Saturday, 14 July 2012

Who Owns the Network????


Network Marketing in India is getting into a revolutionary mode. At last a Government regulation seems to be on the cards. A regulatory authority in the same line as that of IRDA is the need of the hour in direct selling. As there is no authority who can differentiate good companies from fly by night operators, even now Lakhs and Lakhs of people are getting into traps.

In the meanwhile, there is another interesting discussion happening in the industry, 'whether the network one creates belong to the company or to the distributor.'. This is going to be an interesting debate and surely will pave a new path in the industry.

In the last few weeks industry is buzz with the news regarding the open war declared by distributors of Amway against the company policies.  The issue is really hot as trade unions have decided to support the distributors in this fight. While some fanatic Amway distributors are criticizing this move, as they are being blinded by their up lines and company, general sentiments amongst the distributors is in favor of this move. In Kerala distributors have staged a dharna with the support of CITU against the company's move to terminate distributors without giving proper reasons and evidences.  Company denied to pay bonuses to many saying that 'they are not in good standing,' a phrase defined and decided by the company.  But company can never justify the denial of bonuses for the business one has done.

I have a very bad experience in this context. Amway's financial year closes on August 31. In 2010-2011, I was eligible for Diamond bonus and Diamond plus bonus and Emerald bonus, which are part of the declared business plan. I resigned from Amway on November 3, 2011. The bonuses are for the period 2010 Sept to 2011 Aug. What justification company can give for denying those bonuses? This is the case with many distributors. What security such a company offers to people?

Many distributors are being terminated in the last few months. Though affected distributors asked for evidences for their 'crime,' company ignored all such appeals. It has come to a stage where if few down-lines or uplines don't like you, they can register some fake complaints and get your distributorship terminated! Is this called security!!! I know there are many who are clapping and celebrating when some of their counterparts getting terminated....but mind you, it can happen to you also.
Another million dollar question here is;  where are you getting terminated from? From the network you created putting your blood, sweat and tears...the network you created by driving those miles and spending Lakhs and Lakhs of rupees? I associated as a distributor with Amway in 1998. Last fourteen years I worked hard to create the network. Company did't play any role in building the network.  Lakhs and Lakhs of rupees have been spend by me to build such a network.  So is the case with all the distributors.  Company doesn't pay you for building the network; they pay you for the sales volume you create.  If so how can company terminate one from the network he has created? In such a case company is taking over the network which you have created over a period of time by investing your money and time.  Hence shouldn't the company reimburse the money you have spend on developing that network? By terminating you, company is going to get extra profit from that position. Later on that position will be sold to another distributor at a premium and company makes another profit.  What is that the distributor who puts his entire life for creating that network gets?  If company's argument is that the network is created for the company by a distributor, then it means that the distributor has provided a service to the company.  If that is the case, company should allow distributor to invoice the company for the services provided and for which the service tax need to be collected from the company (as company is now the client for the distributor), and paid to the Government.  When company is asking distributors to pay the service tax from their pocket, it clearly shows that distributor has not provided any service to the company for creating a network and hence the company doesn't have any ownership on the network.

Friends, this is not the time to celebrate 'terminations.' This is the time to think about your own future.
Today you may be an ultimately loyal distributor to the company with which you are working. Tomorrow there could be situations where you may have to think differently. Because ultimately companies are here for business....not for charity. In the case of Amway, it is even alleged by the distributors who are at strike that this termination drama is a well thought out plan of Amway to get into the retail sector. Whether it is true or not, companies have the freedom to take business decisions.

Always remember, you and me are simple distributors..... Time has come where we need to think more logical and practical.
Whatever be the outcome of this move, one thing is becoming very  clear...no company can exploit their distributors in the name of loyalty. It is time for all the entrepreneurs in Direct Selling industry to wake up and think like a professional.

Wednesday, 16 May 2012

NEGATIVE PROPAGANDA IS SHORT-LIVED


Companies and Leaders are forgetting the fact that they won’t be able to hold people by giving wrong information.  In fact many leaders are joining with us in Mona.Vie once they find that they have been mislead for the last few months by the respective companies and their leaders by giving false information.  In this information age its is easy for a common man to find the truth.  Some very funny rumors which have been spread in the market include

Mona.Vie won’t last for long.  It has withdrawn from many markets!!!!
In just 7 years Mona.Vie has expanded their business to 22 countries.  They have never withdrawn their business from any market where they officially launched.  They are working with a vision of touching a sale of $20 b in 20 years.  They had their $1b cumulative sales much faster than even companies like Mocrosoft and Apple.  They are the fastest growing direct selling company in the world. 
They are in India with a long term plan.  In addition to setting up their manufacturing facility, Mona.Vie is building a Product Development and Research Center in India.  They have already opened 5 offices and 7 another will be completed before June 2012.  Also more than 100 Distribution Centers are operational as on date.

Mona.Vie is a juice company!!!!
Mona.Vie is the fastest growing direct selling company operating in the wellness domain.  One of their major product segment is Functional Health Beverages, which includes Anti-oxidant blends, weight management products, nutritional energy drinks etc.  However they have natural nutritional supplements like multi-vitamins/minerals, glucose control, women health, children health etc.  In India they are launching Personal Care and Skin care segments also.   All their products are research based and patent protected.  For instance, their investment on developing one product called ‘MUN’ was $250m. 

Mona.Vie is a Binary!!!!
Mona.Vie’s compensation plan is not a Binary Plan.  It’s a patented Hybrid plan.  Now many companies are trying to copy that.  It’s a convergence of the Generation Plan (which Amway, Herbalife etc follow), Binary Plan and Single Level Marketing Plan.  The main highlight of the compensation plan is, it gives away 50% of the sales realization (sales turnover which is calculated at Distributor Price) back to the network.  (In comparison: when Amway India’s sales turnover was Rs.1790 Cr, their payout to the network was only Rs. 496 Cr which is well below 30%).  At the end of the day as a businessman one looks at the return on his investment of time and energy.

Mona.Vie Buys out Leaders!!!!
This could be the greatest joke ever heard in the industry.  Which company is going to pay any network leader, as there is no guarantee of business.  Moreover, if any company does that, they will have no money left for other business activities.  Mona.Vie is not a fly-by-night company.  They are here to stay.  They don’t need to pay anyone to join them.  Leaders are getting attracted towards the company.  Even small time Network Marketing companies are joining Mona.Vie as distributors.  If a company compensate well for the efforts put in by the distributors and if they have some good products and corporate philosophy and if they consider distributors more important than products, people will get attracted towards them.

Every company has got some strengths and weaknesses.  A company can survive long term only if they highlight their strengths.  Rumors and negative propaganda are short-lived and they will die in the market.  Truth always prevail.  India is a huge market.  This industry is just in the starting phase.  Every company has got its space.  They need to find that space and position their business accordingly.  Tupperware and Avon have been working in this country as a good part-time opportunity.  They will be here as they have clearly positioned the business and promoting their business according to what the business can offer.  If the compensation plan of a company is not good enough to achieve financial freedom, they should be honest enough to communicate that instead of giving false hopes using the leaders.

Mona.Vie has a great compensation plan which rewards the efforts, which is competitive with any other opportunity in India, they have some great products, and they have some great people.  More than anything else they have a great philosophy where ‘Distributors First and Everything else second.’

Tuesday, 24 April 2012

Loyalty to Company or Loyalty to PAYCHECK???


Since I along with few leaders took the decision to move to Mona.Vie we have been seeing the normal distributors getting exploited and mentally tortured by many leaders and companies on a factor called ‘loyalty!’  These leaders make statements that one should be loyal to the company in which one associated.  It’s a good idea as long as the company also is loyal to the distributors.  I strongly believe that the loyalty should be towards some cause, some principles you uphold; not to a business establishment as companies will change their strategies from time to time.  I was always loyal to the people whom I have brought into the business and still I am.  In fact that is why I had to take such a tough decision. 

There were many leaders involved in the discussions regarding ‘looking at another business opportunity.’  Many of the present day ‘Amway apostles’ were involved in these discussions, the reason being, even at Diamond level leaders were finding it tough to show lifestyles and a good life.  One of my Diamond Council members had always been trying to convince us to move to a binary plan company for the last five years.  Now he is proclaiming as the biggest apostle of Amway (though he is having discussions with other MLM companies even now).  After deciding to move to Mona.Vie, I and SP Bharil discussed the Mona.Vie business idea with two Diamonds who have always been asking me to search for other options.  We were brain storming whole night.  They had decided to move to Mona.Vie. The discussion was only on how to present this to their team.  Both of them appreciated us for the courage and also were so excited that they could give something good to their downlines. We even finalized their placement in the structure.  But later they informed that they would rather wait for sometime as their downlines are not willing to move.

In fact it was a Founder Diamond with whom I had close relationship years back, brought the idea of Mona.Vie.  He considers himself to be the most intelligent person in Amway world.  He even informed us that he had taken a distributorship of Mona.Vie in USA in 2010 with the idea that he would get the entire Indian leadership under him as the ID is global.  (This got confirmed by the leader who sponsored him in Mona.Vie in USA).  He had even had series of discussions with SP Bharil.  But none of us were interested in working with him. In between Amway came to know about his plans and gave a threatening call stating that he would be terminated without notice as this leader was suspended many times for unethical practices.  Earlier company had even warned all the leaders in India to stay away from him.  I can’t stop laughing when I see the same man has become big brand ambassador for Amway.

Anyway it is quite a joke happening in the market.  Innocent distributors who have been struggling in the market are blindly following all these goat-skinned wolfs without even thinking.  These leaders are using the weapon called ‘loyalty’ to hold their downlines.  The downlines adore them for the loyalty they are showing.  I can challenge anyone….these leaders are staying there not because of their loyalty to the company; but because of their loyalty to the ‘PAYCHECK.’ 

Of late I have been getting calls from many Amway leaders and even leaders from other MLM companies.  Major concern for all of them is that ‘how can I protect the income which I am getting from the present company.’  They all swear that if that is taken care, they are willing to move. 

Loyalty is an important character for succeeding in life; but the question is loyalty for what and loyal to whom?  My loyalty always has been and will always be for people, people who believe in me.  I dedicate my life for those people not for any companies.  This may be right or wrong…but this is the principle I follow in my life

Monday, 2 April 2012

Business Competition OR Personal Rivalry???


Business Competition or Personal Rivalry

Now that it is almost six months since I along with some senior leaders and thousands of distributors of Amway decided to build our future in association with Mona.Vie, others should consider this as a business decision and refrain from destructive activities.  Lets all realize the fact that Mona.Vie is here to stay.  They are opening 12 offices and more than 100 distribution centers and also getting ready to start manufacturing from India.  They may not be 50 years old like Amway, but they have already become the fastest growing direct selling company in the world having business in 22 countries in just 7 years.  Mona.Vie also is a product based company which has invested millions of dollars on research.  Companies like Amway and their distributors should acknowledge that they are having a competition in the market.  And competition is a not a bad thing.  Customers and distributors are at an advantageous position when there is competition.  They have options, they get better bargaining power.  Companies, whether it is Amway of Mona.Vie are here to generate business and profits.  I don’t think that you have taken distributorship, whether that of Amway or Mona.Vie, for charity.  As competition kills monopoly and gives freedom of choice, it is always good for distributors and customers.

Unfortunately, what I have been seeing here is absolutely unhealthy methods.  In Ranchi, when one of our leaders was doing a business presentation, few Amway leaders came into the hall and shouted and screamed.  While a Mona.Vie home meeting was going on in a house in Bangalore for a person who is a distributor of Amway also, his uplines came in and created a havoc.  That distributor had to throw his Amway uplines out of his house.  In Kerala, wherever we fix meetings, some Amway distributors will go and register complaints with the police.  People are being threatened saying that their Amway distributorship will get terminated if they join with Mona.Vie.  Its is a pathetic plight.  The question is how long can you adopt these kinds of third rate methods. 

Every such attempt is making our distributors more and more strong.  Recently Bindu and me had to go through many investigations.  These are based on anonymous complaints registered by the so called ‘aggrieved Amway distributors,’ as written in the complaints.  The complaints were all about ‘illegal operations of TeamOne and the unaccounted money I have been generating through that.’ All the complaints were framed with the sole purpose of creating trouble in my personal and professional life.  One of the senior distributors who is ‘now’ with Amway (though discussions are still on with some other companies) had declared to one of my closest leaders that they would go to any extent to tarnish my image so that Mona.Vie business could never succeed in Kerala. 

Though Bindu and I had to face few investigations, all happened for good.  All the investigating authorities vouched that TeamOne operations have been absolutely legal and totally transparent.  Quoting the concluding statement of a report submitted by one of the Investigating Officers, “ TeamOne has been operating complying with all the State and Central Government Statutory requirements, has been paying VAT and CST properly, regularly filing IT returns and paying Service Taxes for the collection from trainings and seminars and has been maintaining proper books of accounts and records and that this is functioning absolutely legally under a company registered under the Companies Act. ‘ (If any one wants a copy of this report, you can contact me)

In fact in this process, we got a detailed audit done on our organization.  The people who registered these complaints must have thought that because of these investigations I would lose focus in Mona.Vie.  But all this has only made me more powerful.  We could face these investigations with absolute confidence as we know how honestly and transparently we have operated TeamOne.  God knows it all.
 
Now my request to all these 'frustrated' Amway distributors is that please get out of destructive mode….be in a creative mode. Accept Mona.Vie and its distributors as competition and develop creative strategies to retain people with you.

Thursday, 22 March 2012

Why Truth is Getting Distorted???


Seek The Truth

During these last three months what I have seen as the most disappointing thing is the unhealthy competition from the competitor companies, most of it from the distributors.  I am amazed about the level of negativity which is being spread with an objective to slow down the growth of Mona.Vie in India. 

In fact those who are spreading these incorrect information about Mona.Vie are really stupid as in this information age people have got various means to collect right information.  I was laughing when these negative propagators made statements like ‘its only a juice company,’ ‘ it is banned in most of the countries,’ ‘they have the culture of buying leaders of other network marketing companies,’ ‘they won’t last for more than three months,’ ‘it’s a binary’ etc etc.  How in the world these people can ever think that all others are stupid.  They forget the fact that sooner or later people will know the reality and that time these people may throw stones at them for misguiding and misleading them. 

Mona.Vie is not a juice company.  They are leaders in Functional Health Beverages.  They also have nutritional supplements.  Now they are going to launch some products in personal care and skin care.  Amway started with Cleaning products…that doesn’t mean that Amway is a ‘Cleaning Products’ company.

Mona.Vie is operational in all the markets in which they launched.  They are present in 22 countries and expanding to many new markets in the coming years.  Wherever they launch their operations officially, they comply with all the laws of the land.

Mona.Vie is not a Binary plan.  It’s a Hybrid plan; combining the best of Binary Plan, Generation Plan and Single Level Marketing Plan

Mona.Vie doesn’t have to buy any MLM leader.  Leaders are getting attracted towards them.  Following are the reasons
  • Mona.Vie has got great success story to tell in the last 7 years.  $3 billion accumulated sales, operations in 22 countries, created more than 100 millionaires (more than any other MLM/Direct Selling Company in the world).
  • The best Compensation Plan in the industry right now
  • Well differentiated products.  Millions of dollars invested on R&D
  • Global business opportunity:  One can expand the business to any other country where Mona.Vie operates in the same distributor ID.  Ambitious people can take advantage of new market openings, which is possible only in a young company
  •  Absolutely distributor focused.  Company takes every decision keeping the distributors in mind

From a strategic point of view, the competitor companies and their distributors are spreading all incorrect information in the market to hold their people so that their income is protected.  But this is a wrong strategy; as people will know the truth sooner or later. When they know it, they will feel cheated as these leaders have misguided them.  I have started seeing this, as many of the distributors who were misguided by their leaders and companies are joining Mona.Vie once they realize the truth and they are cursing those leaders for misleading them.  This flow is going to be bigger in the coming months.

Had I been on the other side, I would never have taken this kind of a destructive strategy as I know very well that people cannot be mislead for long using false information.  So for those leaders and companies still involved in negative propaganda against Mona.Vie, my advice is to highlight the good things about your company and convince people to stay with you.
 
Next Topic:  Is it the Loyalty???

Tuesday, 20 March 2012

Our Decision Proved Right


The Decision Proved Right….

I am forced to start a new blog as many of my business associates and friends feel that I should speak out.  Also I personally feel that it is time that, many people want me to share my views and opinions about the current market scenario after I moved to Mona.Vie. 

It is almost 5 months since I resigned my distributorship of Amway India (I resigned on Nov 3 and company accepted the resignation on Nov 6) putting an end to 13 years of business association.  I joined Mona.Vie India Enterprises in the last week of November and having a great time in getting the brand established in India.  Many of my downlines who believed in me have decided to join with me in Mona.Vie.  More than 25000 Amway distributors have already chosen to take up Mona.Vie distributorship and I thank all of them for the trust and faith they have in me as I never enticed or influenced anyone to join Mona.Vie.   This new business is just 3 months old (or young) in India and within this short span more than 100 distributors in my team have gone for an Incentive trip to Bangkok.  I am extremely happy about the way Mona.Vie is growing in India.  Also many of our leaders have started enjoying the power of a global business as many of them have got their network expanded to countries like USA, Australia, Singapore and Malaysia.  I am also excited to see that leaders from other Direct Selling Companies have joined our team and even I could learn many things from them, especially the speed with which they build the business.

Mona.Vie has done a great job in setting up five full fledged offices in India.  Before May 2012, the number of offices will be 12.  They also have opened more than 100 Distribution Centers in just 3 months.  They launched 5 products in the Functional Health Beverages category and all the products have got high acceptance levels in the market.  The most exciting thing is that they are setting up a Product Research and Development Center in India.  This will be primarily focused on developing a range of Ayurvedic Range of products.  The first batch of products are supposed to be launched by the middle of 2012.  This center will be working on the ‘Nutrition for All- 20/20’ project also, which will be a revolutionary social entrepreneurship project.  India will be the R&D and Manufacturing hub for products developed on Ayurvedic formulations and hence other Mona.Vie markets will be procuring the products from India.  This will in turn provide good foreign exchange earnings for India.
As Mona.Vie could attract many of the best talents (most powerful leaders from almost all the companies) in Direct Selling industry in India, and as the company is totally committed on developing the Indian market, I am seeing an explosive growth in the coming months, which will help lakhs of Indian families to achieve financial freedom. 

Next Topic: Why Truth is Getting Distorted.

Saturday, 10 March 2012

Bringing Clarity

The past few days have been filled with speculations and news about a few decisions that I made on my business front - pertaining to how it would affect the future course of my business venture and the team that has closely followed me for over 13 years in the network marketing business. I came into the network marketing business, inspired by earlier leaders who instilled in me, their sense of financial freedom and visions. I believed, primarily, on the people and then on the products. I consider it my good fortune to have risen to the ranks of a leader and a guide in my business with many people looking up to me.

I have always said and still maintain that it is people who build businesses, not business that build people. And my recent decisions, are strongly based on that focus. In the videos above, I have recorded a personal statement, giving insight into my decisions. There is an option of viewing either and English or a Malayalam video. For those who would prefer to read rather than listen, please visit the link on the top left called "Blog".

Here's wishing everyone in the journey the best to reach their own personal destinations. Here's wishing everyone all the success in all their endeavors.

God Bless.



SAJEEV NAIR

About Me