DSN Makes Its Global 100 Celebration an Event to Remember

by DSN Staff


Click here to order the June 2017 issue in which this article appeared or click here to download it to your mobile device.


IN THIS ISSUE:

2017 DSN Global 100 List
2017 Profiles
DSN Makes its Global 100 Celebration an Event to Remember
Frequently Asked Questions about the Global 100 Ranking
By The Numbers

DSN BRAVO AWARDS:

Leadership: It Works! CEO Mark Pentecost: On the Road to Legendary
Leadership: Isagenix’s Jim & Kathy Coover: Agents of Change
Growth: Jeunesse: Forging an Uncharted Path to Billion-Dollar Growth


In appreciation of those companies that lead the way in offering an unparalleled opportunity for individuals to start their own businesses through shared connections, Direct Selling News honored the group during its eighth annual DSN Global 100 Celebration. The awards ceremony and dinner, held April 19 at the InterContinental in Dallas, served as the backdrop for the unveiling of our exclusive ranking of the top revenue-generating companies in direct selling.

DSN’s Lauren Lawley Head and John Fleming hosted nearly 400 executives from around the world. In fact, the Global 100 list represents companies based in 17 countries this year and is a collective effort to show the impact and potential of the $183.7 billion direct selling industry.

“Each year, the DSN Global 100 gives us an opportunity to recognize the leading companies in direct selling today,” said Lauren Lawley Head, Publisher and Editor in Chief of Direct Selling News. “The companies on the list represent a wide range of products and services, but they share a passion for developing a community of independent business owners who share those products and services with customers in their personal networks. It is a unique and powerful distribution channel.”

Fleming added, “The announcement and reveal of the top 100 Direct Selling Companies in the world is a most exciting moment in our year! Congratulations are always extended to those companies who are listed.”  He continued, “The DSN Global 100 is not a competition, it is a listing. The privately held companies who voluntarily submitted their certified revenue for the previous year contribute to the transparency needed to constantly inform a global audience of the impact direct selling companies are making on economies and individual lives around the world.”

For the fifth consecutive year, Ada, Michigan-based Amway claimed the top spot as the No. 1 direct seller in the world, with $8.8 billion in revenue in 2016. The company is truly a global giant, with a large portfolio of brands—including the best-selling nutritional brand in the world, Nutrilite, skincare brand Artistry, as well as the XL Energy Drink business. Amway does business in over 100 markets through more than 3 million independent Amway business owners.

In attendance and accepting the award on behalf of Amway was Jackie Nickel, Chief Marketing Officer of the Americas.

“We’re truly honored to be recognized as a leader in this great industry,” Nickel said. “We credit such a privilege to our millions of Amway Business Owners worldwide, who are at the heart of our business.”

Special Guests

DSN welcomed very special guests to the dinner, esteemed members of Direct Selling Association’s Hall of Fame and the Direct Selling Education Foundation’s Circle of Honor: Charlie Orr, CEO of Canada’s Immunotec; Brian Connolly, CEO of AdvoCare; Stan Fredrick, Chairman of the Board, Mannatech Inc.; and our own John Fleming.

Also in the audience was President of the Direct Sellers Association of Canada James Smith and Chairman of the Direct Selling Education Foundation Dave Wentz.

DSN Global 100

In all, the Global 100 companies achieved more than $82 billion in net sales in 2016, up a fraction from 2015.

The Top 10 companies achieved $40.53 billion in revenue, with the total number of salespeople at about 24 million. It is also a testimony to the power and strength of the direct selling channel that a number of companies reached milestones in 2016. Ten companies grew $100 million or more last year, and 22 companies each reported annual revenue of $1 billion or more.

TextJackie Nickel, Chief Marketing Officer of the Americas at Amway, accepts the night’s top prize for the company, which placed No. 1 on the Global 100.

By region, there were 46 companies from North America in the Global 100; five from South America; nine from Europe/Africa; and 40 from Asia/ Asia-Pacific. A total of 17 countries were represented on the list—Brazil, China, Colombia, Cyprus, France, Germany, India, Japan, Malaysia, Mexico, New Zealand, Peru, Russia, Singapore, Switzerland, the United Kingdom and the United States.

Companies appearing in the ranking for the first time included Quanjian from China (No. 8); Marketing Personal from Colombia (No. 81); Global Ventures Partners from the U.S. (No. 92); and Shinsei from China (No. 99). Companies returning to the list were JoyMain from China (No. 13); SUN HOPE from China (No. 23); LegalShield from the U.S. (No. 43); Faberlic from Russia (No. 48); Merro International from China (No. 56); KK Assuran from Japan (No. 64); New Image Group from New Zealand (No. 86); Vestige Marketing from India (No. 91); Immunotec Research from Canada (No. 96); Nefful from Singapore (No. 97); and Captain Tortue Group from France (No. 98).

The Bravo Awards

Each year, the DSN Global 100 celebration endeavors to recognize an industry executive who embodies exceptional leadership qualities that have propelled his or her company to extraordinary new heights. Whether it is inspirational vision that has built solid corporate cultures, innovation that has strengthened the company infrastructure, or creativity that has created new opportunities for independent business owners, our Bravo Leadership Award aims to acknowledge such achievements of a direct selling leader.

This year, one recipient for the Bravo Leadership Award was simply not enough, for there were two remarkable stories that unfolded. The first Bravo Leadership Award was presented to Jim and Kathy Coover, co-founders of Isagenix and a leadership team that has grown their business 247 percent over the past five years, propelling the company into the Top 30 of the DSN Global 100 with $924.3 million in annual revenue. The team recently celebrated their 15th year in business

“As leaders, I think we have an incredible opportunity to step up and demonstrate to the world what a powerful distribution channel we are, and more importantly, what a powerful agent of change we can be,” Jim said. “We have always tried to stay true to our motto of ‘if it isn’t right for our associates and customers, it isn’t right for the company.’ ”

The second recipient of this year’s Bravo Leadership Award was Mark Pentecost, Founder and CEO of It Works! His wellness company did not enter the Global 100 ranking until 2012, when it debuted at $200 million, but over the past four years, the team at this company has grown its revenue 274 percent, reaching No. 33 with $686 million.

TextDebbie Coffey, who accepted Avon Products’ award for its No. 2 ranking on the Global 100, reinforced the importance of companies helping people change their lives.

Leading It Works! to exponential growth during the past few years was reason enough to recognize Pentecost; however, the way in which this former math teacher and basketball coach has taught his team to “live on the offensive” is truly inspirational. As he shares with the audience his personal—and victorious—battle with cancer, he tells a very compelling story of the individual courage to face life’s toughest challenges head on, while doing so with an abundance of integrity and grace

“My team had big plans for 2016, having to deal with cancer wasn’t one of them,” he said. “We can’t plan for every obstacle that is thrown our way, but we can put the team in place and surround ourselves with the best people. When something is thrown your way, you have the support to handle it.”

Pentecost still has big plans for It Works! and for how he and his team can impact the world by being positive change makers. “Good is having a strong company. Great is increasing profits or opening new markets. But legendary is changing the lives of people who need it the most,” he said.

Youth enhancement brand Jeunesse received the Bravo Growth Award for its increase in annual sales by $1 billion over a two-year period—from approximately $400 million in 2014 to $1.4 billion in 2016. It debuted on the Global 100 in 2012 with $65 million in sales, breaking into the top 20 of the Direct Selling News Global 100 list in 2015 and advancing to the No. 14 spot this year with $1.41 billion in net sales. Based in Lake Mary, Florida, the company sells its anti-aging products and nutritional supplements in 140 global markets.

Chief Visionary Officer Scott Lewis accepted the award and commented, “We are pleased to have been chosen by Direct Selling News as their 2017 Bravo Growth Award recipient and appreciate this meaningful recognition. In addition, it is truly an honor to be listed among the top 15 companies in our industry, and we are grateful for the hard work and dedication of our Jeunesse family from across the globe, who we congratulate for making this accomplishment possible.”


Direct Selling News’ Lauren Lawley Head and John Fleming toast the Global 100 honorees.

Impacting Lives for Better World

Debbie Coffey, Vice President, Corporate Communications, New Avon LLC, who accepted Avon Products’ award for its No. 2 ranking on the Global 100 with sales of $5.70 billion in 2016, reinforced the importance of companies helping people change their lives. She is also an Avon Foundation board member.

“Thank you Direct Selling News for this recognition of Avon Products, Inc. performance in 2016. We owe our success to our 6 million Avon Representatives around the world who are changing their lives and the lives of those around them through the Avon opportunity. They are our greatest motivation and inspiration,” said Coffey.

TextMarily Penttinen accepts Mary Kay’s award for placing No. 5 on the Global 100.

“2016 was an exciting year for us at Avon, It was our 130th anniversary, and, as an Avon Foundation Board Member, I am very proud to share that it was the year we reached $1 billion raised globally for women’s causes,” added Coffey, who is also an Avon Foundation board member. “We are so proud to give women living with breast cancer and domestic violence help for today and hope for tomorrow.”

Jackie Nickel, who accepted Amway’s award for No. 1 direct seller in the world, spoke too about purpose and the efforts the company takes to have a positive impact on people’s lives.

“This award is a testament to the work we do each and every day to help people live better lives, discover their potential and achieve their goals,” she said.

The following companies sponsored tables at the DSN Global 100 Celebration:

Platinum Table Sponsors – ACN, Amway, Isagenix, It Works!, Jeunesse, New Avon, Total Life Changes and World Global Network; Gold Table Sponsors – AdvoCare, Ambit Energy, Mannatech, Mary Kay, MONAT, Oriflame, Plexus Worldwide, SeneGence, Stream, WorldVentures, Young Living and Zurvita.

This year, six special suppliers also chose to support Direct Selling News in sponsorship of the banquet: SUCCESS Partners, Avalara, Exigo, Hyperwallet, InfoTrax and Multi Image Group.

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The Most Influential Women in Direct Selling

by Beth Douglass Silcox

Order reprints of Lori Bush’s profile here.


Rodan + Fields products

Rodan + Fields


Lori Bush
President, Rodan + Fields

In many ways, Lori Bush and the social commerce company Rodan + Fields are synonymous. She’s been there from the beginning, when its founders repurchased the company from Estee Lauder and relocated its products from prestige retail to create a brand-name direct selling opportunity.

There’s an advantage to that kind of continuity, but Bush is well aware of its challenges, too. Fire in the bellies of 10 people and a vision to get it done grew the company, but there are organizational and cultural differences between a startup and a mid-market company. As Bush likes to say, “Scrappy isn’t scalable, especially in this world of direct selling.

“It’s really easy to be thrown off because of an emotional response from the field, as well as internally, when you try to build and change,” Bush says. “Being open enough to receive feedback, being certain that you understand the difference between what has made you successful and the chains that are holding you back, and strengthening the great while cutting the chains is a huge part of where we are right now in our business trajectory.”

Alongside the company, she too must transition, refocus and continually grow to lead Rodan + Fields through a 2014 expansion beyond the United States. The company’s build-out of a global platform, Bush says, calls for an operational focus, which will include cultural and technological components as well as the building of a positive corporate middle management.

Lori Bush, President, Rodan + FieldsNo stranger to getting her hands dirty, Bush often takes on proxy or surrogate roles when there is a void or a risk to the company. “I learned the hard way that ignorance is not bliss. You really need to at least understand some core fundamentals of every aspect of the business,” she says.

When Bush realized she was unable to have crucial conversations about her company’s IT challenges, she reached beyond the direct selling industry and into Rodan + Fields’ own community. “Silicon Valley is right here!” she says. “So I joined an alliance of primarily technology companies so that I could assimilate myself into not just that discipline, but more importantly the community here so I could tap into it. I never take anything at face value in that area anymore.”

As a female CEO, Bush understands there are hard-wired cultural differences between men and women. She says, “For women, there’s a narrower window in terms of behaviors that are effective in an organization and when building a career. There are still aspects of command-and-control style leadership—sometimes necessary to run a company effectively—but they are not considered especially feminine. They are even considered unattractive or off-putting when coming from a female executive.” It’s a fallacy that Bush remedies by making herself present and visible, engaging and connecting with people, inspiring true belief and working very, very hard. “So when I do get tough, it is clear it’s without any kind of personal agenda.”

Engagement and connection is part of the fabric of the company. Bush relishes teachable moments for both employees and the sales organization, so the company creates cognitive learning opportunities based on core values in an effort to quickly on-board employees. But the desire for engagement runs so deep, Bush says, that the company’s new headquarters with a view of the Bay Bridge at the Embarcadero in San Francisco, incorporates “huddle spaces” and “idea paint” on walls to encourage impromptu discussions among staffers and visiting members of the field.

Lori Bush on personal development…

“I’m a business book junkie. I read. I read. I read.

When I read something that resonates, I always try to put it into action.”

Lori Bush on networking…

“I believe in this idea of independent partnering, knowing who you can pick up the phone and call when you have an issue or need another perspective. Innovation comes from diversity in thinking, so I make a point to extend to a lot of people.”

Rodan + Fields

Rodan + Fields was the first prestige skincare line to exit the department store for the world of direct selling. The company was founded in 2008 by world-renowned dermatologists Dr. Katie Rodan and Dr. Kathy Fields, the creators of Proactiv® Solution.

What the pair did for acne, they are now doing for sun damage and anti-aging skincare. The patent-pending MACRO Exfoliator™ and AMP MD™ System make real results possible at home without injections or other invasive procedures.

The company’s demographic continues to lean toward affluent consumer groups, while their business opportunity attracts and empowers tens of thousands of personal enterprises, and in the process defines the future of social commerce. Consultant growth (compound annual growth) is up 105 percent from 2008.

Rodan + Fields has earned several Direct Selling Association awards for product innovation and excellence in salesforce development, as well as the 2010 Rising Star. Direct Selling News ranked the company No. 83 in its 2013 Global 100, based on $108 million in sales reported in 2012.

Order reprints of Lori Bush’s profile here.

Herbalife Promotes Brand to Music Community

Herbalife

Earlier this year, Los Angeles-based Herbalife expanded its outreach to Latin consumers as the first-ever official nutrition sponsor of the Billboard Latin Music Conference and Awards. Billboard spoke to Ibi Fleming, Senior Vice President and Managing Director at Herbalife North America, about the company’s entry into the music scene.

Herbalife has garnered attention for its prominent sports sponsorships, but the company also sees music as a natural fit. “Although most people associate Herbalife with athletes, the reality is our products fit everybody,” Fleming said. In its sponsorship capacity, Herbalife provided protein bars, hydration and energy drinks to conference attendees, speakers and artists.

The company’s personalized health products have already proved popular among Latinos, who represent 60 percent of Herbalife’s business. According to Fleming, Herbalife has made a concentrated effort to customize its business opportunity for the Latin consumer. “We don’t just translate our information, for example. We have literature in Spanish and it’s catered to the Spanish-speaking community,” Fleming noted. Herbalife also hosts 10,000 to 15,000 people at an annual event for the company’s Latin sellers, where the line-up includes prominent music acts.

Herbalife saw 18 percent growth last year, and Fleming says the 33-year-old company is once again experiencing double-digit growth in the U.S. He identifies one key to Herbalife’s success: “It really boils down to our products.”

Check out Billboard’s full conversation with Ibi Fleming.

USANA Products Receive Best of State Recognition

USANA

USANA is building upon an award-winning first quarter with additional recognition from its home state of Utah. The Salt Lake City-based nutritional supplements company received four Best of State Awards for its dietary supplements, personal care and energy products. USANA has garnered a total of 25 Best of State Awards since 2003, twice receiving the Best of State Statue or BOSS® awarded to the most outstanding medal winner in each division.

The Best of State awards recognize outstanding individuals, organizations and businesses in Utah. Over 100 judges evaluate nominees based upon achievement in the field of endeavor; innovation in approaches or methods; and contribution to the quality of life in Utah.

USANA, named Utah’s best employer in 2010, has long been a favorite among the state’s consumers. This marks the tenth consecutive year USANA has taken the best dietary supplements category and the third year it has received recognition for its health and nutrition products. The company’s Rev3 Energy® drink and Sense™ skin-care line have also consistently received honors at the Best of State Awards.

Read more on USANA’s recent recognition here.

Taking Care of the People Who Take Care of Our People

by Paul Thies

Building a Winning Culture at the Home Office

Consider some of these common descriptions of network marketing: People business. Warm market. One-on-one. Sharing. Helping.

Direct selling really is the business of people. I don’t have to tell you that few industries can match direct selling when it comes to recognizing success. Trips. Cars. Jewelry. Awards. And on and on. Though the cash and prizes may vary from company to company, the driver for business and the heart of all incentive programs is recognition. Regardless of the products or services offered, one of the key elements you are serving up is recognition.


The driver for business and the heart of all incentive programs is recognition.


We feel that we excel at delivering recognition to our salesforce. But we found ourselves having to consider this: While we may be world-class in how we treat our sales agents, how are we doing by our employees?

Be Transparent

At Stream Energy, we have several mantras that our Chairman and Co-Founder Rob Snyder crafted to guide the principles of the company. The first mantra is Be Transparent. In that spirit, I’ll share a little bit about an internal challenge we were faced with and how we responded to it.

In 2009, we participated in one of those workplace surveys that measures employee satisfaction and morale, which then generates a list of the best places to work. We didn’t make the list.

We tried again in 2010. We didn’t make that list, either.

As a company, we knew we had to do some personal reflection. What was the problem?

In 2010, we were celebrating our fifth year of operations. We had several million-dollar revenue generators in our Ignite salesforce and were paying out millions in bonuses and residual income. We were taking our top field leaders on an all-expenses-paid trip to Mexico. We were nominated by the Platts Global Energy Awards for its Rising Star of the Year award for the fourth consecutive year.

The problem was this: There was a group of roughly 250 people we were underserving—our employees.

What happened? Truth be told, the company wasn’t focusing enough on the day-in, day-out efforts of our employees. It wasn’t celebrating their stories, it wasn’t doing its best to talk to them, and it wasn’t doing enough to listen to them.

During this time, Rob invited each of the firm’s directors to talk with him one-on-one about the state of affairs in his or her department. And by and large the feedback was the same: The employees wanted to know how the company was doing, how they fit into its plans and that their contributions mattered.

As a result, Rob asked Deanna Shelton—Stream Energy’s Senior Director of Human Resources—and me to apply ourselves directly to the task of turning around the morale situation. Rob personally oversaw these efforts, making his calendar readily available for whatever special meeting or event was needed to get our employees on track.


All Stream Energy employees gathered together for a team photo outside its corporate headquarters.All Stream Energy employees gathered together for a team photo outside its corporate headquarters. Stream Energy Chairman Rob Snyder takes phone calls in the Ignite Associate Support call center during Project Frontline.Stream Energy Chairman Rob Snyder takes phone calls in the Ignite Associate Support call center during Project Frontline. Stream Energy Co-Founder Pierre Koshakji and Associate Support Representative Jim Rafferty celebrate “Jersey Day.”Stream Energy Co-Founder Pierre Koshakji and Associate Support Representative Jim Rafferty celebrate “Jersey Day.”

The first thing we needed to do was enhance the interchange between management and our employees. To that end, we set up a series of departmental Town Hall luncheons where Rob would bring lunch and conduct a question-and-answer session with each of the individual departments. Rob didn’t shy away from any questions, and he encouraged people to speak their minds.

On a larger scale, we completely revamped our Team Huddle concept, which is Stream Energy’s quarterly companywide internal meeting. We instituted the revolutionary idea of making the Huddles fun and celebratory of our employees. Besides sharing updates about the state of the company, we played games, gave away prizes and refreshed our Most Valuable Performer awards. Our employees loved it. Who knew?

With the company’s explosive growth, our employee family had grown very quickly. So much so, that many people didn’t really know who was sitting in the cube down the hall. So we replaced the traditional office name plaques with baseball-card style plaques with the employee’s picture, name, title, birthday, Stream Energy anniversary and if he or she has received the MVP award.

Additionally, we distributed daily “Getting to Know” email profiles of every employee in Stream Energy. In these profiles, employees shared a combination of their favorite things (movies, food, hobbies, etc.) and what they liked best about working at Stream Energy and each other. In a word, we celebrated all of our employees, communicating to the firm that everyone matters.

To help drive home the point that we are all on the same team, each employee was given a personalized Stream Energy football jersey. These jerseys were hand-delivered to every employee by members of our executive team. And in the spirit of walking the talk, we rolled out a program whereby every employee received a birthday card and employment anniversary card hand-written and personalized by Rob Snyder. I estimate that Rob has written somewhere in the neighborhood of 1,200 cards in the past three years.


Leadership finds its fullest expression in humility and service.


One program that was particularly meaningful to management and employees alike was something we called Project Frontline. Here at Stream Energy we have two call centers: one that is focused on our energy customers’ needs and one that supports our Independent Associates in their business-building efforts. Through Project Frontline, each of the firm’s executives, from Rob on down, took a day shift answering calls in first the Customer Care call center, and then the Associate Support call center. Though the intent was to show our employees that we wouldn’t ask them to do something we wouldn’t be willing to do ourselves, it provided an avenue where we gained valuable insight into our employees’ daily lives, as well as the needs of our customers and Associates. Plus, it put the executives in the position of having to follow the lead of our employees. Leadership finds its fullest expression in humility and service.

Another area where the company followed the lead of its employees is in the area of corporate philanthropy. Roughly four years ago, several of our employees introduced us to Captain Hope’s Kids (CHK), a nonprofit that serves homeless children. Our employees conducted diaper and toy drives amongst themselves to help CHK, and through their competitive spirit the Stream Energy family set donation records for this charity.

Realizing that not only did the charity benefit from Stream Energy’s corporate support, but also that our employees benefitted from having a charitable mission to rally around, we looked for ways to become more involved with CHK. We invited CHK to bring a large group of homeless children to our company’s Easter Egg Hunt with our families. Through the years, we have grown very close with CHK, and each New Year’s Eve we invite CHK representatives and Stream Energy employees to jointly “push the button” to launch the fireworks at Stream Energy’s Fireworks Spectacular in downtown Dallas.

We rolled out all these programs and more during the second half of 2010 and the first half of 2011. And then it was time to face the moment of truth… the annual workplace survey.

What would the results look like? Would we improve in our satisfaction and morale scores? Did we make our employees feel valued? Did we have an impact?

Happily for Stream Energy, the results far exceeded our expectations as we were recognized by Workplace Dynamics as having achieved the national standard of Top Workplaces for 2011. Even more importantly, we had improved our employees’ work lives and made it joyful to work at Stream Energy again. Along the way, the company remembered some important lessons about treating others as you want to be treated and the impact a satisfied employee family can have on your business.

When it comes to network marketing, the formula for success is not just the numbers found in your compensation plan. It also includes identifying your core principles and implementing programs that engage and lift your people. All your people.


Paul ThiesPaul Thies is Senior Director of Communications at Stream Energy.

DSN Global 100 Event Honors Industry Leaders

DSN Global 100

Have you seen the DSN Global 100 list yet? View the rankings here!


Direct Selling News welcomed industry leaders from across the globe to the Gaylord Texan Convention Center in Grapevine, Texas, the evening of April 3 to fete the top 100 revenue-generating companies in the world. The DSN Global 100 event featured keynote speaker Alessandro Carlucci, CEO of No. 5 ranked Natura Cosméticos.

Before the rankings reveal, John Fleming, Publisher and Editor in Chief of Direct Selling News, announced the recipients of this year’s three Bravo Awards. The Bravo Momentum Award recognizes a company that has broken into the DSN Global 100 ranking for the first time and demonstrated significant growth throughout the year. This award went to It Works! Global, a beauty, wellness and weight-loss company whose $45 million total revenue for 2011 surged to $200 million in 2012. The Bravo Growth Award, which honors the company that has achieved the highest percentage of growth over the prior year, went to Nerium International, whose anti-aging products generated $100 million in revenue for 2012—an astounding 3900 percent growth over 2011.

The final Bravo Award was the Leadership Award. Previous winners have included John Addison, Co-CEO of Primerica; Greg Provenzano, Robert Stevanovski, Mike Cupisz and Tony Cupisz of ACN; and last year’s winner, Doug DeVos, President of Amway. The Leadership Award is presented to an individual who personifies leadership, who guides and directs, and who leads those around him toward greater good, progress and achievement, all the while earning the respect and admiration of those he leads. The 2012 Bravo Leadership Award went to the evening’s keynote speaker, Alessandro Carlucci, CEO of Natura and Chairman of the World Federation of Direct Selling Associations.

The evening reached its climax with the announcement of the No. 1 direct selling company in the world: Amway. Amway parent company Alticor reported record sales of $11.3 billion for 2012, up from $10.9 billion in 2011. Read more from Amway President Doug DeVos on the factors contributing to the company’s record year.

Congratulations to the DSN Global 100! Look for full profiles on each company in the June 2013 issue of Direct Selling News


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