The 8 Point Path To J.C. Penney's Obsolescence [View article]
Joe Fresh is sold in Canadian supermarkets. It's not even close to A&F, Gap, Uniqlo, or even American Eagle, Old Navy in terms or quality, price/value, or fashion trendiness.
Herbalife: 5 Common Sense Arguments [View article]
If you are trying to lose weight, would you respond to that email? Would you know what Herbalife or F1 was? Would you know how to prepare the shake? Would you know if it was genuine, or fake product from China? Would you know if it was old stock (from a failed distributor) or new stock? What kind of follow-up would you get from the distributor (not company)? How likely would it be that you stick to your weight-loss program & keep ordering & consuming F1? P.S. you supposedly shorted at $38. I'm long at $28 last Christmas Eve. Do the math. :))
Herbalife: 5 Common Sense Arguments [View article]
"distributors' level" depends on the volume of their purchases (& not how long they have been with the company). A new distributor can earn more money than their sponsor. A Sales Leader can lose their discount & downlines, if they don't purchase enough product on their own to re-qualify. where is the "discrimination" or "pyramid"?
Herbalife: 5 Common Sense Arguments [View article]
Common Sense Arguments?? I will just address two of you nonsensical points--"geographical saturation" & "discriminatory" pricing/lack of business opportunity. 1) Herbalife is a multi-level marketing company. Distributors typically sell to friends, family, & co-workers. How & why should you limit them to a specific geographic territory? For example, we are both distributors, & live next door to each other. I work downtown, you work in the suburbs. I sell to my co-workers, you sell to your co-workers. We do not compete for the same customers. Some of our neighbors are my friends, some are your friends. Again, we do not compete for the same customers. I sell to my relatives. You sell to your relatives. We are not related. Again, we do not compete for the same customers. What about my cousin, who lives in a different city/state(province)/c... Am I allowed to sell to her? If she wants to lose weight, how is she supposed to find a HLF distributor? Does Coca-Cola prevent its customer from opening a convenience store & selling Coke next to a McDonalds, just because the McDonalds is selling Coke? 2) A preferred customer does not automatically get a discount. If someone just wants to sample the product, the distributor will sell them product at full retail. If the customer then wants to commit to a 3 to 6 month weight-loss program, then it makes sense for them to become a distributor & buy enough product to qualify for discounts. Neither the company, nor a sales leader has any incentive to "under-cut" any other distributor (as I've explained to you, Matt, before). Discounts vary, based on volume of purchases. This is not "discriminatory." If self-consuming distributors are re-classified as "preferred customers," the only thing that would change is that they would not have to buy a Business Pack. They may, however, have to pay an annual membership fee. If they have been sponsored, the sponsor earns a wholesale commission (eg. 50%-25%) on the purchases of the preferred customer.
You still don't understand successful vs unsuccessful MLM?
A successful Supervisor/Sales Leader got to his/her position by learning & practising the right way to use, sell, recruit & train. Not by buying needless inventory. Typically, you hear about Herbalife through someone you know or meet (not by searching randomly online) when you want to lose weight. You buy 1-3 months supply at full retail. You pay a premium because your distributor/sponsor explains the product benefits, shows you how to make shakes, weighs & measures your weekly, & provides moral support. Your friends see your results & ask you about Herbalife. At this point, you may choose to be a distributor yourself and sell product at retail to your friends. Combining your friends' purchases with your own qualifies you for a volume discount. All this time you are watching your sponsor, attend training sessions, & learning how to properly sell & recruit. Over time, with hard work & experience, you will reach Supervisor level. If you skip any of these early steps & try to buy your way to Supervisor without learning to sell product, or build your downline you will fail (Mr. Herbascum?). If you only sell product online at discount to MSRP, you will fail. If you under-cut your downlines, you will fail. MLM is a "high touch" business. Something you & Ackman fail to understand or capture with your number crunching.
Publicly Available Lessons Regarding Pyramid Schemes: What Should We Think About Herbalife? [View article]
The volume discount ranges from 25%, to 42%, to 50% for distributors. That is what the distributors make in retail profit for selling at MSRP. If the sell to other downline distributors than they make "wholesale" profit (50%-42%) or (50%-25%). The company reports Product Sales, after distributor discounts. You have been told this many times. Why is it so difficult to understand?
Publicly Available Lessons Regarding Pyramid Schemes: What Should We Think About Herbalife? [View article]
@highwater - How would tracking work, in practical terms, for a global MLM business with millions of independent contractor/distributors operating home-based businesses selling to millions of end-users. Why doesn't Pershing pay for this data gathering & prove their accusations?
Publicly Available Lessons Regarding Pyramid Schemes: What Should We Think About Herbalife? [View article]
@matt try to be objective & logical If you were building your downline network, would anyone want to be your downline, if you under-cut them on retail price? The HLF marketing plan works because most distributors are disciplined & sell at MSRP. A successful Supervisor/Sales Leader got to his/her position by learning & practising the right way to use, sell, recruit & train. Typically, you hear about Herbalife through someone you know or meet (not by searching randomly online) when you want to lose weight. You buy 1-3 months supply at full retail. You pay a premium because your distributor/sponsor explains the product benefits, shows you how to make shakes, weighs & measures your weekly, & provides moral support. Your friends see your results & ask you about Herbalife. At this point, you may choose to be a distributor yourself and sell product at retail to your friends. Combining your friends' purchases with your own qualifies you for a volume discount. All this time you are watching your sponsor, attend training sessions, & learning how to properly sell & recruit. Over time, with hard work & experience, you will reach Supervisor level. If you skip any of these early steps & try to buy your way to Supervisor without learning to sell product, or build your downline you will fail (Mr. Herbascum?). If you only sell product online at discount to MSRP, you will fail. If you under-cut your downlines, you will fail. MLM is a "high touch" business. Something you & Ackman fail to understand or capture with your number crunching.
Publicly Available Lessons Regarding Pyramid Schemes: What Should We Think About Herbalife? [View article]
My second post was a question to you, not a statement or re-statement. Is "sales to preferred customer" real sales to end-users, or "recruitment reward?" For a Dean, your reading comprehension is pretty poor!
Are Herbalife's Products A Bad Value Compared To Its Competitors? [View article]
Formula 1 protein powder is one of HLF's main products. It would be more useful for you to compare it with other protein powders & meal-replacement/weight control products, along the lines of your multi-vitamin comparison. I am not sure "Green Vibrance" is the appropriate peer group?
Publicly Available Lessons Regarding Pyramid Schemes: What Should We Think About Herbalife? [View article]
matt, matt, matt...how many times do we have to tell u, the product is consumed, people lose weight, stop taking product, re-gain weight, re-join in the future. The unrealised growth potential is huge.
Publicly Available Lessons Regarding Pyramid Schemes: What Should We Think About Herbalife? [View article]
1) most distributors are running small home-based businesses, or no business at all. What kind of records do you expect them to keep & how would you legally compel these independent contractors to keep proper sales records? How reliable would the data be? 2) how would you treat self-consuming distributors, who also combine purchases from their friends/family in order to maximize their volume discount? Do they count as one retail customer? Or each member of the group is a retail customer? 3) Just because it is technically feasible to track SKUs, why should a company go through the expense at the behest of a self-promotional short-seller? Does Costco ask their wholesale customer to track retail sales & names of every retail customer that walks into their convenience store or restaurant to buy a can of Coke? Does Coca-Cola ask Costco to track end-users?
Publicly Available Lessons Regarding Pyramid Schemes: What Should We Think About Herbalife? [View article]
So if HLF changed the classification of "self-consuming, discount-buyer/distrib... to "member" or "preferred (volume) buyer" would you consider their purchases to be "sales to non-distributors?"
The 8 Point Path To J.C. Penney's Obsolescence [View article]
The 8 Point Path To J.C. Penney's Obsolescence [View article]
Herbalife: 5 Common Sense Arguments [View article]
P.S. you supposedly shorted at $38. I'm long at $28 last Christmas Eve. Do the math. :))
Herbalife: 5 Common Sense Arguments [View article]
where is the "discrimination" or "pyramid"?
Herbalife: 5 Common Sense Arguments [View article]
I will just address two of you nonsensical points--"geographical saturation" & "discriminatory" pricing/lack of business opportunity.
1) Herbalife is a multi-level marketing company. Distributors typically sell to friends, family, & co-workers. How & why should you limit them to a specific geographic territory?
For example, we are both distributors, & live next door to each other. I work downtown, you work in the suburbs. I sell to my co-workers, you sell to your co-workers. We do not compete for the same customers.
Some of our neighbors are my friends, some are your friends. Again, we do not compete for the same customers.
I sell to my relatives. You sell to your relatives. We are not related. Again, we do not compete for the same customers.
What about my cousin, who lives in a different city/state(province)/c... Am I allowed to sell to her? If she wants to lose weight, how is she supposed to find a HLF distributor?
Does Coca-Cola prevent its customer from opening a convenience store & selling Coke next to a McDonalds, just because the McDonalds is selling Coke?
2) A preferred customer does not automatically get a discount. If someone just wants to sample the product, the distributor will sell them product at full retail. If the customer then wants to commit to a 3 to 6 month weight-loss program, then it makes sense for them to become a distributor & buy enough product to qualify for discounts. Neither the company, nor a sales leader has any incentive to "under-cut" any other distributor (as I've explained to you, Matt, before).
Discounts vary, based on volume of purchases. This is not "discriminatory."
If self-consuming distributors are re-classified as "preferred customers," the only thing that would change is that they would not have to buy a Business Pack. They may, however, have to pay an annual membership fee. If they have been sponsored, the sponsor earns a wholesale commission (eg. 50%-25%) on the purchases of the preferred customer.
Herbalife's Tragic Flaw: Understanding Inventory Loading [View article]
A successful Supervisor/Sales Leader got to his/her position by learning & practising the right way to use, sell, recruit & train. Not by buying needless inventory.
Typically, you hear about Herbalife through someone you know or meet (not by searching randomly online) when you want to lose weight.
You buy 1-3 months supply at full retail. You pay a premium because your distributor/sponsor explains the product benefits, shows you how to make shakes, weighs & measures your weekly, & provides moral support.
Your friends see your results & ask you about Herbalife. At this point, you may choose to be a distributor yourself and sell product at retail to your friends. Combining your friends' purchases with your own qualifies you for a volume discount.
All this time you are watching your sponsor, attend training sessions, & learning how to properly sell & recruit.
Over time, with hard work & experience, you will reach Supervisor level.
If you skip any of these early steps & try to buy your way to Supervisor without learning to sell product, or build your downline you will fail (Mr. Herbascum?).
If you only sell product online at discount to MSRP, you will fail.
If you under-cut your downlines, you will fail.
MLM is a "high touch" business. Something you & Ackman fail to understand or capture with your number crunching.
Publicly Available Lessons Regarding Pyramid Schemes: What Should We Think About Herbalife? [View article]
The company reports Product Sales, after distributor discounts.
You have been told this many times. Why is it so difficult to understand?
Publicly Available Lessons Regarding Pyramid Schemes: What Should We Think About Herbalife? [View article]
Publicly Available Lessons Regarding Pyramid Schemes: What Should We Think About Herbalife? [View article]
If you were building your downline network, would anyone want to be your downline, if you under-cut them on retail price?
The HLF marketing plan works because most distributors are disciplined & sell at MSRP.
A successful Supervisor/Sales Leader got to his/her position by learning & practising the right way to use, sell, recruit & train.
Typically, you hear about Herbalife through someone you know or meet (not by searching randomly online) when you want to lose weight.
You buy 1-3 months supply at full retail. You pay a premium because your distributor/sponsor explains the product benefits, shows you how to make shakes, weighs & measures your weekly, & provides moral support.
Your friends see your results & ask you about Herbalife. At this point, you may choose to be a distributor yourself and sell product at retail to your friends. Combining your friends' purchases with your own qualifies you for a volume discount.
All this time you are watching your sponsor, attend training sessions, & learning how to properly sell & recruit.
Over time, with hard work & experience, you will reach Supervisor level.
If you skip any of these early steps & try to buy your way to Supervisor without learning to sell product, or build your downline you will fail (Mr. Herbascum?).
If you only sell product online at discount to MSRP, you will fail.
If you under-cut your downlines, you will fail.
MLM is a "high touch" business. Something you & Ackman fail to understand or capture with your number crunching.
Publicly Available Lessons Regarding Pyramid Schemes: What Should We Think About Herbalife? [View article]
Are Herbalife's Products A Bad Value Compared To Its Competitors? [View article]
Are Herbalife's Products A Bad Value Compared To Its Competitors? [View article]
Publicly Available Lessons Regarding Pyramid Schemes: What Should We Think About Herbalife? [View article]
Publicly Available Lessons Regarding Pyramid Schemes: What Should We Think About Herbalife? [View article]
2) how would you treat self-consuming distributors, who also combine purchases from their friends/family in order to maximize their volume discount? Do they count as one retail customer? Or each member of the group is a retail customer?
3) Just because it is technically feasible to track SKUs, why should a company go through the expense at the behest of a self-promotional short-seller? Does Costco ask their wholesale customer to track retail sales & names of every retail customer that walks into their convenience store or restaurant to buy a can of Coke? Does Coca-Cola ask Costco to track end-users?
Publicly Available Lessons Regarding Pyramid Schemes: What Should We Think About Herbalife? [View article]