Thursday, January 31, 2008

QUIXTAR: A new rule to help IBOs sell more products

Original Source

A new rule to help IBOs sell more products
Thursday, January 31, 2008 by Gary VanderVen

Category: Announcements, Quixtar Strategy, Products, Rules, Innovation
I just want to give IBOs a heads-up about something. As you may know, Quixtar is undertaking an overall business transformation that has as one of its goals, Growth through Innovation. We want to help create awareness of and demand for our products and help more IBOs make more money sooner. One of the first things we are doing is adding a rule to help IBOs sell more products to customers. Detailed information about this new rule will be published and distributed in the February poly-bag (along with the Achieve Magazine).

The change, effective March 1, 2008, will allow IBOs to sell some Quixtar exclusive brands at temporary health or beauty shows or expos and certain kinds of sporting events. Up 'til now, we have approved booths for IBOs who wanted to display and maybe let customers sample some products, but we've never allowed the actual sale of the products. Now, at many events, the display and sale will be allowed. Imagine that! The already existing Booth Rule will stay in effect for other kinds of events where we will continue to allow display-only.

The displays will need to be set up in accordance with Quixtar guidelines and with prior written authorization (we're asking for 30 days' notice) from Quixtar's rules department. We will provide supporting merchandising material on a CD, so IBOs can print off their own, pre-authorized signage or handouts.

What kind of sporting events are we talking about? Marathons, 3-on-3 basketball tournaments, kids soccer tournaments, etc. Events of a limited duration, so it's not like a concession stand at a high-school football field, but, rather, the kind of event where the IBO can get permission from the event organizer/organization to set up a booth and sell some product on the day/days of the event.

This rule change was brought to the IBOAI Board, and they recommended adoption.

We will begin accepting applications for Event Sales March 1. The application form will be available on or by contacting Customer Support or Rules Administration. If you have questions, please contact Rules Administration at 616-787-6712 or by email at

The pending Rule: [Rule 4.3.3.]

4.3.3 Event Sales: The display and sale of health, beauty and sports nutrition products by IBOs only at temporary (no more than 10 days) health and beauty shows and certain kinds of sporting events (e.g.: bike race, marathon, 3-on-3 basketball tournament) are permitted. The following information must be received by the Corporation, in writing, 30 days prior to the event, to allow sufficient time to grant approval. A written description of the type of event (including date of event). Name of the specific product(s) to be displayed and sold. A list of specific literature to be used at the booth or for handouts. Any privately produced material for handouts or display must be sent with the booth request for approval. A signed statement from the Platinum or above IBO accepting responsibility for booth activity and include a list of all names of IBOs staffing the booth. A post-event accounting of total volume sold must be provided to the Corporation by the Platinum if the volume sold is part of the qualifying volume for Silver Producer or above for purposes of verifying 70% Rule compliance.

Wednesday, January 30, 2008

TEAM: Fred Harteis Resigns

Original Source

Statement From Fred Harteis: 01/30/2008

As an IBO I have entered into many discussions concerning issues I have had with Quixtar i.e.: product pricing, the IBO compensation plan, negative on the web. I have been open about my opinions. When the DTI situation became public, I became very concerned about our future, in the USA based on the DTI complaint. I discussed these issues with several people including my attorneys, my leaders, Orrin Woodward and Chris Brady. However I never talked to D.J. Poyfair or anyone from his firm.

In July of 2007 I along with many others were very concerned about our future in business with Quixtar as was consistent in August of 2007.

Although I agree with the issues I would have hoped Orrin and Chris and the others were not terminated on August 9th of 2007 and the lawsuit would have not been served.

I do not have any question of the character of Orrin Woodward or Chris Brady, or doubt their motive to help people. I see them as leaders with a vision and passion to do great things for America and people on their Team.

I have resigned from Quixtar and I am working with Team Leadership. I would like to see Quixtar and Team resolve their differences soon, so everyone can get on with their lives and focus on the future.

Fred Harteis

Tuesday, January 29, 2008


Original Source

Tuesday, January 29, 2008

Here is the latest information regarding the Amway UK case. Amway clearly believes that they should be rewarded for changes they have made to Amway UK. One of these changes was to significantly reduce prices in the UK. Amway claims they have conducted a "global review" of their operations. Why haven't they lowered prices in the North America? Why are prices only reduced under government pressure? Well rumor has it that March will bring some pricing concessions from Quixtar North America. Apparently, the company and the lame duck IBOAI board have been shamed enough to make some changes. I am sure Amway's lack of sincerity will not go unnoticed here or abroad. I would pay particular attention to XS and tea pricing in particular (another story that needs investigated).
U.K. nears decision on possible Amway expulsion
by Chris Knape | The Grand Rapids Press
Monday January 28, 2008, 3:20 PM
ADA TOWNSHIP -- British officials are expected to rule within the next few weeks -- perhaps within days -- on a case that could result in Amway's expulsion from the United Kingdom.

The U.K. government sued Amway and several large distributor groups there last year, accusing the Ada company of misrepresenting its direct-selling business, downplaying the Amway name and making it sound as though distributors didn't need to sell products to make money.

In the wake of the allegations, the company said it launched a global review of its business practices, suspended registration of new distributors in the United Kingdom and banned the sale of distributor-produced motivational products in that country.

The allegations are similar to those that have been made against the company around the world for many years. But the wholesale expulsion is the most serious regulatory action the company has faced since a landmark set of rules designed to prevent pyramid schemes was issued in the wake of a U.S. Federal Trade Commission case against the firm in 1979.

The U.K. case wrapped up Dec. 8. Officials from Amway and its parent company, Alticor Inc. have declined to comment beyond this prepared statement:

"Out of respect for the court and British legal custom we will not comment on the case until we receive the judge's ruling.

"We have engaged in a global review of our operations to ensure that we are operating to the highest standards in all our markets. In the U.K. over the past year we have moved swiftly and invested significantly to make changes in our business model that address the issues the government raised with us back in April 2007.

"We believe the case is unwarranted and unnecessary and fails to recognize the reforms that we have made. And in no way do we accept that the arguments the U.K. government has put forward should lead to the company being shut down in the U.K.

"We'll have more to say -- when the UK process allows us to speak."

It is unclear what the company would do if the government expels the company, though an appeal of the ruling is likely. Sales in the U.K. were a sliver of the $6.3 billion the company said it had in sales during 2006.

But the country is one of the company's oldest foreign markets and such a drastic move by regulators there could spawn calls for similar actions in other countries.

The privately held company is owned by the families of co-founders Rich DeVos and the late Jay Van Andel. Last year it reported sales of $6.3 billion.
Posted by The IBO Rebellion at 2:43 AM

Friday, January 25, 2008

QUIXTAR: While we were out

Original Source

While we were out
January 25th, 2008 @ 4:00 pm ET…

It’s been quiet here lately. Not uneventful—just quiet.

And we apologize if seems we stayed quiet too long. It wasn’t intentional.

There were no big breaking news headlines to bring to you. And there was also at least a little fatigue after months of heated—and healthy—debate on this site. Our friend AMBA even ended up with his arm in a sling.

But we are back, and we will be back more often in weeks to come. For now, let’s catch up on a couple of things.

TEAM: Many of the disputes that occupied this space over the past few months are now in arbitration. Good to see our commitment to arbritration supported by so many courts.

NEVADA: One thing we can mention: As noted in an earlier post, we are pursuing a lawsuit against TEAM in Nevada, the state where the company is incorporated. We think they have a lot to answer for, including their violation of Quixtar’s rights to its LOS. What they are mostly doing in response is trying to wiggle out of answering questions about their plans to harm Quixtar business owners. They can’t wiggle forever.

TEXAS: We noted earlier that we cleaned up in most of the (too many) cases in Texas. More recently, a federal magistrate dissolved a preliminary injunction that had been granted to our friend and correspondent Ron Simmons. Seemed right to us. This case will also now go into arbitration.

But the news in North America isn’t all about conflict — not by a long stretch. ELSWEHERE IN NORTH AMERICA, we:

introduced two new products lines—Simply Nutrilite and Artistry essentials—with ad campaigns;
rolled out a historic $60 million in QBI and offered new benefits like free shipping;
unveiled Quixtar University with an ever-expanding roster of online courses;
redesigned the Quixtar website; and
launched a webcast series to update our IBOs on our transition from Quixtar to Amway Global.
The Opportunity Zone, which turns 1 next week, makes for great conversation on the business.

UK: Closing arguments in the UK trial ended December 8. The court may rule anytime. However, out of respect for the court and British legal custom we will not comment on the case until the judge issues his ruling.

ELSEWHERE IN THE WORLD, we are wrapping up a good fiscal year, and looking forward to sharing the news in a few weeks.

We’re sure there’s more. We’ll be in touch.

Monday, January 21, 2008

QUIXTAR: A Message from the Chairman of the IBOAI Board of Directors

Original Source

A Message from the Chairman of the IBOAI Board of Directors
January 21, 2008

To All IBOs:

The IBOAI was certainly busy last year. 2007 Chairman Jim Janz did an outstanding job negotiating through a myriad of issues and deserves all of our respect. While I don’t feel I can replace Jim, my goal is to maintain the integrity that he brought in 2007. We have a historic opportunity ahead of us, and the "spirit of partnership" between the Field and Quixtar is alive and well.

Last year the Board was able to assist in the creation of the largest compensation increase in the history of this business, and we now have the best compensation plan in this industry. Your 2007 Board worked closely with Quixtar as they introduced Simply Nutrilite (tm) and Artistry® essentials. We established LOS and LOA conference calls to keep the leadership informed on a variety of issues. Last, but certainly not least, your Board began the process of transformation with Quixtar and strives to keep the Field advised of where it stands at all times. None of this would have been possible without the relationship between the Field, the Corporation, and the Founding Families.

As we look to 2008:

Your Board is working with Quixtar to establish a structured communication protocol with the Field to improve understanding on various issues during transformation.
We will work with the Corporation to help insure that accreditation is a win/win for everyone.
Your Board is actively engaged with Quixtar to help all IBOs during their crucial first 90 to 120 days in this business.
Even though the new QBI is only a few months old, we are already examining this program with Quixtar to see if it can be improved. Our goal is that no IBO who is willing to work or is performing will be left behind.
We will continue to provide input on: international businesses; compensation; awards and recognition; products to support your businesses; issues such as back orders; and, most importantly, making the relationship between the company’s owners, North American team, and the Field the best it has ever been.
A quick reminder; the IBOAI Board and staff work for all IBOs in the Field. We will do our very best to make sure you hear from us regularly. We will keep the lines of communication open with the various LOS and LOA leaders. The fantastic IBOAI staff is always available to assist in any way they can.

When Quixtar announced the upcoming name change in June 2007, they titled the announcement: Brand New Day. I believe it accurately describes where we are going. This transformed new business model is not "our Daddy’s Oldsmobile." We are not going back to Amway. We are moving forward to "Amway Global," a business model that will make the world sit up and take notice. Together we will transform this business, partner with the Corporation with even greater enthusiasm, and establish a template for decades to come!

Working together, the best is yet to come,

Bill Hawkins
2008 Chairman
IBOAI Board of Directors

Posted at 01:22 PM

Tuesday, January 15, 2008

TEAM: Orrin hints at the future

Original Source

Orrin Woodward Announcements
by Orrin Woodward on Tue 15 Jan 2008 03:06 PM EST

I have a couple of thoughts to share with everyone. It has been an incredible month in many ways.

1. Congratulations to all the Leadership Blog readers! You have doubled the traffic to this site again and our blog is rated the #26 ranked blog on the Ice Rocket Blog Tracker system. The blog is only 3 months old and it is a tribute to the many readers who shared this blog with others. I am very proud of all of you and blessed to serve such an incredible group of leaders! Can we double the traffic again?

2. In a previous career, I won a National Benchmarking Award for technical benchmarking. I was an engineer at the time at GM and enjoyed benchmarking and the learning associated with it. As part of my continuous life learning assignment, I benchmarked many companies in the MLM/Networking field recently. In another month, I will share the results from my benchmarking study. I developed numerous criteria to determine the best and worst in each category. I believe it is my responsibility to ensure people have the facts to choose wisely in all of life’s decisions. Would a benchmarking study of the MLM/Networking industry be of value to you?

3. Chris Brady and I are contemplating writing an autobiographical book of our leadership experiences over the last five years. We have book publishers encouraging us to write another leadership book and maybe this would be a good topic to teach character based leadership? Do the readers think this would be a good subject for a new book?

Let’s continue to do our personal best in everything we do. There is no limit to what can be accomplished if we all do our best and focus on serving others. As Jesus said, “It is more blessed to give than receive.” When I started this blog—my goal was to give to others, but I have been more blessed by your thoughts and comments. We have a bright future together by focusing on living honorably and serving others. God Bless, Orrin Woodward

Wednesday, January 2, 2008

TEAM: Judge Speaks Out Against Amway/Quixtar/Alticor

Original Source

Judge Speaks Out Against Amway/Quixtar/Alticor
JANUARY 02, 2008

I was surfing through a few web pages this morning and read some interesting information on the IBO Legal Defense Fund website about Judge Keith Anderson who is speaking out against the Amway/Quixtar corporations. The following information appears in the IBO Legal Defense Fund website about Judge Anderson:

Just a year out of Law School, Mr. Anderson was court-appointed to represent an accused armed robber. He refused to honor the demand of his client to subpoena police records Mr. Anderson knew would support perjured testimony of his client, even though the evidence would probably have won the case. The Kansas Supreme Court later saluted Mr. Anderson as modeling proper ethical behavior for an attorney. That case is still used in Law School ethics classes today.

During his 24 years as a State District Court Judge, Judge Anderson gained a reputation of fairness, unquestionable character, and high ethical conduct. He was considered one of the best trial judges in the State of Kansas.

Judge Anderson says "In my opinion, the treatment by AMWAY/Quixtar of former and current Quixtar IBOs in terminating IBOs without following its own Rules of Conduct or, even, its historic treatment of IBO behavior it regards as inappropriate; threatening suspension or termination of IBOs; and on-going use of the legal system to intimidate and control IBO activities violates principles of basic fairness and reeks of injustice in its simplest terms."

This quote by Judge Anderson is quite interesting indeed. This has to be alarming a number of the IBOs in the field that are associated with Quixtar/Amway. Why would a Judge make this type of statement if it were not true?

Posted at 07:45 AM