Herbalife Review: The Birth and Rebirth of this MLM Company
The Birth of Herbalife:
In February 1980, Mark Hughes began selling weight-loss product “Herbalife” from the trunk of his car bearing the slogan “Lose Weight Now, Ask me How.” Hughes proceeded to adopt the multi-level marketing system for the company’s growth. Using the traditional Direct Sales methods such as door-to-door sales, seminars directed towards their target market and word-of-mouth referrals Hughes was able to expand Herbal Life into over USD 2 million in sales and expand into neighboring Canada. In 1996, despite lawsuit from the California Attorney General, Herbalife became a publicly-traded company and reached USD 1 billion in annual sales. President and CEO Mark Hughes died at the age of 44. Herbalife proceeded to be acquired by Whitney and Co, LLC. and Golden Gate Capital who made Herbal Life a private company once again. After the death of original founder Mark Hughes, the company continued to stir up controversy based solely on whether or not these products were effective or even claims that they may be harmful in terms of health.
The Rebirth of Herbalife:
In April 2003, Herbalife acquired the former president of Walt Disney International Michael O. Johnson. There is no doubt that Johnson jumped into a company with a plethora of issues regarding their products, the accidental overdose of Hughes and a few lawsuit scandals. The success of Herbalife once Johnson joined in is undeniable. Johnson breathed new life into a faltering Herbalife and began clearing up all and any previous misconceptions of the products. Within 52 weeks under the leadership of Johnson, Herbalife doubled in net sales and its stock soared by %124. To put a staple on it all Johnson took the award in 2005′s Wall Street Journal’s Readers’ Choice for CEO of the Year even beating out Apple’s notorious Steve Jobs and Google’s Eric Schmidt.
Johnson was the smart choice to represent Herbalife in terms of the image for the brand. He is the epitome of health and physical endurance and motivates his company representatives to join him on marathons and triathlons and promoting their health as well. The products range from nutritional, weightless, vitamins, energy and fitness and skin care. You can view “STATEMENT OF AVERAGE GROSS COMPENSATION OF U.S. SUPERVISORS – 2010″ for Herbalife and decide of these compensation plan is for you.
Herbalife: Overall Personal Opinion:
Overall, Herbalife is a network marketing company that is here to stay and make their presence known globally. They have variety of products and as soon as a new product trends on the health market, this company will be able to emulate this product and sell it under their own brand name. Therefore, Herbalife products will never be out-dated and out of demand. Most recently, Herbalife has made a name for themselves in terms of their sports sponsorships; from sponsoring the L.A Galaxy, the USA Mens’ Soccer team to famous Lionel Messi who plays for the Barcelona Club. Herbalife is branching out in terms of their marketing strategies and the praise for the business’ growth to 2.1 million Independent Distributors in 75 countries and record retail sales of $4.3 billion in 2010 can be given to the leadership of Johnson.
I am personally beginning to see Herbalife distributors setting up on every other street corner here in Mcallen, Texas. They are hustling distributing team and they have even taken the popular work-out craze “Zumba” and combined the sale/promotion of their products with a trendy fitness class. There are even Herbalife shops that open up at the early hour of 6am for their customers on their way to work who didn’t have the time to make their breakfast shake or who want to stop buy and pick one up for lunch. This just shows me that there are many ways to keep your Herbalife business booming and growing, but these are very exhausting and time-consuming attempts of growing your business. Herbalife distributors, and other MLM company representatives as well, need to begin to utilize the online market to draw in new customers as well as to their existing customer base. Word-of-Mouth referrals are amazing and vital to your team’s growth, but taking your business online will take your success to a greater level and open new markets available outside your local community.
I personally recommend that if you are in a network marketing company you consider joining a MLM lead-generating system to help simplify the process of taking your business on the Internet and guide you step-by-step so your business partners and team-members could follow in your steps and do the same. Their success is your success, so as a leader you have to position yourself as one. You have to be able to direct them to multiple forms for marketing your opportunity. I am speaking from personal experience if you try and come online without a support system chances of your failure are increasingly high.
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