QUARTERLY BUSINESS REVIEW OCTOBER - DECEMBER 2015
Contents Q4 2015 highlights ................................................. 1 Breaking News ........................................................ 2 Top Tips ................................................................. 3 Did You Know This? ................................................ 3 Global Entrepreneurship Survey............................... 4 Member of the quarter............................................. 5 Employee of the month ........................................... 5 UK Events................................................................ 6 Did we pass the ‘legitmacy’ test?............................. 7 5 qualities you need to be successfull...................... 8 Coming Soon........................................................... 8
Quarter 4, 2015 highlights. A message from the President This has been a very busy time for all of us as we approach the LEO 3rd Global Annual Conference. Members will have been working hard to qualify and the Corporate team working equally hard on X2 and all the other new announcements we are going to make.
LEO Awards. This year at the LEO 3rd Global Annual Conference we will be making Awards to recognise Member achievement over and above the recognition they have received as part of the LEO Marketing Plan. This is the first time we will be doing this. It will become a permanent feature as we continue to recognise those Members who exhibit the core attributes that make for success. We want to share and encourage their performance because duplication is the best way to build your LEO business and grow towards your goals.
The Founders’ Tour continued with Atif, Geraldine and I visiting China, Thailand, Yakutsk, Sweden, Kazakhstan, Canada, USA, UK and Philippines; meeting Members for one-toone meetings and delivering Discover LEO and LEO Learning System training sessions. We were not alone in ‘getting out there’, we were ably supported by our senior team, not least Michelle Smith and Mahboob Shah. And every week in the Global Associate Meeting webinars we were treated to pictures of Member run events in countries too numerous to mention. A big ‘Thank you’ is due to our Leaders too.
There are five Awards: LEO product sales are the most important part of our business. The Top Direct Sales Award recognises this. Leadership Award recognises the team players as well as personal performance. Best Trainer Award. Training and duplication are an important part of building team performance. LEO believes in “Fast is better than Slow”, so we have a Fast Start Award. Founders’ Award. Atif and I select and appreciate Members who have caught our attention by the way they have conducted themselves throughout the year. We recognise them for being “Especially Helpful”.
The Ownership programme has been extended. New this quarter was the launch of the LEO Equity plan. Members resident in the USA and Canada can now take full advantage of the ‘Own’ step of the LEO journey. Those who are building the LEO business in the USA now get to benefit from its growth with voting class shares in LEO USA Inc.
I am looking forward to meeting you in Bali. Selamat tinggal! Dan Andersson
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Breaking News We have passed our probationary period and are now a full member of the Direct Selling Association in UK. Go to the dsa.org.uk site, select the Membership tab, select ‘Education and Training’ and you will see that we are the only accredited provider in this category.
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Top Tips Member Top Tip Muhammad Yasin, Director from Pakistan, shares his ‘top tip’:
I use ABC to evaluate a potential recruit: Ambition, Business sense and Credibility.
Follow-Up Do it early so the information you just learned is top of mind. Follow up first with people with whom you know well.
Did You Know This? According to the UK Office of National Statistics, there are 4.9 million business enterprises in the UK.
According to a survey by the University of Mannheim, direct selling industry’s total sales volume in Germany increased by 8% annually between 2007 and 2014. In 2014, 100,000 new direct sellers joined the industry, a 13% increase from previous year. A further 25% growth in the number of direct sellers is expected in the next four years in Germany. With this, the total field force is expected to exceed 1 million by 2019.
Of these 19.6% are sole proprietors, 10% are partnerships, The UK is unusual in having such a high percentage of self-employed people and organizations with no staff - by comparison just 6% of the US workforce is self-employed, 17% of Australian businesses are self-employed / sole proprietors, and across the EU the average is 14%. Over 18 million Americans were involved in direct selling and estimated retail sales reached $34.5 billion last year (an increase of 5.5 percent), according to the Direct Selling Association’s 2015 Growth & Outlook Report.
Nielsen report that “recommendations from people I know” are the most trusted form of brand advertising, with a score of 84%.
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Global Entrepreneurship Survey Amway has published the results of its Global Entrepreneurship Survey. This year the study was focused on the “reputation of entrepreneurship�. This most recent survey was conducted between May-August 2015 and covered 50,000 women and men in 44 countries. Some of the key findings from the survey are: * Entrepreneurs are perceived as avid learners who strive for success. * Entrepreneurship remains highly valued by three quarters of the respondents.
* As the driver to start a business, respondents are motivated the most by independence and self-fulfillment.
* The fear of failure is a strong obstacle, mainly driven by the fear of financial consequences of it.
* Young respondents have the strongest desire to becoming self-employed.
When we turn to individual countries, Denmark is perceived as the most entrepreneurshipfriendly environment when politics, media coverage and the people are considered. The ten most entrepreneur-friendly countries are below (The global average is 50%).
As far as the portion of respondents who can imagine starting a business is concerned, Mexico ranks the first at 81%. For several years, Amway has been doing a great job by conducting this global study and just as importantly, by sharing the findings with the public. At LEO we knew from the outset that there were many people out there who wanted to become entrepreneurs and the only thing stopping them was fear of the unknown. The Learn part of LEO has a ready market – these budding entrepreneurs only need someone to tell them we are here and we can help them achieve their dreams. So talk to more people; you will be pleasantly surprised by their reaction.
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Member of the quarter Malik Muhammad Yousaf Marketing Director In the words of Mahboob Shah, Regional General Manager, “Mr Yousaf is a very professional and hardworking member. He is very supportive of his teams, delivering 30 Duplication Training, 4 Presenter training and 1 Leadership training course this quarter alone.” A shining example of LEO Leadership in action.
Employee of the month
Emma Faraone, Copywriter and PA to CMO, Global Headquarters Emma works across the entire business, and with every department. She is a positive team player with all our staff and Members, regardless of background and ethnicity. November 2015 Richard Qu, Member Service Representative, North America Region, Toronto Whenever there is a message to pass to the Members that requires that extra personal touch, Richard is our ‘go to’ guy. He is bright, cares about our Members, always follows up . He does what is necessary to answer the Member.
NOVEMBER
December 2015
DECEMBER
Awarded for excellence in delivering the LEO Core Precepts: Members are the heart of our business; There is greatness inside everyone; True success causes no harm; Diversity is empowering; Fast is better than slow. These are the highlights. View the video of their presentation in the Hall of Fame on WelcometoLEO.com
Imran Akber, System Analyst, IT, Dubai Imran will happily accommodate any request and job that lands on his desk and has never been known to say ‘No’. He ensures that every task he undertakes is successfully completed and customers are left feeling happy with the results. He is always happy to go the extra mile to ensure everything is done.
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OCTOBER
October 2015
UK event We were delighted to welcome 15 Members to the second UK Open Day, held on 25th November. They travelled from UAE, China, Germany, Pakistan, Israel and UK.
After Dan formally welcomed everyone, Graham gave a tour of the offices: Dan’s inner sanctum, Administration, Marketing and the Multi-Media Studio. Presentations were made during the day on Discover LEO and LEO Business Top Tips; and Members were kind enough to share their personal experiences with the group.
Dan Andersson, President, CEO and Co-Founder of LEO; Atif Kamran, Chief Marketing Officer and Co-Founder of LEO; Geraldine Aquino, Chief Operating Officer; Sohail Ramzan, Chief Technology Officer; Graham Kent, Global Commercial Director; Mihir Magudia, Global Director of External Relations, as well as many from the Corporate team were there to welcome the Members on a damp, autumnal day in deepest Oxfordshire.
Several Members recorded their Testimonials, had their photographs taken and had one-on-one meetings with Dan and Atif.
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Did we pass the ‘legitimacy’ test? Susan Barlin, Founder of Forever Rich in the Philippines, listed eight tests you can apply to determine if a network marketing / direct sales business is legitimate. 1
Genuine businesses will show that the results happen only if you put in the time and effort.
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Legitimate businesses sell high-quality products. Good direct selling companies dedicate substantial resources to research and development to create quality products that are of actual use to people.
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Direct selling companies have restrictions in their compensation plan to level the playing field for its members. In a pyramid scheme the ones at the top make all the money.
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Recruiting new members is not a requirement to earn a commission. Legitimate companies are structured to reward people for promoting their products.
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Genuine direct selling companies give a product return guarantee.
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There is a solid training system with qualified trainers equipped with the expertise and experience to help their members better understand the business and the products they sell.
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Business tools that help network marketers better understand the products and how to sell them. A legitimate company helps its members keep track of purchases, commission earnings and full customer support. Other forms of support include brochures, regular product information releases, marketing materials and promotional offers.
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Direct selling companies have proper policies and procedures, as well as ethical marketing codes.
In conclusion, Barlin says “All network marketing does is provide you with a business model; it is still up to you to do the hard work.” I think we can score 8 out of 8 on that test. Every week we have a Global Leader’s Meeting that explains what is happening in LEO and what is coming along. Everyone is welcome to listen to what we are saying to our Members. There is a regular agenda item detailing the training we are running for new, and experienced, Members – totally free of cost. You can use the wealth of marketing materials available through your LEO provided back office system and sell through your personalised LEO Webshop. Finally our commitment to best practice is demonstrated by our DSA membership. Know any doubters? Walk them through this list. LEO has passed the scrutiny of the UK DSA to become a full member. We always want to demonstrate our determination to be open, honest and compliant and our entry onto their web site is the perfect evidence that we are delivering on this promise. LEO is the only company in the Education and Training category to achieve full membership.
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5 qualities you need to be successful Paula Gorry, UK Business Development Manager, Stampin’ Up! UK explores the qualities needed to make the most of your decision to join a Direct Selling Organisation like LEO. Passion for your product will always drive the selling process – making it much more fun to continue expanding the business. You can use your credits to experience the fabulous products we have – then you will have the passion you need. The ability to network, network, network! Direct selling is a business model that emphasises social interaction. Atif and Geraldine give some useful tips in the LEO Duplication Training Workbook. Be innovative when engaging your customers. Keep up regular communications. The more innovative you are, the more likely it is that your customers will keep coming back. Use the collateral provided on LEOTV and via the Downloads section of your back office. Invite them to the GAM too. Effective time management. Direct selling is flexible and this is a key part of its appeal as a business model. However it also follows that what you get out of it depends on how much you put in. Make a plan with key goals and milestones. An effective way of staying on track. Be Media Savvy. Develop a media profile. It is essential to target your messages to the right audience. Interviews with the local press on how you have grown a successful business is a great way of raising your profile in the local community. Member run training or awareness meetings (like Discover LEO) with support from the LEO Corporate team are very effective too. You just have to ask.
Coming up in Q1 2016 LEO 3rd Global Annual Conference BALI. January 19th 2016 – January 24th 2016.
Executive Trip to Dubai. 21st – 23rd March 2016
What can qualifiers expect? Training with Dan, Atif and Geraldine; many announcements including the launch of LEO Project X2. In the evenings, exclusive VIP Directors Meetings and VIP Dinners. The LEO Awards ceremony where we showcase our Leaders in 5 Award categories. Its not all work. Members have a choice of all expenses paid trips: Elephant Safari, Temple Tour, Water Sports Activity or relaxation on the glorious beaches, or that old favourite - shopping. As you would expect there is a Farewell Gala Dinner with extraordinary food and entertainment for all.
Achieve Executive Rank by 31st December 2015 and your award will qualify you for this VIP trip, including a half day training with Atif and many lifestyle experiences – all paid for by LEO. Already received your award? A Buy-in package is available. Missed the qualification date? There will be another one in September.
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Global Headquarters UK Battle Barns 112 Preston Crowmarsh Oxfordshire, OX10 6SL United Kingdom www.LearnEarnOwn.com
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