MLM News

MLM Company Herbalife Appoints New Manager For Indonesia

2007-06-28T19:16:00.001-07:00

Herbalife Ltd. (NYSE:HLF) has hired Agung Karso Sardjono as general manger of its Indonesia operations, responsible for expanding the company’s operations and working closely with its distributor leadership. He will report to Vice President, Southeast Asia Edi Hienrich.

Sardjono has 17 years of direct selling experience with leading companies. He spent 15 years at Avon Indonesia, where he started as a management trainee and ultimately became the first Indonesian president director, as well as serving on the company’s board.

BurnLounge Abandons MLM Business Model

2007-06-24T21:11:00.000-07:00

Under pressure from the FTC, BurnLounge has changed it's business model...

BurnLounge, the world’s first fan driven digital download community, today announced a simplification of its business model that will eliminate the network marketing element of its business while providing greater business benefit for entrepreneurial members of the BurnLounge community.

The company intends to focus on its free service and will deliver increased rewards per sale. BurnLounge will continue to build strong partnerships and high-margin product lines providing a viable business for its members and artists. The free service is comprised of BL2, the software that enables anyone to open up their own download store and become a digital retailer; and BurnPages, a personal web page with customizable widgets.

New FDA Rules Affect MLM Vitamin Companies

2007-06-24T21:07:00.000-07:00

Utah makers of dietary supplements such as Nature's Sunshine Products and Usana Health Sciences will have to do tests to identify all of the compounds.

Bloomberg News reports that is required under the 815 pages of new rules recently issued by U.S. regulators.

Manufacturers of such products nationwide also must establish written procedures and keep production records for at least a year, according to documents posted today on the U.S. Food and Drug Administration's Web site.

Distributors Sue MLM Company USANA

2007-06-24T21:03:00.000-07:00

MLM company USANA's PR woes continue...

Independent distributors filed a lawsuit Thursday accusing USANA Health Sciences Inc. of fraud and deception, the latest public-relations blow for the marketer of vitamins and nutritional supplements.

The lawsuit, which seeks class-action status, was filed in California state court on behalf of hundreds of low-level distributors in California, which has tough multilevel marketing laws.

MLM Newsletter "MarketWave Alert" Issue #81

2007-06-19T19:18:00.000-07:00

In the latest issue of MLM industry newsletter "MarketWave Alert", Len Clements discusses the FTC action against BurnLounge Inc. The FTC is alleging that BurnLounge is an illegal pyramid scheme.

BurnLounge is a multilevel reseller of downloadable music via "online music stores".

Interesting article and well worth checking out for Len's view on the economics of an MLM company and the problems facing BurnLounge.

Relaunch For MLM Brand Amway

2007-06-17T19:35:00.001-07:00

Quixtar is on its way out. Amway is on its way back.

Direct-sales giant Alticor Inc. confirmed Wednesday it will phase out its 7-year-old Quixtar Inc. label during the next 1 1/2 to two years and rebuild its Amway Corp. name in North America.

More Embarrassment At MLM Company USANA

2007-06-17T19:20:00.000-07:00

Further embarrassing disclosures at MLM company USANA...

Another executive at Utah vitamin maker Usana Health Sciences Inc. has been forced to revise his credentials.

Gil Fuller, Usana's senior vice president and chief financial officer, has been described as a certified public accountant, but he let his license to practice public accounting lapse in 1986, long before he joined the company.

MLM In India - New Developments

2007-06-03T05:12:00.000-07:00

News about developments in India...

Ever thought what’s driving big ticket investments by MLM (multi level marketing) companies such as Amway, Herbalife, Modicare, Hindustan Lever Network and Forever Living into India? And why they are churning their product mix and what’s their new focus area?

Feel the pulse. Indians are getting more health conscious and it’s nutrition and wellness products that’re raking in the moolah for major direct selling companies operating in the country now. This, in fact, is also luring new entrants into the market.

Indian Physician Joins Advisory Board Of MLM Company Herbalife

2007-06-01T18:26:00.000-07:00

Herbalife Ltd. (NYSE:HLF) has expanded its Nutrition Advisory Board (NAB) with the addition of Anoop Misra, M.D. of India, an internationally recognized specialist on diabetes and metabolic disease. Anoop Misra was awarded Padma Shri (one of the highest national honors) by the President of India.

The Herbalife NAB is comprised of leading experts around the world in the fields of nutrition and health who educate and train Herbalife independent distributors on the principles of nutrition, physical activity and a healthy lifestyle. The board is chaired by David Heber, M.D., Ph.D., director of the Center for Human Nutrition at the University of California, Los Angeles (UCLA).

Outlook For MLM Company Amway In Romania

2007-05-28T00:11:00.000-07:00

Direct sales company Amway Marketing Romania, estimates a 20-30% turnover increase for this year, which would bring the company's business to around 37 million euros, with a business growth rate of half that seen in the last three years. Amway Marketing Romania, which sells cosmetic products, food additives, and household care products, has posted monthly sales of 3 to 4 million dollars (2.2 to 3 million euros), up 20-30% on the same period last year. "I don't think we will see a 50% increase in turnover this year, because we have already reached a size at which such a rate of growth is not possible any more.

New Chairman At MLM Company Herbalife

2007-05-28T00:03:00.000-07:00

Herbalife Ltd., which markets nutritional supplements, said late Wednesday it named Chief Executive Michael O. Johnson chairman.

Johnson succeeds Peter Castleman, who resigned to focus on his other business activities, the company said.

Latest Issue Of MLM Newsletter "MarketWave Alert"

2007-05-28T00:00:00.000-07:00

Latest issue of "MarketWave Alert" has more on the FDI versus MLM company USANA issue...

For any of you following Barry Minkow's attack on Usana (which is actually an attack on MLM backed by the Pyramid Scheme Alert organization), check out Dr. Jon Taylor's response to my rebuttal, and my rebuttal to his response, here:

MLM Newsletter "MarketWave Alert" - Issue #78

2007-05-23T16:44:00.000-07:00

Latest issue of MarketWave Alert looks at MLM company Mannatech and potential regulatory concerns about claims made for some of the company's products.

MLM Company Herbalife Makes New Management Appointment

2007-05-23T16:38:00.000-07:00

Herbalife Ltd. (NYSE:HLF) announced the appointment of Adriana G. Mendizabal as senior vice president and managing director of its Mexico and Central America region, effective June 1, 2007.

Mendizabal brings a stellar consumer marketing background to Herbalife based upon best practices developed throughout her career. She joins the company from Johnson & Johnson Consumer Mexico, where she served as general manager of the company’s consumer division. Under her leadership, the company achieved share gains across core product categories for brands including Neutrogena and Johnson's Baby.

MLM Company Herbalife Adds To Advisory Board

2007-05-16T02:57:00.000-07:00

Herbalife Ltd. (NYSE:HLF) announced today the addition of internal medicine specialist Joaquim Caetano, M.D. of Portugal and obesity expert Rocio Medina, M.D. of Mexico, to its Nutrition Advisory Board (NAB), reflecting the company’s commitment to supporting its independent distributors more closely at both a regional and local level.

The NAB is made of leading experts around the world in the fields of nutrition and health who educate and train Herbalife independent distributors on the principles of nutrition, physical activity and healthy lifestyle. The board is chaired by David Heber, M.D., Ph.D., director of the Center for Human Nutrition at the University of California, Los Angeles (UCLA).

MLM Company Herbalife Outsources Production In India

2007-05-16T02:55:00.000-07:00

Twilight Litaka Pharma Ltd has announced that the Company has signed an agreement with a US based Nutrition Company, namely Herbalife International India Pvt Ltd, a subsidiary of Herbalife International, a $3 billion direct selling Company, specializing in nutrition, skincare and weight-management products.

The Company will develop new products of Herbalife for its business in India and will also manufacture its food supplement products for the Indian market at the newly commissioned Twilight Group facility at Baddi, Dist. Solan, Himachal Pradesh. Under this arrangement technical know-how will be supplied by Herbalife International. The volumes are expected to be minimum Rs 50 crore per annum and will add substantially to the Company's prospects in the coming years. The Company is associated with Herbalife India as Contract Manufacturer since 1999.

MLM Newsletter "MarketWave Alert" #77

2007-05-15T00:31:00.000-07:00

Latest issue of Len Clements' newsletter "MarketWave Alert" continues with the ongoing battle between MLM company USANA Health Sciences and the Fraud Discovery Institute.

Len makes a good point about why this case should be of interest to all Network Marketers and MLM Distributors...

Why should you care if you're not involved with Usana, I'm assuming some of you may be asking? Because most of what Minkow, FitzPatrick, Jon Taylor, et. al. are claiming makes Usana illegal could easily apply to almost every MLM program, including yours! And because of Minkow's past success at exposing frauds and scams (after his own was exposed and he was released from prison) the federal regulatory agencies he has sent his Usana Report to might take him more seriously than all the other Anti-MLM Zealots who they have so far utterly ignored. The Wall Street Journal has already given his report undue attention, and thus undue credibility. In fact, if Minkow's case against Usana (which is actually more a case made by a foursome of Anti-MLM Zealots who helped Minkow produce this report, which is essentially an attack on MLM) gains any traction with the FTC or SEC it could potentially cause far more harm to the MLM industry than the FTC's new proposed Business Opportunity Rule ever could. But since Minkow's attack is ostensively on just one company, few outside Usana seem to be paying it much attention. You should. The next battle may be closer to home.

MLM Company Amway In UK Shake Up

2007-05-13T01:23:00.000-07:00

MLM company Amway has taken action in the UK to ban the practice of "system" selling. Could be the prelude to a wider shake up in the company's business.

MLM Company USANA Receives Patent

2007-05-13T01:02:00.000-07:00

USANA Health Sciences, Inc. (USNA) received notice of an official patent, to be released at 10:00am EST from the United States Patent & Trademark Office, for its exclusive self-preserving technology currently used in the company's Sense beautiful science(R) skin and personal care product line.

This patent covers USANA's formulation for manufacturing the Sense skin and personal care product line so that they are capable of maintaining an industry-standard, two-year shelf life without the need for added chemical preservatives. USANA's now-patented "self-preserving" technology utilizes a variety of proprietary blends of purifying botanicals, antioxidants and other active ingredients in protective liquid crystals to keep the product fresh naturally. The Sense line maintains its shelf life without the use of parabens or other chemical preservatives commonly used in other cosmetics and skin care products. Sense has utilized this self-preserving technology since September 2004 on a patent-pending basis, and it is the only skin care and beauty care product line in the world to implement this scientific advancement.

Management Award For Exec From MLM Company Arbonne

2007-05-13T01:00:00.000-07:00

Laura J. Fletcher, Executive National Vice President of Arbonne International has been named Cambridge Who’s Who Executive of the Year in Network Marketing. While inclusion in Cambridge Who’s Who Registry is an honor, only one member in each discipline is named the Cambridge Who’s Who Among Executive & Professional Women of the Year. The Cambridge Who’s Who selection committee hand picks these special Who’s Who honorees based on accomplishments, academic achievement, leadership and service.

MLM Company Amway Wins Product Awards In Malaysia

2007-05-11T01:44:00.000-07:00

Amway (M) Sdn Bhd’s food supplement Nutrilite and water purifier Amway Water Treatment System (AWTS) bagged awards for the third consecutive year. Nutrilite and AWTS won the Gold Awards in the vitamin/health supplement and water purifier categories respectively for Malaysia and Asia.

Reader’s Digest Asia Trusted Brands Survey identifies which brands appeal most to affluent Asian consumers. The survey reflects consumers’ choice of their most trusted and favourite brands.

MLM Company Amway Aims To Double Sales In Thailand

2007-05-05T05:26:00.000-07:00

Amway (Thailand) Co, the country's largest direct sales firm, is aiming to double its sales in 2012 to 20 billion baht.

Preecha Prakobkit, the company's managing director, said the target would be in line with its US parent firm's goal to double its business at the same time.

MLM Company USANA Wins Two Utah Awards

2007-04-30T20:57:00.000-07:00

Some welcome good news for MLM company USANA...

USANA Health Sciences, Inc. (USNA) will be recognized on May 19, 2007 with two Utah Best of State Awards. USANA will receive an award for the best dietary supplements in the state of Utah along with an award for best personal-care products.

Outlook For MLM Company Herbalife

2007-04-29T01:43:00.000-07:00

Article from Forbes magazine about the outlook for MLM company Herbalife.

MLM Company Herbalife Announces Preliminary Q1 Results

2007-04-27T03:24:00.000-07:00

Herbalife Ltd. today announced it anticipates reporting net sales for the three months ended March 31, 2007 of approximately $508 million, an increase of 11.5 percent compared to the same period last year, when it files its quarterly Form 10-Q in early May 2007. The expected net sales reflects continued growth in the company’s top two markets, the U.S. and Mexico, which increased approximately 23 percent and 13 percent, respectively, compared to the first quarter of 2006. Based on its expected net sales growth, the company anticipates that first quarter 2007 diluted earnings per share will be in the range of $0.60 to $0.61, compared to its previously announced range of $0.52 to $0.57, excluding expenses associated with its realignment for growth initiative and the adjustment to tax reserves.

MLM Company Amway In India - Update

2007-04-27T03:21:00.000-07:00

A leading direct selling FMCG company, Amway India, intends to up its turnover from Rs 738 crore in 2006 to Rs 1,000 crore by early 2008.

The company plans to launch 6-8 of the company’s products and around 20 catalogue products. Catalogue products are products manufactured by other companies and marketed by Amway under its own brand.

Hebalife Products Help Children In Philippines

2007-04-22T04:22:00.000-07:00

Here's a heart warming story about Herbalife products being used to help children in the Philippines...

At the newly opened feeding center called "Singapore Wellness Club" in Baseco, children aged three to six are given their daily nutritious drink packed with fresh fruits, oats and Herbalife Formula 1 in chocolate, wild berry and vanilla flavors.

MLM Newsletter "MarketWave Alert" Issue #73 And #74

2007-04-21T05:33:00.000-07:00

MLM expert Len Clements devotes issue #73 and #74 of his "MarketWave Alert" newsletter to the ongoing dispute between USANA Health Sciences and the Fraud Discovery Institute ("FDI").

In issue #73 Len publishes a special report with a detailed comment and rebuttal of the claims made by the FDI. You can download the report here.

In issue #74 there is a response from the FDI plus a further response to that from Len that you can read here.

Comment: These reports are well worth taking a look at because of the amount of legal and background information about the MLM and Network Marketing industry that they contain.

MLM Company USANA Reports Higher Q1 Sales

2007-04-19T02:42:00.000-07:00

USANA Health Sciences, Inc. (USNA) today announced financial results for the fiscal first quarter of 2007, ended March 31. The first quarter of 2007 represented the 19th consecutive quarter of record sales for the Company.

MLM Company Herbalife Expands Charity Program

2007-04-19T02:35:00.000-07:00

Children and their families will sit down to nutritious meals at the VanHarte charity restaurant in The Hague, Netherlands, with the support of the Herbalife Family Foundation’s Casa Herbalife program.

The aim of the VanHarte charity restaurant is to help individuals experiencing social exclusion, by creating a place where they can eat healthy foods inexpensively, meet others in a similar situation and be reintegrated into society.

New MLM Launch In Malaysia

2007-04-17T03:01:00.000-07:00

EcoFirst Consolidated Bhd’s network marketing unit, EcoFirst Products Sdn Bhd, has introduced a revolutionary skin care product to establish its presence in the multi level marketing (MLM) industry.

Technical Analysis Of MLM Company USANA's Share Price

2007-04-17T02:58:00.000-07:00

MLM company USANA is listed on the NASDAQ. This article takes a look at the performance of the company's shares and the likely outlook based on some commonly used technical indicators. Includes an interesting chart of the share price over the last few years.

Procter And Gamble Steps Up Pressure On Ex-Amway Distributors

2007-04-14T18:24:00.000-07:00

Procter & Gamble is giving Amway distributors hell for trying to overturn a multimillion-dollar jury verdict against them for spreading the false rumor that the household-products giant supported a satanic church.

P&G has filed a brief opposing the distributors' request for an investigation into possible jury misconduct. The company argues there is no evidence of wrongdoing by the panel and that court rules prohibit questioning jurors about their deliberations.

More Allegations Against MLM Company USANA

2007-04-12T20:06:00.000-07:00

Further damaging allegations from the "Fraud Discovery Institute" against MLM company USANA Health Sciences...

"The company presents their advisory board as an independent
medical body of experts that have affirmed the quality and
effectiveness of Usana products. But the reality is that
the entire board have vested financial interests in Usana's
success as multi level marketing distributorships,"
said Barry Minkow.

MLM Company Amway In Russia

2007-04-11T04:54:00.000-07:00

The commercial centre of Amway in Rostov-on-Don celebrated the first anniversary of the operation. The company estimates the operation of Donskoy commercial centre as successful, it is in top 3 in terms of the sales among similar centres of the brand in Russia.

MLM Company Nu Skin Announces Management Appointment

2007-04-11T04:52:00.000-07:00

Global personal care products selling Company Nu Skin Enterprises has appointed Gary K. Sumihiro as the new president of Nu Skin Japan and replaces Robert Conlee who held that position for over 3 years, but will continue to oversee the Company's North Asia region according to Nu Skin.

MLM Company USANA Expands Buyback Program

2007-04-11T04:47:00.000-07:00

No lack of confidence from the board of MLM company USANA...

Usana Health Sciences, Inc., which develops and manufactures nutritional and personal care products, said Tuesday it expanded its share buyback authorization to $65 million from $25 million.

No Higher Bid For MLM Company Herbalife In Prospect

2007-04-10T00:46:00.000-07:00

Looks like no new bid for MLM company Herbalife...

Herbalife stock tumbled on Monday after the company ended sale talks with its largest shareholder.

Shares of Herbalife were down $1.79, or 4.4%, to $38.48 in midday trading, after the maker of weight-management and nutrition products halted discussions between its board of directors and Whitney V., L.P. In early February, Whitney extended an all-cash offer of $38 per share to the company.

Offer To Buyout MLM Company Herbalife May Be Renewed

2007-04-08T02:41:00.000-07:00

Looks like the the bid for MLM company Herbalife may be back on...

Whitney V LP, the largest shareholder of Herbalife Ltd., is in talks with the nutritional and diet supplement company to raise its previously withdrawn cash buyout offer, according to a regulatory filing with the Securities and Exchange Commission.

Criticism Of Earnings Call By MLM Company USANA

2007-04-06T03:33:00.000-07:00

Interesting commentary about the recent earnings call by USANA and the lack of hard questions from analysts.

MLM Company USANA Under Fire After Earnings Call

2007-04-06T03:32:00.000-07:00

The "Fraud Discovery Institute" kept up it's campaign against MLM company USANA Health Sciences after a recent earnings call hosted by the company.

MLM Company Herbalife Rejects Whitney Bid

2007-04-02T19:03:00.000-07:00

Herbalife shares dropped Friday after a buyout rejection worried investors expecting a higher bid.

Shares of Herbalifeslimmed 77 cents, or 1.9%, to $39.50, after the company said an offer from private-equity firm Whitney V was too low. The drop after the rejection came even though shares would only be worth $38 if the deal was accepted.

Editor's Note: I posted this news previously but the Forbes article adds some detail.

Ex-Amway Distributors Appeal Procter And Gamble Decision

2007-04-01T02:46:00.000-07:00

After the announcement earlier this week, the ex-Amway MLM distributors are appealing...

Lawyers for the four Amway distributors ordered to pay $19.25 million are trying to get the verdict thrown, alleging improper deliberations.

Investment Group Withdraws Offer For MLM Company Herbalife

2007-04-01T02:39:00.000-07:00

An investment group whose bid for Century City-based Herbalife Ltd. was rejected said Friday that it was withdrawing the $2.7-billion offer — and that it might sell the Herbalife shares it owns or buy some more.

Shares In MLM Company USANA Hit By Lawsuits

2007-03-30T23:22:00.000-07:00

Shares of Usana Health Sciences Inc. dropped Friday after several law firms announced purported class action suits Thursday, alleging the maker of nutritional and skin care products violated federal securities law.

Usana shares fell $4.26, or 8.5 percent, to $46.13 in afternoon trading on the Nasdaq Stock Market at more than double their average volume. Over the past year, shares climbed from a low of $35.06 in July to reach a high of $61.80 in mid-February.

Dennis Waitley To Step Down From Board Of MLM Company USANA

2007-03-30T23:14:00.000-07:00

“Dr. Denis Waitley has decided not to stand for reelection to the USANA board of directors. Dr. Waitley recently informed USANA that an error appeared in his biography listed in the Company’s proxy statement and that he did not in fact earn a masters degree in Organizational Development from the Naval Post Graduate School in Monterey, California. Dr. Waitley did confirm that he earned a Bachelor of Science degree from the United States Naval Academy in Annapolis, Maryland, and a Ph.D. in Human Behavior from La Jolla University. Dr. Waitley’s board term will end on April 17, 2007, at which time he will retire as a director of the Company.

"The board of directors has regretfully acknowledged Denis Waitley’s decision to retire from the board and acknowledges his contributions to USANA during his tenure as a director.”

Comment: The "Fraud Detection Institute" campaign against MLM company USANA claims a high profile victim.

More Allegations Against MLM Company USANA

2007-03-30T01:31:00.000-07:00

The "Fraud Discovery Institute" steps up it's campaign against MLM company USANA Health Sciences with allegations against Director Dennis Waitley and criticism of company products.

Editor's Note: The link is to a press release from the FDI. Reading it, the impression one gets is of the FDI looking to create some controversy around this story. The allegations against Dennis Waitley look pretty flimsy and the criticism of the products looks ill-informed.

More Class Action Headaches For MLM Company USANA

2007-03-30T01:19:00.000-07:00

The "ambulance chasers" are coming out of the woodwork with another class action suit being lodged against MLM company USANA Health Sciences. This time by Brower Piven. Another law firm, Milberg Weiss, has announced it is investigating launching a similar suit.

Bid Too Low For MLM Company Herbalife

2007-03-30T01:13:00.000-07:00

MLM company Herbalife Ltd., a company that sells weight-loss and nutritional supplements, on Thursday said a special committee of its directors found that Whitney V L.P.'s acquisition offer of $38.00 per share was too low, but remains open to a higher bid from Whitney.

Whitney already owns a large stake in Herbalife and is looking to acquire the rest of the company.

MLM Company Amway India Appoints New PR Firm

2007-03-30T01:06:00.000-07:00

Amway India Enterprises, the direct selling FMCG company has announced the appointment of Hanmer & Partners, to partner the company in its national communication objectives.

MLM Company Herbalife To Be LA Galaxy Jersey Sponsor

2007-03-29T02:57:00.001-07:00

On Friday, Herbalife and Galaxy owner AEG extended Herbalife's sponsorship deal with the Galaxy to include the jersey sponsorship. The Galaxy is the second MLS team to have a jersey sponsor after MLS' Real Salt Lake signed with XanGo.

MLM Company Herbalife Awards $30m In Distributor Bonuses

2007-03-29T02:50:00.000-07:00

Over 3,000 Herbalife independent distributors gathered for the 2006 Mark Hughes Bonus Awards where Herbalife distributed $30 million in year-end bonuses, the largest pool ever, to its top achievers tonight at the Gibson Amphitheatre at Universal CityWalk. Five of the bonuses were over $1 million, with a top bonus of $1.8 million.

MLM Company USANA Hit With Class Action Suit

2007-03-27T18:54:00.000-07:00

MLM company USANA continues to suffer fallout from the report issued recently by the "Fraud Detection Institute". Dreier LLP has launched a class action suit against the company alleging violations of securities laws.

MLM Company Herbalife Obtains Licence In China

2007-03-25T05:16:00.000-07:00

International dietary supplements marketer Herbalife said it has received its direct-selling license from China's Ministry of Commerce, following a period when the government prohibited direct sales companies.

Soccer Sponsorship And MLM Companies

2007-03-24T21:02:00.000-07:00

Article about sponsorship of North American soccer teams. Mentions the involvement of MLM companies Herbalife and XanGo.

Former Distributors For MLM Company Amway Lose Suit Against Procter & Gamble

2007-03-22T17:44:00.000-07:00

Procter & Gamble Co. has won a jury award of $19.25 million in a civil lawsuit filed against four former Amway distributors accused of spreading false rumors linking the company to Satanism to advance their own business.

Comment: This was one of those stories that acquired "urban myth" status back in the 80's and 90's. Apparently, the distributors were responsible for propagating the rumor about P&G (presumably to boost sales of their own Amway products).

Further Scrutiny For MLM Company USANA

2007-03-22T17:32:00.000-07:00

The recent attention generated by the FDI report on USANA has led a number of other analysts to take a closer look at MLM company USANA. USANA is publicly listed on NASDAQ and the share price has increased dramatically in recent years. Hence interest in the company is only natural.

This article is well worth a read. It's somewhat crtical of the company but it's quite comprehensive and even-handed in it's comments.

SEC Probe Hits MLM Company USANA

2007-03-20T22:41:00.000-07:00

Shares in MLM company USANA continued to fall on Tuesday after the SEC launched an informal inquiry into the company.

This follows a highly critical report issued by the "Fraud Detection Institute". USANA has hit back with a law suit against the FDI and its director Barry Minkow.

FDI Responds To Lawsuit From MLM Company USANA

2007-03-20T04:32:00.000-07:00

In a rebuttal to the Usana Health Sciences, Inc. lawsuit in federal court, filed on March 15, 2007, the Fraud Discovery Institute, Inc. (FDI) has posted a ten-point response on its website (http://www.frauddiscovery.net/) to further bolster and corroborate the allegations made in FDI's original report to authorities, dated February 20, 2007.

More On The USANA - FDI Storm

2007-03-18T01:37:00.000-07:00

Reply from FDI's Barry Minkow to the defamation suit launched by MLM company USANA.

Suzanne Somers Launches New Direct Sales Company

2007-03-18T01:20:00.000-07:00

Suzanne Somers, the blonde bombshell best known as the air-headed Chrissy on ``Three's Company'' -- and for hawking ThighMasters -- has launched a new home-based sales business headquartered in Grand Rapids with the help of former Amway executives.

MLM Newsletter - Latest "MarketWave Alert" #71

2007-03-17T17:02:00.000-07:00

Latest issue from MLM expert Len Clements' "MarketWave Alert" deals in depth with the recent storm surrounding MLM company USANA Health Sciences.

USANA is the target of a highly critical report from the "Fraud Discovery Institute". USANA has rejected the claims in the report and launched a defamation suit against the FDI.

The newsletter covers the story in some detail. Well worth a read.

MLM Company USANA Shares Hit After Adverse Report

2007-03-15T23:12:00.000-07:00

Shares in MLM company USANA slumped almost 15 % on Thursday as a report issued by the Fraud Discovery Institute ("FDI") alleged potential fraud by the company.

USANA strongly denied the claims and has launched a defamation suit against the FDI and its Director Barry Minkow.

MLM Company Herbalife Appoints Venezuela MD

2007-03-15T04:09:00.000-07:00

MLM company Herbalife Ltd., a global nutrition direct-selling company, announced the appointment of Vanna Lara as managing director of Venezuela, responsible for overall operations and the development and leadership of staff and independent distributors. She will report to Tom Harms, vice president, South America.

MLM In China - Avon Sales Jump 28%

2007-03-10T00:31:00.000-08:00

MLM company Avon saw a 28% jump in sales in China after restructuring operations.

MLM In Bangladesh

2007-03-09T21:11:00.000-08:00

Interesting article about an MLM company "D2K-Destiny 2000 Ltd" in Bangladesh. The article is called "Promoting Business Through Multi-Level Marketing". The english translation leaves a little to be desired but worth a read.

MLM Company Sunrider Launches Operation In Nigeria

2007-02-26T22:42:00.000-08:00

Article about the launch in Nigeria by MLM company Sunrider. Initially the company will be selling a limited range of six of its products.

MLM Company Herbalife Reports Record Q4 Sales

2007-02-26T22:35:00.000-08:00

MLM company Herbalife Ltd. today reported fourth-quarter net sales of $487.4 million, an increase of 19.2 percent compared to the same period of 2005. This record performance was largely attributable to continued growth in several of the company’s largest markets, including Mexico and the U.S., which reported net sales growth of 35.1 percent and 25.0 percent, respectively, versus the fourth quarter of 2005. The company’s chief executive officer, Michael O. Johnson, said, “2006 marked another tremendous year for our independent distributors and our company. We believe our commitment to supporting successful distributor methods of operations, and providing innovative business tools, high-quality products and training events will enable us to sustain momentum in many of our key markets.”

MLM And Direct Selling Industry In The USA Today

2007-02-26T22:32:00.000-08:00

Interesting article about the MLM and direct selling industry in the USA today. Contains some useful data including this about sales growth...

Direct sales have climbed every year for two decades.

In 1996, direct sales brought in $20.84 billion nationally. There were an estimated 8.5 million people in the United States working in direct marketing.

By 2005, national direct sales were $30.47 billion, nearly 1 percent of total U.S. retail sales. Currently there are more than 14.1 million people selling directly to customers.

Over a 10-year period, direct sales have climbed at an average annual growth rate of 5.5 percent.

MLM In China

2007-02-26T22:23:00.000-08:00

US News article about the MLM industry in China, the existing activities of MLM companies such as Amway and Nu Skin and the new opportunities opening up with the recent change in legislation.

MLM Company Amway Reports Romania Results

2007-02-22T23:36:00.000-08:00

Update on sales in Romania for MLM company Amway. 2006 saw sales up 50%.

MLM Company Herbalife Expands Sports Sponsorship

2007-02-15T22:14:00.000-08:00

MLM company Herbalife Ltd. , a global nutrition and direct-selling company, extends its presence in the triathlon field with the sponsorship of seven triathletes and continued funding of the Herbalife Triathlon Academy, designed to nurture triathlon talent in the United Kingdom.

MLM Company Herbalife Responds To Concerns In Iceland

2007-02-11T17:04:00.000-08:00

This is a statement from MLM company Herbalife responding to recent criticisms of some of its products in Iceland.

MLM Company Herbalife Hires Advisers For Acquisition

2007-02-11T16:53:00.000-08:00

MLM company Herbalife Ltd. said Tuesday it hired financial and legal advisers to help it review an acquisition proposal by private equity firm Whitney V LP.

The company hired Goldman Sachs as its financial adviser and Gibson, Dunn & Crutcher LLP as its legal adviser. Munger, Tolles & Olson LP will serve as the special board committee's legal adviser.

Record 2006 Results For MLM Company USANA

2007-02-07T21:36:00.000-08:00

MLM company USANA Health Sciences announced results for both Q4 and full year 2006

Consolidated net sales in the fourth quarter of 2006 increased by 16.5% to $99.8 million, compared with $85.6 million in the fourth quarter of the prior year. Excluding the positive impact of currency fluctuations, this sales increase would have been 15.0%. Net sales growth for the fourth quarter of 2006 resulted primarily from a 15.0% increase in the number of active Associates, compared with the fourth quarter of the prior year.

MLM Hots Up In China

2007-02-07T02:09:00.000-08:00

Direct sellers in China have begun the year with bold marketing campaigns. Amway got Olympic star Liu Xiang on board to endorse its products, while Avon's recruitment drive for direct sellers is frequently on TV.

Article about how MLM companies such as Amway are expanding in China as a result of the new regulations allowing direct selling.

Criticism Of Buyout Offer For MLM Company Herbalife

2007-02-05T23:39:00.000-08:00

MLM company Herbalife, the maker of nutrional supplements, has received a buyout offer from Whitney V LP for about $2 billion, but at least one equity analyst thinks the offer is too low to merit shareholder approval.

Forbes magazine discusses the buyout offer for MLM company Herbalife.

Private Equity Group Makes Offer For MLM Company Herbalife

2007-02-04T23:23:00.000-08:00

A private investment group that owns more than a quarter of MLM company Herbalife Ltd., the Century City-based direct seller of nutritional and weight-loss supplements, has made a bid for the entire company, Herbalife said Friday.

J.H. Whitney & Co., which took Herbalife private in 2002 when it purchased the company with another investor, offered $38 a share in cash this time, valuing the company at $2.7 billion.

Sales Decline In 2006 For MLM Group Alticor

2007-02-02T00:50:00.000-08:00

MLM group Alticor Inc. and its family of companies reported sales of $6.3 billion for the 2006 performance year, which ended December 31.

Sales declined slightly from $6.4 billion in 2005. Company officials attributed the dip to a period of regulatory uncertainty that chilled sales in China, the company's largest direct selling market. However, Amway (China) Co. Ltd. received its direct selling license December 1, 2006, leaving company officials optimistic that China sales will return to growth this year.

Higher Sales For MLM Company Amway India

2007-02-02T00:26:00.000-08:00

MLM company Amway India, the country's leading direct selling company, has pegged its revenues at Rs 738 crore in 2005-06, as compared to Rs 633 crore in the previous year, officials said.

"This represents a robust 17 per cent growth and we believe that the Rs 1,000 crore milestone is just around the corner," Sanker Parmeswaran, Director (corporation and legal affairs) Amway, told reporters here.

MLM Training - Michael Oliver Releases "Mem-Cards" Version Of His Book

2007-01-28T16:00:00.000-08:00

Leading MLM trainer Michael Oliver has released a "Mem-Cards" version of his book "How To Sell Network Marketing Without Fear, Anxiety Or Losing Your Friends!"

"Mem-Cards" are a new concept in presenting information in a way that's quickly and easily accessible for the time-pressed Network Marketer and MLM Distributor. In the form of a set of cards, "Mem-Cards" make up a handy summary of a book that's easy to carry around and refer to at any time.

The "Mem-Cards" version of "How To Sell Network Marketing Without Fear, Anxiety or Losing Your Friends!" contains 26 content cards plus 2 general information cards. The content covers the key concepts of Michael Oliver's "Natural Selling" process, including the core principles and his "Conversation Framework".

The "Mem-Cards" are designed as a companion to the full version of the book and will help Network Marketers and MLM Distributors learn and master the approach quicker and more easily.

Michael Oliver is the founder and principal of Natural Selling Sales Training. He has been voted the #1 MLM Trainer in both the 2004 and 2005 polls conducted by the online magazine "MLM Insider".

Trouble In Iceland For MLM Company Herbalife?

2007-01-28T15:52:00.000-08:00

MLM company Herbalife is attracting some bad press in Iceland with reports that 6 people have been hospitalized with hepatitis that may have been caused by Herbalife products.

MLM Company Freelife Under Fire In CBC Program

2007-01-28T01:42:00.000-08:00

Latest edition of Len Clements' "MarketWave Alert" (#70) discusses a story about MLM company Freelife on the CBC consumer affairs program "Marketplace". The story is fairly negative and raises some awkward questions for Freelife.

Freelife is best known for its Himalayan Goji Juice.

More about "MarketWave Alert" here.

New MLM Company Uses Direct Response Campaign

2007-01-23T17:24:00.000-08:00

New MLM company "ITV Ventures" offers lead generation via direct response campaigns. The company is an extension of infomercial company "ITV Direct".

The products themselves are a fairly conventional offering in the nutrition field. The interesting thing is the lead generation via infomercials, leading the company to describe itself as a "Direct response network marketing" company.

UK MLM Company Kleeneze Launches Travel Incentive Program

2007-01-21T23:37:00.000-08:00

2007 started with a bang for Europe’s leading network marketing company: Kleeneze is now part of a FTSE 250 company, and recruitment and sales look set to soar as their biggest ever travel incentive launched to an audience of 5,000 delegates at the New Year conference in Birmingham.

Comment: The more interesting thing about this press release is that MLM company Kleeneze is now part of the public company Findel Group.

MLM Newsletter - Latest Issue (#69) "MarketWave Alert"

2007-01-21T23:16:00.000-08:00

The latest issue, #69, of MLM newsletter "MarketWave Alert" from Len Clements is now available.

In this issue Len talks about an upcoming article in "Playboy" magazine about MLM company XanGo. From the promo. looks like XanGo could well have to weather a highly negative article.

MLM Company Amway India Reports Increased Sales For 2006

2007-01-20T01:48:00.000-08:00

MLM company Amway India, the direct selling FMCG company, has announced that it closed the year January - December 2006, at Rs 7.38 billion, up from Rs 6.33 billion in the previous reported 12 month period. This represents a growth of almost 17 per cent.

MLM Company Herbalife Sponsors Finland Hockey

2007-01-18T16:51:00.000-08:00

MLM company Herbalife Ltd., a global nutrition network marketing company, announced a three year sponsorship deal with the Finnish Ice Hockey Association (FIHA), designating Herbalife as the official nutrition partner of the league. It is the first major sponsorship agreement of its kind for Herbalife in Finland.

The agreement covers the national team as well as the women’s and junior teams, and provides opportunities for branding, hospitality, PR, sampling and the senior and junior teams all currently rank in the top five national ice hockey teams worldwide. As part of the deal, Herbalife will be providing product and nutritional training to each of the players from all three teams.

MLM Company Amway Extends Business In India

2007-01-16T23:54:00.000-08:00

MLM company Amway India, the wholly owned subsidiary of US-headquartered direct marketing company Amway Corp, plans to enter smaller towns and cities in search of newer markets for its beauty, health and home-care products.

The privately-held company, which claims to have posted a revenue of Rs 738 crore in 2006 through its 74 distribution centres across major state capitals and prominent cities, hopes that branching into newer markets would push its turnover to Rs 1,500 crore by 2011.

MLM Company Herbalife Appoints New Chief Admin Officer

2007-01-14T13:11:00.000-08:00

MLM company Herbalife Ltd., a global nutrition direct-selling company, announced the promotion of Patrick R. Dailey, Ph.D. to the newly-created position of chief administrative officer, responsible for human resources, overseeing the company’s real estate portfolio, risk management and corporate travel. Dailey joined the company in August 2005 as senior vice president of human resources.

Dailey came to Herbalife from Hewlett-Packard Company in Palo Alto where he served as vice president, global workforce management. Previously, he was employed at Lucent Technologies. Earlier in his career, Dailey worked at Korn/Ferry International, The British Oxygen Group, and PepsiCo’s Frito-Lay division.

MLM Company USANA Expects To Beat 2006 Sales Forecasts

2007-01-13T17:20:00.000-08:00

MLM company USANA Health Sciences had positive news to report when it announced that sales were strong and it expects to beat previous forecasts for 2006...

Nutritional and skin care products maker USANA Health Sciences Inc. said Wednesday it expects to beat sales and profit forecasts because of demand for its science-based products.

USANA Health Sciences said it expects to report fourth-quarter profit of 58 cents to 60 cents per share, compared with previous guidance for earnings of 56 cents to 58 cents per share.

For 2006, USANA Health Sciences anticipates $2.18 to $2.20 per share in earnings, higher than previous guidance for earnings of $2.12 to $2.18.

The company expects $101 million in fourth-quarter revenue, versus guidance of $98 million to $100 million.

The company also reported an accounting change in the way sales are reported.

Further comment at StreetInsider.com here.

Mexico Problems Cause MLM Company Herbalife Shares To Plunge

2007-01-07T00:46:00.000-08:00

A 24% plunge in MLM company Herbalife Ltd.'s stock Friday, after the supplement maker's announcement that it expected slower sales growth in Mexico, illustrates the rising importance of foreign markets to the bottom line of U.S. direct-sales companies.

...

The company said several Mexican distributors were breaking its rules by selling products in smaller-than-authorized quantities or advertising themselves as retailers. The supplements can be sold only in arranged group settings or by referral. Herbalife blamed rushed training for the problems.

The troubles in Mexico, which also included counterfeit products and unregistered sellers, caused Herbalife to downgrade its 2007 growth forecast to 6% to 10% from a previous forecast of 10% to 15%.

MLM Company USANA Announces Opening In Malaysia

2007-01-04T14:26:00.000-08:00

MLM company USANA Health Sciences has announced that it will officially open for business in Malaysia on Monday, January 8, 2007. USANA sees Malaysia as an attractive market for both new and existing Associates.

MLM Company NutraPower Launches New Compensation Plan

2007-01-04T14:14:00.000-08:00

MLM company NutraPower launches new compensation plan plus improved support for distributors.

MLM Company Herbalife Extends Charity Program To Japan

2007-01-03T16:35:00.000-08:00

The Herbalife Family Foundation (HFF), a private, non-profit organization supported by MLM company Herbalife, announced the establishment of a Casa Herbalife program at Tokyo's Caritas Garden Children's Home to improve the foster home's ability to provide nutritious meals to the children in its care.

This is the 21st Casa Herbalife program HFF established since introducing the program in 2005, and the second in Japan. The Caritas Garden, established in 1954, will use the grant to improve its kitchen facilities in order to provide approximately 55 children from 2 to 18 years with healthy meals and proper nutrition.

MLM Company Amway In China

2006-12-14T23:51:00.000-08:00

A further article about the opening up of the market in China to MLM companies such as Amway.

Outlook For The Supplement Industry

2006-12-14T23:49:00.000-08:00

Interesting article about the supplement industry and the outlook. Relevant for many MLM companies...

If the United States nutraceutical industry is to continue experiencing accelerated growth, formulators will have to be strategic and lure the remaining 65 percent of the population who do not take supplements, according to the Nutrition Business Journal (NBJ).

MLM Company Herbalife Sponsors Top Mexico TV Show

2006-12-10T01:12:00.000-08:00

MLM company Herbalife announces sponsorship of prime time Mexico TV show...

Herbalife Ltd., a global nutrition direct-selling company, announced a sponsorship of Mexico's highly-rated prime time telenovela, "La Fea mas Bella," a popular show akin to "Ugly Betty," in which the soap's lead character, Lety, played by Angelica Vale, will use Herbalife products as she undergoes a physical transformation in six episodes of the show.

Analyst Comment On MLM Company Herbalife

2006-12-10T01:09:00.000-08:00

Interesting analyst's note from "TheStreet.com" about MLM company Herbalife. Includes this interesting snippet...

This afternoon, Herbalife said it would sponsor the Mexican television show La Fea mas Bella, a show akin to the hit ABC show Ugly Betty. According to the press release, the lead character will use Herbalife products as she undergoes a physical transformation in six episodes of the show. This storyline is expected to air in January 2007.

Generally pretty bullish on the company.

More About MLM Company Amway In China

2006-12-06T01:29:00.000-08:00

MLM company Amway Corp. and its rival Mary Kay Inc. received direct-selling licenses in China, ending a six-year ban that has limited the company's recruitment of distributors.

The relaxed rules could open further a market that has become MLM group Alticor's biggest, with more than $2 billion in sales. That represents almost a third of the Ada-based company's sales.