Inside Quixtar

What's a customer?

On a more serious note, I think the frequency of contact is getting the cart before the horse. First, let's get quixtaruniversity.com (amwayuniversity.com?) up and running, see what basic content is provided, then we can discuss more "advanced" issues such as this. Will the site have a place to educate customers, or just IBO's? If it is only for IBO's, will the main site have any changes made to help educate the customer?

This is a good issue, but it would be much better to put it in context of a basic framework first. I suspect the right answer will include "it depends", which will include several factors, such as how far away the customer is, your relationship with them, the customer's and IBO's personalities, the complexity of the product education involved, etc. It would be helpful for the IBO to fill out a quick worksheet to provide guidance, based on the answers to the above and other factors.  

Didn't Amway do a survey once where the results ended up getting tagged something like "The Lonesome Customer"?

What I would LOVE is the ability to register customers with the corp, and not just website-registered customers, and then have the corp send them a monthly product-focused customer-focused flyer and/or email with my contact details on it.

At present we do something like this ourselves but it's an enormous amount of work and a constant fear we'll say something that the corp. takes exception too. It's also a pain in the behind to duplicate downline.

With modern technology it would be pretty damn to cheap to do this, particularly with email, but even with snail mail I think it could be very effective.

I believe the customer has to be followed up on, why because we all want to know how appreciated we are, when I get a follow up from a hotel within a few days to a week later asking for suggestions or comments, and to solidify future business or recommend other products, this shows me they appreciate my business.  So if we do have either updates sent from home office to customers within a week of recieving the order, which can be easily done with all the tracking we have now, I think the customer would appreciate that askking for feedback, comments and recommending other product lines that could easily relate to the one they purchased.  Would help all IBO's and the company.  

Beth, I think this is a really great topic. I've only recently been focusing on retail--like intentionally building my client base. And I have to say that there are no fast and hard rules that fit everyone, because people are so different.

Some people like to be informed with paper, others by email or links, some by phone (though no one I know has time to answer the phone these days, plus it can be intrusive).

As an example, I have one gentleman, a single guy, on Ditto, where an email once every two months is sufficient. When new products come out, I send him out a little care-package of samples and that generates interest.

Samples sell--more than any piece of literature.

I have a lady who lives on email and loves getting new info constantly. She doesn't order constantly, but she wants to be informed. So I copy-and-paste the product fliers from online and send them to her.

If you've seen the email blasts that XSGear sends out, I think that's what would be helpful. Graphics, visual, colorful (HTML). Now, we as IBOs could subscribe to these types of email blasts and foward them to our customers ourselves. Or, we could have the option of a little checkbox system of the product line(s) we'd like the corp to send these cool emails to certain customers.

However, I do NOT want the emails coming from Quixtar or Amway. I want them to be coming from MY email address and MY website being promoted as the place to purchase these products.

KodakGallery.com (one of our Partner Stores) is an example of how Kodak sends out the emails (when I share photos to my distro list) but the email looks like it's coming from me, not Kodak. So if someone hits REPLY, then I get their email, not the corp.

And, to say it again, I want my personal web address to be what my customer sees. Not my corporate distributor/business opportunity's website.

Same thing goes for printed materials. The Quixtar name and website are printed all over the catalogs, brochures, products. It's nuts. We the IBOs give people this stuff. So wouldn't it make sense for their business to go to us? Everyone has access to a free personal website from Quixtar. There should be no reason for anyone (including the corp) to direct people to the corporate website.

This is my main concern with putting the corp in charge of having any contact with my customers. Especially with the name change coming up. Retail is not a piece of cake. And now adding of layer of a pyramid, cult, cleaning products image that the A name carries on top of it, I'm a bit leery of the corp's help.

:-)

It all depends on the customer. Some customers want a monthly phone call. Some only want a phone call when they're almost out of the product.

When we did our best retail, we kept track of every purchase and how long it would last them. Then we would call about a week before they would run out. Most of them couldn't get over how accurate we were on our calls. We used the old Customer Record Cards.

Other times we had customers that did not want us to call; they wanted to call us. So we made sure we told them our order day so they wouldn't miss it and call a day or two late.

As far as promoting new products, we used to use the old blue tote tray and take six new products to show and demonstrate, along with a cost comparison, if it was applicable. We usually always sold two products.

In the last two years we have gotten all of our customers to either order from the web or use the 800 number. Now what we do is, every six months, we either send (to our out-of-towners) or deliver to their home, a box of sample products that they have not yet tried. We make copies of the product fliers right from the site and staple our business card to it. Then, if applicable, we include a cost comparison with a direct competitor Brand-X product from a local store. Going in with samples has really worked well for me.

We are now considering a once or twice a year Open House that will be a Mini Expo with product displays, samples, cost comparisons, door prizes, and even some inventory that people can purchase on the spot. We will also have a laptop there, so people can place orders and/or sign up as customers.

I think it is imperative to use the web technology as much as possible. That will help to erase the old "Amway Distributor" connotation that was so prevalent before and led to my apprehensions this time.

I think it's great that A/Q is looking into customizing print materials!  I agree with Bridgett about the corp's info. being plastered all over everything.  Having to put personalized labels on everything to cover it up not only defeats the purpose of having the info. there in the first place but, it also cheapens the professionalism of the peice all together.

Speaking of technology...

What if we were to have our own personalized blogs?  A/Q could have a communication bank of sorts for us to use to promote items.  The bank could include video (unincumbered by the usual side promotion of other videos on YouTube.) maybe you could call it QTube or something.  It could also include html articles targeting the customer that focuses on educating and selling our brands.  This allows A/Q the ability to better 'oversee' how our brands are being promoted as well save us tons of time putting this stuff together ourselves.

Having a blog type format would allow us to 'brand' ourselves as well as interact with our customers in a 'web 2.0' kind of way.  This would also allow us to have better contact management and communication through email autoresponders or some other technology.

It could be cool also if we were able to add pictures to our personalized blog.  Imagine going to someone's blog and seeing pictures of friends having fun allowing our customers to connect with us and see how we include the products in our everyday lives.  Our customers could even see themselves in the pictures!

Then, our personalized webpages could be more like www.IBOname.QBlog.com or something like that.  That would also show that we are part of an even larger community that they could be a part of also as we share the additional benefits of being an IBO.

This would take care of much of the personalization issue as well as contact management, customer communication, creating a sense of community and much more.

People are going to join something anyway.  Let's give them a fun community to join that feels personal and inclusive to them.

How often we interact with our customers directly could be set up on an individual basis as well as what info. we send them.  Technology and an article/video bank will help with this also.  But, to keep it personal, we should maintain the ability to add our own comments either at the top or bottom.  Better yet would be the ability to customize throughout as if we were creating the email specially for them.

Of course there are plenty more ways and I'm sure others have ideas also.

Let's hear them!

-Tom

One thing a bit off topic, but along the lines of customization for customers would be a more diverse way of charging customers.

Now for those that not online, an IBO has this flexibility, but with online ordering we give customers either full retail price, or our cost as IBOs.  It would be great if there was a way you can offer something in between.

As Rich has pointed out before, you should be making retail profit from products sold to customers.  Having the flexibility online to offer good customers or repeat customers some sort of discount for their loyalty, but at the same time still making retail profit would be great.  Perhaps a percentage (5% or 10%) off the retail profit on core-line products.  Other ways to improve online shopping is to offer a free product or something for referring other customers to our websites.  Word of mouth is still the best form of advertising.

Customers love the idea of getting discounts, especially if they believe it is something offered exclusively to them.

Quick idea that would be helpful following up:

Can we have an email generated, informing us when a customer places an order? Right now, the only way I know when someone places an order online is when I go to my PV/BV inquiry and notice there's been an increase. I then look at hte Order History and see why.

Not everyone is as on the ball regarding checking their business info. So it may be helpful if we were shot an email. Because what I've done, is contacted the customer, two or three days after I think they've gotten the order and ask if everything was okay. This has REALLY helped build trust and a positve experience--even when not everything IS perfect. Because, now that I've asked, and know if there's a problem, I can help remedy the situation and fast.

This email notification would also be helpful for up-selling and cross-selling. If I see a customer within a few $$ of free shipping (the threshold is set for $75 as of Sept 1st, right), then I can contact them and say, "Hey, you are $6 away from free shipping. If shipping is $8.75 for this order, add XYZ to the order and it's like getting the product for FREE!" I currently have a list of four small products under $8.75 for this purpose, that I can copy-and-paste in an email. And then they can go in and edit their order. More product moved = more profit for the IBO.

Okay. One more idea: Right now the corp gives leads (people interested in buying a product, but don't know/have in IBO) to Platinums in the person's area (based on zip code). Considering that not all Platinums are big on retailing and fail to properly follow up, and often times want to use that retail sale as a way to "show the plan", perhaps the corp should use different criteria, other than a person's status as a Platinum. Maybe only Platinum's who actually have numbers showing retail volume. And if there aren't any of those kinds of Platinums in their area, then move to the next pin/bonus bracket IBOs who have retail volume.

I guess the corp would also want to clarify with the lead--are you interested in purchasing a product or are you interested in the business opportunity? Because that is a major distinction to make when referring them to this IBO or that IBO.

Bridgett's ideas are great.

The retail sites are a sleeping giant. This is why they need contact info(optional and only an e-mail address and/or a voice mail number), DITTO, and the Partner Stores with a personal message from, and picture of the IBOs. People like to see who they are doing business with, even when they know the IBO. Our customers should never have to go to quixtar.com for anything. This is also how we could tell business prospects that they will be having an e-commerce business: their own customizable (to a point)website.

I've always said that A/Q needs to put a flyer in with each order. Not specials, just new products with features and benefits, or a featured product-of-the-month and with a big "Thank You For your Order!" on it somewhere. Fuller Brush gives a free product with each order. I'm not saying to necessarily do that, but it is pretty neat. A sample of the newest product would be great when it's feasable. I think customers probably think it's sort of cold to get their order, open it, and the only thing in the bottom of the box is their packing slip. It's almost like their business is not appreciated.

The customization sounds great, too. Anything that directs them back to US. My car dealer does this. When I get a mailer or an e-mail from them, it's not from Chevrolet or General Motors, it's from Bob Brown Chevrolet. The customizationm for us could be: From Jeffrey Smith, your Quixtar/Amway Independent Business Owner. You've got the personalization, along with building the brand name.

"Next question spurring off of Bridgett's e-mail....how much customization?"

Starting with someting VERY basic: When a customer registers, it would be swell if the "welcome" email came from me and not Quixtar.

They are MY customer, aren't they? I'd love to be able to customize a welcome email that was generated and emailed out instead of the current one.

Signed with my name, from my email address, and with my website displayed for them to shop from.

Regarding Bridgett’s 7/11 message about the Quixtar name being on the printed materials, I have had a different experience and take a different view of that subject.

I want the Amway name on the brochures.  When there was no name on the Choices catalog when it first came out right after Quixtar launched, customers threw their catalog away without even opening it because they didn’t know what it was.  I use the U.S. Postal Service to deliver my promotional messages due to the issue of spam filters.  And, I know my customers want to see what I send them, because they are interested in their “Amway products.”  (The Quixtar name threw them and they still can’t remember it.)  If they have a stack of catalogs, they kept the Amway catalog, if they recognized it, and threw the others away.

Jeffrey got it right giving the example of “Bob Brown Chevrolet.”  My name alone doesn’t register.  My name with the Amway name does.  In fact, the car dealership example is a great way to characterize this business.  We’re in this together.  

I know from extensive experience that the Amway (not Quixtar) name on a printed piece is a positive.  We just need a space reserved to put our own label on, too.

The Big Apple, I hear what you are saying, and I would agree with you but for the fact that we sell more than "Amway" products--in very significant quantities.

As an example, XS Energy Drink (Beth, correct me if I'm wrong) is second only to Double X in terms of sales here in North America.

And XS Energy Drink is not made by Access Business Group, Alticor, Amway, Quixtar, etc.

So I'd rather take the time educate those desiring "Amway" products rather than alienate those who want non-Amway products.

Whether you are a personal fan of XS doesn't matter. From a business standpoint, I'd learn to understand the power of that product line.

The second-largest SKU# isn't manufactured by the Corp? THAT is revolutionary. And I'm really encouraging people to wrap their brains around that one. We MARKET products. That is our job as IBOs--regardless of who manufactures them.

There is great flexibility and freedom that the Corp can have when all their money isn't tied up in Research and Development.

And it would serve the Corp very well to shift some of the energies from trying to DEVELOP cool, innovative products, to trying to find, search out, already cool and innovative unknown products and get good at negotiating deals with these manufacturers.

I think we truly limit ourselves and our profit potential when we think just "Amway" products.

Bridgett,

To a point, you're right about XS.  Unfortuantely, it's low on the retail profit scale, and therefore, not very helpful to IBOs on the low end of the bonus scale.  That's the disadvantage with not making your own product - it's not as profitable.

As far as promotion, if we have an exclusive on something, isn't it just like it's ours anyway?

Josh--July 11:

Thank you for bringing up the pricing flexibility issue again! Read my original post here for my take on this issue: http://adatudes.opportunityzone.com/2007/03/14/Innovation.aspx#2153

I have been in this business for less than a year, but any of you who discount what I have to say because of that are wearing elitist blinders that are keeping you from viewing an outdated system with fresh eyes--eyes with 12 years experience in sales and distribution focused on maximizing profit opportunities!

That is also why I was astounded to read Beth's post about not getting any follow-up. This is such a key element in both customer service and incremental sales opportunities--AND as a personal consultant--that it should be second nature to make sure the customer got what they wanted, is satisfied with the product, and find out what else they may have an interest in. My happy customers are always asking for suggestions about the next products I would recommend for them to add to their list. How can this not be a normal part of IBO training?

Or is this an end result of the focus on recruitment, instead of selling???

Big Apple, why do you say that XS is low on the profit scale? Because it has a 17% mark-up as opposed to some ridiculously 25-50% mark-ups of overpriced, unsellable-at-retail products?

Is has absolutely nothing to do with whether or not Access Business Group is the manufacturer. The corp is thinking profit per unit, rather than thinking TOTAL profit of high VOLUME. THAT is the problem.

And it DOES NOT help the cause when IBOs do not think on a YEARLY or lifetime basis regarding the profit of a product--but instead, think just like the Corp, on a unit basis.

There is two things to consider:

how easy is it to sell a product

and

how often would customer reorder

Let's take Double X and XS Energy Drink as an example. Just on the retail profit (not looking at bonus money), which is easier to sell?

In my experience, XS. I can sell 7 cases of XS a lot quicker than one box of Double X. And it's the SAME retail profit--around $23.

I can find three XS customers who consume one (1) XS a day faster, than I can find one (1) Double X customer who REMEMBERS to take TWO servings of Double X--and who'll reorder.

People are already drinking. They are not already taking supplements. Meet people where they are at and have them grow in to the other, more high-end, product lines.

The reason why XS has been successful, is the reason you are saying that it's not a good product to retail. It is intentionally a 17% mark-up so that it IS competive at retail, so that it IS sellable at the full retail price.

You'll also notice that it's not weighed down in price by the high (137% of the IBO cost) BV like Double X. You don't think that BV doesn't come with a price do you? The higher the BV, the higher the IBO and Retail prices. The Corp has to cover their costs to pay out bonuses on that.

I used Double X for comparison, but throw out a product from any line and I'll do the math for you--how sellable is it and how often would a customer reorder in a year's time, in a lifetime.

It is NOT about a one-time sale. We have GOT to start seeing the worth of a customer on a yearly basis, on a lifetime basis. We talk about building lasting relationships with IBOs. Why don't we extend that same philosphy with customers?