Click here to order the Direct Selling News issue in which this article appeared.

Borders bookstore is a familiar example of a traditional company that was blindsided by environmental factors that changed market demand and, ultimately, led to its demise. It’s not the first organization to fall prey to the advent of technology or disruptive innovation; Blockbuster may face a similar fate. And other companies—like Kodak—have had to change their business models to stay abreast of technology and shifting demand.

Direct sales companies are not immune to these pressures. Any company can rise to phenomenal success while riding the wave of a hot trend and then find themselves struggling to hold on as competitors emerge and market pressures shift.

Creative Memories is one of these companies.

Founded in 1987 by Rhonda Anderson and Cheryl Lightle, Creative Memories has helped literally thousands of people reclaim and preserve their histories through photos that were often relegated to boxes stuffed under beds and into closets. In July 1987, the first consultant signed on and the rest, as they say, is history. But the path to success took a downturn as the company entered the 21st century and found itself facing competition from multiple fronts—from small, local “mom and pop” shops to large retailers like Michael’s and Target that moved to take advantage of emerging interest in scrapbooking.

Technology also had an impact. As consumers moved from traditional photography to digital options, demand for Creative Memories’ traditional scrapbooking products shifted.

In November 2008, Creative Memories entered into Chapter 11 bankruptcy, emerging as a reorganized entity (an LLC) in January 2009. After this refocus the industry took notice because this spring, Creative Memories was a runner-up for the Direct Selling Association’s Success Award. The company also won the 2011 “Brand Madness” competition sponsored by the Minneapolis-St. Paul Business Journal, beating out such notable competitors as Target and Mayo Clinic for the title of Minnesota’s Best Brand.

Scrapbooking Is Not Dead—Just Different

Aleksandar Bogdanovski, President, U.S., for Creative Memories and new to the family, says he is sold on direct sales—and on Creative Memories, whose mission is to help families across North Americas cherish, celebrate and preserve their memories. Bogdanovski says there’s just something powerful about people buying from people and, in the case of scrapbooking, it’s the ongoing relationships between distributors and their customers—who often become lifelong friends—that make magic happen.

He joined the company in March 2011, bringing his own experience in direct selling from another company in the industry where he previously worked as Vice President for the United States and Canada.

Bogdanovski tells of an encounter he had with a woman, an ESPN executive, on a flight shortly after he joined Creative Memories. When she learned where he worked she enthusiastically proclaimed her awareness and love of the company and told about her recent wedding engagement when friends had each designed a traditional scrapbook page of their life with her that they assembled into a storybook as a gift for her bachelorette party. “She said it was one of the most amazing gifts she’d ever received and she’s now duplicating the idea for her friends,” Bogdanovski adds.

“It gave me a very strong signal of the resurgence of interest and that this company is as relevant as it’s ever been in being able to make special moments for people,” he says.

Even Bogdanovski’s 7-year-old daughter is “into” scrapbooking, he notes, pointing out the skills that such endeavors can develop in young children—from bonding with their parents to learning about layout, design and the presentation of information.

But, while an interest in preserving memories is likely to be evergreen, the way those memories are being preserved has been shifting dramatically. Known for its traditional approach to scrapbooking, Creative Memories needed to reposition itself in the minds of consumers.

“Our objective in our turnaround is less about reestablishing what Creative Memories was as it is attempting to establish what Creative Memories can be in what we call the ‘post-digital transitional world,’ ” says Chris Veit, CEO of Creative Memories. The opportunity for Creative Memories, he says, is to be able to give people the ability to preserve and celebrate their memories in whatever media they desire.

“As we move into the digital age our objective is to create a business model that works for the consultant, for the customer and, ultimately, for the company,” Veit says. One of the best aids in that endeavor, he notes, is Facebook. “The root of Creative Memories has always been a page—a traditional scrapbook album page that really tells a little mini story about some event in someone’s life. That page, once made digital, is very easy to put up on Facebook and can be transported anywhere in the world.”

Creative Memories’ partnership with Entertainment Tonight co-host Nancy O’Dell has resulted in a collection of products designed to make albums both fun and fast.

Coming Back

Turnaround efforts are never easy and some companies fail in their attempts to rebuild and rebrand themselves, but Creative Memories executives feel they are headed in the right direction. “We have our work cut out for us,” acknowledges Veit. “We’ve been rebuilding the company from the bricks up in many ways. I’m very pleased and proud of the work we’ve done rebuilding our brand, rebuilding our product development engine and maintaining a high reputation for quality.

“I think we’ve done a lot of things very well,” Veit adds, “We still need to really get to where we actually have that positive upward momentum—that’s what we’re ultimately looking for. We know we have a lot of work yet to do.”

Still, notes Veit, “Our field has really responded to what we’ve done so far; we have so many avenues and so many opportunities yet to explore in terms of how we get out to market and really get the message out. We think we have a tremendous opportunity in front of us.” Creative Memories, he says, is “about halfway through” its journey—about a year and a half into what he believes, based on his experience, is typically a three-year process.

Throughout this process, Creative Memories’ leaders have focused on listening and learning to help the company better meet the needs of consumers, consultants and employees.

Listening and Learning

Loren Castronovo, Chief Marketing Officer for Creative Memories, says extensive research—both qualitative and quantitative—has helped Creative Memories better understand and focus on customer needs. “I like to say we heard the good, the bad and the ugly and we were ready to face all of that,” she says.

In terms of the good, Castronovo adds: “We certainly have a reputation for quality and for being very mission-oriented. Our field and our customers truly believe we make a difference in people’s lives and that’s because we are invited into their homes to share and document their lives.”

But there were also opportunities for improvement, she notes. “We also heard there was this perception that we were old-fashioned and that we had this militant perspective on scrapbooking—the Creative Memories way or the highway,” she says.

The research helped to identify various market segments with different needs and interests, says Castronovo. Two in particular stood out—the traditional scrapbooking segment and an emerging market more interested in quick and easy solutions. Profiles of these segments were developed: “Katherine,” representing the traditional scrapbooker, and “Allison,” representing the newer segment that “is not going to spend the weekend at a scrapbooking retreat and play around with stickers and all of that.”

Based on their research, says Castronovo, “we determined that we needed to focus on three key areas—innovation, building strategic partnerships and refreshing our brand.”

Innovation and Partnerships

Creative Memories has taken a renewed focus on innovation and Research & Development, Castronovo says. “We’re building that capability and we are introducing some really exciting new products,” she says. “We understand that you have to allocate resources to innovation—it doesn’t just happen.”

Strategic partnerships are an important part of this process. “We realized that the way to move forward was to work with other people, so we’ve got a list of strategic partnerships,” Castronovo says. Nancy O’Dell has been a key partner. O’Dell is one of the country’s leading entertainment journalists and TV hosts. Formerly anchor of Access Hollywood for 13 years, O’Dell joined Entertainment Tonight as a co-host in 2011.

But most notably, O’Dell has been an avid scrapbooker since childhood. Her love for photos and stories, says Castronovo, makes her the perfect partner for Creative Memories.

Awareness Campaign

From a marketing standpoint, Creative Memories also realized that it was time to refresh the brand, says Castronovo, who admits that it was a tough thing to do, but the right thing to do. “We had consultants telling us they were embarrassed to put our logo up when they went to a trade show—it looked really old-fashioned and it signified something that we were not anymore. We needed something to show that it’s a brand-new day at Creative Memories.”

The new logo was just the beginning.

Bogdanovski adds that an awareness campaign is critical to Creative Memories’ ultimate success. “People need to become aware of the Creative Memories brand and understand the level of quality that we bring into this space, versus some of the inferior options that are out there.” Awareness must occur both from a consumer perspective and among potential distributors, he notes.

And, adds Castronovo, “I really believe that rebranding is not just a logo, but it’s about exuding who you are through everything that you do. We’re going to touch every piece of our business to make sure that we convey that we are friendly, fun and approachable.” That effort starts internally.

Engagement

Joy Linsday is the Executive Vice President for Human Resources and Learning at Creative Memories. Her responsibilities include sales training. “We just started focusing on what I like to call the how,” she says.

“The sales training team is really focusing on core competencies and helping our consultants get really, really good at their jobs—how to recruit, how to capture a booking, how to be successful. Those are all areas that we’re focused on along with a new and refreshed party that we’ve been rolling out over the course of the last couple of months.”

Bogdanovski adds, “Our refreshed party is one of the best host programs in the industry, in terms of the incentives as well as the rewards and recognition for our hosts. Creative Memories’ party is refreshed, new and exciting and is bringing together the best of the foundation of our company as well as the progressive, new digital space.”

While Creative Memories’ outward face is certainly important in its transformation, its relationships with employees and its salesforce are equally critical. “We’ve taken a very strong and intentional focus on all things engagement-related here inside the walls of Creative Memories,” says Linsday. That started, she says, with the basics—asking for input and listening. “In some cases it was painful to get the answers,” she acknowledges, but adds it’s been an effort that has paid off.

The Salesforce

Leaders celebrate their success in high style at the Showcase National Convention Leadership Banquet.

Bogdanovski says that over his career he has learned that a significant barometer of success in the direct sales industry is the salesforce’s response and attendance at events. “We call it the thermometer of the business,” he says. If that’s the case, Creative Memories is hot. “We’re proud to have achieved a 50 percent increase in the number of attendees who have registered for our event next year,” he says. With more than 3,400 currently registered, the event has been sold out and the company is currently looking for a larger venue to accommodate additional registrants.

Sushila, one of more than 31,000 Creative Memories consultants, has been with the company for 15 years. She’s been through the downturn and is excited to see where the company is headed. “Now that we’ve weathered this Facebook effect and have recognized that the Creative Memories party isn’t just sitting around the living room, I feel like we’re indestructible,” she says. “I find it almost incomprehensible that we have this quality of experience at Creative Memories that we never had before.”

Bogdanovski also believes the future holds great promise for Creative Memories, and he is excited about its mission and its potential. “There is a great need in North America for families and households to preserve their memories, and we have the broadest range of options of high-quality archival means through which they can do this—from digital solutions to the best in traditional scrapbooking solutions,” he says. Bogdanovski’s vision is to grow the company to the point that every family in North America creates one album per year. It’s an ambitious but, he believes, realistic goal.

“Unlike other direct sellers where you can sell a product and then try to sell the next product or a new product, we provide a product that customers continue to have a need for on an annual basis for their own immediate family needs and for occasions like weddings, graduations and all of the celebrations that occur in life,” he notes. The suggestion of one album per family per year, he says, “is really just a starting point for our potential.”

Click here to order the Direct Selling News issue in which this article appeared.

Instant gratification. We all want it, but in some cases it’s really hard to find. If 45 minutes is instant enough, you’ll get it at It Works! Global.

Mark Pentecost

That’s the philosophy of this direct seller. The company’s distributors introduce prospects to its flagship product, the Ultimate Body Applicator, by actually applying it for 45 minutes to the body part the prospect would like to tighten, tone and firm—tummy, neck, arms, legs, even face. They’re all fair game. Imagine a room full of people, each with a wrap that has been infused with a botanically based formula on some body part while a person at the front of the room enthusiastically makes a presentation. That’s the It Works! experience. While the applicator does its work detoxifying the skin and reducing inches, the distributor explains the products and business opportunity.

At the end of 45 minutes, the company’s choice of name becomes obvious. Co-Founder and CEO Mark Pentecost says that over and over people exclaim, “It works!”

“You can almost count on it,” Pentecost reports. “In the company’s first weeks, we were on the road to another name, but it kept happening. People would put on the product, and 45 minutes later they would say, ‘It works!’ So finally we said we ought to name the company It Works! because that’s what we kept hearing.”

Pentecost asserts that in under an hour, people can begin to change their lives—their appearance, their health and their finances. And thousands are doing it. It Works! Global has had 436 percent growth over the last three years, and this year it has broken its own monthly records over and over again. In July the company shipped its millionth order, and in August It Works! Global paid commissions to almost 10,000 distributors.

Entrepreneurial Instincts

Today’s skyrocketing growth is the result of a lot of hard work and a restrained approach to business building that started 10 years ago. It all began when Pam Sowder, one of the company’s founders and now the company’s Director of Marketing, learned about the Ultimate Body Applicator. She called her friend Mark Pentecost to tell him about it.

But Pentecost wasn’t interested. He recalls, “I didn’t think it was something I needed at the time, but then my wife Cindy said, ‘Mark, if that works… . ’ Now, Cindy is more quiet and reserved than I am, but she called her best friend and told her what she had heard and that she planned to go to a demonstration. Her friend said, ‘You’d better not come back without one for me.’ Then the friend called back, saying her daughter wanted one for her chin. At that point, I thought, if these laid-back ladies are getting excited about this product, this thing could move the masses.”

With his background in both coaching and network marketing, Pentecost knew how to put together a team. He says he has read every get-ahead book ever written. He had been a highly successful distributor for a major direct selling company, so when he stopped thinking of the Ultimate Body Applicator as a product and began viewing it as a business opportunity, he naturally thought of direct selling.

“Network marketing had such an impact on my life,” he recalls. “I knew that when I started my company, I wanted it to be in this industry. I don’t know any other industry like it. It’s been life-changing for me, and I want to pass that on.”

With Sowder as his founding partner, Pentecost started slowly, investing his own money in the business, building a strong team and laying a solid, debt-free foundation. A decade later that same team is still in place.

“We’re like the Frank Sinatra of this industry,” he jokes. “We do things our way. We put roots down so that if people choose to build with us, they can know we’ll be here tomorrow.”

(left to right) The It Works! Global staff: Erin VanderVeen, Krista Rapa, Colin Ellsworth, Doug Nooney, Jenn Ellsworth, Wally Neeson, Kristina DeBruler, Cindy Pentecost, Mark Pentecost, Kindsey Neeson, Steve Radius, Chris Burns.

The Magic of Momentum

Pentecost and his team began building their business in smaller markets instead of in big cities. They advised new distributors to look within their own contacts for customers and prospective distributors, while the corporate managers gradually built everything from staff to inventory to IT systems. They kept their marketing message simple: “Give us 45 minutes and you’ll see results.” Sticking to the basics laid the foundation that would keep the company humming when exponential growth kicked in.

“My principles as a coach were to always be in the game to win. So we just kept working,” he says. “The first few years we were growing, but not fast. But we kept on growing and paying our bills. We simplified our product from two steps to one, and kept working with the same leadership and the same corporate team. After a few years, we had a great unit. When the economy took a dive, we had no economic pressures, because in 2007 we took the company debt-free. That allowed us to become aggressive. Economy aside, when people have something that works and that they can believe in, it changes their lives.”

These days the basics include a series of meetings around the country where Pentecost and his executive team tell packed houses of distributors and prospects how It Works! can change their lives. When new distributors sign on—typically because they’ve seen success with the products—It Works! is ready to support them.

It Works! provides distributors with a roadmap it calls Steps to Success. The four-step system includes purchasing the It Works! Business Builder System, getting on auto-ship to qualify for monthly commissions, having a launch event to gather four “Loyal Customers” and two new distributors in the first 30 days, and building to the executive rank. Leaders like to say that It Works! isn’t a party-plan company, but its distributors love to party.

It Works! Director of Distributor Relations Wally Neeson says that the company works hard to keep things simple, even providing an online, interactive 14-day calendar that spells out exactly what to do during each day of the first two weeks of business. The rookie’s sponsor reinforces and assists as long as necessary, and conference calls underscore each step of the success plan.

“People need something simple,” Neeson says. “There’s too much chaos in everyone’s lives right now. So we set up simple systems that are appealing to people whether they work at their It Works! business full time or a couple of hours a week.”

Firm Customer Base

Neeson notes that the term “Loyal Customer” has a specific meaning at It Works! They are the customers who commit to purchase products for at least three consecutive months. Their commitment gives them reduced product pricing, and their purchases generate three months of residual income for their distributor and also help to trigger several different bonuses. Loyal Customers are the foundation for the It Works! compensation plan.

It Works! has found that when Loyal Customers use a product such as the Ultimate Body Applicator for three months, they then tend to buy other products, plus they continue to use the applicator. One It Works! product, Defining Gel, is specifically formulated to be used as part of the Ultimate Body Applicator regimen. But the applicator makes It Works! unique and is the door-opening product. Once customers start seeing results, they often modify their lifestyles. They get inspired to eat better and exercise, for example. And when they do, It Works! is poised to help them as they start to take better care of themselves. In addition to the body-shaping Ultimate Body Applicator, It Works! dietary supplements operate with the body to provide nutrition and support for varying needs, including detoxification, alkalizing, and even stress management. In addition, it offers a line of skincare products and a structured weight-loss program called FITworks.

Distributors learn about those products with the help of product coaches—subject matter experts such as Don Verhulst, M.D., the company’s Chief Science Officer. Known to distributors as Dr. Don, Verhulst has an extensive background in researching the effects of nutrition and natural remedies on common health issues. The company’s products are based on natural, botanical substances, and Dr. Don has the skinny on all of them. His partner in product prowess is the company’s Product Development Specialist Luis Mijares, who orchestrates the creation of one-of-a-kind products that are safe, effective and grounded in natural, botanical principles. Mijares’ early passion for research and development in the skincare, nutritional, pharmaceutical and biotechnology industries eventually led to his development of phytoceuticals—cosmetic products that prevalently use raw, natural ingredients from plants to produce real, therapeutic benefits. The third leg of the product-coaching triumvirate is Carla Burns, a registered nurse and certified personal trainer. Burns has studied natural remedies and holistic medicine for more than 15 years. She is the creator of both the company’s online interactive weight-loss community FITworks and the exclusive It Works! It’s Essential meal-replacement bar.

All three individuals provide personal and online coaching to distributors, answering questions and educating them on the benefits and the science behind It Works! products. Pentecost notes that every product is based in solid science—including the Ultimate Body Applicator, which is infused with a botanically based formula to detoxify the skin, thus delivering maximum tightening, toning and firming results when applied. But remember the desire for immediate gratification? Pentecost says people are typically most excited by the results they see in just 45 minutes.

Buzz-Worthy

Distributors also get the benefit of the company’s extensive marketing program. It reaches far beyond brochures and product videos, placing products in the spotlight at high-visibility venues such as the Oscars and the Emmy Awards. At the Emmys, celebrities such as Paula Abdul, Leeza Gibbons, Seth Green and many others took applicators home with them. On Oscar night one of the company’s top distributors had the star-studded experience of distributing applicators to many of Hollywood’s elite. The result: high-profile buzz.

Buzz, of course, is what network marketing is all about. Neeson says that’s why It Works! founders chose this industry to market its enduring flagship product.

“The Ultimate Body Applicator is so unique and so exclusive, there’s no product out there better for a word-of-mouth approach,” he says. “Experiencing this product and getting results so quickly make it unique. With network marketing, you have time to talk with people and hear what their goals are. In that same 45-minute timeframe, they get an opportunity to see their own results. And with direct selling, so many thousands of lives can be changed for the better.”

Neeson and Pentecost are enjoying the momentum that the leaders and the field have created through their hard work. The company’s success let it move its headquarters from Grand Rapids, Mich., to Bradenton, Fla., in February. Pentecost is proud that the entire It Works! Grand Rapids management team made the move south, bolstering the sluggish local real estate market. In addition, the company has already provided 44 new jobs this year. Concurrent with the move, Pentecost checked off one item from his bucket list: He bought a golf course. Stoneybrook Golf Club provides a recognition venue that few other companies can match, and this year they started recognizing top producers monthly at what it calls “Green Carpet Days,” a name that’s a nod to the company’s green and black colors. There’s recognition, information, training, testimonials and social hours—all fuel to stoke distributor enthusiasm. And of course, there’s the golf course. The events have become standing-room only.

“We want to be different, to be innovators. And we want to be located in a destination area,” Pentecost explains. “When people come to the corporate headquarters, we want to teach them to dream again. Whatever has happened in the past, they can take a deep breath, and see what It Works! can pour into their lives. It’s not just about the golf. But it’s a great location. To kick off our first major event in Florida, we hosted a party the It Works! way. At the first hole, we had a masseuse. At the second, we served the best appetizers from local restaurants. At the end of the day, we took the group of people to some of the most famous beaches to watch the sunset. Then we drew a line in the sand and people realized that they are in control of their lives and what we could build together with this company. We’ve watched people realize that they can dream again.”

As that momentum builds, It Works! will continue to manage the growth, both through international growth—the company already has customers in the United States, Canada, the United Kingdom, the European Union and Australia—and additional products. Pentecost says the company will take a measured approach to both.

“One of the things the board has talked about is that there’s no universal language, but there’s a universal need for our products,” he says. “We’ll continue to expand, but we’ll continue the model we have. We’re having phenomenal growth in all of our countries, but we’ll take expansion one step at a time just as we’ve done since the beginning.”

When the company considers new products, each must be complementary to the Ultimate Body Applicator, just as existing products are. The whole company is focused on the door-opening Ultimate Body Applicator as its core product, with everything else revolving around it. After all, Pentecost says, the applicator changes lives.

Pentecost knows that this success would not be possible without the company’s leaders and customers. He notes that Loyal Customers are the foundation for the It Works! compensation plan and leaders from around the world are creating life-changing incomes through their hard work.

“People are looking for something to believe in,” he summarizes. “The last 10 years were about bringing us to this point. Now it’s about the next 10. It’s about the people and how we can change lives. We challenge our people right now to make over their lives. We want to impact lives and see results.” Then he adds, “I love being a hope broker.”

Click here to order the Direct Selling News issue in which this article appeared.

It Works! Global believes in flexible philanthropy—the kind of generosity that lets people donate time, money or both as they are able and contribute to causes that touch their hearts. The company’s charitable-giving program, It Works! Gives Back, provides opportunities to give, and it encourages the company’s distributors to start where they can and then expand their giving as their incomes increase through the It Works! opportunity.

Kindsey Neeson

Kindsey Neeson, Director of It Works! Gives Back, explains that the company’s founders infused charitable giving into the company culture from its earliest days. She says that she simply gave the program a title and started getting more people involved.

After finishing college and having a brief career in social work, Neeson joined the It Works! customer service department. She later left the company, but in 2007 was rehired as Director of Customer Service.

“When I came back, I knew that the company was already giving back, but there was no formally established program,” she recalls. “I was leaving social work, but I still wanted to be involved with giving back. They let me be in charge of the program because of my passion for it.”

She picked up the reins on a fledgling philanthropy program and gave it even more fuel. Eventually she transformed it into her full-time job. Today It Works! Gives Back strives to enhance the lives of others in its communities by touching the lives of those in need financially, practically and emotionally. Its charitable outreach efforts lean toward children and women but may encompass anyone in need of a helping hand. It Works! started its philanthropic efforts in its original hometown of Grand Rapids, Mich., and expanded south when the company relocated its headquarters last year to Bradenton, Fla.

Close to Home

One of the programs that stretched its reach after the move was the company’s Walk for MPS, which supports the National MPS Society. The company hosted the walk for 10 years in Michigan and sponsored its first walk in Florida this October. MPS, or mucopolysaccharidoses, is a group of related genetic diseases caused by the body’s inability to produce specific enzymes. Normally, the body uses these enzymes to process unneeded materials into substances that cells can use. In individuals with MPS and related diseases, the missing or insufficient enzyme prevents that process, resulting in the storage of unnecessary substances in virtually every cell of the body. As a result, cells do not perform properly and may cause progressive damage throughout the body, including to the heart, bones, joints, respiratory system and central nervous system.

Kate Martin

“This one really hits home and is near and dear to our hearts,” says Kate Martin, the company’s Public Relations Specialist and Co-Coordinator for It Works! Gives Back. “Our Director of IT Steve Radius has two sons who are affected by Hunter’s syndrome [one of the MPS diseases]. Steve lost one of his sons at age 15 this past March. He still has a son who is battling the disease. Our CEO Mark Pentecost instills in us that we are a family, so we try to show our support by participating in this walk.” The company’s new Florida headquarters includes a golf course, which shut down for a morning to host the MPS walk.

Distributor Driven

2011 is the second year It Works! has supported another worthy cause, Susan G. Komen for the Cure, which seeks a cure for breast cancer. Support started when distributors had a brainstorm: They wanted to host a Wrap for the Cure party, donating a portion of their proceeds from the sale of the company’s Ultimate Body Applicators to the organization. It Works! jumped onboard, even matching the donation.

“This October we encouraged distributors to host Passionately Pink parties [one of the Susan G. Komen programs],” Martin notes. “We were excited because Susan G. Komen for the Cure is an amazing organization—the biggest organization we have donated to. So this is one way we’re giving back on a larger scale. Plus, breast cancer affects so many of our distributors in one way or another.”

In addition to national organizations, It Works! Gives Back searched for local organizations it could help near its new Florida headquarters. One that stood out was HOPE Family Services, which provides services to survivors of domestic violence. Before its final decision to support HOPE, It Works! Gives Back decided to do some hands-on research. So it gathered a group together and painted the organization’s walls.

“We wanted to learn about them, but we also wanted to help them,” Neeson explains. “We could make a difference while we were learning. That’s the way our company works—by word-of-mouth—and that’s how we like to give back too.”

Part of the Community

It Works! Gives Back also supports an organization that’s closely related to HOPE, the Women’s Resource Center of Manatee County. The Resource Center is committed to providing a welcoming environment where all women can participate in programs and services that enrich, educate and empower them to realize their full potential.

Since It Works! Gives Back promotes giving in any way its employees and distributors can contribute, it sometimes runs non-financial philanthropic drives. It has run a clothing drive, collected food for the Mel Trotter homeless shelter, hosted a sock drive that supported the homeless, housed a “giving tree” on which ornaments were hung that listed items requested by families in need, waged a penny war to raise money to buy gifts for a homeless-youth graduation party, and teamed up with other business partners in Grand Rapids to raise money for the shelters and food banks in West Michigan, as well as in Central America and Africa. Both employees and distributors have been involved.

“Our goal is primarily to inspire and encourage others to give back, no matter where they are in life,” Neeson says. “Our distributors are at every different level of our business, and we want people to give back at every level, whether through their time or their finances. We do events where we open it to the public, like wrap-a-thons that produce funds for various organizations. The corporation tries to have ways that let distributors be involved if they want, but also we try to be an example and just show them how they can get involved in their community.”

The It Works! Global Miles for MPS Walk in Michigan, featuring the Radius family and the It Works! Global corporate family.

Encouragement Through Recognition

Some of that encouragement comes in the form of recognition. The company’s Spirit Magazine routinely highlights what distributors are doing around the world to give back to their communities. But the recognition doesn’t stop on the printed page. One of the awards It Works! presents at its annual conference is the Gives Back Award. When the program was conceived, the company asked distributors to nominate themselves or another distributor or team for significant philanthropic activities by sending their stories to Neeson. The plan was that she would remove the names and distribute the stories among the It Works! Global staff, and the staff would vote for the story that touched them the most. The problem: About 90 percent of the people who submitted stories didn’t actually want to be nominated for the award. So the staff developed a slide show that demonstrated the range of charitable work that distributors did and showed it at the conference. With so many heartwarming works, a winner is always chosen whose work is inspiring and encouraging.

Empowerment is a recurring word at It Works! Gives Back. It’s the backbone of the program, as well as the opportunity, and it’s the philosophy behind the international expansion of It Works! Gives Back. For example, one of the company’s customer service representatives had been in Chile and had seen firsthand the destruction from a tsunami. It Works! Global doesn’t do business in Chile, but that didn’t keep it from throwing its weight behind the employee’s desire to help those in need. With It Works! support, she sold T-Shirts to raise money to send to Chile.

“We try to get behind people who want to lend a helping hand,” Neeson says. “We love to help wherever people are in need.”

Neeson credits It Works! Global owners Mark and Cindy Pentecost for setting an example through their own philanthropy and for allowing employees and distributors to seek out ways to help. She says that the founders’ values permeate the company and are being handed down to younger generations.

“They’ve passed on their values,” she says. “They are people who believe that’s what we’re supposed to do with our lives: Give back. We’ll be blessed by giving back to others. It’s incredible that every time we do an event, so many people show up and bring their children [to teach them how to give].”

It Works! already does business in the United States, Canada, the United Kingdom, the European Union and Australia. Neeson’s vision is for the company’s philanthropic influence to change as many lives as the business opportunity does.

“We’re very goal oriented, so if we see a need, we can help,” she notes. “This is what we believe we’re supposed to do. Our team of distributors has grown so much in the past year. I look at it and think, ‘Wow, how we can affect the world!’ I get excited to think about the lives we can change. The bigger our company grows, the more we can impact the world.”

World Federation of Direct Selling Associations

Alessandro Carlucci

The World Federation of Direct Selling Associations (WFDSA), the entity that represents the national associations of this industry, has announced as its new Chairman, Alessandro Carlucci, President and CEO of Brazilian company Natura. With his term running through October 2014, Carlucci succeeds Andrea Jung, Avon’s Chairman and CEO. He will represent an industry that, in 2010, moved globally $132 billion and involved over 88 million sales professionals.

Carlucci has been at Natura since 1989, when he first worked as a marketing and sales trainee. More recently, he was in charge of the operations business unit, a position he occupied before becoming President and CEO in 2005. Before the nomination as WFDSA Chairman, he held the position of Financial Director at WFDSA. Carlucci is also Advisor Member of the Board of Redecard, Brazil’s second-largest card-payment processor.

Founded in 1978, the WFDSA is a nongovernmental, voluntary organization globally representing the direct selling industry as a federation of national direct selling associations. WFDSA membership consists of 60 national direct selling associations and one regional federation.

MonaVie

Arthur Sando

MonaVie, a network marketing company that sells premium nutrition products, announced the appointment of Arthur Sando as Vice President, Corporate Communications.

Sando brings experience as a communications executive with expertise in media relations, product branding and public policy to his new position.

For the past four years, Sando has been CEO of a Los Angeles-based communications consultancy. Previously, he was Senior Vice President, Communications, for CBS Enterprises.

Sando is credited with founding and building the public relations department of Turner Broadcasting System, where he rose from being the company’s first Public Relations Director to becoming Vice President, Marketing and Communications.

Belcorp USA

Graciela Sanchez

Bruce King

Graciela Sanchez joins Belcorp USA as Director of Sales and Marketing, and Bruce King joins as Director of Finance, Operations and Technology.

Sanchez has over 10 years of experience in the direct selling industry, and is currently responsible for the bilingual marketing, communications and sales initiatives. She also serves as Secretary for the Belcorp Foundation, a nonprofit organization which seeks to train women in the areas of personal development and entrepreneurship as well as awards scholarships.

King brings more than 20 years of diversified business experience, including finance and accounting, operations, strategic planning, and IT and network management. He has worked extensively in Latin America and held several executive roles at other companies.

Univera Inc.

Matt Rumpsa

Matt Rumpsa has joined Univera Inc. as Vice President of Business Development.

Rumpsa brings over 25 years of experience in the direct selling industry, holding executive positions in sales and marketing, customer service and global expansion.

Univera Inc. is a cell renewal-focused relationship marketing company offering nutrition products and home-business opportunity for nearly 100,000 people currently in North America. Univera is part of the ECONET global family of health and natural product companies, which has operations in the United States, Canada, Korea, Mexico, Russia and China.

Immunotec Inc.

Rod Budd

The Immunotec Board of Directors announced the appointment of Rod Budd as new Director and Chairman of the Audit Committee.

Budd has over 30 years of experience in public accounting, serving emerging and growth companies from startups to large multinationals. Budd was a partner in Ernst & Young for 25 years until his retirement in 2010. For the last eight years, he was the Canadian firm’s life sciences practice leader. He has extensive experience with public companies in both Canada and the United States.

North American Power

Robert Holtzman

Robert Holtzman, MS, APR, has joined North American Power as Senior Marketing Strategist. Holtzman brings over three decades of public relations and marketing experience to the position and has worked with clients from various sectors, including retail, entertainment and education. From high-end shopping malls to international film festivals, he has coordinated events and marketing programs for hundreds of corporations and nonprofit organizations. Holtzman is also a former professor of Marketing and Communications at the University of North Florida.

Phototron Holdings Inc.

Phototron Holdings Inc., the designer, manufacturer and seller of the PHOTOTRON Hydroponic Indoor Grow System, announced the appointment of Brian Sagheb as President and CEO, as well as social media expert Mike Zappy as Chief Internet Strategist.

Sagheb was previously Phototron’s CFO. He has served as a financial and operational executive in Fortune 500 corporations and venture-backed startups. Prior to joining Phototron in 2002, Sagheb served as CFO of SolarX—a renewable energy provider. As an entrepreneur, he has purchased and grown several successful businesses. Before his entrepreneurial business ventures, Sagheb served as Controller and CFO of Perks.com and was Vice President and Director of Finance for Oediv.com.

Zappy has been featured on NBC’s Today, on TV networks ABC, CBS, CNBC and CNN, and in newspapers and magazines, including The New York Times, The Wall Street Journal, USA Today, Business Week, and SUCCESS magazine. He is the creator of the Harvard Business School elective course E-Business, and was recently a featured speaker at The Economist’s Branding Conference in Shanghai. Zappy is also co-author with Deepak Chopra of Ask the Kabala, a beginner’s guide to Kabala.

Tupperware Brands Corp.

Susan M. Cameron has been elected to Tupperware’s Board of Directors. Cameron is the retired Chairman and CEO of Reynolds American Inc., a publicly traded tobacco products company. Additionally, she is a director of R.R. Donnelley & Sons Company and a member of the University of Florida Board of Trustees. Cameron will serve as a member of the Audit, Finance and Corporate Responsibility Committee of Tupperware Brands Corp.

Tupperware Brands Corp. is a portfolio of global direct selling companies, selling innovative, premium products across multiple brands and categories through an independent salesforce of 2.7 million. Products include design-centric preparation, storage and serving solutions for the kitchen and home as well as beauty and personal care.

Submissions
Please submit news of executive promotions and hires at your company to be included in the Executive Announcements section of Direct Selling News. Email pr@directsellingnews.com