November 2020 Direct Selling News by directsellingnews

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C O N T E N T S N O V E M B E R

2 0 2 0

FE AT URES

Strategic Staffing: How Remote Work Flexibility is Changing for 2021 B Y B E TH D O U G L AS S S I LC O X Z Future: Capturing Generation Z is Direct Selling’s Next Best Move B Y H E ATH ER MARTI N

40 64

SPOTLIGHTS

Pampered Chef: 40 Years of Bringing Families to the Table B Y

J EN N Y VE T TER

Total Life Changes Brings New Energy

Impacting the Human Spirit While Igniting Sales B Y SAR AH PAU LK

40 ONE VOICE

W O R K I N G S M A R T/

4 Steps to Involve Distributors in Marketing Campaigns B Y MA X P EC H ER S K Y I

NE W PERSPEC TIVES/

Strategic 21—Ways to Become More Strategic and Think Deeper B Y TO N Y J E ARY

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IN EVERY ISSUE 10-11 AD INDEX // 13 FROM THE EDITOR // 15 INDUSTRY NEWS // 34 FORWARD THINKING // 89 DSA MESSAGE // 90 VENDOR DIRECTORY //

NOVEMBER 2020

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Serving the Direct Selling and Network Marketing Executive Since 2004 A SUCCESS Partners Company

FOUNDER AND CEO

Stuart P. Johnson CONTRIBUTING EDITOR

John Fleming EDITOR

Patricia White editor@directsellingnews.com

COVER STORY

DIREC T SELLING IN 2021: PREPA RE F OR A TR A NSF ORM ATION

How top industry executives predict the channel will transform in the new year.

C R E AT I V E D IR E C T O R

Julio Garcia SENIOR ART DIREC TOR

Susan Douglass ART DIREC TORS

Laura Castillo Jenny Paredes PRODUCTION MANAGER

Virginia Le COPY EDITOR

Peter Tepp BUSINESS DE VELOPMENT MANAGER

Melinda Bogoslavsky advertising@directsellingnews.com CONTRIBUTORS

J.M. Emmert David Lee Heather Martin

Sarah Paulk Beth Douglass Silcox Jenny Vetter

BY SARAH PAULK

Direct Selling News (ISSN 15546470) is published monthly by SUCCESS Partners, 5800 Democracy Drive, Suite 100, Plano, TX 75024. Periodicals postage paid at Lake Dallas, TX and additional mailing offices. POSTMASTERS please send change of address to 5800 Democracy Drive, Suite 100, Plano, TX 75024. Subscription Rate: Free to direct selling and network marketing executives; all others in USA and Canada $50. Overseas subscriptions are $100. All subscriptions must be paid in U.S. dollars. ©2020 Direct Selling News All rights reserved. Material may not be reproduced in whole or in part in any form without written permission. No statement in this publication is to be construed as a recommendation to buy or sell securities or to provide investment advice. Direct Selling News 5800 Democracy Drive, Suite 100, Plano, Texas 75024 / Phone: 800-279-5249 www.directsellingnews.com

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NOVEMBER 2020

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FROM THE EDITOR Strategic Planning – Leading to a Transformation in the Direct Selling Channel

T IS November, and we are quickly approaching the end of a year like no other! While 2020 will be reflected as a year of adversity, challenges and a pandemic, it should also be noted as a year of renewed interest and growth in the channel. The goal for this issue of DSN is to explore and provide readers with a few insights into the strategies and plans that are being implemented to take companies into 2021 and beyond. In this month’s cover story found on page 48, we interviewed industry executives to determine what they have learned from 2020 and what they are implementing for 2021. A transformation is taking place in how direct selling presents itself to the world. As the industry prepares to build upon a strange 2020, leaders are committed to remaining beholden to the most signature characteristics of the channel, while strategically preparing to keep their forward motion no matter what challenges the new year may bring. As companies look toward the future, strategic staffing and being “right-staffed” is one area where changes are predicted. The remote working flexibility is changing the professional and executive pools that companies are selecting from. Learn from three executive search firm experts about trends and transitions they see in our feature article on Strategic Staffing located on page 40. Z Future, on page 64, is our second feature. This article highlights how Generation Z is primed for entrepreneurship. Their attitude toward business ownership and their alignment with direct selling’s core principles make this the time for our industry to get Zs’ attention. Check out the advice and insights offered about connecting with Gen Z. Pampered Chef celebrates 40 years of cooking up excellence in direct selling. Our company feature on page 58 takes a look at their journey—where they began, where they are and their continued mission. “We’re on a mission to continue empowering people to achieve mealtime wins, so they can spend more time connecting with the ones they love most and less time worrying about how they’ll get there,” states Andrew Treanor, CEO. Total Life Changes and their approach to impacting the human spirit and igniting sales is showcased in our second company spotlight beginning on page 70. Read about the challenges they faced during the pandemic and their “all hands on deck” method as they rushed to create an environment that can retain the interest of new customers and systems that can meet the needs of increased distributors and orders. We feel it is essential to be a customer-centric industry where we build strong retail bases, and opportunity seekers will follow. Every issue will include the Customer-Centric Recognized (CCR) companies on pages 30 and 31. If you have any questions or want to apply, visit DirectSellingNews.com/ccr/ or reach out to me. As we approach the holidays, I wanted to take this opportunity to express my gratitude for the creative staff, writers and leadership at DSN who work hard to bring you content that we hope is helpful and inspiring. We are very thankful for our readership and our remarkable industry that helps so many achieve their dreams and goals. All the Best,

PATRICIA WHITE | EDITOR | PWHITE@DIRECTSELLINGNEWS.COM FOLLOW US ONLINE:

@directsellingnews

@DSNUpdate

Join our LinkedIn Group w w w . d i r e c t s e l l i n g n e w s . c o m 1 3

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ER CE N OM T T R S

CCR

D E C O G N I Z E

G O L D

P L A T I N U M

Be CustomerustomerCentric CCR Recognized. R

D E C O G N I Z E

ER CE N OM T T R S

P L A T I N U M R

E D Direct Selling News is excitedE to C present O G N I Zthe

Customer-Centric Recognition (CCR) Program to celebrate companies that are leading the way toward a sustainable, customer-centric future for the industry. Qualifying companies utilize business models that boast high customer-to-distributor ratios and prioritize customer sales.

Submit Your CCR Program Application Today.

The CCR Program is based solely on a company’s customer-to-distributor ratio taking into consideration the following definitions:

■ Distributor—someone who DOES have a distributor agreement in place ■ Customer—someone who DOES NOT have a distributor agreement in place ■ Active is defi ned as each customer and distributor must have made a product purchase during the last six months. Active customer and distributor counts are limited to those in the U.S. and Canada.

Companies must have been in business for at least one year and have a minimum of $5 million in annual revenue. Qualifying companies must attain: 5:1 up to 10:1 for Gold status and 10:1 or more for Platinum status.

Companies who wish to learn more or to submit an application can go to www.directsellingnews.com/ccr or contact editor@directsellingnews.com

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IN THIS ISSUE

T HE MON T H IN NE W S A F F E C T IN G O UR C H A NNE L

Leading Off

Former FTC Chairman Maureen Ohlhausen Joins Neora’s Legal Team

M A IN S T OR Y

DIREC T SELLERS MEE T V IR T UA LLY W ITH MEMBERS OF CONGRESS

n September 23, the Direct Selling Association (DSA) hosted its annual Direct Selling Day on Capitol Hill for independent direct sellers throughout the United States. The event took place across the country this year and participants spoke with elected representatives virtually at their homes.

28-29

More than 125 direct selling distributors and executives representing 33 states met with Members of Congress during Direct Selling Day on Capitol Hill. The independent direct sellers from across the U.S. met virtually through video calls

Natura &Co Commences Global Offering of Common Shares

DSA Files Amicus Brief in U.S. Supreme Court Challenging FTC Authority

Transformation Capital Financial Analysis S

ER CE N OM T

CCR G O L D

ER CE N OM T

CCR

G O L D

CCR

D E C O G N I Z E

P L A T I N U M

D E C O G N I Z E

30-31 S

ER CE N OM T

CCR

DSN Customer-Centric P L A T I N U M Recognized List R

D E C O G N I Z E

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this year to emphasize the importance of protecting independent workers. They also discuss how direct selling offers a flexible, and low-risk pathway to entrepreneurship for millions of Americans. “It’s always a pleasure to meet with direct sellers who contribute so much to Florida’s 9th District and the greater Orlando community. I’ve seen the presence from a corporate and philanthropic perspective, but it was nice meeting individual direct sellers. I enjoyed hearing about the freedom and flexibility they have to

operate their businesses and be competitive with the modern economy.” said Rep. Darren Soto (D-FL). “We are pleased to continue our annual Direct Selling Day on Capitol Hill with direct sellers and executives participating virtually from around the country,” said Joseph N. Mariano, president and chief executive officer for the Direct Selling Association. “During the …

To read the full news feature, scan the QR Code, or visit http://bit.ly/DSNQR

“

T H E Y S A ID I T !

As the retail economy continues to evolve in the United States, it’s crucial that our elected officials understand the value of the direct selling industry and the differences between direct selling and other independent contractor work. — J O S E P H N . M A R I A N O , P r e s i d e n t a n d C h i e f E x e c u t i v e O f f i c e r f o r t h e D i r e c t S e l l i n g A s s o c i a t i o n w w w . d i r e c t s e l l i n g n e w s . c o m 15

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I N D U S T R Y N E W S For full article visit

directsellingnews.com /category/news/

News in Brief

Former FTC Chairman Joins Neora’s Legal Team

eora announced the addition of Maureen Ohlhausen, former acting chairman of the Federal Trade Commission (FTC), to the company’s legal team in its case against the FTC. Ohlhausen, who is currently a partner at Baker and Botts LLP, brings her expertise in consumer protection and competition to Neora’s fight against the FTC’s overreach. Prior to joining Baker and Botts LLP, Ohlhausen served as acting FTC chairman from 2017 to 2018 and as a commissioner starting in 2012. Throughout her accomplished career she has testified over a dozen times before Congress and has received numerous awards, including the FTC’s Robert Pitofsky Lifetime Achievement Award.

“Maureen is a strong addition to our robust legal team,” said Deborah Heisz, co-chief executive officer for Neora. “With her FTC background and our strong case, we believe that we can defeat the FTC in its attempt to enact a new retroactive interpretation of how direct selling companies can operate.” Ohlhausen joins the existing team of prominent lawyers and experts leading Neora’s defense including Ed Burbach, Jay Varon and Craig Florence, all of Foley Lardner LLP, as well as renowned econometrician Walter Vandaele.

Natura &Co Commences Global Offering of Common Shares

atura &Co announced a global offering of common shares of approximately R$6,207.2 million (US$1,106.3 million), based on a price of R$51.13 per share, corresponding to the closing price of the common shares on the Novo Mercado segment of the São Paulo Stock Exchange (B3 S.A. – Brasil, Bolsa, Balcão). The global offering consists of (i) an international offering of common shares, including in the form of American Depositary Shares (“ADSs”), in the United States and elsewhere outside of Brazil by the international underwriters and (ii) a concurrent offering of common shares in Brazil. ADSs represent two common shares of Natura &Co. Natura intends to use the net proceeds of this offering to: (1) support investments to accelerate growth over the next three years aimed at shaping the future in a more sustainable and inclusive way, primarily in the following strategic areas: (a) Avon integration and turnaround, focusing on a new

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commercial model, innovation and brand rejuvenation; (b) digitalization of the business by expanding social selling, including new features and services; (c) geographic opportunities leveraging existing footprint; and (d) 2030 Commitment to Life agenda, mainly related to Carbon net Zero Program, progressing in circularity of packaging and ingredients and developing a more diverse and inclusive workforce while improving quality of life of its network; and (2) optimize its capital structure by accelerating deleveraging and reducing its U.S. dollar-denominated debt and eliminating restrictive covenants. The offering is being conducted pursuant to a registration statement on Form F-3 filed with the U.S. Securities and Exchange Commission, or the SEC, and an accompanying preliminary prospectus supplement filed with the SEC on the date hereof.

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Nu Skin Announces Sustainability Pledges

u Skin announced additional sustainability pledges focusing on zero-waste. The new pledges come during Utah Climate Week and support the Utah Sustainability Business Coalition’s call for companies to make measurable sustainability pledges to support the environment. The company pledged to decrease its waste an additional 30 percent at its global headquarters and committed to educating 100 percent of its employees on best practices to fully leverage Nu Skin’s programs for recycling and proper waste disposal by the end of 2021. These new commitments are in addition to the company’s previously announced goals around the company’s three sustainability areas of focus: people, product and planet. “We are committed to being responsible stewards of our planet and leaving it better for the next generation,” said Ritch Wood, Nu Skin CEO. “During the past several years, we have made a concerted effort to integrate sustainability practices throughout our business. Whether it is responsibly sourcing ingredients, reducing our carbon footprint or utilizing more environmentally friendly packaging, we want to make sure we are caring for our planet in a responsible way.”

Mary Kay Inc. Helps Nearly 1,000 Student Entrepreneurs

he women of Mary Kay recently partnered with the Boss Club Foundation to inspire student entrepreneurs in Texas to achieve their own dreams. Mary Kay, a leading advocate for female entrepreneurs across the world, sponsored 25 girls from underserved areas around Dallas to participate in the program. Madeline Littrell, Mary Kay manager of Global Corporate Citizenship & Sustainability, recorded an in-depth video course on developing a purposedriven business—a topic close to Mary Kay’s heart. The brand also provided over 1,000 units of hand sanitizer so that students could interface with their customers safely. “Through more than 56 years of empowering women to follow their dreams, entrepreneurship has become synonymous with Mary Kay,” said Deborah Gibbins, chief operating officer at Mary Kay Inc. “Boss Club Foundation’s Summer Entrepreneurship Program empowers local youth with real-world lessons that go beyond traditional learning— interpersonal communication, relationship-building and creative thinking, among many others. We are thrilled to play a part in helping the next generation achieve their entrepreneurial dreams.”

Univera to Transition from Network Marketing

nivera has decided to transition away from network marketing. The following message was posted to the Univera website on October 1, 2020: It is with a heavy heart that we announce that Univera ownership has made the difficult decision to transition the company from a network marketing organization to sales strictly through e-commerce channels. Owners and management of Univera have attempted to make the transition easier for Associates by providing Associates with a “grace period” in which to collect a few more commissions and time to identify companies where you might

take your talents after Univera transitions. The last day for Associates to earn commissions will be November 30, 2020, and so the last commissions payment will be made in December. After that, all Associate Agreements will be cancelled and Univera will become an e-commerce company. From the bottom of our hearts, thank you for all you have done to bring the best of nature to humankind. According to the website, the transition will begin December 1, 2020. w w w.dir ec t sellingne w s .com

I N D U S T R Y N E W S For full article visit

directsellingnews.com /category/news/

Avon’s “Watch Me Now” Campaign Begins New Chapter for Beauty Brand

von Products Inc. launched a new brand campaign—“Watch Me Now”—calling on people to reconsider their views of the iconic company. “Watch Me Now” is a nod to the global beauty brand’s heritage as a purpose-driven company, using the power of beauty to create opportunities for people to earn on their own terms and to support causes including domestic abuse and breast cancer. It celebrates the success of the underdog and highlights the unexpected and underestimated aspects of the Avon brand, its people, activism and products. “There is huge awareness and affection for the Avon brand, but we have allowed ourselves to become a bit underestimated,” said James Thompson, Avon’s head of Brand, Categories and Stores. “We are a dynamic, bold, modern and inclusive beauty company; we are a quality brand that is relevant for all; we fight for issues that matter, such as gender-

based violence and breast cancer. We’ve been offering a flexible earning opportunity since before women had the right to vote. ‘Watch Me Now’ brings to life the best of what the brand has always been and repositions it proudly in a way that calls to individuals and touches on collective concerns.” “’Watch Me Now’ signals the start of a new chapter for Avon,” said Angela Cretu, Avon’s CEO. “We are taking what we’ve learned over the past 135 years about the power of relationships and social selling and applying that in today’s context, using new digital tools that enable our beauty advisors to earn flexibly today across their social platforms. We will continue to speak out, drive change and positively impact causes that affect women globally. The difference is that we are doing it in a more relevant, bold and confident way to Open Up Avon and grow our business.”

USANA Joins Forces with Utah Sustainable Business Coalition

SANA is continuing its fight to protect the environment by becoming a member of the Utah Sustainable Business Coalition. The company has pledged to reduce plastic waste in 2020 and beyond as part of its coalition efforts. USANA’s first step in this pledge is to move to smaller bottles to reduce wasted space and to make the switch from plastic bottles to 25 percent postrecycled material bottles. “We are excited about joining the coalition and continuing our environmental efforts at USANA,” said Paul Jones, USANA’s chief leadership development officer. “As a company focused on health with sustainability as a core value, we feel it’s our duty to join this coalition and work to make a better environmental future for Utah and the world. We are proud to be part of the Utah Sustainable Business Coalition, an EPA 1 8 D I R E C T S E L L I N G N E W S |

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WasteWise member, an EPA Green Power Partner, and one of 235 founding organizations of the Climate Registry.” “At USANA, we understand the impact socially responsible corporate citizens can make in their communities, and even the world,” said Peggie Pelosi, member of USANA’s board of directors providing board oversight to the CSR initiatives. “Our focus is to make sustainable decisions in every area of business, from selecting our raw materials, to our shipping practices, to inner-office conservation and beyond. USANA”s commitment and dedication to being a responsible environmental citizen goes hand-in-hand with our passion for advancing human health.”

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I N D U S T R Y N E W S For full article visit

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NewAge Updates Merger Agreement with ARIIX

ewAge, Inc. announced that it has amended the merger agreement for the acquisition of ARIIX. The Colorado-based omni-channel social selling and distribution company stated that it expects to close the transaction no later than November 30, 2020. “We think it is great for our shareholders to have increased clarity on the total cost of the ARIIX transaction, and to have agreed to terms on the future portion of the consideration, which represents a very attractive premium to the current share price,” said Brent Willis, chief executive officer of NewAge. “As a private company operating globally, the audit of ARIIX’s financial statements is taking time to complete, and we feel it is prudent to be thorough and have the audit materially completed before closing.” Fred Cooper, CEO of ARIIX said, “The strength of our two companies coming together will have significant benefits to all our stakeholders around the globe. We have been working

closely with Brent and his team and have identified several key areas within our organizations where we can gain efficiencies and enhance our overall business performance very positively impacting both the top and bottom lines. Historically ARIIX has delivered close to $20 million in EBITDA annually. With the convergence of the two organizations, the anticipated synergies of $20 million, the improved profitability of NewAge now that their retail brands have been sold, and the global organic growth we are experiencing, we believe both our top and bottom line outlook look extremely attractive.”

DSA Files Brief in U.S. Supreme Court Challenging FTC Authority

he DSA filed an amicus brief in the United States Supreme Court with the United States Chamber of Commerce and National Retail Federation in FTC v. AMG Capital Management LLC. The brief supports the position of AMG Capital Management regarding an enforcement action brought by the Federal Trade Commission (FTC). Consistent with enforcement actions against direct selling companies and other businesses, the FTC brought the action using the authority they deemed having under Section 13(b) of the Federal Trade Commission Act to demand monetary damages for alleged illegal practices. Under this statute, there only needs to be an accusation of “unfair” practices occurring. AMG Capital Management contends the Commission cannot claim monetary damages under this statute since it does not expressly authorize it as a remedy. The brief argues that the FTC is only also authorized to seek monetary rewards under Section 19 of the FTC Act, which affords businesses important procedural and substantive protections designed to ensure fair notice before imposing such financial remedies. These procedural and notice requirements include proving that a clear rule under the FTC Act was violated or if no such evidence or rule exists, a cease and desist order must be issued first.

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AMG Capital Management is not a direct selling company. Still, the outcome of this case could have important implications for ongoing and future enforcement actions in the industry if the FTC is required to undergo these procedures before claiming monetary damages from companies. An entity described in whole as SBH A & I filed a brief in support of AMG as well. The entity as a group of 271 individuals who have been adversely impacted by the FTC’s actions under 13(b). The substance of the brief is devoted to the actions taken by the FTC in its ongoing enforcement action against DSA non-member Success by Health. It argues the individual distributors are being harmed by the actions taken by the Commission, including asset freezes, which make it impossible for the company to defend itself. Other Washington, DC-based organizations also filed briefs in support of AMG. DSA is also speaking with Members of Congress to ensure any legislation passed aligns the FTC’s ability to impose monetary damages under Section 13(b) if those actions undertake the same or a similar process required of the FTC under Section 19. We will also discuss these tactics with other interested organizations in the case.

NOVEMBER 2020

10/17/20 11:07 PM

Kannaway Receives CEO World Awards

edical Marijuana, Inc. announced that the company and its subsidiary Kannaway® have received two prestigious CEO World Awards in the 8th Annual 2020 CEO World Awards. Kannaway CEO Blake Schroeder was honored with a Silver Award for Top CEO of the Year—The Maverick for his efforts in leading the company’s international expansion throughout recent years. Medical Marijuana, Inc. CEO Dr. Stuart Titus was named a Bronze Award winner for Top CEO of the Year—The Visionary for guiding the company through over a decade of “firsts” in the hemp-derived cannabidiol (CBD) industry. “We are passionate about spreading access to high-quality CBD across the globe and doing so has meant trailblazing new paths for the industry over the last decade,” said Dr. Titus. “It is an honor to be recognized but we still have much work to do as an industry.”

The CEO World Awards are an annual industry and peers recognition program honoring CEOs, executives, entrepreneurs, innovators and their management teams from organizations in every industry and of every size in Asia, Australia and New Zealand, Canada and the USA, Europe, Mexico, the Caribbean and Central and South America, the Middle East and Africa. The Annual CEO World Awards is part of the SVUS Awards® recognition program from Silicon Valley. “International expansion has been a key focus for Kannaway in recent years and we expect that to continue as we look into our future,” said Schroeder. “Our accomplishments in 2019 propelled our expansion in Europe and Asia and we intend to continue pushing forward with that momentum.” DSN

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10/17/20 11:07 PM

I N D U S T R Y N E W S

Executive Announcements SHARRON WALSH, Isagenix, Chief Executive Officer Isagenix International announced that it has promoted Sharron Walsh to chief executive officer. In her new role, Walsh will oversee business operations, including execution of three core initiatives of the ongoing “Isagenix 2.0” brand evolution: product innovation and upgrading core products; enhancing the company’s marketing, messaging and branding; and upgrading the user experience through innovative technology. Walsh succeeds Travis Ogden, who had been with the company since 2016. Jim Coover, Isagenix co-founder and chairman, said Ogden is a class act and a true professional, and the company appreciates his significant contributions and accomplishments. Moving forward, Coover said, Walsh is the ideal person to lead Isagenix 2.0 efforts. “Sharron is the perfect person to lead this company in implementing our new initiatives to increase our global footprint and help more people enjoy a better quality of life,” Coover said. “I’m honored to serve as CEO of such an amazing company,” Walsh said. “As co-founders, Jim and Kathy Coover have set the standard for businesses in our industry, and I believe wholeheartedly in their vision for Isagenix. Through our employees’ and independent distributors’ hard work and our executive leadership team’s expertise, Isagenix is in a fantastic position to help people around the world feel, look, move, and eat better.”

LAUREN WALKER, Medifast/OPTAVIA, Executive Vice President, Supply Chain Operations In her role, Walker will be responsible for overseeing Medifast’s global supply chain organization. As a key member of the company’s leadership team, she will report directly to Chief Executive Officer Dan Chard. “Over the last few years, Medifast has proven ourselves a leader in the health and wellness industry,” said Chard. “As we enter our next phase of growth, Lauren brings new capabilities and experience in manufacturing, logistics, new market development and packaging. I’m confident she will help drive operational excellence throughout our supply chain organization, further enhancing the Coach and Client experience.” “I have followed Medifast for some time, taking note as the company built a robust and vibrant community, and delivered clinically proven plans and scientifically developed products, all of which has allowed them to support a growing number of Coaches and Clients,” said Walker. “I’m excited to join this fast-paced company and work alongside a talented leadership team to enhance Medifast’s supply chain operations—and continue to impact more lives.” 2 2 D I R E C T S E L L I N G N E W S |

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NOVEMBER 2020

10/17/20 11:02 PM

COMING APRIL 2021! BEST PLACES TO WORK IN DIRECT SELLING

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DIRECT SELLING IS THE ORIGINAL PEOPLE BUSINESS. Measuring field engagement is critical to any company’s success, but the field is only part of the people equation. Once again, Direct Selling News has partnered with HR technology company Quantum Workplace to celebrate the important role direct selling companies play as employers in the marketplace and to identify the best of the best when it comes to creating engaging work environments. The Best Places to Work in Direct Selling will be featured in a special publication distributed in our April 2021 edition.

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10/17/20 11:02 PM

I N D U S T R Y N E W S

ROD TAYLOR, New Image, Chief Executive Officer New Image™ International has announced the appointment of Rod Taylor to the new position of chief executive officer. Taylor’s career includes 24 years senior management, marketing and sales experience in direct selling. “His CV is impressive in the industry, including recent experience on the board of Direct Selling Australia. He will bring many positives to our business,” said Graeme Clegg, executive chairman and founder of New Image International. Taylor will be charged with building New Image’s strategy and growth across Asia, Africa and beyond. “New Image™ has a proud history of changing the lives of so many families around the world with incredible products, backed up by science and research and a competitive compensation plan,” said Taylor. “As a proud Kiwi, I feel it is a real privilege to join an incredible company that is one of the true pioneers of health products and direct selling around the world—a true New Zealand success story. I see an incredible future for New Image.”

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SINAN TUNA, Farmasi, Chief Executive Officer of North America Sinan Tuna’s role will encompass leading operations in the United States, Mexico, Canada and Puerto Rico. He will be responsible for driving growth and ensuring operational efficiencies. “Sinan is an incredible global leader and we are confident in his abilities to achieve continued success for Farmasi and grow the North America business,” said Hakan Ömer Tuna, chairman of the Board for Farmasi. Sinan has been a Board member at Farmasi since 2019. His grandfather, the late Dr. Cevdet Tuna, was the founder of one of the Republic of Turkey’s first pharmacies. Tuna continues his grandfather’s legacy as the third generation to lead the Farmasi business. “We are rapidly growing and strengthening our brand,” said Tuna. “Out of all the counties in which we operate, we have achieved the fastest growth in the United States, and with Farmasi’s ability to innovate quickly, paired with expertise in manufacturing and production, we have a strong foundation for success.”

PERCY CHIN, VIIVA, Chief Executive Officer International social selling company VIIVA has announced the appointment of Percy Chin as the company’s new CEO. Chin brings more than 40 years of financial and business development expertise with worldwide brands that include Warner Brothers, Coca-Cola and global direct selling companies. The direct selling and consumer products veteran joins a management team that has expanded the VIIVA brand to eight countries in the past year. “We are honored to have Percy join the VIIVA team,” said Devin Glazier, chief operating officer. “We are confident in his ability to lead our company in achieving our vision of global expansion and to positively impact the health of individuals around the world.” “It’s a great honor to be joining the VIIVA team and partner with our brand partners, employees and leadership in helping people to wake up to a better life,” said Chin. “VIIVA has all the elements that make up a strong, successful international brand.”

NOVEMBER 2020

10/17/20 11:03 PM

ASHA GUPTA, Amway, Chief Strategy and Corporate Development Officer Amway recently announced Asha Gupta as its new chief strategy and corporate development officer reporting to Chief Executive Officer Milind Pant. “Asha will lead internal teams and external partners to chart the course for Amway’s growth,” said Amway Chief Executive Officer Milind Pant. “What I am most impressed by is how Asha seeks diverse perspectives and leads with heart. Her leadership epitomizes Amway’s growth mindset culture. She has a wealth of global business insight and expertise after managing teams in Asia, the Middle East, Europe and the United States.” In her role, Gupta will be responsible for leading the development of Amway’s long-term global business strategy and evaluating strategic growth opportunities that will help Amway Business Owners (ABOs) meet their customers’ needs and grow their businesses online. In addition to her enterprise strategy stewardship, Gupta will also lead the strategic acquisition and alliance initiatives for the company. “Asha’s experience leading teams around the world, as well as her passion for entrepreneurship, makes her a great fit for Amway,” said Pant. “I’m thrilled the global leadership team reflects the diversity of Amway’s global business, with multiple points of view represented throughout our many conversations on how to make the Amway business even better.”

Sales@NexioHub.com NexioHub.com

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10/17/20 11:03 PM

I N D U S T R Y N E W S

TRAVIS GARZA, Plexus, President of Sales and Marketing Plexus Worldwide named Travis Garza as President of Sales and Marketing. Garza is an accomplished executive in the direct sales industry. In his 20-year career in sales and marketing, he has helped businesses achieve new high revenue targets, two of them reaching nearly $1 billion in annual revenues. “Travis is passionate about building great teams, developing new relationships, new markets and field leaders. He’s also a big fan of Plexus products and holds our brand in high regard,” said Tarl Robinson, founder and CEO of Plexus Worldwide. “Our ability to sustain long-term growth, expand our product line and delight every Ambassador and Customer who interacts with Plexus requires strategic leadership across Sales, Marketing and Customer Service teams, and we are confident Travis will help us achieve our goals.” “One of Travis’ strongest qualities is his ability to cultivate a collaborative team dynamic by helping employees thrive for excellence,” said Alec Clark, founder and president of Plexus Worldwide. “That’s why we are thrilled to have him on board. We have the utmost confidence that he will help bring our organization to the next level.”

ROGER BARNETT, Shaklee, Named WFDSA Chairman The World Federation of Direct Selling Associations (WFDSA) announced that Roger Barnett, chairman and CEO of Shaklee, will serve as the organization’s chairman through October 2023. Barnett previously served as vice chairman of WFDSA. Barnett assumes the role of chairman from Magnus Brannstrom, CEO and president of Oriflame. “It is an honor and privilege to serve the direct selling industry as chairman of the World Federation of Direct Selling Associations during this pivotal time in history,” said Barnett. “With the pandemic threatening the global health and income of hundreds of millions of people in virtually every country in the world, this is a time when our industry can truly serve people and society. Direct selling is one of the most proven and time-tested ways for people to earn supplemental income, and today it is increasingly possible to do so in a digital and flexible way. We look forward to building on my predecessor’s success to reimagine, reinvent and redefine our industry in order to help hundreds of millions of people live a better life.” “It’s been such an honor and pleasure to serve as chairman of WFDSA for the past three years. None of our goals could have been accomplished without strong partnerships and the support of the direct selling associations around the world. The pandemic has indeed caused a big disruption and permanently changed our lives. But it also brought new perspectives. In this world the direct selling industry can be that positive force that unites people and helps making the world a better place,” said outgoing Chairman Magnus Brannstrom. “Direct selling is in good hands under the leadership of Roger Barnett. I have known Roger for many years as a man of vision and integrity, with great interest and passion for our industry. I have never been more confident and optimistic about the future of direct sales.” DSN

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NOVEMBER 2020

10/17/20 11:03 PM

In Memoriam J. Robert “Bob” Brouse

Loss of direct selling legend Bob Brouse

oseph N. Mariano, president and CEO of the Direct Selling Association (DSA), shared the recent loss of direct selling legend Bob Brouse. With deep sadness, I write to report the loss of a direct selling industry and association leader, a recipient of the first DSEF Circle of Honor in 1988, and the 1995 DSA Hall of Fame award, J. Robert “Bob” Brouse. Bob galvanized industry leadership behind his vision for the direct selling industry we know today. Through his work, the industry gained representation before the Federal Government and other important legislative and regulatory bodies in our nation’s capital. In 1968, Bob was appointed president of the National Association of Direct Selling Companies (NADSC). Bob led the Association’s 1969 move from Winona, Minn. to Washington, D.C., as well as the Association’s transformation from NADSC to the Direct Selling Association (DSA). In 1970, Bob helped produce the modern DSA Code of Ethics. This first version of the Code recognized the obligations and moral and legal responsibilities of Association members to consumers. It set forth the basic, fair and ethical principles and practices to which DSA companies pledge their adherence. Without this work, the channel’s modern selfregulatory framework provided by the Direct Selling SelfRegulatory Council (DSSRC) would not have been possible. In 1973, Bob worked with visionary leaders from within DSA to form the Direct Selling Education Foundation

(DSEF). Established to serve the public as the industry’s goodwill ambassador, DSEF offers comprehensive programs that advance education about the industry and individual economic empowerment. Today, DSEF’s purpose—one that seeks to engage, equip and empower educators to provide students with an accurate understanding of the direct selling industry as a powerful go-to-market strategy, distribution model and entrepreneurial option, and to teach the correct principles of direct selling— remains of vital importance to the channel. As Bob transitioned the role of DSA president to Neil Offen and the Association’s next generation, his work laid the groundwork for the 1978 launch of the World Federation of Direct Selling Association (WFDSA). Today, the Federation’s key objective—to ensure direct selling pursues the highest level of ethical conduct in the global marketplace, and to foster advocacy by partnering with government, consumer and academic leaders around the world—remains true to Bob’s vision. We honor Bob for his work and vision that shaped the channel we now know, and we are thankful for his legacy that forms the industry’s foundation and allows it to continue to innovate, adapt and thrive. DSN

STATEMENT OF OWNERSHIP, MANAGEMENT, AND CIRCULATION

(Required by 39 U.S.C. 3685). 1. Title of Publication: Direct Selling News. 2. Publication No.: 1554-6470. 3. Filing Date: Oct. 01, 2020. 4. Frequency: Monthly. 5. No. of Issues Published Annually: 12. 6. Annual Subscription Price: $50.00 for U.S. and Canada; $100.00 for all other countries. 7. Known Office of Publication: 5800 Democracy Drive, Suite 100, Plano, Texas 75024. 8. Headquarters or General Business Office of the Publisher: 5800 Democracy Drive, Suite 100, Plano, TX 75024. 9. Editor: Patricia White. 10. Owner: Success Partners Holding Co., 5800 Democracy Drive, Plano, TX 75024. 11: Known bondholders, mortgagees, and other security holders owning or holding 1 percent or more of total amounts of bonds, mortgages or other securities: None. 13. Title: Direct Selling News. 14. Issue date for circulation data below: October 2020. 15. Extent and Nature of Circulation: Monthly Trade Publication. (Average No. Copies Each Issue During Preceding 12 Months/No. Copies of Single Issue Published Nearest to Filing Date): a. Total No. of Copies Printed (6000/6050). b. Paid and/or Requested Circulation: 1. Paid/Requested Outside-County Mail Subscriptions Stated on Form 3526 (3916/3905). 2. Paid In-County Subscriptions (0/0). 3. Sales Through Dealers and Carriers, Street Vendors, Counter Sales, and Other Non-USPS Paid Distribution (117/112). 4. Requested Copies Distributed by Other Mail Classes Through the USPS (0/0). c. Total Paid and/or Requested Circulation (3916/3905). d. Non-Requested Distribution: 1. Outside-County as Stated on Form 3526 (1736/1716) 2. In-County as Stated on Form 3526 (0/0). 3. Other Classes Mailed Through the USPS (0/0). 4. Distributed Outside the Mail (28/0). e. Total Non-requested Distribution (1736/1716). f. Total Distribution (5652/5621). g. Copies Not Distributed (348/379). h. Total (6000/6000). i. Percent Paid and/or Requested Circulation (69.28%/69.47%). 17. I certify that all information furnished on this form is true and complete. Patricia White, Editor, Oct. 5, 2020.

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10/17/20 11:03 PM

I N D U S T R Y N E W S

Financial Analysis Transformation Capital reported that September represented a generally volatile period for the markets as a whole.

CCORDING TO the investment banking and business development firm, members of its direct selling tracking set were not immune to the action within the broader indices. Generally speaking, the larger capitalization stocks were flat, to slightly down during the month, with a few notable exceptions. Among small-cap stocks, a number of recent leaders pulled back off of recent highs.

As a whole, the Transformation Capital Direct Selling Index (TDSI) declined 4.43 percent over the course of September compared to a decline of 2.28 percent for the Dow Jones Industrial Average (DJIA). However, the TDSI remains up 44.17 percent since February 28, 2020, as compared to a gain of 9.34 percent for the Dow.

L ARGE-CAP STOCKS Tupperware moved up to Transformation Capital’s large-cap tracking set this month as the Company rose an additional 24 percent over the course of the period and now possesses a market capitalization of ~$1 billion, which is the minimum requirement for inclusion in the large-cap list. Tupperware Brands Corporation (NYSE: TUP) now stands more than 600 percent above its February 2020 closing price based on positive trends across its business driven by new management and a pandemic-oriented trend towards at-home food preparation and storage.

For the purposes of this report, Transformation Capital considers direct companies with a market capitalization in excess of $1 billion “Large Cap”.

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10/17/20 11:04 PM

Nu Skin Enterprises, Inc. (NYSE: NUS) advanced an additional 6 percent and now stands 107 percent above its pre-pandemic levels. After the market closed on October 1, Nu Skin announced revenue results for the third quarter of 2020 that were nearly $100 million ahead of the low end of the Company’s previously issued guidance range. As a result, the stock rallied approximately 10 percent on October 2 on trade nearly 3X average. Other interesting notes include Primerica, Inc. (NYSE: PRI), which our research indicates is significantly outperforming its insurance and financial services peers. SM A LL-C A P S T OCK S The small-cap stocks among Transformation Capital’s tracking set showed some weakness over the course of the month, but much of that was within stocks that have advanced significantly over the course of the last several months.

Sharing Services Global Corporation (OTC: SHRG) fell 47 percent during the period but remains 525 percent above its February 2020 closing price. LOOKING AHEAD According to Transformation Capital, September continued the consolidating action generally seen among its direct selling tracking set since August. “We believe this consolidation is a prelude to an exceptionally strong end to what has proved to be a phenomenal year across the channel,” said Stuart Johnson, CEO of Transformation Capital. “We continue to believe that 2020 remains on track to surpass 2016’s record domestic direct selling revenue and our short to mid-term thesis remains unchanged. Our belief is that the industry will continue to perform well financially and outperform the major indices for the foreseeable future.” DSN

Natural Health Trends Corp (NASDAQ: NHTC) rose more than 20 percent between September 11 and September 14, on heavy trade, before settling into a gain of 8.25 percent for the period.

This is a summarized report; for more information, please contact info@transformationcap.com.

TRANSFORMATION CAPITAL, LLC is a boutique investment banking, business development and corporate finance advisory firm primarily focused on the direct selling vertical, as well as ancillary businesses. Located in Dallas, Texas, Transformation’s core service offerings include both buy and sell-side M&A advisory, equity and debt financing, as well as joint venture and partnership opportunities. For more information please visit our website at: www.transformationcapital.com

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10/17/20 11:04 PM

D E C O G N I Z E

ER CE N OM T T R S

G O L D

CCR

ER CE N OM T T R S

P L A T I N U M

D E C O G N I Z E

Be Customer‑ CCR Centric Recognized. R

D E C O G N I Z E

The CCR Program is based

solely on a company’s customer-

definitions:

ER CE N to-distributor ratio taking O M T T R S into consideration the following

Distributor—someone

who DOES have a distributor agreement in place n

P L A T I N U M

Customer—someone who

DOES NOT have a distributor agreement in place n

Active is defined as each

D E C O G N I Z E

customer and distributor must have made a product purchase

Direct Selling News is excited to present the Customer Centric

during the last six months. Active

Recognition (CCR) Program to celebrate companies that are leading the

customer and distributor counts

way toward a sustainable, customer-centric future for the industry. Qualifying

are limited to those in the U.S.

companies utilize business models that boast high customer-to-distributor

and Canada.

ratios and prioritize customer sales.

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Companies who wish to learn more or submit a CCR Program Application can go to www.directsellingnews.com/ccr/ or contact editor@directsellingnews.com

NOVEMBER 2020

10/17/20 11:00 PM

CCR

IRECT SELLING COMPANIES with a strong retail base of satisfied customers are

experiencing impressive growth and deserve recognition and acknowledgment for their S

ER CE N OM T

efforts. With evolving consumer expectations and regulatory scrutiny, customer‑centric equals U

CCR

success for everyone—distributors, direct selling companies, and the channel as a whole. G O L D R

E C

D Z E

O G N I The DSN Customer-Centric Recognition Program acknowledges these companies.

ER CE N OM T

CCR P L A T I N U M R

D E C O G N I Z E

P L AT I N U M 10:1 and above

MONAT GLOBAL

A CN

NEORA

BHIP GLOBAL, INC.

PERFECTLY POSH

IT WORKS!

TOTAL LIFE CHANGES

KYNECT

CCR

GOLD 5:1 up to 10:1

D E C O G N I Z E

ER CE N OM T

G O L D

CCR

P L A T I N U M R

D E C O G N I Z E

NU SKIN, INC.

SCENTSY, INC.

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10/17/20 11:00 PM

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NOVEMBER 2020

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F O R W A R D T H I N K I N G

SOCIAL GUIDANCE

Does your social media strategy mesh with how these platforms operate today?

ECIDING WHICH social media platforms to focus on, and how to create native content for each, can be a daunting task, especially when they continue to evolve. Understanding user intent and experience is critical to engaging with and growing a loyal audience. For example, video is the fastest-growing medium for consuming content on most platforms that allow for some form of video. According to Facebook updates given in May 2020, more than 800 million people now watch live video daily across Instagram and Facebook. This guide includes updated stats and trends relevant to the direct sales industry for the three most popular platforms: YouTube, Facebook and Instagram.

3 4 D I R E C T S E L L I N G N E W S |

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YOUTUBE

UNDER S TA ND USER E X P ER IENCE YouTube is the second-largest search engine on the Internet. Unlike Instagram, as a comparison, it is not an in-themoment platform but serves as a video database. Users come to YouTube to learn, be entertained, or just listen to music or other audio. Like most social media platforms, YouTube’s main goal is to keep people on YouTube. That’s why its search algorithms favor videos and channels that result in viewers remaining to watch more recommended videos. Playlists, hashtags, and keyword-rich video titles and descriptions are effective ways to keep watchers consuming your content. According to a Think with Google survey, the top five reasons people use YouTube are: 1. To help fix something in my home or car. 2. To be entertained. 3. To learn something new. 4. To satisfy my curiosity about something. 5. To help me solve a problem

3 HO T T R END S F OR DIR E C T SEL L ING HOW-T O V I DE O S —These are certainly nothing new, but short tutorials continue to rise in importance and are now promoted by Google search results in a separate video results section. Make-up tutorials, recipes, and morning/night routines allow creators to show personality while generating a loyal following. The live feature offers first-person interaction that allows the consumer to relate to and connect with your brand. SI M PL I F I E D T H U M BN A I L S —The most effective thumbnails (cover preview images) feature bold but limited text, bright colors, and branded templates to help subscribers recognize your videos. Try creating different templates for different video categories or playlists. GET SPE C I F IC —Because YouTube is search-based, people typically search for solutions to specific problems. You are more likely to attract specific target audiences with specific content. For example, instead of creating a generic eyeliner tutorial, create one on “cat eyeliner for round eyes” (yes, that’s an actual YouTube search query).

K NOW THE NUMBERS

BILLION monthly users

15%

of traffic comes from the U.S.

73%

percent of U.S. adults use YouTube

70%

of what users watch is from algorithm recommendations

More than

70%

of YouTube views are on mobile.

Views on connected TV screens increased by

39%

from 2018 to 2019.

78%

of adults have used YouTube to listen and not watch.

Videos that relate to a viewer’s interests are three times more important than whether it has a famous actor.

70%

more YouTube users are engaging with creators and channels.

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F O R W A R D T H I N K I N G

FACEBOOK

FA CEBOOK

UNDER S TA ND USER E X P ER IENCE Facebook continues to be a platform for connecting with friends, family and brands. While the average user age is trending older, the platform is still growing. It’s the third-most visited website in the world behind Google and YouTube. Video is increasingly more important, but Facebook is one of the most versatile social networks allowing you to post photos, text, and links to other sites. The share feature sets Facebook apart, as it can help create organic exposure, leveraging your followers to grow your followers.

K NOW THE NUMBERS

2.41 69% 32%

BILLION

active users–8 percent growth from 2018 to 2019 percent of U.S. adults use Facebook. percent of people on Facebook are between the ages of 25 and 34

Just

51% 74%

of American teens use Facebook. of high-income earners ($75,000 per year or more) use Facebook as their preferred social network.

Users spend an average of

300

MINUTES per day on the platform. MILLION

people use Facebook Stories daily.

More than

1.4 10

BILLION people use Facebook Groups, and more than

78%

of American consumers have discovered retail products to buy via Facebook.

58%

of people in the U.S. have become more interested in a brand after seeing it in Facebook Stories.

60%

of Americans who watch digital videos do so on Facebook.

87%

of U.S. marketers will use Facebook marketing in 2020.

MILLION groups are on Facebook

The average engagement rate is of U.S. marketers will use Facebook marketing in 2020.

3.6%

(Sources: Hoot Suite, Kleiner Perkins, eMarketer)

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Facebook groups have become a popular and effective way for direct selling companies to create culture and interact with distributors and customers. Several direct selling companies host executive video presentations, updates and Q&A sessions as a way to maintain consistent engagement. 3 HO T T R END S F OR DIR E C T SEL L ING FAC E B O OK RO OM S —An in-platform videoconferencing feature, Rooms launched in late-spring as the need for virtual meetings and presentations skyrocketed. You can create a public or private room and invite up to 50 people to join. Host presentations, launch parties, informal meetings or virtual rallies. V I DE O I S K I NG —According to wochit.com, 46 percent of marketers use video in their marketing efforts on Facebook. The highest call-to-action conversion rate (17 percent) is in the middle of the video. T H I R D -PA RT Y ST R E A M I NG —Zoom and StreamYard have emerged as two of the most popular thirdparty video streaming services to connect with Facebook. They allow users to easily switch to screenshare format, split screens, and highlight follower comments.

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INS TA GR A M

UNDER S TA ND USER E X P ER IENCE Instagram has always been a visual platform, beginning in 2010 as a photo-sharing network that evolved to include short videos and stories, which are a combination of video clips and images available for 24 hours. Today, more than one-third of U.S. adults are on Instagram. In the U.S., women make up 43 percent of users compared to 31 percent men. Clean, crisp images are popular on the platform, making it a great fit for skincare and beauty categories. Users can quickly scroll through their feed, so eye-catching imagery is important.

K NOW THE NUMBERS

BILLION people use Instagram every month.

37%

of U.S. adults use Instagram.

89%

of users are outside the U.S.

500

MILLION people use Instagram Stories daily.

Instagram is projected to reach

117.2

MILLION U.S. users in 2021

72%

U.S. teens say they use Instagram (compared to 69 percent for Snapchat and 51 percent for Facebook).

63% 42% 50%

of users log in at least once per day. log in multiple times per day.

Hashtags play a major roll on Instagram, helping people follow topics they’re interested in. Live video allows you to interact with followers and even bring them on in a split-screen format.

BE S T T IME S T O P O S T ( A C C OR DING T O HUB SP O T ) • Travel & Tourism: Friday between 9 a.m. and 1 p.m. • Media & Entertainment: Tuesdays and Thursdays from 12 to 3 p.m. • Food & Beverage: Fridays at 12 p.m. • Retail: Tuesdays, Thursdays, and Fridays at 12 p.m. • Professional Services: Friday, Tuesday, and Wednesday at 9 a.m. or 10 a.m. • Healthcare: Wednesday and Sunday at 9 a.m. • Personal Care: Friday and Thursday at 1, 2, or 3 p.m. • Technology: Monday and Tuesday at 2 p.m. • Education: Thursday at 4 p.m. or 5 p.m. 3 HO T T R END S F OR DIR E C T SEL L ING SHOPPI NG —This feature allows you to add external buy links to product posts or sell exclusively through Instagram. You can also add purchase links in Instagram stories. Virtual boutiques have become a popular way to give products context and illicit feelings. V E RT ICA L V I DE O S — One of the unique aspects of Instagram is a vertical video format. Instagram Live, Stories, IGTV, and the new Reels all support vertical video format, which matches the natural way people hold their phones and consume content. It’s a fit for showcasing new products or swag, make-up tutorials, or just going live with tips. R E E L S —Instagram Reels launched with a similar function to TikTok. Up to 15-second video clips with background music from a huge library of licensed music. Reels can be added to stories and can be discovered through the Explore section, which can help grow your followers. DSN

of users follow at least one business.

Average user spends

MINUTES per day on the platform

71%

of U.S. businesses claim that they use Instagram for business.

7 out of 10 hashtags are branded. 10.7 is the average number of hashtags in a post. 1% and 3.5% is the average engagement rate. 3.5% and 6%

is the high engagement rate.

(Sources: Hoot Suite, eMarketer, Recode, Mention, AdEspresso)

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F O R W A R D T H I N K I N G

MUST READS THE LEADING BRAIN: NEUROSCIENCE HACKS TO WORK SMARTER, BETTER, HAPPIER Author: Friederike Fabritius and Hans W. Hagemann (TarcherPerigee, Reprint Edition, 2018)

cience used to think you were stuck with the brain you were born with. Actually, it is possible to rewire the brain, by practice, to support healthier habits, eliminate bad habits and give yourself lifelong learning. “Neuroplasticity can even make it possible to retrain your brain’s physical abilities simply by imagining those changes,” write Friederike Fabritius and Hans W. Hagemann. The Leading Brain is based on cutting-edge neuroscience, and it comes with specific ways to upgrade your brain, your behavior, and your life.

START WITH WHY: HOW GREAT LEADERS INSPIRE EVERYONE TO TAKE ACTION Author: Simon Sinek (Portfolio, 2009)

imon Sinek, the life-changing bestseller by the author of Leaders Eat Last and Together Is Better, starts with a fundamental question: Why are some people and organizations more innovative, more influential and more profitable than others? Start With Why shows that the leaders who’ve had the greatest influence in the world all think, act, and communicate the same way—and it’s the opposite of what everyone else does. They realized that people wouldn’t truly buy into a product, service, movement, or idea until they understand the WHY behind it.

HAVE A LISTEN

DEAR STRATEGY with Bob Caporale (Strategy Generation Company)

re you a business leader who has questions about how to develop and implement successful business strategies? Dear Strategy is an award-winning blog and podcast dedicated to providing education and advice on business

3 8 D I R E C T S E L L I N G N E W S |

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strategy. Episodes feature user-submitted questions and real-life business stories that are analyzed and turned into practical, real-world advice that can be implemented in the workplace. DSN

NOVEMBER 2020

10/17/20 11:04 PM

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technology.

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■ Comprehensive fraud

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management solution build on the latest machine learning and artiﬁcial intelligence tools.

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■ Advanced reporting and

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Strategic Staffing How Remote Work Flexibility Could Change in 2021 BY BETH DOUGLASS SILCOX

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F E A T U R E /

S T R A T E G I C

S T A F F I N G

“

IRECT SELLING field members typically work from home, yet, companies resisted the notion of a remote corporate workforce until COVID-19 forced their hands earlier this year. Founders and industry leaders feared degraded job performance, company culture loss, and control slipping away. “Because of the pandemic, a lot of the fear many organizations had about a remote corporate work force have been eliminated because they are seeing so many positive results. Not only are sales numbers growing, employee satisfaction is as well. The pandemic just served to move this inevitable change forward more quickly,” says Sean Eggert, CEO of Hanna Shea Executive Search. The ability to focus without interruption, less time spent in meetings that could have been emails, better overall employee energy due to work surroundings, and the likelihood of remote work extending beyond the typical 8-hour day seem to be boosting athome productivity. “Basic human nature dictates many would be very comfortable to return to pre-pandemic normal—including return to the fiscal footprint,” says Kate Gardner, principal, GardnerCo LLC dba C3 Executive Search. Yet direct selling management is growing more comfortable with staff relationships forged through technology. They are slowly discovering positive economics associated with fewer new hire relocation expenses, fewer in-house employees, and more.

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Because of the pandemic, a lot of the fear that many organizations had about a remote corporate workforce have been eliminated because they are seeing so many positive results. — S E A N E G G E R T, C EO, H anna S he a E xe c u ti ve S e ar c h

“They just haven’t made a commitment to what they are actually going to do with that information in the long run,” Gardner says. This can mean maintaining a pre-pandemic status quo as some companies explore staffing needs and new hire requirements for 2021. For example, a regional sales position may qualify for remote work, but a VP of sales may need to relocate and work internally. T R A DING R EL O C AT ION F OR R EMO T E W OR K Debbie Squier, owner at Impact This Day, believes that may be shortsighted in the current era. “I think that companies are going to have to rethink that a little bit because there is a lot of

NOVEMBER 2020

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push back from people [candidates] who have been working remotely and doing so successfully,” she says. “This is the [remote work] dream that many direct selling companies have been selling to their field prospects, but have been slow to adopt for their corporate employees,” Eggert says. The pandemic has fast-forwarded the need to offer a more flexible work environment or lose out to companies who do provide that flexibility. “We know that millennials weigh work flexibility as heavily as they do compensation when considering a job offer. Many of the younger candidates in today’s work environment are going to steer clear of your standard 9-5 desk job, and our industry knows this,” Eggert says.

In the era of COVID, however, it’s not just millennials who seek this flexibility. Across the board, people are carefully considering the risks associated with work norms everyone once took for granted. The remote work transition has also created a broader, more national candidate pool from which every direct selling company can draw if they will adapt to it. One of Squier’s clients, who was not amenable to remote work pre-pandemic, opened remote-friendly marketing and product team positions in order to attract the best candidates. Executive searches, the on-boarding process and new hire productivity are all expedited if companies forgo relocation requirements. The burden of relocation costs disappears, and the pressures associated with re-evaluating an underperforming new hire—who moved across the country— are alleviated.

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F E A T U R E /

S T R A T E G I C

S T A F F I N G

TRANSITIONING TIPS TO ATTRACT PROSPECTIVE EMPLOYERS AS THE pandemic plays out and direct selling companies make decisions about the future, industr y professionals may find themselves in transition— voluntarily or not. Here are some tips to attract prospective employers: } UP YOUR COMPLIANCE SAVVY—Embrace compliance in every product, program and promotion, as well as compensation plans. } BE CUSTOMER-CENTRIC —Selling real products to actual customers is the future of direct selling. } ADOPT NEW LANGUAGE—Shed the old income claims, curative statements, and MLM vibrato. Embrace soft skill strengths like collaboration and strategic thinking and always highlight digital. } KNOW YOUR VALUE—Define what you want and what to avoid in a new position. Stick to your rules and know how to articulate your value effectively to anyone you speak to within the industry. } DETAILED EXPECTATIONS —Understand performance expectations, units of measurement, travel requirements, and the company’s amenability to remote work. } FIND THE RIGHT HELP —Connect to the right sources. Online platforms like Upwork and Indeed can be useful for a non-industry-specific jobs like manufacturing, shipping and some operations roles. But direct selling industry-specific and management roles may require alternatives like industry niche executive search firms. 4 4 D I R E C T S E L L I N G N E W S |

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“It has always been frustrating for us to have an incredible candidate interested in a role with one of our clients, only to have the relocation requirement cause the candidate to remove themselves from consideration. We are seeing the best candidates getting hired for a role based on their abilities and not on their location or willingness to relocate,” Eggert says. R I G H T- S T A F F I N G A M I D U N C E R T A I N T Y Direct selling companies are cautiously looking to the future and trying to “right-staff” their organizations. But “It’s not as simple as it sounds. There are infinite people and program components to consider,” Gardner says. Companies are faced with a set of variables made more uncertain due to the impact of the pandemic. While health and wellness direct selling companies have thrived in this upending moment due to demand for the products they sell combined with well-established e-commerce platforms, not all product categories have been so lucky. “Consumers want certain things right now, and there are other things that they might want, but they don’t need so they don’t buy. Sales growth is being driven by consumer behavior during this specific time frame like never before,” Gardner says.

NOVEMBER 2020

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“

Direct selling companies are cautiously looking to the future and trying to “right-staff” their organizations. “It’s not as simple as it sounds. There are infinite people and program components to consider. — K ATE G A R D N E R , p rinc ip al, G ar dner C o LLC dba C3 Executive Search

THE INDUSTRY’S NEWEST AND MOST ADVANCED DIRECT SELLING SOFTWARE

SUPPORT ANY SIZE COMPANY ANYWHERE IN THE WORLD

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Compounding this is consumer purchasing behavior, which has trended more digitally over the last few years, and accelerated due to the pandemic. Some direct selling companies, especially party plan, were caught off guard because they had baby-stepped toward e-commerce pre-COVID. Gardner indicates pressure from legacy relationships in the field held up the digital leaps which could have helped the party plan model weather the pandemic more effectively. Of course, no direct selling company could have predicted the pandemic; however, the resilient ones are shifting gears this year, exercising their flexibility and opening themselves to a more digital marketing mindset by expanding or establishing e-commerce, and direct to consumer marketing. And their 2021 staffing decisions, about who will join and who will remain on corporate teams, should reflect all of this. Finite answers will be hard to come by heading into 2021, but for now, executive search firms are seeing upticks in roles that speak to digital and e-commerce expansion, as well as broader issues facing the industry, the country and society as a whole. w w w . d i r e c t s e l l i n g n e w s . c o m 4 5

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S T R A T E G I C

S T A F F I N G

Digital marketing is a hot role for hire in direct selling now. Gardner says companies are realizing they can create digital assets producing a promising degree of the “warm and fuzzies that getting face-to-face does.” Roles in compliance and diversity/inclusion are gaining traction too and could provide systemic change to direct selling companies. Rather than focusing on the punitive, these proactive roles are responsible for communicating, educating and providing up-front input and best practices within planning and decision functions across an entire organization. “Compliance is not your attorney red-lining every new marketing or promotion strategy you come up with. It’s about someone who helps you and the field understand when you do it this way, you will get the results you need and want without attracting unwanted regulatory scrutiny,” Gardner says. Recent Washington Post reporting details a hot new job within the tech industry possessing plenty of mid-pandemic, crossover appeal. “Head of Remote Work,” they say, could be an evolutionary step for chief operations officers. Much like chief diversity officers, who keep equity and inclusion top-of-mind when companies develop policies and take action, the Head of Remote Work brings HR, communications and tech experience to the table to benefit the company and a remote corporate staff. Whether an individual or a C-suite committee endeavor, the curation of remote work is becoming increasingly necessary for the tech industry with hundreds of thousands of employees working from home indefinitely. No one can know for certain if this transition to remote work will remain post-pandemic, but the unpredictability of coronavirus flares across the country seem to dictate a continuation throughout the remainder of 2020 and well into 2021. Adapting to these conditions means front-end work now: assessing technology to ensure systems can support remote employees, introducing or expanding hybrid remote staff positions, setting forth clear employee expectations, reducing employment redundancies, and identifying 4 6 D I R E C T S E L L I N G N E W S |

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“

There is a lot of push back from people [candidates] who have been working remotely and doing so successfully. — DE B B IE SQU IE R, owner, Impac t This Day

employees overloaded with work they weren’t hired to do. Another consideration is budgeting for and building a relationship with a good executive search firm so HR remains focused on the needs of internal employees. “By being forced to work remotely, employers have to be crystal clear in their expectations and can only rely on the work that is produced to measure a person’s performance. Employees are being forced to track and report their work more regularly than ever, which creates better transparency within an organization and thus illuminates areas of weakness or strength. Transparency is going to benefit all the great employees and their employers, and expose those employees that have simply been riding the coattails of the all-stars around them,” Eggert says. DSN

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A boutique investment banking, business development and corporate finance advisory firm with a primary focus on the direct selling vertical.

Stuart Johnson, the Founder and Chief Executive Officer of SUCCESS Partners and Direct Selling News, is a cofounder of the new firm. Transformation Capital’s experience and relationships are unmatched within the direct selling community.

SERVICES OFFERED INCLUDE: • Buy side and sell side M&A advisory • Equity and debt financing • Proprietary transactions • Joint venture and partnership opportunities • Institutional advisory

The firm has quickly established itself as a significant resource for direct selling industry participants and is actively engaged in the marketing of potential transactions in excess of $700 million.

Visit us on the web at: www.transformationcap.com or contact our partners directly as follows: info@transformationcap.com | 214-308-6020

Stuart Johnson, Partner | spj@transformationcap.com Ryan Bright, Partner | jrb@transformationcap.com

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PREPARE FOR A

TRANSFO HOW TOP INDUSTRY EXECUTIVES PREDICT THE CHANNEL WILL TRANSFORM IN THE NEW YEAR AND WHY THE INDUSTRY WILL NEVER BE THE SAME

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R M AT I O N

B Y

S A R A H

P A U L K

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C O V E R

S T O R Y

P R E P A R E

F O R

EEING 2020 in the rearview mirror will be a relief for many. The year of the pandemic has been a lot of things. From stayat-home orders to record-setting hurricanes and wildfires, the year unfolded one newsworthy event after another with rhythmic predictability, each one delivering a crushing blow to the economy and the nation’s overall sense of security. When social distancing measures became common practice, the relationship-based, face-to-face model that direct sales is known for became almost impossible. It was no longer safe for distributors to invite large gatherings of potential customers into their home for parties, and the casual conversations with strangers that happen in the grocery line or while browsing boutiques occurred less and less as people opted to shop online or pick up curbside. For companies who had spent 2019 and the years prior building momentum, this stop to their forward motion felt like a defeat. But in a surprising twist, the direct selling industry is emerging from the setbacks of 2020 with a renewed strength that most industry

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T R A N S F O R M A T I O N

insiders, top executives included, could not have predicted. And while not every company is reporting a revenue explosion, some are experiencing a bump in their customer numbers and a heightened interest in the business opportunity side of their brands. MONAT President Stuart MacMillan watched as the activity rate (a key metric to define how the company’s field is engaging, selling and enrolling new customers) began to climb during the first few tenuous months of the pandemic. “One of the things COVID brought was that the people who were dabbling in the business before are now doing more, and the people who were on the fence before got involved,” MacMillan says. “A pretty good company has a 25 percent activity rate. We have always traveled in the 30 percent range. Two to three months into COVID, we were up around 40 percent. We believe we have set a new threshold.” What constitutes average for the industry has shifted upward. Looking forward to 2021, the big question will be: How will the industry sustain this renewed interest and growth in the channel?

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“

While we are still optimizing virtual events in terms of length, tools, training and best types of content, we see an efficient hybrid event model enduring in the coming years. —JOHN AGWUNOBI, Herbalife Nutrition Chairman and Chief Executive Officer

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C O V E R

S T O R Y

P R E P A R E

F O R

T R A N S F O R M A T I O N

3 W

T HE T HR E E P IL L A R S OF 202 1 hile all of the high-volume direct selling company leaders we spoke with have goals and initiatives unique to their brand, three overarching strategies rose to the surface as common goals.

STABILITY: The recent growth associated within the direct selling space

has been an exhilarating infusion for the industry. The upcoming year will be about scaling infrastructure (call centers, technology, warehouse facilities) and offerings (new price points and products) to match customer and distributor demand. “Through the first half of 2020, Herbalife Nutrition performed at an exceptional level, experiencing record top-line performance. We believe our quality line of nutrition products and passionate, driven and engaged distributors will lead to continued growth.”—Herbalife Nutrition Chairman and Chief Executive Officer John Agwunobi EXPANSION: With a substantial increase in demand for health and wellness products, companies have their sights set on new launches to meet the trend. This includes innovative product categories as well as a continued effort to advance and expand existing nutritional lines. “The statistics are pretty clear. There is a lot of survey data that says the U.S. consumer is intending to spend more money on dietary supplements and vitamins in particular.”—Amway Vice President of Strategic Planning Andrew Schmidt IMPROVING CUSTOMER EXPERIENCE: Digital footprints are being reimagined and customized to better suit the needs of distributors and customers alike. From new online communities that draw in loyal customers to back office overhauls that make working from home more efficient, companies are focusing not only on the organization as a whole but focusing on enhancing customer acquisition and helping the distributor reach them—on a more one on one, individualized basis. “Customer experience continues to be a huge pillar for us. We survey our customers on a regular basis and have some cool ideas on how we plan to enhance their experience and simplify it. That’s a huge key for us: make the customer experience sticky and simple.”—MONAT President Stuart MacMillan

DIREC T SELLING NE WS

NOVEMBER 2020

T HE NE W H Y BR ID ME N TA L I T Y When the country began to cumulatively understand the severity and seriousness of the pandemic in March, the direct selling industry was already full speed ahead with plans for large national conventions. Companies scrambled to relocate their stadium-sized events to a digital platform on a dime, and in a matter of weeks, reimagined what these concert-style celebrations could become when broadcast online. The results revealed an untapped truth that executive teams are now salivating over: online events bring in more participants and more sales than a massive in-person event can. When MONAT pivoted to virtual, they turned their online experience into an innovative production, with daily surprises delivered to registrants that helped them participate with the event, like 3D glasses and confetti poppers. A post-convention rewards gala encouraged viewers to dress up in their homes and watch as James Corden hosted. Their interactive approach led to skyrocketed engagement. “Instead of 1415,000 people, we reached 50,000 people,” MacMillan says. This out-of-the-box thinking and its unparalleled results have influenced their event strategy for 2021. In-person gatherings are important and something the MONAT field is craving, MacMillan says, but their strategic approach to future events will require innovation and transformation. “We’re not giving up on in-person events,” MacMillan says. “But it was so successful that now we’re realizing maybe the new world is a hybrid of virtual and in-person because you reach more people.” MONAT is not the only one. Herbalife Nutrition reported record performance for the first half of 2020 and points to their previous investments in online systems and tech that made connection and growth possible, even when face-to-face meetings weren’t. “The challenges of 2020 have led our distributors to further embrace technology to service and connect with customers,” says Herbalife Nutrition Chairman and Chief Executive Officer John Agwunobi. “This has been done in numerous ways, one of which has been the virtualization of our events and trainings. While we are still optimizing virtual events in terms of length, tools, training and best types of content, we see an efficient hybrid event model enduring in the coming years.”

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Being customer- centric is going to be key for the industry. — R AY U R DA N E TA , M O N AT C EO & C o - Fo u n d e r

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A big focus in the industry is going to be on distanced experiences, online experiences and online business. — JAV I E R U R DA N E TA , M O N AT C hief o f S t af f

H I G H -T O U C H M E E T S H I G H -T E C H This hybrid mindset is one that the companies at the top of the leaderboard will be harnessing as they enter the new year. First and foremost, direct selling companies are a high-touch model, but 2020 demanded that it also become equally hightech. Almost every direct selling company has a digital home base, but that’s not enough anymore. Websites can’t simply be a stockroom for digital brochures and product glamour shots. To be competitive, they have to replicate the feeling customers get when they shop at Amazon, Nordstrom or Sephora. For MONAT, that means upping the customer experience by reducing the number of clicks it takes to complete a transaction and paying attention to how customers are viewing their site. In the coming year, the company will focus on their mobile website experience, since 70-80 percent of the company’s traffic views the site on a mobile device, and implement streamlined transactions through PayPal. Their new shopping cart, which took two years and millions of dollars to perfect, is a pillar of their customer-first strategy for 2021. 5 4 D I R E C T S E L L I N G N E W S |

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“Being customer-centric is going to be key for the industry,” MONAT Chief Executive Officer and Co-Founder Ray Urdaneta says. “We are literally doubling our technology budget for the next year so that the things that are front-facing and back-facing—the things people don’t even know about— will make us more efficient.” LEARNING FROM DISTRIBUTORS Many of the plans companies have for the new year will be a continuation and fulfillment of dreams deferred. Global expansion and in-person meetups that were off the table are now tantalizingly in reach, and companies that have been held for so long at the starting gate will undoubtedly race to regain normalcy. But in a world where business as usual has been turned upside down and normal is not as easily definable, a commitment to flexibility and innovation will be the industry’s salvation. “I don’t see it getting back to how it was before,” says MONAT Chief of Staff Javier Urdaneta. “A big focus in the industry is going to be on distanced experiences, online experiences and online business.” This fluidity has allowed the industry to serve as a solution in the midst of a negative trend for society when unemployment has left many people searching for viable options for flexible, part-time work. To properly serve this influx, many companies will be investing more time and resources into digital communities, like Amway, who is leaning into the online expressions of its brand after witnessing how distributors and customers naturally embraced it.

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“The way distributors have moved their community events and engagement to customer outreach online has been a source of great inspiration for us,” says Amway Vice President of Strategic Planning Andrew Schmidt. “We are learning from our distributors and seeing how they respond to the realities of the marketplace. It’s something we expect will continue in some way even as typical gatherings are acceptable and allowed.” T H E G I G E C O N O M Y, E X P A N D E D Direct selling has long been an opportunity for families looking for additional income during unstable economic times, and 2021 will be no different. The economic impact of COVID is going to critically shape and inform action plans for brands as they head into 2021. Still, it is a strategy and trend that industry leaders have been steadily preparing for. “Not just in 2020, but in the past ten years, there has been an increasing interest in the types of flexible, part-

time opportunities that Amway or direct selling offers,” Schmidt says. “The expansion of the gig economy and, I would say, the generational views toward work have created a greater openness toward side hustles.” Serving this expanding group of distributors and customers means leaders will be focusing on how they can tailor their products and tools to suit the new microentrepreneur. In an ever-changing marketplace, companies will need to continue evolving to match their efforts with customer demands and support distributors who will ultimately have to alter their approach and where they spend their time. Regardless of these challenges, leaders are anticipating that the intensified attention will reflect a year of growth. “This is a gig economy,” Ray Urdaneta says. “It’s been happening for years, but this accelerated everything. Now more than ever, people are giving us a second look. This opportunity is going to be huge.”

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The expansion of the gig economy and, I would say, the generational views toward work have created a greater openness toward side hustles. — A N D R E W S C H M I DT, A mw ay V ic e Pr e s i dent of Strategic Planning

P R EPA R E F OR A T R A NSF OR M AT ION Ready or not, the pandemic has given direct selling the makeover it didn’t know it needed, and maybe wasn’t even sure it wanted. But the industry is not the only thing that has been transformed. Customers and casual patrons have experienced change as well, as the need for online shopping and the permanency of work-from-home lifestyles gradually shifted their buying patterns. What will the future hold? Certainly, relationships that live mostly online, and product trends that reflect consumers’ new immunity obsession, the likes of which only a viral outbreak could inspire. But regardless of the methodology or product verticals, enhanced team-building and customer attraction efforts will be at the core. “We’ve noticed that the companies that seem to be really moving ahead are the ones who are super focused on customers,” MacMillan says. “I think you’ll see more compensation plans and incentive programs really shifting to be more about new customer acquisition, customer retention, volume and about how you are growing your business, not just how you are growing your team.” Those leading the pack are clinging to the roots of the channel—it’s entrepreneurial and relationship marketing heritage—while boldly injecting relevance and innovation into its future. In 2021, the industry’s leaders are illustrating 5 6 D I R E C T S E L L I N G N E W S |

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with their own strategic planning that “hybrid” will be the buzzword of the year, as events, training and customer connections shift to lend a more high-tech approach to the high-touch business, and flexibility in the face of unforeseen obstacles will continue to play a leading role. “We are fundamentally committed to going to market in partnership with our distributors,” Schmidt says. “That resolve and commitment are unchanged. Having said that—the marketplace changes constantly, and our distributors change in terms of how they build their businesses—the tools they use, the approach they take—and so we are consistently inspired by observing the actions they take.” A transformation is taking place in how direct selling presents itself to the world. As the industry prepares to build upon a strange 2020—a year filled with supply chain challenges and unusual regulatory scrutiny—leaders are committed to remaining beholden to the most signature characteristics of the channel, while strategically preparing to keep their forward motion no matter what challenges the new year may bring. It’s a response to a lesson that 2020 taught all of us so well: nothing is certain. “We are 100 percent committed to this channel,” MacMillan says. “But we need to be in a position that if the channel were removed, we would still have a viable, sustainable business.” DSN

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C O M P A N Y

S P O T L I G H T

DIREC T SELLING NE WS

NOVEMBER 2020

P A M P E R E D

C H E F

PAMPERED CHEF /

40 Years of Bringing Families to the Table Decades before busy schedules and technology lured us away from the dinner table, Doris Christopher knew how important it was for families to connect over a meal. She built a company around those connections, creating high-quality kitchen tools and an opportunity for women to succeed professionally and personally, without sacrificing time around the table. BY JENNY VETTER

HROUGHOUT THE DIFFERENT SEASONS of

ANDREW TREANOR

CEO

her life, Doris Christopher saw how powerful sharing a family meal could be. Her mother had modeled it, working multiple jobs but still fi nding time to share a meal with her family. Doris took that example and

carried it into her own motherhood, coupling it with her career in home economics to make great meals for her young family. Pampered Chef was born from that same desire to bring families back to the table. Forty years, five countries and 55,000 consultants later, her vision continues to serve families around the world.

PAMPERED CHEF FOUNDED:

1980 HEADQUARTERS:

Addison, IL TOP EXECUTIVE:

Andrew Treanor, CEO PRODUCTS:

Cooking tools, cookware, seasoning blends

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oday Pampered Chef is a Berkshire Hathaway Company, with Doris serving as Founder and Chairman and Andrew Treanor as Chief Executive Officer. He sees more consistency than change as he looks back at the company’s four decades in the kitchen. “While so much has changed since Doris founded Pampered Chef 40 years ago, the most important things have remained the same,” he explains. “The mealtime solutions we deliver and the flexible business opportunity we offer our consultants are more relevant than ever. We’re on a mission to continue empowering people to achieve mealtime wins, so they can spend more time connecting with the ones they love most and less time worrying about how they’ll get there.”

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We’re on a mission to continue empowering people to achieve mealtime wins, so they can spend more time connecting with the ones they love most and less time worrying about how they’ll get there. —ANDREW TREANOR, Chief Executive Officer

Pampered Chef consultants in the United States, Canada, Germany, Austria and recently launched France enjoy a flexible business they can balance alongside their families. Aspiring consultants can choose from three starter kits featuring Pampered Chef’s signature products, many of which have been staples for decades. The company’s unglazed stoneware has stood the test of time—a pizza stone was the star of Doris’ first Pampered Chef party. Today, home cooks can browse kitchen 6 0 D I R E C T S E L L I N G N E W S |

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tools, cookware and bakeware, small appliances, pieces for entertaining and exclusive seasoning blends. In 2019, the line expanded to include Enrichables™, powdered real food products customers can add to recipes to make mealtimes more nutritious. The most recent addition to the Pampered Chef collection as of October 2020 is Tastebuds, a monthly seasoning and meal inspiration subscription service to “spice up” the family meal rotation. C O N S U LTA N T S I N ( A N D O U T ) O F THE KITCHEN While Pampered Chef parties were traditionally served in the kitchen, like most in the social selling industry, consultants gradually began to move their businesses online. The company moved quickly to equip the field with all the tools they’d need to succeed in this new virtual arena. “A few years ago, we began making significant investments into technology that allows our consultants to run their businesses entirely virtually, right from 6 2 D I R E C T S E L L I N G N E W S |

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A few years ago, we began making significant investments into technology that allows our consultants to run their businesses entirely virtually, right from their phone. —ANDREW TREANOR, Chief Executive Officer

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SERVING UP GENEROSITY their phone,” says Treanor. “Consultants can now access training, order business supplies, manage orders and provide customer service from their mobile devices.” Doris’ vision of a family-friendly business opportunity was accommodating consultants in yet a new way, one that gave them even more flexibility to balance work and home. Chief Field and International Officer Nevena Srebreva sees this change as just another way Pampered Chef is making both consultants’ and customers’ lives a little bit easier. “We’ve seen a growing shift to virtual parties, which reflects today’s busy lifestyle and customers’ evolving expectations,” Srebreva says. “Thanks to technology, physical boundaries are eliminated, which means a consultant in Vermont can now easily hold a party with hosts and guests in Oregon. Over the past several years, we’ve evolved to a more digital company with a more tech-savvy consultant base.” This virtual shift couldn’t have been better timed. What began as a gradual shift toward online parties grew to 50 percent of the company’s business in 2019. This year’s COVID-19 pandemic shifted that percentage dramatically. “Beginning in March 2020, amid the pandemic, [our virtual party business] grew to nearly 100 percent— and we were prepared to accommodate that shift with the investment we’d made in technology and tools,” explains Treanor. “This forward-looking approach has helped us achieve, and exceed our goals for 2020.” SE T T ING A GL OB A L TA BL E Pampered Chef expanded beyond North America in 2000 with the launch of operations in Germany. What may have been a slow and steady approach to the European market is now gaining speed. The company opened in Austria in September 2019 and recently opened in France in November 2020 with plans for expansion on the horizon. “We have a long-term strategy of international expansion that’s about more than just entering new countries,” explains Treanor. “It’s about the opportunity to enrich more lives around the globe. This fall, we announced Pampered Chef’s expansion to France. This is Pampered

ROM THE beginning, Doris Christopher wove a spirit of generosity into the business she created. The company has been a longtime par tner of both the American Cancer Society and Feeding America, most recently increasing it’s commitment to provide meals for those facing food insecurity due to the COVID -19 pandemic. From September 2019 to August 2020, Pampered Chef consultants and customers raised more than $2.4 million for Feeding America through the sale of special products and fundraiser cooking par ties. “The response and enthusiasm far exceeded our expectations and proved to be a powerful way for our consultants and our consumers to connect and give back,” said CEO Andrew Treanor.

Chef’s third market in Europe, with Germany (2000) and Austria (2019). We are highly motivated to continue our expansion in these markets and beyond, which is exciting.” Regardless of which side of the pond their consultants hail from, Pampered Chef sees each one as a member of the family, occupying an important seat at their growing table. “What’s most special about Pampered Chef is the people—our consultants, our customers and our team of coworkers at Home Office,” says Treanor. “Everything we do is about making a difference in the lives of others through our mealtime solutions and the flexible business opportunity we offer. Over the last five years, we have focused on strengthening the foundation of the business and creating new engines for growth—and we did it all in close partnership with our consultants. As a result, we’re a more diverse company that is experiencing meaningful growth.” DSN w w w . d i r e c t s e l l i n g n e w s . c o m 6 3

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Z F U T URE C A P T UR ING GE NE R AT ION Z IS

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ILLENNIALS’ POWER and influence in the global market is undeniable. Over the last decade, they have become the holy grail consumer and employee for most industries. But a slightly larger, equally formidable generation has come of age, and it’s practically custom made for direct selling. Generation Zs were born between 1996 and 2009, and they recently edged past millennials as the world’s largest generation. Their numbers alone command attention, but this group’s characteristics should make direct selling companies take particular notice. Zs expect to use high-tech tools in every facet of their lives. But they also want authentic, personal interactions, and they’re passionate about humanitarian and social justice issues. They intuitively understand the concept of brand. And they’re more committed to training than perhaps any generation that’s gone before them. Technology. Tools. People orientation. Brand. Training. These are among the Core Principles of direct selling success. Gen Z’s motivations, skills and personal qualities are closely aligned with what makes our industry unique, what makes it work.

Gen Z wants their tools accessible onthe-go. They don’t want to wait for a Business Builder Kit to hit their doorstep to start making money. —M A R K P E N T E C O S T, C EO and founder, It Works!

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Right now, fewer than six percent of people involved in direct selling fall into the Gen Z category, according to the Direct Selling Association (DSA). But that’s because the oldest among them is only 24, just starting their adult lives. DSA research also indicates that a whopping 91 percent of Gen Zs are interested in entrepreneurship. Their attitude toward business ownership and their alignment with our Core Principles make now the time for our industry to get Zs’ attention, to let them know we are built on ideals that matter to them. If we can catch the first wave of potential Gen Z customers and distributors, others are more likely to follow.

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PRIMED FOR ENTREPRENEURSHIP The oldest Gen Zs watched their parents struggle through the Great Recession, and now all of them are feeling the economic effects of the COVID-19 pandemic. Because job security has not always been a given in their world, according to a Deloitte survey, Gen Zs want “diverse and entrepreneurial opportunities with the safety of stable employment and will remain loyal to a company if it can offer this,” Sarah Sladek, CEO of consulting firm XYZ University, agrees. “Zs tend to like the idea of being in control of their destinies,” she wrote in a recent study. Direct selling gives people more control over their income and work lives through opportunities with companies that typically thrive and even grow during tough economic times. Our industry’s stocks outperformed the Dow Jones Industrial Average throughout the spring and summer, and while domestic direct selling revenue had been flat to slightly down since reaching an all-time high of more than $36 billion in 2016, “it is our belief that 2020 sales will reach, and likely exceed that record figure,” said Transformation Capital CEO Stuart Johnson in September. Direct selling companies might also see higher rates of Gen Z customers making the transition to distributor. Says the Deloitte USAGE OF TAGLINED survey, “Gen Z prefers to work in industries that they interact LOGOS One-tagline version of full color logo within their personal lives as opposed to industries they aren’t The tagline "AUDIT.TAX.ADVISORY" only accompanies the logo in frequent consumers of.” So, keep your eye on the customer-centric circumstances where context requires clarification aboutteam what Squire can do ball, and Gen Z may naturally fill your field ranks. for current and potential customers

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(the audience).

RAISED ON TECHNOLOGY For example, Squire.com and its subsequent web pages feature the oneWorking Gen Zs have been touching and swiping screens tagline version (HIGHER practically their whole lives. They don’t just useoftechnology. PERSPECTIVE ONLY) the Squire logo because the subpage content They live digitally. If you want to capture attention, invest in throughout the Zs’ site provides adequate context to visitors. development of the tools that have become extensions of their On the other hand, if the team attends fingertips: primarily mobile technology and social media. a national financial trade show where Squire should differentiate itself from a neighboring financial software company, then trade show banners need to include the tagline, “Audit-TaxAdvisory.”

Secondary-tagline version of full color logo

One-tagline version of white logo

AUDIT · TAX · ADVISORY

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Treat the secondary tagline like it’s part of the logo but secondary in focus to the logo itself.

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W h e n a p p r o v e d b y t h e c o m p a n y , any word usage, may be used with the

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Zs are their own brand managers, monitoring comments, likes and views to measure brand value and success.

According to a study by the Center for Generational Kinetics (CGK), more than half of Zs use their smartphones more than five hours a day. These devices —X Y Z U N I V E R S I T Y are their connection to everything from Uber rides and DoorDash food to video chats with friends and live streams from their favorite artists and influencers. “Companies and marketing leaders must understand that because Gen Z lives on their smartphones, every interface they design needs to work seamlessly on mobile,” the CGK study says. “Design with a mobile-first philosophy.” Mobile-first has become an increasingly important part of tech strategies across our industry. Mark Pentecost, CEO and founder of health and wellness provider It Works!, says his company’s mobile app helps Z distributors hit the ground running. “Gen Z wants their tools accessible onthe-go,” he says. “They don’t want to wait for a Business Builder Kit to hit their doorstep to start making money. We help them make money their first day in business. Through our Sampling App program, they can sell samples and earn cash immediately.” And don’t bother putting Zs on your snail mail and email marketing lists. XYZ researchers found that 85 percent of them say they learn about new products through social media. But they’re rarely on Facebook or Twitter—they spend their virtual time on Instagram, Snapchat and YouTube. Not only does Gen Z expect to use technology to discover and share new products, but many also want to be the ones to develop it. According to online job search company Glassdoor, Gen Zs applied for jobs as software engineers more than any other position in late 2018-early 2019. If you want your tech team to be on the leading edge, let it get some Zs. DR AW N T O R EL AT IONSHIP S & FA IR NE S S Gen Zers may rarely be without their devices, but they still are hungry for in-person interaction and authentic connections, demographers say. This makes Zs the perfect fit for our channel, which is built around the belief that relationships are key to success. More than any other industry—certainly more than the 6 8 D I R E C T S E L L I N G N E W S |

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gig competitors—we give people a chance to make meaningful personal connections while sharing products they believe in. Gen Zs’ people-orientation fuels their passion for making the world a better place, and our industry needs to be mindful of how important this is to them. “While philanthropically minded companies have been successful marketing to Millennials,” XYZ researchers say, “Zs will hold their feet to the fire, expecting brands to change the world in innovative and measurable ways.” The Deloitte study echoes this conclusion: “The core values of the generation are reflected in their prioritizing social activism more than previous generations, and in the importance, they place on working at organizations whose values align with their own.” To attract and keep Z customers and distributors—our industry must invest time, money and resources in causes that resonate with Zs, including the impact of poverty and hunger, human rights, and equality, according to research from Cone Communications. “Gen Z doesn’t form opinions of a company solely based on the quality of its products, but also focuses on its ethics, practices and social impact,” says Kindsey Pentecost, Chief Marketing Officer for It Works!, whose Gives Back Foundation supports organizations that work to prevent human trafficking, feed the hungry, and support military veterans and their families.

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Gen Z also is more diverse and inclusive than any generation before them. “Generation Z came of age just as the Black Lives Matter movement was cresting,” says a recent article in The New York Times. “And they are far more comfortable with shifting views of identity than older generations have been.” More than one-third of Gen Zs surveyed by the Pew Research Center said they knew someone who preferred to be addressed using gender-neutral pronouns. The DSA is leading our channel’s effort to stay focused on diversity and equity, recently announcing that it has partnered with a Cultural Transformation consultant to begin “the hard work of turning [our] commitment into concrete, measurable action.” The industry has made progress, writes DSA President and CEO Joseph Mariano. “But it hasn’t been enough. The events of recent months have highlighted the need for all of us, including direct sellers, to take the next necessary steps to ensure that the American dream of opportunity, freedom and equity that direct selling embodies is a reality for all.” S AV V Y A B O U T B R A N D Make no mistake, Gen Zs are watching you for that “concrete, measurable action.” That’s one way they’ll know if they can trust your brand. “Authenticity and consistency within a brand are key” when it comes to appealing to Zs, Kindsey Pentecost says. Zs have become masters of brand consistency, having carefully developed their own images online, say XYZ researchers. “Through social media (especially SnapChat and Instagram), they curate their personal brand to reflect how

they want to be perceived. Zs are their own brand managers, monitoring comments, likes and views to measure brand value and success.” Leverage your Zs’ inherent branding and social media talent, helping them apply it to their business building to become an influencer who represents your brand accurately and consistently, too. Gen Z distributors and consumers want to connect with brands that are serious about doing good in the world and helping them succeed, but also with those that are serious about keeping their loyalty. Gifts and exclusive offers are excellent ways to do that. “We have found that unique giveaways are a great incentive,” Kindsey Pentecost says. “Freebies like event tickets, Bluetooth headphones and wireless chargers and speakers attract this younger generation of distributors and potential consumers.” DR I V EN B Y EDUC AT ION When you hire a Gen Z, you’re likely to get someone who is ready to work hard and keep learning so they can stay ahead in what they see as an often-volatile world. “Zs came of age during an era of disruption, and Zs were raised to compete,” writes Sladek of XYZ. As a result, Zs are becoming the most educated generation in history, says the Deloitte study. “So, organizations that focus on investment in learning and skill/capability development become more attractive to this education-oriented cohort.” Our channel differentiates itself by providing professional and personal development at a level few other industries can claim. Make your training accessible through webinars, YouTube videos and mobile apps, and you’ll keep Zs interested. Nearly 40 percent of the Gen Zs XYZ surveyed said they prefer to learn online—just make sure you provide hands-on training opportunities, too, because more than half said they want to learn by doing. Z FUTURE Generation Zs don’t know a world without constant, rapid change. They are adaptable, comfortable moving beyond artificial boundaries, and more open to new ways of thinking and working than any generation that preceded them. As our industry evolves, searching for innovative ways of strategizing and operating, Generation Z can keep us from looking backward. DSN w w w . d i r e c t s e l l i n g n e w s . c o m 6 9

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/ T L C

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Total Life Changes Brings New Energy TLC takes a different approach to impacting the human spirit while igniting sales. BY SARAH PAULK

N 2016, TOTAL LIFE CHANGES HIT THE $100 MILLION

JACK FALLON

CHIEF VISION OFFICER

MARK. One year later, the executive team made a decision to stop focusing publicly on the numbers. TLC prefers to focus on building a community that embraces the company’s seven core values. They believe these core values will continue to attract men and women

that operate with honesty and integrity, which will in turn continue to increase the company’s sales metrics. “We want to separate ourselves to an extent from placing ourselves as a top 100 or having incredible sales metrics, and we just want to focus on holding ourselves more accountable to our core values,” says TLC Chief Communications Officer Scott Bania.

TOTAL LIFE CHANGES, LLC. FOUNDED:

2003 HEADQUARTERS:

Fair Haven, MI TOP EXECUTIVE:

Jack Fallon, Chief Vision Officer PRODUCTS:

Health and Wellness

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oney metrics are everything to most direct selling companies, so this shift was, initially, a shock to some of the company’s salesforce. “We lost several top earners and key leadership but as expected, it opened up doors for others to grow, mature, and diversify their teams. And now we’re enjoying exponential growth,” Scott says. Their new focus includes operating with integrity and authenticity and maintaining the mindset that they would be dedicated to what they stood for. This translated into simple in-house slogans, like TLC Chief Operations Officer John Licari’s “SOI” in place of “ROI” to stand for “smiles” on investment rather than “return.” If the smiles come first, the leadership insists, the return soon follows. 7 2 D I R E C T S E L L I N G N E W S |

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We are no longer a company; we are an energy. —SCOTT BANIA, TLC Chief Communications Officer

C L A R I F Y I N G T H E I R C U LT U R E Sales initiatives like the G5 Challenge, which inspires brand-new distributors to attract five new customers within their first 30 days, launched to emphasize appreciation for fledgling Life Changers and the investment they were making in the company and themselves. TLC’s in-app sampling capability took the guesswork out of it for rookie team members,

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If it's Compensation Plan Design, Alan gets it!

and the challenge significantly increased the number of samples in circulation. More importantly to the leadership, new Life Changers were introduced to the TLC community and culture of connection. This culture was clarified at a 2019 Los Angeles event when TLC Chief Vision Officer Jack Fallon distilled his dream for this community and its values-focused measurement for success into one word. “Jack spoke directly into the camera and said, ‘We are no longer a company; we are an energy,’” Scott says. Weight loss challenges were eschewed in favor of individual transformation stories. Personal and professional development became a higher priority, and the leadership began highlighting the works of James Twyman, author of The Moses Code, a book about manifesting miracles and inviting him onto their live broadcasts. “We want to communicate with people emotionally and spiritually,” Scott says. “We’re really focused on building this community and attracting people by way of our core values and what we stand for. If they want a sample, if and when they want to start a home-based business, we will wrap our arms around them and expose them to all of our company’s culture and tools and support.” w w w . d i r e c t s e l l i n g n e w s . c o m 7 3

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Direct sales is looking at compensation plan design in a whole new way. Between fresh regulatory pressures and ever-changing demands in today's Gig Economy, the same ol' comp plan simply won't cut it anymore. Alan Luce is one of the most sought-after compensation plan designers in direct sales today. If you need help with ... • Assessing your current plan for optimization. • Updating your comp plan to align with today's expectations. • Creating a new plan from scratch for a new company. • Incorporating new elements of compensation to spark activity.

... then you need Alan!

If it's direct selling, he gets it! Find out more at StrategicChoicePartners.com/AlanGetsIt 10/17/20 11:14 PM

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We want to communicate with people emotionally and spiritually. —SCOTT BANIA, TLC Chief Communications Officer

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INFLUENCE, IGNITE, IMPACT In summer months, many direct selling companies experience a tapering in their sales activity, but in the wake of the pandemic and customers’ heightened interest in immune support products, TLC was growing. June and July pulled strong—albeit unannounced— numbers, with each week greater than the previous. “Our multivitamin NutraBurst went viral at the start of the pandemic,” Scott says. “We have strong Instagram influencers, Blac Chyna is one of them, so our sales for NutraBurst increased tremendously, upwards of 500 percent of what they were.” To leverage this interest, the company combined their hemp extract products and instant tea products with NutraBurst into simple kits, which also ignited sales. But what the pandemic gave, it also took away. TLC’s office logistics became complicated, as much of the staff was sent home to work remotely, but the fulfillment center was busier than ever. To meet the demands, the executive team spent five hours every evening after work on the line, picking, packing and shipping products. Amid the controlled chaos of

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disinfecting work stations and implementing new safety protocols, the orders continued to pour in. For two months, they operated as “all hands-on deck” and in the process were able to analyze their system mechanics. New shifts were created, arrivals were fine-tuned, and the warehouse was restructured to accommodate the influx of products. While the company relishes its burst of growth, they must now create an environment that can retain the interest of these new customers and remodel their systems to withstand the strain of increased distributor needs and orders. “We continue to hire and acquire great local talent,” Scott says. “Our compliance department is fully staffed and working 24-hour days over several shifts. Our user experience and IT departments and call center have grown, and we are training and educating all of our support staff in our international offices.” This staff expansion means the company has had to get creative, shifting offices and adjusting their warehouse usage. “We are busting at the seams here

in our Michigan headquarters,” Scott says. The merchandise and apparel department relocated to the company’s original warehouse space to make room for an additional 1,500-square-feet of call center office space. The accounting department shifted to its own 2,500-square-foot office space, and construction has already begun offering an additional 3,000-square foot mezzanine above the fulfillment center in the Michigan headquarters. The 11,000-square-foot space that serves as their primary product warehouse has had to be supplemented by cube trucks and trailers that bring products to headquarters for final fulfillment and shipping. Operating under extreme conditions has given the TLC executives opportunity to lead by example, which, Scott says, their team members—young talent especially—really appreciate and as a result provide greater service to the company when they see it happening. “Where some companies may be hesitant to place someone as young as 20 years old in an executive role, w w w . d i r e c t s e l l i n g n e w s . c o m 7 5

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what we’ve learned is that we can trust our instincts and place people in these positions as long as we support them. For example, our COO John Licari recently asked Evan Brengman to be our Director of Logistics & Fulfillment. Evan is a remarkable young man and is currently a college student at Michigan State University,” Scott says. “We love that we have been able to impact these young adults.” C ONNE C T ION A MID IS OL AT ION Making an impact has been the driving force for the company and has led to some powerful and unique connections. To celebrate with Life Changers and preferred customers, the executive team hosts live broadcasts, like Fun Fridays (closing in on 200 straight episodes at the time of publication), daily live broadcasts with Jack Fallon and John Licari, weekly exercise broadcasts and more; a total of 19 broadcasts weekly. During these talks, they interact with new faces, donate to charities, talk about ways to uplift the human spirit and even give away extravagant prizes, like the Mustang GT convertible they awarded in June. It’s one more way to invite people to try out the TLC community and maybe a sample, and see if they’re ready to start a home-based business. This social engagement has been a building block for TLC for some time, and the previous investment in their auditorium and fully equipped AV team to support their broadcast has come in handy during a socially distanced season. Still, it is only part of their strategy. The company will be announcing a product launch in the fourth quarter, a new all-inclusive community and a new 30-day challenge. There is also a heightened urgency to get back to traveling and solidifying relationships with leadership across the globe. This isolating season is difficult for a company built on connection, but the company’s founder is devoted to broadening its impact and bringing new people into its fold. “When you’re working with a visionary like Jack, he’s already past this pandemic,” Scott says. “He’s constantly operating in the future. So, we are always reaching for the next greatest innovative AI technology that we can use in a mobile app or training or product. TLC will last forever just as long as our staff keeps up with all of Jack’s visions and initiatives.” DSN 76

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Our sales for NutraBurst increased tremendously, upwards of 500 percent… —SCOTT BANIA, TLC Chief Communications Officer

BEHIND EVERY 5-STAR CUSTOMER EXPERIENCE

IS A ROCK-SOLID LOGISTICS STRATEGY AND FLAWLESS EXECUTION.

LACORE LOGISTICS is a customer-focused omnichannel supply chain solutions company that understands the unique needs of the direct selling channel, providing a variety of integrated services, including omnichannel and multi-channel order fulﬁllment, warehousing and transportation. OUR GOAL is to make your job easier, help you control costs and provide a superior customer experience—every time. Let’s connect to talk about your company’s needs. Together, we’ll design a supply chain strategy and solution customized for your business.

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B Y

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STEPS

t o Involve Distributors in Marketing Campaigns

ARKETING EXECUTIVES

confessed. While HQ wants to quickly launch

at direct selling organizations

promotional campaigns and get predictable results,

often find it hard to predict

distributors struggle to access branded content and

the outcome of marketing

keep up with the posting schedule because they don’t

campaigns and prove their value to their boards. Experience says that companies who get distributors

have enough marketing knowledge. These bottlenecks appear at different stages of

involved in running promo campaigns on social media

a campaign launch depending on which campaign

get higher sales results than before. The key to those

management workflow is applied. Direct selling

results is using the right software to help distributors

companies use several processes of workflow

actively post to their pages in accordance with the

management. Let’s take a look at how a couple

campaign flow, develop their personal brand on social,

of them work, what they lack, and find out what

and build relationships with their subscribers.

you, as a marketing executive, can do to simplify

As effective as it is, involving distributors can

your workflow.

be quite challenging, as 73 percent of marketers

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Workflow in Asset Management Solutions

GET NOTIFICATIONS on new content

DOWNLOAD the content

Asset management is the most common workflow used by direct selling companies that have just started developing a social media marketing channel. They need to provide distributors with content and want it to be posted in time to meet the campaign time limits. Such tools as Bynder and Aprimo imply that HQ uploads content to an asset manager and gives distributors access to it. The most important job is left for distributors, which is by no means easy: First, they get notifications about content updates, whether by email or in-app. After that, distributors can go to the asset manager to download the content, then switch to another software to customize it if they need to. Once the post is ready, distributors have to manually post it to their social media pages or groups

manager and hope the representatives will do the job. For distributors, it takes fewer steps to publish a post: Once they get notified of new content, they go to the interface and find the uploaded content. They can schedule content to their social media right from the interface, but only if they want to post the templates as they are. Customization would require going to another interface.

Apart from this flow being convoluted, HQ can never be sure distributors actually find the content and carry out the desired posting since 90 percent of distributors simply don’t open their notifications. Moreover, even if they find the right templates, HQ has no way of knowing when the content will be posted.

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UPLOADS CONTENT to Assets Management

GET NOTIFICATIONS of new content DISTRIBUTORS

SOCIAL SHARING SOLUTIONS Social sharing solutions like Hootsuite, Amplify, Sociabble or Bambu by Sprout Social offer another workflow that gives direct selling companies a chance to store and post content in one place. Some marketing executives hope this will ensure posts will be published once distributors find the content. But let’s see how this works. From HQ’s side, the process is pretty much the same as in the previous workflow: they upload content to an asset 8 0 D I R E C T S E L L I N G N E W S |

POST to several networks

DISTRIBUTORS

UPLOADS CONTENT to Assets Management

POST to several networks

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“

With this workflow, there’s still no predictability for the HQ concerning posting time. What’s more important, none of these workflows gets distributors used to regular social media posting. Their social media activity is random, and they don’t see the true value of social media marketing. Therefore, when the time for a promotional campaign comes, they are not too enthusiastic about posting. And this isn’t even about the tools themselves; it’s all about their attitude. That’s what you should focus on when working with distributors. Choosing a holistic approach to their education and tech empowerment will help you develop a social-first habit in them. This will help them keep up with posting during promotional campaigns.

As effective as it is, involving distributors can be quite challenging .

HO W T O DE V EL OP A SOCI A L-FIRS T H A BIT IN DISTRIBUTORS This takes several steps, but the results are definitely worth it. Here’s what you at the HQ level can do for distributors to make them more marketing-savvy and get them involved in running promotions on social media:

PRE-SCHEDULES posts for distributors DISTRIBUTORS

SUGGEST PROMOTIONAL CONTENT FOR DISTRIBUTORS Choose software that will empower HQ to not only create promotional content and upload it to an asset manager but to also pre-schedule it to be posted on distributors’ social media pages at the right time. Such software provides on-the-go mobile apps for distributors that make posting easy. Distributors can publish by clicking “Approve Post.” The content is automatically posted in the best slot to match the campaign goals: to get maximum possible reach, engage, and convert subscribers to users. Also, such a flow allows HQ to stay on top of distributors’ social media activity and posting time.

CREATES engaging promotional assets

APPROVE posts on-the-go

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LET DISTRIBUTORS WORK ON CONTENT FROM THEIR MOBILE DEVICES Your distributors have a lot on their plates, and their social media activity is just a part of their routine. To help them find time for it, give them tools that will allow them to find a few minutes for social media wherever they are. Customization tools are a must. Distributors appreciate being able to tweak content for their needs when they are on the street, in line, or just have a spare minute and a bit of inspiration. On-the-go posting is another privilege. It’s not a good idea to hope that distributors will have time to sit at their laptops and manually post to their social media on a daily basis. Being able to schedule content a few weeks or even months ahead is what they really need. With the proper tools, that’s not a problem at all.

ACTIVATE DISTRIBUTORS TO USE THE SOFTWARE YOU PROVIDED Your distributors look up to you as an example and will follow your lead once you prove yourself an expert. That’s why showing them the value of social media marketing should be your top priority. The best thing you can do is become a socialfirst role model yourself, make social a part of your corporate culture, and integrate it into your DNA. Sharing the value of social media marketing with your distributors will spark their interest and inspire them to engage. When they’re already interested, you need to show them how to do it right. Choose any convenient format: educational webinars, training sessions, or courses. The key goal is to provide the fundamental social media marketing knowledge: how to create content, master posting, manage inboxes and measure performance. You can run Facebook Live videos, upload tutorials to your YouTube channel, or launch webinars on Zoom. The more channels you use, the more likely your distributors are to find them and get their piece of knowledge. Be sure you provide all the necessary materials to ensure your network members can develop and build their success. 8 2 D I R E C T S E L L I N G N E W S |

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CREATE A FRAMEWORK FOR PEER MENTORSHIP Once your distributors are acquainted with social media marketing, it’s extremely important to keep the fire burning. You can achieve this by creating a community for them where they can share their successes, exchange tips, and ask for advice. The doTERRA Social Community is a great example of this, as it demonstrates how willing to help and ready to share distributors are. The community keeps them engaged and provides additional motivation. All these steps can be easily implemented once you choose the right social media marketing solution that empowers both HQ and distributors to run promotional campaigns–a solution that ensures content consistency, on-time posting, and marketing knowledge. DSN

MAX PECHERSKYI IS A CEO & CO-FOUNDER OF PROMOREPUBLIC, A DISTRIBUTED MARKETING PLATFORM FOR MULTI-LOCATION BRANDS THAT LAUNCHED A SOCIAL SELLING SOLUTION FOR DIRECT SELLING BUSINESSES. HE IS AN EXPERIENCED MARKETING & BRAND STRATEGIST, WITH THE PROJECTS FOR KIMBERLY CLARK, DANONE, PHILIPS, FERRERO, JOHNSON & JOHNSON, AND HENKEL IN PORTFOLIO.

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COMMUNICATE CONSISTENTLY & INTUITIVELY Smart Communications • Personalize communications with representatives ✓ Just-in-time training based on user behavior ✓ Follow-up reminders ✓ Automated follow-up reminders ✓ Event notifications • Engage with shoppers ✓ Sample, discount, coupon or product offers ✓ Product follow-ups ✓ Referral requests ✓ Retargeting campaigns

Onboarding & Training • Onboarding ✓ Immediate onboarding and distributor engagement ✓ Interactive tutorials ✓ 2-way communications and surveys •

Personalized Training ✓ On-demand, learn-as-you-go, just-in-time training ✓ Deliver time-sensitive messages based on predetermined events and user behavior ✓ Keep your field informed with timely push notifications

R E Qto U Ework S T AforDyour E M Obusiness, ! C O N Tyour A C Tdistributors U S T O D Aand Y your customers! Put the power of NOW

app@successpartners.com / 1.800.752.2030 / successpartners.com

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STRATEGIC 21 THERE ARE MANY WAYS TO BECOME MORE STRATEGIC AND THINK DEEPER. BY TON Y JE ARY - THE RESULT S GU Y

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ONY, YOU HELP PEOPLE think, and thinking’s not easy,” observed Jim Norman, former president to Zig Ziglar and my coach. He was right. Thinking is not easy. Thinking and strategy can be linked together; in fact, they are almost synonymous. There are many ways to become more strategic and think deeper. Here are twenty-one life areas where you can be more strategic. Be encouraged to think more and be more strategic in everything you do—not just in your business. 1. STRATEGIC THINKING: This is where it all starts. Every problem is a thinking problem. What do you do when you don’t get the results you want, or when you don’t get the results you want fast enough? Make some changes. There’s a ton of power in thinking strategically.

2. STRATEGIC HEALTH: Being strategic with your health means you think about it in such a way that you make everything you do a habit—including eating properly, getting the right amount of sleep, handling stress, taking the right supplements, and exercising—so it becomes part of your lifestyle and who you are. 3. STRATEGIC PREPARATION: Thinking ahead and being prepared pays off in spades in every area of your life. For example, delayed gratification is a powerful concept that involves thinking and planning far into the future, and it yields amazing results down the line. 4. STRATEGIC TIME: Strategic time has to do with getting really clear on the Low Leverage Activities that steal your time and investing in more High Leverage Activities that have the most impact on your results. Also, saying “no” to the things that don’t matter allows you to focus on the things that are important. Think through what you put on your calendar.

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5. STRATEGIC EMAILS: Emails can be a huge waste of time because most organizations have not taken the time to set email standards for their people. For example, our standards include frontloading your emails, so they’re really clear and concise and using bullets instead of paragraphs. 6. STRATEGIC GOALS: Being strategic in your goal setting is understanding that you become what you think about. Design your own life by setting goals on not just what you want to have, but also what you want to share, experience, give, and of course become. 7. STRATEGIC MEETINGS: The two ways we communicate, especially today, are through emails and meetings—and many meetings today are virtual. Most people do well on their delivery in their meetings. The big takeaway we teach here is the power of effective preparation (including objectives and a strong agenda) and follow-up. (Live note-taking on a screen, showing who is responsible for what action and by when is a huge asset here.)

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You’re able to uncover blind spots by intentionally having people give you insights so you can learn from things they’ve already done and be able to make better decisions.

9. STRATEGIC EATING: Understand how food works. The big takeaway here is whatever you put in your refrigerator and your pantry is what you’re going to end up eating—so be strategic about your shopping! 10. STRATEGIC COMMUNICATION: When you communicate strategically, you understand how people want to receive it—by text, email, voicemail, podcasts, or whatever—and communicate that way. Understand a person’s personality style and communicate accordingly. 11. STRATEGIC ASSESSMENT: Assessment is one of the most powerful tools you can use. Create a rhythm in assessing yourself, your company, and your team to see how you’re doing and then reflecting on your findings and making improvements on your efforts. 12. STRATEGIC SERVICE: Strategic service is going the extra mile and doing more than is expected. There is a little booklet called Customer Experience, and

8. STRATEGIC TRAVEL: There are many great things you can do strategically to turn your travel into black-card experiences, starting with defining your perfect trip and all the details of what you want to experience. Be sure to strategically engage your co-travelers and your support team. Then plan to the hilt and check and double-check all you’ve done to make sure there are no glitches, and finally, enjoy! 8 6 D I R E C T S E L L I N G N E W S |

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one of the big takeaways is the idea of giving your customers a membership experience—making them feel special, whether they are actually members or not. 13. STRATEGIC PLANNING: Do you have a powerful and wellthought-out strategic plan for your organization, tied to a simple, wellthought-out vision? And do you have a system for ensuring all team members understand the vision and are reminded of it constantly, to ensure focus? How about a strategic plan (design) for your life? 14. STRATEGIC CULTURE: Working with some of the greatest companies in the world, including helping the president of Ford create a High-Performing Team years ago, I have learned we can all be more strategic with our culture. It’s a matter of defining the standards and values you want to build your culture around. 15. STRATEGIC ADVICE: In Advice Matters, it states that seeking advice from others who have achieved the kind of results you are looking for is one of the wisest—and quickest—ways to design and live a successful life. You’re able to uncover blind spots by intentionally having people give you insights so you can learn from things they’ve already done and be able to make better decisions. 16. STRATEGIC IQ: Strategic IQ is having an intentional balance between your strategic (thinking) and tactical activities. It’s thinking strategically at a whole new level that focuses on solutions rather than problems. 17. STRATEGIC WEALTH: Being strategic about wealth is not just about money. It’s about delaying

gratification and positioning yourself, so you win every day—now and in the future. That means intentionally putting some things off until you get everything in the right order. 18. STRATEGIC RESULTS: Everyone wants to get the best results, to achieve the best results think through what force multipliers will drive your results quicker, including how well you prioritize. 19. STRATEGIC RELATIONSHIPS: Strong relationships help you leverage your career growth, expand your success, create your legacy (both personally and professionally) and live a happier life. It’s important to nurture your relationships by doing favors for them, whether they are your corporate employees, someone on your team, someone in the field, or even strategic vendors. 20. STRATEGIC SUCCESS: Are you over-delivering for whatever you’re promising in your business? That’s one of the most powerful things you can do to get the results you want and be successful in life—both personally and professionally. 21. STRATEGIC ACCELERATION: My foundational methodology is Clarity, Focus, and Execution. It’s a three-legged stool, and if you’re missing one leg, the stool (your organization) will collapse. I’ve just shared with you what I’ve learned over the years of my own personal journey in becoming more strategic. I hope it’s impacted you and maybe given you an “aha” or even an epiphany about the importance of being strategic and using it as a major component in your own journey to success. DSN

TONY JEARY—THE RESULTS GUY™—IS A PROLIFIC AUTHOR AND A STRATEGIST. HIS ORGANIZATION, TJI, FACILITATES POWERFUL MEETINGS, KEYNOTE EVENTS AND COACHES HIGH PERFORMERS TO ACCELERATE THEIR RESULTS.

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TEACHING TOMORROW’S BUSINESS LEADERS DSEF Fellows Make a Difference for Direct Selling More than 190 DSEF Fellows are changing the way direct selling is taught in universities across the US by using the Foundation’s teaching content, research

“The DSEF pedagogical support materials address real-world, timely marketing practices. I especially like the CUTCO/Vector ‘The Cutting Edge of Quality’ video case. It not only highlights a successful approach to disintermediation and direct selling, it reinforces the importance of sales as the sole driver of creating revenues in any firm. DR. LOU PELTON Associate Professor of Marketing University of North Texas

“As a DSEF Fellow, I was able to develop a teaching case that connected my research interest in effectuation and social entrepreneurship with the founders of Trades of Hope. As a bonus, many students were introduced to the direct selling distribution channel as an avenue for social entrepreneurship. DR. CHRISTINE MOLLENKOPF-PIGSLEY Assistant Professor & Program Director Applied Organizational Studies Minnesota State University Mankato

and case studies. Here’s what they have to say about how DSEF benefits students and direct selling.

“My students have pointedly benefited from DSEF case materials. The Big Data video is highly insightful and garners substantial discussion. The Cocoa Exchange case, particularly the related video, is wonderful for discussing corporate social responsibility, women’s empowerment and direct selling. DR. WILLIAM F. CRITTENDEN Professor, International Business and Strategy Northeastern University

1667 K Street, NW, Suite 1100, Washington, D.C. 202-452-8866 • info@dsef.org • www.dsef.org

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Our Voices, Harmony and History’s Beat

hese days have weighed heavily on Americans’ hearts, regardless of geographic location, family heritage, political persuasion, or socioeconomic background. As leaders in direct selling know, our industry has borne witness to so much. Across the generations of direct sellers—from the Yankee salesman days to the virtual social selling parties of the COVID-19 era—we have innovated, adapted, and endured. As I look out on Washington, D.C., I see a city that, in its permanence, testifies to the enduring promise of American democracy as codified by the world’s longest-standing constitution that is the basis for American individualism. Direct sellers are no strangers to that spirit of independence history’s headwinds; direct selling’s endurance across the decades has allowed generations of Americans to face and endure defining moments that changed the course of our country’s history. After the Civil War ravaged the South, many young men, unable to afford higher education, began selling bibles door-to-door. Just before World War I, ten companies joined together to form the Agents Credit Association—the Direct Selling Association’s predecessor—to fight for the interests of the 93,000 traveling salesmen across the U.S. The Great Depression and World War that followed tempered a generation of resilient individuals that would become the founders of direct selling companies that continue today. The post-war boom created opportunities for American women seeking new ways to contribute to their family’s financial security. I am confident that direct sellers will again help revive and transform their communities

JOSEPH N. MARIANO is the President of the U.S. Direct Selling Association and the Direct Selling Education Foundation.

with the spirit of independence and entrepreneurship at the heart of our country. Through all this, DSA has stood by and for direct selling. As in those earlier moments of national and global challenges and crises, we will be there to protect, promote, and serve direct sellers even as they serve their customers and communities. We will be there for each other. In times such as these, it’s easy to become obsessed with what makes us different from each other. But direct selling and DSA give us a different—a better—perspective. A perspective that illustrates the better angels of our natures. DSA is comprised of competitors who may, at times, have quite disparate interests. Yet, time and again, we come together to find a set of agreed-upon priorities that form a vision for how we continue to move forward and fight for direct selling in Washington, D.C., and in statehouses across our great nation. We do this as a community, and we do this because we are stronger together. Perhaps we can be an inspiration to those who might be distracted by the divisions of our times. As we Americans participate in the historic 2020 election season, I want you to exercise your right to ensure that your voice is a part of our great American democracy. And as you do so, I want you to remember that we are all part of direct selling, a great American tradition. Our community gains strength as a result of your voice, one filled with passion, personal gifts, talent, and faith in the good things that tomorrow brings. I have confidence that 2020’s multiple challenges will come to be viewed as yet another moment for growth in our American story from which we will all gain deep wisdom. DSN w w w . d i r e c t s e l l i n g n e w s . c o m 8 9

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540 NE 4th St. Fort Lauderdale, FL 33301 866-218-4668 i-payout.com

More payment options in 150 countries via the most flexible and customizable software solution. Unbeatable pricing.

LACORE PAYMENT TECHNOLOGIES

900 Wilmeth Road, McKinney Texas 75069

INFO@LAC O RETECHN O LO G IES . C O M

www.lacorepayments.com/

LaCore Payment Technologies is a payment platform designed to support direct selling companies globally. Our services include: Global connectivity to 150 countries in 50 currencies, including direct connectivity to most alternative payment types, secure tokenization, customized fraud solutions, including our proprietary Fraudhawk™, advanced reporting tools, and online dispute management.

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NOVEMBER 2020

Instantly make secure and compliant global payouts to your distributors in local currency with PayQuicker’s fully customizable, client-branded solution. We offer secured bank accounts with prepaid debit cards, virtual cards and more—all through a single point of integration.

C R E D I T C A R D / P AY M E N T P R O C E S S I N G

PAYQUICKER 400 Linden Oaks, Suite 320 Rochester, NY 14625 844-258-3006 www.payquicker.com

STRATEGIC CHOICE PARTNERS

A global leader in cross border and international payments with expertise serving the Direct Sales Industry. Planet supports 100+ payment methods via a single integration with the industry’s best payment acceptance solution for Greater China.

SCP offers the most holistic consulting services specific to direct selling companies today. We’ve worked with more than 70 companies over the last three years alone, and served more than 250 years collectively in the industry.

727 North 1550 East 3rd Floor, Orem, UT 84097 877-267-4324 www.cmsonline.com Complete Merchant Solutions (CMS) is a full-service US merchant account provider representing multiple banks. CMS safely and securely supports many types of payment processing for direct selling companies.

We are the industry’s leading payments partner, long-established advocate, and problem-solver. Our unified commerce & payments platform will connect you to a global marketplace, enable your international expansion strategy, and fuel your exponential growth plans. Let us show you how. Contact Us: info@metricsglobal.com

PLANET

2201 Long Prairie Road, Ste. 107-316 Flower Mound, TX 75022 407-891-9265 https://strategicchoicepartners.com/

COMPLETE MERCHANT SOLUTIONS

METRICS GLOBAL, INC 1160 N. Town Center Drive, Ste. 100 Las Vegas, NV 89144 702-757-9600 www.metricsglobal.com

600 Old Country Road Ste. 207 Garden City, NY 11530 561-859-0903 www.planetpayment.com

D E S T I N AT I O N S / E V E N T V E N U E S

INTERNATIONAL PAYOUT SYSTEMS INC.

C O M M I S S I O N P AY M E N T S E R V I C E S

AccountingSuite tracks orders, inventory, and projects in the cloud. Our affordable Direct Seller Edition is perfect for individual sellers or companies may buy in bulk at a discount to include in a seller package to create another revenue stream.

C O N S U LTA N T S / M A N A G E M E N T

ACCOUNTINGSUITE 600 California Street, 12th Floor San Francisco, CA 94108 888-328-8275 www.accountingsuite.com

C R E D I T C A R D / P AY M E N T P R O C E S S I N G

C O M M I S S I O N P AY M E N T S E R V I C E S

A C C O U N T I N G S O F T WA R E / S E R V I C E S

Vendor Directory

DISNEY DESTINATIONS P.O. Box 10,000 Lake Buena Vista, FL 32830-1000 321-939-7129 www.disneymeetings.com World-class convention hotels in destinations around the world. Discover the magic of Disney for your meetings, events or incentives.

CANADA CARTAGE LOGISTICS SOLUTIONS

1615 Clark Blvd. Brampton, Ontario L6T 4W1 905-564-2115 x2 www.canadacartage.com/logistics Single Source Solutions, Order to Delivery B2C Solutions, On-Time Order Fulfillment, Real-Time Inventory Visibility, NHP Site Compliant, SOP/GMP Compliant, and locations across Canada.

D I S T R I B U T I O N / F U L F I L L M E N T/ L O G I S T I C S

A 20,000-seat arena and 100+ unique restaurants surrounding our convention center makes Columbus feel custommade for direct selling conventions. With arts, live music and more, there’s always something to do in the capital of under-theradar cool.

D I S T R I B U T I O N / F U L F I L L M E N T/ L O G I S T I C S

EXPERIENCE COLUMBUS 277 W. Nationwide Blvd., Ste. 125 Columbus, OH 43215 614-222-6121 www.experiencecolumbus.com

STALCO INC. 64 Bakersfield Street Toronto Ontario M3J 2W7 647-367-2459 ext. 200 www.stalco.ca Stalco is your Canadian Distribution partner for all your requirements, including: regulatory approvals and management, importation (tracking and customs clearance), fulfillment (kitting, pick and pack, shipping), same day order processing, 2-4 day tracked delivery, and returns management.

A2B FULFILLMENT

GLOBAL ACCESS

VISIBLE SCM

150 Stewart Parkway Greensboro, GA 30642 866-843-3827 www.a2bf.com

9815 S. Monroe Street, Ste. 510 Salt Lake City, UT 84070 877-811-8108 www.globalaccess.com

5160 Wiley Post Way Salt Lake City, UT 84116 385-355-8840 www.visiblescm.com

Since 2001, a2b Fulfillment has been helping companies work smarter by outsourcing business support services, including order fulfillment, customer care, and valueadded solutions. Its same-day fulfillment philosophy ensures that customers aren’t waiting, and its one-call customer service resolution standard keeps them coming back.

International expansion expertise and technology and logistics solutions that grow clients’ businesses and brands around the world.

Choose Visible for efficient fulfillment processes and market-leading customer experience. Benefit from multi-carrier solutions, high-volume shipping rates, custom packaging, fulfillment, and a real-time inventory management system— with a 99.84% order accuracy rate.

AMWARE FULFILLMENT

LACORE LOGISTICS

4505 Newpoint Place Lawrenceville, GA 30043 678-377-8585 Sales@AmwareLogistics.com www.AmwareLogistics.com

900 Wilmeth Road, McKinney Texas 75069 214-817-4802 www.lacorelogistics.com

VERST E COMMERCE FULFILLMENT

Handle fulfillment for 5 of the DSA top 100 companies. DSA member with 15 fulfillment centers, nationwide, for 1-2 day delivery to 98% of the U.S. Offering discount parcel solutions, kitting, same-day shipping, and a full menu of value-added services.

LaCore Logistics provides distribution and order fulfillment services. Our highly automated distribution center provides both domestic and international direct-to-consumer shipping solutions. We offer omni-channel fulfillment solutions ranging from marketplace fulfillment for leading marketplaces to businessto-business fulfillment for leading retailers.

E-COMMERCE FULFILLMENT

D I S T R I B U T I O N / F U L F I L L M E N T/ L O G I S T I C S

D E S T I N AT I O N S / E V E N T V E N U E S

TO BE INCLUDED IN THE VENDOR DIRECTORY, CALL 1-800-279-5249

300 Shorland Dr., Walton, KY 41094 800-978-9307 www.verstlogistics.com

Verst offers robotic picking, 99% order accuracy, 6.5+M sf scalable warehousing space, air/rail-served, 1-2 days to over 85% of the U.S. Services include pick-pack, labeling, kitting, and custom packaging. Our Business Is… An Extension of Your Business

w w w . d i r e c t s e l l i n g n e w s . c o m 9 1 PMS 70% Black

PMS 7686

KATAPULT EVENTS 5840 Red Bug Lake Rd, Ste. 140 Winter Springs, FL 32708 407-915-9060 www.katapultevents.com Fresh. Exciting. Bold. Your field deserves the best and we help you deliver. Out-of-the-box creative production with experienced show management. We execute on budget and make you look AMAZING!

Since 2007, Hanna Shea Executive Search has been the go-to search firm in support of the direct selling industry. Hanna Shea finds top talent for companies in need of building or improving an executive leadership team for organizational success.

ATLANTIS PARADISE ISLAND

E.A. DION, INC. 33 Franklin McKay Road Attleboro, MA 02703 800-445-1007 www.eadion.com

A full-service event production company specializing in helping DSA’s tell their stories. Creativity + Technology = Unforgettable Experiences.

Dion’s jewelry solutions are perfect for career path, sales & recruiting, corporate anniversaries and incentive travel recognition awards.

NOVEMBER 2020

Fossil Group is a global watch company specializing in the innovation and design of watches, wearables, jewelry, and leather goods. Our owned brands include Fossil, Michele, Misfit, and Skagen, and licensed brands, Armani Exchange, Diesel, Emporio Armani, kate spade new york, Marc Jacobs, Michael Kors, Misfit and Tory Burch.

1080 Caribbean Way Miami, FL 33132 Royal Caribbean International’s Corporate Sales Team 800-529-6916 www.royalcaribbeanincentives.com

Create lasting memories for your top producers. Reward & WOW them with a resort experience nestled in the world’s largest open air aquarium.

MULTI IMAGE GROUP

FOSSIL GROUP 901 S. Central Expressway Richardson, TX 75080 469-730-7619 www.fossil.com

ROYAL CARIBBEAN INTERNATIONAL

1000 S. Pine Island Road Plantation, FL 33324 800-722-2449 www.AtlantisBahamas.com/meetings

1701 Clint Moore Road Boca Raton, FL 33487 800-523-2682 www.mig.cc

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INCENTIVES/RECOGNITION

HANNA SHEA 1835 W Chandler Blvd 103, Chandler, AZ 85224 844-344-7177 www.hannashea.com

ICONIC SHIPS. EPIC ADVENTURES. ULTIMATE EVENTS. Royal Caribbean® transforms events into the ultimate productivity paradise. Impress your attendees with epic venues, vibrant restaurants, onboard thrills and beautiful destinations.

M A NUFA C T UR ING/ P R OD . DE V E L OP ME N T

Excite & ignite your direct sales force by using Bartha—the highest quality event production and staging company nationwide!

E XECUTIVE RECRUITMENT

BARTHA 600 N. Cassady Avenue Columbus, OH 43219 800-363-2698 www.bartha.com

INCENTIVES/RECOGNITION

E VENT PRODUCTION

Vendor Directory

PROGRESSIVE LABORATORIES

3131 Story Road W Irving, TX 75038 972-518-9660 www.progressivelabs.com 40+ years of quality manufacturing of nutritional formulas specializing in capsules and powders. FDA registered and 3rd party UL certified facility.

SMART OFFICE SOLUTIONS, INC.

217 N. Westmonte Drive, Ste. 1007 Altamonte Springs, FL 32714 800-891-8601 www.SmartOfficeSolutions.com Your mobile strategy should be as smart as the phone in your pocket. Make a powerful statement about the value of social networks and personal connections with the SmartMobile app. Transform every share, text, call, and email into a positive sales and recruiting result.

SUCCESS PARTNERS 5800 Democracy Drive, Suite 100 Plano, TX 75024 800-752-2030 www.successpartners.com GROW NOW! The SUCCESS Partners’ NOW app drives results for direct selling companies making it incredibly simple to connect, communicate and convert. A mobile system designed for maximum duplication that promotes customer acquisition activityNOW. Contact us for a demo today!

S O F T WA R E / T E C H N O L O G Y S O L U T I O N S

SUCCESS Partners is a full-service agency that creates strategies and solutions for direct selling companies to strengthen their brand, engage customers and boost their bottom line.

MOBILE APPS & COMMERCE

SUCCESS PARTNERS 5800 Democracy Drive, Suite 100 Plano, TX 75024 800-752-2030 www.successpartners.com

S O F T WA R E / T E C H N O L O G Y S O L U T I O N S

MOBILE APPS & COMMERCE

MARK E TING/BR ANDING

TO BE INCLUDED IN THE VENDOR DIRECTORY, CALL 1-800-279-5249

DIRECTECH LABS 929 Colorado Ave Santa Monica, CA 90401 310-730-1246 CustomerCare@directechlabs.com www.directechlabs.com The AI-powered messaging and analytics platform. Be a better opportunity in the gig economy. Actionable dashboards and automated opportunities that get your field and customers engaged into measurable action anywhere in the world.

BYDESIGN TECHNOLOGIES

EXIGO

9503 Princess Palm Avenue Tampa, FL 33619 813-253-2235 www.bydesign.com

1600 Viceroy Dr., Suite 125 Dallas, TX 75235 214-367-9933 www.exigo.com

Award winning SaaS solutions including Geneology Management & Commissions, Inventory, Replicated Websites, Premier Rep Tools, Branded Mobile App, Virtual Parties, E-vites, Hostess Rewards, Bookings, Social Sharing, Promotions, & Shopping.

The global leader in cloud-based Platformas-a-Service (PaaS) for direct selling companies. An open framework for billiondollar giants to startup companies. Exigo supports MLM, Party Plan and Affiliate models, operating in single global markets.

SOCIALSALES.IO

DIRECTSCALE

INFOTRAX SYSTEMS

2024 W. 15th St., Ste. F-324 Plano, TX 75075 214-659-1549 hello@socialsales.io www.socialsales.io

350 South 400 West, Ste. 225 Lindon, UT 84042 801-701-3285 www.directscale.com

1875 S. State Street, Ste. 3000 Orem, UT 84097 801-431-4900 www.infotraxsys.com

Scalable software for your company and your sales force that’s delightful and easy to use.

Software & SaaS solutions for startup, emerging, and global direct selling companies. See our ad on the back cover.

Convert your social fans into paying customers. Our global SaaS platform includes the tools your sales force needs to succeed in today’s social selling environment. Scalable to fit any sized organization from startups to large global enterprises.

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1208 E. Kennedy Blvd., Ste. 222 Tampa, FL 33602 813-277-0625 www.idstc.com

Global Operations Management Software. Advanced Comp Plan Programming. Sales Force Backoffice & Automation. Web Site Design & Replication.

JENKON 203 SE Park Plaza Drive, Ste. 250 Vancouver, WA 98684 360-256-4400 www.jenkon.com Corporate & Sales Force software for 21st century world-leaders in global direct selling. Cloud-based & on-premise solutions are available.

MW2 DIRECT 2033 Gateway Place, 5th Floor San Jose, CA 95110 408-573-6310 www.mw2consulting.com/direct Combine the Magento Platform with powerful social and direct selling features available in the MW2 Direct platform. Solving Digital Transformation for direct selling with personalization, party management, influencer marketing, commission, analytics.

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NOVEMBER 2020

NEXIO 727 N 1550 E, 3rd Floor Orem, UT 84097 1-877-551-5504 www.nexiohub.com Nexio manages the chaos of payments offering: • Faster roll out for distributors or partners • Simplifies payment processing for corporations Nexio does this by being integrated with the majority of back-office software solutions in the Direct Sales Industry.

THATCHER TECHNOLOGY GROUP, LLC

55 Shuman Blvd., Ste. 350 Naperville, IL 60563 866-698-3848 www.thatchertech.com

Thatcher Technology Group provides Sales Force, Compensation and Incentive Management Software for the Direct Selling Industry.

XIRECT SOFTWARE SOLUTIONS

686 E 110 S Unit 104 American Fork, UT 84003 385-448-1800 www.xirect.com Scalable software from startup to enterprise. Your delivery expert in Commissions Calc / Consulting, Replicating Websites, E-Commerce, Reporting, Promotions, Localization, Multi-Currency, and more- The Perfect Cloud-based Direct Selling Software Partner!

TOOLS, RECRUITING & TR AINING

INTERNATIONAL DIRECT SELLING TECHNOLOGY CORP.

TA X S E R V I C E S

TO BE INCLUDED IN THE VENDOR DIRECTORY, CALL 1-800-279-5249

S O F T WA R E / T E C H N O L O G Y S O L U T I O N S

Vendor Directory

SOVOS 200 Ballardvale Street, 4th Floor Wilmington, MA 01887 1-800-334-1099 www.sovos.com Save time and money with a smarter tax information reporting solution. Sovos solutions keep up with regulatory changes, perform TIN verifications, and automate your organization’s entire 1099 and 1042-S federal and state reporting process.

SUCCESS PARTNERS 5800 Democracy Drive, Suite 100 Plano, TX 75024 800-752-2030 www.successpartners.com SERVICES THAT SPARK GROWTH. From sampling and physical starter kits to digital marketing, we’ve got you covered. We serve by working alongside you to design, develop, and deliver solutions that benefit you, your distributors, and your customers.

CONVERT

Automate and amplify distributor sales systems & offer your customers an impressive and engaging buying experience!

Turnkey Sampling 30 years of experience to guide you through best practices for a successful sampling program! •

In-app sample ordering and fulfillment

•

Order tracking and drip campaigns

•

Physical and digital distribution systems

•

International distribution in place

•

Value-added services: artwork, sample assembly, sample manufacturing and fulfillment

•

20 years 3PL experience serving the direct selling channel

•

On-time delivery and competitive pricing

“The NOW App and the SUCCESS Partners team have really made everything easy for us.” –John Licari, COO, Total Life Changes

R E Q U E S T A D E M O ! C O N TAC T U S TO D AY

app@successpartners.com / 1.800.752.2030 / successpartners.com

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Be a Part of Raising the Bar Direct Selling Compliance Professional Register for the DSCP-CP certification program and raise the bar for yourself alongside your company’s legal and compliance team.

DSCP-CP

CERTIFICATION The certification program will sharpen your PROGRAM understanding of key concepts related to your company’s compliance program and ensure legal, compliance, and other executive team members can collaborate with a mutual understanding of important principles. THE PROGRAM WILL: • Give you the necessary tools to develop effective compliance policies • Provide you with comprehensive training to implement best practices • Demonstrate your compliance commitment to regulatory and self-regulatory entities • Equip you with the requisite knowledge of compliance and regulatory issues to be a part of a successful direct selling compliance program

INAUGURAL PROGRAM STARTS IN JANUARY 2021 Visit DSA.org/DSCP-CP to register or learn more today.

DSA thanks the following DSA Suppliers for serving as Exclusive Content Partners:

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Hello, Global Payments… Metrics Global has built a unified commerce and payments platform that enables you to sell anywhere and everywhere – availing your global customers a truly localized and seamless buying experience through one simple technical integration. As a Metrics Global partner we will connect you to a scalable and functionality rich revenue generating machine that will fuel your market expansion strategy and exponential growth plans. We provide the advocacy and expertise needed to help you navigate the complexity of global payments. You focus on building your business. Whether you are a well-established, globally recognized brand or a relatively new, fast growing disruptor, the Metrics Global platform is designed to create measurable business value. Let us show you how. Contact us today at info@metricsglobal.com

Acceptance

Optimization

Protection

Growth

Global & Local Cards

Enhanced Approval Rates

PCI-DSS Level 1

173 Countries & 170 Currencies

140+ Alternate Payment Methods Omni-Channel Support

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CardSync™ Universal Account Updater Localized Solutions

Card Vault & Tokenization Global Fraud Protection

Local Processing in 58 Markets Direct Selling Experts

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KEEP YOUR EYE ON THE PRIZE Feeling like you’re skating around commission issues instead of meeting them head-on? FlexCloud gives you tools to get out ahead of your strategy—a commission run manager, business health monitoring capabilities, and instant distributor communication. Don’t leave your biggest plays up to chance. Contact us today for a free demo. Learn how a better business starts here: http://info.infotraxsys.com/flexcloudwhitepaper

801.431.4900 | infotraxsys.com

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VOLUME 16 ISSUE 11

DIRECT SELLING NEWS

DirectSellingNews.com