Wednesday, February 6, 2008

QUIXTAR: Bigger and better

Original Source

Bigger and better
February 6th, 2008 @ 8:45 am ET…

Our sales figures for 2007 are out. By the numbers:

we posted $7.1 billion in sales—12 percent more than we made in 2006;
39 out of our 55 Amway markets—emerging and established alike—posted sales increases, with impressive results in Asia, Europe and Latin America; and
it was another billion-dollar year for Quixtar in North America.*
Our direct selling license in China certainly bolstered sales, while our largest overall regional gains came from Europe. And in Latin America, we saw a remarkable 30 percent sales increase as a result of our transformation efforts.

Also of interest: a growing list of celebrities and athletes continue to endorse our products. In non-direct selling news, our wireless charging technology called eCoupled was granted 20 new patents in 2007 alone. And, we opened the ultra-luxurious JW Marriott Grand Rapids, one of only 36 in the world.

One final number: 50. Yes, Amway turns 50 in 2009. The next 50 promise to be just as big, and better than ever.

* Quixtar will share sales specifics in the coming days.


SisterSam said...

Oh goody, sales are up! Whew! What a relief. Oh wait, it's mostly China, formerly Soviet-bloc countries, and Latin America. Hmmm.

If the opportunity is so great, why are they so afraid of a little competition?

gradybunch said...

Congratulations, Quixtar. Don't let the naysayers get under your skin. Ninety-five percent of America will always work for someone else and be mad at everyone else like you who just want to build America bigger. They support America--sometimes unwillingly, but mostly with fervor, sometimes misdirected, yet usually passionate. And thank our lucky stars they do, for who would run the stores and provide services if they didn't. Life's made up of choices; some just can't stand the ones they make.

Anonymous said...

I'm curious! Did you take the legal fees of the bottom line? These lawsuits have to be putting a dent into the profit margin. Or is the 300% mark up designed to absorb legal challenges everywhere in the world? I'm happy you posted a 12% growth in sales this year. It does beg the question ...How does this growth compare to past years? Are you actually keeping pace, or is this a spin on a lower than normal growth period?

I'm concerned that this increase is in jeopardy. Will the 3rd world countries someday become informed enough to realize that your goods and services, although attractive, are grossly overpriced? At some point even the uninformed will start to shop and become disenchanted overpaying for products available at a fair price on other web sites. And what of this rumored new mlm that promises Walmart like pricing on all goods and services? What is being done to stop this raiding of your profits? I see the advertised frivolous lawsuits and illegal subpoenas, but can we really be sure this is going to stop them long term? I also fear they could emerge as a global power showing 3rd world countries a better way. What is your long term strategy to continue to move grossly overpriced goods worldwide?

I'm sorry but this financial report is showing nothing but short term thinking. I don't see you keeping pace with the marketplace, and this head in the sand attitude has your backsides exposed. I can't help be disenchanted by this lack of concern for the above issues. Could you take the time to put my fears to rest?

Anonymous said...

CFO resigns and then earnings are released?

Usually not a good sign.

Anonymous said...

If truly Amway/Quixtar is doing so terrific, why are they paying out their bonuses (finally doing the right thing)in Activa Mutual Funds?

Although these were paid to "out of favor" former IBO's, I am sure it was ruled through arbitration. Q/A has proven that they can't do the right thing for the right reasons.

LUCHADOR said...