February 2022 Direct Selling News

DSN

DIRECT SELLING NEWS

VOLUME 18 / ISSUE 2

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FEBRUARY 2022

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THE BRAND EQUITY PLAYBOOK S I M P L E S T R A I G H T F O R WA R D S T E P S TO U P YO U R B R A N D G A M E

BACK TO BASICS /

FOCUSING ON FUNDAMENTALS MAKE LATINOS FALL IN LOVE WITH YOUR BRAND /

CONNECTING WITH THE HISPANIC MARKET MANNATECH /

LEARN FROM THEIR MOMENTUM RENAISSANCE QUIARI /

GOING ALL IN ON GROWTH

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Back to Basics B Y PAU L A D A M S

Make Latinos Fall in Love with Your Brand B Y J U D I T H S Á N C H E Z

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SPOTLIGHTS

Mannatech:

Mannatech’s Momentum Renaissance

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B Y B E T H D O U G L A S S S I LC O X

QuiAri:

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QuiAri Goes All In B Y C O U R T N E Y R O U S H

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John C. Maxwell: The Power of Five B Y PAU L A F E L P S

I N EV ERY ISSU E 6 AD INDEX // 9 FROM THE PUBLISHER // 11 INDUSTRY NEWS // 30 FORWARD THINKING // 83 DSA MESSAGE // 84 SUPPLIER DIRECTORY //

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Three simple, straightforward steps to up your brand game.

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More coverage, new methods I CAN’T BELIEVE WE ARE ALREADY IN THE MONTH OF FEBRUARY—it seems like we just rang in the new year, but maybe time appears to be flying at DSN because we have so many exciting and new initiatives on the horizon for you! Our first-ever live broadcast Tech Summit is happening this month; our membership program is growing by leaps and bounds; and our multimedia approach to covering all the important topics impacting our channel continues to explore new ground!

We’re excited for this month’s cover story which provides you with some straightforward, simple steps you can take to up your brand equity. We’ve shared some insights and information from some brands we think are really leading the charge.

I also encourage you to check out the article from Paul Adams on the importance and the power of getting back to the basic guiding principles of direct selling and unique insights from JAFRA’s Judith Sánchez on how to connect with the Latin market. There are also enlightening company spotlights featuring the renaissance of the 28-year-old company Mannatech and the rise of QuiAri and much more!

We recently launched a new monthly podcast, Iconic Insights hosted by social selling thought leader Heather Chastain.

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The Month in News Affecting Our Channel 12 / Insights 19 / News Watch 20 / Executive Announcements 26 / CCR Program 30 / Forward Thinking

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I N S I G H T S

For the full articles, visit directsellingnews.com/ category/news/

INSIGHTS

WFDSA Chairman: Industry Sales Reached $179 Billion in 2021

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orld Federation of Direct Selling Associations (WFDSA) Chairman Roger Barnett shared a reflection on the industry growth experienced in 2021 and cast vision for 2022 in an online address.

Collective industry sales, Barnett says, grew by 2.3 percent, an increase that amounts to $179 billion. Participants within the industry now total more than 125 million people.

There were also significant regulatory challenges in 2021, and Barnett expressed a commitment to the “ambitious agenda for enhancing the reputation of our industry and moving beyond compliance” that was set last year.

Initiatives regarding Reputation Enhancement, Ethics and Beyond Ethics, and Global Legal and Regulatory are confirmed to be on track and will soon begin to move to their next phases. DSN

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COLLECTIVE INDUSTRY SALES

2.3% GREW BY

THAT AMOUNTS TO AN INCREASE OF

$179

BILLION

PARTICIPANTS WITHIN THE INDUSTRY NOW TOTAL MORE THAN

125

MILLION PEOPLE

BUSINESS MADE EASY MULTIPLE SOLUTIONS ALL FROM ONE APP ONBOARD Keeps new recruits connected Fast tracks time to first sale Guides distributors along their journey

SHARE Equips distributors with sales tools Shows compliant, on brand content Captures new leads and customers

SAMPLE Offers an easy way to acquire customers Provides a simplified experience

SELL Gives structure to your sales system Utilizes the newest sales technologies Helps your distributors win

310-428-9936 info@now-tech.com NOW-Tech.com

/ INDUSTRY NEWS /

I N S I G H T S

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New Study Shows Recognition is the “Secret Sauce” to a Healthy Workplace

R

ecent research by the Achievers Workforce Institute, which included academic study and a survey of 2,000 employees and 1,000 human resources professionals worldwide, pointed to three key drivers necessary for employees to have a sense of wellbeing in the workplace: n Inclusion, acceptance and feeling valued n Feeling part of the team and “being warmly welcomed” n A supportive manager There is, however, a non-negotiable ingredient that the study showed fostered all three drivers of wellbeing: Recognition.

Employees who reported being meaningfully recognized each week were twice as likely to also experience a higher level of physical and mental wellbeing. They were also twice as likely to be skilled at managing stress.

While many company leaders might say they are practiced at providing recognition for team members who participate in wellbeing initiatives, the study points to a wide gap between perception and reality among its top-tier leaders. C-suite executives believed they were recognizing employees well at a higher rate (36 percent), while only 14 percent of senior contributors and 12 percent of junior contributors agreed. DSN

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I N S I G H T S

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The Future Is Password-Free

T

wo new studies are offering insight into the digital habits of Gen Z, a demographic with an estimated $143 billion of direct and indirect buying power.

Gen Z has become a strong adapter of mobile-first technology, but this new data explains how this upcoming generation of consumers do not shop, work or communicate in the same manner their predecessors did.

First of all, passwords are a major obstacle to purchases, says a new study by Transmit Security. According to this data, half of Gen Z shoppers report abandoning their carts if they can’t remember their passwords. This is a major departure from data within other demographics like millennials (16 percent) and baby boomers (4 percent).

While more than 85 percent of Gen Z participants reported using their smartphones for online shopping and more than 83 percent use smartphones to log in to their bank, Gen Z participants said they have stopped a website registration process because it was too complex (58 percent) and more than 80 percent report using the “forgot my password” function within the last few months.

The future of ecommerce, this study suggests, should prioritize speed and security. Working with a generation who does not guard or diversify their passwords means doing so will likely lead to biometrics and password-free authentication in the very near future. DSN

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Social Commerce Projected to Reach $1.2 Trillion by 2025

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hopping is undergoing a social revolution, according to a new study by Accenture. Social commerce—shopping that takes place from product discovery to purchase on a social media platform—is projected to grow three times faster than traditional ecommerce over the next three years.

By 2025, the $492 billion global social commerce industry is expected to be valued at $1.2 trillion.

“The pandemic showed how much people use social platforms as the entry point for everything they do online— news, entertainment and communication,” said Robin Murdoch, global Software & Platforms industry lead at Accenture. “The steady rise in time spent on social media reflects how essential these platforms are in our daily life.

They’re reshaping how people buy and sell, which provides platforms and brands with new opportunities for user experiences and revenue streams.”

Driving this growth are social media users within the Gen Z and Millennial demographics, which are anticipated to make up 62 percent of global social commerce spending by 2025.

Social shoppers cite loyalty as a key factor in their purchasing decisions, and 63 percent said they are more likely to make repeat purchases from the same seller again. This aligns with the sentiments of half of the survey participants, who say lack of trust about the authenticity of

social sellers and poor return policies is their biggest barrier to adopting this commerce method.

“Social commerce is a leveling force that is driven by the creativity, ingenuity and power of people,” said Oliver Wright, global Consumer Goods and Services lead at Accenture. “It empowers smaller brands and individuals and makes big brands reevaluate their relevance for a marketplace of millions of individuals. Getting social commerce right will require creators, resellers and brands to bring their products and services where the consumer is, and will be, rather than the other way around. It means working together within a dynamic ecosystem of platforms, marketplaces, social media and influencers to share data, insights and capabilities to deliver the right incentives and best consumer experience across an integrated digital marketplace.”

A majority of social media users surveyed (64 percent) said they made a social commerce purchase in the last year—data that reflects an already estimated 2 billion social buyers globally. The report indicates that by 2025, 18 percent of all social commerce shopping will be for clothing, but beauty and personal care will also be a significant draw, with an expected 40 percent of digital spend in key markets by 2025. DSN w w w. d i r e c t s e l l i n g n e w s . c o m 17

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I N S I G H T S

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Mary Kay’s Digital Innovations to Enhance the Customer Experience in 2022

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ary Kay Inc. recently highlighted the 2021 accomplishments that will help the company rev up its global impact and continue enriching the lives of women. Included in this list was a reflection on its groundbreaking digital and virtual reality innovations—tools it is now poised to build on in 2022.

In 2021, the company’s Mary Kay Global Design Studio and Glamhive embraced new social media campaigns by creating the first-ever global TikTok

reality show, engaging audiences through a talent showcase in wardrobe, makeup and hair. The company also launched Suite 13, which allows users to experience products through virtual reality and offered the company’s first virtual pop-up showroom.

Mary Kay MirrorMe creates augmented-reality makeovers, while Mary Kay Skin Analyzer App scans a customer’s face to deliver a customized skincare routine. DSN

LegalShield Data Points to Increased Financial Strains for Younger Generations

I

n a new data set, LegalShield reveals that financial stress is impacting younger age brackets, especially Gen Z and Millennials. This information comes as pandemic-related federal relief and support structures reach their expiration dates.

Results from the company’s monthly Economic Stress Index indicate the widest divide between consumer confidence and consumer financial stress in more than two decades. Gen Z and Millennials have requested assistance at record-high rates since January 2020, and billing disputes, which indicate economic stress, hit an all-time high record and then continued at an elevated level throughout 2021.

“Based on these insights, we believe financial stress is returning and affecting the youngest cohorts first, those who are oftentimes the least financially prepared,” said Jeff Bell, CEO of LegalShield. “We understand how Americans are using legal services and the data is showing us continuous elevated activity in billing disputes and collections. This is an indicator of what will manifest in the coming months around consumer finance.” DSN

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NEWS W AT C H

5

TOP

HEADLINES > n

Betterware de Mexico Expands North American Presence through Acquisition

n

IDShield Receives Accolade from U.S. News & World Report

PM-International Reports Record Annual Revenue for 2021

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THE INDUSTRY’S NEWEST AND MOST ADVANCED DIRECT SELLING SOFTWARE

n

SUPPORT ANY SIZE COMPANY ANYWHERE IN THE WORLD

69 percent in 2021

FULLY EXTENSIBLE API ARCHITECTURE

eXp Realty Agent Roster Increases

COMPLETE SOLUTION INCLUDED

n

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of 2021

EMBEDDED BI REPORTING

as one of the Fastest-Growing Companies

TOTALLY MOBILE & SOCIAL

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n

/ INDUSTRY NEWS /

E X E C U T I V E

A N N O U N C E M E N T S

For the full articles, visit directsellingnews.com/ category/news/

EXECUTIVE ANNOUNCEMENTS

Ed Brennan

Curtis Kopf

Tess Roering

Chairman of the Board, NewAge, Inc. NewAge, Inc. announced Ed Brennan as the new chairman of the board.

Brennan succeeds Gregory Fea, who has held the title since 2018 and will remain a member of the board following the transition.

“It has been a privilege to serve as NewAge’s board chair for the last three years,” Fea said. “I’m confident in our future and in Ed’s leadership as we continue our commitment to best practices in governance by rotating our board leadership positions with highly qualified individuals. Ed has been a member of the board since 2017 and has served as the chair of our compensation committee and a member of the governance committee. That experience provides a natural progression for Ed to serve as board chairman. We are confident that he will help ensure that our actions and decisions remain focused on the best interests of all our stakeholders in his new role.”

Board Member, Nature’s Sunshine Nature’s Sunshine Products, Inc. has appointed Curtis Kopf to its board of directors.

“Curtis is a proven executive with extensive experience in creating digital customer experiences for global brands,” said Terrence Moorehead, President and CEO of Nature’s Sunshine. “His background will further strengthen our corporate leadership as we continue the transformation of our business.”

Kopf is an experienced senior executive in customer and digital experience and is currently the Chief Experience Officer at REI. In a previous executive role at a healthcare company, he led the reinvention of the organization’s branded mobile apps, customer service platforms and websites.

Board Member, Nature’s Sunshine Nature’s Sunshine Products, Inc. announced it has named Tess Roering to its board of directors.

Roering has served in senior-level positions at multiple major brands for more than three decades, most recently as the Chief Commercial Officer for CorePower Yoga. In those roles, she helped reposition brands, build awareness and drive multichannel growth.

“Tess has extensive experience in creating omnichannel business strategies for global brands,” said Terrence Moorehead, President and CEO of Nature’s Sunshine. “Her work with active lifestyle brands, including Athleta and CorePower Yoga, will be invaluable in assisting our efforts as we continue the transformation of our business.”

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/ INDUSTRY NEWS /

E X E C U T I V E

A N N O U N C E M E N T S

Marc Rey Chief Executive Officer, Beautycounter Beautycounter’s parent company Counter Brands, LLC announced that Marc Rey will be appointed Beautycounter Chief Executive Officer, effective February 1, 2022. Beautycounter Founder Gregg Renfrew will transition into a new role as Executive Chair and Chief Brand Officer. Rey and Renfrew will now work together to accelerate the company’s growth and continue to build brand awareness while strengthening Beautycounter’s omnichannel presence.

“As the Founder of Beautycounter, my focus is on the future of our company to ensure we continue to lead our industry toward a better place,” said Renfrew. “Marc is aligned with my ambitious vision for Beautycounter and our continued role in defining the industry’s evolution.

His track record of scaling and optimizing businesses, proven ability to develop talented teams and commitment to changing beauty for the better make him a natural fit as we continue to pursue long-term growth and expansion.”

Rey is a seasoned executive and joins the company after spending years working with major global cosmetics brands. In his new role, he will guide Beautycounter as it identifies new opportunities within its omnichannel strategy and finds new pathways toward growth.

“I am thrilled to join Gregg and her team at Beautycounter, the undeniable pioneer of clean beauty,” said Rey. I look forward to working with Gregg to build on the success the company has achieved over the past decade and to execute a business strategy that will set us up for continued growth and impact in the decades to come.”

doTERRA Board Announces Executive Team Transition Plan David Stirling has announced he will step down from his role as doTERRA CEO to serve as a Mission President for The Church of Jesus Christ of Latter-day Saints beginning in the summer of 2022. Succeeding him will be Corey Lindley as CEO and Emily Wright as President. Greg Cook will now preside as chairman of the board.

“Service is in the DNA of who we are at doTERRA,” said David Stirling. “I am humbled and grateful for the opportunity to serve as a mission president for The Church of Jesus Christ of Latter-day Saints. During our three-year service, my wife and I will supervise and train missionaries and serve church members and the community in the geographic area where we will be assigned. I will greatly miss my many friends at doTERRA and being involved in the day-to-day happenings. I have the utmost confidence in the other founding executives as they continue to carry on the great work of doTERRA. Our strength has always been in our team. I have full confidence that Corey and Emily will continue guiding the company to new heights.”

Lindley is a seasoned direct selling industry executive, with more than three decades of experience in the channel. In his new role, he will be responsible for the overall operations of the company, and will lead implementation of the board’s vision, mission and strategic direction.

Wright brings more than two decades of management and leadership experience and will now oversee all categories that impact Wellness Advocates and customers.

“David Stirling has been my trusted business partner, friend and confidant for many years,” Wright said. “His belief in me has transformed the way I view myself, and I have no doubt that he will do the same for the people he will be serving as mission president. I look forward to the day that we will be able to work more closely together again. In the meantime, there is much doTERRA is poised to yet accomplish, and I’m more energized than ever to be part of that journey.”

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Brian Gill

Nate Buhler

Deann Carter

Chief Marketing Officer, 4Life 4Life announced that Brian Gill, Senior Vice President of Marketing, has been promoted to Chief Marketing Officer. Gill will now support the company’s strategic objectives and innovation initiatives, while overseeing the affiliate and customer brand experience.

“The privilege to continue marketing 4Life and its core values of Science, Success, Service, and Satisfaction as Chief Marketing Officer? Yes, please, and thank you! What an honor!” Gill said. “To me, marketing is effectively and accurately representing your product or service to others in a way that pulls them into wanting to be a part of it all. My goal is to have many more people continue to find the healthful products, beneficial income opportunity and chance to give back through meaningful service that 4Life provides.”

Chief Global Supply Chain Officer, 4Life 4Life has appointed Nate Buhler as the company’s new Chief Global Supply Chain Officer. Buhler joined the company in 2011 as Director of Manufacturing and has since held the role of Vice President of Manufacturing and Senior Vice President of Operations. In this new role, Buhler will oversee the company’s manufacturing, quality and compliance, planning, procurement, distribution and fulfillment.

“Quality manufacturing is integral to 4Life’s product offering,” said President and CEO Danny Lee. “Nate’s ongoing performance gives me great confidence. Our NSF-registered, state-of-the-art manufacturing facilities are in good hands with Nate and his team.”

Senior Vice President of Accounting, 4Life 4Life announced that Deann Carter has been promoted to Senior Vice President of Accounting. Carter served as Director of Customer Service and then Controller in the accounting department for direct selling company ShapeRite. When 4Life acquired ShapeRite in 2000, Carter stayed on in the accounting department. Two years later, she was promoted to Vice President of Accounting for 4Life.

“For over two decades, Deann has managed all accounting functions for our U.S. based operations while at the same time cultivating meaningful relationships with 4Life Finance Managers the world over,” said President and CEO Danny Lee. “Under Chief Finance Officer Mark Ostler, Deann’s commitment to the company’s success has never wavered. Her work ethic is impeccable. I’m proud to name her among 4Life’s senior vice presidents.” DSN

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C U S T O M E R - C E N T R I C

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

Distributor—someone who

DOES have a distributor agreement in place

Customer—someone who DOES NOT have a distributor agreement in place n

n

Active is defined as each

customer and distributor must have made a product purchase during the last six months.

Active customer and distributor counts are limited to those in the U.S. and Canada.

Companies must have been

D E C O G N I Z E

BE CU STOM ERCENTRIC RECOGNIZED.

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n

R E C O G N I T I O N

Direct Selling News is excited to present the Customer-Centric Recognition (CCR) Program to celebrate companies that are leading the way toward a customer-centric future for the industry.

Qualifying companies utilize business models that boast high customer-to-distributor ratios and prioritize customer sales.

in business for at least one year and have a minimum of $5 million in annual revenue.

Qualifying companies must attain: 5:1 up to 10:1 for Gold status and 10:1 or more for Platinum status.

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

D

IRECT SELLING COMPANIES with a strong retail base of satisfied customers are experiencing impressive growth and deserve recognition and acknowledgment for

their efforts. With evolving consumer expectations and regulatory scrutiny, customer‑centric equals success for everyone—distributors, direct selling companies and the channel as a whole.

The DSN Customer-Centric Recognition Program acknowledges these companies.

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SCENTSY I n o rd e r t o p ro t e c t t h e i n t e g ri t y o f t h e C C R P ro g ra m f o r a l l p a r t i c i p a n t s , D S N re s e r v e s t h e ri g h t t o s u s p e n d o r d i s c o n t i n u e C C R P ro g ra m re c o g n i t i o n o f a n y c o m p a n y u n d e rg o i n g p u b l i s h e d l e g a l a c t i o n s o r re g u l a t o r y d i s p u t e s (i n c l u d i n g a n y s e t t l e m e n t s o f s u c h) .

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DOUG HEPFER President Hepfer & Associates PLLC

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TOPICS AND CONVERSATIONS ABOUT:

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2 0 2 2

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The Wide World of Digital: Scaling for Success

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All things ERP

■

Solution-Based Decision Making

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Emerging Digital Trends to Embrace and to Avoid

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Becoming Your CMO’s BFF

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Maximizing Impact Through Field Collaboration

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Getting Your IT Team Size Just Right

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Security: Doing it Well in Today’s World

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Better Tech, Rapid Growth: A Chicken and Egg Story

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React Nimbly, Impact Globally

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And More!

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S T R AT EGY

Rev Up Your Multicultural Marketing Strategy

BY DAVID LEE

A

MERICA IS BECOMING MORE MULTICULTURAL. According to the U.S. Census Bureau, the U.S. is currently roughly 18.3 percent Hispanic or Latino; 13.4 percent African-American; and 5.9 percent Asian; and almost 76.5 percent white, based on how respondents self-identify. And, according to the CENSUS Survey 2019, around 41.76 million people in the U.S. speak Spanish at home.

This is why multicultural marketing has become so important in an ever-changing marketplace.

One-size-fits-all messaging is a thing of the past. A successful multicultural marketing strategy exists at the crossroads of translation, culture and emotion.

It’s so much more than just translating marketing materials into other languages. It incorporates the images, colors, verbiage, sounds and regional differences that make cultures unique and special.

Williams-Whittle, a Virginia-based marketing firm, defines it this way: “Simply stated, multicultural marketing is the practice of marketing to one or more audiences of a specific ethnicity—typically an ethnicity outside of a country’s majority culture, which is sometimes called the ‘general market.’

In some countries, it can also be referred to as ethnic marketing.”

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Marketing and branding firm Jackson Spalding says don’t wait to be perfect. “Watch, listen and identify moments to engage multicultural audiences—and don’t miss the opportunity! Often, brands stall their responses to issues or use their usual one-size-fits-all approach with campaigns because they’re aiming for perfection and are fearful of getting something wrong.”

These four action items can be applied broadly to all multicultural markets. To learn more about marketing specifically to Hispanic markets, read this month’s feature article on page 52.

Four Key Multicultural Marketing Tips

1/ LEVERAGE EXISTING CUSTOMERS

Most direct selling companies do a great job of telling distributor stories and leveraging reallife experiences for products and the business opportunity. But how about customers? There’s likely to be a much more culturally diverse base among customers. Leverage them to help tell stories, give testimonials and build the overall brand. People love to feel as if they have a hand in building the brand.

Consider different ethnicities, languages, genders and locations.

Dating and networking app Bumble launched the “Find Me on Bumble” campaign, showing that sometimes an effective strategy can be just showing off your wide range of real customers.

It focused on customers in New York City sharing their experiences using the platform. A video opens with, “Every connection you make on Bumble is an opportunity to meet someone who can impact your life. Inspiring people are everywhere. We wanted to celebrate them.”

According to U.S. Census Bureau, the U.S. is currently roughly 18.3 percent Hispanic or Latino; 13.4 percent African-American; and 5.9 percent Asian; and almost 76.5 percent white, based on how respondents self-identify.

Customer stories included a political strategist, an entrepreneur, an opera singer, a dentist and a model. This is more impactful than using actors or stock images. It highlights genuine, relatable people with authentic stories of success on the platform

2

/ SHOWCASE MULTICULTURAL DIVERSITY AMONG GROUPS Even specific groups can feature incredible diversity.

Just because a group shares a specific theme doesn’t mean they all look, act, think, speak and believe the same. Let’s say you’re showcasing a group of single moms who have built successful

businesses. They share a strong characteristic that unites them, but each mom has her own unique experience and story shaped largely by her cultural background. The message: Many different types of single moms can succeed in this business.

Adidas’s “Here to Create” campaign featured a chapter called “Calling All Creators” that brought together creatives from an array of backgrounds, talents and industries. Designers, athletes and musicians included Pharrell Williams, Aaron Rodgers, Lionel Messi, Von Miller and more.

The setting was a roundtable discussion about creativity and diversity. “We’re all creators, related by a mindset. It’s not about borders, gender or race.

We’re here to create,” the ad stated. The campaign appeared in more than 30 countries. w w w. d i r e c t s e l l i n g n e w s . c o m 3 1

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3/ CREATE A ROBUST AND DIVERSE ONLINE

EXPERIENCE Whether creating a corporate website or the network of distributor replicated sites, multicultural marketing is much more than just toggling between text translations. Diverse images, different colors, and targeted videos with innate language and messaging can be crucial in reaching different cultures and markets.

USANA operates in more than 20 countries. Their corporate website allows you to toggle between many different languages. There’s a diverse showcase of imagery, including stock photos and photos of actual distributors, doctors and even ambassadors from a range of sports such as boxing, skiing, soccer and more. Some companies utilize completely different video and slide business presentations not only for different markets, but for different languages and cultures within the U.S. market.

4/ EQUIP DISTRIBUTORS WITH CULTURALLY

According to the CENSUS Survey 2019, around 41.76 million people in the U.S. speak Spanish at home.

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TARGETED BUSINESS PRESENTATIONS Today’s direct selling strategy involves an array of media and delivery methods for business opportunity presentations. The days of flip charts in someone’s living room are long gone. Interactive slide presentations optimized for mobile devices, sizzle videos and live social media parties are just a few of the most popular formats.

So, does your presentation strategy incorporate a multicultural approach, and is your messaging consistent across all platforms? Many companies provide downloadable presentation formats targeting different languages and cultures. Again, it’s not just about translation. Context, images, music and tone also matter when reaching different audiences. DSN

info@tonyjeary.com

(817) 430-9422

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Watch the 90 second video at www.resultsfaster.co

Ask yourself… Have your plans been reviewed by anyone outside your internal team? Are you getting fresh perspectives? Are you focused on what matters most to achieve your goals?

F E AT U R E

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BA S I H OW FO C US I N G O N FU N DA ME N TA L S CA N REV ITA L IZ E YOU R C OM PA N Y ’ S B US IN ES S A N D CULT URE

BY PAUL ADAMS

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I KNOW, I KNOW. A N O T H E R A R T I C L E O N G E T T I N G “ B A C K T O B A S I C S .”

Y O U ’ V E H E A R D I T A L L B E F O R E . W H I C H I S E X A C T LY T H E P O I N T. THE BASICS ARE…BASIC. Y E T, T H E Y A R E O V E R L O O K E D A N D F O R G O T T E N M O R E T H A N A N Y O F U S W A N T T O A D M I T.

O

VER MY TIME IN THIS CHANNEL, 33 years and counting, I’ve had the tremendous opportunity to work with all types of companies. Pre-start up, start up, growth, global giants and companies on the decline.

I love the rocket ride of rapid growth. It’s fun. It’s crazy. It provides its own type of addiction. And—it doesn’t last.

At some point, a company that has grown rapidly has to face the fact that everything isn’t all rosy.

Growth covers up a lot of flaws. It allows us to make a lot of mistakes and not even notice them—or at least, not focus on them for very long. Things are good.

I’ve said this before, and although not universal, I’ve seen companies go from $0-$100 million on brute force and charisma. But, there comes a time where those companies have to become a well-run business. A business with sound strategy and solid execution. The right people doing the right things right.

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“

Coming Back from the Edge

Over the past few years, it seems I’ve stumbled into an area that I really enjoy—working with people who have achieved great success but are struggling, declining or on the verge of slowing their growth.

The indicators are there, and it’s only a matter of time.

What I’ve learned is that these companies tend to have a few things in common. They lost sight of or never understood the basics of the business. They didn’t build an organization that is designed to look ahead and drive toward a common goal with a sustainable and measurable plan.

Something isn’t right. The people. The processes.

The execution and accountability. The overall strategy. Something.

Where do we begin?

First, admit you have a challenge. Then, decide what you want to do about it.

Often, making big changes requires big changes to the mindset and beliefs of your team. For most

Making big changes requires big changes to the mindset and beliefs of your team.

companies, we recommend looking very closely at the culture. Don’t confuse culture with HR—it’s much more than that. Culture is the culmination of a lot of things—it clearly begins with the people.

Their beliefs, their communications, their alignment.

But it extends into operational excellence and technologies as well. Technology??? Yes, technology is either the great enabler or the great roadblock to almost everything you do.

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Commit to creating the culture you want.

You can’t be another company, so stop trying.

Be the best company you can be.

Putting in the Work

A good culture can handle and implement change effectively. A bad culture can kill change before it even starts.

As odd as it may sound, if you are serious about creating a great field leadership, start with your internal corporate leadership. Your field knows what is going on in the home office. They can feel it if things are not “right.” They know when key team members are out of their element or less than qualified for the job. They know when your staff isn’t happy or is overly stressed. You are not hiding anything from them. So, focus on making it right at home.

Commit to creating the culture you want. You can’t be another company, so stop trying. Be the best company you can be. Be different. Be special. Be something and someone your people believe in and are willing to fight for.

If you make the decision about what you want to create, be relentless in your effort to achieve it. Make sure your decisions are leading there. Provide the tools, processes and training that help your people to get there, too.

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Over the past few years, I’ve worked closely with a company who had had challenges, to put it politely.

Their field had lost trust in their decision-making and follow through. They didn’t believe the company would execute fully on almost any idea they came up with. And, as a result, the complaints were rolling in. The CEO was overwhelmed with calls, emails and texts from disgruntled distributors. It was daunting.

Working closely with the CEO and executive team, we focused on creating a different culture. One where the people inside the company could provide ideas and solutions and get them done. We worked on empowering people and providing the tools, training and confidence they needed. We wanted them to identify and resolve problems without asking for permission. Just fix it!

Because it involved every department in the company, we started by working to make the customer experience extraordinary. They told the distributors that they were on a mission to make their experience better. They put a stake in the ground and committed to making it happen. No excuses!

They asked questions and listened, identifying the challenges and perceived roadblocks standing in the way of success. They worked on making deliveries better. They made dramatic advances in outbound communications to better manage and deliver on expectations. They worked on technology to make the ordering process better and easier.

They made the first experience for the new customer extraordinary and provided incentives to gather feedback from every customer. They created a new way of communicating with field leadership to bridge any gaps that may have existed.

“

If you make the decision about what you want to create, be relentless in your effort to achieve it. Make sure your decisions are leading there. Provide the tools, processes and training that help your people to get there, too.

And more. Much more.

None of those things, alone, would have made a significant impact. In fact, none of them, alone, were very difficult to do. It took a collective willingness and commitment to “get it done” and a person inside the company to create a forum of accountability and communication.

Over the course of just a few months, a funny thing happened. Their people, inside the company, started to believe they could make a difference.

And then they did. They took control of the problems and made their customers (both retail and distributors) happy.

The customers and distributors felt it. Something changed. They couldn’t really put their finger on it, but things felt different—things felt better.

Then, the CEO looked up one day and said to me that he didn’t recall the last time he had received a call from a disgruntled distributor. They had stopped complaining. They believed in the company again.

They were happy.

It all started with a focus on the internal team.

Ok, so now you have a higher-performing, engaged and happier team…Now what?

This is where the real work (and fun) begins.

Alignment. Change. Belief.

We have found that it is important to create true alignment with your executive team. Things have changed but have all the people changed too?

Have they altered their belief in the organization?

Are they leading from this new perspective? Face it, companies who have been around for years or, perhaps, decades, have people on the team who tend to see the business through a specific lens. Perhaps, they even see it at a specific point in time—“the good old days.” Those team members, who we love and value for all of their contributions, can be the most stubborn when it comes to change.

Personal and professional development is crucial in order to manage change. The same beliefs and skills will not deliver new results. This effort begins with the executive level but should extend throughout the organization.

Be very intentional when it comes to developing your team. Make sure the tools and training you provide align clearly with the outcomes you are trying to deliver to the company, the people and the shareholders.

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It takes some serious “soul‑searching” and debate on each and every topic.

And it takes a relentless passion to never stop until you have made every aspect of the business better.

Because knowledge and insight into the nuances and intricacies of our channel is so important—and, at times, so hard to come by—I strongly recommend allocating resources to the development of that knowledge within your corporate team. Resources like DSN’s Membership Program can provide a wealth of outstanding industry content and expertise to all your employees. It’s not all you need but it is a “cheat code” when it comes to learning industryspecific ideas. Onboarding and teaching best practices in our industry is now at our fingertips.

Outside resources can be a tremendous asset when it comes to developing your team and creating the alignment needed to reach the next level. If you are willing, there are experts who can

help with topics ranging from marketing/branding, alignment/communications, execution and so much more.

The truth is, once you get to the point where you have accountability and alignment, there will be a number of other areas that must be addressed.

These include: n

Simplifying your processes

n

Mission/Vision/Values

n

Branding/Messaging

n

Product strategy

n

Compensation strategies

n

Customer obsession

n

Optimizing execution

n

Communication strategies

n Technologies n

Field enablement

n And

more

It takes time to do it right. It takes the right people with the right expertise. It takes some serious “soulsearching” and debate on each and every topic.

And it takes a relentless passion to never stop until you have made every aspect of the business better.

Going back to basics is hard but, by doing them a step at a time, anyone can make it happen. Be disciplined and know that the effort to focus on the fundamentals is worth it. DSN

PAUL ADAMS has been involved in the direct selling channel for more than 30 years. Over the decades, he has worked with hundreds of companies and been a trusted advisor in boardrooms with countless executive teams. From corporate giants to pre-startup, Paul has helped companies invent, reinvent and solidify their messaging, strategy and execution.

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EQ U I T Y

P L AY B O O K

23 THE

BRAND EQUITY PLAYBOOK

SIMPLE, STRAIGHTFORWARD

STEPS TO UP YOUR BRAND GAME.

BY LISA ROBERTSON

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ORD. DISNEY. APPLE. AMAZON. What do these iconic

companies have in common?

Aside from being the four brands consumers

have the strongest emotional connection to according to the 10th annual MBLM Brand Intimacy 2020 Study, these are the brands consumers say they can’t live without.

They have become an indelible part of our lives. Close your eyes—you can see their logos and recite their slogans. You can immediately name their products and remember the first time you experienced them. They matter to you. They matter to everyone.

That’s brand equity.

Knowing who your customer is isn’t nearly enough. You also need to understand your customer; connect with your customer; and—most importantly—create shared experiences with your customer.

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DIRECT SELLING has its own share of brands that have become a part of our collective experience, Tupperware, Avon, Mary Kay and Amway to name a few. These brands understand that creating and maintaining strong brand equity creates consumers that are passionate.

And once a consumer becomes passionate about a brand, they assign added value to it.

Season 1 of DSN’s podcast, The Direct Approach with Wayne Moorehead, featured countless insights and tips on how some of the brands in our channel have amassed a tremendous amount of brand equity, which they are leveraging for future growth.

We’ve compiled a few of the most impactful and easily implemented ideas shared on the podcast and turned it into this Brand Equity Playbook—your comprehensive guide for building a bigger, better and more valuable brand.

1

Create Community “If people believe they share values with a company, they will stay loyal to the brand.”

— H O WA R D S C H U LT Z , F O R M E R C E O O F S TA R B U C K S

Conventional wisdom surrounding brand building almost always lists “know your customer” as the most important thing. But knowing who your customer is isn’t nearly enough. You also need to understand your customer; connect with your customer; and— most importantly—create shared experiences with your customer.

It’s imperative to develop a fuller understanding of not just who they are but who they want to be; why they are interested in your products (or your opportunity); what needs your products can fulfill; and what they hope to accomplish from their interaction with you.

Brands that can create genuine community around their products and opportunity automatically build a vocal army of advocates, which does a lot of the heavy lifting for you. Brian Underwood, Co-Founder and CEO of Prüvit, called this community marketing approach pivotal to his company’s strategy.

“Community-based marketing to me is re-identifying what is valuable in today’s marketplace. If you want to build something to last, you have to be able to harness the emotional connection that your fans, your promoters, your distributors and even your audience has. When you do that, it becomes less about sales and more about connection. The transaction isn’t more important than the person.”

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Brands that can create genuine community around their products and opportunity automatically build a vocal army of advocates.

UP YOUR EQUITY / CREATE CONTENT THAT PROBLEM SOLVES. HOST A LIVE PRODUCT Q&A, DEMO OR TUTORIAL. DEVELOP AN ONLINE PERSONAL DEVELOPMENT BOOK CLUB. WHEN YOU PUT THE NEEDS OF YOUR AUDIENCE FIRST AND YOUR BRAND SECOND, YOUR INTERACTIONS INSTANTLY BECOME MORE MEANINGFUL.

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Jesse McKinney, Co-Founder and CEO of Red Aspen, has found this approach also works when creating a community around your opportunity.

So much time is spent in direct selling helping distributors find their “why.” But at Red Aspen, they are laser focused on delivering their “how.”

Learning and valuing the goals of individual distributors creates synergy between corporate and field. Some distributors are looking for money for their kids’ karate lessons; others want an extra date night each month; and some are looking to become full-time entrepreneurs.

As McKinney said, “It’s important in any direct selling organization to match up ‘how’ and ‘why.’

We can be the how that gets you to your why. That’s where passion comes in. I can’t instill in you the passion it takes to achieve your ‘why’ every day, but I can give you the tools you need to get there.”

According to Underwood, the pay-off also results in better customer and distributor retention as well.

“People want to be a part of something that’s bigger than they are. You can recognize that everyone has their place, and every spoke in the wheel is important. I think we sometimes get so focused on this person making a million dollars a year that we forget how many people we lose out the back door because we don’t keep them connected.”

2

Differentiate “If you don’t give the market the story to talk about, they’ll define your brand’s story for you.”

—DAVID BRIER, AUTHOR OF BRAND INTERVENTION

Be clear—in tangible, compelling terms—what the products can do for your customers and why that matters.

Making those connections also comes from creating customer experiences that manage to spark interest and excitement as well as meet customers where they are and how they live. Direct selling is all about authentic connections, and companies like Neora are finding ways to build these connections as we straddle a moment in time where virtual meetings dominate but don’t always resonate.

Amber Olson Rourke, Chief Sales and Marketing Officer, offered some insights on how they are returning to in-person product demos. “People are tired of being behind a computer screen, so that’s not where they are at now. Our field is already transitioning back to incorporating in-person events. We’re calling them mini mixers because we want them to feel fun.”

Olson Rourke characterized these events as more low-key and less traditional than a formal presentation. “We put together activities that correspond with our products, so that there’s an experience. Things like meal prepping salads for the week and talking about our weight management line; or doing a sip-and-see where people have a glass of wine and get pampered with a few of our products. I would argue there’s no easier time to get someone to come to a fun party than right now, because that’s what they’re looking for.”

For all companies, one of the most crucial steps to building brand equity is to differentiate yourself from the competition. This is especially true for direct sellers.

In this channel, you aren’t just marketing products.

You are offering a community, an opportunity and a partnership. Be clear—in tangible, compelling terms— what the products can do for your customers and why that matters. How do you articulate what you and your products do better than anyone else? What pain point are you eliminating, and for whom?

At Scentsy, they have leaned into their brand equity in fragrance as a way to differentiate themselves and as a filter for product line expansion. “We got very focused on where we believe this brand can and should go. We basically decided that in order for Scentsy to go there, it needs to have an anchor and a tie to fragrance,” explained Mark Stastny, Chief Marketing Officer. “For example, essential oils are very popular, and we do have essential oils in our product lineup. But we only approach essential oils from the fragrance experience that they can provide. We anchor it in and around that.”

UP YOUR EQUITY / ADDING EQUITY IS OFTEN SYNONYMOUS WITH ADDING VALUE. PARTNER WITH A NUTRITIONIST TO DEVELOP EXCLUSIVE FLAVORS AND SMOOTHIE RECIPES. GET YOUR COMMUNITY OF CUSTOMERS AND DISTRIBUTORS INVOLVED TO NAME YOUR NEXT BIG LAUNCH OR PROMOTION.

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Supporting worthwhile causes has long been a differentiator for the channel—it can be a differentiator within it as well.

As important as products are to brand equity, they are not the only way to differentiate your company from others in your space. Direct sellers are—almost by default—lifestyle brands. Distributors and, to an extent, customers become a part of that lifestyle when they choose to partner with you.

You don’t have to be all things to all people. You shouldn’t be all things to all people. Create a clear brand identity that is reflected across all touchpoints.

Is your color palette, voice, photography, packaging and branded merchandise working synergistically?

And do they accurately convey the right tone, spirit and personality? Whether your brand is youthful, irreverent and fun or homey, comforting and nostalgic, lean into who you are and build your look, feel, voice and messaging around it.

You’ve probably all experienced some variation of this: When being pitched a new product, promotion, service or initiative, inevitably someone will ask “Who is the target audience?” Just as predictably, the person pitching will earnestly reply, “Everyone.”

While wanting to appeal to everyone is noble, diluting your messaging to do so doesn’t build brand equity or loyalty. The best brands are bold, memorable, confident, full of conviction. They know who they are. They like who they are. And so does their audience.

“The brand and how the brand makes you feel is

so important,” said McKinney. “So, for us, getting that fun, playful nomenclature out there, I think is just as important as what you see visually with the stunning packaging that we deliver and the photos we take.”

“The way that you talk about your product really matters. The way that you brand your product really matters because you have three seconds. And if you’ve got three seconds, how are you going to make it pop, and what does your brand say about you? What does it represent if you’ve just got a split second for someone to be interested or not?”

UP YOUR EQUITY / MAKE YOUR BRAND’S VOICE AS IMPACTFUL AS ITS PRODUCTS. IF YOUR BRAND RELIES HEAVILY ON THROWAWAY PLATITUDES LIKE “EASY ELEGANCE,” “FITS YOUR LIFESTYLE,” “SCIENTIFICALLY SOUND,” OR “COMMITTED TO QUALITY,” YOU HAVE AN OPPORTUNITY TO ENHANCE AND BETTER CONNECT TO YOUR BRAND VOICE.

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Doing Good

Think of how much deeper your connection with your

“Your brand is a gateway to your true work.”

audience could be when

—DAVE BUCK , CEO OF COACHVILLE

it’s grounded in important

Your philanthropic efforts can not only create positive change in the world, they can move the needle on your brand equity, too.

Supporting worthwhile causes has long been a differentiator for the channel—it can be a differentiator within it as well.

Think of how much deeper your connection with your audience could be when it’s grounded in important work that makes the world a better place. People want to be a part of a movement—something bigger than themselves—how powerful would it be if that something bigger was a charitable cause that you support?

work that makes the world a better place.

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The best brands live permanently in our imagination.

Direct selling companies of all sizes are putting their weight, resources and voices into advocacy.

In doing so with authentic intention, they show their audience who they are and what they believe in. This not only draws the right people to you, it deepens customer loyalty and reinforces relationships.

“It just makes sense. Advocacy has been fundamental to direct selling from the beginning.

And when the philanthropy seamlessly reinforces the brand’s core messaging and purpose, it feels authentic and can truly elevate and set a company apart,” said Moorehead.

Shaklee was green in the 1950s—long before it became a buzzword. Avon is still committed to empowering women, donating more than $1.1 billion to gender-based violence and breast cancer awareness initiatives. More than 1,500 MONAT volunteers recently conducted a Gratitude Week for charitable actions and interactive giving activities to provide support for children and those in need. And early cause-marketing adopter Pampered Chef has a decades-long partnership with Feeding America.

“Gratitude has become such a special part of MONAT culture, and Gratitude Week is the most beautiful week of the year for us because it shows how important making a positive impact is to our entire community,” shared Lu Urdaneta, CEO of MONAT Gratitude.

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Building A Better Brand “Products are made in a factory, but brands are created in the mind.”

— WA LT E R L A N D O R , F O U N D E R O F B R A N D C O N S U LT I N G F I R M L A N D O R

The best brands live permanently in our imagination. We have happy memories and positive experiences we associate with them. Their products help us live better, simpler, smarter or healthier lives. The value they bring us keeps us consistently engaged, entertained and excited.

Adopting the simple principles outlined here will help make sure your brand develops the kind of equity that gains you more customers; turns those customers into powerful advocates; and elevates your brand to iconic status in the minds and hearts of people across the globe. DSN

HELP YOUR DISTRIBUTORS

GET RESULTS Clients following our proven digital Direct Selling methods are experiencing: 26% 16% 29% 34%

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310-428-9936 info@now-tech.com NOW-Tech.com

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LATINOS FALL IN LOVE WITH YOUR BR AND CO N N ECTI NG WI TH T H E H IS PANIC MARK E T MEANS UN DERSTAND ING AND APPREC IAT ING CU LTU RA L DIF F ER E NC ES .

BY JUDITH SÁNCHEZ

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OF HISPANIC FAMILIES HAVE KIDS

Y

UNDER 18, SO PRODUCTS FOR KIDS ARE REALLY IMPORTANT.

OU ARE PROBABLY AWARE OF THE HUGE POTENTIAL that the Hispanic

“

If Latinos living in the United States were an independent country, the US Latino GDP would be the seventh largest GDP in the world—larger than Brazil, Italy or South Korea.

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market offers not only today, but also in the years to come. But do you really know how to sell to and grow the Latino and Hispanic markets? Maybe you’ve tried to target these groups in the past, but your efforts were unsuccessful.

I saw the results of this disconnect firsthand in 2019 when I assumed the responsibility for JAFRA’s United States operations. The general market and the Spanish market at that time were fragmented. Neither market understood each other. They felt unappreciated and unrecognized and there was fighting happening between them.

Two weeks into my role, I invited the main leaders from both markets to my office and asked them: What is the company doing right from your point of view and what needs to change?

The answers were very different, but there was also middle ground when it came to the values of the company. So, I went back to basics and created “One Heart, One JAFRA,” signifying that the values of the company are more important than the values of each group or person. Today, both markets feel appreciated and respected and are experiencing growth.

Through that experience, and in working with other countries throughout Latin America such as Brazil, I have learned that creating a great strategy means understanding how culture, geography and social influence impact human behavior.

It’s true that the Hispanic and Latino markets offer huge potential. But to reach them, you must understand what sets them apart, and then ask yourself if your company is communicating and interacting in a way that respects their cultural differences and strongest drivers.

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

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If inclusivity and developing minorities is not important to you as a concept, then maybe money will catch your attention. In just the United States, according to the 2019 GDP report, there are 60 million Latinos living and working in the United States. If Latinos living in the United States were an independent country, the US Latino GDP would be the seventh largest GDP in the world—larger than Brazil, Italy or South Korea.

But Latinos are not only a huge opportunity now. Forecasts within this segment predict continuous, steady growth in the years to come.

According to the 2020 Latinos GDP report, population growth among U.S. Latinos is currently increasing 7.6 times faster than the population growth for non-Latinos.

Considering the 2020 census growth trends, by 2060, Latinos will contribute 30 million people to the working adult population. Conversely, the non-Latino working population will shrink by one million.

Latinos equal growth, and growth equals expansion. But when selling to Latinos, there is one piece of information that is often missing in a company’s strategy: Cultural mindset.

Be Customer‑ Centric Recognized.

C

El Dinero Habla / Money Talks

Culture Is King

Culture is who we are; how we see the world; and how we see each other. It is an accumulation of life experience that spans generations. Culture impacts the way you behave, dress, speak and even eat. It affects the way you define beauty, love, friendship and what constitutes business-asusual. If you don’t understand the culture, it is difficult to develop the right strategy to attract Latinos.

I represent the Latino market, and I can tell you that there are four key elements you must consider when attempting to connect with our culture.

1

/ FAMILY IS THE CENTER OF LIFE AND HAS A CORE RELATIONSHIP WITH THE WAY WE CONSUME. For instance, 40 percent of Hispanic families have kids under 18, so products for kids are really important.

2 / FOOD IS A WAY TO PRESERVE TRADITIONS

THAT HELP US CONNECT WITH FAMILY, TO EXPRESS FRIENDSHIP AND TO BUILD EMOTIONAL CONNECTION. This is why doing business with Latinos is frequently going to happen during lunchtime. And I can promise you, it’s not going to be a 30-minute meeting—expect two to three hours. This is because first, I need to know you. This lets me see if I can trust you, and then, finally, if I can do business with you. w w w. d i r e c t s e l l i n g n e w s . c o m 5 5

P L A T I N U M R

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

D E C O G N I Z E

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

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

Submit Your CCR Program Application Today

DSN DIRECT SELLING NEWS

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

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If you don’t understand the culture, it is difficult to develop the right strategy to attract Latinos.

So now that you know the four keys to connecting with the Latino market, I can also share four important tips to build a winning strategy to sell to Latinos.

1

/ MAKE SURE THAT LATINOS ARE A PART OF YOUR OVERALL STRATEGY from product to communications, customer service, training and all coaching points. Give this market the same value you would give to any client. We are important.

2 / LATINOS WITHIN THE U.S. REPRESENT

A DIVERSE GROUP OF CULTURES. You must define the target group you are trying to reach because there is a difference between generations and levels of acculturation. Each sub-segment consumes differently. “Hispanic” describes anyone who speaks Spanish, including Spain, while “Latinos” includes only people from Latin America, including Brazil.

3

3

/ OPTIMISM GIVES US FAITH IN A BETTER TOMORROW. Latinos believe that with hard work, we can achieve success. We are willing to work harder and spend more time to achieve our goals.

This means good business opportunities and entrepreneurship are always welcome.

4

/ FRIENDSHIP IS SOMETIMES MORE IMPORTANT THAN MONEY. We want to build a bond and create an emotional connection. Because of this, communication must be warm and friendly.

Training and corporate emails have to be emotional first and functional second. When I’m speaking to my general market, I speak in a functional way with a clear call to action. When speaking to the Hispanic market, the call to action is motivation. My goal for the message is the same, but my conclusion is completely different. Keep in mind also that context and tone are more important in Spanish than they are in the more direct English language.

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/ UNDERSTAND THE CULTURE’S CORE VALUES. You need data and an expert in the market who can translate these insights into a strategy for your brand. If you really want to open a door to this market, you should invite more Latinos or Hispanics to join your board of directors. You will be a more inclusive company, and they will help you grow your business.

4

/ REMEMBER THAT DETAILS MATTER. Emotion, passion, culture and values are what you need to understand and emphasize when talking to Latinos.

Strategy without correct implementation is a waste of time and money. DSN

JUDITH SÁNCHEZ is a Senior VP and General Manager at JAFRA. She’s an international leader with more than 30 years of experience in the beauty and cosmetics industry, with a focus on launching and driving business growth in a variety of Latin American countries, South America, the USA and Asia.

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FEBRUARY 2022

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Mannatech’s Momentum Renaissance Peeling It All Away to Build Again.

BY BETH DOUGL ASS SILCOX

A

FTER MONTHS OF INTROSPECTIVE corporate soul- searching and fundamental internal and external

change, Mannatech—which does business in 26 global markets and has $5.2 billion in total revenues over 28 years—is experiencing a self- made renaissance. The

publicly-traded direct selling company has been through the proverbial ringer this past decade or so, and now seems poised to regain the momentum of its past with

FOUNDED:

1993 HEADQUARTERS:

Flower Mound, Texas TOP EXECUTIVE:

Alfredo Bala, President & CEO Landen Fredrick, Chief Sales & Marketing Officer P R O D U C T C AT E G O RY:

Health and Wellness

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Mannatech experienced double-digit sales growth across all markets—from their biggest to their smallest: South Korea, greater China, South Africa, Spain, Mexico and even North America—in 2021 and put a stop to a 7-10-year declining trend.

They also had a stock surge over $30 from just $7 in March 2020. That equates to about 400 percent stock growth since the beginning of the pandemic.

President and CEO Al Bala, a 40+ year veteran of the direct selling industry, chuckles thinking back to October 2021 when Entrepreneur magazine touted Mannatech as an ideal momentum stock for those looking to add to their portfolio at year’s end. They were impressed by a stock acquisition repurchase program approved by the Mannatech Board of Directors, saying it demonstrated the robust financial health of the company.

Mannatech’s strong fundamentals were reflected in its power ratings and the stock had an over grade of eight, which equated to a strong buyer rating.

They were ranked number one out of 71 stocks in the consumer goods industry.

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A little dose of vindication? Maybe. But more accurately, an indication of how hard Bala and his corporate and field teams have worked to turn around a company that lost its story and subsequently lost its way.

The Back Story

Mannatech built the company based on a story about amazing products. They experienced incredible growth and momentum, especially in the early years. Company stock performed well and as the company grew, Mannatech attracted shortsellers, who typically create situations advantageous to their bets that stock prices will drop. Action by the Texas Attorney General in 2007 attached a stigma to Mannatech, and the requirements eroded confidence within their field.

“

When you have that kind of drop in two to three years, it affects the psyche of the field, but it also affects the psyche of the company.

—AL BALA / President and CEO

“We saw our business go from $450 million to literally about $150 million. So, when you have that kind of drop in two to three years, it affects the psyche of the field, but then also affects the psyche of the company,” Bala shared. “Because at that point, we became very cautious, very conservative, which means that we really were very careful about how (our) story was told.”

The once sure-footed Mannatech, whose pitch centered on decades of experience, an amazing discovery, 154 patents, clinicals and science, had— in essence—lost their story. When the field asked corporate what story they should tell, Mannatech faltered and a vicious cycle developed keeping the company on a declining trajectory and inching them closer and closer to a belief growth might no longer be possible.

“Momentum solves 80 percent of all problems, right? Big Mo, we call it. We want to have it. When you have it, it’s like you can do nothing wrong.

Everything you touch turns to gold, which tends to make us all a little bit more arrogant about what we know or don’t know. But on the other side, when you don’t have it, it’s painful, and it’s hard,” Bala said.

Mannatech struggled to regain momentum for years. They couldn’t just stand by and watch the business continue to decline. Sometimes their attempts helped a bit. Sometimes it made things worse. Then two years ago, Bala experienced a momentum epiphany—“It’s an inside job.”

He realized the psyche of the field and the company must come to the forefront. An almost spiritual element was lacking and to regain momentum, he felt Mannatech couldn’t and shouldn’t try to remedy it alone. They needed help from the outside—people that had the right framework to take the company back to the basics, peel everything away and start building again using industry fundamentals.

Positive Obsession

December 2019, Mannatech’s team discussed with Paul Adams and John Fleming how to create, grow, modernize, simplify, clarify and generate a gig economy focus. “Our culture was not ready, but we knew this change was needed,” Bala said. w w w. d i r e c t s e l l i n g n e w s . c o m 6 1

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MANNATECH’S SEVEN TIPS TO REGAINING MOMENTUM 1 / DON’T LOSE MORALE

Inspire and make people believe in themselves by encouraging, teaching and trusting them.

2 / BE PATIENT WITH YOUR BUSINESS

Go from failure to failure without losing enthusiasm and know something positive will happen if you stay steady at the task.

3 / GO BACK TO THE BASICS

Rediscover the basics of network marketing and the stories that support and edify the channel.

4 / GET A DIFFERENT PERSPECTIVE

Realize you can’t figure it out on your own and seek outside help. Don’t be afraid to take a good look at the competition.

5 / EVALUATE YOUR OWN LEADERSHIP

Commit to creating a new culture of learning and growing together. Embrace needed change within yourself and the organization.

6 / GET AN EXTERNAL FOCUS BY REACHING OUT TO CUSTOMERS Get clear and diverse input because that’s the real world.

7 / BE BOLD WITH THE COMPANY VISION Keep momentum by constantly having greater goals.

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They obsessed over customer experience and built an internal, cross-functional team to examine every single customer touch point. This not only improved tangible things, but also began shifting the employee psyche by focusing on creating the best possible customer and associate experiences.

According to Patty Anthe, VP of Customer Experience, the team’s goal was surprisingly simple and straightforward. “We wanted to make it easier to do business with Mannatech. We knew that we had to create a cohesive team internally first before we could create cohesiveness with our field.”

They sought input from corporate teams, field leaders, legacy leaders and others. Then, 632 pages later, they learned Mannatech lacked focus, follow through and there was plenty of frustration to go around.

“People loved us, but we had pushed the limits of their grace. Technology, shipping, lack of focus, trust, belief, confidence—all lagged internally and externally, putting unnecessary stress on the call center,” Bala explained.

By May 2020, the course correction started in earnest. “Every department, every team was involved. We gave people the ability to actually be able to make decisions and solve problems. Over a short time, progress showed up. Customer service improved dramatically,” Bala said.

Mannatech became easier to do business with and built trust internally and externally, something they needed for the deep dive into the corporate mission, vision and values that came next. Debating, sharing, defining and creating something they could stand behind and be held accountable for, Mannatech emerged with a “get better together,” principle-centered leadership culture.

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As Anthe explains, “We learned that creating a more customer-focused organization is a journey, not a destination. Now we evaluate, survey, listen and create an environment of trust both at corporate and with our field leadership.”

Then came a global look at their brand. What did it need to attract and speak to today’s and tomorrow’s customers? How could they clarify and create a story that mattered? Past rebranding lacked accountability and left Mannatech’s organizational identity murky and undefined.

“We started attracting raving fans who are passionate and enthusiastic about our products enough that to this day they are sharing with everyone they know,” said Landen Fredrick, Chief Sales and Marketing Officer. “How does a company create an army of raving fans? It’s about becoming customer obsessed in every facet of the business: Seeing the world as your customer sees it and delivering industry leading products that make an impact on their lives.”

By clarifying their mission and vision, they shifted away from a nearly exclusive product science focus toward the customer; their drive to purchase; what they expect to receive; and the feeling they hope the product will create. In so doing, Mannatech took ownership of a new story to be shared by the field.

Last spring, Mannatech took a look at how they stacked up against the rest of the direct selling industry with messaging, tools, social media, pricing, position, compensation and the like. Now they’ve addressed their gaps, and it’s making a profound difference.

The Take Aways

The whole of Mannatech learned valuable take aways on their journey back to the basics of direct selling. They were reminded that the internal machine—the processes and the people—are key to the ultimate goal, which is massive duplication.

Recruiting campaigns or blitzes never measure up to the power of a lot of small things done right.

“We are now engaged in a process of focusing on becoming better leaders, and not just the executives.

We want everyone in the company to join us…It’s not random. It’s clear. It’s focused to help create better outcomes together—having the difficult conversations, holding each other accountable. Now we are all rowing in the same direction,” Bala said.

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The idea that Mannatech’s way back was an “inside job” will remain with Bala for the rest of his life. “Now we understand that you can’t sit back here and hope and pray that the field is going to get it done or worse, complain that they’re not getting it done…until you’ve looked inside.”

And getting to that realization is tough because it means that a company has to be honest and sometimes admit they can’t solve it alone. It takes vulnerability to get the job done. Iron sharpens iron.

There are people out there who have seen more, have different perspectives, and have the courage to tell you what’s wrong without sugar coating it. It may not be pleasant to hear, Bala shared, but it’s worth it.

“We are still a work in progress. It is continuous work, but we know we are working on the right things. The foundation is sound. The results are showing up. The team is better. The leadership is better. And we are more prepared than ever to become the company we really want to be and continue to push results even higher.” DSN

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Q U I A R I /

QuiAri Goes All In After an ambitious global launch, the two-year-old company’s remarkable growth remains strong.

Q

BY COURTNEY ROUSH

UIARI MAY BE ONE OF the biggest success stories you’ve never heard about. Founded

October 1, 2019, by CEO Bob Reina, in just two years’ time this nutritional products company made our list of young superstar companies. By November 2021, QuiAri was generating $1 million or more in sales each month. He then transformed the business model and strategy and updated its name.

FOUNDED:

2019 HEADQUARTERS:

Florida TOP EXECUTIVE:

Bob Reina, Founder & CEO P R O D U C T C AT E G O RY:

Health and Wellness H E R O I N G R E D I E N T:

Maqui berry

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Like so many direct selling success stories, this one began with an epiphany. Reina’s original calling was in law enforcement. He served as a Deputy for the Hillsborough County, Florida, Sheriff’s Office. It was a job that brought him face-to-face with individuals and families who were struggling with an entanglement of social, economic and health-related issues, and the hardest part was realizing he could do little, if anything, to relieve them of those challenges.

That desire to help led Reina to direct sales— specifically, the health and wellness sector. He dove in with both feet and quickly worked his way up through the ranks, ultimately surpassing his full-time income in law enforcement and becoming a top earner in the sales force. In 2004 he started his own global direct sales company, a successful venture that grew quickly and prospered. But Reina was looking for something more. “My ultimate goal was to create a company that, if I was an associate, I would want to work for,” he shared.

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Patagonia’s Purple Powerhouse

Then he discovered the potent maqui berry, which would be the impetus for QuiAri. Until then, the maqui berry wasn’t widely known outside the remote Patagonia region of Chile. That’s where the Mapuche people had been harvesting and consuming it since 600 A.D, including drinking the berry’s juice before heading into battle. The maqui berry is loaded with anthocyanins, or purple pigments rich in antioxidants, which exhibit anti-inflammatory properties; and contain a high concentration of Vitamin C. The berry’s antioxidant concentration also is thought to deliver cardiovascular benefits by oxidizing cholesterol in the blood. Consuming the maqui berry or its juice can produce a spike in insulin in the body, which may help keep blood glucose levels under control and boost weight control and anti-diabetic efforts, and studies have indicated that it contains antibacterial properties which could ward off foodborne illness.* Reina sought the expertise of Dr. Juan Hancke, a scientist considered as the world’s foremost authority on the maqui berry. He flew Juan from Chile to QuiAri’s Corporate Office in Florida to learn more about his research. Hancke arrived with three suitcases in tow: Two filled with research; one filled with clothes.

Soon after, Hancke joined QuiAri as Scientific Advisor and developed a proprietary, superconcentrated organic extract, MaquiX®, that boosts the maqui berry’s antioxidant power up to 10 times and which would serve as the foundational ingredient in all QuiAri products. Reina and Hancke then got to work with a team of nutritionists to develop a nutritional shake and accompanying energy tablet. More than 111 shake taste tests later, they launched their flagship products.

“

We might not be as big as Amazon or Wal-Mart, but we have the same mindset and operate like a multibillion-dollar company.

— B O B R E I N A / Fo u n d e r a n d C E O

A Massive Launch

Reina didn’t subscribe to the notion of a domestic launch followed by a series of slow and deliberate overseas market openings. Instead, from the company’s home base in Florida, he opened QuiAri on its first day in more than 200 markets—a move that was bold or even crazy, depending on your perspective, but also very much strategic.

“Bob had built a successful global network marketing company from the ground up, which helped pave the way for QuiAri. He already had established contacts and understood the processes w w w. d i r e c t s e l l i n g n e w s . c o m 6 9

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to get product approvals throughout the world,” said Allison Roberts, Vice President of Marketing, who has worked closely with Bob for several years.

“He had plenty of resources to immediately start establishing offices and distribution centers around the world, which accelerated our global expansion plans, and he assembled a strong corporate team to help him deliver on his vision. Bob found people who were ambitious and had a relentless work ethic—people who could keep up with him. We have a saying around here that ‘QuiAri never sleeps,’ because we don’t. We meet the demand and needs of all the countries we serve.”

“Our executive team has over 150 years of combined direct selling experience,” Reina added.

“There was no learning curve needed to establish our presence in over 200 countries simultaneously.

We were able to hit the ground running starting on Day 1. A slow, country-by-country roll-out just wasn’t an option.”

QuiAri today maintains an independent sales force of approximately 50,000 independent distributors (called Promoters). Growth has been fueled largely through word of mouth using social media. “Our sales started strong, and Promoters were climbing the ranks quickly,” said Brad Stewart, Director of Field Development. “We could barely keep up with congratulating and recognizing them all. Within the first month, we received a flood of product testimonials. Promoters and Customers were writing in with stories of QuiAri helping them lose weight; have more energy; look and feel younger; and feel great.”

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The company’s in-house IT team has been able to fuel and support its exponential growth with innovations like Same Day Pay, which delivers commissions within five minutes to Promoters anywhere in the world; and a real-time “Free Tour” marketing system, which enables Promoters to offer prospective team members a seven-day temporary position in the independent sales force while they learn about QuiAri products and the business opportunity.

Current Promoters share the link with prospects and let the system do the explaining. Those prospects who decide to become Promoters within seven days may have the opportunity to lock in their position within the genealogy.

Whatever It Takes

The pandemic threw a curveball in the direction of every company, let alone one that had just opened in more than 200 global markets less than six months before. QuiAri held steady thanks to its IT infrastructure; a business that already was remotefriendly; and a tight-knit culture that worked hard to bring employees and Promoters together across the miles.

“During the pandemic, there were some lessons learned about importing and exporting supplements, getting product approvals and finding alternative shipping carriers when the ports and governments were all closed,” Reina explained. “But we have a ‘whatever it takes’ philosophy, so even though it was more expensive, we sent product via air freight and we constantly stayed in contact with local government officials to be sure all approvals that were pending were in the pipeline.”

At one point the company hired private couriers in several countries to help deliver orders. “We’re now happy to report that the ports are now open, countries are getting back to normal, and we are now shipping using normal methods.

“If you have amazing products, happy customers and Promoters and corporate team members all focused on a singular mission, you don’t have to worry about the global economy,” Reina continued.

“

A slow, country-by-country roll-out just wasn’t an option.

— B O B R E I N A / Fo u n d e r a n d C E O

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“Companies like Amazon, Wal-Mart, and Tesla didn’t suffer. They found creative ways to adapt their business strategy to overcome the disruptions.

We might not be as big as Amazon or Wal-Mart, but we have the same mindset and operate like a multibillion- dollar company.”

Leading with Heart

Reina has a long-standing history and all-in approach to philanthropy which is much like his approach to expansion. He believes in giving back, and his success in the industry has allowed him to help others around the world. He donated $1 million to the Tampa Bay Humane Society, along with funding the construction of their feral cat patio; provided 1,500 dog beds to Hillsborough County Animal Services; and purchased six K-9 Unit German Shepherds for the Hillsborough County Sheriff’s Office, where he previously served as Deputy.

Internationally, he has funded the construction of an orphanage in Indonesia; provided schoolhouse furniture for an orphanage in India; and food for hurricane victims in the Philippines, in addition to regularly making generous cash donations to local charities.

Reina has big plans for philanthropic efforts with QuiAri, as well. He’s currently exploring opportunities with fellow business leaders to help support sustainability efforts for the Mapuche community and Patagonia region of Chile where maqui berries are grown and harvested.

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Ahead of the Curve

Those companies who have been able to thrive during one of the most challenging periods in world history were those who had the infrastructure, the agility and the culture necessary to adapt.

Not coincidentally, Reina shared, those are the same companies that will be able to keep pace with evolving market demands—most notably, the demand for faster, more convenient products and services and jobs that can be conducted from anywhere. It’s all a new normal on which QuiAri is perfectly positioned to capitalize.

New products on are on the way, he added, and global expansion will remain his company’s primary focus. As restrictions begin to lift, there will be more opportunities to expand in new and existing countries. “We’re at the very early stages of our success. The potential for growth is massive and we haven’t even begun to scratch the surface of what we have in store. The next few years are going to be our biggest.” DSN *These statements have not been evaluated by the Food and Drug Administration. These products are not intended to diagnose, treat, cure or prevent any disease

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ICONIC I N S I G H T S with HEATHER CHASTAIN H E AT H E R C H A S TA I N

Heather Chastain Talks with John C. Maxwell about The Power of Five, the Importance of Mindset, and How to Become a Person of Significance.

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To watch or listen to the entire interview, visit DirectSellingNews.com.

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UR LATEST DSN PODCAST, ICONIC INSIGHTS, provides an opportunity to learn from some of today’s greatest leaders. In the podcast’s first interview, social-selling thought leader Heather Chastain sits down with New York Times bestselling author John C. Maxwell to talk about his book, The Power of Five for Network Marketing; the importance of mindset; and how to become a person of significance (and why that matters). Here’s a portion of their conversation.

HEATHER CHASTAIN: Your book breaks down five key principles for the direct selling industry, but it also really has broad applicability for all entrepreneurs, would you agree?

JOHN C. MAXWELL: Oh, totally. The Power of Five is about essentials. Everyday essentials.

People don’t realize that when I wrote that book, it was birthed out of people asking me, “How have you written so many books in your life?” So, I began to kind of go inside and say, what are the five things I do that are just everyday essentials? You don’t skip a day. You do them every day. The formation of the book was really from answering that question.

And I would tell people, “Every day I read; every day I think; every day I file; every day

“

So, I began to kind of go inside and say, what are the five things I do that are just everyday essentials? You don’t skip a day. You do them every day. w w w. d i r e c t s e l l i n g n e w s . c o m 7 7

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Everything that I do is based upon my mindset and my perspective. My limitations are not what’s before me; my limitations are what I see and how I think.

I ask questions; every day I write. Every day.”

Out of that, people—especially in the direct marketing business—would say, “Well, what are the five things we need to do to really be successful?”

HEATHER: Those parallels manifested as The Power of Five: Growth, connection, mindset, leadership and then significance. When you talk about mindset, one of the things you say in the book is that mindset is really the thing that sets successful people apart from unsuccessful. Why is that so critical?

JOHN: That’s a question you and I could talk the rest of the day on because it’s expansive, and it’s powerful. First, if a person says, “just give me one thing that’s going to help me to be successful”— the one thing I’d talk to them about is mindset.

Start with perspective: How I view things is how I do things.

Everything that I do is based upon my mindset and my perspective. My limitations are not what’s before me; my limitations are what I see and how I think.

For example, during COVID and during difficult times people cope with adversity, struggle and difficulty. So, I talk to them about mindset.

One of the things I explain to them is that life is supposed to be difficult. It’s not supposed to be easy. Everything worthwhile is uphill. And once

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we accept the fact that life is difficult, it no longer becomes difficult.

The moment I think life should be easy and things should be coming my way, I’m setting myself up for failure because my perspective only entertains that.

HEATHER: Have you noticed that people who are committed to having that positive mindset and an abundance mentality don’t compare themselves to others? How much harder is that now in the world of social media and instant access to how everybody else appears to be living? It’s a bit more of a struggle, isn’t it?

JOHN: It’s more of a struggle. It’s more of a daily discipline, but it’s also a more of a difference maker. You have to understand there’s a little bit more effort you have to put in, but the return has never been so big.

Because what happens is during adversity, people freeze. They stop. So, I tell people, you don’t even have to run. You just have to walk. If you can walk, you’re going to separate yourself so far from most people because you’re willing to take action.

We’ve done a lot of work and research with kids in teaching values training in schools, and what we’ve found is the better values a person has on the inside, the less validation they need on the

5 W H AT I S T H E

P OW E R O F F I V E ?

IN HIS BOOK, The Power of Five for Network Marketing, John C. Maxwell identifies the five essential priorities that separate successful people from the unsuccessful—and explains why each one is so important:

1

/ GROW TH

Individuals must become intentional in their personal and professional growth as well as committing to the growth of those around them.

2

/ CONNECTING

The ability to connect with others on common ground is essential to sharing a vision with them—which leads to better collaboration.

3

/ MINDSET

Learning how to think like a successful individual is key to becoming one.

4

/ LEADERSHIP

The limit of every person’s future is not dependent upon their company, but upon their leadership ability.

5

/ SIGNIFICANCE

Being able to make a difference for others leads to a happier, more fulfilling life.

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outside. The values I have inside of me determines the perspective of how I see people. For example, if I value me, I can value you. And, if I don’t value me, I won’t value you.

HEATHER: So, when we’re talking to entrepreneurs who are looking for specific ways they can improve their standing and the impact they’re making in their companies, when they’re thinking about mindset, they need to be thinking about their value set and be just as vocal about their values and what they believe and what they want as they are about mindset and these other things.

JOHN: No question about it. Values determine perspective. If you can be a person with good values in your life, you’ll have a healthier perspective about yourself and others. That makes the difference, as far as how successful you’re going to be.

You hear the expression, “All’s well that ends well,” but all’s really well that begins well. Begins well is mindset. Ends well is automatic. Begins well is not automatic.

HEATHER: Begins well is deliberate. You have to actively craft your beginning. And I think, as entrepreneurs and leaders, whether you’re starting your own business in the direct selling channel or somewhere else, this idea of anticipation is really interesting, because it’s so contagious, isn’t it?

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JOHN: Totally contagious. And your people pick up on it immediately. When we’re on the road, and maybe I’ve got three or four speaking gigs, I get up every morning, and say, “My gosh, think of the people we’re going to add value to today. Think of the people that when we give them a resource, or put a book in their hand, they’re going to be forever changed.”

Once you have that lifestyle of anticipation, it creates a mindset of expectation. And a mindset of expectation brings incredible amount of fruit in your life and to your life.

HEATHER: I’d like to anchor back on the last key that you gave of the five, which is about significance.

One of the reasons I’m an entrepreneur, and so many others, and I assume you as well, is because you want to make a difference in the world, and bring value to the world, in a way that’s beyond your immediate circle. Did you start out before anybody knew your name as wanting to be a person of significance? Or did you realize the power of that once you had some success and became more influential?

JOHN: Here’s the problem with success: When you start off, you’re not as bad as people think you are.

You’re never good the first time, so you’re fumbling.

But if you’re really good and are consistent, consistency compounds.

I started out knowing nothing. But I had a desire to make a difference in people’s lives. I didn’t know how I was going to do it. I didn’t even know why I

wanted to do it. I had no game plan except I had a heart to do it. I tell people all the time, it doesn’t matter. Just start with a heart and everything else follows.

And a lot of things I did well, but a whole bunch of things I didn’t do well at all. And it was OK. I learned to learn from my mistakes and not to take myself seriously. I started off with saying, I want to make a difference. And then I grew. I went from, I want to make a difference to I want to make a difference with people who want to make a difference.

Then I went into phase three, and this is where significance really comes in. I want to make a difference with people who want to make a difference, doing something that makes a difference. When I got to that—doing something that makes a difference—I said, OK, now I’ve got to figure this out. What will really make a difference in people’s life? Because success is about me.

Significance is about others.

Success is about how many books I’ve written.

How much money I made. The houses I got. I got a plane, you know, that’s success. It’s all about me.

Significance is all about others.

A lot of successful people never become significant because they can’t get off “me.” They will never have enough. But when it comes to significance and adding value to people, I don’t know one unhappy person that lives a significant life. DSN

“

I had no game plan except I had a heart to do it. I tell people all the time, it doesn’t matter.

Just start with a heart and everything else follows.

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Direct Selling and the American Worker

I

HAVE BEEN STRUCK by how the media is now replete with headlines about the U.S. labor market.

As we all understand, American companies remain unable to fill open positions as individuals continue to leave jobs at a rate we could not have predicted only two short years ago. More frequently than in the past, people are switching careers or finding new opportunities in entirely new industries.

Recent polling sheds light on these observations: A recent U.S. Chamber poll found that 32 percent of people who lost their job during the pandemic and remain unemployed seek work in a new industry.

Similarly, a Washington Post-Schar School poll recently found similar results, with one-third of workers under the age of 40 considering changing careers or switching industries since the pandemic.

The big takeaway is that entire industries’ talent pools seem strained, compelling businesses to reconsider hiring and retention strategies.

At first blush, one might remark that these statistics have little bearing on direct selling. After all, we are a business model that empowers independent business owners to engage as much—or as little—as they might choose.

While such a remark about the “why” people are switching is true, what I find most interesting is the “what,” as in what people want from the world of work after 24 months of self-reflection.

According to Deb Broberg, a U.S. Chamber Talent Pipeline Management fellow, the traditional reasons for changing careers— money, better benefits, career growth and more—today play a diminished role among career switchers.

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

According to Broberg, months of selfreflection have led individuals to seek opportunities that make the most of the newlymainstreamed remote work; prioritize oneon-one engagements; and offer environments that require decreased public contact. But most interestingly is that individuals, who now have a better understanding of their passions, want meaningful engagement that aligns with their values.

Some of the world’s most storied and revered brands rely on the direct selling business model. Like millions of others, I believe in our community’s ability to develop the most innovative products across categories. Direct selling is in the enviable position of having our brands represented by the most passionate kind of influencer—our sales forces—for more than 130 years.

Now we all know that most people do not use direct selling as a full-time career opportunity; DSA makes this point to regulators and legislative leaders in Washington D.C. and statehouses across the nation.

What we do provide to those choosing to engage is the freedom and flexibility to pursue their passions and represent the brands and products they love on their own terms.

The channel has experienced so much growth during these past months. As we look ahead, I am eager to learn directly from our CEOs and all executives at our upcoming events about the product innovations that will ignite personal passion and strengthen our brands’ hallmarks.

Let’s share our ideas through the power of Association and work to break even more records in 2022. DSN

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NOW TECH 5800 Democracy Drive, Suite 100 Plano, TX 75024 310-428-9936 www.now-tech.com The most comprehensive and powerful business management solution for direct sellers. We put more than 35 years of industry experience into creating strategies and tools to consistently grow your business. Contact us for a demo today.

S O F T WA R E / T E C H N O LO GY S O LU T I O N S

1080 Caribbean Way Miami, FL 33132 Royal Caribbean International’s Corporate Sales Team 800-345-7225 (SELECT 2, THEN 1) www.royalcaribbeanincentives.com

M A R K E T I N G/ B R A N D I N G

ROYAL CARIBBEAN INTERNATIONAL

EXIGO 1600 Viceroy Dr., Suite 125 Dallas, TX 75235 214-367-9933 www.exigo.com The global leader in cloud-based Platformas-a-Service (PaaS) for direct selling companies. An open framework for billiondollar giants to startup companies. Exigo supports MLM, Party Plan and Affiliate models, operating in single global markets.

BYDESIGN TECHNOLOGIES

INFOTRAX SYSTEMS

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

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

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

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

VERICAST

DIRECTSCALE

2435 Goodwin Lane New Braunfels, TX 78132 sales@dsa.harlandclarke.com www.vericast.com

1510 N. State St. Orem, Utah 84057 801-701-3285 www.directscale.com

INTERNATIONAL DIRECT SELLING TECHNOLOGY CORP.

VERICAST FUELS COMMERCE We create meaningful connections between your business and the people that you serve how, when and where it matters. By pushing the boundaries of data and insights, we spark discovery and inspire action to create profitable results.

The most customizable enterprise SaaS platform for managing all aspects of your direct selling, affiliate and influencer marketing business. Edit your comp plan and test it against your live data! From startup to billion dollar company, it automatically scales to meet your needs so you never have to upgrade again.

4801 Spicewood Springs Road, Ste. 250, Austin, TX 78759 512.690.2134 www.momofactor.com Momentum Factor is a leading digital risk management firm specializing in online compliance monitoring and global online reputation management services for the direct selling industry. Our passion and mission are to protect companies from the brand and regulatory risks associated with online and social media technologies.

8 6 D I R E C T

SELLING NEWS

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FEBRUARY 2022

S O F T WA R E / T E C H N O LO GY S O LU T I O N S

LEGAL AND COMPLIANCE

INCENTIVES/RECOGNITION

SUPPLIER DIRECTORY

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

Global Operations Management Software.

Advanced Comp Plan Programming. Sales Force Backoffice & Automation. Web Site Design & Replication.

JENKON 915 Broadway Street, Ste. 400 Vancouver, WA 98660 360-256-4400 www.jenkon.com From Startup to Enterprise, Jenkon provides Direct Selling companies an award-winning, scalable platform unifying the future of direct selling: Openness, connectivity, omni-channel and conversational marketing.

MW2 DIRECT 2033 Gateway Place, 5th Floor San Jose, CA 95110 408-573-6310 www.mw2consulting.com/direct Combine the Magento Platform with powerful social and direct selling features available in the MW2 Direct platform.

Solving Digital Transformation for direct selling with personalization, party management, influencer marketing, commission, analytics.

S O F T WA R E / T E C H N O LO GY S O LU T I O N S

S O F T WA R E / T E C H N O LO GY S O LU T I O N S

TO BE INCLUDED IN THE SUPPLIER DIRECTORY, EMAIL ADVERTISING@DIRECTSELLINGNEWS.COM

XIRECT SOFTWARE SOLUTIONS

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

“

If you want brand exposure within the direct selling industry, then Direct Selling News is where you need to be. There is no other publication with the same reach

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

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

and quality content.

—MEGAN WINTLE / Director of Marketing, N e x i o /C M S

Nexio

877-551-5504 / NEXIOHUB.COM INSIDE BACK COVER

w w w. d i r e c t s e l l i n g n e w s . c o m 87

Sampling is a Proven Method to Acquire Loyal Customers From Concept to Fulfillment in as Little as 6 Weeks

With over 35 years of direct selling experience, we’ll make sure your sampling program is a success!

Strategize Manage

Market Deliver

LET’S CONNECT 310-428-9936 | info@now-tech.com | NOW-Tech.com

Once you understand commissions as a strategic investment, you’ll change your business and the lives of your distributors.

Get your commissions strategy on track with InfoTrax.