90 Days of Direct Selling – Day 71

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Relìv International Inc.

2013 Net Sales: $68 million

Country: USA

Relìv International makes nutritional supplements that address essential nutrition, weight loss, athletic performance, digestive health, women’s health, anti-aging, and energy and mental focus. The company also markets premium personal-care products through its Relivables line.

 

2012 Rank: 100
2012 Net Sales: $69 million
Sales Method: Person-to-person
Compensation Structure: Multi-level
Products: Health and wellness
Markets: 15
Salespeople: 60,740
Employees: 240
Headquarters: Chesterfield, Missouri
Executive: Robert L. Montgomery
Year Founded: 1988
Stock Symbol: RELV—NASDAQ
Website: www.reliv.com

Reliv Supplies Ongoing Aid to Haitian Orphans

Photo above: Haitian boys who participate in the Reliv Kalogris Foundation feeding program.

Reliv International’s charitable arm, the Reliv Kalogris Foundation (RKF), recently announced the opening of the St. John the Baptist National School, a milestone in its ongoing work with orphans in Petite-Anse, Haiti. The RKF supplied funds to repair damages to the structure caused by the devastating 2010 earthquake.

Following the earthquake, the RKF collected donations to supply aid to the country’s orphans—a population which had swelled to approximately 500,000 as a result of the disaster. With the initial $100,000 in donations, raised within just two months, the Reliv Kalogris Foundation built a children’s home in the northern town of Cap Haitien.
The addition of the newly upgraded school building will enable RKF to provide education and vocational training, as well as feed and house the children. In addition to the 40 children that RKF houses, 200+ children from the surrounding neighborhood will also attend the school, where they will receive daily nutritional shakes formulated by Reliv. RKF currently supplies nutrition to over 12,000 children in 47 schools, orphanages and clinics across the island nation.

Read the full announcement from the RKF.

Executive Connection with Tim Brown, Founder and CEO, Jamie Oliver At Home

In this month’s Executive Connection, Direct Selling News Publisher and Editor in Chief John Fleming speaks with Tim Brown, Founder and CEO of Jamie Oliver At Home, about leadership, falling in love with the industry, and sharing the mission of health and well-being.


DSN: What is the one thing you enjoy most about being the CEO of Jamie Oliver At Home?

TB: Working with our wonderful team, building the mission and sharing it with as many people as possible.

DSN: Launching a new company is obviously a lot of work, but what has been the most fun about it?

Tim Brown

Tim Brown

TB: To be able to work with all the things that we’re passionate about: being in the kitchen, good food, Jamie Oliver, and his message to help others. So many things have been fun, and they connect all our passions. It’s been wonderful to work with such an amazing young man and to launch his first commercial business in the United States.

DSN: What is your long-term vision for the company?

TB: To be able to support our amazing Better Food for a Better Life community and to spread our mission of health and financial well-being.

DSN: If you hadn’t become an entrepreneur, what career path would you have taken?

TB: I love to be in the kitchen, to garden and to exercise. I would probably have chosen a path in health and fitness.

DSN: How did you get into this industry?

TB: I cut my teeth in this industry as an independent distributor for Reliv International. At the time, I was working with Christian Dior Perfume when friends introduced us to their products. I worked that business for three years and fell in love with the industry. Then I was recruited to work at Princess House, where I learned so much about our great direct selling business model.

DSN: After all these years, what still gets you excited about direct selling?

TB: People. We’ve heard the expressions B-to-B, or B-to-C. I like to refer to direct selling as P-to-P— people to people. How exciting it is that we get to build the platform for independent entrepreneurs to have their own businesses.

DSN: What other direct selling company or leader do you admire most, and why?

TB: I have always admired my mentor, Charlie Collis, the founder of Princess House, and Doris Christopher of The Pampered Chef for their amazing vision and the communities they each created.

DSN: What’s on your bucket list?

TB: I feel so fortunate and blessed that every day I get up and do the things I love. There are lots of things I want to do, and I do them as I can. I’m living my bucket list.

DSN: You and your wife, Amelia, are a team, not only in life but also in business. What does her involvement in Jamie Oliver At Home mean to you?

TB: It’s beyond words. It’s so cool. We’ve been able to raise our family together, and we have two beautiful children. She is such an amazing partner and person. We talk about business all the time now, and it’s fun. We’re creating so many unique things, and we’re helping a lot of people. That’s our goal.

DSN: What’s something few people know about you?

TB: I’m a bit of an open book. I love to ride bikes, play in our garden and pray. Maybe people don’t know that I have two brothers and four sisters. Or that I’m an amateur photographer. I love taking pictures, and I’m told I have an eye for a great photo.

Relìv International: Nourishing Our World

by Karyn Reagan

Click here to order the July 2013 issue in which this article appeared or click here to download it to your mobile device.

Reliv

Company Profile

Founded: 1988
Headquarters: Chesterfield, Mo.
Founder: Robert L. Montgomery
Products: Nutritional supplements and personal care


Hungry children worldwide are given hope for the future due to the generosity of Relìv distributors.

Rosemarie today 2013She was 2 years old, weighed 8 pounds and was found living in a garbage dump in the mountainous Manggahan area of the Philippines. Gaunt flesh stretched over her fragile bones and life ebbed away from Rosemarie’s tiny, starving body. Her mother struggles to care for seven children in a place where life means fighting for survival and young children often succumb to malnutrition. But for Rosemarie, the outcome has been much different due to the caring hearts of Relìv distributors around the world.


The foundation has distributed over $34 million in nutritional support since it was founded in 1995.


According to Scott Montgomery, Chairman of the Relìv Kalogris Foundation (RKF)—named in honor of Dr. Theodore Kalogris, who created what became the first product of health and wellness company Relìv International—their charitable efforts reach into nine countries with 270 feeding programs. The foundation has, in fact, distributed over $34 million in nutritional support since it was founded in 1995. The program provides a powder that when added to water creates a highly nutritious shake. This power-packed beverage is provided to over 42,000 children per day around the world. “Volunteers at each of the 270 locations distribute the shake to needy children,” Montgomery says. “Sometimes those volunteers are parents who have seen the miraculous results in the health of their own children. Others are people who want to make an impact for good in their world.”

The volunteer efforts also come from the participation of select distributors, who receive an all-expenses-paid trip from Relìv to help with the mission work in some of the poorest areas of the world. It is just one way that Relìv has put forth effort to increase awareness of its charitable undertakings and to spur growth of the foundation.

Scott Montgomery, Chairman of the Relìv Kalogris Foundation (RKF), visits children who are part of RKF’s feeding program at Ecole Sacre-Coeur de Limonade, a school in Northern Haiti.Scott Montgomery, Chairman of the Relìv Kalogris Foundation (RKF), visits children who are part of RKF’s feeding program at Ecole Sacre-Coeur de Limonade, a school in Northern Haiti.


Small Beginnings Form a Strong Foundation

The RKF was formed as a result of a couple of Relìv distributors in Australia who wanted to do what they could to help when they learned of some children in the Philippines in dire need of food. The couple approached the leadership of Relìv about providing some relief to the hungry children, and Relìv has been responding ever since.

“For the first 10 years of the foundation we stayed small, but in 2005 we decided to start sharing the stories of success in children’s lives at events and conferences, on Facebook and through videos because we realized that we could and should do more,” Montgomery says. “And the results have been huge. The number of children helped and the follow-up with their results, the organization of the process, and the public awareness have been greatly improved, resulting in increased donations.” He adds that the impact of the foundation’s work has given distributors another reason to talk to new contacts about their business, resulting in growth of the company.

And it has all been accomplished with the Relìv mission statement as its fuel. It reads: “to nourish our world in body, mind and spirit.” The body is nourished through Relìv’s nutritional products, the mind is nourished by allowing for personal growth through a business opportunity, and the spirit has an opportunity for reaching new levels when individuals become involved in the charitable efforts of the foundation. The Relìv logo illustrates the mission, with the circle representing the world and the three flags representing body, mind and spirit.


“The number of children helped and the follow-up with their results, the organization of the process, and the public awareness have been greatly improved, resulting in increased donations.”
—Scott Montgomery, Chairman, Relìv Kalogris Foundation


Distributors who understand the heartbeat of the foundation and want to support it financially are encouraged to do so in several ways. Relìv will automatically deduct a specified amount from a distributor’s paycheck, memorial donations are accepted by RKF in honor of a loved one, and one-time donations are also received. Distributors even have the opportunity to set up their own Network to Nourish events as a way to raise funds, or they can participate in the Rally for the Mission during Relìv’s annual international conference. Montgomery explains that the foundation is registered as a 501(c)(3) in all 50 states in order to facilitate accepting donations from anyone who wants to give but may not be a Relìv distributor.

The philosophy of nourishing children with Relìv’s own product instead of raising funds for an outside organization has served the company well. “The donations we receive are used to purchase NOW—an acronym for Nourish Our World—the Relìv product used as a supplement for children both in the United States and around the world,” Montgomery says. “Area coordinators are used to organize the over 270 stations and keep the program running. They then report the results to the RKF.” The foundation also has a small staff of three full-time employees with offices at the Relìv headquarters in Chesterfield, Mo.


These children, ages 3-5, are part of a feeding program and school held at the RKF House in Cavite, Philippines.These children, ages 3-5, are part of a feeding program and school held at the RKF House in Cavite, Philippines. A 250-acre section of Manila, Philippines, that is home to 60,000 impoverished people, was dubbed Welfareville.A 250-acre section of Manila, Philippines, that is home to 60,000 impoverished people, was dubbed Welfareville. The RKF Nutrition Center was recently dedicated in Welfareville and also serves as a school, church and medical facility.The RKF Nutrition Center was recently dedicated in Welfareville and also serves as a school, church and medical facility.

Progress in the Philippines

Two of the nine countries being impacted by the RKF are the Philippines and Haiti. There are a total of 150 feeding programs in the Philippines and seven of them are in a 250-acre section of 42 blocks in the center of Manila dubbed Welfareville. According to Montgomery, most of the 60,000 inhabitants of this impoverished slice of the city are unemployed or underemployed. If the men work, they are often taking whatever construction job they can find, and women will scrounge a meager subsistence by doing basic tasks such as laundry for others.

Parental irresponsibility is prevalent, and many young children work at any job they can find out of necessity because they are more agile than their parents. They will often gather items they think they can sell from garbage dumps in order to help with basic needs. “The living conditions are terrible. There is overcrowding and filth causing ill health, and most of the community cannot afford medical treatment,” Montgomery says. “Such conditions lend themselves to kids who want to escape their environment in search of a better life. Some end up running away to the inner city, where they discover the challenges are the same or worse.”

Since the arrival of RKF, nearly 200 of the children in Welfareville have been given daily nutrition, which has literally translated into hope for the future for many of the recipients. Montgomery is pleased to say that the area coordinators, Pastor George and Blessie Padilla, have worked hard to bring a sense of acceptance to these individuals. In May of this year, he says he was privileged to be a part of the dedication of a new building within the community that serves as a central location for the seven feeding stations, and as a school, a church and a medical facility.

The new building also provides a place to practice for the Himig Pag-asa Children’s Choir, made up of children who are part of the feeding program and residents of Welfareville. They were chosen to participate at the Paskong Pinoy Choral Competition 2012 and ranked in the top 16 of all children’s choirs in the competition.

Bringing Hope to Haiti

Nearly 10,000 miles and half a world away, volunteers are feeding hungry children growing up in the battered nation of Haiti. Already suffering severe poverty and the challenges that come with it—including a large orphan population—the country was struck with a catastrophic earthquake in 2010 that made a bad situation more difficult. Before the quake, there were over 100,000 orphans. According to Kathy Brawley, RKF Haiti Area Coordinator, after the dust settled, approximately 500,000 children were without parents or a place to call home. Due to a presence in the country already, RKF was able to respond quickly by helping some of the children with nutritional support.

“In the north part of the country a doctor, Emmanuel Mareus, known as Dr. Manno, was already using Relìv’s product to treat various health issues with great success,” Brawley says. “When the body is receiving proper nutrients, the immune system can do its job.” Donations to RKF are used to purchase product, which is then shipped to Dr. Manno. “Haiti is so poor and has such great needs that there are no intense government regulations to overcome when an organization is bringing help to the people of the country,” Brawley explains. She has been working closely with Dr. Manno and others to help the children of Haiti for over 30 years. “I’ve lived there at two different times in my life and have contacts that have assisted in the efficiency of the charitable work that RKF does in that country,” she says.


“Haiti is so poor and has such great needs that there are no intense government regulations to overcome when an organization is bringing help to the people of the country.”
—Kathy Brawley, Haiti Area Coordinator, Relìv Kalogris Foundation


Brawley explains that, in addition to the loss of life, one of the reasons the devastation from the earthquake was felt so intensely by the hundreds of thousands of affected citizens is due to the fact that they generally build their houses one piece at a time. “As they can afford another piece, they build, and it often takes years,” Brawley says. “Therefore, it could take a lifetime to rebuild.”

After the quake, which took place in the southern part of the country, there was a northward migration of orphans desperate for help. “In response to the dire need, RKF set up a special account specifically for donations designated for Haiti,” Brawley says. “Within two months over $100,000 came in.” She explains that they used the money to build a children’s home in the northern town of Cap Haitien. “We formed a partnership with a committee from The Catholic Cathedral of Cape Haitian, since they also wanted to get as many of the orphans as possible off the streets.” Some of the children were as young as 2 years old.

The home, known as the Relìv Kalogris Foundation Home, has been operational since June 2012. “There are three house parents and 38 kids who like to watch out for each other,” Brawley says. “The youngest resident, Okenny, who is 3 years old at the time of this writing, has been at the home since it opened, and is making remarkable progress.” One young lady is 17 years old and lost her parents and all eight of her siblings due to illness. She now finds purpose for her life by helping care for the younger children in the home.


RKF Children’s Home in Petite-Anse, Haiti.RKF Children’s Home in Petite-Anse, Haiti. Scott Montgomery (pictured in green) accompanies Papa Noel and two Relìv distributors (Tony P. and his wife, Joni S.) who won a trip to visit the children in Haiti.Scott Montgomery (pictured in green) accompanies Papa Noel and two Relìv distributors (Tony P. and his wife, Joni S.) who won a trip to visit the children in Haiti. The RKF feeding program provides a nutrition shake for children who attend Ecole Evangelique Baptiste School in Haut-Limbe, Haiti.The RKF feeding program provides a nutrition shake for children who attend Ecole Evangelique Baptiste School in Haut-Limbe, Haiti.

A Life-Changing Gift for Givers and Recipients

And although some of the children have heard of Santa Claus, or Papa Noel as he is known in Haiti, none of them had ever been visited by him until he surprised them last Christmas. He was accompanied by some Relìv distributors who had entered a letter-writing contest offered by Relìv. The grand prize was a trip to Haiti to visit the children who are recipients of Relìv’s charitable efforts, as well as to see the home. Tony P. and Joni S. share the impact that the trip had on them in a video released by the foundation in February. “We didn’t want to go to Haiti but we had to go,” they said. “We knew the experience would touch some places within us that we may not want to touch.”

They are speaking of the abject poverty that they knew they would have to face and then be compelled to deal with, like the garbage in the streets they walked around when visiting various feeding stations.


“These are real kids and their lives are tremendously better because of the foundation.”
—Jennie Santhuff, Director, Distributor Service Center


But as other children received what might be their first-ever Christmas gift from Papa Noel, the smiles on their faces were also described as something the people on that trip will never forget. Santhuff shares the experience of watching a little girl open a gift she had brought to Haiti, and Santhuff’s face is nearly as bright as the child’s. “What she saw in the box wasn’t much compared to our standards, but to her it was everything she ever wanted in life,” she says. “These are real kids and their lives are tremendously better because of the foundation.”

The distributors on that trip say they now feel that it is their duty to tell as many people as possible about the difference in the lives of the children who are receiving Relìv’s nutrients. “We could see the difference,” Joni S. says. “No, we didn’t want to go face that hardship, but we now know the importance of every dollar that comes in to save a child. We must get the word out.”

According to Brawley, there are 48 sites in Haiti that use the NOW for Kids product. They consist of clinics, orphanages and approximately 40 schools. Kids often arrive at school having had no breakfast, causing them to be lethargic and unable to learn well. “I could go on and on about the teachers who report that those same kids who had no energy before Relìv are now filled with energy and look healthier,” Brawley says. “Over 11,000 children receive NOW at those 40 schools every day in Haiti.”

The RKF leadership’s heart for hungry children around the globe can be heard in their words. “Our No. 1 goal for the future of RKF is to tell the stories of the children whose lives have been saved in order to raise more funds to provide necessary nutrition to more starving children,” Montgomery says. “We have increased donations from $200,000 to $1 million in seven years, and we are now working toward $2 million annually to double the number of kids we can save. The hardest thing for the volunteers to do is to look into the eyes of a hungry child and tell him there is not enough for him.”

Reliv, Nature’s Sunshine Publish Year-End Reports

As we approach the publication of the DSN Global 100, our annual list of the world’s top direct selling companies, we are excited to announce more positive reports from industry leaders.

For a first in more than five years, Reliv International reported a quarterly year-over-year net sales increase in the fourth quarter of 2012. Much of that momentum stems from Reliv Europe, where the nutritional supplements company experienced its 13th consecutive quarter of year-over-year growth.

Reliv reported net sales of $68.71 million in 2012 compared with net sales of $73.88 million in 2011. Though U.S. net sales decreased, Reliv’s European market increased net sales by $2.73 million, or 72.7 percent. The company also announced plans to open in France, its 16th company of operation, in spring 2013.

In a positive report for shareholders, Nature’s Sunshine Products doubled its quarterly dividend from 5 cents to 10 cents per share. The company attributed the increase to “strong cash flow, its record high year-end cash balance of $79.2 million and the Board’s commitment to return excess capital to shareholders.”

The natural health and wellness company sustained net sales of $367.5 million, compared with $367.8 in 2011, for a year-over-year decrease of 0.1 percent. The report shows operating income of $34.0 million, compared with $20.2 million in the prior-year period, for an increase of 6.9 percent.

Nature’s Sunshine also announced that Gregory L. Probert, Executive Chairman of the Board, will serve as interim CEO until the Board of Directors names someone permanently to the position.

Read the full Reliv International press release here.
Read the full Nature’s Sunshine Products press release here.

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