MLM News Report: Direct Selling Billion Dollar Markets
This is some of the most exciting news of 2011. Last last year Xowii settled the pending lawsuit with MonaVie and opened a new door in their future. However, there just did not realize how all the positive events surrounding their company was going to change the lives of the distributors and the corporate team.
Tonight on ACE’s Radio Live Jim Gillhouse and myself will be interviewing some or all of the executive team of these two great companies to have them share how this all took place.
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Pre-Paid Legal Services Inc, which offers legal services for a monthly fee, agreed to sell itself to private equity firm MidOcean Partners for $650 million in cash.
The offer price of $66.50 a share represents a 9 percent premium to Pre-Paid’s Friday close of $60.26.
Pre-Paid Legal said its board unanimously approved the agreement with MidOcean on Sunday and that the transaction is expected to close on July 31.
Pre-Paid had said in October that it was evaluating a $592 million buyout offer from an unnamed private equity firm. The company has been considering merger and acquisition offers for several months.
Shares of the Ada, Oklahoma-based company closed at $65.84 on Monday on the New York Stock Exchange.
“We are excited to have MidOcean involved in our efforts to increase the awareness of our consumer and small business services,” said Harland C. Stonecipher, Pre-Paid founder and chairman. “Our entire team is excited about the future prospects of our company and continues to believe, as does MidOcean, that our products offer tremendous value.”
Pre-Paid sells subscriptions to a limited package of legal services through a multilevel marketing network of independent agents. Those salespeople earn commissions on their sales, and the sales of others they recruit.
The transaction is expected to be complete by July 31.
During the 4th quarter of 2010, Pre-Paid’s new sales associates enrolled decreased 54.3% to 28,160 from the 61,623 enrolled in the 4th quarter of 2009 and new memberships produced decreased 20.8% to 117,472 during the 2010 quarter compared to 148,248 for the 2009 quarter.
For the year 2010, new sales associates enrolled decreased 25.6% to 138,442 compared to 186,064 enrolled during 2009 while new memberships produced were 502,982, a decrease of 11.5% from 568,095. Active memberships decreased 4.8% during 2010 from 1,547,585 to 1,473,237. From the 3rd quarter of 2010 to the 4th quarter of 2010, active memberships decreased by 19,896 memberships.
Several leaders in the MLM Community are predicting that within 2-3 years Pre-Paid Legal will no longer be a multilevel network marketing company. Only time will tell.
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Rose Mis is the author of “Dead Blogs Don’t Lie ~ 7 Secrets To A Wildly Popular High Traffic Blog” and the editor and publisher of The Frugal Networker Newsletter. She is the creator and Executive Chef of the internet’s only Award Winning Attraction Marketing Training Kitchen. Rose is a top MLM / Network Marketing blogger and regularly blogs at thatMLMbeat.com. You are invited to stop by the Kitchen anytime you have any questions about blogging, marketing or mindset. Rose is here to help you get the results you are looking for as quickly and cost effectively as possible.
Ted Nuyten the founder of Business For Home blog reported today that Glen Jensen and Agel may have put there differences aside. I sure hope this is the true. Having looked at the lawsuit it would not help the distributors, Agel or Mr. Glen Jensen.
Ted also reported some interesting numbers from My Shopping Genie. This is a company I have concerns on and have listed as a High-Risk direct selling company. But this report is truly eye-opening.
Vemma Re-Opens the Vemma Lounge at the Phoenix Suns Arena.
The Latest Direct Selling Numbers Are In: The DSA (Direct Sales Association) have given us great insight into our profession.
I talked with Jim Moore the founder of The Tools Network today to learn more about the FaceBizPro application. My overall concern is the risk of distributors over hyping the use of the tool. Jim shared they have already hired a compliance team, and have already placed at least one heavy marketer on notice to calm down the hype!
After the last Facebook Application to hit the MLM, the legal team at Facebook will not hold back at suing the company, distributors and worse of all, shutting down Facebook Profiles who market and/or use the application if it is found distributors are in the eyes of Facebook harming their brand.
The Tool Network distributors need to act like professional business men and women, and not amateur social marketing spammers.
Three Great Direct Selling Gifts For This Christmas Season!
MPBToday Enhances Compensation Plan This Christmas Season!
Charities We Support This Christmas Season
Xyngular is a company I have been watching for the last year or so. Over this time period I have shared a few concerns, none of which have anything to do with the ethics of the company or their leadership. The concerns were focused on the financial stability of the company and the single-line unilevel compensation plan they were using.
When they merged with another small direct selling company, it concerned me that the corporate monthly overhead, might be to much for the company to manage before they started to see momentum. However, they seemed to have overcome that concern.
My second concern, was the use of a “single-line, pay-line.” In reality this is just a good old unilevel compensation plan. But, when you add some of the bells and whistles to create the single-line marketing, some times the reps will over hype the whole concept. In this case, the concern was kept in check, and the company has started to attract some fresh young leaders.
One such leader is Lawrence Michael Young. Lawrence is the personal under-study of one of the most successful Noni leaders of all time. Over the years Michael matured and came into his own and realized that it was time to break apart form his mentor and go out on his own. This is sign of legacy building, and what true leadership is all about.
Michael Yanke has created one of the most unique direct selling companies I have seen in a while. Unlike the traditional direct selling companies, Michael has taken the same road companies like Vemma, Avon and Amway have taken. He has created a company where Generation X & Y along with their parents the world famous Baby Boomers all have something in common. Not only can they build a family business, they can all enjoy the My Life Share product line.
Rumor has it, that shortly one of the most recognized names in direct selling will be joining this company because of Michael and the uniqueness of the business itself.
Erik Laver, co-founder and former president of Send Out Cards has bought this company. Now that in and of itself is a positive move for this company. However, I do have a few concerns, which I do hope Laver will get a handle on.
Some very zealous Ximo distributors have used the phrase “Ximo has the Only FDA Approved Ephedra product.” The reality is that Ximo Health does purport to use the “only FDA compliant Ephedra formula.” If Laver can get the marketing under control, and overcome the negative marketing campaign funded by the large pharmaceutical companies over the last two decades, then maybe he will have a winner.
This is truly one to watch. Many folks loved Ephedra, and I personally do not believe all the negative hype around it. There are more folks who die each year from the misuse of prescription drugs, than the total of all deaths from the misuse of Ephedra. However, the band was in part due to over hyping and misleading marketing by a few greedy people.
This week we are sponsored by David Ballard & Bill Wardell founders of The Cyberhood Watch Community and Online Security Authority Site. These guys are two of the most active Cyber Bounty Hunters I know. And right now they need our help. Watch this video below and help us protect children and other innocent people from the predators surfing the net.
Visalus aka Body By Vi has picked up another solid MLM Pro, Robert Dean. Now many rumors have been running across the net, and some in my in-box, so I picked up the phone and talked to Visalus co-founder Blake Mallen, and asked him point blank “Did you pay Robert to join the company?” Blake didn’t hesitate at all when he stated “NO! Robert, tried the products, saw results and joined the company.”
Now, I know some folks have stated “Robert had already started losing his weight before Body By Vi!” Well, having tracked Robert’s success over the last ten years or so, I can see why he would want to lose his weight, and may have already started.
But, I stand by my original statements “Robert, has found a company that the Top Gun Team can get behind.” Maybe not everyone will want to join Robert and Top Gun, but at the end of the day, finding a company with leadership, a crusade and products/services you can believe in, is the #1 goal of all direct selling distributors, small or large.
For some, Pinnacle University simply provides continuing education, filling in the gaps left by more traditional degree programs. For others, Pinnacle University classes provide a comprehensive education in one of four certification disciplines: 1) Personal Leadership Development, 2) Personal Finance and Wealth Building, 3) Personal Health and Nutrition, and 4) Personal Relationship Development. Regardless, Pinnacle University is the place where you’ll learn the skills that matter most in life, at a price affordable by everyone.
My good friend Brett Matheny has come out with a great question… Is There A Need For Another MLM Convention? Here is the link to an anonymous survey you can take. Oh one last thing, Bret is offering a chance to win an 8 Gig Nano ipod ($150) for anyone who takes our survey. The survey takes around 3 to 4 minutes to complete. Click Here
Where is Duke Kevorkian on his MLM Journey. Well I caught up with Duke last week (Week 9) and here is his activity, and a short video from one of his new leaders.
Week 9 Results:
129 calls, 38 emails, 39 ads posted, 3 appts. booked, 2 happened, 8 new contacts, 2 referrals, 6 three way calls, 0 personal new recruits, 4 team recruits-congratulations to you guys! I am getting several calls per day from the ads posted online but no results for quite some time now….as long as the calls keep coming I will stay on it and keep working warm market….also putting bigger focus on prospecting while I am out and running around….have a great week and HAPPY HALLOWEEN!
21TEN Joins International Stars For Andre Agassi’s Gala Event And Fundraiser
NFL ALUMNI ASSOCIATION And REVOLUCION WORLD WIDE ANNOUNCE PARTNERSHIP AGREEMENT
Vemma® Brand Partner Ruth Elliott Named as Finalist in 7th Annual Stevie® Awards for Women in Business
Vemma’s Second Annual Campaign Raises $40,000 to Benefit Children’s Miracle Network
This has been a busy week worldwide for the direct selling industry, as some companies hit an all time high, and others continue to fight off more civil actions.
Max International Update: A couple of weeks ago I did a small piece asking if Max was in a meltdown. Well respected MLM Advocate and Founder of MLM-TheWholeTruth.com, Lou Abbott contacted me, asking several questions, which caused me to realize that Max distributors might question the stability of their company.
I want to be very clear, Max is in great shape financially. Watch the video below to learn more on my true concerns.
eFusjon is at it again! eFusjon contacts YouTube and falsely accuses Troy Dooly and MLMHelpDesk.com of copyright infringements.
Here are the original articles written in 2009.
MLM Attorney Kevin Thompson Files Class Action Lawsuit Against eFusjon
Is eFusjon Really A MLM Pyramid Scheme Or Just A Misunderstood MLM Company
Vonumental May Have Just Created a Game Changer in the MLM Wireless Niche for the Paying Customers!
Duvita Now Offering health care coverage to their family of distributors.
Team Verify: Another data company trying to use an MLM Compensation Structure is hurting their distributors and this great profession.
Vemma PM: BK had the team shoot me in a small VEMMA PM care package before he took Courtney to the hospital to deliver their 4th little boy. Check out the video as I received this new product.
FHTM: Over the last few months Fortune High-Tech Marketing has come under fire from several AGs, including their own home state. Although, some may feel the USAToday article is a little one sided it should serve as a wake-up call to the profession for all Companies, Attorneys, Watchdogs, Ambassadors, and most of the the distributors that the time has come to start acting like professional business people, offering products and services to the end user which will sustain the business opportunity even if new recruiting were to slow to a deadly craw.
Catalyst Conference Recap: As you all know I missed last weeks MLM News Review, because I was at the Catalyst Conference in Atlanta. Here is a little recap of the event and the fun we had.