I just want to give IBOs a heads-up about something. As you may know, Quixtar is undertaking an overall business transformation that has as one of its goals, Growth through Innovation. We want to help create awareness of and demand for our products and help more IBOs make more money sooner. One of the first things we are doing is adding a rule to help IBOs sell more products to customers. Detailed information about this new rule will be published and distributed in the February poly-bag (along with the Achieve Magazine).
The change, effective March 1, 2008, will allow IBOs to sell some Quixtar exclusive brands at temporary health or beauty shows or expos and certain kinds of sporting events. Up 'til now, we have approved booths for IBOs who wanted to display and maybe let customers sample some products, but we've never allowed the actual sale of the products. Now, at many events, the display and sale will be allowed. Imagine that! The already existing Booth Rule will stay in effect for other kinds of events where we will continue to allow display-only.
The displays will need to be set up in accordance with Quixtar guidelines and with prior written authorization (we're asking for 30 days' notice) from Quixtar's rules department. We will provide supporting merchandising material on a CD, so IBOs can print off their own, pre-authorized signage or handouts.
What kind of sporting events are we talking about? Marathons, 3-on-3 basketball tournaments, kids soccer tournaments, etc. Events of a limited duration, so it's not like a concession stand at a high-school football field, but, rather, the kind of event where the IBO can get permission from the event organizer/organization to set up a booth and sell some product on the day/days of the event.
This rule change was brought to the IBOAI Board, and they recommended adoption.
We will begin accepting applications for Event Sales March 1. The application form will be available on quixtar.com or by contacting Customer Support or Rules Administration. If you have questions, please contact Rules Administration at 616-787-6712 or by email at qbcr.department@quixtar.com.
The pending Rule: [Rule 4.3.3.]
4.3.3 Event Sales: The display and sale of health, beauty and sports nutrition products by IBOs only at temporary (no more than 10 days) health and beauty shows and certain kinds of sporting events (e.g.: bike race, marathon, 3-on-3 basketball tournament) are permitted. The following information must be received by the Corporation, in writing, 30 days prior to the event, to allow sufficient time to grant approval. 4.3.3.1. A written description of the type of event (including date of event). 4.3.3.2. Name of the specific product(s) to be displayed and sold. 4.3.3.3. A list of specific literature to be used at the booth or for handouts. Any privately produced material for handouts or display must be sent with the booth request for approval. 4.3.3.4. A signed statement from the Platinum or above IBO accepting responsibility for booth activity and include a list of all names of IBOs staffing the booth. 4.3.3.5 A post-event accounting of total volume sold must be provided to the Corporation by the Platinum if the volume sold is part of the qualifying volume for Silver Producer or above for purposes of verifying 70% Rule compliance.
As many of you know, our contract with spokesperson Jeannie Mai has come to an end. There has been some speculation and questions as to why Jeannie Mai is leaving, but the truth is very simple: Quixtar has decided to slowly phase out the NAO never accept ordinary cosmetics line in order to focus our resources on the Artistry brand.
Transitioning to a single cosmetic beauty brand will simplify our consumer messaging and enhance its clarity and consistency. This is one of many positive, promising changes ahead for the business, for IBOs, and for customers. That said, we will certainly miss Jeannie Mai and her sparkling personality. Below is a farewell letter from Jeannie.
*****
Hi Everyone!
I understand there has been a lot of speculation about why my contract with Quixtar has come to an end. First off, let me say that this relationship has ended on the best of terms and at a natural point where both Quixtar and I wished to pursue other projects.
My life has actually been entirely changed ever since I discovered the heartbeat behind what Quixtar was really about. I still remember the first excited conversation with an anxious IBO in Hawaii three years ago, and the feeling of meeting family every time I'd greet the passionate people within the corporation. I can recall the pride to be a part of something so revolutionary as I toured the laboratories behind the research of every product distributed. As awesome as the concept to becoming a successful IBO was, I was most attracted to the fellowship that was bonded as every dreamer would work to reach their goals–together. Each time I spoke the words "Never Accept Ordinary", I was praying it over every single heart that was blessed to have a stab at an opportunity like this.
Now that my contract has ended, my work to "never accept ordinary" has actually become my heartbeat. I've made valuable friends for life from this role I had the privilege to experience, not to mention gain a fabulous husband whose qualities that made him an IBO are exactly what I desired to have as my life partner. This corporation has been a dream turn reality, and I wish the same continues for every person who has the chance to experience it from this point on.
I want everyone to know that I couldn’t have joined Quixtar at a better time. This is a business that's only going to improve as we go forward. And because we're in the middle of an exciting transformation, there's never a dull moment – new products, new support, new money, and more. Our plan for this transformation calls for strong brand support, an aggressive reputation campaign, and the transition to a new brand for the business opportunity.
But, it’s going to take some time and a lot of hard work to get from where we are to where we want to be. The transition to a new name started in September with references in the Quixtar Business Opportunity Brochure. In March 2008, we’ll begin a three-phase rollout of the new brand name and logo.
Phase 1: March 2008
All internal and external communications, including advertising and public relations, will carry this logo.
Phase 2: September 2008
Amway Global will be elevated to the lead brand in our communications, and Amway’s 50th anniversary will be acknowledged.
Phase 3: May 2009
The transition to our new business opportunity brand will be completed.
As I mentioned above, March 2008 also marks the start of media advertising and public relations for the new Amway Global brand. We’ll be filling you in on the details of the multimedia, multimillion-dollar campaign during the coming weeks and months. But I can share that our vision is to once again be the business opportunity of choice in North America.
We’ll also be separating Sales and Marketing into two distinct, collaborative teams. To lead our Sales efforts, we’re happy to announce Sandy Spielmaker as our new Vice President of Sales. Sandy joins us with nearly 25 years’ experience in Sales, Marketing, and General Management, with a track record of innovative sales approaches. We will look to Sandy to accelerate our initiatives and achieve our goal of improving profitability for all IBOs. We are actively recruiting qualified candidates for the Vice President of Marketing position and plan to have it filled soon as well.
We all know that talk is cheap. It's easy to throw around words like transformation, change, enhancements, and partnership. It's actions that really count. And at the end of the day, we’re putting our money where our mouth is and investing in new products, expanded training, enhanced compensation, and integrated reputation initiatives. Ultimately, we’re building a compelling and dynamic business that will become the business opportunity of choice in North America.
Hollywood, Florida, is the location of this year’s Achievers celebration where over 5,000 Founders Platinums and above have been gathering for four sessions over 17 days as we discuss the transformation components which will shape our future. Oh yes, and we have some fun planned too.
From the fabulous product expo, to candid conversations with Doug DeVos, Steve Van Andel, and Steve Lieberman, we all have been challenged to commit ourselves to reach a new and unprecedented level of success by focusing on investment, innovation, and reputation.
Quixtar has had its share of success, but holding steady and maintaining the status quo isn’t good enough. To take the business in new directions and experience revitalized growth and success, we will need to continue to transform our business model. Quixtar will be making a significant investment in advertising, new products, training, and other areas.But we also need IBOs to invest in the transformation with their time, energy, and commitment to building a balanced business.
We are committed to innovation and we are already seeing evidence of this innovation with new products, new training, and new business support. We also need IBOs to be innovative by being open and creative in their thinking, and willing to do things differently and move in new directions.
Everything we do and say affects our reputation. Our reputation in turn affects our potential for growth and success. We need to provide IBOs with the right consumer-focused products that customers want to buy and IBOs want to sell. In turn, we ask that IBOs are open and honest about who we are, what this business is, and the value of our great products.
This has been a wonderful Achievers as we see our leaders embrace these three essential ideals. I personally believe that, with the commitment from all, we’re certain to succeed in transforming our business, our lives, and our future.
Thank you to everyone who gave feedback on Quixtar University, and please keep it coming! Below are a few of my takeaways from your input, along with my responses.
First of all, I'd like to address the authenticity of the online learning modules themselves. One of the virtues of online learning is that you can pack a lot of information into a very short period of time. This keeps the learning quick and efficient, so you, the user, can fit online learning into your busy schedule. The downside of this is that sometimes in being so efficient, one can easily lose the authenticity or "realness" of human interactions. Real conversations are often messy, and do not contain all the perfect words and phrases that we tend to put in online courses. We are working on better capturing the essence of what real customers and real IBOs say to each other in a sales conversation, by learning from you in the field. So keep your comments coming! (And, yes, you're right, sometimes it is just bad acting and we need to find the right actors for online learning videos who sound authentic).
A few of you commented about usability issues, as you found it challenging to access Quixtar University due to browser or other functionality issues. We are currently working with our software vendor to find solutions. If you have questions or need support please call Customer Support at 800-253-6500.
You also suggested that Quixtar provide leaders with reports on who in their organization have taken the online courses. This is a great suggestion, and we are looking into how we can support it. You said this may be especially helpful for courses such as Welcome to Quixtar, which is a prerequisite for special new IBO incentives. If your downline have not all taken the course, you may like to know that so you can encourage and help them. After all, this is not about Quixtar educating IBOs. This is about a partnership between Quixtar and leaders in supporting and developing new IBOs to help them have a more successful business.
Finally, I'd like to preview some of the new courses coming your way. You've heard that a "How to Sell Ribbon" online course will be available by the end of this year. This course is designed to show how easy it is to sell Ribbon to a friend, family member, or acquaintance. An instructor led version of this course is also available now for leaders to book for their meetings (Call 616-787-5442 to book a program for your event). There are also online classes on Artistry Essentials and the Nutrilite Brand coming your way. And, you'll soon be seeing some courses available in French, Spanish, Korean, and Mandarin–in fact, a Spanish version of Simply Nutrilite has just launched – all to better support you and your groups.
Once again, thank you for entering in the conversation about learning. How fantastic that we can so easily communicate with each other, and learn from each other every day.
Thanks again for your input and questions regarding my last post on the changes the Sales Department is making. Several of you mentioned that, as corporate folk, we don't have the credibility to tell IBOs how to sell or build an organization – you're right, couldn't agree more! Our intended role is not to go around IBO leaders, tell IBOs how to build the business, or take over IBO organizations.
As mentioned in my article dated March 21, this business is based on relationships and technology can't take the place of sitting down face to face. We have lots of data and information that we want to share with IBOs about their specific businesses regarding renewal rates, activation of new IBOs with product, profitability, product mix, sponsoring, etc. and we think IBOs can use this to help make better decisions and to focus their efforts.
We can also share best practices that we are learning as we talk to more and more IBOs about the things that they do to help their business grow. We can also help guide them to training, or look for creative ways to bring our resources to bare in order to help move their businesses forward. But in the end, it is their decision because it is their business.
Over the past several years we (Sales) have relied too much on phone and email. I believe that for us to build credibility and stronger relationships with the IBOs we need to get out and experience their world first hand. We realize that we have to earn the respect and trust of the IBOs, and there will be many who will resist what we are attempting to do. We understand and respect that, but I do believe that this is the right way to go.
Those of who follow the Opportunity Zone may recall a post from Jim Payne last spring titled "One Step Closer to World Class Training," in which he introduced me, Alison Hague, as Quixtar's new Director of Training & Education. I'm sure the title of that post sparked many different thoughts among readers. All I could think was … "Gee, no pressure there!"
I'm happy to report, however, that in the months I've been here, I've been privileged to work with an amazing team of talented and hard-working professionals who have made great strides in providing excellent training resources for some other talented and hard-working individuals — Quixtar Independent Business Owners.
We've researched the competition and solicited input from IBOs at all levels of this business and we've heard over and over again from you about the importance of training. We're responding with courses to help you develop business-building skills and product knowledge to support you as you grow a successful business. All of this training is available under the umbrella of "Quixtar University". You will have the option of taking instructor-led training, online training and audio courses so you can learn anytime, anywhere, and in the way you learn best.
Some recently launched courses include brand courses specializing in Artistry, Simply Nutrilite, and Ribbon; basic business skill training courses; and Welcome to Quixtar Orientation, an easy-to-use, easy-to-understand orientation to business.
By reviewing your feedback, I have an indication that we're on the right track with the training we're providing. For example, after its launch, QU had visits from about 300 users. This number grew to 10,000 quickly and since it’s been promoted, the number has reached more than 40,000 IBO users. Now that the Welcome to Quixtar Orientation has launched, we expect thousands more.
And the response to the online training courses has been very favorable. Here's what some IBOs like you are saying:
“Thank you, every single thing that I can learn through Quixtar demos and educational knowledge will only benefit me.”
“Who else but Quixtar would go the extra mile to see us succeed? Thank you from the bottom of my heart!”
“I'm so excited about this educational program. I can't wait to see what's next and get out there and use what I've learned!!!”
“I believe this is an excellent way to educate new and seasoned IBOs. I work for a Fortune 500 Company and this is the type of training that's utilized within the company I work for. Thank you Quixtar for giving your IBOs the most up-to-date resources to grow their business. I'm proud to be an IBO.”
While such feedback has been extremely encouraging, there's certainly much more that we can do to meet your education and training needs. I'm interested in ideas, concerns, wish lists, etc. regarding the content and delivery of training you would like to receive from Quixtar. With your guidance, I have no doubt that we can provide you with "World Class Training."
There has been a lot of talk about the transformation of the Quixtar business and I wanted to give you an update on the changes happening in the Quixtar Sales department. In an effort to build IBO partnerships and strengthen the Quixtar team environment, Quixtar Sales is currently undergoing a departmental reorganization to take on more of a consultant role with IBOs.
Ideally, a consultant is a provider of valuable expertise, insight, and third-party perspective that you can't necessarily always get from your own inner circle. Obviously, we have expertise and insight into the Quixtar business that could benefit IBOs. As consultants, we will not only listen to IBO concerns, resolve problems, and manage relationships, we also will provide IBOs with more business data that will equip them to make better business decisions and maximize the results of their efforts. Our mission in Sales is to deliver data-driven insights and consultation that leads to responsible, measurable and sustainable growth.
The plan to shift to more of a consultant role consists of three steps: 1. Drive Internal Change Management: The key to moving this concept forward and allowing it to succeed will be both internal and external change management. 2. Refine Existing Solutions: Members of Sales currently have information tools and training to help them be effective when consulting with Platinums and above. 3. Increase Line of Affiliation (LOA) Involvement: We can only be successful when we work in partnership with leaders and their organizations to help them define and reach long-term profitability goals.
The most important tool for internal change management is communication. We've been communicating in department, team, and one-on-one meetings, keeping other departments and IBO leaders in the loop on what we're doing.
As Sales transitions to a focus on Business Solutions through consulting, many organizational changes will take place. Business Solutions will no longer be a stand-alone concept within Sales, but instead will be the only way that business is done. Quixtar Sales also will recruit, develop and retain people who increase the department's capacity to conduct credible business consulting.
We'll increase our Sales team to better support our contact with IBOs, their downline, and the emerging leaders. We'll add LOA Field and Home Advisors who will meet one-on-one with IBOs and provide them the data and information they need to succeed. This means that the Sales Advisor will no longer be a voice on the phone, but a presence in the IBO's hometown.
Other than the obvious difference in LOA Field and Home Advisors (Field will be traveling and Home will be stationed at Quixtar), the two positions share many similarities. Their common responsibilities will be, but are not limited to: – Participate in quarterly LOA planning meetings – Participate in or conduct select Platinum and above meetings – Analyze and recommend areas of improvement for Platinums and above – Participate in LOA/Quixtar Events – Trials day
Stay tuned for more information via email and voicemail about this new plan. We want to keep IBOs informed about the direction we're taking and manage expectations up front.
It probably goes without saying that Quixtar offers a business opportunity that allows people to have a business of their own based on product sales and sharing the opportunity with others who will do the same. As some have said that Quixtar's products can be difficult to sell, I want to talk a minute to talk about product sales, and what Quixtar is doing to make product sales easier than ever before. This is a good follow-up to previous discussions about the target audience (Not Wal-Mart And Never Want To Be, 8/31).
Quixtar IBOs are obviously adept at selling product, as Quixtar is one of the largest retailers on the web. Quixtar Independent Business Owners (IBOs) generated more than$1.118 billion in product sales at www.quixtar.comin 2006, the fourth consecutive year in which the company surpassed the billion-dollar mark. Quixtar also has been ranked for the past four years by Internet Retailermagazine as the top online retailer in the Health & Beauty (H&B) category, placing 22 ndoverall based on web-generated sales.
While Quixtar has experienced great success in selling product, the premium pricing for some products can make it a challenge. Nutrilite® Double X® , for example, is a top-quality multivitamin. It requires some education to help a customer understand its benefits and why it's worth a higher price than a cheaper multivitamin they might be able to pick up at their corner drug store.
The Artistry® Time Defiance Skin Care System, for another example, is not intended to compete with other skin care brands on the basis of the lowest price. It's designed to appeal to those who are knowledgeable about skin care and looking to make an investment in their skin. It may take time and education to help a customer make the decision to purchase.
While we stand behind products that require a higher level of knowledge and commitment on the part of the customer, Quixtar is committed to making it easier than ever for IBOs to sell products. We are focusing efforts on Health, Skin Care, and Gift as areas of retail specialization. We're working to provide everything an IBO needs to sell these products. This starts with products consumers want to buy, includes merchandising resources and training that help IBOs attract customers, and is supported with integrated consumer programs, events, and advertising.
To support these retailing initiatives, in 2007 we are launching a number of new products and newly packaged and priced versions of existing products, such as:
·The new Nutrilite Daily Multivitamin 90-day supply (as opposed to the 180-day supply). At just 12.5 cents a day, customers can easily compare Daily to popular competitors, while still getting the natural plant benefits that set Nutrilite apart.
·The new NutriliteClearGuard™. Helps balance histamine production, and a clinical study found it helped to support clear noses in three days or less. Rhodiola and Carb Blocker in new Blister Pack packaging to make it easier to start a selling conversation.
·Sampler packs for ClearGuard and Protein Bars to help IBOs attract potential customers with attention-grabbing products that are highly experiential.
·Inexpensive Artistry lip and hand products that support "Purse-to-Purse" selling.
·Simply Nutrilite, an integrated line of natural, nutrient-rich snacks and drinks, launched on September 1, 2007.
·Artistry Essentials, a new simplified line of skin care and cosmetics launching in November 2007. The products are specifically designed to meet the needs of today's woman who wants to care for her skin and enhance her natural beauty, yet doesn't have the time, expertise or patience for overly complex products and routines.
In addition to supporting IBO retailing efforts with product initiatives and merchandising support, we are also rewarding and encourage retail sales like never before. New IBOs can receive free shipping on orders of selected products over $75 and the opportunity to earn $50 each month for their
first full three months in the business. The $50 is earned by generating 150 PV each month, including at least 50 PV from retail sales to non-IBOs. Additionally, to reinforce the value of customer sales Quixtar is offering a PV uplift and free shipping for non-IBO customer orders of selected products over $75.
I think it is obvious … there is a lot happening within Quixtar, and selling product is getting easier every day.
