Drink, which is the #1 selling SKU, but is not manufactured by any branch of Alticor. Whether IBOs get exclusive marketing and selling rights or even exclusive pricing on those companies' products, it will be a better alternative and allow us to be more nimble in the marketplace.  

All that being said, I am all for positive change forward, which is precisely why trying to reinvent the old Amway name in today's marketplace sends the message of going backwards to the day of Amway manufacturing their own quality products for Distributors to distribute.  I agree that most of the IBOs that built Diamond businesses are not in the hunt and actively growing their business, so while their input is respected, it should not be the end all be all.  If you are looking to dump the Quixtar name (which you don't have to do to streamline operations in Ada) then I agree that Alticor should be the name of choice.  Regardless, the $100 Million in advertising dollars should not go towards building the contracting corporation's brand name, but rather the exclusive brands that we are selling in the marketplace (Nutrilite, Artistry, XS, etc.)  The latest Asafa Powell commercial highlighting Nutrilite is a perfect example.  

Lastly, whatever decision is made about the name, Independent Business Owners need to step back and really look at what their business is and communicate it properly.  Many of the growth challenges stem from IBO "leaders" that built their businesses in the old Amway model.  They were not willing to change and that unwillingness to let go of the old way and embrace the new opportunity has created most of the confusion.  As someone who sees the future for what it can be, I do not support reverting back to an old name.  We are Independent Business Owners that run and operate our own business.  Whatever name is given to our contracting corporation, they are only a supplier for us, much like Sysco is for many restaurants.  Many IBOs have training or educational systems available to them that can offer great guidance since the contracting corporation does not provide this because once again they are ONLY a supplier to our independent businesses.  My wife & I are very blessed to be affiliated with an organization of integrity that does not generate most of its income from sales of tools and support materials, but rather teaching the newest IBO how to develop some Ditto customers and generate some real income.  If we effectively communicate the opportunity that is available, we get supported by a $100 Million ad campaign, and we as sponsors genuinely help the newest IBO develop a legitimate, profitable business as fast as possible, we will all move into the future with exponential growth and achieve revenue thresholds that will be multiples of what we have achieved in the past.

Steve, others:

That’s my point exactly. (I have dual citizenship, by the way). Quixtar IS a North American brand, and Quixtar name recognition at whatever percentage level is an untainted one. I wonder if the market research Alticor is relying on looked at the degree to which the brand recognition was positive or negative. And whether the social, political and media commentariate environment was thoroughly considered in both countries. In Canada, it is de rigeur during (and between) elections for at least two of the three main political parties to bash 'Americans' to get votes from certain parts of the political spectrum, including 'independents', sad to say. The media is in love with the politics of destruction, character-assassinating, is relatively left wing oriented, anti-American biased and loves nothing better than to bash anything "US" particularly around politics and values, including something associated with "the American way." And the estimable personal values espoused by the DeVos and Van Andel families are natural media targets whenever the opportunity presents itself. When you are trying to steer a ship through a narrow passage endangered by shoals, does the ship's captain navigate carefully around known obstacles to reach the desired destination, or does he/she just say “dmm the torpedos, full steam ahead?” I know they do that in the movies...

Just my thoughts, and with appreciation,

Does anybody know the changes that are supposed to be coming with the tools

or is it all speculation at this point?

Well to start.... I'm very upset!!! I joined Amway in 1990 and was the kind of person you would of said. No way would that person ever make it!!! Well I didn't for many years. Sad but true, I worked & worked at it, but no cigar. As for all the hip hip about system $.. Get over it! I have been a part of the system for over 17 years and galdly spent thousands on meeting and tapes CDS & stuff. It has built me it to a better person, father and business man! At a price of about 2k per year. Now really do I care that the folks make $ on me? NO! It's a business & I'm proud to be part of it! I would say you could never find it out side the walls of this business. I would like to know folks comments. Please share!!!!! Do you know of anything better!! Now to why I'm hurt and sadened? I was a 4000pv-( I hit the pin one time) when Quixtar came in to the picture and soon after I was a 100pv maybe? For many reasons & Mostly I was the reason, But Change is good but going backwards is bad!! I love you RICH you are one of my life time heros only second to my father but we are your leagacy QUIXTAR & AMWAY. I have to voice that I would say that the IBOA is 100% not for this change (Please do not take this out it is my feeling)!!!!I know many of them!!!!!!!!! Hear me loud and clear!! I love this company! & will I stay if the name changes? YES! I bleed A's in my blood! But not the Near 200 IBOs in my group all joined 2005 or later. Yes after 17+ years I'm in Platinum Qualification and NOT one IBO but me have ever know anything but QUIXTAR.COM

Now please This is not a good move. I have said to all the folks on my team we are not AMWAY we are a sister company..!!That is what you have asked us to say. How can I become a lier NOW. Please help me understand. I have faught harder than anyone I know to build this. This will hurt us. I love AMWAY. I love AMWAY!! But you asked me to build QUIXTAR & I did! I will survive(WILL MY TEAM???) I'm very sad!

You are not right on this I have been around to long to know the heart beat of the people. & it beats QUIXTAR.

Steve

Tex,

Thanks for letting me know.  As soon as I submitted my post, I realized my mistake.  As far as the upcoming transformation, my wife and I will continue to pursue our goals through this business no matter what the name is.  One of our challenges is the incredibly negative reputation that Amway has here.  A few of those before us left a path of destruction here and we are trying to sift through the rubble.  There have been/are IBO's who are very successful in this region and all over Canada. They among others are our inspiration.

Steve (the non-Platinum)

Kyle Sanders,

What is your tool system (name, upline Diamonds, etc.)?

Steve,

It's over, the "new" name is Amway.

I suggest you spend your energy deciding it is a good decision, have a positive attitude, and work hard to keep your group together.

I do not share your opinion about the tool profits, the upline has changed the business model so much, the way the profit is made is not even close to the plan you see and show.

This needs to be fixed, it will probably take some time, and hopefully is the main reason they aren't changing to the name Amway yesterday.

I remember the jump-for-joy enthusiasm of everyone I knew “in the biz” when we felt we were being released from the shackles of the tarnished name—and practices—of the past.

For those die-hard Amway people, they can shout from the rooftops about the history of Quixtar and it’s association with Amway right now. You don’t have to change the name and screw the rest of us over. You can talk about Amway, right now, until you are blue in the face, but don’t force ME to talk about Amway.

Mr. Payne, Who exactly have you asked about whether the name change would be a good one? Who are your “experts”? It seems a bit odd to me that the Corporation, talks about entrepreneurship and yet don’t seem to “get it”.

Why not look at your databases, see what IBOs are sponsoring the most AND MOVING VOLUME, and ask THOSE IBOs what they think about your brilliant idea?

You can spend hundreds of millions of dollars in advertising saying “Amway ROCKS! Amway is the best! Look at all these facts and figures!” But that is NOT going to help the BRAND NEW IBO. Perception is reality. Fair or not, that is the truth.

Those that have been around a while have the mental toughness to survive anything really. But the BRAND NEW IBO (are we thinking about them?) will be associated with a company who LIED (reality or perception) for eight years saying “Oh no, Quixtar isn’t Amway.” If you think there has been backlash (primarily on the Internet, which is available 24/7, user-friendly, and gives you thousands of sites at your fingertips by a single Google search) regarding Quixtar, you haven’t seen anything yet if you move forward (or backwards, really) with this name change.

Quixtar is nothing of the Amway of the past. Even the comp plan has changed. The differences are extraordinary. Even the Quixtar of 1999 is NOT the same as the Quixtar of 2007. Why would you bring all the old baggage, as well as the PERCEPTION of an old business model by reverting back to the Amway name?

To say that it’s the “New Amway” is crazy. It’s like the people at Toyota saying, ya know, Toyota has such great brand recognition, it’s got such history, we can use Toyota’s revenue figures and make the numbers look better, let’s drop the Lexus name and let’s start calling this vastly superior car the “New Toyota”.

Yes, there are some challenges with the growth of Quixtar. But it’s not the name. It’s trying to sell a meal replacement bar for $2.51 when they (IBOs and Customers) can get a dozen of other brands for 99 cents. Come on Corporation! Wake up! There are two negatives that I confront when sharing the business plan with people 1) The money is made by selling CDs, books, and functions; 2) You have to buy ALL your personal use in order to make this business work and find others to do the same (with the hope that you’ll find enough people that one day when you hit a higher bonus bracket, your bonus back on your personal use will cover the inflated IBO and RETAIL prices you’ve been paying) because no one in their right mind would buy anything from you at these retail (and many even at IBO cost) prices.

If you don’t want all the negative of LOAs making their primary money off of tools (which my LOA does not participate in these practices, by the way), then give us PRODUCTS we can make money off of—not by jacking up the price and loading it with a bunch of BV that really only benefits the higher pins, but offering cost-competitive food products (edibles) that we can sell over and over and over and over again day after day after day—and leave the name alone. You can do this WITHOUT CHANGING THE NAME.

And you may want to clean house over there at the Corporation. Start by firing those with brilliant ideas like:

1) Waiting seven YEARS to give us ammunition to fight all the crap on the Internet. This wasn’t an intentional decision to leave us all in a war with no battle gear no weapons, but a stupid, naive, lacking all wisdom, “old thinking”, completely void of any understanding of the power of the Internet (which is ironic), and out of touch with the environment in which the brand new IBO, and prospective IBO live in, decision.

2) Selling a smaller box of SA8 (good thing) BUT charging a whopping 50% more per use, while offering no price break for buying a box 50% bigger (100 load versus 150 load). Seems kind of unfair, don’t you think?

3) Giving triple PV on the Tsenso teas. People artificially hit higher bonus brackets, but their bonus checks were lower in dollar amount at that bracket. The Corp moved more product and paid out less in bonus money. That equates to less money for the IBOs and more money for the Corp.

4) Lowering the price on the 10-day supply of Double X by one dollar—on the RETAIL price only. Didn’t touch the IBO cost. How thoughtful of the Corporation to lower the IBOs’ profit without taking on ANY of the burden.

5) Deciding to spend millions of dollars in advertising, on a CONCEPT (the land of will?) rather than a tangible thing like a product or product line. Who was your audience? Those commercials were geared toward those who were already IBOs. It was a feel-good-about-what-you-are-a-part-of (though we at the corporation really don’t know what that is)-rah-rah-pat-ourselves-on-the-back waste of money.  Ask any McDonald’s owner what attracted them to own a McDonald’s in the first place. Did they see an ad to own a McDonald’s or did they see an ad about products McDonald’s offered?

6) Changing the name to the New Amway.

These decisions—the name change, continued non-competively-priced products, and continued employment of people with poor math skills and those who are completely out of touch with the world in which we (the non-corporate people and the non-Diamonds) live—you are making over there in Ada, are breeding resentment, anger, disbelief, and mistrust.

In the words of Will Ferrell’s character from the movie Zoolander, “Doesn’t anybody notice this? I feel like I’m taking crazy pills!”

Everything rises and falls on leadership Mr. Payne. Perhaps the explanation (and solution) as to why Quixtar’s numbers aren’t where they could be isn’t a matter of “brand name stickability” but a matter of who is leading this ship and who you have chosen to be on your team.

To Steve's comments on the "system", I agree in that it produces better husbands and wives, better parents, and better citizens, and I don't mind people making money off of them. The point is this. The Quixtar/Amway compensation plan is very equitable, and it supports free enterprise because it's based on performance, not on entitlement. It's not a pyramid but a ladder compensation plan. The problem with the tool compensation plan in many organizations is that it is -not- based on current performance, but instead has become an entitlement program for people who went diamond years ago but are no longer qualifying. It is -that- compensation plan that has, in effect, become a pyramid. The problem with this is simple. The reason free enterprise is so esteemed in America is because of the incentive it gives people to do a better job. Minus an incentive, it's easy to become complacent about your Quixtar business, especially if you're making 3 to 4 times the amount from tools and conferences as you are from product. Last but not least is the negative that's on the internet about it. I can and will defend the silly rumors about our business model, but the tool volume entitlement program that some organizations adhere to is indefensible.

If the research shows that Quixtar still doesn't resonate with the public, who is at fault? Is the solution dumping this great name Quixtar and going back wards to a name that will resonate negatives with the public?

I believe Quixtar just started in 2006 with some great media ads in magazines and TV land. This year we have Asafa and we all know what great ads we have seen in the past [only in the Quixtar site]. What good is the ad when seen only by us IBO's? Hello!!!

I sincerely believe that we need to build on this momentum of all the great ads that we have seen currently, and go full blast and blitz more with TV ads like we are doing right now. Pick some great programs with potential to give us major recognition like Oprah, Sports Channels, Food Network etc. Lastly, I believe in you guys in Ada. But give Quixtar a real chance with some real support that will change things around that will make us proud. Thanks.

The New Amway?  No way!  There is no amount of advertising that will change e perception people have about Amway.  It is a bad idea and as a Sapphire in this business I say NO WAY!  We have worked so hard to keep Quixtar from going the way of Amway in people's perception and WITHOUT the help of the corporation we have barely succeeded.  What we need is a 100 mill ad campaign for our products we have available through OUR OWN ON LINE STORES. The ads that were done for QUIXTAR were a waste of money and obviouisly done by people who aren't in the living rooms and dens with people trying to convey this business. "The land of WILL"?  so ridiculous.  Says nothing  jreally. Leave us alone and quit pulling the rug out from under us.  It's hard to trust our leadership with these kind of decisions.  We are the ones dealing with people out side the corporation and Grand Rapids, MI.  Ask us, the people who see this business as their future and have been working this business for YEARS!!!!! Ask us what we need!  IT IS NOT THE NEW AMWAY!  I feel totally betrayed. Maybe sell a few of your G5 jets and lower the prices of products and ad bonuses to make this better for the newest people on their way to diamond (which will be easier when you quit messing with us and start listening to us)!

Alan,

What about those LOA's offereing tools, that do Qualify each and every year at the Diamond or higher level.  In your view are they then entitled to receive income from their tool business?  Or those "old school" Diamonds that have since grown (EDC, Double, etc) in Q* every year?  Are they allowed, by Allan rules, to make money from tools?

Again this line of questioning is all based on the premise that they give out VALUABLE information about how to effectively build an organization.

What do the partner stores think about the change in name?  How many of them are thrilled to be flying under the Amway banner?

I am a Founder's Platinum IBO.  I have attended the New Platinum Seminar and seen the fantastic employees and facilities in Ada Michigan.  I have also seen the fantastic facilities and employees of AMI, our support system headquarters.  I appreciate both and know they are essential to building my business.

That being said, after all the work and sacrifices we've made in the past few years, I feel betrayed.  I would not have registerd under the Amway banner because of the name(rational or not) and I don't see myself promoting the name.  I feel this is a stab in the back and I worry that I will have to possibly look for something else to do if and when this change takes effect.  All the business I have worked to build will be gone.

The additional bonuses will be necessary to compensate for all the people who will quit.

Here's hoping this idea- and those who proposed it- goes the way of the New Coke.

Tex,

We are affiliated with the World Wide Group Organization that is steered by a Management Team of the top 20 businesses in the affiliation.  The top 20 are dependent on performance and not tenure.  Our line of affiliation starts with Ron & Georgia Lee Puryear, Dave & Jan Severn, Greg & Laurie Duncan, and Dan & Sandy Yuen.  We are Blessed to have business coaches that operate their businesses and lives with Integrity.

Bridgett,

Thanks for telling the truth.  I only hope that the contracting corporation changes their perception on their false reality.

Tex,

I agree & should of clarified my position. If you do not qualify keep your hands out of the piggy bank (tool $) that is why the company should publish a list of all the pins each year. We are talking about transparency are we not? Let focus on the point. Then if you are only a Emerald faking a Diamond pin we will all know. It will keep the real leaders in a place of leadership.............. Also let the one's that are not live in a glass house so they can walk the walk again or just sit down!!!(If you have a bigger pin God bless you I'm not saying hurt you just recongize the reality of our plan) Also Tex thank you for your positive hard nose comments about just getting busy working to the future. I will! But No, I don't think its over! But My point is still the company thinks that this is a political race, it is not. Ask any platinum & they should. please comment??? Should they ask us? Do we have a voice? What about the folks that joined Quixtar not Amway? Is this not the most crazy thing you have every been a part of!!! I have always been told the company does not understand what we do in the field, now this just gives that truth. I say this with all the respect I can at this point.

I do love this company but I just can't grasp why?  Please do not shead some bigger image stuff with me. I'm not buying it. Ask the IBOA. The truth lies in that. Does the company really what to know what we think? Please comment again.

Have you ever heard of Quixtar? NO what is that? Music to any IBO's ears.

If the company is listing this is the point.

Steve

I think it's somewhat disturbing that so many IBOs join quixtar as they are recruited with "dreams", "residual income", "job optional", and then after years pass, many IBOs do not make any profit.

Ah, but upline now teaches that the business is about friends and being a better person.  What happened to reason(s) you had for joining the business?

If yo wanted to be a better person, husband, etc, you could have joined a church and/or took self help courses, all at a cheaper expense than the tapes, books and seminars.  

JoeCool,

What you have failed to recognize that being a better person, in and outside of the home and job, allows you to make more money in this business.

If you apply the knowledge.  If you have a grumpy face because your day at work or in your family life was not the best, this shows when you are out talking to customers and/or prospects.

Understanding that you need to put on a game face and a positive relating face, despite your everyday circumstances, will help you achieve your goals faster.  Which in turn will help you achieve your original reason(s) for getting involved.

Josh, in answer to your question, yes, I absolutely agree that Diamonds who qualify at that level should receive tool/function compensation in proportion to the volume they're generating in that area.

Josh, as a follow-up to my last reply, my view is why shouldn't people make money on tools? We make money on products and services, why not education which encompasses both? If the same criteria was used in paying out tool volume as is done in the IBO compensation plan, we wouldn't be having this conversation, and the negative press about it would be easily dismissed. My point is simply do what is done in the IBO plan, make the payout be based on current performance, which requires width and depth for profitablity and security, and if Diamonds or below get wealthy because of it, great! No one can convince me, however that it's fair or helpful to have a compensation plan that pays for life on past performance, regardless of current standing

and qualification.

I have really tried to be open minded about the name change back to Amway, but the more I think about it, the more I fear for the worst. Much of it is from reading the posts of the Platinums and Sapphires that are also scared.

I think that Steve Van Andel and Doug DeVos have a utopian view of the Amway name and they think that eveyone is going to rush back saying, "Oh, I'm so glad Amway is back. Where has it been?" They have absolutely no idea what we go through in the field. If anyone thinks there has been resistance to the Quixtar name?...I believe what's left of my group will be totally gone and I believe that this will be the end of Amway in America and will go the way of Kelvinator and Hudson. I even said to my wife that we better hurry up and build it so that when the name reverts back, we will already have something because there will be no building after that. I believe that we will be able to get into the living room to show the product or the business, but when the name is revealed, it will be over. I had a whole list of people I was going to contact when I got back from Ada, but now I just can't do it. And it still hasn't been posted on the Quixtar site. When people feel beyrayed, they quit.

I am trying really hard not to be negative, but I think going back to the Amway name is a monumental mistake. Nowadays in corporate America, one fatal mistake is all it takes. Then, literally, there is no going back to fix it. I really feel sad because I felt like we were really on the verge of something great. I guess now, I am forced to build my janitorial business. :-(

Ross J Stone -

Wow...just reading through most of the commentary...and as is true in life, when things change...some like it and some do not.  Change is always hard.  My wife and I have been in this business for over 12 years.  Obviously, some of those years we were in the Amway business, and then into the Quixtar business.  What we have always felt is this:  The business itself, the true business - whether called Amway or Quixtar.com - has always been the 'best of the best'.  In the building of our business back in the 'A' days, we learned first hand why there was some negativity out there about what we were, what we did.  And sad to say, some of the bad press was true.  But, is it not the case that in any profession there are always some 'bad apples'...remember what was said about car salesmen?  How about the most negatively joked about profession in the world:  attorneys?

One of the above writers referred to what we do as a 'profession'...and I would submit that is the case.  What we are involved in is the business of 'residual income creation' - nothing more, nothing less.  How well we do it is reflected in our income.  And, in this, the Third Age - sometimes called the Information Age, wealth WILL be created in the sharing of information.  Wealth will be defined in terms of cash flow, not in assets.  To this fact, I wrote a small book titled TwoCor;five-seventeen.  The challenge with most we talk to about this business (and maybe even that are in it presently), is that they have not an inkling of the economic changes that are afoot, and cannot be changed.  It is only through the educational process that one can come to understand this truth.  And it was due to the educational system of the business group that I was (luckily - really, VERY luckily!) associated with that allowed me to become educated to the point of being able to write what I wrote.  That I had to pay for this education...well, I paid for ten years of college, that netted me three degrees, of which the sum total of that education only enabled me to be a really good employee (when I was one).  To the charge that some make too much money off their 'programs of education'...I might agree to some extent.  Yet, as another writer stated...what did you join this business model with the intent of accomplishing?  Most I talk with have, initally, the goal of becoming financial more independent.  As they say...there is no such thing as a free lunch.

Whether you call it Q.com or Amway...if you are an individual of character, of integrity, then you AND your business will be seen in this light.  

In ending, I share one more insight:  this thing we call a 'residual income generating' business will take on the same validity that the 'job' did...some 90 plus years ago.  The 'job' was not accepted as the norm for some years...but do to the ability of the job to allow people to live better lives, it bacame so.  So too, will this busines model.  And, this business model will ultimately become the largest business of distribution in the Internet world (which is the world we all live in!).  Only One 'BIG DOG' on the porch...and whether it answers to the name Quixtar.com or Amway.com - matters not.  All other dogs will be out in the street.

Tex

Now is that a 60 million in new bonues for the world wide market????????????????????????????????????????????? If so I'm confused??? On a already 2+ billon??? world market bonuses pool. Now I may be bad at math & slow but that seems to only be a increase of 3%. Huh. I would like to know Tex old Buddy how is that going to make up for the pain this going to do??? It's just a question if this is really going to be a win win for us? I hope this is just for the North American market. I'm still not Ok with the NEW AMWAY idea & really not OK if I'm right. On a new note is the company going to do some crazy strick regs that they must approve all the BSM products. I will have to say it's very uncool to have that kind of control put on us. Ask any Russian IBO. As a IBO that is starting to share in the Tools system and so far it's performance driven. I do think if any of my upline that sharing in $ should quilfy??? It apprears to be a little off?? But fair so far. I can't see that company helping in something they have no expertise in or adding any value. Do you have a comment? I also know in the past Amway tried to capture & be in the tool business. funny !!! (selling America)Oh Babby!!! That fight was faught.

Steve

Beth Doran;

Where did you go on this topic line? There are some great conversations happening with some great questions.

Maybe a FAQ should be built so that we can hear from the Alticor/Quixtar management team.  

It would be great to see quality questions answered.

Joecool said: "If you wanted to be a better person, husband, etc, you could have joined a church and/or took self help courses, all at a cheaper expense than the tapes, books and seminars."

I disagree. The audio's and books are very affordable, and the seminars are the least expensive I've seen for any business seminar of it's kind.

The problem isn't in the cost, nor is it in the Diamond's making the lion share of the profit; so long as they earn it by helping their teams build and create volume, it has value. In my view, a problem occurs when people make money almost exclusively from tools, because that means they're not leading their teams to help them grow and move product. Which, for the newer IBO, is the only way they're going to make any significant income.

As much as I enjoy Church, I don't see people grow and change for the better like they do in our business environment.

But, at the end of the day, if the money's not there, they won't be either.

Well, I think I overreacted in my last post about doom and gloom.

On a whim, I sent an e-mail to a couple that used to be downline from my parents when they were in the business. They loved the products and retailing but disliked the system we were involved with. They dropped out but remained customers. I told them about some of the new things on the horizon, including the name change. They replied by saying, "That sounds great! Let's get together so you can give us some more information." They went on to say that most likely, they would get back in.

So, I guess I better quit jumping to conclusions too quickly. >blush<

Bridgett,

Unfortunately, when the name changed from Amway to Quixtar, NOTHING was done to fix the tool profit problem. Now that the tool profit problem is out in the open for all to see (thanks to the same internet that gave us Quixtar, ironically), Amway will be unable NOT to address this issue, whether the name change occurred or not.

You shouldn't ask those who "move product" what to do, you should do the right thing. After all, burglars "move product." The right thing is to force the tool profiteers to clean up their act.

Alan,

The main problem is the level of tool income is not commonly know, because if it was, there would be a major uproar from the IBO's, massive quitting, etc., and if you thought the reputation of Amway was bad now, stand by for a much worse reputation.

Mary Carlson,

How much do you, a Sapphire, make from tools, and what system do you use?

Steve,

I doubt the partner stores care what the name is, as long as their products move. In fact, cleaning up the tool profit problem will help the reputation, and I would expect a flood of new partner stores as a result.

ChrisL,

Goodbye.

Kyle Sanders,

If your leaders have so much integrity, how much do they make on tools?

Steve,

Have you considered that if a Diamond does not qualify as Founders Diamond in a year or two, they are probably no longer a Diamond? Think about how many "Diamonds" there are as compared to "Founders Diamond". This will tell the answer to how many have their hands in the tool "cookie jar".

Bridgett,

I agree with you that part of Quixtar's growth problem is pricing, but I do not agree with you about the plan changing since Amway.  The core plan has not changed for years; the only thing that changes is the Sales Incentive Program.  Quixtar has simply been Amway on the web with access to some other stores that earn you virtually no profit.  In addition, I don't believe it was Mr. Payne's decision to change the name back to Amway, that decision came from higher up.

Alan,

Why is a system who pays their Diamonds more for tools sales any different from Quixtar/Amway?  Diamonds and above get far more compensation from Quixtar/Amway, than lower pins.  Yes, they are rewarded for the volume they helped create by sponsoring IBOs who created volume.  How is that different from what an LOA pays a Diamond for tools?  The more volume the Diamond has helped create the more of the profit they should receive from those tools.  The reason there is more profit for the systems is the profit is going to the systems directly, whereas most of the profit for the Q/A sales is going to the Corporation.

Being an IBO for over 10 years I find the challenge is with the opinions and perceptions of MLM marketing and getting successful people to see past their status and feelings about this type of business.  With Quixtar I could present an internet based business and discuss how "affiliate marketing" works.  95% of the people I show the plan to have not heard of Quixtar and view the plan with an open mind.  I still have to counter their perceptions of the MLM market but at least I had a fighting chance.  If the name is changed back to AMWAY it will be like sitting down with a prospect and putting a bag of "garbage" in between us of us and trying to talk through it because that is the history the name brings up.  You will be increasing the grade we already have to climb to get to Platinum.  In our orginization 5 Diamonds fell out of qualification last year.  The name change will only increase this number.  

I totally agree with several of the comments above.  Change the pricing on the products and outsource those that cannot be made profitable at a consumer level.  Alticore is on the right path with the changes it is making BUY LEAVE THE NAME ALONE.

My issue is the lack of transparency with the tools business.  Nobody that I know of has a written agreement and/or compensation plan for tools.

Secondly, I think it's deceptive to lure people into the business with claims of early retirement, residual income, etc - all through the quixtar oppportunity - if in fact the diamond's residual income and majority of their income is from tools.  

Former diamonds who left the business have confirmed, at least in their own situations, that a majority of their income was from tools.  Also, that tools income is the "residual" income as many diamonds continue to be compensated even though their businesses are not qualified.

Therefore, it's possible that many speakers at the functions do not represent their current pin levels.

Quixtar's Anna Bryce confirmed that 2006 diamond club had 160 diamondships and 300 people (total) in attendance.  

Jeffrey,

Thanks for being so honest in your sharing, especially the last one... I had to chuckle with you as I too have been vacillating between the two poles. I struggle deeply with the name change and fundamentally disagree with it, but I've made up my mind to move ahead and work with it. It ain't the end of the world, if you'll pardon my French. Remember, we still have the Quixtar name to work with for awhile yet. Fernando has a great post above on just that. In the end, if one presents a positive attitude (not advocating Pollyanna-ishness) with propects and customers, I think that will show and will tip the conversation the right way. May not get them all, but what are the other options? I've looked at competing network companies in deep detail, and while there are a couple that have some good points, there is nothing that beats the Alticor group or even comes close, IMHO.

Steve-to-Tex above, lets wait until we see what the $$ changes are before reaching speculative conclusions. The new money is for the North American market, not the world-wide market, if you read the Doug and Steve memo again.

I'm sure there's more to come... I'm waiting especially to hear about QU and the corporate provided training.

With appreciation,

Sorry, Fernado's great post was from Tuesday on the "Not Your Father's Amway" thread.

Alan wrote:  I disagree. The audio's and books are very affordable, and the seminars are the least expensive I've seen for any business seminar of it's kind.

The problem isn't in the cost, nor is it in the Diamond's making the lion share of the profit; so long as they earn it by helping their teams build and create volume, it has value. In my view, a problem occurs when people make money almost exclusively from tools, because that means they're not leading their teams to help them grow and move product. Which, for the newer IBO, is the only way they're going to make any significant income.

Joecool responds:  Alan, what you say is true, but when these "tools" are never-ending, the costs eventually become prohibitive.  Also, if you are from Hawaii lik me, a major function is a major expense.  

Secondly, when you factor in the poor retention rate of IBOs and the negative publicity caused by the various motovational groups, you don't have a lot of IBO businesses reaping the fruit of their work.  What you have is diamonds maintaning their wealth despite a lack of success by their downlines.

i.e.  How many WWDB diamonds have broken since quixtar began?

VandalIBO said: "Diamonds and above get far more compensation from Quixtar/Amway, than lower pins.  Yes, they are rewarded for the volume they helped create by sponsoring IBOs who created volume.  How is that different from what an LOA pays a Diamond for tools?  The more volume the Diamond has helped create the more of the profit they should receive from those tools."

My point is -not- that Diamonds shouldn't get a greater share of the tool

volume, but rather that it should be based on -performance-, by having

qualifying depth -and- width in their organization. Suppose a Diamond had

lost three of their qualifying legs, for instance? In the Quixtar IBO

compensation plan, they would only be making the money of an Emerald, and

that's how it should be, because it's performance based. But alas, not on the tool side in many organizations, there's an entitlement for all those who went Diamond, no matter if they haven't qualified Diamond in years.

There, while a non-qualifying Diamond could make millions in tool volume, the pins under them often makes a fraction of that, even if their Quixtar

checks were actually larger! What's wrong with that picture? In theory, a Diamond with one huge leg who isn't even qualifying Emerald any longer

would still be earning much more than those below, even if those below had more qualifying legs! There's a reason Quixtar rewards width, and you can't be single legged or even two legged and earn very much. Some Diamonds have figured out a way to beat the system, by creating a system that beats the

performance (width -and- depth) requirement.

Our business model is great because it espouses all the values of free enterprise, namely that people who do more earn more, and it has a special

benefit, in that it's designed so that the more we help others get what

they want, the more we position ourselves to get what we want. All that

goes out the window when you remove the incentive to structure a healthy

organization, i.e. one which maintains teams in both depth and width.

Let there be money in tools, and let those who generate the most volume

make the most money. Just structure it equitably, so those making the money

stay hungry enough to be of value to the rest of their organizations.

By the way, my organization shares tool volume all the way down to lower pins, so my beef isn't personal. I've been around long enough to know what goes on in other teams (I used to belong to one of them).

Joecool18said: "...when you factor in the poor retention rate of IBOs

and the negative publicity caused by the various motovational groups, you don't have a lot of IBO businesses reaping the fruit of their work.  What

you have is diamonds maintaning their wealth despite a lack of success by their downlines."

Well, that's the crux of the problem, isn't it? "Despite a lack of success

by their downlines" being the operative words, here.  

There's a saying in the business "I'd rather have someone who's just hungry

than someone who's only sharp", yet with some organizations, we're left

with sharp leaders who just aren't very hungry, at least not on the product

side of the business.

Sharp becomes dull when it gets rusty.

That said, I have to differ with your contention that it's expensive. -IF-

the system you pay for pays off, it's actually very inexpensive. For those organizations where diamonds -do- have success by their downlines, and from

what I've seen there are plenty of them, the system is invaluable. Where

can you find a business with this much potential with so little overhead cost or investment?

I do sympathize with you having to travel -from- Hawaii, but it's hard to

be sympathetic for you about -where- you live! :)

VandalIBO said “Quixtar has simply been Amway on the web”

I disagree. The Partner Stores, though not profitable for the new IBO, adds the credibility that we could never have had offline—no matter how thick the Personal Shopper/Store for More Catalog is/was (which is also not profitable).

It also make the business model more of an Affilate Marketer than an MLM.

And when you use the word “simply’, you are implying that it so easy for a company to move their business online. And that is naive. Ask major companies (bricks-and-mortar as well as catalog) how easy it’s been for them to make the move.

“The core plan has not changed for years; the only thing that changes is the Sales Incentive Program.”

I said the COMP plan. When you say the “core” plan, I believe you are referring to the first two of the three ways to make money from the Corporation.

The three ways to make money are:

-The cost/retail differential

-The performance bonus schedule

-The leadership bonuses (which includes the SIP—is a huge addition but not the only one)

I am hesitate to get in to a whole detailed discussion here, because 99.9% of IBOs will have no clue what I am talking about. Most aren’t making money at the first way, nor the second way, so to get in to how extraordinarily different and amazing the comp plan is in the third category will be a waste of everyone’s time—including mine.

Just an FYI that, before Monday’s post, I’ve never participated in any online discussions regarding this business. The ROI (return on investment) of my time is nil.

The fact the people aren’t making money in the first way—cost/retail differential is A PROBLEM. Because if that isn’t working, the other two ways don’t work.

AND THAT IS WHY PEOPLE ARE FALLING OUT OF QUALIFICATION.

The FAA points, which were added to the Leadership Bonus money since Quixtar is HUGE. Because what it now does is it rewards higher pins (Diamonds and above) to help others go Emerald and Diamond and not just go Platinum.

It used to be that to go, say Crown Ambassador, you needed 20 Platinum legs. Just Platinum. Didn’t matter if there were any Emeralds or Diamonds in those legs. So to move on from Diamond, someone would have to get more width, spread themselves out very thin, and there was no real incentive to go down in depth and help your current Platinum legs to move on to Emerald and Diamond. Keeping them at Platinum actually made more money for the Upline!

And, it didn’t reward those Diamonds and above who not only were leaders, but leaders of leaderers—superstars.

But now that each leg has a different point value to the upline Diamond,

Q-12 Platinum 1 point

Emerald 1.5 points

Diamond 3 points

I can now go Crown Amassador with 9 Diamond legs instead of 20 Platinum legs.

(Crown Ambassador is 27 FAA points).

So the Diamond, who wants to move on, can go “Hmm, I can

A) help three other legs, who’ve been sitting around doing nothing for years and think this is a social club rather than a business, build a Platinumship; OR

B) sponsor new people, which kind of sucks ‘cause it’s real cozy in my 5,000 sqft home and I really don’t want to deal with the blah, blah, blah our there to get a new person up and running, and I’m totally unrelatable now anyway; OR

C) I can take this Platinumship over here (one of my legs that helped me go Diamond) with this person who is already proven to be a leader, who I’ve already helped and have a relationship with, who already has people in his organization, and I can help him go Diamond.

Remember 3 Q-12 Platinum legs = 3 points; 1 Diamond leg = 3 points.

THAT IS EXTRAORDINARY if you really catch how that changes the actions of the upline.

But quite frankly, I don’t even think a majority of the Diamonds “get it”.

Teach someone how to sell a product. Why is that so hard? Hmm, getting someone to sell a product OR getting them to fly half-way across the country and spend $$ and time attending a function.

You have GOT to be kidding me!

Is anyone aware that you don’t make any money getting someone to a function?

Is anyone aware that they really don’t need to go to a function until they need to learn to build an organization of people?

Is anyone aware that being PROFITABLE may be more of an attraction to a prospect than anything they’d see at a function or hear on a CD?

Show them the money---your money! $500 in cash that you just made last month is far more effective to anyone—including the billionaire businessman who understands business—than showing them pictures of some stranger’s house and car.

Tell me which is easier to make $500 a month:

(do the math yourself)

-Personally consume $850 of products a month (300 PV) and find 6 other people IN WIDTH to each consumer $850 of product a month

-Personally consumer $275 of products a month  (100 PV) and find 14 other people IN WIDTH to each consumer $275 of product a month

--Personally eat and drink and find 15 customers who do the same (eat a bar and drink a drink a day). Or find 30 customers who only drink. Or find 30 customers who only eat. And get them on Ditto.

You cannot possibly do the first two options without spending money on tools, because there is a lot of convincing that needs to happen to get you (and others) to personally use products like that--each and every month. Or to help the people(keeping them motivated) when none of the people they've sponsored sticks around after a month or so because of the insanity of such high personal use. And that is where your 500 bucks just went—to the tools.

But the third way—people are already eating and drinking on the go. And people are so busy. Ditto is perfect—if explained properly where they know they have complete control and that it’s not some Columbia House Records & Tapes Club thing. There is your $500 in residual income.

This is why I want food products to be cost competitive. I think it’s the easiest way for the brand new person to make consistant money. People are already eating and drinking. People are NOT already listening to motivational tapes, reading books, going to functions, etc.

We eat and drink every day. We can move way more volume in that product category (edibles) than any other category for three reasons: 1) It appeals to everyone—men, women, and children. (Artistry cuts out more than ½ the population) 2) We consume more volume with food and drink than we consume/use any other pro