Avon North America Sees Rare Profit in Second Quarter

Sales at Avon Products Inc. (AVP—NYSE) continued to decline in the second quarter, but the beauty company’s lagging North America division posted its first quarterly profit in several years, Avon said Thursday.

Second-quarter revenue fell 17 percent to $1.8 billion, weighed down by currency pressures in several foreign markets. On a constant-dollar basis, overall sales remained flat, with growth in Russia and the Philippines offset by declines in Brazil, China and the U.S.

The New York-based company reported adjusted earnings of 11 cents a share, surpassing the 7 cents predicted by analysts but dropping 20 cents from a year ago.

Heavy cost-cutting initiatives are paying off for the company in North America, where it saw a modest profit for the first time since the first quarter of 2012. Despite an improving bottom line, the number of Avon sellers in North America fell 16 percent from the second quarter of 2014. Overall, the brand’s salesforce shrunk by 2 percent from a year ago.

Avon said its expectations for the full year remain the same. The company forecasted modest constant-dollar revenue growth, with continued negative effects from currency exchange rates.

90 Days of Direct Selling – Day 86

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YOFOTO (China) Health Industry Co. Ltd.

2013 Net Sales: $428 million

Country: China

YOFOTO delivers healthcare products in traditional Chinese medicine as well as the health preservation culture of traditional Chinese medicine to the world and brings global marketing partners a healthy life and good career opportunities.

 

2012 Rank: N/A
2012 Net Sales: N/A
Sales Method: Person-to-person
Compensation Structure: Multi-level
Products: Wellness
Markets: 2
Salespeople: Not available
Employees: Not available
Headquarters: Zhejiang Province, China
Executive: Huang Jinbao
Year Founded: 2004
Website: www.yofoto.net

 

90 Days of Direct Selling – Day 85

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WorldVentures

2013 Net Sales: $195 million

Country: USA

WorldVentures is a social commerce, peer-to-peer company that sells vacation and experience club memberships. It combines the power of the Internet with the strength of the direct selling industry to market its DreamTrips Memberships. WorldVentures has active representatives and members in 26 countries.

 

2012 Rank: 75
2012 Net Sales: $143 million
Sales Method: Person-to-person
Compensation Structure: Multi-level
Products: Travel packages
Markets: Not available
Salespeople: Not available
Employees: 190
Headquarters: Plano, Texas
Executives: Mike Azcue and Wayne Nugent
Year Founded: 2005
Website: www.worldventures.com

 


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 Yanbal International

2013 Net Sales: $848 million

Country: Peru

Yanbal International is much more than a cosmetics company. It is a vibrant corporation that changes the lives of almost half a million people who share beauty, prosperity and well-being. With a presence in 10 countries and renowned for its world-class products, Yanbal is still growing, achieving a positive and real impact in the lives of people.

 

2012 Rank: 17
2012 Net Sales: $815 million
Sales Method: Person-to-person
Compensation Structure: Multi-level
Products: Cosmetics, personal care, skin care, jewelry, fragrances
Markets: 10
Salespeople: 390,000
Employees: 6,100
Headquarters: Lima, Peru
Executive: Janine Belmont Dauelsberg
Year Founded: 1967
Website: www.yanbal.com

 

90 Days of Direct Selling – Day 84

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Vision International People Group

2013 Net Sales: $96 million

Country: Cyprus

Vision International People Group is a global networking community that offers a wide range of high-quality, effective and natural healthcare products aimed at increasing well-being around the world. Since the foundation of the company in 1996, it has been directing its efforts to creating a new culture of health. The company’s philosophy is based on the Whole Health Option (WHO), claiming health to be the highest value of any human being and that health is the harmony between a person’s physical state, spiritual welfare, intellectual purposefulness and social equity, which can be obtained by leading a high quality of life.

 

2012 Rank: 91
2012 Net Sales: $95 million
Sales Method: Person-to-person
Compensation Structure: Multi-level
Products: Wellness
Markets: 20
Salespeople: 150,000
Employees: 430
Headquarters: Nicosia, Cyprus
Executive: Dmitry Buriak
Year Founded: 1996
Website: http://www.vipgroup.net

 


 

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Vorwerk & Co. KG

2013 Net Sales: $3.70 billion

Country: Germany

Vorwerk is a family-owned, Germany-based company that has been focusing on the direct sales channel since 1930. Products include household appliances as well as high-quality cosmetics. Vorwerk & Co. KG is a global group that includes JAFRA Cosmetics, which reported sales volume of $612.5 million.

 

2012 Rank: 4
2012 Net Sales: $3.3 billion
Sales Method: Person-to-person and party plan
Compensation Structure: Multi-level
Products: Cosmetics, household appliances, home care
Markets: 76
Salespeople: 620,000
Employees: 12,000
Headquarters: Wuppertal, Germany
Executives: Walter Muyres, Reiner Strecker and Frank van Oers
Year Founded: 1883
Website: http://www.vorwerk.com

 

90 Days of Direct Selling – Day 83

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Vemma Nutrition Co.

2013 Net Sales: $221 million

Country: USA

Vemma is rapidly growing as one of the premier industry leaders specializing in premium liquid nutrition. Every month, thousands of new customers experience the positive difference of the clinically studied Vemma formula. The Vemma brands include Verve, a healthy energy drink, and Bod-e, a weight-loss line.

 

2012 Rank: 81
2012 Net Sales: $117 million
Sales Method: Person-to-person
Compensation Structure: Multi-level
Products: Wellness, food and beverage
Markets: 49
Salespeople: 105,251
Employees: 200
Headquarters: Tempe, Arizona
Executive: BK Boreyko
Year Founded: 2004
Website: www.vemma.com

 


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Viridian Energy

2013 Net Sales: $267 million

Country: USA

Viridian is a socially responsible energy company offering customers the opportunity to make a difference by choosing affordable, alternative clean energy solutions for their homes and businesses.

 

2012 Rank: 63
2012 Net Sales: $182 million
Sales Method: Person-to-person
Compensation Structure: Multi-level
Products: Energy
Markets: 1
Salespeople: 22,065
Employees: 206
Headquarters: Stamford, Connecticut
Executives: Michael Fallquist and Meredith Berkich
Year Founded: 2009
Website: www.viridian.com

 

90 Days of Direct Selling – Day 81

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Tupperware Brands Corp.

2013 Net Sales: $2.67 billion

Country: USA

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

 

2012 Rank: 7
2012 Net Sales: $2.6 billion
Sales Method: Person-to-person and party plan
Compensation Structure: Single-level and multi-level
Products: Storage and serving, beauty, personal care
Markets: 100
Salespeople: 2.6 million
Employees: 13,500
Headquarters: Orlando, Florida
Executive: Rick Goings
Year Founded: 1946
Stock Symbol: TUP—NYSE
Website: www.tupperware.com

 


 

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Univera

2013 Net Sales: $118 million

Country: USA

Univera is a premier natural products company offering vitality, prosperity and purpose to people around the world.

 

2012 Rank: 79
2012 Net Sales: $121 million
Sales Method: Person-to-person
Compensation Structure: Multi-level
Products: Cosmetics, personal care, food and beverage, wellness
Markets: 3
Salespeople: 50,564
Employees: 190
Headquarters: Seattle, Washington
Executive: Bill Lee
Year Founded: 1976
Website: http://www.univera.com

90 Days of Direct Selling – Day 80

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Thirty-One Gifts

2013 Net Sales: $763 million

Country: USA

Thirty-One Gifts offers products for everyone’s lifestyle—stylish purses, totes, home organization solutions and more, most of which can be personalized. Independent sales consultants are located throughout the U.S. and Ontario, Canada.

 

2012 Rank: 18
2012 Net Sales: $718 million
Sales Method: Party plan and group sales
Compensation Structure: Multi-level
Products: Handbags, totes
Markets: 2
Salespeople: 121,249
Employees: 1,683
Headquarters: Columbus, Ohio
Executive: Cindy Monroe
Year Founded: 2003
Website: http://www.thirtyonegifts.com

 

90 Days of Direct Selling – Day 79

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Team National Inc.

2013 Net Sales: $332 million

Country: USA

Team National provides membership savings on products and services in more than 20 industries, including factory direct pricing on home furnishings and more.

 

2012 Rank: 43
2012 Net Sales: $301 million
Sales Method: Person-to-person
Compensation Structure: Multi-level
Products: Clothing and accessories, cosmetics and personal care, food and beverage, home décor, kitchenware and appliances, services, wellness
Markets: 1
Salespeople: 390,000
Employees: 53
Headquarters: Davie, Florida
Executive: Angela Loehr Chrysler
Year Founded: 1997
Website: http://www.bign.com

 

 

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Telecom Plus

2013 Net Sales: $1.10 billion

Country: United Kingdom

Operating primarily as the Utility Warehouse Discount Club, Telecom Plus provides landline phone, broadband, mobile phone, gas and electricity products and services to over 500,000 customers across the UK, as well as offering club members a range of opportunities to save money on other household expenses.

 

2012 Rank: 15
2012 Net Sales: $892 million
Sales Method: Person-to-person
Compensation Structure: Multi-level
Products: Landline phones, broadband, mobile phones, gas, electricity, cashback card
Markets: 1
Salespeople: 42,500
Employees: 730
Headquarters: London, England
Executive: Andrew Lindsay
Year Founded: 1996
Stock Symbol: TEP—LONDON
Website: www.utilitywarehouse.co.uk

90 Days of Direct Selling – Day 78

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Team Beachbody

2013 Net Sales: $328 million

Country: USA

Team Beachbody is the direct selling division of Beachbody LLC with approximately 150,000 independent Coaches in the United States and Canada helping customers reach their fitness and financial goals. Beachbody in-home fitness and weight-loss solutions include P90X®, P90X2®, P90X3™, FOCUS T25®, 21 Day Fix™, INSANITY® and Turbo Jam®.

 

2012 Rank: 51
2012 Net Sales: $218 million
Sales Method: Person-to-person
Compensation Structure: Multi-level
Products: Wellness
Markets: 2
Salespeople: 140,000
Employees: 600
Headquarters: Santa Monica, California
Executive: Carl Daikeler
Year Founded: 1998
Website: www.beachbody.com

90 Days of Direct Selling – Day 77b

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Tastefully Simple Inc.

2013 Net Sales: $79 million

Country: USA

Tastefully Simple offers more than 80 simple and delicious foods and gifts. Products are available through consultants, primarily at fun tasting parties where guests sample food and share recipes and entertaining tips, plus more.

 

2012 Rank: 90
2012 Net Sales: $96 million
Sales Method: Party plan and group sales
Compensation Structure: Multi-level
Products: Food and beverage
Markets: 1
Salespeople: 23,789
Employees: 285
Headquarters: Alexandria, Minnesota
Executive: Jill Blashack Strahan
Year Founded: 1995
Website: www.tastefullysimple.com