ArticleBlaster Who Wants To Crash The Tupperware Party?

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Please consider this free-reprint article written by:
Kim Klaver

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Article Title: Who Wants To Crash The Tupperware Party?
Author: Kim Klaver
Word Count: 531
Article URL: http://www.isnare.com/?aid=103922&ca=Marketing
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Here's something more to validate the "No promises. No
Problems" approach we've been hammering on in this blog. See
also "I know who's giving us the bad rap"

The New York Times headlines this today (PDF here in case):

Why Short Sellers Want to Crash the Tupperware Party

Here's from the piece:

"When the Federal Trade Commission proposed new rules this
spring for multilevel marketers � businesses best known for
commercials that promise riches selling herbal supplements and
beauty supplies � it drew howls of protest. Tupperware
party-givers, diet pill vendors and knife salesmen sent the
agency more than 15,000 letters complaining that the proposed
rules would undo a $30-billion-a-year industry."

The article reports that short stock sellers are now an ally
with the FTC - the short sellers are "betting that the stocks
of multilevel marketing companies will decline when the new
rules, which have received little public attention, go into
effect." (They have not yet - KK.)

The new rules "would require companies to tell potential
recruits how many sales representatives have failed to earn
more than their start-up costs..."

"If companies have to tell recruits that the average income is
only $1,400 instead of the $50,000 advertised on their Web
site, or that the average salesman only lasts two months, a lot
fewer people are going to sign up,� said Mimi Sokolowski, an
analyst with Sidoti & Company who follows Tupperware Brands, Nu
Skin Enterprises and other publicly traded multilevel marketing
companies."

She ads - "if the proposed rules pass without modification,
recruitment in the United States could fall by as much as 40
percent." (Chances are good the rules will be modified a bit -
KK.)

The story uses Pre-Paid Legal as an example of short seller
enthusiasm (although they mention Avon, Tupperware, NuSkin,
Herbalife, Mannatech, USANA Health Sciences and Medifast.)

"Under the rules, Pre-Paid Legal would have to tell prospects
that fewer than a quarter of its sales representatives sold
more than one insurance plan in 2005, something it disclosed to
investors in a filing with the S.E.C. While Pre-Paid�s Web site
tells prospects that if they �market just five memberships per
week, you�ll receive $500 per week!� very few representatives
have consistently sold five memberships a week."

Promises are killing our business. Because they aren't true. It
is NOT easy to make money doing this or any other business of
one's own. Plus we don't know for sure how a product will
affect someone else, do we?

We don't need the promises. Stories of what happened for you or
others? Yes. Dreams? Yes. Promises? No.

There are ways to excite people about the business AND the
products you love without ever making a promise about what
they'll do for someone else. Check out If my product's so
Great, how come I can't Sell It? or the So You Want to Be a
Networker? CD program.

Or come with us to Network Marketing Central
(http://networkmarketingcentral.com ) where people hang out who
strive NOT to make promises they can't keep - and still excite
others about the possibilities.

About The Author: Kim Klaver is Harvard & Stanford educated.
Her 20 years experience in network marketing have resulted in a
popular blog, http://KimKlaverBlogs.com, a podcast,
http://YourGreatThing.com and a giant resource site,
http://BananaMarketing.com

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For more free-reprint articles by Kim Klaver please visit:
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