Original Source
IBOAI-Quixtar Contract Renewed
September 25, 2007
[When false obituaries appeared about famous writer Mark Twain, he was quoted as saying "The rumors of my death are greatly exaggerated." We could say the same thing about false information regarding the future of the relationship between the IBOAI and Quixtar, and of the IBOAI itself. As proof of that, we are very pleased to bring you the following announcement.]
The IBOAI and the Corporation are excited about the future of the Quixtar business. Over $60 million in new money, free shipping, new, consumer focused products, additional investment in visibility, brand building makes the future bright. Over the past few weeks the IBOAI and the Corporation have talked about a renewed relationship that insures the original spirit of the Board will be met for all IBOs. We are pleased to announce a new contract with the Corporation that extends to November 08. The IBOAI and the Corporation look forward to building on our special relationship.... one that makes our business stronger and better than all the rest.
Posted at 05:47 PM in Quixtar's Global Business Transformation
Tuesday, September 25, 2007
QUIXTAR: Don Wilson and Randy Haugen pull out of California Suite
Original Source
September roster changes
September 25th, 2007
We received word today that former Quixtar IBOs Don Wilson and Randy Haugen have asked the court to dismiss their claims against Quixtar in “the California case,” Woodward v. Quixtar. This does not end the case — but it does end Wilson’s and Haugen’s participation in it. Neither they nor their lawyers have yet offered any official explanation for why they backed away.
Earlier, we noted that court filings declared that Orrin Woodward and Chris Brady had resigned from TEAM… though a different court document contended Brady wasn’t employed by TEAM in the first place.
We’re certainly not the ones to explain to you what is happening with the lineup card of the other side in this case, or why. On this side, we can tell you that we are as focused as we have ever been on helping IBOs continue to build strong Quixtar businesses, launching terrific new products, and selling them to customers across North America.
September roster changes
September 25th, 2007
We received word today that former Quixtar IBOs Don Wilson and Randy Haugen have asked the court to dismiss their claims against Quixtar in “the California case,” Woodward v. Quixtar. This does not end the case — but it does end Wilson’s and Haugen’s participation in it. Neither they nor their lawyers have yet offered any official explanation for why they backed away.
Earlier, we noted that court filings declared that Orrin Woodward and Chris Brady had resigned from TEAM… though a different court document contended Brady wasn’t employed by TEAM in the first place.
We’re certainly not the ones to explain to you what is happening with the lineup card of the other side in this case, or why. On this side, we can tell you that we are as focused as we have ever been on helping IBOs continue to build strong Quixtar businesses, launching terrific new products, and selling them to customers across North America.
Monday, September 24, 2007
QUIXTAR: Some Thoughts Shared Over Dinner...
Original Source
Some Thoughts Shared Over Dinner...
Just a note- this post is not meant to disparage Mr. Steve VanAndel. It is simply meant to highlight the differences in vision between the Quixtar/Amway leaders, and the leaders of the TEAM. We all know that the lawyers have taken over day to day operations at Quixtar/Amway. This is no longer the American Way (Amway) that Rich DeVos and Jay VanAndel envisioned.
----------------------------------------------------------------------------------
A friend of mine (former Emerald IBO) had dinner with Steve VanAndel not too long ago, and he relayed the content of his conversation to me. (Note - this is an actual conversation that occurred. Although the exact words cannot be duplicated verbatim...no stenographer was present...the basic content of the conversation is accurate.)
Friend: "Mr. VanAndel...are you excited about the growth of the TEAM and the vision of becoming the WalMart of the Internet?"
VanAndel: "That is not our business model...we will never compete with WalMart. In an MLM structure, there is not enough profit to go around...unless we take it out of your end."
Friend: "Doesn't the basic concept of 'more volume allows for lower pricing' work regardless of whether the product is sold in an MLM environment or on a store shelf?
VanAndel: ...(no response)
Friend: (changing the subject) "Mr. VanAndel...what is the company doing to clean up its negative reputation on the internet?
VanAndel: "There will always be negative...we had the same issues many years ago when the Phil Donahue show invited our critics to voice their thoughts on national television...we got through it."
Friend: "I think the big difference is that Donahue aired one show highlighting negative critics. We have a 'Donahue' show airing every day on the internet."
VanAndel: ...(no response)
Friend:...(trying to find some common ground) "What books have you read lately that you would recommend to a new IBO?"
VanAndel: "Well, I read a book on 'change' recently, but it was a bit boring...I really enjoy spy novels." (Folks...I could NOT make this up! He actually said this!)
Friend:...(takes a large bite of food and chews for a LONG time...)
------------------------------------------------------------
What Orrin Woodward says regarding moving toward a WalMart pricing structure. (This is part of Orrin's letter to Doug DeVos in 2005).
The last major point is the operating margins discussed in the meeting. On one of the slides was a chart that stated the average operating margins for Alticor products was 17%. This shocked me, since I was in the process of reading Don Soderquist’s new book, The Wal-Mart Way, where he states that Wal-Mart’s operating margin was 3%. I can understand why we are not competitive at the retail price if we continue to expect margins of almost 6 times the world’s benchmark company! I am all for the Alticor companies making a great return, as long as the value proposition to the first circle is in line. If not, then this is morally wrong and must be fixed, or I am misrepresenting the truth when I show the plan.
What Orrin Woodward says regarding addressing the negative critics. (This is part of his response to the First Circle initiative) :
The Quixtar critics began with a simple truth: The products are overpriced...Since Greg has stated our products are overpriced, we have a moral responsibility to fix this, or else we have given the moral authority to our critics. By giving away the moral authority we have given them the liberty to lie and smear individual diamonds at will and still feel justified, since the original product price is too high...Lets start with product pricing since this is where our critics started and where Quixtar, board leaders, and all IBO’s are in agreement.
What Orrin Woodward says about reading:
"Leaders are Readers!"
Some Thoughts Shared Over Dinner...
Just a note- this post is not meant to disparage Mr. Steve VanAndel. It is simply meant to highlight the differences in vision between the Quixtar/Amway leaders, and the leaders of the TEAM. We all know that the lawyers have taken over day to day operations at Quixtar/Amway. This is no longer the American Way (Amway) that Rich DeVos and Jay VanAndel envisioned.
----------------------------------------------------------------------------------
A friend of mine (former Emerald IBO) had dinner with Steve VanAndel not too long ago, and he relayed the content of his conversation to me. (Note - this is an actual conversation that occurred. Although the exact words cannot be duplicated verbatim...no stenographer was present...the basic content of the conversation is accurate.)
Friend: "Mr. VanAndel...are you excited about the growth of the TEAM and the vision of becoming the WalMart of the Internet?"
VanAndel: "That is not our business model...we will never compete with WalMart. In an MLM structure, there is not enough profit to go around...unless we take it out of your end."
Friend: "Doesn't the basic concept of 'more volume allows for lower pricing' work regardless of whether the product is sold in an MLM environment or on a store shelf?
VanAndel: ...(no response)
Friend: (changing the subject) "Mr. VanAndel...what is the company doing to clean up its negative reputation on the internet?
VanAndel: "There will always be negative...we had the same issues many years ago when the Phil Donahue show invited our critics to voice their thoughts on national television...we got through it."
Friend: "I think the big difference is that Donahue aired one show highlighting negative critics. We have a 'Donahue' show airing every day on the internet."
VanAndel: ...(no response)
Friend:...(trying to find some common ground) "What books have you read lately that you would recommend to a new IBO?"
VanAndel: "Well, I read a book on 'change' recently, but it was a bit boring...I really enjoy spy novels." (Folks...I could NOT make this up! He actually said this!)
Friend:...(takes a large bite of food and chews for a LONG time...)
------------------------------------------------------------
What Orrin Woodward says regarding moving toward a WalMart pricing structure. (This is part of Orrin's letter to Doug DeVos in 2005).
The last major point is the operating margins discussed in the meeting. On one of the slides was a chart that stated the average operating margins for Alticor products was 17%. This shocked me, since I was in the process of reading Don Soderquist’s new book, The Wal-Mart Way, where he states that Wal-Mart’s operating margin was 3%. I can understand why we are not competitive at the retail price if we continue to expect margins of almost 6 times the world’s benchmark company! I am all for the Alticor companies making a great return, as long as the value proposition to the first circle is in line. If not, then this is morally wrong and must be fixed, or I am misrepresenting the truth when I show the plan.
What Orrin Woodward says regarding addressing the negative critics. (This is part of his response to the First Circle initiative) :
The Quixtar critics began with a simple truth: The products are overpriced...Since Greg has stated our products are overpriced, we have a moral responsibility to fix this, or else we have given the moral authority to our critics. By giving away the moral authority we have given them the liberty to lie and smear individual diamonds at will and still feel justified, since the original product price is too high...Lets start with product pricing since this is where our critics started and where Quixtar, board leaders, and all IBO’s are in agreement.
What Orrin Woodward says about reading:
"Leaders are Readers!"
TEAM: No news from California
Original Source
No news from California
As most of you know, a class action lawsuit was filed in California on August 9 and motion for a preliminary injunction was soon filed thereafter. The judge heard arguments for the preliminary injunction on September 12 and took the arguments under advisement. It is expected that he will render his decision soon, but I've seen nothing on the net regarding this decision. I imagine once he issues his ruling, word will get out pretty fast. There are a few possibilities:
If the judge grant's the plaintiffs' motion for preliminary injunction, and their motion for a provisional class certification, then all IBOs in North America will be free to leave Quixtar and immediately participate in another direct selling endeavor. If the judge kicks the case to arbitration, then the plaintiffs be forced to litigate their case quietly in arbitration. In arbitration, all pleadings and depositions are kept confidential. Or, it's possible that the judge grant Quixtar's motion to dismiss the case; however, that is unlikely.
The judge could render his decision today, or within two weeks. There's no way of knowing. There's a lot riding on this decision, so stay tuned.
Posted on Monday, 24 September 2007
No news from California
As most of you know, a class action lawsuit was filed in California on August 9 and motion for a preliminary injunction was soon filed thereafter. The judge heard arguments for the preliminary injunction on September 12 and took the arguments under advisement. It is expected that he will render his decision soon, but I've seen nothing on the net regarding this decision. I imagine once he issues his ruling, word will get out pretty fast. There are a few possibilities:
If the judge grant's the plaintiffs' motion for preliminary injunction, and their motion for a provisional class certification, then all IBOs in North America will be free to leave Quixtar and immediately participate in another direct selling endeavor. If the judge kicks the case to arbitration, then the plaintiffs be forced to litigate their case quietly in arbitration. In arbitration, all pleadings and depositions are kept confidential. Or, it's possible that the judge grant Quixtar's motion to dismiss the case; however, that is unlikely.
The judge could render his decision today, or within two weeks. There's no way of knowing. There's a lot riding on this decision, so stay tuned.
Posted on Monday, 24 September 2007
Wednesday, September 19, 2007
TEAM: "System" Questions Answered...
Original Source
Wednesday, September 19, 2007
"System" Questions Answered...
Let’s talk tools…
As you scan the writing on the bathroom walls (negative internet sites / blogs) it soon becomes obvious that the biggest “beef” that people seem to have with networking type businesses is the “system” (CD’s/Books/Seminars). Many would like you to believe that systems only exist to create system tool profit. At first sight, these “beefs” seem legitimate…and in some cases, they actually are legitimate! But I would like to take some time to point out some MAJOR differences in what the TEAM leaders (Orrin Woodward, Chris Brady) have developed compared with what basically every other group has done. There must be some reason why major icons in the industry (Randy Haugen, Billy Florence et al) have joined the TEAM! Remember, the TEAM leaders have always stayed committed to making things "win-win". In fact, Orrin often uses the expression “win-win or no deal”.
But first…before we get into the details of what makes a great system…let’s get one thing straight…not all tool systems are created equal, but tool systems are absolutely necessary to build a successful business for multiple reasons. Probably the biggest reason is a concept called “duplication”. Why is “duplication” important? Well, without it your business would never get off the ground. If you signed up a new person into your business and simply left them with “give me a call if you have any questions…” you are setting yourself up for a tsunami of calls if you plan to grow to any level of significance. How many people could you physically have the time and energy to support (not to mention the cell phone minutes you would burn through!) Instead, you could simply get them started on a training system that would do most of that work for you. This would free you up to grow your group rather than spending all your time personally training and motivating each person in your downline. Letting a “System” do the work to create the wealth is what Robert Kiyosaki, author of multiple wealth building books, refers to as a “B” type business. Most franchises are set up as “B” type businesses.
Duplication also insures that “what” is being taught actually works. If you get started today, and your sponsor got started yesterday, what do you think your sponsor is going to teach you about building your business? The system would insure that everyone is getting instruction from people that have already attained significant levels of success in exactly what you are trying to do. Nothing could be more logical than taking advice from people who have already accomplished what you are trying to accomplish.
Lastly, duplication helps to eliminate “discretion”. This is why franchises have such a high success rate. Franchise owners simply follow documented proven methods. In fact, most franchises will insist on duplication. If a Starbucks franchise owner decided, at his own discretion, to start selling hotdogs…a representative from Starbucks corporate office would be there…faster than you can say cappuccino… to shut that owner down!
Beyond “duplication”, the TEAM system (and some other systems) is also intended to help participants grow personally. If your goal would be to lead a team of people, it would make sense that you would want to learn how to lead! I think best selling author John Maxwell sums it up best when he says, “everything rises and falls on leadership”. This point actually gets to the heart of what makes the TEAM system so different. The TEAM is committed to raising up a group of leaders that are building businesses based on traditional Christian principles. The first stated goal of the TEAM is to bring one million people on board. Do you think that our country would look (and think and act) a little different with one million people of character chasing the same vision? I think that this country…and then the world…will be positively impacted by what the TEAM has to offer. So why do so many critics have issues with training systems? Here is the answer…most systems are not set up with “win-win” principles… In fact, most tool systems are straight up pyramid schemes.
No matter how good the content of the system tools…No matter how necessary the system is to building your business…if the deal is not a win-win, it won’t last long. Here is an example of how most systems “share” tool profit. When you reach a certain level, you work out a deal with your upline Diamond and you start to reap the “negotiated” profit. As an example, if a CD costs $6, the Diamond would sell the CD to a Platinum for $5.50, a Sapphire for $4.75 and an Emerald for say, $4. Your profit would be the difference in your cost for the CD and the $6 price you charged your downline. Now, inherent problems exit here. First, what happens when a downline gets excited and goes Diamond? Here is what has happened in the past…they either strike an aggressive deal with their upline Diamond to share more of the profit, or they simply start their own system…starting all over with a $6 CD that they sell to their Platinums for $5.50 etc…you get the picture. Now, let’s ask the logical question. Can you (the new person getting started in business) ever…using this profit sharing method…make more than the Diamond? Nope. That, my friends, would be what you call a pyramid. It also makes for some ugly business dealings.
Beyond an incredible leadership development system, Orrin and Chris have also created a FAIR profit sharing model. The profits go into profit sharing pools and are divided monthly based on the size of the business you have built. The entire model is based on a business strength formula which ensures that anyone can make as much or more than anyone else. On the TEAM, he who does the work gets paid…not necessarily he who develops the system. There are no “special deals” for anyone…including Orrin and Chris. In fact, they are constantly focused on making the opportunity better and better for the newest business owner. As the TEAM grows…the tool pricing drops based on volume. CD/Seminar costs have consistently been reduced over the years. In fact, Orrin has recently talked about(at a TEAM event) the day when CD’s could be reduced to $3 or even simply downloaded from the website!
You see, when leaders focus on what is right, great things can happen! Can you imagine a day that someone gets the system AND the COMMERCE right? Can you see a day when the pricing of products is so good that more people come…which causes the prices to be reduced…which would cause more people to come…which would cause the prices to be reduced…which would cause more people to come…I am getting excited just thinking about it!
Posted by Q'Reilly at 7:49 AM
Wednesday, September 19, 2007
"System" Questions Answered...
Let’s talk tools…
As you scan the writing on the bathroom walls (negative internet sites / blogs) it soon becomes obvious that the biggest “beef” that people seem to have with networking type businesses is the “system” (CD’s/Books/Seminars). Many would like you to believe that systems only exist to create system tool profit. At first sight, these “beefs” seem legitimate…and in some cases, they actually are legitimate! But I would like to take some time to point out some MAJOR differences in what the TEAM leaders (Orrin Woodward, Chris Brady) have developed compared with what basically every other group has done. There must be some reason why major icons in the industry (Randy Haugen, Billy Florence et al) have joined the TEAM! Remember, the TEAM leaders have always stayed committed to making things "win-win". In fact, Orrin often uses the expression “win-win or no deal”.
But first…before we get into the details of what makes a great system…let’s get one thing straight…not all tool systems are created equal, but tool systems are absolutely necessary to build a successful business for multiple reasons. Probably the biggest reason is a concept called “duplication”. Why is “duplication” important? Well, without it your business would never get off the ground. If you signed up a new person into your business and simply left them with “give me a call if you have any questions…” you are setting yourself up for a tsunami of calls if you plan to grow to any level of significance. How many people could you physically have the time and energy to support (not to mention the cell phone minutes you would burn through!) Instead, you could simply get them started on a training system that would do most of that work for you. This would free you up to grow your group rather than spending all your time personally training and motivating each person in your downline. Letting a “System” do the work to create the wealth is what Robert Kiyosaki, author of multiple wealth building books, refers to as a “B” type business. Most franchises are set up as “B” type businesses.
Duplication also insures that “what” is being taught actually works. If you get started today, and your sponsor got started yesterday, what do you think your sponsor is going to teach you about building your business? The system would insure that everyone is getting instruction from people that have already attained significant levels of success in exactly what you are trying to do. Nothing could be more logical than taking advice from people who have already accomplished what you are trying to accomplish.
Lastly, duplication helps to eliminate “discretion”. This is why franchises have such a high success rate. Franchise owners simply follow documented proven methods. In fact, most franchises will insist on duplication. If a Starbucks franchise owner decided, at his own discretion, to start selling hotdogs…a representative from Starbucks corporate office would be there…faster than you can say cappuccino… to shut that owner down!
Beyond “duplication”, the TEAM system (and some other systems) is also intended to help participants grow personally. If your goal would be to lead a team of people, it would make sense that you would want to learn how to lead! I think best selling author John Maxwell sums it up best when he says, “everything rises and falls on leadership”. This point actually gets to the heart of what makes the TEAM system so different. The TEAM is committed to raising up a group of leaders that are building businesses based on traditional Christian principles. The first stated goal of the TEAM is to bring one million people on board. Do you think that our country would look (and think and act) a little different with one million people of character chasing the same vision? I think that this country…and then the world…will be positively impacted by what the TEAM has to offer. So why do so many critics have issues with training systems? Here is the answer…most systems are not set up with “win-win” principles… In fact, most tool systems are straight up pyramid schemes.
No matter how good the content of the system tools…No matter how necessary the system is to building your business…if the deal is not a win-win, it won’t last long. Here is an example of how most systems “share” tool profit. When you reach a certain level, you work out a deal with your upline Diamond and you start to reap the “negotiated” profit. As an example, if a CD costs $6, the Diamond would sell the CD to a Platinum for $5.50, a Sapphire for $4.75 and an Emerald for say, $4. Your profit would be the difference in your cost for the CD and the $6 price you charged your downline. Now, inherent problems exit here. First, what happens when a downline gets excited and goes Diamond? Here is what has happened in the past…they either strike an aggressive deal with their upline Diamond to share more of the profit, or they simply start their own system…starting all over with a $6 CD that they sell to their Platinums for $5.50 etc…you get the picture. Now, let’s ask the logical question. Can you (the new person getting started in business) ever…using this profit sharing method…make more than the Diamond? Nope. That, my friends, would be what you call a pyramid. It also makes for some ugly business dealings.
Beyond an incredible leadership development system, Orrin and Chris have also created a FAIR profit sharing model. The profits go into profit sharing pools and are divided monthly based on the size of the business you have built. The entire model is based on a business strength formula which ensures that anyone can make as much or more than anyone else. On the TEAM, he who does the work gets paid…not necessarily he who develops the system. There are no “special deals” for anyone…including Orrin and Chris. In fact, they are constantly focused on making the opportunity better and better for the newest business owner. As the TEAM grows…the tool pricing drops based on volume. CD/Seminar costs have consistently been reduced over the years. In fact, Orrin has recently talked about(at a TEAM event) the day when CD’s could be reduced to $3 or even simply downloaded from the website!
You see, when leaders focus on what is right, great things can happen! Can you imagine a day that someone gets the system AND the COMMERCE right? Can you see a day when the pricing of products is so good that more people come…which causes the prices to be reduced…which would cause more people to come…which would cause the prices to be reduced…which would cause more people to come…I am getting excited just thinking about it!
Posted by Q'Reilly at 7:49 AM
Tuesday, September 18, 2007
TEAM: Opens Cancelled
As you all know, the Team business has been transitioning from servicing primarily Quixtar distributors. As many of you can attest, Team materials add value to a person's life, whether it is in their home, work, church, scholastic or professional life. For a short period of time beginning today Team has decided to refrain from hosting any Open meetings.
We are enthusiastic and excited about the future. We all should continue to do our best to make a difference in people’s lives.
We are enthusiastic and excited about the future. We all should continue to do our best to make a difference in people’s lives.
QUIXTAR: Business Cancellation Confirmation
Hello,
The Corporation has received your correspondence requesting the cancellation of your business. We are sorry to learn of your request. The purpose of this letter is to confirm that your independent business has been deleted from our files.
It is unfortunate that you have chosen to discontinue your Quixtar business. We are excited about all the future holds for us and we regret that you have decided not to be a part of it. This confirms we have received and accept your resignation from Quixtar effective immediately. We would like to take this opportunity to remind you of your surviving legal obligations under the Quixtar IBO Rules of Conduct, including but not limited to, Rule 6.5 that prohibits IBOs from engaging in a competing enterprise for six months from the effective date of your resignation. Further, your contract prohibits you from soliciting for two years Quixtar IBOs for another competitive business as defined within Rule 6.5. You are also prohibited from using Quixtar's proprietary LOS information under Rule 4.27 at any time for any purpose other than the Quixtar business. In the future, if you decide to establish a new independent business, it should be understood that the Six-Month Inactivity Rule and two year provision of the Six-Month Inactivity Rule apply, as defined in Rule 6.4.
Although we regret losing you, we do wish you the very best in all your future endeavors, whatever they may be.
Best regards,
Karen Pennington
Quixtar Rules Administration
Ph (616)-787-7266
Fax (616)-787-7896
The Corporation has received your correspondence requesting the cancellation of your business. We are sorry to learn of your request. The purpose of this letter is to confirm that your independent business has been deleted from our files.
It is unfortunate that you have chosen to discontinue your Quixtar business. We are excited about all the future holds for us and we regret that you have decided not to be a part of it. This confirms we have received and accept your resignation from Quixtar effective immediately. We would like to take this opportunity to remind you of your surviving legal obligations under the Quixtar IBO Rules of Conduct, including but not limited to, Rule 6.5 that prohibits IBOs from engaging in a competing enterprise for six months from the effective date of your resignation. Further, your contract prohibits you from soliciting for two years Quixtar IBOs for another competitive business as defined within Rule 6.5. You are also prohibited from using Quixtar's proprietary LOS information under Rule 4.27 at any time for any purpose other than the Quixtar business. In the future, if you decide to establish a new independent business, it should be understood that the Six-Month Inactivity Rule and two year provision of the Six-Month Inactivity Rule apply, as defined in Rule 6.4.
Although we regret losing you, we do wish you the very best in all your future endeavors, whatever they may be.
Best regards,
Karen Pennington
Quixtar Rules Administration
Ph (616)-787-7266
Fax (616)-787-7896
Thursday, September 13, 2007
I Just Mailed In My Resignation
I talked with my mentor about all the resignations today. He told me he just put in his resignation. Where he goes I go (and with enthusiasm). Amway/Quixtar/Alticor 1996 - 2007.
I found the email address for Kathryn Vincent (kathryn_vincent@quixtar.com) here at Q'Reilly No Spin Zone. Just to be on the safe side, I also Faxed and mailed a copy in. I got the address and FAX number at Quixtar's Site:
Mailing Address:
Quixtar Customer Support (58C-2A)
7575 Fulton St E
Ada MI 49355
Fax: 519-685-4429
I quoted the Rules on how to request a resignation from Matt Abraham's Resignation:
My resignation is made pursuant to Quixtar's Rules of Conduct:3.11. Resignation: An IBO may resign his or her IB at any time by appropriately communicating to the Corporation and sending a copy of such communication to his or her Sponsor or firstupline IBO who has attained a higher award level, such as Platinum, Ruby, etc.
Also, don't forget to request a $9 refund for your IBOAI board dues (since they weren't able to do much for you anyway). You can find Mark and Ana Huber's example here.
Attn: IBOAI
Customer Support (58C-2A)
7575 Fulton Street East
Ada, MI 49355
Dear Sir or Madam:
In accordance with Quixtar Terms & Conditions, We would like to request a refund for the IBOAI $9.00 association fee. We are completely unsatisfied with the conduct and powerlessness of the board to represent the IBO’s.
Respectfully,
Mark Huber / Anna Huber
IBO# 2539901
Remember, consult with your mentor before doing anything. This is only here for convenience once you decided to take this step.
Also, don't forget to transfer any money you still have on your eCellerate account.
UPDATE: Someone mentioned in the comments to cancel the credit card. I had forgotten about that. I didn't want to cancel it since it is now my longest standing credit card account (since 1997) and I didn't want it to hurt my credit history to have it disappear. So I called Bank of America at (800) 421-2110 (number on the back of the card), and they had me call (800) 433-5662. They finally had me call (866) 253-0576. At *that* number they helped me change my rewards program from Quixtar to Effectiva, a 1% cash back card. You get new cards and a new account number, but the account will show that it has been open continually since you first got the card (1997 for me).
I found the email address for Kathryn Vincent (kathryn_vincent@quixtar.com) here at Q'Reilly No Spin Zone. Just to be on the safe side, I also Faxed and mailed a copy in. I got the address and FAX number at Quixtar's Site:
Mailing Address:
Quixtar Customer Support (58C-2A)
7575 Fulton St E
Ada MI 49355
Fax: 519-685-4429
I quoted the Rules on how to request a resignation from Matt Abraham's Resignation:
My resignation is made pursuant to Quixtar's Rules of Conduct:3.11. Resignation: An IBO may resign his or her IB at any time by appropriately communicating to the Corporation and sending a copy of such communication to his or her Sponsor or firstupline IBO who has attained a higher award level, such as Platinum, Ruby, etc.
Also, don't forget to request a $9 refund for your IBOAI board dues (since they weren't able to do much for you anyway). You can find Mark and Ana Huber's example here.
Attn: IBOAI
Customer Support (58C-2A)
7575 Fulton Street East
Ada, MI 49355
Dear Sir or Madam:
In accordance with Quixtar Terms & Conditions, We would like to request a refund for the IBOAI $9.00 association fee. We are completely unsatisfied with the conduct and powerlessness of the board to represent the IBO’s.
Respectfully,
Mark Huber / Anna Huber
IBO# 2539901
Remember, consult with your mentor before doing anything. This is only here for convenience once you decided to take this step.
Also, don't forget to transfer any money you still have on your eCellerate account.
UPDATE: Someone mentioned in the comments to cancel the credit card. I had forgotten about that. I didn't want to cancel it since it is now my longest standing credit card account (since 1997) and I didn't want it to hurt my credit history to have it disappear. So I called Bank of America at (800) 421-2110 (number on the back of the card), and they had me call (800) 433-5662. They finally had me call (866) 253-0576. At *that* number they helped me change my rewards program from Quixtar to Effectiva, a 1% cash back card. You get new cards and a new account number, but the account will show that it has been open continually since you first got the card (1997 for me).
What do we use now?
Those who have resigned their IBO # (or are about to) what do we get now?
I've been using Amway/Quixtar products since 1996. What are the comparable items out there? What will you be replacing, and what will you be replacing it with?
I've been using Amway/Quixtar products since 1996. What are the comparable items out there? What will you be replacing, and what will you be replacing it with?
Wednesday, September 12, 2007
TEAM: Orrin Woodward's Letter to Doug DeVos
Original Source
Doug,
I would like to thank you for taking the time out of your busy schedule to meet with various board members on the Monday of the board week. I have always admired the DeVos and VanAndel families. Your families have exemplified the Godly foundation that is sorely lacking in our country and business culture today. To be given the privilege of sharing open and honest communication on how we can improve the Quixtar opportunity was an honor that I do not take lightly. Randy Bancino did an excellent job of presenting the main roadblocks holding Quixtar back from truly thriving in today’s business environment. I feel, after the transparent communication offered by the family leaders, it is important that the Board members share transparently any ideas we have to help transform our business.
My Deepest Motivation
One of my favorite theologians and statesmen of history is a man named Abraham Kyper. Mr. Kyper was a strong Dutch minister that taught that God was working out His sovereign plan through culture. He taught that Christians were called to redeem culture through their Godly example and business ethics. Mr. Kyper did a series of talks at Princeton in 1898 known as the Stone Lectures which I strongly recommend to anyone concerned about the current state of our culture. Abraham Kyper said, “When principles that run against your deepest convictions begin to win the day, then battle is your calling, and peace has become sin; you must at the price of dearest peace, lay your convictions bare before friend and enemy with all the fire of your faith.” As Randy was presenting the slides, my mind kept drifting to how this vehicle is my main opportunity to influence culture and make a difference. I was led to Christ, as a direct result of my involvement in the business, through the ministry of Billy Zeoli and Bob Dickie. My world view was formed through reading the Christian classics and asking what was truly important in life. Edward Gibbon, in his magnum opus Decline and Fall of the Roman Empire, stated the five attributes that marked Rome at its end:
1. Mounting love of show and luxury (affluence)
2. Widening gap between rich and poor
3. Obsession with sex
4. Freakishness in art masquerading as originality
5. Increased desire to live off the state.
The parallel between the decline of the Roman culture and the cultural decline of today is self-evident. Many of the IBO leaders feel their communities are a platform which can be used to stem the tide and reverse this decline. I am proud of the system created to educate our IBO’s and feel that our system is vital in the ongoing culture war. The goals that I have for my personal life have more to do with influencing culture than just simply making more money. I know that those who make money, if they use it for the glory of God can have great influence in the culture in which they live, But the driving passion of my life is to influence our nation and to help turn our culture back to the God of the Bible. Making money is just one way of many for me to have influence and leverage in the culture in which I live. Our stated objective of the Team training system is to “Lead people to the truth.”
The Importance of the “First Circle”
My ability to influence culture and lead people to truth depends directly upon our ability to help the “first circle” (network IBO) work. The first circle must be able to buy good quality products at below market price and then turnaround and retail these products to develop a profitable business. If the first circle does not find a good value in the products then we should expect a high attrition rate, which reduces our ability to influence and change culture.
Michael Gerber in his book The E-Myth Revisited teaches how Ray Kroc of McDonalds realized his real business was to help the franchisee win in business. Mr. Gerber states: “Ray Kroc began to look at his business as the product, and at the franchisee as his first, last, and most important customer. For the franchisee wasn’t interested in hamburgers, or French-fries or milkshakes; he was interested in the business. Driven by a desire to buy a business, the franchisee only wanted to know one thing: ‘Does it work?’ Ray Kroc’s main concern then became how to make certain his business would work better than any other.”
When people no longer feel the business proposition works due to overpriced products and little ability to sell those products at retail price, they become discouraged and eventually quit. My goal to influence people is severely hampered if the first circle will not stay in the business long enough to gain respect for the leadership team and fall in love with learning and growing. In my ten-plus years in the business, I can count on one hand the number f people who have continued to buy products after leaving the business. Many of these people are still close friends of our family, but they refuse to buy products because they say they are overpriced. Therefore, we have a situation where we lose our ability to influence culture, Quixtar loses out on massive sales potential, and the new IBO loses out on the opportunity to grow a new business.
The Current Value Proposition Prevents Sales
Since 1994, I have consistently been in the living rooms of this country representing this business plan to people, an average of 25 times per month. The number one objective I deal with night in and night out is the price of the products. I have repeatedly had people conduct price comparisons on identical products, and we lose every time. I have arrived at the point where I am hesitant to display the catalogs until after they have signed up into the business. (Why should the IBO’s have to hide the product catalogs in order to register people?) After the new IBO is registered, the next toughest task is to get them to order products. We have had to resort to holding special meetings (150 PV parties monthly) just for people who generate volume. Without the PV parties, our leaders feel volume would drop an estimated 50%. Randy stated that 8% of the IBO’s do over 40% of the volume. This means that 8%, the ones that are receiving bonus checks, are doing a large part of the volume. If you take away signup volume, making this statistic even more extreme, we will find that a majority of the IBO’s are doing almost no volume. Why won’t they even buy products from their own business? The answer is that they cannot reconcile in their own mind the buying of overpriced products. Furthermore, if it doesn’t make sense to buy the products at the wholesale price, what chance do we have to sell products at retail? This difficult situation would disappear if we had an authentic value propositions where the first circle sold products at retail and prospered financially.
Author John Love, in his book McDonald’s, Behind the Arches, teaches how Ray Kroc’s thinking was different than other franchise operators: “By comparison, everything in Kroc’s franchising plan was designed to encourage the success of his franchisees first, and on that McDonald’s itself would prosper. Kroc instinctively knew that making an easy killing at the expense of his franchisees would not produce anything that would last. McDonald’s was in business to satisfy the retail consumer, but as a veteran salesman, Kroc knew he was also in business to serve his franchisees and build loyalty with them. They were his customers too, and if they failed, he failed.”
The Current Value Proposition Prohibits Growth
Randy Bancino’s main point of his presentation was that most IBO’s (90%) are not making money, and that a better retail business would generate more profit for the first circle. I agree wholeheartedly, but we need products that are reasonable value propositions at retail in order to sell them. 70% of business owners in other networks make money because they have products capable of retailing at retail price. Without a proper pricing strategy, we will constantly register people and cycle them through the business as they realize the poor value proposition. Randy stated that we were growing at 1/3 the rate of the networking industry as a whole. Combining this with the fact that we are registering people at five times the market share means we are losing people at 15 times the attrition rate in order to grow 5/15 or 1/3 the rate of other networks. Can we really continue to cycle through 15 times the number of people that other networks cycle through, and all that to end up growing more slowly? To provide an example, think of a typical bottle of spring water. If the target cost is $1.00, then we have to have the retail price set at $1.00 or less for a comparable product if we expect retail sales. We can no longer expect the market to bear a wholesale cost of $1.25 for the water and just encourage people to sign up others to generate a discount in order to drive the cost of water back to $1.00, (after you factor in your monthly bonus), let alone the retail price being $1.50, in which no sane person would buy a product from you for $1.50 that they can buy elsewhere for $1.00.
Quoting again from John Love’s book about McDonald’s; “The essence of Kroc’s unique but amazingly simple franchising philosophy was that a franchising company should not live off the sweat of its franchisees, but should succeed by helping its franchisees succeed.” I feel we have all agreed there needs to be more retailing in this business, but without an even somewhat realistic target cost, it will not happen. It is morally wrong for me to sell products to people, who believe in me, in a value proposition that is not to their benefit. When would it ever be right to offer a product through our network that is not sellable by IBO’s to customers at the retail price?
The Current Value Proposition Protects an Uncompetitive Margin
The last major point is the operating margins discussed in the meeting. On one of the slides was a chart that stated the average operating margins for Alticor products was 17%. This shocked me, since I was in the process of reading Don Soderquist’s new book, The Wal-Mart Way, where he states that Wal-Mart’s operating margin was 3%. I can understand why we are not competitive at the retail price if we continue to expect margins of almost 6 times the world’s benchmark company! I am all for the Alticor companies making a great return, as long as the value proposition to the first circle is in line. If not, then this is morally wrong and must be fixed, or I am misrepresenting the truth when I show the plan.
The Current Value Proposition Makes Constant Achievement Almost Impossible
The most shocking piece of data is the number of people who have achieved a Founders Emerald level or above since the founding of Quixtar. The number of Non-Multi-Cultural’s (NMC’s) who have achieved Founders Emerald or above, who started in the business after Quixtar began in 1999 is estimated to be between 7 & 10 people, with only one achieving Founders Diamond level. Approximately 700,000 NMC’s have had more than 5 years to achieve Founders Emerald and approximately 1 out of 100,000 have achieved it. Alticor states its goal is to be the “best business opportunity in the world”, but the data for the NMC’s does not back up this claim. To state these statistics differently; if you were an NMC and started the business in 1999 or 2000, you had a .001% chance of achieving a Founders Emerald level or higher after 5+ years. Further, according to Quixtar, the average Founders Emerald only makes $80,000.00 per year (less than twice the median income in America, and below what those with professional degrees will earn after less than 5 years in their profession). Who would or should be excited about an opportunity like this.
Referring again to Gerber; “It is literally impossible to produce a consistent result in a business that depends on extraordinary people. No business can do it for long. And no extraordinary business tries to! Every extraordinary business knows that when you intentionally build your business around the skills of ordinary people, you will be forced to ask the difficult questions about how to produce a result without the extraordinary ones. You’ll be forced to find a system that leverages your ordinary people to the point where they can produce extraordinary results over and over again.”
Those of us involved with Quixtar must build a business where any hard working American can have a business opportunity that works! As I studied the information and trends, I realized it was not the negative lies on the internet that were killing us, but the negative truths on the internet that were killing us.
The Value Proposition Can Be Changed From an Obstacle to an Opportunity
I am not a negative person. And I am not easily discouraged. But I am concerned by the disappointing data that was presented at the IBOA board meeting. I believe it is imperative that we all come together to make some corrections to improve this business beyond the problems that we currently face. Leaders solve problems and I believe we have successfully identified the problems and now just need the courage of our convictions to implement successful solutions. I believe everything should be on the table. If you told me my bonuses will have to be reduced in order to meet target costs, then I am prepared to discuss this option. For me, this is beyond a business discussion and has become a moral discussion. This is because I have leveraged my relationships and credibility with those on my team in order to generate product volume. I have tens of thousands of people who are counting on me to do right, and I must maintain their trust and personal integrity. We are all ultimately accountable to God for our actions and pleasing him should be our first objective.
The Destiny of Our Business
We live in challenging times and it will require great leadership and courage to get the job done. I believe you and your father were called for a time such as this, just as Esther was of old. I am willing to help in any way you deem fit and appreciate the opportunity to express my feelings and thoughts in a transparent way. I promise if you do your part to fix the product pricing and the opportunity for the “first circle,” then I will do my part and, God willing, will put over 1 million people into our community proudly driving traffic to your website for product purchases. We can be the best business opportunity out there and we can win the culture war in the process of achieving our business goals.
I believe in this business with all my heart. I am grateful to you and your family for providing this opportunity that allows me and so many thousands of others to achieve financial freedom and to use our talents, wealth, and gifts to influence the culture in which we live. Doug, it will take courage to make the right choices to correct the things that need fixing in this business. I am confident that if those choices are made this business will become the greatest success story in our lifetime. I know that the suggestions that I am making will work. If we do not make the decision to fix the problems that are hindering us from going from good to great, then it is my feeling that some other corporation will eventually see what needs to be done and will do it. This is our opportunity to make this business the greatest business opportunity in the country. I want to forge ahead with you to a fantastic future. I want to give genuine help to those who are struggling financially. And finally, I want to see this business be used of God to help bring back to our country the Godly principles that it was founded upon. This is a goal worth striving for and a life worth living. Sir Edmund Burke one said, “The only way for evil to prosper is for good men to do nothing.”
Thank you for your time in reading this letter. I would love to take you to lunch sometime and give you copies of the books from which I have quoted. If I can serve the Quixtar team in any way, please feel free to call or email me.
God Bless,
Orrin Woodward
Doug,
I would like to thank you for taking the time out of your busy schedule to meet with various board members on the Monday of the board week. I have always admired the DeVos and VanAndel families. Your families have exemplified the Godly foundation that is sorely lacking in our country and business culture today. To be given the privilege of sharing open and honest communication on how we can improve the Quixtar opportunity was an honor that I do not take lightly. Randy Bancino did an excellent job of presenting the main roadblocks holding Quixtar back from truly thriving in today’s business environment. I feel, after the transparent communication offered by the family leaders, it is important that the Board members share transparently any ideas we have to help transform our business.
My Deepest Motivation
One of my favorite theologians and statesmen of history is a man named Abraham Kyper. Mr. Kyper was a strong Dutch minister that taught that God was working out His sovereign plan through culture. He taught that Christians were called to redeem culture through their Godly example and business ethics. Mr. Kyper did a series of talks at Princeton in 1898 known as the Stone Lectures which I strongly recommend to anyone concerned about the current state of our culture. Abraham Kyper said, “When principles that run against your deepest convictions begin to win the day, then battle is your calling, and peace has become sin; you must at the price of dearest peace, lay your convictions bare before friend and enemy with all the fire of your faith.” As Randy was presenting the slides, my mind kept drifting to how this vehicle is my main opportunity to influence culture and make a difference. I was led to Christ, as a direct result of my involvement in the business, through the ministry of Billy Zeoli and Bob Dickie. My world view was formed through reading the Christian classics and asking what was truly important in life. Edward Gibbon, in his magnum opus Decline and Fall of the Roman Empire, stated the five attributes that marked Rome at its end:
1. Mounting love of show and luxury (affluence)
2. Widening gap between rich and poor
3. Obsession with sex
4. Freakishness in art masquerading as originality
5. Increased desire to live off the state.
The parallel between the decline of the Roman culture and the cultural decline of today is self-evident. Many of the IBO leaders feel their communities are a platform which can be used to stem the tide and reverse this decline. I am proud of the system created to educate our IBO’s and feel that our system is vital in the ongoing culture war. The goals that I have for my personal life have more to do with influencing culture than just simply making more money. I know that those who make money, if they use it for the glory of God can have great influence in the culture in which they live, But the driving passion of my life is to influence our nation and to help turn our culture back to the God of the Bible. Making money is just one way of many for me to have influence and leverage in the culture in which I live. Our stated objective of the Team training system is to “Lead people to the truth.”
The Importance of the “First Circle”
My ability to influence culture and lead people to truth depends directly upon our ability to help the “first circle” (network IBO) work. The first circle must be able to buy good quality products at below market price and then turnaround and retail these products to develop a profitable business. If the first circle does not find a good value in the products then we should expect a high attrition rate, which reduces our ability to influence and change culture.
Michael Gerber in his book The E-Myth Revisited teaches how Ray Kroc of McDonalds realized his real business was to help the franchisee win in business. Mr. Gerber states: “Ray Kroc began to look at his business as the product, and at the franchisee as his first, last, and most important customer. For the franchisee wasn’t interested in hamburgers, or French-fries or milkshakes; he was interested in the business. Driven by a desire to buy a business, the franchisee only wanted to know one thing: ‘Does it work?’ Ray Kroc’s main concern then became how to make certain his business would work better than any other.”
When people no longer feel the business proposition works due to overpriced products and little ability to sell those products at retail price, they become discouraged and eventually quit. My goal to influence people is severely hampered if the first circle will not stay in the business long enough to gain respect for the leadership team and fall in love with learning and growing. In my ten-plus years in the business, I can count on one hand the number f people who have continued to buy products after leaving the business. Many of these people are still close friends of our family, but they refuse to buy products because they say they are overpriced. Therefore, we have a situation where we lose our ability to influence culture, Quixtar loses out on massive sales potential, and the new IBO loses out on the opportunity to grow a new business.
The Current Value Proposition Prevents Sales
Since 1994, I have consistently been in the living rooms of this country representing this business plan to people, an average of 25 times per month. The number one objective I deal with night in and night out is the price of the products. I have repeatedly had people conduct price comparisons on identical products, and we lose every time. I have arrived at the point where I am hesitant to display the catalogs until after they have signed up into the business. (Why should the IBO’s have to hide the product catalogs in order to register people?) After the new IBO is registered, the next toughest task is to get them to order products. We have had to resort to holding special meetings (150 PV parties monthly) just for people who generate volume. Without the PV parties, our leaders feel volume would drop an estimated 50%. Randy stated that 8% of the IBO’s do over 40% of the volume. This means that 8%, the ones that are receiving bonus checks, are doing a large part of the volume. If you take away signup volume, making this statistic even more extreme, we will find that a majority of the IBO’s are doing almost no volume. Why won’t they even buy products from their own business? The answer is that they cannot reconcile in their own mind the buying of overpriced products. Furthermore, if it doesn’t make sense to buy the products at the wholesale price, what chance do we have to sell products at retail? This difficult situation would disappear if we had an authentic value propositions where the first circle sold products at retail and prospered financially.
Author John Love, in his book McDonald’s, Behind the Arches, teaches how Ray Kroc’s thinking was different than other franchise operators: “By comparison, everything in Kroc’s franchising plan was designed to encourage the success of his franchisees first, and on that McDonald’s itself would prosper. Kroc instinctively knew that making an easy killing at the expense of his franchisees would not produce anything that would last. McDonald’s was in business to satisfy the retail consumer, but as a veteran salesman, Kroc knew he was also in business to serve his franchisees and build loyalty with them. They were his customers too, and if they failed, he failed.”
The Current Value Proposition Prohibits Growth
Randy Bancino’s main point of his presentation was that most IBO’s (90%) are not making money, and that a better retail business would generate more profit for the first circle. I agree wholeheartedly, but we need products that are reasonable value propositions at retail in order to sell them. 70% of business owners in other networks make money because they have products capable of retailing at retail price. Without a proper pricing strategy, we will constantly register people and cycle them through the business as they realize the poor value proposition. Randy stated that we were growing at 1/3 the rate of the networking industry as a whole. Combining this with the fact that we are registering people at five times the market share means we are losing people at 15 times the attrition rate in order to grow 5/15 or 1/3 the rate of other networks. Can we really continue to cycle through 15 times the number of people that other networks cycle through, and all that to end up growing more slowly? To provide an example, think of a typical bottle of spring water. If the target cost is $1.00, then we have to have the retail price set at $1.00 or less for a comparable product if we expect retail sales. We can no longer expect the market to bear a wholesale cost of $1.25 for the water and just encourage people to sign up others to generate a discount in order to drive the cost of water back to $1.00, (after you factor in your monthly bonus), let alone the retail price being $1.50, in which no sane person would buy a product from you for $1.50 that they can buy elsewhere for $1.00.
Quoting again from John Love’s book about McDonald’s; “The essence of Kroc’s unique but amazingly simple franchising philosophy was that a franchising company should not live off the sweat of its franchisees, but should succeed by helping its franchisees succeed.” I feel we have all agreed there needs to be more retailing in this business, but without an even somewhat realistic target cost, it will not happen. It is morally wrong for me to sell products to people, who believe in me, in a value proposition that is not to their benefit. When would it ever be right to offer a product through our network that is not sellable by IBO’s to customers at the retail price?
The Current Value Proposition Protects an Uncompetitive Margin
The last major point is the operating margins discussed in the meeting. On one of the slides was a chart that stated the average operating margins for Alticor products was 17%. This shocked me, since I was in the process of reading Don Soderquist’s new book, The Wal-Mart Way, where he states that Wal-Mart’s operating margin was 3%. I can understand why we are not competitive at the retail price if we continue to expect margins of almost 6 times the world’s benchmark company! I am all for the Alticor companies making a great return, as long as the value proposition to the first circle is in line. If not, then this is morally wrong and must be fixed, or I am misrepresenting the truth when I show the plan.
The Current Value Proposition Makes Constant Achievement Almost Impossible
The most shocking piece of data is the number of people who have achieved a Founders Emerald level or above since the founding of Quixtar. The number of Non-Multi-Cultural’s (NMC’s) who have achieved Founders Emerald or above, who started in the business after Quixtar began in 1999 is estimated to be between 7 & 10 people, with only one achieving Founders Diamond level. Approximately 700,000 NMC’s have had more than 5 years to achieve Founders Emerald and approximately 1 out of 100,000 have achieved it. Alticor states its goal is to be the “best business opportunity in the world”, but the data for the NMC’s does not back up this claim. To state these statistics differently; if you were an NMC and started the business in 1999 or 2000, you had a .001% chance of achieving a Founders Emerald level or higher after 5+ years. Further, according to Quixtar, the average Founders Emerald only makes $80,000.00 per year (less than twice the median income in America, and below what those with professional degrees will earn after less than 5 years in their profession). Who would or should be excited about an opportunity like this.
Referring again to Gerber; “It is literally impossible to produce a consistent result in a business that depends on extraordinary people. No business can do it for long. And no extraordinary business tries to! Every extraordinary business knows that when you intentionally build your business around the skills of ordinary people, you will be forced to ask the difficult questions about how to produce a result without the extraordinary ones. You’ll be forced to find a system that leverages your ordinary people to the point where they can produce extraordinary results over and over again.”
Those of us involved with Quixtar must build a business where any hard working American can have a business opportunity that works! As I studied the information and trends, I realized it was not the negative lies on the internet that were killing us, but the negative truths on the internet that were killing us.
The Value Proposition Can Be Changed From an Obstacle to an Opportunity
I am not a negative person. And I am not easily discouraged. But I am concerned by the disappointing data that was presented at the IBOA board meeting. I believe it is imperative that we all come together to make some corrections to improve this business beyond the problems that we currently face. Leaders solve problems and I believe we have successfully identified the problems and now just need the courage of our convictions to implement successful solutions. I believe everything should be on the table. If you told me my bonuses will have to be reduced in order to meet target costs, then I am prepared to discuss this option. For me, this is beyond a business discussion and has become a moral discussion. This is because I have leveraged my relationships and credibility with those on my team in order to generate product volume. I have tens of thousands of people who are counting on me to do right, and I must maintain their trust and personal integrity. We are all ultimately accountable to God for our actions and pleasing him should be our first objective.
The Destiny of Our Business
We live in challenging times and it will require great leadership and courage to get the job done. I believe you and your father were called for a time such as this, just as Esther was of old. I am willing to help in any way you deem fit and appreciate the opportunity to express my feelings and thoughts in a transparent way. I promise if you do your part to fix the product pricing and the opportunity for the “first circle,” then I will do my part and, God willing, will put over 1 million people into our community proudly driving traffic to your website for product purchases. We can be the best business opportunity out there and we can win the culture war in the process of achieving our business goals.
I believe in this business with all my heart. I am grateful to you and your family for providing this opportunity that allows me and so many thousands of others to achieve financial freedom and to use our talents, wealth, and gifts to influence the culture in which we live. Doug, it will take courage to make the right choices to correct the things that need fixing in this business. I am confident that if those choices are made this business will become the greatest success story in our lifetime. I know that the suggestions that I am making will work. If we do not make the decision to fix the problems that are hindering us from going from good to great, then it is my feeling that some other corporation will eventually see what needs to be done and will do it. This is our opportunity to make this business the greatest business opportunity in the country. I want to forge ahead with you to a fantastic future. I want to give genuine help to those who are struggling financially. And finally, I want to see this business be used of God to help bring back to our country the Godly principles that it was founded upon. This is a goal worth striving for and a life worth living. Sir Edmund Burke one said, “The only way for evil to prosper is for good men to do nothing.”
Thank you for your time in reading this letter. I would love to take you to lunch sometime and give you copies of the books from which I have quoted. If I can serve the Quixtar team in any way, please feel free to call or email me.
God Bless,
Orrin Woodward
TEAM: CALIFORNIA COURT CASE UPDATE!
Original Source
CALIFORNIA COURT CASE UPDATE!
Pyramid Scheme Lawsuit Against Quixtar Will Continue
Federal Judge adjourns case until September 19th
Wednesday, September 12, 2007
Los Angeles, California -
United States District Court Judge Gary Feess will continue to hear arguments on September 19th in a lawsuit brought by top ex-Quixtar Independent Business Owners (IBOs) against Quixtar alleging that the company is an illegal pyramid scheme. Quixtar is a sister company of Amway Corporation based in Ada, Michigan. Amway was started by Jay Van Andel and Richard DeVos and is still controlled by their families.
A nationwide class of IBOs filed a lawsuit (Woodward et al. v. Quixtar,Inc. CV 07-5194 GAF) against Quixtar August 9, 2007, in the United States District Court for the Central District of California, Los Angeles. The complaint alleges that Quixtar is operating as an illegal pyramid scheme. The complaint asks the court to find the Quixtar uniform distributor contracts unenforceable as they promote an illegal result and the purpose of entering into the contract has been frustrated by the illegal activities of Quixtar. The plaintiffs in the California case are seeking to be released from their contract.
"Everyday in court is a big win for the IBOs," said D.J. Poyfair, attorney for Denver-based Shughart, Thomson & Kilroy, the firm representing the IBOs. "The more documents and information that becomes public about how Quixtar operate the better it is for my clients."
"For the first time in history, the truth about Quixtar is coming out into public view," Poyfair added. "If the Van Andel and DeVos families truly believe in free enterprise they will do the right thing and let my clients go."
Documents filed in the case clearly outline the IBO's reasons for filing the lawsuit. The documents state in part:
"Quixtar knows its products are priced so high they cannot be sold and yet it continues to recruit distributors in a concerned effort to enrich the founding families at the expense of the rank and file simply trying to earn a living. Quixtar holds itself out as a legitimate, multi-level home-based business opportunity, but in fact operates as an illegal pyramid recruitment scheme. Quixtar leads participants to believe that they can build a viable business retailing Quixtar products; but once the participants sign up and pay their initial investment into the pyramid, it quickly becomes evident that Quixtar's products cannot be retailed because they are hopelessly overpriced. Quixtar no longer makes any pretense of retailing products to consumers outside of Quixtar's network of distributors, but relies entirely on the purchase and internal consumption of products by distributors to fuel its pay plan."
Posted by The IBO Rebellion at 4:05 PM
CALIFORNIA COURT CASE UPDATE!
Pyramid Scheme Lawsuit Against Quixtar Will Continue
Federal Judge adjourns case until September 19th
Wednesday, September 12, 2007
Los Angeles, California -
United States District Court Judge Gary Feess will continue to hear arguments on September 19th in a lawsuit brought by top ex-Quixtar Independent Business Owners (IBOs) against Quixtar alleging that the company is an illegal pyramid scheme. Quixtar is a sister company of Amway Corporation based in Ada, Michigan. Amway was started by Jay Van Andel and Richard DeVos and is still controlled by their families.
A nationwide class of IBOs filed a lawsuit (Woodward et al. v. Quixtar,Inc. CV 07-5194 GAF) against Quixtar August 9, 2007, in the United States District Court for the Central District of California, Los Angeles. The complaint alleges that Quixtar is operating as an illegal pyramid scheme. The complaint asks the court to find the Quixtar uniform distributor contracts unenforceable as they promote an illegal result and the purpose of entering into the contract has been frustrated by the illegal activities of Quixtar. The plaintiffs in the California case are seeking to be released from their contract.
"Everyday in court is a big win for the IBOs," said D.J. Poyfair, attorney for Denver-based Shughart, Thomson & Kilroy, the firm representing the IBOs. "The more documents and information that becomes public about how Quixtar operate the better it is for my clients."
"For the first time in history, the truth about Quixtar is coming out into public view," Poyfair added. "If the Van Andel and DeVos families truly believe in free enterprise they will do the right thing and let my clients go."
Documents filed in the case clearly outline the IBO's reasons for filing the lawsuit. The documents state in part:
"Quixtar knows its products are priced so high they cannot be sold and yet it continues to recruit distributors in a concerned effort to enrich the founding families at the expense of the rank and file simply trying to earn a living. Quixtar holds itself out as a legitimate, multi-level home-based business opportunity, but in fact operates as an illegal pyramid recruitment scheme. Quixtar leads participants to believe that they can build a viable business retailing Quixtar products; but once the participants sign up and pay their initial investment into the pyramid, it quickly becomes evident that Quixtar's products cannot be retailed because they are hopelessly overpriced. Quixtar no longer makes any pretense of retailing products to consumers outside of Quixtar's network of distributors, but relies entirely on the purchase and internal consumption of products by distributors to fuel its pay plan."
Posted by The IBO Rebellion at 4:05 PM
TEAM: CRITICISM OF WOODWARD RINGS HOLLOW
Original Source
CRITICISM OF WOODWARD RINGS HOLLOW
Wednesday, September 12, 2007
Every man has his critics. There may be no truer statement. Whether it be your co-workers, your spouse, mother-in-law, or brother-in-law. The world is full of critics. The only difference is their motivation. We have all heard that many of these people want you to succeed just not by them. Maybe this explains some of the sour grapes many people in the industry have displayed at Orrin Woodward and the success of TEAM.
People within Orrin's peer group have observed a man of character in action, a man that is the same behind closed doors, at IBOAI board meetings, and in front of his TEAM. It is no surprise that we find the entire AMWAY world at a crossroads. Leaders make things like that happen. If one man refuses the status quo, refuses business as usual and begins a walk toward truth and fairness, sides have to chosen. This explains why so many other men of character have stood themselves to decry the moral deficiencies in Amway / Quixtar's current business operations. It also explains why Orrin is the lightening rod for criticism from both Alticor and its old school fat cats who long ago quit caring about the dreams of others.
The TEAM is the direct result of Orrin setting standards much higher for himself than that which he observed on the way to having a large organization. TEAM's transparency in regards to its tool business as well as its financial application is unrivaled in the industry. This was certainly not what Orrin encountered. I won't get into much detail here, but even in the early days of TEAM profit sharing, before the current complex mathematical formulations, TEAM profit sharing paid the same for a 100 tape of the week that Orrin got for a 1000 tape of the week when he went diamond. Orrin's willingness be fair, and to help as many people succeed as possible, would provide for greater influence in a greater number of lives. This has always been Orrin's goal, to serve God, and lead people to truth. The business is just a tool to serve that purpose.
In the fall of 2005, Orrin was a new IBOAI board member. At this time he wrote a letter to Doug Devos in regards to many issues facing the Quixtar business. Pricing was the chief concern because in Orrin's view it manifested itself in so many other ways including success for the new person, retention, and business stability. One of the other big issues was the excessive margins of Alticor products. The margins at that time were 17% while Walmart used a margin of 3%. As a new board member this was the first time he had seen this information. In the letter to Doug Devos, Orrin wrote that he was "shocked" by it.
Orrin once again found himself the new guy in the board room. Once again Orrin had a different idea of what was right. I remind you that this was 2005. Orrin has steadily worked on pricing issues with Quixtar since that time. Quixtar repeatedly told Orrin that they we working on it. There have been no significant changes. I have attached a link to Orrin's affidavit filed in the California case. It is a PDF file which is complete with exhibits. Orrin's letter to Doug Devos is exhibit B and on pages 24-28 of the affidavit. I would urge you to read entire document, it really speaks for itself. Orrin deserves accolades for holding the line and demanding accountability but all he wants is freedom for those who want it themselves.
Posted by The IBO Rebellion at 3:23 AM
CRITICISM OF WOODWARD RINGS HOLLOW
Wednesday, September 12, 2007
Every man has his critics. There may be no truer statement. Whether it be your co-workers, your spouse, mother-in-law, or brother-in-law. The world is full of critics. The only difference is their motivation. We have all heard that many of these people want you to succeed just not by them. Maybe this explains some of the sour grapes many people in the industry have displayed at Orrin Woodward and the success of TEAM.
People within Orrin's peer group have observed a man of character in action, a man that is the same behind closed doors, at IBOAI board meetings, and in front of his TEAM. It is no surprise that we find the entire AMWAY world at a crossroads. Leaders make things like that happen. If one man refuses the status quo, refuses business as usual and begins a walk toward truth and fairness, sides have to chosen. This explains why so many other men of character have stood themselves to decry the moral deficiencies in Amway / Quixtar's current business operations. It also explains why Orrin is the lightening rod for criticism from both Alticor and its old school fat cats who long ago quit caring about the dreams of others.
The TEAM is the direct result of Orrin setting standards much higher for himself than that which he observed on the way to having a large organization. TEAM's transparency in regards to its tool business as well as its financial application is unrivaled in the industry. This was certainly not what Orrin encountered. I won't get into much detail here, but even in the early days of TEAM profit sharing, before the current complex mathematical formulations, TEAM profit sharing paid the same for a 100 tape of the week that Orrin got for a 1000 tape of the week when he went diamond. Orrin's willingness be fair, and to help as many people succeed as possible, would provide for greater influence in a greater number of lives. This has always been Orrin's goal, to serve God, and lead people to truth. The business is just a tool to serve that purpose.
In the fall of 2005, Orrin was a new IBOAI board member. At this time he wrote a letter to Doug Devos in regards to many issues facing the Quixtar business. Pricing was the chief concern because in Orrin's view it manifested itself in so many other ways including success for the new person, retention, and business stability. One of the other big issues was the excessive margins of Alticor products. The margins at that time were 17% while Walmart used a margin of 3%. As a new board member this was the first time he had seen this information. In the letter to Doug Devos, Orrin wrote that he was "shocked" by it.
Orrin once again found himself the new guy in the board room. Once again Orrin had a different idea of what was right. I remind you that this was 2005. Orrin has steadily worked on pricing issues with Quixtar since that time. Quixtar repeatedly told Orrin that they we working on it. There have been no significant changes. I have attached a link to Orrin's affidavit filed in the California case. It is a PDF file which is complete with exhibits. Orrin's letter to Doug Devos is exhibit B and on pages 24-28 of the affidavit. I would urge you to read entire document, it really speaks for itself. Orrin deserves accolades for holding the line and demanding accountability but all he wants is freedom for those who want it themselves.
Posted by The IBO Rebellion at 3:23 AM
Tuesday, September 11, 2007
TEAM: The paper trail continues.....
Original Source
The paper trail continues.....
Tuesday, September 11, 2007
On to day 2 of my price comparison journey! I am sticking with paper products. It seems this is a category of great interest to new IBO's. I think it is for a few reasons. First, having paper products delivered to your door saves a lot of hassle. It is usually one of the first questions you hear....what about your paper products? Second, I think it is so important because I have found paper products draw a lot of people to shop at stores such as Costco and Sam's Club. This a market that could be picked up with competitive pricing. No mom likes to buy paper products. They are bulky and they take up your entire cart! Where do you put your kids???? With 4 of them I already have 2 carts, and I hate having my carts overloaded with toilet paper and paper towels and paper plates. Moms, and everyone else for that matter, are happy to have that stuff delivered to their door.
However, I have found that paper products are one of the most overpriced categories in all of Quixtar! And they all seem to be slammed with that pre-set extra delivery charge. Well, here's what I found.
Product #2
Paper Plates
Quixtar
9" coated, microwave safe paper plates
288 plates
$19.32
$5.00 (pre-set deliver charge)
*really, how hard can it be to ship 288 plates? do we need this extra $5.00 charge?
_______
$24.32 total
Wal-Mart
9" coated, microwave safe paper plates by Dixie
288 plates
$9.79
_________
$9.79 total
Difference of $14.53!
findings: WOW! Can you say overpriced! That is a big difference. It's one thing to raise prices, but when you can buy double the product and have money left over... I don't know why anyone would want to buy those plates at those inflated prices.
Shop at Wal-Mart and get 596 plates and take home the extra $4.74.
Posted by Quixtar Lost My Cents at 8:42 PM
The paper trail continues.....
Tuesday, September 11, 2007
On to day 2 of my price comparison journey! I am sticking with paper products. It seems this is a category of great interest to new IBO's. I think it is for a few reasons. First, having paper products delivered to your door saves a lot of hassle. It is usually one of the first questions you hear....what about your paper products? Second, I think it is so important because I have found paper products draw a lot of people to shop at stores such as Costco and Sam's Club. This a market that could be picked up with competitive pricing. No mom likes to buy paper products. They are bulky and they take up your entire cart! Where do you put your kids???? With 4 of them I already have 2 carts, and I hate having my carts overloaded with toilet paper and paper towels and paper plates. Moms, and everyone else for that matter, are happy to have that stuff delivered to their door.
However, I have found that paper products are one of the most overpriced categories in all of Quixtar! And they all seem to be slammed with that pre-set extra delivery charge. Well, here's what I found.
Product #2
Paper Plates
Quixtar
9" coated, microwave safe paper plates
288 plates
$19.32
$5.00 (pre-set deliver charge)
*really, how hard can it be to ship 288 plates? do we need this extra $5.00 charge?
_______
$24.32 total
Wal-Mart
9" coated, microwave safe paper plates by Dixie
288 plates
$9.79
_________
$9.79 total
Difference of $14.53!
findings: WOW! Can you say overpriced! That is a big difference. It's one thing to raise prices, but when you can buy double the product and have money left over... I don't know why anyone would want to buy those plates at those inflated prices.
Shop at Wal-Mart and get 596 plates and take home the extra $4.74.
Posted by Quixtar Lost My Cents at 8:42 PM
TEAM: Mark and Anna Huber Resign, Request IBOAI refund
Original Source
Tuesday, September 11, 2007
LEADER RESIGNS ASKS FOR REFUND
THE IBO REBELLION was notified this morning of the resignation of Mark Huber. Huber, known for being Mr. Relatable, apparently has had enough. Huber took his resignation one step farther and requested a refund from the IBOAI. We will keep you posted on if this refund is granted.
Attn: IBOAI
Customer Support (58C-2A)
7575 Fulton Street East
Ada, MI 49355
Dear Sir or Madam:
In accordance with Quixtar Terms & Conditions, We would like to request a refund for the IBOAI $9.00 association fee. We are completely unsatisfied with the conduct and powerlessness of the board to represent the IBO’s.
Respectfully,
Mark Huber / Anna Huber
IBO# 2539901
Posted by The IBO Rebellion at 2:32 PM
Tuesday, September 11, 2007
LEADER RESIGNS ASKS FOR REFUND
THE IBO REBELLION was notified this morning of the resignation of Mark Huber. Huber, known for being Mr. Relatable, apparently has had enough. Huber took his resignation one step farther and requested a refund from the IBOAI. We will keep you posted on if this refund is granted.
Attn: IBOAI
Customer Support (58C-2A)
7575 Fulton Street East
Ada, MI 49355
Dear Sir or Madam:
In accordance with Quixtar Terms & Conditions, We would like to request a refund for the IBOAI $9.00 association fee. We are completely unsatisfied with the conduct and powerlessness of the board to represent the IBO’s.
Respectfully,
Mark Huber / Anna Huber
IBO# 2539901
Posted by The IBO Rebellion at 2:32 PM
TEAM: Bill and Jackie Lewis resign
Original Source
Here is some breaking News! Bill and Jackie Lewis have made a stand!
To: Quixtar c/o Kathryn Vincent
cc: Chris and Terri Brady
Effective today, Tuesday 11th of September, I am resigning IBO number 2588736.
My resignation is made pursuant to Quixtar's Rules of Conduct:3.11. Resignation: An IBO may resign his or her IB at any time by appropriately communicating to the Corporation and sending a copy of such communication to his or her Sponsor or firstupline IBO who has attained a higher award level, such as Platinum, Ruby, etc.
Signed,
Bill and Jackie Lewis
Here is some breaking News! Bill and Jackie Lewis have made a stand!
To: Quixtar c/o Kathryn Vincent
cc: Chris and Terri Brady
Effective today, Tuesday 11th of September, I am resigning IBO number 2588736.
My resignation is made pursuant to Quixtar's Rules of Conduct:3.11. Resignation: An IBO may resign his or her IB at any time by appropriately communicating to the Corporation and sending a copy of such communication to his or her Sponsor or firstupline IBO who has attained a higher award level, such as Platinum, Ruby, etc.
Signed,
Bill and Jackie Lewis
QUIXTAR: Is low price the only reason a customer buys?
Original Source
Is low price the only reason a customer buys?
Tuesday, September 11, 2007 by Susan Julien-Willson
Category: sales, selling, guarantee, risk, buying
When it comes to selling, I use to think people bought strictly on price - whether it was low enough or more importantly, whether a prospect thought it was low enough. A sweater for $39.99 rather than $59.99 has to be a better deal, right? Not always.
I mean, if the sweater at the lower price is not preshrunk, or is not returnable, or is not guaranteed to keep its color wash after wash-but the $59.99 sweater is guaranteed not to shrink or face and is returnable, then maybe lower price isn't what the customer wants at all. Maybe what they want is less risk. What do I mean by less risk? Well, consider this: what's the potential cost if the customer makes a purchase mistake? If the sweater shrinks or fades and cannot be returned, well, they wasted $39.99. If the sweater doesn't fit, then they have a sweater they can't wear. (I suppose they could re-gift it!) If the sweater is indeed a gift and the person they give it to doesn't like it or already has one, they cannot return it. (not very impressive!) Seems there is some risk involved in purchasing the lower-cost sweater. Think about it. If you had a choice, which sweater would you buy? The non-returnable cheapie or the returnable, guaranteed-to-keep its-color, -shape and -size sweater for slightly more? What's the better value? What's the lower risk?
A sweater isn't as critical of a purchase, so the risk isn't quite as much as if you make a decision about a house or a car or a major appliance ... so it's probably safe to assume that different decisions carry different degrees of importance and risk ... to you and to your prospects and customers.
So, if you're selling products that seem to be priced high and you think the price will immediately prevent you from making a sale ... consider worrying less about the price and focus on easing the risk. So how can you lower risk and encourage someone to purchase a product you're selling? I have a few ideas, but I hope a few readers will comment with some of their own.
To sell more, build relationships with prospective customers and current customers. The greater the relationship you have, the more chance you'll have of selling products to a person . .. they'll trust you and the perceived risk will be next to none. I know when I sold clothing, my regular customers trusted me to find and sell them quality clothing that would fit and flatter ... and last through frequent wear. Perhaps, you've had similar experiences with your loyal customers.
Use testimonials, spokespeople, and research/competitive comparisons in your sales conversation. Think about it. If lots of people use a product or service, there must be some merit to the product or service. (I love reading IBO success stories at Quixtar.com--you can find 'em in most every category, but the ones that come to mind are those about Ribbon ... you'll find them in Step 8 of the Steps to Success as a PDF Other testimonials online are for clear.now, Time Defiance, and Tolsom. Check 'em out. I love reading testimonials and tips in fashion and beauty mags, too. In many cases, it has motivated me to try a product. Have you had this happen too?
Let prospects try out a product. If I can touch, feel, see, or try on something, I get more interested ... I ask questions. I experience what a product is like and what it can do for me. Bet that others may feel this way, too. For clothing in a store, it's easy. You can have them see it, touch it and try it on. For products you sell from catalogs and a website, you need samples. It can be as simple as a food bar or energy drink. If I visit a grocery store when they're giving out food samples, I inevitably end up buying something that I hadn't planned on or was definitely not on my list. Can you relate?
Here's something else you might forget to mention that definitely lowers risk ... it's the 180-day satisfaction guarantee at Quixtar. Do you tell customers about that? It might be worth mentioning if they seem to wince at the price or the quantity.
So, what else could we do to lower risk when it comes to buying? Hmmmmm. I can't seem to come up with any more ideas right now. How bout you? Got some ideas to share? Please do!
Is low price the only reason a customer buys?
Tuesday, September 11, 2007 by Susan Julien-Willson
Category: sales, selling, guarantee, risk, buying
When it comes to selling, I use to think people bought strictly on price - whether it was low enough or more importantly, whether a prospect thought it was low enough. A sweater for $39.99 rather than $59.99 has to be a better deal, right? Not always.
I mean, if the sweater at the lower price is not preshrunk, or is not returnable, or is not guaranteed to keep its color wash after wash-but the $59.99 sweater is guaranteed not to shrink or face and is returnable, then maybe lower price isn't what the customer wants at all. Maybe what they want is less risk. What do I mean by less risk? Well, consider this: what's the potential cost if the customer makes a purchase mistake? If the sweater shrinks or fades and cannot be returned, well, they wasted $39.99. If the sweater doesn't fit, then they have a sweater they can't wear. (I suppose they could re-gift it!) If the sweater is indeed a gift and the person they give it to doesn't like it or already has one, they cannot return it. (not very impressive!) Seems there is some risk involved in purchasing the lower-cost sweater. Think about it. If you had a choice, which sweater would you buy? The non-returnable cheapie or the returnable, guaranteed-to-keep its-color, -shape and -size sweater for slightly more? What's the better value? What's the lower risk?
A sweater isn't as critical of a purchase, so the risk isn't quite as much as if you make a decision about a house or a car or a major appliance ... so it's probably safe to assume that different decisions carry different degrees of importance and risk ... to you and to your prospects and customers.
So, if you're selling products that seem to be priced high and you think the price will immediately prevent you from making a sale ... consider worrying less about the price and focus on easing the risk. So how can you lower risk and encourage someone to purchase a product you're selling? I have a few ideas, but I hope a few readers will comment with some of their own.
To sell more, build relationships with prospective customers and current customers. The greater the relationship you have, the more chance you'll have of selling products to a person . .. they'll trust you and the perceived risk will be next to none. I know when I sold clothing, my regular customers trusted me to find and sell them quality clothing that would fit and flatter ... and last through frequent wear. Perhaps, you've had similar experiences with your loyal customers.
Use testimonials, spokespeople, and research/competitive comparisons in your sales conversation. Think about it. If lots of people use a product or service, there must be some merit to the product or service. (I love reading IBO success stories at Quixtar.com--you can find 'em in most every category, but the ones that come to mind are those about Ribbon ... you'll find them in Step 8 of the Steps to Success as a PDF Other testimonials online are for clear.now, Time Defiance, and Tolsom. Check 'em out. I love reading testimonials and tips in fashion and beauty mags, too. In many cases, it has motivated me to try a product. Have you had this happen too?
Let prospects try out a product. If I can touch, feel, see, or try on something, I get more interested ... I ask questions. I experience what a product is like and what it can do for me. Bet that others may feel this way, too. For clothing in a store, it's easy. You can have them see it, touch it and try it on. For products you sell from catalogs and a website, you need samples. It can be as simple as a food bar or energy drink. If I visit a grocery store when they're giving out food samples, I inevitably end up buying something that I hadn't planned on or was definitely not on my list. Can you relate?
Here's something else you might forget to mention that definitely lowers risk ... it's the 180-day satisfaction guarantee at Quixtar. Do you tell customers about that? It might be worth mentioning if they seem to wince at the price or the quantity.
So, what else could we do to lower risk when it comes to buying? Hmmmmm. I can't seem to come up with any more ideas right now. How bout you? Got some ideas to share? Please do!
QUIXTAR: On the brand: In defense of Amway
Original Source
On the brand: In defense of Amway
Tuesday, September 11, 2007
The issue of transforming the business and transitioning to the Amway brand continues to fuel discussion - and it will for some time. In the following contribution to this blog, Aadil and MahJabeen Tayabee of Toronto opine passionately about their preference.
We were reading a book on the power of "word" and its history - what "word" stands for and its meaning - and we were fascinated that everything we speak is communicated in pictures.
When we think of the word Amway, it gives us a picture of two legendary leaders, Rich DeVos and Jay Van Andel, and the business opportunity they have shared across the globe - spanning over 80 countries and territories since 1959.
Though it might sound like, and people might think, that the name change from Quixtar to Amway will affect the individual's business, we think otherwise.
In fact, we believe that the Amway name was and is the root of a tree. Its base will always be rock solid. The name Amway has stood and been time-tested. Its existence will help build large businesses. It is the name the two founders had given, which means AMERICAN WAY.
We as IBOs should salute the new generation of the DeVos and Van Andel families, for they have always stood on life's principles and we know whatever they choose to decide, they are doing good for all of us as IBOs and the Corporation.
We get goose bumps when we think of the new name coming in 24 months. It's going to revolutionize the whole global business.
We are proud of Amway/Quixtar/Alticor. Thank you for having the greatest and the best opportunity in the world!
On the brand: In defense of Amway
Tuesday, September 11, 2007
The issue of transforming the business and transitioning to the Amway brand continues to fuel discussion - and it will for some time. In the following contribution to this blog, Aadil and MahJabeen Tayabee of Toronto opine passionately about their preference.
We were reading a book on the power of "word" and its history - what "word" stands for and its meaning - and we were fascinated that everything we speak is communicated in pictures.
When we think of the word Amway, it gives us a picture of two legendary leaders, Rich DeVos and Jay Van Andel, and the business opportunity they have shared across the globe - spanning over 80 countries and territories since 1959.
Though it might sound like, and people might think, that the name change from Quixtar to Amway will affect the individual's business, we think otherwise.
In fact, we believe that the Amway name was and is the root of a tree. Its base will always be rock solid. The name Amway has stood and been time-tested. Its existence will help build large businesses. It is the name the two founders had given, which means AMERICAN WAY.
We as IBOs should salute the new generation of the DeVos and Van Andel families, for they have always stood on life's principles and we know whatever they choose to decide, they are doing good for all of us as IBOs and the Corporation.
We get goose bumps when we think of the new name coming in 24 months. It's going to revolutionize the whole global business.
We are proud of Amway/Quixtar/Alticor. Thank you for having the greatest and the best opportunity in the world!
Monday, September 10, 2007
TEAM: Former IBOAI Board Member Chuck Goetschel
Original Source
Former IBOAI Board Member Chuck Goetschel...
Thankfully, it isn't you!
It can only happen to the other guy, right? It could never happen to you. Your ideas, beliefs, perspectives would never be challenged. After all, you are honest, ethical, aligned with the company and they love you. You are golden.
Yours is practically a modern-day Cinderella story. You started out like most people; newly married, employed, working hard to get by and dreaming of a brighter future for you and your family. You realize the only way to live your dreams is to own your own business so you register as an Independent Business Owner and begin your journey. You invest the next 15 years of your life (25 – 40 years old) working to build a business. You gave it your all; nights, weekends, holidays, whatever it takes. All the while, you find yourself regularly defending the concept of the networking/mlm business model as well as specifically defending the Amway/Quixtar names. Since 1997, the Company has been struggling as reflected in overall volume, sponsoring, etc. Consequently, in addition to building your own business, you spend thousands of hours building a system that will increase the new person’s chance for success. Your efforts pay off, in 2003, you are asked to speak by Quixtar at their national convention (Quixtar Live!) as the key-note speaker. In 2004, the managing director of Quixtar, Ken McDonald, sends you a letter of great praise and acknowledges that you are the fastest growing IBO in North America. Then, in 2005, Quixtar hires a new managing director, Jim Payne. Suddenly, you realize that Quixtar has made significant changes in regards to their stance on positioning as well as depth. Now rather than being golden, you are a significant obstacle to an apparent hidden agenda.
You are told you must change your entire system to align with their new positions. Tens of thousands of people are growing and succeeding with your system which is unlike what is happening throughout the rest of North America. You do research hiring your own attorneys to investigate whether your approaches hold any legal risk whatsoever. The attorneys unanimously agree that you are fine. The Quixtar legal department cannot share any specific legal risks that exist; only general concerns. You ask repeatedly for an example of anyone who is growing using their new stances on positioning and depth. No successful examples are provided and you don’t believe any exist. You have meeting after meeting with the Company to see if you can come to a mutual ground of acceptance. Nothing seems to work. What do you do? Do you suddenly change what is working to something that has no proven results because the Company changed their opinion? Can you see the dilemma? Tens of thousands of people are counting on you to lead them and their families successfully. At the same time, the Company is demanding that you completely change your position and strategy to one you know first hand to be completely ineffective by comparison.
The pressure increases as the Company threatens you with suspension over these “philosophical differences.” The first time has to do with a positioning issue; when and where “Quixtar” needs to be printed on your team website. The second time has to do with transparency as they refuse to allow you to explain how the multiple types of system income are available; written as an analogy of a car dealership in a book. The release of this information came not only with a threat of suspension but also loss of bonuses and Diamond Club if it were released to either prospects or IBOs.
Although just a few years ago you were celebrated for your business building methods and results, now, without you changing, suddenly you’re violating rules due to philosophical differences. After countless meetings attempting a resolution, you finally let them know that you must leave and start over because you cannot represent the business that they changed and want you to represent; a business with unretailable products and significant philosophical differences. You are then informed that you are terminated! Game over. The following day after your termination, you read Alticor’s official media blog and it calls you a “disgrace”, a “liar”, and one who “betrayed his organization.” After all these years of effort and after generating tens of millions of dollars of revenue for Amway/Quixtar, you read their final comments about you: “We would say we were sorry to see Orrin go. But only if that were true.”
Fortunately, this is not your story. This is the story of Orrin Woodward. Orrin was terminated for standing up for the principles he believed in regarding a training system that proved to be very successful. What rules did he actually violate? Here is the scary part. When you read the termination papers, you read that he was terminated for violating two subjective rules; Rule 4.1 (failure to exercise a duty of good faith and fair dealing) and Rule 5.4 (failure to comply with the obligations of a sponsor and/or Platinum to properly train other IBOs). Also the papers describe accounts of a handful of people who were confused about their sponsor, the importance of sales, or some other topic. Finally, the papers reference an “anticipatory rule violation.” Suddenly, it becomes clear that the Company can and will terminate at will citing personal philosophy differences (i.e., no “proper training”), holding you accountable for a downline rule violation, or even citing an “anticipatory breach” of things you haven’t even done.
A friend of mine, Jerry Scriven, a Diamond in England, emailed me just a couple of weeks ago and shared how regardless of the fact that he and his wife have put the best part of their lives into the business, he wrote me saying:
“We have been suspended on zero income because a downline was running a web site promoting our training system without our knowledge. Now they won’t talk to us on the phone. Unbelievable!! Or maybe in the context of everything else that’s going on – not so unbelievable.”
Yes, I know that’s terrible, but fortunately it’s Jerry and not you. It couldn’t happen to you, right? But wait; hasn’t there been a history of stars to scars with the Company? Certainly, this wouldn’t be a standard “divide and conquer” strategy to maintain control. Oh, I know that is ridiculous. Perhaps. However, for those who know history with this Company it sure seems to be a repeating pattern. Ok, I’ll leave that one alone. Besides, right now for those who don’t like Orrin Woodward’s philosophy, you are happy that the Company chose such a heavy-handed procedure of termination and defamation. Thankfully, it isn’t you who is standing up for what you believe. One well-known Diamond in the business shared with me and some others that when he told Mike Mohr that he was considering leaving, Mike told him that he would “make it very difficult on him.” “And that made an impact--that resonated with me” the Diamond said in response. Yes, standing up for what you believe can be difficult.
Knowing the threats they made to other leaders and knowing the heavy-handed behavior pattern they had taken with Orrin Woodward and Chris Brady, we knew we must go into the August 9th meeting prepared. We had great hope in Mike Mohr’s personal comment to me and Jim Payne’s email to Orrin sent July 27th both stating to “come in and we’ll discuss an amicable separation.” We prayed for a peaceful settlement, but just like a country has an army even though they do not desire war, we prepared a lawsuit in case Quixtar was not reasonable. Will Durant the historian said, "Pray for peace, but keep your powder dry.” I spoke to both Billy Florence and Orrin about the lawsuit prior to the meeting and agreed with them that since the suit wasn’t asking for any sort of damages, but rather freedom of activity, that it was a proper piece of leverage. We felt if Quixtar would not do the right thing then we would ask the court to do the right thing and allow people a choice for reasons stated in the suit as well as such a drastic business transformation. Again, our only reason for meeting was to ensure peace on both sides and no future retaliatory lawsuits from Quixtar because many resigned. We knew after we departed that even if we agreed to sit out and follow all rules, given Quixtar’s historically aggressive nature, they very possibly would sue us on frivolous solicitation, tortious interference etc. tying everyone up in Quixtar arbitration. When Orrin and Chris were terminated without any discussion, we brought out the lawsuit for their review (without filing it) and asked for a 24 hour standstill to discuss. We hoped this would bring them back to table to complete the “amicable separation.” Mike Mohr said he would review and call us prior to 5:00pm to discuss further. No call from him ever came. Billy Florence called Quixtar attorney, Sharon Grider, at the nth hour “for the sake of all IBOs” he said, and pleaded with her to meet, have discussions and not force the filing of the suit. Sharon responded with “if it is to discuss more of what we already know then there is no need. It’s past 5:00pm. Do what you need to do.” Interestingly, as predicted, Quixtar did immediately sue Orrin and Chris claiming they had a competing mlm business. Although this proved to be false (yet to date no retraction has been made by Quixtar) it did result in tying Orrin and Chris to temporary silence.
Personally, I am deeply disappointed in the headstrong, prideful approach the Company has taken. Taking care of IBOs they say? Really? Don Wilson told me about a dialog he had with Doug DeVos about two years ago regarding Randy Haugen. Don explained how Randy had really been struggling with a moral dilemma regarding promoting a business that he didn’t currently believe in. Don asked Doug that although it wasn’t his responsibility would he be willing to give Randy of call of encouragement. Doug responded by suggesting to Don, “Perhaps it is time to find another Randy.” Another Randy? Are you kidding? Randy Haugen has long stood as one of the most committed, most influential, most heart-felt IBOs ever to exist in the history of the business. Can you even begin to comprehend the tens of millions, more likely the hundreds of millions of dollars of profit the DeVos and the VanAndel families have placed in their bank accounts because of the volume of Amway/Quixtar products that was moved through a Randy Haugen led organization for the last 25 years?
Imagine if the Corporation had humbly sought to understand Randy’s moral dilemma and how to resolve it. Imagine how many people would have benefited if rather than terminating and disparaging the TEAM leaders, the Corporation sought to understand what is so effective with TEAM and shared that knowledge and insight with other IBOs. Personally, that is exactly what I did. I admit it took putting my ego in check in a big way when I asked Orrin to learn his system. After all, I had run my own system for over a decade. I had made an effort to learn the rules to the point where Quixtar’s BSM task force often said I could “write the manual regarding approval of BSMs.” My system was accredited and I was elected to the legal and ethics committee of the IBOAI board. However, the success of my team was more important than the protection of my ego. After I thoroughly researched the TEAM system and communicated extensively about it getting complete clarity on any disconnects, I was convinced it was a very effective, honest, and ethical approach to building the business. I knew it would make a very positive impact on my team. I wish the Corporation would have put their ego in check. It would have truly been a service to all IBOs. Unfortunately, that wasn’t the decision and, as it is written, “Pride cometh before the fall.”
Final thought—what if the Company applied their own rules to themselves…would they have to terminate themselves? Orrin was terminated over philosophical differences which, in their opinion, may lead to regulatory challenges. However, the Company has lead all of us (employees and IBOs alike) to legal risk with the current fact that only 3% of the Company’s annual volume comes from retail. Other mlm companies have been recently shut down with significantly more than 3% retail sales. Yes, QuixtarUniversity.com will solve all of that, I understand. What do you mean you don’t know about that? It is the place where your IBOs (I mean Quixtar’s IBOs… “property”… whatever the name is now…so confusing…) will be trained. That is exciting. Yes, they will receive lots of training on how to build their business (handy for you) and sales training to learn how to sell $12.45 shaving cream to people who are used to paying $3.99. This must be some good sales training! Will the sales training teach how to sell Amway diapers at $0.50 each vs. Pampers at $0.28 each? I know, but these are “premium” quality diapers, right? How’s that, are they reversible or something? What about good business practices? – Rule 4.1: “…Good faith and Fair dealing.” Since over half of the IBOs of North America were never registered in Amway, how’s the good faith and fair dealing doing in regards to forcing them to keep their businesses by renewing into Amway? What about selling through stores around the IBOs—lots of talk about that…is that an “anticipatory beach” of their current contract? Business Support Materials (BSMs) are optional, right? Absolutely! It’s in the rules. However, what about the new QBOB (Quixtar Business Ownership Brochure) that is a new mandatory leave-behind brochure replacing the SA4400. The QBOB looks like a BSM and at $0.50 a piece (one for every prospect) this is a new expense to IBOs (SA4400 was a free download) and a nice mandatory BSM profit center for the Company. I could go on with this thought but then this would turn into another 17 page document.
I respect every person who registered as an Independent Business Owner because you stepped out in life and decided to pursue your dreams. That action makes you so rare. I applaud every one of you for that. We all started out simply with a dream and an IBO number and some hope for our future. Yes, so much hope. So, how could it come to a point where 1/3 of a Company’s advisory board stands up and walks out after investing an average of 26 years of each of their lives? That could only happen when something so significant, so wrong, and so apparently unchangeable is happening. This is your one and only precious life. When it is over, what will you be able to say you stood for? Orrin Woodward is certainly one person who will be able to look in the mirror and say he stood on principle of what he believed was right. He didn’t back down to threats. He didn’t back down to fear. He stayed true to his beliefs. I want to encourage everyone to stay true to your beliefs as well. God Bless.
Chuck Goetschel
Former IBOAI Board Member Chuck Goetschel...
Thankfully, it isn't you!
It can only happen to the other guy, right? It could never happen to you. Your ideas, beliefs, perspectives would never be challenged. After all, you are honest, ethical, aligned with the company and they love you. You are golden.
Yours is practically a modern-day Cinderella story. You started out like most people; newly married, employed, working hard to get by and dreaming of a brighter future for you and your family. You realize the only way to live your dreams is to own your own business so you register as an Independent Business Owner and begin your journey. You invest the next 15 years of your life (25 – 40 years old) working to build a business. You gave it your all; nights, weekends, holidays, whatever it takes. All the while, you find yourself regularly defending the concept of the networking/mlm business model as well as specifically defending the Amway/Quixtar names. Since 1997, the Company has been struggling as reflected in overall volume, sponsoring, etc. Consequently, in addition to building your own business, you spend thousands of hours building a system that will increase the new person’s chance for success. Your efforts pay off, in 2003, you are asked to speak by Quixtar at their national convention (Quixtar Live!) as the key-note speaker. In 2004, the managing director of Quixtar, Ken McDonald, sends you a letter of great praise and acknowledges that you are the fastest growing IBO in North America. Then, in 2005, Quixtar hires a new managing director, Jim Payne. Suddenly, you realize that Quixtar has made significant changes in regards to their stance on positioning as well as depth. Now rather than being golden, you are a significant obstacle to an apparent hidden agenda.
You are told you must change your entire system to align with their new positions. Tens of thousands of people are growing and succeeding with your system which is unlike what is happening throughout the rest of North America. You do research hiring your own attorneys to investigate whether your approaches hold any legal risk whatsoever. The attorneys unanimously agree that you are fine. The Quixtar legal department cannot share any specific legal risks that exist; only general concerns. You ask repeatedly for an example of anyone who is growing using their new stances on positioning and depth. No successful examples are provided and you don’t believe any exist. You have meeting after meeting with the Company to see if you can come to a mutual ground of acceptance. Nothing seems to work. What do you do? Do you suddenly change what is working to something that has no proven results because the Company changed their opinion? Can you see the dilemma? Tens of thousands of people are counting on you to lead them and their families successfully. At the same time, the Company is demanding that you completely change your position and strategy to one you know first hand to be completely ineffective by comparison.
The pressure increases as the Company threatens you with suspension over these “philosophical differences.” The first time has to do with a positioning issue; when and where “Quixtar” needs to be printed on your team website. The second time has to do with transparency as they refuse to allow you to explain how the multiple types of system income are available; written as an analogy of a car dealership in a book. The release of this information came not only with a threat of suspension but also loss of bonuses and Diamond Club if it were released to either prospects or IBOs.
Although just a few years ago you were celebrated for your business building methods and results, now, without you changing, suddenly you’re violating rules due to philosophical differences. After countless meetings attempting a resolution, you finally let them know that you must leave and start over because you cannot represent the business that they changed and want you to represent; a business with unretailable products and significant philosophical differences. You are then informed that you are terminated! Game over. The following day after your termination, you read Alticor’s official media blog and it calls you a “disgrace”, a “liar”, and one who “betrayed his organization.” After all these years of effort and after generating tens of millions of dollars of revenue for Amway/Quixtar, you read their final comments about you: “We would say we were sorry to see Orrin go. But only if that were true.”
Fortunately, this is not your story. This is the story of Orrin Woodward. Orrin was terminated for standing up for the principles he believed in regarding a training system that proved to be very successful. What rules did he actually violate? Here is the scary part. When you read the termination papers, you read that he was terminated for violating two subjective rules; Rule 4.1 (failure to exercise a duty of good faith and fair dealing) and Rule 5.4 (failure to comply with the obligations of a sponsor and/or Platinum to properly train other IBOs). Also the papers describe accounts of a handful of people who were confused about their sponsor, the importance of sales, or some other topic. Finally, the papers reference an “anticipatory rule violation.” Suddenly, it becomes clear that the Company can and will terminate at will citing personal philosophy differences (i.e., no “proper training”), holding you accountable for a downline rule violation, or even citing an “anticipatory breach” of things you haven’t even done.
A friend of mine, Jerry Scriven, a Diamond in England, emailed me just a couple of weeks ago and shared how regardless of the fact that he and his wife have put the best part of their lives into the business, he wrote me saying:
“We have been suspended on zero income because a downline was running a web site promoting our training system without our knowledge. Now they won’t talk to us on the phone. Unbelievable!! Or maybe in the context of everything else that’s going on – not so unbelievable.”
Yes, I know that’s terrible, but fortunately it’s Jerry and not you. It couldn’t happen to you, right? But wait; hasn’t there been a history of stars to scars with the Company? Certainly, this wouldn’t be a standard “divide and conquer” strategy to maintain control. Oh, I know that is ridiculous. Perhaps. However, for those who know history with this Company it sure seems to be a repeating pattern. Ok, I’ll leave that one alone. Besides, right now for those who don’t like Orrin Woodward’s philosophy, you are happy that the Company chose such a heavy-handed procedure of termination and defamation. Thankfully, it isn’t you who is standing up for what you believe. One well-known Diamond in the business shared with me and some others that when he told Mike Mohr that he was considering leaving, Mike told him that he would “make it very difficult on him.” “And that made an impact--that resonated with me” the Diamond said in response. Yes, standing up for what you believe can be difficult.
Knowing the threats they made to other leaders and knowing the heavy-handed behavior pattern they had taken with Orrin Woodward and Chris Brady, we knew we must go into the August 9th meeting prepared. We had great hope in Mike Mohr’s personal comment to me and Jim Payne’s email to Orrin sent July 27th both stating to “come in and we’ll discuss an amicable separation.” We prayed for a peaceful settlement, but just like a country has an army even though they do not desire war, we prepared a lawsuit in case Quixtar was not reasonable. Will Durant the historian said, "Pray for peace, but keep your powder dry.” I spoke to both Billy Florence and Orrin about the lawsuit prior to the meeting and agreed with them that since the suit wasn’t asking for any sort of damages, but rather freedom of activity, that it was a proper piece of leverage. We felt if Quixtar would not do the right thing then we would ask the court to do the right thing and allow people a choice for reasons stated in the suit as well as such a drastic business transformation. Again, our only reason for meeting was to ensure peace on both sides and no future retaliatory lawsuits from Quixtar because many resigned. We knew after we departed that even if we agreed to sit out and follow all rules, given Quixtar’s historically aggressive nature, they very possibly would sue us on frivolous solicitation, tortious interference etc. tying everyone up in Quixtar arbitration. When Orrin and Chris were terminated without any discussion, we brought out the lawsuit for their review (without filing it) and asked for a 24 hour standstill to discuss. We hoped this would bring them back to table to complete the “amicable separation.” Mike Mohr said he would review and call us prior to 5:00pm to discuss further. No call from him ever came. Billy Florence called Quixtar attorney, Sharon Grider, at the nth hour “for the sake of all IBOs” he said, and pleaded with her to meet, have discussions and not force the filing of the suit. Sharon responded with “if it is to discuss more of what we already know then there is no need. It’s past 5:00pm. Do what you need to do.” Interestingly, as predicted, Quixtar did immediately sue Orrin and Chris claiming they had a competing mlm business. Although this proved to be false (yet to date no retraction has been made by Quixtar) it did result in tying Orrin and Chris to temporary silence.
Personally, I am deeply disappointed in the headstrong, prideful approach the Company has taken. Taking care of IBOs they say? Really? Don Wilson told me about a dialog he had with Doug DeVos about two years ago regarding Randy Haugen. Don explained how Randy had really been struggling with a moral dilemma regarding promoting a business that he didn’t currently believe in. Don asked Doug that although it wasn’t his responsibility would he be willing to give Randy of call of encouragement. Doug responded by suggesting to Don, “Perhaps it is time to find another Randy.” Another Randy? Are you kidding? Randy Haugen has long stood as one of the most committed, most influential, most heart-felt IBOs ever to exist in the history of the business. Can you even begin to comprehend the tens of millions, more likely the hundreds of millions of dollars of profit the DeVos and the VanAndel families have placed in their bank accounts because of the volume of Amway/Quixtar products that was moved through a Randy Haugen led organization for the last 25 years?
Imagine if the Corporation had humbly sought to understand Randy’s moral dilemma and how to resolve it. Imagine how many people would have benefited if rather than terminating and disparaging the TEAM leaders, the Corporation sought to understand what is so effective with TEAM and shared that knowledge and insight with other IBOs. Personally, that is exactly what I did. I admit it took putting my ego in check in a big way when I asked Orrin to learn his system. After all, I had run my own system for over a decade. I had made an effort to learn the rules to the point where Quixtar’s BSM task force often said I could “write the manual regarding approval of BSMs.” My system was accredited and I was elected to the legal and ethics committee of the IBOAI board. However, the success of my team was more important than the protection of my ego. After I thoroughly researched the TEAM system and communicated extensively about it getting complete clarity on any disconnects, I was convinced it was a very effective, honest, and ethical approach to building the business. I knew it would make a very positive impact on my team. I wish the Corporation would have put their ego in check. It would have truly been a service to all IBOs. Unfortunately, that wasn’t the decision and, as it is written, “Pride cometh before the fall.”
Final thought—what if the Company applied their own rules to themselves…would they have to terminate themselves? Orrin was terminated over philosophical differences which, in their opinion, may lead to regulatory challenges. However, the Company has lead all of us (employees and IBOs alike) to legal risk with the current fact that only 3% of the Company’s annual volume comes from retail. Other mlm companies have been recently shut down with significantly more than 3% retail sales. Yes, QuixtarUniversity.com will solve all of that, I understand. What do you mean you don’t know about that? It is the place where your IBOs (I mean Quixtar’s IBOs… “property”… whatever the name is now…so confusing…) will be trained. That is exciting. Yes, they will receive lots of training on how to build their business (handy for you) and sales training to learn how to sell $12.45 shaving cream to people who are used to paying $3.99. This must be some good sales training! Will the sales training teach how to sell Amway diapers at $0.50 each vs. Pampers at $0.28 each? I know, but these are “premium” quality diapers, right? How’s that, are they reversible or something? What about good business practices? – Rule 4.1: “…Good faith and Fair dealing.” Since over half of the IBOs of North America were never registered in Amway, how’s the good faith and fair dealing doing in regards to forcing them to keep their businesses by renewing into Amway? What about selling through stores around the IBOs—lots of talk about that…is that an “anticipatory beach” of their current contract? Business Support Materials (BSMs) are optional, right? Absolutely! It’s in the rules. However, what about the new QBOB (Quixtar Business Ownership Brochure) that is a new mandatory leave-behind brochure replacing the SA4400. The QBOB looks like a BSM and at $0.50 a piece (one for every prospect) this is a new expense to IBOs (SA4400 was a free download) and a nice mandatory BSM profit center for the Company. I could go on with this thought but then this would turn into another 17 page document.
I respect every person who registered as an Independent Business Owner because you stepped out in life and decided to pursue your dreams. That action makes you so rare. I applaud every one of you for that. We all started out simply with a dream and an IBO number and some hope for our future. Yes, so much hope. So, how could it come to a point where 1/3 of a Company’s advisory board stands up and walks out after investing an average of 26 years of each of their lives? That could only happen when something so significant, so wrong, and so apparently unchangeable is happening. This is your one and only precious life. When it is over, what will you be able to say you stood for? Orrin Woodward is certainly one person who will be able to look in the mirror and say he stood on principle of what he believed was right. He didn’t back down to threats. He didn’t back down to fear. He stayed true to his beliefs. I want to encourage everyone to stay true to your beliefs as well. God Bless.
Chuck Goetschel
TEAM: Financial common sense causes me to wonder
Original Source
Financial common sense causes me to wonder
Monday, September 10, 2007
It all started with a dream. I wanted a better lifestyle for my family. I wanted more options. I wanted to own a business. I wanted a business that I could build to create an extra income for my family. I thought a Quixtar business would be a great one to start. I liked the idea of a business that capitalized on the hottest trends out there: the Internet and distribution. It seemed like a logical business decision at the time. What I didn't factor in was how difficult it was going to be to utilize my own business. I needed a second job just to buy the products from my business that was supposed to be making me money.
That confused me. Why such high prices? In a Wal-Mart world of low prices, why is Quixtar charging such high prices. My confusion led me right to my local Super Wal-Mart for some comparison shopping. I chose Wal-Mart for a few reasons. 1. It's where I shop because common sense says go where the best price is. 2. The Wal-Mart corporation has generated billions of dollars offering low prices every day. (In fact, not too long ago they were the largest corporation in the WORLD!)
Wal-Mart's success makes it very clear that low prices do NOT mean low profit. So what do high prices mean? Products that are so overpriced that no one wants to buy them.
So, let's compare prices. Wal-Mart VS. Quixtar. Apples to Apples......I think you will be shocked at what I found.
PRODUCT #1
PAPER TOWELS
Quixtar
Meadowbrook Gold (heavy duty)
$31.28
$5.00 (pre-set charge)
$6.75 (delivery charge)
_______ _______
$43.03 total ibo cost
Wal-Mart
Kleenex Viva (winner 2007 Chef's Best Award)
930 sheets
$17.80
________
$17.80 total
DIFFERENCE OF: $25.23!
FINDINGS:
Shop at Wal-Mart and buy 2 cases of Kleenex Viva for the price of 1 case of Meadowbrook at Quixtar!!!!!!
REWARD FOR SMART SHOPPING:
10 extra rolls of paper towel and Take the kids for ice cream on your way home with the extra $7.43!
Financial common sense causes me to wonder
Monday, September 10, 2007
It all started with a dream. I wanted a better lifestyle for my family. I wanted more options. I wanted to own a business. I wanted a business that I could build to create an extra income for my family. I thought a Quixtar business would be a great one to start. I liked the idea of a business that capitalized on the hottest trends out there: the Internet and distribution. It seemed like a logical business decision at the time. What I didn't factor in was how difficult it was going to be to utilize my own business. I needed a second job just to buy the products from my business that was supposed to be making me money.
That confused me. Why such high prices? In a Wal-Mart world of low prices, why is Quixtar charging such high prices. My confusion led me right to my local Super Wal-Mart for some comparison shopping. I chose Wal-Mart for a few reasons. 1. It's where I shop because common sense says go where the best price is. 2. The Wal-Mart corporation has generated billions of dollars offering low prices every day. (In fact, not too long ago they were the largest corporation in the WORLD!)
Wal-Mart's success makes it very clear that low prices do NOT mean low profit. So what do high prices mean? Products that are so overpriced that no one wants to buy them.
So, let's compare prices. Wal-Mart VS. Quixtar. Apples to Apples......I think you will be shocked at what I found.
PRODUCT #1
PAPER TOWELS
Quixtar
Meadowbrook Gold (heavy duty)
$31.28
$5.00 (pre-set charge)
$6.75 (delivery charge)
_______ _______
$43.03 total ibo cost
Wal-Mart
Kleenex Viva (winner 2007 Chef's Best Award)
930 sheets
$17.80
________
$17.80 total
DIFFERENCE OF: $25.23!
FINDINGS:
Shop at Wal-Mart and buy 2 cases of Kleenex Viva for the price of 1 case of Meadowbrook at Quixtar!!!!!!
REWARD FOR SMART SHOPPING:
10 extra rolls of paper towel and Take the kids for ice cream on your way home with the extra $7.43!
Just Imagine
First off, I want to say that I have no inside information and that this post is completely speculative. That being said, let's begin to dream...
Imagine a distribution company that has a compensation plan available in a tiered, hierarchal structure. One where nearly all of the profit was shared with those who marketed the products. They would have consumables to begin with. Such things as energy drinks (no, not Xs) and food bars of some kind. They would be high quality, taste good and are healthy to boot. They would sign exclusive and non-exclusive contracts with product companies and online distribution sites to participate in the large network of marketers. As the volume grew, they would aggressively seek other companies to partner with and have new products available. The central ordering site would be simple, clean and effective.
Imagine a team that focused on leadership and personal development as a basis for an internet based business. They would use the proven Team Approach pioneered by Orrin Woodward and Chris Bady. They would be led by such industry giants as Orrin Woodward, Chris Bady, Don Wilson, Randy Haugen, Chuck Goetschel, Billy Florence, Tim Marks, Chuck Cullen, Kirk Birtles, Jim Martin, Aaron Radosa, David Brandy, Benjamin L. Dickie, Bruce Gilbank, Mike Martensen, Ron Simmons, Matt Abraham, Larry VanBuskirk, Jeff Granger, Joe Darkangelo, Mike Jones, Joe Gregorski, and Mike Gowen. These men not only have a proven track record, they have also showed integrity. They risked everything, to do the right thing.
Imagine ten levels in depth every month, with volume flowing like honey. Retailing would be as easy as showing the price and convenience advantages of the distribution company. Each month volume explodes in each team. The system developed by Orrin and Chris would be its worth beyond measure at this point. People would be registering and being "successful" so quickly that without the system to help teach them principles to manage their teams and newfound wealth, they would quickly collapse.
Imagine days that make the TEAM-Quixtar, Haugen-Quixtar or Yager-Quixtar glory days look like child's play. The new Team would go from 50,000 to 250,000 to 1 million people faster than we've ever seen growth before.
The pieces are falling into place. Let's not just dream about it. Let's get to work.
Imagine a distribution company that has a compensation plan available in a tiered, hierarchal structure. One where nearly all of the profit was shared with those who marketed the products. They would have consumables to begin with. Such things as energy drinks (no, not Xs) and food bars of some kind. They would be high quality, taste good and are healthy to boot. They would sign exclusive and non-exclusive contracts with product companies and online distribution sites to participate in the large network of marketers. As the volume grew, they would aggressively seek other companies to partner with and have new products available. The central ordering site would be simple, clean and effective.
Imagine a team that focused on leadership and personal development as a basis for an internet based business. They would use the proven Team Approach pioneered by Orrin Woodward and Chris Bady. They would be led by such industry giants as Orrin Woodward, Chris Bady, Don Wilson, Randy Haugen, Chuck Goetschel, Billy Florence, Tim Marks, Chuck Cullen, Kirk Birtles, Jim Martin, Aaron Radosa, David Brandy, Benjamin L. Dickie, Bruce Gilbank, Mike Martensen, Ron Simmons, Matt Abraham, Larry VanBuskirk, Jeff Granger, Joe Darkangelo, Mike Jones, Joe Gregorski, and Mike Gowen. These men not only have a proven track record, they have also showed integrity. They risked everything, to do the right thing.
Imagine ten levels in depth every month, with volume flowing like honey. Retailing would be as easy as showing the price and convenience advantages of the distribution company. Each month volume explodes in each team. The system developed by Orrin and Chris would be its worth beyond measure at this point. People would be registering and being "successful" so quickly that without the system to help teach them principles to manage their teams and newfound wealth, they would quickly collapse.
Imagine days that make the TEAM-Quixtar, Haugen-Quixtar or Yager-Quixtar glory days look like child's play. The new Team would go from 50,000 to 250,000 to 1 million people faster than we've ever seen growth before.
The pieces are falling into place. Let's not just dream about it. Let's get to work.
TEAM: Team Becomes a Leadership Development Service Provider
Original Source
Team,
Consistent with recent court proceedings and in accordance with our overall vision for impacting people’s lives in the most compelling way, the TEAM is pleased to announce that we are officially broadening our scope and becoming a full-scale Leadership Development Service Provider (LDSP) open to anyone desiring to grow in their leadership abilities.
This means that we will no longer be providing any materials, registration documents, training aids, or events related to any specific business, company, enterprise or opportunity. As the TEAM moves forward, our goal is to impart leadership skills and principles so that people can flourish in their jobs, families, interpersonal relationships, businesses, churches and communities.
In line with this, we will be offering a full spectrum of life coaching and leadership development materials and events of the same high quality and relevance you’ve come to expect. For instance this October the Hachette (Time Warner) release of Launching a Leadership Revolution by Chris Brady and Orrin Woodward will initiate a flurry of new activity and materials.
Many of these will be rolled out at the Fall Leadership Convention in October. Orrin and Chris will be making appearances around the nation nearly every weekend from October through January to teach the principles covered in their book. Consistent with the above mentioned guidelines, all Tuesday night meetings, monthly seminars, and leadership conventions will run as scheduled. We are excited about the new direction we are heading and the broadening of our services to a wider audience.
As John Maxwell says, "Everything rises and falls on leadership." The Team organization looks forward to assisting you in every possible way as you develop your leadership ability.
Robert L. Dickie III
Team
Chief Executive Officer
Team,
Consistent with recent court proceedings and in accordance with our overall vision for impacting people’s lives in the most compelling way, the TEAM is pleased to announce that we are officially broadening our scope and becoming a full-scale Leadership Development Service Provider (LDSP) open to anyone desiring to grow in their leadership abilities.
This means that we will no longer be providing any materials, registration documents, training aids, or events related to any specific business, company, enterprise or opportunity. As the TEAM moves forward, our goal is to impart leadership skills and principles so that people can flourish in their jobs, families, interpersonal relationships, businesses, churches and communities.
In line with this, we will be offering a full spectrum of life coaching and leadership development materials and events of the same high quality and relevance you’ve come to expect. For instance this October the Hachette (Time Warner) release of Launching a Leadership Revolution by Chris Brady and Orrin Woodward will initiate a flurry of new activity and materials.
Many of these will be rolled out at the Fall Leadership Convention in October. Orrin and Chris will be making appearances around the nation nearly every weekend from October through January to teach the principles covered in their book. Consistent with the above mentioned guidelines, all Tuesday night meetings, monthly seminars, and leadership conventions will run as scheduled. We are excited about the new direction we are heading and the broadening of our services to a wider audience.
As John Maxwell says, "Everything rises and falls on leadership." The Team organization looks forward to assisting you in every possible way as you develop your leadership ability.
Robert L. Dickie III
Team
Chief Executive Officer
Sunday, September 9, 2007
TEAM: TEAM RESIGNATIONS ADD UP
Original Post
TEAM RESIGNATIONS ADD UP
Sunday, September 9, 2007
As many of you know already Larry VanBuskirk, Jeff Granger, and Matt Abraham resigned from Quixtar last week. In the last twenty-four hours I have also heard that Joe Darkangelo, Mike Jones, Tom Cullen, Joe Gregorski, and Mike Gowen have also resigned. It sounds as though the roof is caving in on Quixtar. I am sure these resignations will pave the way for a mass exodus. All of the above leaders are very well respected and their departure is sure to influence others to follow suit.
Posted by The IBO Rebellion at 6:30 PM
TEAM RESIGNATIONS ADD UP
Sunday, September 9, 2007
As many of you know already Larry VanBuskirk, Jeff Granger, and Matt Abraham resigned from Quixtar last week. In the last twenty-four hours I have also heard that Joe Darkangelo, Mike Jones, Tom Cullen, Joe Gregorski, and Mike Gowen have also resigned. It sounds as though the roof is caving in on Quixtar. I am sure these resignations will pave the way for a mass exodus. All of the above leaders are very well respected and their departure is sure to influence others to follow suit.
Posted by The IBO Rebellion at 6:30 PM
Thursday, September 6, 2007
TEAM: What the Amway Plan Might Look Like (Video)
UPDATE: I posted the video because I thought it was a humorous look at what the plan *might* look like after all the proposed changes (I particularly like the quote about the "Choices" catalog). Several people have complained that it was objectionable. So I have removed the video and provided a link to it.
Video on YouTube
Video on YouTube
TEAM: Filing of More Than 1,400 IBO Affidavits in Support of Mighty 15
Original Source
PLAINTIFFS BOLSTERED BY AFFIDAVITS
September 06, 2007 10:26 AM Eastern Daylight Time
Ex-Quixtar Distributors Represented by Shughart, Thomson & Kilroy Announce the Filing of More Than 1,400 IBO Affidavits in Support of Plaintiffs
Affidavits From 26 U.S. States and Canada Illustrate Assertion That Quixtar Encourages Distributors to Self-Consume Overpriced Products
LOS ANGELES--(BUSINESS WIRE)--The group of top ex-Quixtar, Inc. distributors that brought suit against the company on August 9 announced today that more than 1,400 affidavits of current and former Independent Business Owners (IBOs) were filed Tuesday night in Federal Court in Los Angeles in support of the plaintiffs’ motion for preliminary injunction.
The affidavits provide further evidence to support claims from the plaintiffs’ Tuesday Los Angeles filing, including that IBOs are unable to retail Quixtar’s products due to dramatic overpricing. The statements also allege that distributors are then forced to purchase Quixtar’s products themselves in order to qualify for bonuses, a practice commonly encouraged by the company.
“The language throughout the affidavits makes it clear that these IBOs really wanted to make this business work for them, but the product pricing – among other factors – just wouldn’t allow it,” said D.J. Poyfair, attorney for Denver-based Shughart, Thomson & Kilroy, the firm representing the former distributors in the original federal lawsuit.
Affidavits were executed by IBOs in 26 U.S. states and Canada, with more than 800 from Michigan, nearly 200 from Ohio and more than 150 from California.
Below is a cross-section of statements taken from the affidavits written by IBOs across the nation regarding Quixtar’s questionable business practices.
“Buying edible or non-edible items for a price that is above what a brick and mortar store sells them for, is in my opinion, like throwing your money away.” (Virginia)
“I have been unable to resell any product to non-IBOs, thus forced to consume my purchases. I am also [in the top sales performers], and this is incredible.” (Michigan)
“When purchasing products from Quixtar, I only purchase just enough to get my PV [bonus] and the rest at Costco.” (Florida)
“I’ll buy products so that I can hit a higher bracket for the rebates. I first did this because Quixtar would send me emails to buy some of their bracket buster products.” (Florida)
“Quixtar has NEVER asked me for any customer receipts in almost four years. What kind of integrity is that?” (Ohio)
“I believe Quixtar takes advantage of our loyalty to the business to stuff their pockets.” (Ohio)
“I foresee continued ignorance to the real issue and a continued struggle for the IBO who just wants to build their business in a legal, moral and ethical way.” (California)
“Quixtar has a bad reputation in the consumer community, and I am beginning to see why. They are dishonest and unethical, and I cannot and will not be a business associate with them if they continue these practices.” (Ohio)
“Legally, I find Quixtar to be loose and pyramid-like, especially when I see so many of the rules and regulations being fudged.” (Michigan)
About Woodward et al. v. Quixtar, Inc.
On August 9, 2007, a group including eight of the largest Quixtar distributors filed a lawsuit seeking to enjoin Quixtar from enforcing its distributor contracts, including the non-competition and non-solicitation provisions. The plaintiffs allege that the company knowingly operates as a pyramid scheme and prevents its distributors from leaving the organization through the aforementioned provisions. On August 10, 2007, the group sought a preliminary and permanent injunction restraining Quixtar from enforcing or attempting to enforce the non-competition and non-solicitation provisions. More information regarding Woodward v. Quixtar, including relevant court documents, is available at www.FreeTheIBO.com.
Posted by The IBO Rebellion at 2:24 PM
PLAINTIFFS BOLSTERED BY AFFIDAVITS
September 06, 2007 10:26 AM Eastern Daylight Time
Ex-Quixtar Distributors Represented by Shughart, Thomson & Kilroy Announce the Filing of More Than 1,400 IBO Affidavits in Support of Plaintiffs
Affidavits From 26 U.S. States and Canada Illustrate Assertion That Quixtar Encourages Distributors to Self-Consume Overpriced Products
LOS ANGELES--(BUSINESS WIRE)--The group of top ex-Quixtar, Inc. distributors that brought suit against the company on August 9 announced today that more than 1,400 affidavits of current and former Independent Business Owners (IBOs) were filed Tuesday night in Federal Court in Los Angeles in support of the plaintiffs’ motion for preliminary injunction.
The affidavits provide further evidence to support claims from the plaintiffs’ Tuesday Los Angeles filing, including that IBOs are unable to retail Quixtar’s products due to dramatic overpricing. The statements also allege that distributors are then forced to purchase Quixtar’s products themselves in order to qualify for bonuses, a practice commonly encouraged by the company.
“The language throughout the affidavits makes it clear that these IBOs really wanted to make this business work for them, but the product pricing – among other factors – just wouldn’t allow it,” said D.J. Poyfair, attorney for Denver-based Shughart, Thomson & Kilroy, the firm representing the former distributors in the original federal lawsuit.
Affidavits were executed by IBOs in 26 U.S. states and Canada, with more than 800 from Michigan, nearly 200 from Ohio and more than 150 from California.
Below is a cross-section of statements taken from the affidavits written by IBOs across the nation regarding Quixtar’s questionable business practices.
“Buying edible or non-edible items for a price that is above what a brick and mortar store sells them for, is in my opinion, like throwing your money away.” (Virginia)
“I have been unable to resell any product to non-IBOs, thus forced to consume my purchases. I am also [in the top sales performers], and this is incredible.” (Michigan)
“When purchasing products from Quixtar, I only purchase just enough to get my PV [bonus] and the rest at Costco.” (Florida)
“I’ll buy products so that I can hit a higher bracket for the rebates. I first did this because Quixtar would send me emails to buy some of their bracket buster products.” (Florida)
“Quixtar has NEVER asked me for any customer receipts in almost four years. What kind of integrity is that?” (Ohio)
“I believe Quixtar takes advantage of our loyalty to the business to stuff their pockets.” (Ohio)
“I foresee continued ignorance to the real issue and a continued struggle for the IBO who just wants to build their business in a legal, moral and ethical way.” (California)
“Quixtar has a bad reputation in the consumer community, and I am beginning to see why. They are dishonest and unethical, and I cannot and will not be a business associate with them if they continue these practices.” (Ohio)
“Legally, I find Quixtar to be loose and pyramid-like, especially when I see so many of the rules and regulations being fudged.” (Michigan)
About Woodward et al. v. Quixtar, Inc.
On August 9, 2007, a group including eight of the largest Quixtar distributors filed a lawsuit seeking to enjoin Quixtar from enforcing its distributor contracts, including the non-competition and non-solicitation provisions. The plaintiffs allege that the company knowingly operates as a pyramid scheme and prevents its distributors from leaving the organization through the aforementioned provisions. On August 10, 2007, the group sought a preliminary and permanent injunction restraining Quixtar from enforcing or attempting to enforce the non-competition and non-solicitation provisions. More information regarding Woodward v. Quixtar, including relevant court documents, is available at www.FreeTheIBO.com.
Posted by The IBO Rebellion at 2:24 PM
TEAM: What is Team?
What is Team?
Each of us are called upon to be leaders at different times in our lives, whether at home, at church, in our communities, at work, or in a business. The TEAM is a leadership development service provider (LDSP) designed to help individuals learn leadership principles, grow in their personal leadership abilities, and develop other leaders. The TEAM is not affiliated with any particular company, business, opportunity or enterprise.
Each of us are called upon to be leaders at different times in our lives, whether at home, at church, in our communities, at work, or in a business. The TEAM is a leadership development service provider (LDSP) designed to help individuals learn leadership principles, grow in their personal leadership abilities, and develop other leaders. The TEAM is not affiliated with any particular company, business, opportunity or enterprise.
Wednesday, September 5, 2007
QRIELLY: Indenture vs. Independence
Original Source
Indenture vs. Independence
Funny how this works...these two words...Indenture and Independence... reside side by side in Webster's New World Dictionary. Check out these definitions:
Indenture - a contract binding a person to work for another person for a given length of time, as an apprentice to a master.
Independence - freedom from the influence, control, or determination of another or others.
Now here's the question. When did we transition from Independent Business Owners to Indentured Business Owners?
Here is the answer: 2003
Before 2003 Quixtar had no clause in any rule book, manual or contract forcing us to be indentured. Here is the rub...they slid this indentured...uh...I mean..."no-compete" clause in without letting ANYBODY know! Say it ain't so! You mean to tell me this Goliath of a corporation with all their attorneys allowed the contract to be changed without informing business owners? Yep. But it gets worse...they then proceeded to "Auto-Renew" every business owner at the levels of Silver and above! They in essence took the top producers and signed the new contract for them! Nice work big Q. Here...I'll hold the pencil...you move the paper. But, on the chance that I might actually SEE what I am signing, make sure you blindfold me first. I would love to know who is responsible for this!
Does ANYBODY even know that they are locked into this thing? Probably not. The contract that new IBOs sign says NOTHING about a no-compete. Once you are locked in, you can take a couple weeks off from work and isolate yourself in a quiet place to scour through the manual where you may be able to locate the rule if you are specifically looking for it...maybe not. Even if you did locate it...its a bit late isn't it. Anybody remember that Tom Cruise flick "The Firm"? "Mitch...no one EVER leaves the firm!" Not alive anyway!
Follow this logic...I get started with the big Q. I unknowingly sign up to be Indentured. I become disatisfied with the direction the big Q is taking. I decide to resign, and they quickly accept my resignation with the following statement..."We accept your resignation and we would like to take this opportunity to remind you of rule 4.6.2 which states 'You got your family and friends into this, but we own them now. If you try to talk to them, you are at legal and regulatory risk.' " They follow this up with a note to my family and friends that states 'Q'Reilly has violated our rules for years and we terminated him today. If you talk to him, you may be at legal and regulatory risk." Wow...that makes for a quiet Thanksgiving dinner!
See how that works?! I mean...who built your business? Right...you did. Who owns your business? Right...they do.
Indenture vs. Independence
Funny how this works...these two words...Indenture and Independence... reside side by side in Webster's New World Dictionary. Check out these definitions:
Indenture - a contract binding a person to work for another person for a given length of time, as an apprentice to a master.
Independence - freedom from the influence, control, or determination of another or others.
Now here's the question. When did we transition from Independent Business Owners to Indentured Business Owners?
Here is the answer: 2003
Before 2003 Quixtar had no clause in any rule book, manual or contract forcing us to be indentured. Here is the rub...they slid this indentured...uh...I mean..."no-compete" clause in without letting ANYBODY know! Say it ain't so! You mean to tell me this Goliath of a corporation with all their attorneys allowed the contract to be changed without informing business owners? Yep. But it gets worse...they then proceeded to "Auto-Renew" every business owner at the levels of Silver and above! They in essence took the top producers and signed the new contract for them! Nice work big Q. Here...I'll hold the pencil...you move the paper. But, on the chance that I might actually SEE what I am signing, make sure you blindfold me first. I would love to know who is responsible for this!
Does ANYBODY even know that they are locked into this thing? Probably not. The contract that new IBOs sign says NOTHING about a no-compete. Once you are locked in, you can take a couple weeks off from work and isolate yourself in a quiet place to scour through the manual where you may be able to locate the rule if you are specifically looking for it...maybe not. Even if you did locate it...its a bit late isn't it. Anybody remember that Tom Cruise flick "The Firm"? "Mitch...no one EVER leaves the firm!" Not alive anyway!
Follow this logic...I get started with the big Q. I unknowingly sign up to be Indentured. I become disatisfied with the direction the big Q is taking. I decide to resign, and they quickly accept my resignation with the following statement..."We accept your resignation and we would like to take this opportunity to remind you of rule 4.6.2 which states 'You got your family and friends into this, but we own them now. If you try to talk to them, you are at legal and regulatory risk.' " They follow this up with a note to my family and friends that states 'Q'Reilly has violated our rules for years and we terminated him today. If you talk to him, you may be at legal and regulatory risk." Wow...that makes for a quiet Thanksgiving dinner!
See how that works?! I mean...who built your business? Right...you did. Who owns your business? Right...they do.
THEIBOREBELLION: TEXAS SIZED VICTORY FOR TEAM
Original Source
TEXAS SIZED VICTORY FOR TEAM
On Tuesday, September 4th a Texas judge issued a TRO against Quixtar. The order bars Quixtar from a myriad of destructive and undermining activities they have engaged in. Quixtar is required to remove any and all items that disparage TEAM, its IBO's, it's training system, and it methods from its Alticor Media Blog. This order also covered any of the other sites Quixtar has it's hand in. Quixtar has also been ordered to send an email to every IBO in North America, informing them of this order. Quixtar has 24 hours after being served with this order to comply.
Click here to read the order
TEXAS SIZED VICTORY FOR TEAM
On Tuesday, September 4th a Texas judge issued a TRO against Quixtar. The order bars Quixtar from a myriad of destructive and undermining activities they have engaged in. Quixtar is required to remove any and all items that disparage TEAM, its IBO's, it's training system, and it methods from its Alticor Media Blog. This order also covered any of the other sites Quixtar has it's hand in. Quixtar has also been ordered to send an email to every IBO in North America, informing them of this order. Quixtar has 24 hours after being served with this order to comply.
Click here to read the order
TEAM: Resignation of Matt Abraham
Original Source
To: Quixtar c/o Kathryn Vincent (kathryn_vincent@quixtar.com) CC: Jeff and Barb Granger, Upline Platinum or above.
Effective today, September 5, 2007, I hereby resign my Independent Business with Quixtar. For many many reasons, Quixtar-Amway-Alticor has caused me to doubt its legitimacy, its leadership, and its intentions toward business owners such as myself.
My resignation is made pursuant to Quixtar's Rules of Conduct:3.11. Resignation: An IBO may resign his or her IB at any time by appropriately communicating to the Corporation and sending a copy of such communication to his or her Sponsor or firstupline IBO who has attained a higher award level, such as Platinum, Ruby, etc.
Signed,Matt and Cheryl Abraham
To: Quixtar c/o Kathryn Vincent (kathryn_vincent@quixtar.com) CC: Jeff and Barb Granger, Upline Platinum or above.
Effective today, September 5, 2007, I hereby resign my Independent Business with Quixtar. For many many reasons, Quixtar-Amway-Alticor has caused me to doubt its legitimacy, its leadership, and its intentions toward business owners such as myself.
My resignation is made pursuant to Quixtar's Rules of Conduct:3.11. Resignation: An IBO may resign his or her IB at any time by appropriately communicating to the Corporation and sending a copy of such communication to his or her Sponsor or firstupline IBO who has attained a higher award level, such as Platinum, Ruby, etc.
Signed,Matt and Cheryl Abraham
Tuesday, September 4, 2007
QUIXTAR: Moving Product
Original Source
Moving Product
Tuesday, September 04, 2007 by Ray Alexander
It probably goes without saying that Quixtar offers a business opportunity that allows people to have a business of their own based on product sales and sharing the opportunity with others who will do the same. As some have said that Quixtar's products can be difficult to sell, I want to talk a minute to talk about product sales, and what Quixtar is doing to make product sales easier than ever before. This is a good follow-up to previous discussions about the target audience (Not Wal-Mart And Never Want To Be, 8/31).
Quixtar IBOs are obviously adept at selling product, as Quixtar is one of the largest retailers on the web. Quixtar Independent Business Owners (IBOs) generated more than $1.118 billion in product sales at www.quixtar.com in 2006, the fourth consecutive year in which the company surpassed the billion-dollar mark. Quixtar also has been ranked for the past four years by Internet Retailer magazine as the top online retailer in the Health & Beauty (H&B) category, placing 22 nd overall based on web-generated sales.
While Quixtar has experienced great success in selling product, the premium pricing for some products can make it a challenge. Nutrilite® Double X® , for example, is a top-quality multivitamin. It requires some education to help a customer understand its benefits and why it's worth a higher price than a cheaper multivitamin they might be able to pick up at their corner drug store.
The Artistry® Time Defiance Skin Care System, for another example, is not intended to compete with other skin care brands on the basis of the lowest price. It's designed to appeal to those who are knowledgeable about skin care and looking to make an investment in their skin. It may take time and education to help a customer make the decision to purchase.
While we stand behind products that require a higher level of knowledge and commitment on the part of the customer, Quixtar is committed to making it easier than ever for IBOs to sell products. We are focusing efforts on Health, Skin Care, and Gift as areas of retail specialization. We're working to provide everything an IBO needs to sell these products. This starts with products consumers want to buy, includes merchandising resources and training that help IBOs attract customers, and is supported with integrated consumer programs, events, and advertising.
To support these retailing initiatives, in 2007 we are launching a number of new products and newly packaged and priced versions of existing products, such as:
· The new Nutrilite Daily Multivitamin 90-day supply (as opposed to the 180-day supply). At just 12.5 cents a day, customers can easily compare Daily to popular competitors, while still getting the natural plant benefits that set Nutrilite apart.
· The new Nutrilite ClearGuard™. Helps balance histamine production, and a clinical study found it helped to support clear noses in three days or less. Rhodiola and Carb Blocker in new Blister Pack packaging to make it easier to start a selling conversation.
· Sampler packs for ClearGuard and Protein Bars to help IBOs attract potential customers with attention-grabbing products that are highly experiential.
· Inexpensive Artistry lip and hand products that support "Purse-to-Purse" selling.
· Simply Nutrilite, an integrated line of natural, nutrient-rich snacks and drinks, launched on September 1, 2007.
· Artistry Essentials, a new simplified line of skin care and cosmetics launching in November 2007. The products are specifically designed to meet the needs of today's woman who wants to care for her skin and enhance her natural beauty, yet doesn't have the time, expertise or patience for overly complex products and routines.
In addition to supporting IBO retailing efforts with product initiatives and merchandising support, we are also rewarding and encourage retail sales like never before. New IBOs can receive free shipping on orders of selected products over $75 and the opportunity to earn $50 each month for their first full three months in the business. The $50 is earned by generating 150 PV each month, including at least 50 PV from retail sales to non-IBOs. Additionally, to reinforce the value of customer sales Quixtar is offering a PV uplift and free shipping for non-IBO customer orders of selected products over $75.
I think it is obvious ... there is a lot happening within Quixtar, and selling product is getting easier every day.
Moving Product
Tuesday, September 04, 2007 by Ray Alexander
It probably goes without saying that Quixtar offers a business opportunity that allows people to have a business of their own based on product sales and sharing the opportunity with others who will do the same. As some have said that Quixtar's products can be difficult to sell, I want to talk a minute to talk about product sales, and what Quixtar is doing to make product sales easier than ever before. This is a good follow-up to previous discussions about the target audience (Not Wal-Mart And Never Want To Be, 8/31).
Quixtar IBOs are obviously adept at selling product, as Quixtar is one of the largest retailers on the web. Quixtar Independent Business Owners (IBOs) generated more than $1.118 billion in product sales at www.quixtar.com in 2006, the fourth consecutive year in which the company surpassed the billion-dollar mark. Quixtar also has been ranked for the past four years by Internet Retailer magazine as the top online retailer in the Health & Beauty (H&B) category, placing 22 nd overall based on web-generated sales.
While Quixtar has experienced great success in selling product, the premium pricing for some products can make it a challenge. Nutrilite® Double X® , for example, is a top-quality multivitamin. It requires some education to help a customer understand its benefits and why it's worth a higher price than a cheaper multivitamin they might be able to pick up at their corner drug store.
The Artistry® Time Defiance Skin Care System, for another example, is not intended to compete with other skin care brands on the basis of the lowest price. It's designed to appeal to those who are knowledgeable about skin care and looking to make an investment in their skin. It may take time and education to help a customer make the decision to purchase.
While we stand behind products that require a higher level of knowledge and commitment on the part of the customer, Quixtar is committed to making it easier than ever for IBOs to sell products. We are focusing efforts on Health, Skin Care, and Gift as areas of retail specialization. We're working to provide everything an IBO needs to sell these products. This starts with products consumers want to buy, includes merchandising resources and training that help IBOs attract customers, and is supported with integrated consumer programs, events, and advertising.
To support these retailing initiatives, in 2007 we are launching a number of new products and newly packaged and priced versions of existing products, such as:
· The new Nutrilite Daily Multivitamin 90-day supply (as opposed to the 180-day supply). At just 12.5 cents a day, customers can easily compare Daily to popular competitors, while still getting the natural plant benefits that set Nutrilite apart.
· The new Nutrilite ClearGuard™. Helps balance histamine production, and a clinical study found it helped to support clear noses in three days or less. Rhodiola and Carb Blocker in new Blister Pack packaging to make it easier to start a selling conversation.
· Sampler packs for ClearGuard and Protein Bars to help IBOs attract potential customers with attention-grabbing products that are highly experiential.
· Inexpensive Artistry lip and hand products that support "Purse-to-Purse" selling.
· Simply Nutrilite, an integrated line of natural, nutrient-rich snacks and drinks, launched on September 1, 2007.
· Artistry Essentials, a new simplified line of skin care and cosmetics launching in November 2007. The products are specifically designed to meet the needs of today's woman who wants to care for her skin and enhance her natural beauty, yet doesn't have the time, expertise or patience for overly complex products and routines.
In addition to supporting IBO retailing efforts with product initiatives and merchandising support, we are also rewarding and encourage retail sales like never before. New IBOs can receive free shipping on orders of selected products over $75 and the opportunity to earn $50 each month for their first full three months in the business. The $50 is earned by generating 150 PV each month, including at least 50 PV from retail sales to non-IBOs. Additionally, to reinforce the value of customer sales Quixtar is offering a PV uplift and free shipping for non-IBO customer orders of selected products over $75.
I think it is obvious ... there is a lot happening within Quixtar, and selling product is getting easier every day.
QUIXTAR: Brief Responds to Lawsuit
Original Source
Brief Responds to Lawsuit
Tuesday, September 04, 2007 by Beth Dornan
Check out Quixtar's brief filed in California last week in response to a lawsuit filed by several IBO leaders.
brief filed in California last week in response to a lawsuit filed by several IBO leaders.
Brief Responds to Lawsuit
Tuesday, September 04, 2007 by Beth Dornan
Check out Quixtar's brief filed in California last week in response to a lawsuit filed by several IBO leaders.
brief filed in California last week in response to a lawsuit filed by several IBO leaders.
QUIXTAR: Quixtar's Dispute Resolution Process
Original Source
Quixtar's Dispute Resolution Process
Tuesday, September 04, 2007 by Gary VanderVen
As Director of Business Conduct & Rules for Quixtar, I’m obviously familiar with all the debate that surrounds our rules, the questions often asked about them, and the ways in which they sometimes violated.
But let me say that the vast majority of Quixtar Independent Business Owners operate their businesses ethically and within the bounds of our Rules of Conduct. And the vast majority of those in violation of our Rules often find themselves there unwittingly – they simply didn’t know that they were even breaking a rule. With training and education, we usually easily bring IBOs back into compliance and see them go on to build their businesses stronger than before.
But when Quixtar and an IBO cannot agree on a Rules action, we have a process in place to bring resolution to the situation. We use a comprehensive dispute resolution process that’s shared with all IBOs. In fact, all IBOs must agree to participate in this process to resolve any disputes that may arise relating to their businesses. The process includes comprehensive conciliation and binding arbitration to seek resolution of issues. These provide an effective, timely way for those who feel they have been wronged to have their arguments heard and addressed.
All companies face the potential for disputes - from employees, suppliers, customers, and, in Quixtar's case, the hundreds of thousands of IBOs it supports. Increasingly, companies recognize that arbitration provides an alternative to the time, expense, and adverse business consequences of traditional litigation.
Essentially, arbitration is a contract between two or more parties to settle disagreements in a certain way. Most arbitration agreements are administered by an impartial third party, such as the American Arbitration Association or Judicial Arbitration and Mediation Services (JAMS). The arbitrator reads briefs and documentary evidence, hears testimony, examines evidence, and renders an opinion on liability and damages in the form of an "award of the arbitrator" after the hearing. Once confirmed by a court of appropriate jurisdiction, the award can be subsequently entered as a judgment.
The Quixtar ADR process allows the parties to use a JAMS arbitrator who has received training, and therefore has some familiarity with Quixtar’s MLM business. This allows the parties to save time and money educating the arbitrator on basic elements of an MLM business. However, either party to the dispute can elect to have an arbitrator who has no prior experience with the Quixtar business.
Quixtar's dispute resolution process was created many years ago in cooperation with the Independent Business Owners Association International trade organization representing all Quixtar IBOs.
Quixtar's Dispute Resolution Process
Tuesday, September 04, 2007 by Gary VanderVen
As Director of Business Conduct & Rules for Quixtar, I’m obviously familiar with all the debate that surrounds our rules, the questions often asked about them, and the ways in which they sometimes violated.
But let me say that the vast majority of Quixtar Independent Business Owners operate their businesses ethically and within the bounds of our Rules of Conduct. And the vast majority of those in violation of our Rules often find themselves there unwittingly – they simply didn’t know that they were even breaking a rule. With training and education, we usually easily bring IBOs back into compliance and see them go on to build their businesses stronger than before.
But when Quixtar and an IBO cannot agree on a Rules action, we have a process in place to bring resolution to the situation. We use a comprehensive dispute resolution process that’s shared with all IBOs. In fact, all IBOs must agree to participate in this process to resolve any disputes that may arise relating to their businesses. The process includes comprehensive conciliation and binding arbitration to seek resolution of issues. These provide an effective, timely way for those who feel they have been wronged to have their arguments heard and addressed.
All companies face the potential for disputes - from employees, suppliers, customers, and, in Quixtar's case, the hundreds of thousands of IBOs it supports. Increasingly, companies recognize that arbitration provides an alternative to the time, expense, and adverse business consequences of traditional litigation.
Essentially, arbitration is a contract between two or more parties to settle disagreements in a certain way. Most arbitration agreements are administered by an impartial third party, such as the American Arbitration Association or Judicial Arbitration and Mediation Services (JAMS). The arbitrator reads briefs and documentary evidence, hears testimony, examines evidence, and renders an opinion on liability and damages in the form of an "award of the arbitrator" after the hearing. Once confirmed by a court of appropriate jurisdiction, the award can be subsequently entered as a judgment.
The Quixtar ADR process allows the parties to use a JAMS arbitrator who has received training, and therefore has some familiarity with Quixtar’s MLM business. This allows the parties to save time and money educating the arbitrator on basic elements of an MLM business. However, either party to the dispute can elect to have an arbitrator who has no prior experience with the Quixtar business.
Quixtar's dispute resolution process was created many years ago in cooperation with the Independent Business Owners Association International trade organization representing all Quixtar IBOs.
Monday, September 3, 2007
SAVEUSDICKDEVOS: Sales and Ownership
Original Source
Monday, September 3, 2007
Sales and Ownership
We are worried Mr. DeVos. There are thousands of IBOs across North America who are reading very disturbing things regarding this dust up with the Team. Good people, who trusted your good name implicitly, are beginning to find shards of buried stories here and there which prick our consciousness and cause us distress.
For instance, there are many posts which claim that Quixtar itself has stated that only 3.4% of their total sales are retail sales when the FTC rule is that 10% of total sales must be retailed, or there may be cause to rule the business an illegal pyramid. Please tell us 3.4% is not true! Come out with a public statement and quash these rumors! Each day you delay erodes what little trust remains.
Almost half of the IBOAI board resigned. Then, those remaining sued those that left to keep the information about sales quiet. If there was nothing to hide, why would they do that?
My family and I depend on my Quixtar income. Mr. DeVos, please assure me that it is safe!
Mr. VanderVen, why don't you simply enforce the rules you promulgated to ensure compliance? Why haven't you done that? The longer this PR nightmare goes on, the more it seems to us that the Company and the IBOAI board are trying to bury these Team people to cover up what's really been happening.
If what these Team people are saying is not true, then why is the company so defensive and belligerent? Why not just tell us the truth? Lay out the numbers and the Team leaders will look ridiculous.
And the matter of "owning the IBOs" is particularly galling. Your attorney said: "Bottom line, Judge, there’s irreparable harm here. This is a huge downline organization. And it’s being plundered. It’s Quixtar’s property."
And, your attorney said the Line of Sponsorship is also Quixtar's property; somehow confidential and proprietary.
“We’re here today to protect the line of sponsorship information, the confidential and proprietary line of sponsorship information that’s Quixtar’s.”
“ . . . the data management rule . . . it’s the information compiled by the company that discloses or relates to all or part of the specific arrangement of sponsorship within the Quixtar business, including without limitation IBO lists, sponsorship trees, and all IBO or IB information generated therefrom. This constitutes Quixtar’s proprietary information, your Honor, and this is very important information, because this is basically the heart and soul of Quixtar’s business.”
Really?!
Contrast that with what your dad said a few years ago in "Success" magazine:
"He [an Amway distributor] owns his own business. It's part of the estate that he'll pass on to his children. It includes a network of thousands that produces an income whether he's dead or alive. That drives his motivation to succeed." - Rich DeVos
Has something changed Mr. DeVos? I thought I owned my business, and so do thousands of other IBOs. I believed your dad! I thought my business included a network of people that I have laboured over many years to build - just like your dad said. Your executives and your attorneys did not build that network. I did. If something has changed, don't you think you owe us an announcement or an explanation? Your new "Rules of Conduct" seem stifling and draconian. Please elucidate. Do you own us or not?
Mr. DeVos, Mr. VanAndel, only you and your families can assure us now. Please, please, do so quickly. We are depending on your candor and your honor! As William Shakespeare said, "No legacy is so rich as honesty."
Posted by S. Adams at 11:06 AM
Monday, September 3, 2007
Sales and Ownership
We are worried Mr. DeVos. There are thousands of IBOs across North America who are reading very disturbing things regarding this dust up with the Team. Good people, who trusted your good name implicitly, are beginning to find shards of buried stories here and there which prick our consciousness and cause us distress.
For instance, there are many posts which claim that Quixtar itself has stated that only 3.4% of their total sales are retail sales when the FTC rule is that 10% of total sales must be retailed, or there may be cause to rule the business an illegal pyramid. Please tell us 3.4% is not true! Come out with a public statement and quash these rumors! Each day you delay erodes what little trust remains.
Almost half of the IBOAI board resigned. Then, those remaining sued those that left to keep the information about sales quiet. If there was nothing to hide, why would they do that?
My family and I depend on my Quixtar income. Mr. DeVos, please assure me that it is safe!
Mr. VanderVen, why don't you simply enforce the rules you promulgated to ensure compliance? Why haven't you done that? The longer this PR nightmare goes on, the more it seems to us that the Company and the IBOAI board are trying to bury these Team people to cover up what's really been happening.
If what these Team people are saying is not true, then why is the company so defensive and belligerent? Why not just tell us the truth? Lay out the numbers and the Team leaders will look ridiculous.
And the matter of "owning the IBOs" is particularly galling. Your attorney said: "Bottom line, Judge, there’s irreparable harm here. This is a huge downline organization. And it’s being plundered. It’s Quixtar’s property."
And, your attorney said the Line of Sponsorship is also Quixtar's property; somehow confidential and proprietary.
“We’re here today to protect the line of sponsorship information, the confidential and proprietary line of sponsorship information that’s Quixtar’s.”
“ . . . the data management rule . . . it’s the information compiled by the company that discloses or relates to all or part of the specific arrangement of sponsorship within the Quixtar business, including without limitation IBO lists, sponsorship trees, and all IBO or IB information generated therefrom. This constitutes Quixtar’s proprietary information, your Honor, and this is very important information, because this is basically the heart and soul of Quixtar’s business.”
Really?!
Contrast that with what your dad said a few years ago in "Success" magazine:
"He [an Amway distributor] owns his own business. It's part of the estate that he'll pass on to his children. It includes a network of thousands that produces an income whether he's dead or alive. That drives his motivation to succeed." - Rich DeVos
Has something changed Mr. DeVos? I thought I owned my business, and so do thousands of other IBOs. I believed your dad! I thought my business included a network of people that I have laboured over many years to build - just like your dad said. Your executives and your attorneys did not build that network. I did. If something has changed, don't you think you owe us an announcement or an explanation? Your new "Rules of Conduct" seem stifling and draconian. Please elucidate. Do you own us or not?
Mr. DeVos, Mr. VanAndel, only you and your families can assure us now. Please, please, do so quickly. We are depending on your candor and your honor! As William Shakespeare said, "No legacy is so rich as honesty."
Posted by S. Adams at 11:06 AM
Sunday, September 2, 2007
This Isn't the First Time
This isn't the first time Diamonds or above have left Amway. Bo Short thought it was Dexter Yager's tool system, Internet Services. He tried to change that, but that was only half the story. TEAM improved the tool system dramatically. But Quixtar was still shipping highly priced products.
If you know of any other Diamonds (or above) that have left for similar reasons, please post below. Also, if you know the pin level of the unknowns below, please post a comment. And finally, if you know anything about JR Ridinger, when he left, what his reasons were, etc., please post a comment.
JR Ridinger - Double Diamond
Left ???
Bo Short - Diamond
Andy Andrews - Diamond
Left October 2001
Timeline
Don Storms - Crown Ambassadors
Left 2002?
Don and Ruth Storms (Crown Ambassadors, and I was there when they were recognized for that honor) were with both Manatech and Quixtar when the "non compete" rule went into effect. 90 days after receiving their Crown Ambassadorship, they received their termination papers, with NO warning, due to the "non compete" rule. They are now at a high level with Manatech.
The following left in August 2007
Orrin Woodward - EDC
Chris Brady - Diamond
Randy Haugen - Double Diamond
Don Wilson - Double Diamond
Billy Florence - Diamond
Tim Marks - Diamond
Chuck Goetschel - Diamond
Chuck Cullen -Sapphire?
Kirk Birtles - Sapphire?
Jim Martin - Sapphire?
Aron Radosa - Sapphire?
David Brandy - Platinum?
Benjamin L. Dickie - Platinum?
Bruce Gilbank - Platinum?
Mike Martensen - Platinum?
NOTE: From cat: Tim Marks is the first 31 month Diamond in Quixtar's history, the first to reach Diamond level in all of Amway history, to my knowledge.
UPDATE: Here is a video posted in January:
If you know of any other Diamonds (or above) that have left for similar reasons, please post below. Also, if you know the pin level of the unknowns below, please post a comment. And finally, if you know anything about JR Ridinger, when he left, what his reasons were, etc., please post a comment.
JR Ridinger - Double Diamond
Left ???
Bo Short - Diamond
Andy Andrews - Diamond
Left October 2001
Timeline
Don Storms - Crown Ambassadors
Left 2002?
Don and Ruth Storms (Crown Ambassadors, and I was there when they were recognized for that honor) were with both Manatech and Quixtar when the "non compete" rule went into effect. 90 days after receiving their Crown Ambassadorship, they received their termination papers, with NO warning, due to the "non compete" rule. They are now at a high level with Manatech.
The following left in August 2007
Orrin Woodward - EDC
Chris Brady - Diamond
Randy Haugen - Double Diamond
Don Wilson - Double Diamond
Billy Florence - Diamond
Tim Marks - Diamond
Chuck Goetschel - Diamond
Chuck Cullen -Sapphire?
Kirk Birtles - Sapphire?
Jim Martin - Sapphire?
Aron Radosa - Sapphire?
David Brandy - Platinum?
Benjamin L. Dickie - Platinum?
Bruce Gilbank - Platinum?
Mike Martensen - Platinum?
NOTE: From cat: Tim Marks is the first 31 month Diamond in Quixtar's history, the first to reach Diamond level in all of Amway history, to my knowledge.
UPDATE: Here is a video posted in January:
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