On DSN’s 20th anniversary, we asked industry leaders and legends to share how past evolutions and current opportunities are shaping the future of the industry.

In 2004, Stuart Johnson, now CEO of Direct Selling Partners, Direct Selling News (DSN) and NOW Tech, held a clear vision: to create a monthly publication that offered timely and useful information to direct selling executives. Today, that vision has expanded beyond a print publication to include podcasts, workshops, executive forums and informative in-person events featuring the biggest names in the industry. The format and appearance of the magazine has changed throughout the years, but the original foundation of Johnson’s vision remains unchanged.

As we celebrate 20 years of innovations and insights, we take a look back on a few of DSN’s most important milestones. But even before DSN’s debut in 2004, Founder and CEO Stuart Johnson had an illustrious career influencing the channel. He founded VideoDirect in 1987, which ultimately became VideoPlus and then SUCCESS Partners. He launched SUCCESS Partners University, an education conference for direct selling corporate executives in 2002.

DSN, now in its twentieth year of publication, continues to be the go-to resource for well-researched global industry news, expert insights and interviews with the founders and executive leaders behind the channel’s legacy companies and rising stars.

Deborah K. Heisz, now Neora Co-CEO, and John Fleming, a DSN Legend and former Avon executive, were two of the original staff members tasked with assembling the publication’s flagship print issues.

“At the time, there was no real periodical resource for legitimate news and information for people who were leading and operating direct selling companies,” Heisz said. “People were hungry for a trade journal they could rely on, and we received feedback from dozens—if not hundreds—of executives and owners across the industry letting us know we had truly filled a need.”

From a simple eight-page newsletter to the robust, global magazine it is today, DSN remains committed to supporting, informing, connecting and challenging direct selling executives across the US and around the world.

“I planned to stay for two to three years, but I remained Publisher and Editor in Chief for nine,” Fleming said. “We started by building something relevant and, in many ways, it has become far more relevant than we ever envisioned.”

Twenty Years of Industry-Changing Trends

The past two decades have been host to some of the most dramatic shifts in the channel, including the proliferation of the internet; the broad adoption of mobile devices; and pandemic-induced social distancing that forever changed the way shoppers buy products and interact with brands. With each paradigm shift, the direct selling industry learned to evolve and adapt.

We asked these executives: In the last 20 years, what changes have had the greatest impact on the industry?

“The vast majority of companies started in the industry by sharing products at home parties. Now, we’re sharing the opportunity virtually and across the globe without concern for physical barriers. Digital platforms forced all of us to adjust, while opening up a world of opportunity.”—Mark Pentecost / It Works! Founder and Chairman

“The operating landscape has permanently changed. Millennials want their own gig, but the average direct-to-consumer venture lacks the ability to scale up the way a direct selling company can with sales organizations.”—Rick Goings / DSN Legend, Chairman Emeritus and former CEO of Tupperware Brands

“Twenty years ago, signups and applications required a stack of paper. Today, it’s all done digitally. Technology has enabled much more efficient point-of-sale transactions and created the ability to connect and communicate with more people.”—John Addison / Addison Leadership Group; Board Member for Primerica, LegalShield; Senior Advisor to Utility Warehouse

“The digital revolution of the early 2000s felt, at the time, like a once-in-a-lifetime revolution, but it proved to be just the beginning of an avalanche of technology and business models that would profoundly change the world around us. Through all of these changes–the rise of social media, gig platforms and AI, and the challenges of the pandemic—we have demonstrated that, as a channel, we can adapt and evolve quickly.—John Parker / Amway Chief Sales Officer

“Technology has been the biggest gamechanger for us. I believe you have to have a robust strategy in both automation and face-to-face interactions for success in today’s marketplace. It is a delicate balance. Simplicity and speed can be the difference between success and failure.”—Kevin Guest / USANA Executive Chairman

The Next 20 Years

Lessons from the past 20 years have illustrated that change is not only inevitable; it is a critical part of healthy evolution. It was by welcoming social media, ecommerce and a digital-first footprint that the industry was prepared to not only survive but thrive during the pandemic. And as industry leaders look to the horizon, it will be that same bold approach and nimble, open mindset that will prepare the next generation of direct sellers for success.

We asked these executives: What actions should leaders be taking now to prepare for the future?

“We need to remember what got us here. We have always been an industry that focuses on building people, and then those people go on to build our business. We can ensure our future success by remembering that the most valuable asset any direct selling company has is our loyal, hardworking distributor field!—Rudy Revak / DSN Legend, Founder of Symmetry and Xyngular

“As technology continues to create opportunities and disruptions, I believe the future of direct selling will have to be centered around community and the social dynamic in our businesses. Great products, compelling income opportunities, competitive customer and representative experiences will continue to be basic requirements, but the community and social experiences we offer can be real differentiators.—John Parker / Amway Chief Sales Officer

“We empower women and others to work a meaningful business in pockets of their day. That’s the best part of direct selling. That’s how we win. We must continue to create and emphasize this opportunity—the side hustle is always in style.—Sarah Shadonix / Scout & Cellar Founder and CEO

“Leaders in the channel should plan for growth. Those who stay current by investing in the technologies of today and tomorrow—including new ways to purchase, improve speed to customer and product value—will thrive.—Joni Rogers-Kante / SeneGence Founder and CEO

“Direct selling will continue to thrive where the exchange of value is ongoing and supportive—like in following a nutrition or fitness plan—because of the importance of accountability to achieve success, but we need to acknowledge that affiliate marketing will replace network marketing where the relationship is purely transactional.—Carl Daikeler / BODi CEO

“Personalization and integration of AI in customer service are trends that we find exciting and that we are integrating into our strategy. Direct selling is also very unique; we never work solely online or offline. The future is hybrid, and we are relying on hybrid solutions in our strategy and development to be active pioneers in our industry.—Rolf Sorg / PM-International Founder and CEO

Creating a Lasting Impact

DSN has always strived to stay on the cutting edge of direct selling trends, news and thought leadership through its educational initiatives and events. We asked these executives: How has DSN’s coverage and perspective impacted your businesses over the past two decades?

“DSN has challenged the way I think about our business and the future of our channel. It helps me sift through the hype and understand the real innovations and opportunities that will shape our future. I am so grateful for the connections and insights that DSN has brought to me and our industry.”—John Parker / Amway Chief Sales Officer

“What DSN provides is something critical for the industry: a collegial way to share best practices with one another. One of the great things about the direct selling industry is people’s willingness to share both their successes and failures. DSN gives executives a way to learn and grow their businesses.—John Addison / Addison Leadership Group CEO; Board Member for Primerica, LegalShield; Senior Advisor to Utility Warehouse

“DSN is a powerful source of knowledge, allowing companies to learn from each other and grow. DSN has always offered great insights and innovative ideas. When there can be criticism of our industry, it’s important to have a platform like DSN to speak of the positive impact we’re having around the world.—Mark Pentecost / It Works! Founder and Chairman

“DSN is an important forum for keeping abreast to fast changing forces and how others are approaching and adapting to remain vital and resilient.—Rick Goings / DSN Legend, Chairman Emeritus and former CEO of Tupperware Brands

“The DSN articles and DSU events have been an amazing asset to the corporate leaders of this channel. They both create opportunities to gain valuable information, ideas and strategies, and they give guidance during changing and challenging times.—Rudy Revak / DSN Legend, Founder of Symmetry and Xyngular

“DSN continues to be an important voice and resource for steering the direction of this method of sales and marketing. It’s easy for institutions and regulators to lose sight of the individuals who legitimately use direct selling as their livelihood. DSN helps us all remember who is most important in this industry, and it’s not the company—it’s the distributors and customers.—Carl Daikeler / BODi CEO

“When DSN started, I remember thinking: ‘Finally! One place to get timely, reliable and insightful information on other direct sellers.’ Before DSN, people had to constantly scan multiple sources. It was very easy to miss company announcements and releases because so many direct sellers were private or just starting out.—David Holl / Mary Kay Chairman and former CEO

“DSN is my ‘go-to manual’ when I have questions; seek insight; look for surveys; or simply look for inspiration when I need it. I never throw away a publication, as I know I’ll need to refer to it one way or another. It helps me stay informed and current with what is going on in our channel.”—Joni Rogers-Kante / SeneGence Founder and CEO

“The community gains so much strength when we all work together, and DSN makes that happen. They are invaluable to the ongoing growth and professionalism of this industry, and I am so grateful for their work.”—Michele Gay / LimeLife by Alcone
Co-Founder & Chairwoman

“The coverage of the direct selling landscape in DSN is like no other, providing a clear and nuanced view into an industry that thrives on personal connections and innovative strategies. The articles are a testament to the precise research and commitment to detail that the team embodies, making Direct Selling News an invaluable resource for anyone involved in or interested in the dynamic world of direct sales. It’s journalism that not only informs but enriches and compliments the conversation around this unique sector of commerce.—Rolf Sorg / PM-International Founder & CEO

Building a Legacy Meant to Last

Reflecting on the past 20 years, the DSN team continues to build and plan for an even brighter future with more events, global coverage, expanding platforms and an unflinching grasp of Johnson’s original vision. The next 20 years will expand on that relevancy and commitment, providing more insights, developing broader resources and presenting more opportunities to support the executives working diligently to strengthen and scale the one-of-a-kind entrepreneurial possibilities found within the direct selling channel. 

From the January/February 2024 issue of Direct Selling News magazine.

The post Cheers to 20! first appeared on Direct Selling News.

After a multi-year hiatus, Direct Selling University was back in-person at the Omni Hotel in Frisco, Texas, infused with more energy and excitement than ever before. The educational and networking opportunity, which has been held virtually during the pandemic, offered experience-based, high-impact insight into everything from improving communication and onboarding practices to the importance of sustainability and diversity.

“Being back in person for the first time in three years was incredibly energizing,” said Shelley Rojas, Publisher and Chief Brand Officer for Direct Selling News. “The human connectivity and interaction reuniting with our in-person attendees was inspiring and a lot of fun.”

Headlining the event was Jason Dorsey, author, speaker, researcher and President of The Center for Generational Kinetics, who shared an extensive data-backed look at the generational trends in consumer purchasing, recruitment, communication and engagement. His keynote address inspired an enthusiastic conversation among attendees about how companies can leverage their culture, technology, digital footprint, messaging tactics and customer service strategies to successfully reach even more people.

“It’s always important to have outside, expert perspectives to help everyone learn, grow, stretch and evolve individually and as a channel,” Rojas said. “Jason’s insights and research on generational trends are fascinating.”

Technology was by far the most discussed category among the generational divides, with Dorsey highlighting how each age group interacts with online platforms in unique ways. By honoring every generational segment within the industry, from Gen Z to Baby Boomers, and acknowledging their separate needs and preferences, Dorsey illustrated how the channel has the opportunity to become not only more relevant, but more effective as well.

“Direct selling has and will always be a people business,” Rojas said. “The more companies focus on how to understand and embrace people from every generation for their strengths and communication styles combined with diversity, equity and inclusion efforts in their decision making and culture building, we believe significant shifts and evolution can happen.”

Edify and Inform

This year’s lineup featured more than 30 speakers from top performing direct selling brands, rising stars within the industry, marketing experts and innovators, with thought leaders and top executives from companies around the world gathered to network, learn and share insights throughout the two-day event.

“At DSN, we strive to edify, inform and educate the channel and the executives that lead it,” said Stuart Johnson, Direct Selling News Founder and CEO. “Direct Selling University serves as a strong foundation for that goal by bringing together some of the channel’s most prominent executives, champions and thought leaders. We create an open, transparent environment that’s designed to foster the sharing of ideas and best practices for the betterment of direct selling as a whole.”

Carrying that mission beyond the event, Direct Selling News also shared its new opportunities for connection, through the DSN VIP Community, a fully customizable text messaging platform that sends news alerts based on user preferences, and the DSN Membership Program, which provides exclusive training and educational opportunities to keep corporate staff members one step ahead with the most important trends and breaking news.

“We’re in the midst of a strategic renaissance here at Direct Selling News and are eagerly looking for ways to share practical solutions to common challenges with the executives who are leading the future of this channel,” Rojas said.

Jason Dorsey, Author, Speaker and President of The Center for Generational Kinetics, brought decades’ worth of data to the stage, sharing the generational angles that no one is talking about and how paying attention to the differences in these segments can help companies future-proof their businesses.

Stuart Johnson, CEO, Direct Selling News, Direct Selling Partners & NOW Technologies, pointed out how the pandemic accelerated trends that were already in motion within the industry and how the channel can use sampling and referrals to capitalize on that customer-centric momentum.

Rolf Sorg, Founder & CEO, PM-International, illustrated how he used solution-oriented thinking to find opportunity within the challenges of the past year to exceed $2 billion in sales.

Sarah Shadonix, Founder & CEO, Scout & Cellar, shared some of her young company’s biggest mistakes and how learning from previous fumbles can help leaders build better businesses.

Brian Underwood, Co-Founder & CEO, Prüvit, and Terry Lacore, Founder & CEO, Lacore Enterprises, in a Q&A panel with Wayne Moorehead, Host of The Direct Approach Podcast, explained how their innovative partnership with Sunbasket is driving consumer engagement while building cost-effective and simple onramps for complicated products that develop loyal customers.

John Parker, West Region President and Chief Sales Officer, Amway; Mark Pentecost, Founder & Chairman, It Works!; and Tarl Robinson, Founder & CEO, Plexus Worldwide, participated in a panel led by Stuart Johnson, and shared why investing in growth amid incredible momentum is critical; offered an inside look at Amway’s approach to sustaining an entrepreneurial culture while leading one of the most well-known brands in America; and how to embrace every phase of a company’s growth.

Ami Perry and Noah Westerlund of NOW Technologies leveraged their data analytics to illustrate how to improve adoption of digital platforms and increase recruitment and retention numbers.

Russ Fletcher, Chief Executive Officer, Xyngular, taught a Personal Development 101 course on stage, sharing how to involve distributors through quick, digital engagements while monitoring perceived value.

Shelley Rojas, Publisher and Chief Brand Officer, Direct Selling News, shared the many free resources available to direct selling executives to connect with breaking news, inspiring stories and education to find answers to everyday leadership challenges through DSN’s VIP community and vast masterclass archives with the DSN Membership Program.

Mike Lohner, President and Chief Financial Officer, Direct Selling Acquisition Corporation, provided an update on the first special purpose acquisition company entirely focused on the direct selling channel and traded on the New York Stock Exchange, including its overwhelmingly positive reception on the market that resulted in raising $230 million.

Kelly Bellerose, Senior Vice President, 4Life, used data from recent studies to explain how vital imagery is for brand communications and why cohesion through consistency, familiarity and repetition can form a brand language that draws in customers in a way that text alone never could.

Debbie Bolton, Co-Founder, Norwex, told the story of how she switched her mindset from a perspective of building a dynasty to creating a legacy, and how leading with the future in mind has helped her company stay relevant.

Daniel Picou, Founder and CEO, Vasayo, discussed lessons learned during international expansion into China, and how to build a sustainable business through steady growth built on customer loyalty and a flexible leadership team.

Kindra Hall, Author, Speaker and Storytelling Expert, explained why the stories we tell ourselves can limit our success, and offered an action plan for transforming the lives of potential superstar leaders by teaching them how to change their own storytelling.

Jesse McKinney, Amanda Moore, Genie Reese, Co-Founders, Red Aspen, interviewed by Heather Chastain, Founder & CEO, Bridgehead Collective and new Strategic Advisor at DSN, shared how they drive engagement through constantly refreshing their product offerings and why sharing all of their marketing assets and training materials publicly has decreased skepticism.

Kevin Guest, Chairman & CEO, USANA, talked about how 30 years of successful business has illustrated the importance of focusing on active customer counts rather than revenue to maintain the overall growth and long-term sustainability of a company.

Sinan Tuna, CEO North America, Farmasi, shared his perspective as a Gen Z leader and how his company has crafted a winning expansion strategy by being nimble, responsive and fast moving.

Wayne Moorehead, Marketing, Brand Strategy & Direct-to-Consumer Industry Expert and Host of The Direct Approach podcast, discussed the changing competitive landscapes direct sellers operate in and how companies can deliver a timely, relevant message across a growing array of customer touchpoints.

Katy Holt-Larsen, President and CEO, Kyäni, talked about how to take the industry to the next level by fighting back against “business as usual” and casting a resilient vision.

Stuart MacMillan, President, MONAT, pointed out the uniqueness of the channel and how an unwavering commitment to acquiring and satisfying customers is the best engine for growth and an effective defense against an ever-changing regulatory environment.

Crayton Webb, Founder & CEO, Sunwest Communications, shared lessons from pop culture about crisis preparedness and how quick, clear communication can prevent damage to a brand’s reputation.

Kirsten Aguilar, Executive Vice President of Global Marketing and SeneCare, SeneGence, shared how they have leveraged a collaboration with distributors who have massive social media followings to promote products in a budget-friendly, viral way.

Paul Adams, Founder & CEO, Adams Resource Group, offered a blueprint for how to create, own and defend your company culture.

Deborah K. Heisz, Co-CEO, Neora, explained the importance of leading rather than reacting in a crisis and shared the key components of their success amid a lengthy battle with the FTC.

Heather Chastain, Founder & CEO, Bridgehead Collective, encouraged leaders to manage field expectations through realistic stories and thoughtful transparency to help them reach their goals.

Kindsey Pentecost, Chief Marketing Officer, It Works!, shared how authenticity, caring for their corporate team as well as the field, being willing to fail, and aligning their culture with their brand accelerated their growth and gave them a competitive advantage.

Don Thompson, President, LegalShield, discussed the challenges of being an established subscription-based service company with aging field leadership and their innovative solutions that honor these legacies while infusing energy into new recruits.

John Addison, Chief Executive Officer, Addison Leadership Group, called people to take charge of their thoughts and attitudes to cultivate a better life and become a person that people want to follow.

From the June 2022 issue of Direct Selling News magazine.

The post Direct Selling University 2022 first appeared on Direct Selling News.

While the vast majority of direct selling companies are privately-held, family-run entities, the principals behind Direct Selling Acquisition Corp. (NYSE: DSAQ.U) or (“DSAC”) are looking to shake up that traditional model by providing a high-quality, high-performing direct selling company with the opportunity to access the public markets.

On September 28, 2021 DSAC closed its initial public offering (“IPO”) and now trades on the New York Stock Exchange under the symbol DSAQ.U. The base $200 million offering was more than three times oversubscribed and was increased to $230 million based on the underwriters’ full exercise of their 15% overallotment option. 

A SPAC, or Special Purpose Acquisition Company, essentially operates as a shell company, formed by a combination of investors and operators, to raise capital from investors through an IPO. The SPAC’s ability to do this is generally based on the reputation of the SPAC team or a particular investment thesis. Because SPACs are often less expensive and faster than traditional IPOs, they have become a popular method of raising capital and accessing the public markets. In fact, cnbc.com recently called SPACs one of Wall Street’s hottest trends.

SPACs have evolved into a highly efficient and effective vehicle for providing companies with access to the public equity markets. SPACs are no longer considered vehicles to acquire businesses. Instead they function similarly to a reverse merger where the pre-existing shareholders of the target company can remain the largest shareholders in the public company post-merger. In other words, pre-merger ownership often maintains control of their company, with the SPAC providing capital and expertise to support the company in its growth.

One of the unique aspects of a SPAC is that when it raises capital, the investors buying into the IPO do not know what the eventual target company will be—that’s why SPACs are sometimes referred to as “blank check companies.”

A Growing Trend for Investors

Recent companies outside of direct selling that have gone public through a SPAC include Virgin Galactic, SoFi Financial and Draft Kings. There’s also a recent and very successful example of a direct selling company going public through a SPAC, Betterware de Mexico.

Betterware is the leading direct selling company in Mexico with a network of over 65,000 distributors. It completed its SPAC merger in 2020. The capital from the merger allowed Betterware to invest in a broad range of growth initiatives.  As Luis Campos, Executive Chairman of Betterware explains, “We remain focused on our three strategic pillars of product innovation, technology and business intelligence.” Betterware also successfully expanded into Guatemala and plans to open in additional countries throughout Central and South America in the future.

From the time of its SPAC merger close in Q1 2020 to the end of the year, Betterware de Mexico shares were up 297 percent. This was the best performance of all the SPACs that completed a deal in 2020 for the period of merger close to the end of the year.

A SPAC Solely Focused on Direct Selling

Based on existing trends and these successful examples, DSAC is focused solely on facilitating the transition of a high-performing private direct selling company to the public market. DSAC is led by some of the biggest names in direct selling—a connected and reputable group of C-level executives with a combined 180 years of leadership experience.

DSAC plans to focus their search on domestically-based businesses within the direct selling channel. By leveraging their vast experience and unparalleled relationships, DSAC seeks to help founders/owners capitalize on significant growth opportunities within the direct selling channel.  

DSAC’s Chairman and Chief Executive Officer Dave Wentz calls this a watershed moment for direct selling. “The current growth in direct selling makes the timing for this launch ideal. There are several companies we feel could do tremendous things with the infusion of capital and shareholder value going public brings,” he says. “We are excited about the opportunity to help a strong, successful private company become a great public one.”

A Strategy Focused on Opportunity and Growth

Using the above criteria, DSAC has identified a number of privately held direct selling companies they believe can benefit from going public. DSAC believes its unmatched combination of industry experience and connections makes them a preferred partner for these potential target companies. Some of DSAC’s differentiators include:

Unparalleled experience
Due to the strong connections and relationships held by the management, board of directors and sponsor team of DSAC, as well as the group’s decades of relevant experience, they are well positioned to provide tremendous value and support to the extent it is desired or needed by a partner company. In addition, DSAC is familiar with the business and opportunities of many companies within their target universe. This wealth of knowledge will allow the team to move quickly and confidently through the evaluation process and provide advisory assistance as the company prepares to go public.

Underserved channel
Most direct selling companies are self-funded, thus diminishing the need for these companies to develop relationships with the financial community. As a result, liquidity and growth capital opportunities are underutilized more often than not. As Special Advisor Ryan Bright says, “We have long believed that direct selling companies are underserved by capital markets, which is a core pillar of DSAC’s thesis. We believe that our expertise, reputation and relationships will help bridge that gap. DSAC is the perfect vehicle to help a great company gain access to public capital and the additional growth opportunities that capital provides.”

Reputation and relationships
The leadership of DSAC is well known and highly respected throughout the channel. “Our team is likely the most connected group in the direct selling industry worldwide,” explains Stuart Johnson, DSAC Special Advisor. “Direct selling is a people business—and we already know the people leading these companies. There is a lot of mutual trust, admiration and respect already in place.”

Growing Bigger Better Companies

The SPAC merger will likely result in an approximately $230 million capital infusion or more in the selected company. So how could that instant influx of public capital help a direct selling company scale? By allowing them to make strategic investments in specific areas in order to take their business to the next level. Amongst others, this can include investing in the following areas:

• Supply chain and distribution
• Technology
• Digital transformation
• Product development and innovation
• Branding
• International expansion
• Human resources

Direct selling is enjoying a resurgence in popularity and growth dovetailing with the rise of social selling and the side hustle culture. This has created a virtual army of 120 million micro-influencers utilizing direct selling to grow their individual brands and businesses organically through social media and social sharing. The dynamic of blending direct selling with direct to consumer impacts the channel more than any other single factor.

As Wayne Moorehead, DSAC’s Chief Strategy Officer, explains, “Many direct selling companies that are poised for growth need to invest in technology in order to fully realize their potential. Direct selling is blending with direct to consumer in what is evolving into a business model that can provide the best of both high tech and high touch. There is a significant digital transformation underway that is fueling growth. An infusion of significant capital could allow a target company to invest in the kinds of technologies that allow their micro-influencers to reach more customers, sell more product and build bigger, better teams.”

There are other tangible benefits to companies considering a SPAC merger as well. The short list of companies on DSAC’s target list are already successful with good cash flow and market share, but this allows them to benefit from the knowledge and experience of the officers of the SPAC. In addition to growth capital, access to the public markets provides:

• A level of liquidity not generally available to industry companies;
• A public currency to leverage for acquisition opportunities or further capital needs;
• Ability to extend management, employee and distributor loyalty and longevity through participation in stock ownership; and
• Broadened estate planning and legacy building opportunities for company ownership.

The management team and board of directors of DSAC has over 180 years of combined C-Suite experience with direct selling companies of different segments and sizes from startups to well-established brands. They know the industry inside and out and can bring not only capital but a wealth of knowledge to companies that are already performing well, ideally helping them achieve even more.

As Mike Lohner, DSAC’s President and Chief Financial Officer, explains, “I am honored to work with this extraordinary team, whose passion for and experience in the direct selling channel makes it an ideal merger partner for an industry company that can benefit from the growth capital, expertise and support that DSAC can provide. We believe our understanding of the unique opportunities and challenges of these companies is at a level that most within the investment community simply do not possess, and that could prove invaluable to founder/owners, operators, investors and the industry at large.”

Taking the Channel to New Heights

The corporate side of direct selling is often considered a mystery to outside investors and other industries. There is a distinct disconnect between what today’s direct selling companies achieve and how they operate in addition to lingering public mistrust and confusion.

In order for the channel to continue to grow, its leading companies must change the narrative with a new story of prosperity, legitimacy and innovation. DSAC promises to offer the right company the capital to improve and expand. Strong companies with strong reputations not only combat stereotypes, but edify and elevate the channel as a whole.

An Impressive Leadership Team

DSAC is led by a seasoned group of direct selling luminaries and leaders with over 100 years of combined C-Level experience in public and private companies.

Dave Wentz serves as Chairman and Chief Executive Officer. He is the former Chief Executive Officer of USANA Health Sciences. During his time with USANA, he served on the board of directors of both the Direct Selling Association and the Direct Selling Education Foundation.

Mike Lohner is the President, Chief Financial Officer and a Director. He is a highly experienced executive, board member, founder and investor in the direct selling and direct-to-consumer industries. He’s also co-founder of DOSH, a leading card-linked cash-back advertising platform.

Wayne Moorehead serves as the Chief Strategy Officer and as Director. He brings a wealth of experience in marketing, branding and direct-to-consumer to the management team. He’s a seasoned thought leader and advisor across several industries, most recently as Chief Marketing Officer for Young Living.

Stuart Johnson is a Special Advisor to DSAC. Stuart has served the direct selling channel for more than 35 years as the sole founder and CEO of Direct Selling Partners, a leading marketing services firm, as well as the founder of Direct Selling Capital Advisors. He is also the owner of Direct Selling News, a leading industry publication.

Ryan Bright is Special Advisor to DSAC. He is a partner and co-founder of Direct Selling Capital Advisors and has nearly 20 years of experience as a financial and investment executive. He began his career in finance sourcing private equity transactions.

In addition to those listed above, DSAC has the following independent directors:

John Addison, former Co-Chief Executive Officer of Primerica, Inc. and currently the Chief Executive Officer of the Addison Leadership Group.

Bradford Richardson, former president of Shaklee International. He has spent 20 years of his 30+ career aggressively scaling direct selling companies globally.

Travis Ogden, currently serving as the Co-Founder and Chief Executive Officer of Oola Global, a personal development company serving the direct selling channel.

Heather Chastain, Founder and Chief Executive Officer of Bridgehead Collective, a consultancy focused on assisting direct selling companies scale.

The post Long-time Industry Executives Form Special Purpose Acquisition Company first appeared on Direct Selling News.

The Direct Sales industry is as diverse as the United States of America. Our product offerings range from nutritionals, to energy, to financial services and beyond. While our products are diverse, we share the fact that we are in the “people development” business.

We are at an amazing moment for our industry! Our products and services are needed now more than ever. Our method of product delivery is perfect for today’s world. Technology has developed in a way that allows us to reach and build more customers and distributors. Our business model is nimble and agile.

These crazy times are a “perfect storm” of opportunity for our industry. We have an obligation to share our opportunity and POSITIVE approach to business.

Now, more than any other moment in my lifetime, we need more forces for good. We need agents for positive change. I can think of no better example, no better school, no better course in intentional thinking and driving action than Direct Sales. Our reach is massive! In 2019, the DSA reported 6.8M full and part-time direct sales professionals with 36.9M customers. That is an impressive base and a nice springboard for messages to inspire hope for the future across the world.

Now, more than ever, people need something to be excited about and hopeful for. It is important to know that people are actively seeking meaningful ways to invest their time and energy. Since March, when the engine of the world slowed to a crawl due to the coronavirus, enrollment in online courses surged. Coursera—an online platform that offers massive open online classes saw a 640 percent increase in enrollment from mid-March to mid-April 2020 than from the same period in 2019. Similar platforms have experienced comparable growth.

Be it for a pleasant distraction or a zest for learning; millions of people are looking for knowledge, inspiration, possibility, potential, and wisdom. We have that at our fingertips. Even better, we all have proven training systems and leadership teams that have, time and time again, built confidence where there was little or none. These teams and systems have infused hope in the hopeless. The success stories are innumerable, and they are profound.

Direct Sales, more than any other type of business, is a vehicle to make people feel good. That is now our critical mission: to be a beacon of hope and a unifier of people. As direct sales professionals, we know how to be fishers of men and women. I know you don’t need a lesson in that, but I do want to stress how desperately the masses need you and your unique ability to encourage and influence! People need to be uplifted! They need promise and inspiration to light fire to their dreams and drown out their fears.

We are all aware of the merry-go-round of misery that is the 24-hour news cycle. It feels as though news outlets are in a competition to win an Emmy award for negativity and despair. Were that an actual category, I don’t know how a winner could possibly be chosen.

In the midst of the negativity and misinformation, we can be a light. We should be a light. Beyond the impetus to increase revenue, and expand business into new areas, lies the ultimate goal: to love our neighbors as ourselves. We all have systems of communication and connectivity that can combat the incessant stream of distressing news. We can’t change reality, but we’ve seen how perspective, renewed energy and focus do reshape a person’s world.

In direct sales, we have witnessed the despondent absorb the lessons we teach to embolden our teams to thrive, and we’ve watched them soar to new personal and financial heights. It’s inspiring to the leadership of any company, and it is, frankly, often the motivating factor that drives innovation at the top. One of the greatest things we do is to transfer confidence to unconfident people.

When I first joined the team at A.L. Williams, I loved to listen to Art speak. I learned so much from him, and I am indebted to him for his knowledge, his energy, and his belief in something greater than us all. He would often speak passionately about the difference between our company and a typical insurance agency. “Our competition sells policies. We sell hope and opportunity,” he would state during our team meetings.

I believe with all my heart that the success Primerica enjoys today stems directly from Art’s emphatic belief in the power of our ability to change lives. That belief changed my life and, subsequently, the lives of countless others. This belief and passion are the heartbeat of our industry. I cannot think of a better time than now to use those powers for the good of our fellow citizens.

As our businesses grow and evolve, our excitement amplifies, and we see the growth as a catalyst to touch more lives. We believe in empowering people, unlocking their talents, reminding them of their goals, and emboldening them to shoot for the stars. Usually, we see potential in people, and we hope to recruit them for our team. We admire that they are detail-oriented, or a great public speaker, or maybe great with numbers, and we are drawn to them because we see how the tools and the shift in mindset have helped us (and others). Right now, those tools—and that training that shifted your mindset—have a greater purpose.

We are all called to put our knowledge, passion, and energy to use for the good of everyone we can touch. It might grow your business—it likely will. Today, in this crazy world, we are all navigating, we must be dealers in kindness and good!

Prior to living through a pandemic, twin hurricanes, civil unrest, murder hornets, and a volatile political climate, our industry has been a viable stepping stone for folks struggling to make ends meet. While technology has disrupted a lot of industries, it has enhanced ours in unprecedented ways. As the world disconnects personally and reconnects digitally, our industry has adapted and grown. It is interesting too. Just as Google and Facebook reviews make or break businesses with the influx of or lack of stars, we benefit from the recommendatory nature of direct sales products and services. Third-party endorsements are more important than ever.

I believe that our ability to help people grow as individuals, to understand their talents, and see their worth is a large part of our collective success. In direct sales, we provide people with both a contingency plan and a source of optimism. We are more equipped than any other group that I am aware of to cultivate leadership. Leadership is the world’s scarcest commodity.

My charge for you is to craft beautiful, uplifting, powerful messages of hope, inspiration, and love and spread them far and wide.

If, in this moment of division, hate, and misinformation, we can unite people and help them turn their fear into the fuel that drives their success, this industry will have made an indelible mark on the future.

I’ll see you at the top because the bottom sure is crowded!

John Addison author of Real Leadership: 9 Simple Practices for Leading and Living with Purpose and Living with Purpose, Leadership Editor for SUCCESS magazine, and President and CEO of Addison Leadership Group, engages and inspires audiences with his relatable messages.

The post Fulfilling Our Purpose first appeared on Direct Selling News.

If you were to ask 10 middle managers at your company what your organization’s top three priorities were, would all 10 give you the same answers? Or would those answers vary wildly?
This test is worth is trying. If your managers aren’t all saying the same thing, you’ve got a pretty good indication that you’ve got a case of Shiny Object Syndrome. Your organization is either overcommitted or communication within your company isn’t where it needs to be–or both. And it’s probably both. If your organization’s priority list is always expanding and you’re spinning too many plates, it’s likely that communication is scattered and confusing, too.

“What you focus on is what you get. In fact, what you focus on grows.”
— John Addison, CEO of Addison Leadership Group, Inc.

We’re doing more with less. That’s not a new concept, nor is it unique to direct selling by any means. Regardless of how many resources you have in place, however, it remains incredibly challenging for any company to remain focused on doing a handful of things really well. First, we have access to information 24 hours a day–information about technology, about innovation, economic forecasts and so much more. Change is constant, as is the fear of missing out, or otherwise failing to keep up. If revenue begins to decline, it’s tempting to want to try something radically different instead of considering that maybe staying the course could be the smarter strategy.

In a 2017 article for the Harvard Business Review (“The Overcommitted Organization”), Mark Mortensen and Heidi Gardner discussed the ramifications of assigning employees to multiple projects at the same time. According to the authors, a survey of more than 500 managers in global corporations found that 81 percent of those who were working on teams were, in fact, serving on more than one team simultaneously. “Although most managers recognize the increasing prevalence of multiteaming, few have a complete understanding of how it affects their organizations, their teams, and individual employees.” Further, Mortensen and Gardner found that the more senior employees became, the more likely they were to be leading multiple projects at the same time. That’s stressful in and of itself, but if there’s little or no coordination among all of those initiatives–if employees can’t leverage learnings from one project to aid in another–then confusion reigns.

What makes maintaining focus especially challenging for direct sellers?

While leaders across every industry are tasked with prioritization, there are some very distinct dynamics within direct selling companies that make us particularly vulnerable to overcommitting ourselves.

First, direct selling is a highly customer service-oriented industry. We say yes–a lot. People are at the center of everything, and that includes the corporate environment, where expressing resistance to any proposed new initiative may be perceived as a resistance to support the company’s mission or its field. The relationship between corporate and the field is symbiotic; one wouldn’t exist without the other. Therefore, direct selling companies take great care to ensure that they’re offering products and programs that keep the sales force energized and motivated. That requires keeping an ear to the ground, staying on top of trends–or, better yet, starting trends.

Speaking of the field, field members–and in particular, field leaders–carry influence. “If you’ve got a group of leaders who think there’s an issue and you take it as gospel truth without doing the due diligence yourself and really quantifying it, it might be a big issue to them in the moment, but not over the long term. It’s easy to get distracted by opinions rather than rely upon facts,” says Senior Vice President of Business Development for SUCCESS Partners Noah Westerlund.

Part of the challenge with determining your priorities in the field, Westerlund adds, is the lack of transparency that has traditionally surrounded distributor activity. While we’ve been able to examine daily sales figures, we haven’t been able to take a deep dive into what’s happening behind those numbers–for example, how many people an average distributor is talking to each day. When a distributor calls you and reports a problem, then, there’s not an easy way to quantify the potential impact of the issue she’s reporting. “Our industry’s increased access to meaningful data gives us greater insight into what’s really happening out in the field. However, in order for that data to help you make informed decisions, direct selling companies need to make data analysis “part of the culture so you know everyone’s using it,” Westerlund says. “Otherwise, it’s only a small sample–you get these pockets of information. You need to make sure it’s representative of the entire system.”

Choosing Your Focus

We’re at the start of a new year, and undoubtedly, you’re giving some thought to your overarching goals for the next 12 months. When making changes, waiting on results is another challenging aspect for direct sellers. “Patience is one of the biggest challenges that I’ve watched corporate leaders struggle with. Entrepreneurs are drivers,” says founder of Adams Resource Group, Paul Adams. “They make things happen. It’s difficult to admit that making a change takes time. Getting results from those changes takes longer. Corporate leaders have to know they have taken the time to examine their strategy from all angles and once they commit to it, make it happen.” Your leaders undoubtedly have their own opinions, which likely are shaped by their respective departmental roles.

No matter the direct selling company, we’re all in the business of people. Finding your focal point is easy—all of us should be looking at the same place on the horizon. The field comes first. “In direct sales, your focus always has to be on the salesperson,” says Jessica Honegger, founder and Co-CEO of Noonday Collection.

Most direct sales companies are naturally focused on building a brand, which requires a bit of give and take when allocating resources. “Our focus is first and foremost on the community and how we’re creating value for them, and then the brand,” Honegger adds. “A lot of direct selling companies–they make a choice. They focus on their compensation plan and on their sales force and on growing, growing, growing; whereas we just really want to be a well-recognized brand many years from now. We’re always balancing limited resources. Are we going to use our marketing dollars to enable our sales force, or to grow our brand?”

“My view is, if the incomes of the sales force aren’t growing, you’re not growing,” says John Addison, CEO of Addison Leadership Group, Inc. He recommends examining the pulse of your sales force not only by reviewing the numbers daily, but also monthly in an in-depth session. “That doesn’t mean that when you have a downturn, you need to change a bunch of stuff. I see companies who always think they’re one incentive away from growing and then you get a bunch of confusion and no one knows what to do. Way too many businesses and companies I see are a mile wide and an inch deep. If you’re too spread out and trying to accomplish too many things, it’s going to be a self-defeating thing.”

Pick up the printed issue in which this article is found.

Zeroing in on your key priorities is only part of the picture. Employees must also have the flexibility to adapt as needs arise. This is where a critical distinction comes into play. Strategy is the why; tactics are the how. Westerlund offers a great example: Imagine a mid-level manager rowing a boat furiously on a lake. She’s expending a lot of energy and rowing like crazy, but if you were to ask her where she’s going, she’d have no idea. Her tactic is rowing that boat, but her strategy–her destination–is missing. And, before you pinpoint your destination, “It’s really important to spend that up-front time diagnosing your strategy so you’re not throwing solutions at the wrong problems,” Honegger says. “I always encourage corporate leaders to begin with the end in mind. What are you trying to accomplish and what activities, behaviors, systems, etc. are needed to accomplish that goal? It is easy to let little daily distractions cause us to move away from our goals. Often, I encourage people to stop doing activities that are not leading toward the ultimate goal,” says Adams.

Confusing Tactics With Strategy

All too often, Westerlund says, companies abandon an initiative and don’t give themselves the opportunity to mature a strategy. “The biggest problem that companies have in this industry is we confuse tactics for strategy. Tactics are the day to day–running a promotion, setting up a new warehouse, testing a different pricing model–steps that we take to fulfill our strategy. Strategy is about ‘How are we going to accomplish x given y?’ How you answer that question is your strategy. When you let tactics eclipse strategy, you lack focus and that results in confusion.” That doesn’t mean good ideas won’t pop up every single day, but you’ve got to take that good idea and package it in a form that gets you closer to that strategic goal rather than take you off course. And if it takes you off course, it may be a good idea; it just might not be the right time. Or you might have to re-evaluate your strategy at some point–but you can’t do that every day.

“The biggest problem that companies have in this industry is we confuse tactics for strategy.”
— Noah Westerlund, Senior Vice President of Business Development, SUCCESS Partners

Tactics and strategy aren’t rigid entities; a certain degree of flexibility is required in order to invite creativity and innovation. The term “tactical performance” describes how well a company sticks to its plan, while “adaptive performance” refers to how well a company diverges from its plan, say Lindsay McGregor and Neel Doshi, co-authors of the New York Times bestseller Primed to Perform: How to Build the Highest Performing Cultures Through the Science of Total Motivation. Tactical performance, say the authors, answers questions like “What are my measurable goals? What is my timeline? How, precisely, am I doing?” Businesses usually focus most of their efforts on tactical performance, which, in most cases, is easily measured–for example, the month’s total sales for your new product, or number of new distributors welcomed during a special promotion. Adaptive performance, according to McGregor and Doshi, enables an organization to deal with variability. “It is what leads to distinctive innovation, customer experience, quality, and customer-centric sales.”

So what’s your plan?

How do you wrap all of this knowledge together into one cohesive, streamlined and yet flexible plan–one that communicates an overarching strategy in which everyone understands his or her role, but which also gives your employees the latitude to suggest improvements or alternative approaches?

Keeping the field top of mind, Addison recommends not only tracking production on a daily basis, but also gathering your leadership at least once a month to review all of the numbers in depth, so potential issues can be discussed–and, if necessary, addressed–before they become larger problems. “You don’t constantly need to change your strategy,” he says, “but you should be constantly analyzing and tweaking your tactics.”

There’s something even more important than strategy and tactics in all of this, though, Addison says–and that’s culture. Everyone on your leadership team and every senior field leader should understand the why of what makes your business great. From there, your strategy and will help define the things you’re going to do to grow the business and build it for the long term.

When communicating your strategy to your employees and especially your sales force, simplicity is one of your most effective tools for keeping everyone focused. “People always talk about who they’re competing with in their business. The truth is, what you’re competing with are the distractions in people’s lives,” Addison continues. “You’re trying to compete with the shelf space of their attention. So if you’re focused on too many different things, they’ll tune you out. Your message better be very focused on their personal development and the growth of their business, and it has to be repetitive.”

Staying the course can be challenging when “you’re in the business of creating excitement and attracting people,” Addison adds. If your employees and your sales force know what you stand for, where you’re headed and how they fit into the picture, you’re far more likely to reach your destination.

Tactical Performance – is how effectively your organization sticks to its strategy. It is the driver of focus and consistency. It allows organizations to increase strength by directing limited resources to the fewest targets.

Adaptive Performance – is how effectively your organization diverges from its strategy. Adaptive performance manifests as creativity, problem solving, grit, innovation, and citizenship.

In a nutshell, tactical performance is how well you stick to your plan, and adaptive performance is how well you diverge from your plan. High-performing companies need both. You can overdo tactical performance, and you can also be too adaptive. For example, if an employee doesn’t have the autonomy to employ creativity to reach a goal, or if your culture is so adaptive that you fail to deliver a consistent experience to your customers.

Source: Harvard Business Review, October 10, 2017. “There Are Two Types of Performance – but Most Organizations Only Focus on One.” Lindsay McGregor and Neel Doshi

The post What You Focus On Grows first appeared on Direct Selling News.

Dallas-based Stream was founded in 2005 by Rob Snyder and Pierre Koshakji as a direct selling company that provided energy services in deregulated markets. The new business model shook things up and created a new niche that revolutionized both the direct selling industry and the energy industry.

Today, Stream continues to make waves in many ways, providing electricity and natural gas services in nine states—Texas, Georgia, Pennsylvania, Maryland, New Jersey, New York, Illinois, Delaware and Ohio—plus Washington, D.C., but is also expanding its footprint nationally by providing wireless services.

“We’re focusing mainly on energy and wireless,” says CEO Mark “Bouncer” Schiro. “Wireless gives us a national footprint. With energy, we are in nine states, plus Washington, D.C., where we are providing energy to our customers.” They added home and protective services that make Stream a one-stop-shop for their customers’ needs.

“Micro-entrepreneurship in my opinion is one of the purest things America has to offer. And we do that through network marketing.”

—Mark “Bouncer” Schiro, CEO of Stream

Going nationwide and providing a new territory for Associates was the strategy behind Stream’s decision to expand into other product categories. “When we saw we had the ability to add wireless to our portfolio, it was a no-brainer for us,” says Schiro. “We shook up the energy business by providing simple and secure plans for our Associates and providing them with value. And we did the same thing with our nationally launched wireless program.”

Flourishing Footprint

Although the new focus on connected services has generated excitement and enthusiasm among Stream’s Independent Associates, Schiro admits launching new services is a long process. “We have not hit the numbers we would like to hit,” Schiro says. “But we at corporate are continually improving at preparing the runway for our Associates to succeed, including offering more training and tools to support their business. Now that we are into our third year of wireless, we are hitting our stride. We finally are profitable, so it’s a profit center for us. Now we want to really grow the business. That’s where we’re headed.”

Schiro served as CEO of Stream from December 2011 through February 2016 before becoming chairman, and Larry Mondry assumed the CEO role. Then, in September 2018, Schiro resumed as CEO.

When Schiro was away from the CEO job for two and a half years, he continued to talk to his mentors in the industry, former Co-CEO of Primerica John Addison and ACN Chairman & Co-Founder Robert Stevanovski. With each visit with them, he realized he’s fallen more in love with the industry. Micro-entrepreneurship, in his opinion, is one of the purest things America has to offer. “I am just so proud I was able to get a chance to come back and really show our Associates how much I love this industry,” Schiro says.

Now that Schiro is back in the role of CEO, one thing he wants to do differently this time is to make sure that the Associates know they’re at the forefront. “I’m going to make sure that they are heard and encouraged, and we are going to celebrate their wins. Hence, recognition, recognition, recognition. They’re going to know my passion about this industry.”

To lead the charge for a new and enhanced recognition program at Stream, Schiro recently put Chelsey Berend, Director of Events, in charge of recognition and says they will be a success under her leadership.

Schiro says one of the things he believes the company does well is culture. “We have four mantras that we live by—and this is credited to our founder, Rob Snyder,” Schiro explains. “The best idea wins. Take out the panic. Work the problem. Be transparent.”

Tooling with Technology

Stream is also focusing on improving its technology to support its Independent Associates and customers. “Technology is moving at lightning speed now, and we need to keep up,” Schiro says. “My commitment to our team is that we will keep up with technology. We’re committed to a continued focus on that in the future.”

“We have less than 5 percent of the Texas market, and we want to grow that. That’s our number one initiative: to take over Texas by growing our share of the market.”

—Mark “Bouncer” Schiro

Specifically, Schiro is very excited about Stream’s new Interactive Voice Response or IVR system, which answers the phone and directs calls to where they need to go. Instead of having eight numbers to call into, whether it’s wireless, protective services, or different territories like Texas, Georgia, or the Northeast, customers and Associates will only have to call one number with an IVR that is state-of-the-art. The system only provides prompts relevant to the account associated with the number they dial from, touts a voice recognition feature, and offers call-back options for those who prefer not to wait on hold.

Technology wise, Stream also overhauled their Associate back office support system they call Power Center. The new Power Center launch represents a complete overhaul, offering features and enhancements that put their entire business at their fingertips. They also changed their billing system platform for wireless to make it a lot more user-friendly and capable of bundling product offerings.

Powerful Plans

Since its launch as a startup in 2005, Stream quickly grew to about $300 million in revenue over the first 20 months, Schiro says. “I’m proud to say we have averaged approximately $800 million in annual revenue over the last three to five years,” he adds. “We need to find a way to grow our revenue, and that’s what we’ve been looking at.”

How does Stream plan to do just that? Schiro reveals some of Stream’s future plans and growth strategy. “We have less than 5 percent of the Texas market, so we have a lot of work to do in our own backyard” Schiro says. “Our number one initiative–to grow our share of the Texas market, which is very competitive, and it’s something we need to be laser-focused on.” We have less than 5 percent of the Texas market, and we want to grow that. That’s our number one initiative: to take over Texas by growing our share of the market.

“Number one, we are about relationships— relationships with our Associates.”

—Mark “Bouncer” Schiro

Another growth initiative of Stream’s is to focus on growing its Hispanic market, which has been one of their fastest growing demographics over the last three years. This growth isn’t lost on Schiro. “We’re going to make sure they are recognized for their achievements. Most importantly, we’re going back to the basics and that begins with listening to our Associates. We’re going to find out what they need. Because they know what they need to succeed.”

In May 2017, Stream moved its headquarters from Downtown Dallas to Addison, Texas, which is just north of Dallas and part of the humming Dallas-Fort Worth metro area. Although its sparkling new office space is new, the company’s values remain the same.

“Number one, we are about relationships—relationships with our Associates,” Schiro says. “When they come into the office I want them to feel like they are family. And I want our staff to feel that way, too.” Number two, says Schiro, is that everyone in this office needs to know that their job counts, and that they are affecting people’s lives. “The reason I came back is very simple,” Schiro says. “I want to be a part of something bigger than me. And I want everyone in this office to know that they are a part of something bigger than them. Our cause is to change people’s lives.”

Stream Cares

Stream’s philanthropic arm is the Stream Cares Foundation whose primary mission is to help those affected by homelessness. Homelessness is a nationwide issue that Stream Cares is dedicated to ending, in all its forms.

“Stream created Stream Cares and the Stream Cares Foundation to help children that were impacted by the homeless locally and nationally,” says Mark “Bouncer” Schiro, Stream CEO. “That’s been our big push. We’ve been very children-focused in our philanthropy.”

Stream Cares has partnered with many organizations on local and national levels to further their mission. Stream Cares recently partnered with Captain Hope’s Kids to develop Splash for Hope events at Hawaiian Falls Water Park, creating fun and exciting summer outings for homeless children in the Dallas-Fort Worth area to enjoy being kids.

Pick up your print copy of the November 2018 issue in which this article appeared.

Stream partners with Splash of Hope, which helps homeless children get to enjoy a carefree day playing at a local water park.

In May 2017, Stream Cares donated $15,000 to the American Red Cross Disaster Relief Fund for the tornadoes that hit East Texas, which left many homeless.

“After Hurricane Harvey, our Associates put a crowdfunding campaign together, and we agreed to match donations because we thought it was great they provided that. Together, we raised $30,000,” Schiro says. “They took it upon themselves and that’s what I’m proud of.”

The post Full Stream Ahead first appeared on Direct Selling News.

This month, we are announcing our third-annual Best Places to Work in Direct Selling honorees. What do you think makes a direct selling company a great place to work?

Direct sales companies are usually very focused on personal development and positive thinking, which helps make them fun places to work—as long as you like people. It’s not like you’re making auto parts; you are building a business that impacts the lives of other people.

The thing that I always enjoyed when I was growing up in the business—way before I was CEO—was building relationships with people in the field. Many of those relationships have lasted for years, and it’s fun.

How do you advise executives to approach employee engagement?

My approach was always to talk about the three pillars of business. The first is the salesforce. This is the most important, because your salesforce is your distribution system. The second pillar is your clients and customers. You must make sure the products that you sell are the right products for the company, are of high quality, at a fair price and bring real value. The third pillar is the stake holders, your employees and shareholders.

“I’ve watched Dr. Jekyll turn into Mr. Hyde before because they are in charge of something now and they think, ‘I’ve got to prove to everybody that I’m large and in charge.’”

—John Addison

My view is the business has to be “one team, one dream,” with everyone on the corporate staff and salesforce pulling together. It’s important to communicate, talk to, motivate and inspire both your employee base and the members of your distribution force. Whoever is on the phone dealing with the salesforce needs to know the core values, the strategy and the approach that the company is taking. It’s not good enough for the CEO to give a flowery speech, if the employee base hasn’t bought into it. People need to have a common vision and a common purpose.

What is the optimal way for a company to position the HR function within the leadership structure?

Advice from the Front Line of Leadership with John Addison.

I think the HR function has to be a critical part of the management team. A company’s human resources leader needs to understand the direction of the company as well as when things are doing great and when things are challenging. The job of human resources isn’t just to put people in seats, it is to put the right people in the right seats. In order to do that, HR has to be very plugged in to the core values, strategy, vision and inner workings of what’s happening in the company.

Do you have a recommendation about where that HR function should fit within the C-suite? Should there be a Chief Human Resource Officer?

I think it varies. I’ve never been a servant to an organizational chart. It depends on the strengths and the weaknesses that you have within the company. I will say that the position of leading human resources shouldn’t be buried down in the organization structure, it needs to have a prominent place.

If a company determines that it needs to shift its corporate culture, how would you advise the company to approach that challenge?

My No. 1 advice is you better move slowly, unless the company is a complete disaster. When a company is on life support, then you’d better change everything. But in most cases, when you see a problem or you see something and decide you need to make a change, you can’t throw the baby out with the bath water.

Change is change, and even positive change is incredibly disruptive. I believe that when you are running a mature direct sales company that has been around awhile, you’re driving a battleship, not a speed boat. When you make changes, if you see you have got to change your course, you don’t just start yanking the wheel on a big giant battleship, you aim and adjust. You also have to plan ahead; you have to start turning it now if you want to move it three miles further into the ocean.

Cultures are very ingrained. You have to think and make intelligent decisions. It also is much better to talk positively about what you are doing when you’re making changes, versus negatively saying how screwed up everything is. I’ve watched a lot of CEOs come into companies, and the first thing they do is spend six months talking about what a disaster they inherited. Well, maybe what was done before wasn’t good, but the guy or the gal that ran it before, they’re not running it anymore, so talking about how bad they were is irrelevant. Instead, take positive steps to move in the direction you want to go.

Does the corporate culture influence the culture within the salesforce, or is it the other way around?

Does the corporate culture influence the culture within the salesforce, absolutely! I don’t think it’s yin and yang, but I don’t think you can have one completely different than the other; I think that sets you up for a disaster. There has to be a congruence between the corporate goals and the field’s goals.

Corporate people and employees are different than the field. When you do a rally of your employees, it is never going to be as exciting or crazy as a rally for your salesforce. But, I think it is incredibly important to make sure that both of those are on the same page, and moving in the same direction.

Pick up the April 2018 issue here in which this article appeared.

What common mistakes do you see new managers make?

Thinking they’ve got to establish their authority. I’ve watched Dr. Jekyll turn into Mr. Hyde before because they are in charge of something now and they think, “I’ve got to prove to everybody that I’m large and in charge.” A lot of people that you would have thought were going to be great managers because they were really good at the job they were doing, get into management and they become a challenge.

You have to earn the respect of your people; you can’t demand the respect of your people. My biggest advice to those who are becoming a manager for the first time is to stay humble and realize that you are depending on the other people on the team, it’s not just you anymore. You’ve got to build a team, and that starts with you having some humility.

The post ‘One team, one dream’ first appeared on Direct Selling News.

“I was really not all that good at the beginning,” Ash, who died in 2001, once said of her early days as a saleswoman for the venerable Stanley Home Products, “but in one year I went from a seven-dollar Stanley party average to the queen of sales. That is the thing that started me off on the road to success. I kept trying to improve and improve and improve so that I would be better.”
That drive to improve, to strive for better, can turn a wallflower into a leader and, on rare occasions, a leader into a legend like Ash. What lies between Point A and Point B for these people? Personal development—the practice of bettering oneself through greater self-awareness and self-knowledge—is the key.

In conversation after conversation, direct selling leaders—corporate executives and independent salesforce members alike—point to the importance that personal development has played in their work and in their broader lives. As they share their insights, they point to common themes like the changing perceptions of leadership, self-discovery realized through team-building, the power of mentoring and the emergence of nontraditional methods to unlock doors to personal growth. What’s clear is that the drive toward self-actualization remains as fundamental as ever to one’s ultimate success in the direct sales channel.

The explanation for this essential, yet basic, connection is at once both simple and profound: Personal development isn’t a perk of the job, nor is it a means to an end. Self-development is fundamental to one’s success because it’s simply another way to describe becoming the person you were meant to be. Personal development is not something we appreciate along the path of life; it is actually the path itself. Embracing this conclusion creates opportunities for executives to imbue their company cultures, both internally and toward the field, with empowering training and policies.

Scentsy Co-Founder and CEO Orville Thompson has told DSN, “At the end of the day, helping people become more of themselves, helping them identify who they really are inside and to reach their full potential is what direct selling is all about.”

Certainly there are benefits and perks to be enjoyed along this path. For example, the typical independent representative often comes to direct selling without any prior entrepreneurial experience. Stumbles are inevitable. Qualities like resilience, discipline, focus, time management, optimism and adaptability are all crucial to the ability to pick yourself up, brush off rejection and disappointment and keep going.

“At the end of the day, helping people become more of themselves, helping them identify who they really are inside and to reach their full potential is what direct selling is all about.”

— Orville Thompson, Co-Founder and CEO, Scentsy

Connie Tang, President and CEO of Princess House, the kitchenware and home décor company based in Taunton, Massachusetts, ties the ethereal ideas about developing as a person and a leader into the concrete reality of building a business when she says, “The whole aspect of working to build a business by way of building people… that, in and of itself, is about personal development.”

The Evolving Concept of ‘Leader’

A core tenet of personal development is the notion that anyone can—and everyone should—unleash the leader within. Emotional intelligence may not be measurable in hard numbers, but presence makes a profound difference in one’s ability to succeed.

And mentorship—whether formal or informal—is an extremely powerful tool for helping anyone regardless of position cast the vision, set ambitious goals and stretch beyond self-perceived boundaries. In fact, a true leader is always a mentor as well, whether intentional or not.

“Real leadership is about building other people and shining your light on them, not on yourself,” says John Addison, CEO of Addison Leadership Group, in his 2016 book Real Leadership: 9 Simple Practices for Leading and Living with Purpose. “It is the kind of leadership that not only works, but also has lasting impact.”

Leadership has a lot less to do with one’s title or position and a lot more to do with interpersonal skills. This is an awareness that appears to be growing in the wider world, although within the channel many have always known this to be true. The whole concept of being a field leader stresses leadership through accomplishment rather than by means of a title.

“Real leadership is about building other people and shining your light on them, not on yourself.”

— John Addison, CEO, Addison Leadership Group

In September 2017, AMA Enterprise, a division of the American Management Association, released the findings of its research into key trends influencing the current landscape of organizational training and development. Among those factors is the realization that the meaning of the descriptor “leader” is broadening.

“A majority of large organizations now consider individuals to be leaders based on their impact, not on their authority or position,” the AMA Enterprise report states. “Increasingly, a leader is viewed as ‘anyone, whether they manage others or not, who is a top-performer in their specific role.’ ”

Of course, this definition aptly describes many field salespeople, whether they manage teams of their own or are stellar individual performers. The report also indicates that soft skills also are moving up on the priority list, as organizations come to understand the value of emotional intelligence, including qualities like communication skills, self-awareness, empathy, self-regulation, social skills, conflict resolution and more.

It is unarguable that a company’s success or failure hinges on its ability to develop strong field leaders who make their impacts and leave their marks primarily with those same soft skills listed in the report. Inevitably, where you find that leader, you will also find a deep commitment to personal development. Mark Pentecost, co-founder and CEO of It Works! told DSN last year, “When we encourage personal development it just raises up new leaders.”

“No matter who you are, what you are, what your background is, what your socioeconomic level is, personal development can be obtained. It’s achievable for any individual who wants it.”

— Connie Tang, president and CEO, Princess House

This evolving concept of leadership seems to suggest a movement toward the need for greater focus on the whole person rather than simply equipping someone with this or that skill set. This certainly supports direct selling’s enticing prospect for any aspiring entrepreneur: There’s a leader living within you, and joining forces with us may be your best opportunity for unleashing your latent capabilities and creating the life you want.

Just as there are no boundaries to joining a business opportunity, Tang says the same is true of personal development: “No matter who you are, what you are, what your background is, what your socioeconomic level is, personal development can be obtained. It’s achievable for any individual who wants it.”

The Power of Mentorship

The most rigorous requirement of personal development is that it requires introspection—a challenging exercise for most people. Having access to someone willing to propose an alternative or inspire an honest look in the mirror may be all it takes to jump-start introspection, and therefore, growth. The practice of mentorship can provide just such opportunities, and it may come as no surprise that mentorship has grown substantially in popularity over the years throughout corporate America.

A study conducted by the American Society for Training and Development found that 70 percent of Fortune 500 companies identify their firms as having formal and informal mentorship opportunities; and 75 percent of executives credit their mentors with helping them reach their current positions. As employees navigate the political waters of the workplace, a mentor can be an invaluable resource.

In today’s workforce, millennial workers apparently seem to crave mentoring. According to the 2016 Deloitte Millennial Survey, 63 percent of millennials say their leadership skills are not being fully developed. It also found that those who say they plan to remain with their current workplace for more than five years are twice as likely to have a mentor.

When it comes to mentorship, the direct selling community is well ahead of the curve. Obviously, field leaders mentor and lead their teams, which can range from a handful to scores of individuals. In fact, mentorship is one of the richest personal development resources a direct selling business has to offer. A new representative has immediate access to a mentor (her recruiter) and often an entire community of peer support. Thanks to technology, it’s easier than ever to forge connections with mentors all over the country, or even the world.

Personal development isn’t a perk of the job, nor is it a means to an end. Self-development is fundamental to one’s success because it’s simply another way to describe becoming the person you were meant to be.

The mentee-mentor relationship is mutually beneficial and supports personal development on both sides. Mentees have a safe space for asking questions, seeking feedback and learning about their organization from a different perspective. They learn to set goals while they grow their network, strengthen and expand their skill sets and develop greater confidence. Mentors, meanwhile, experience the personal satisfaction that comes from “paying it forward”—coaching others while they sharpen their own leadership skills.

Special Section:

Personal Development Trends to Watch

“You see one person lifting up and providing information to another person, and then someone else comes along and adds on to that. I think it’s a very dynamic and new way to think about personal development,” says Jane Creed, president and CEO of Napa, California-based Wine Shop At Home, a direct seller of artisan wine brands. “It’s very peer-based. It’s not only leaders, but people who have just begun in the business, and they can enrich one another.”

Tang has always been a firm believer in sharing her knowledge with others, due in large part to the influence mentorship has had on her own life. “Growing up in the New York City public school system as an immigrant,” she says, “my parents weren’t fluent in English. They weren’t educated here, and my mom didn’t even graduate high school. I looked to aspirational teachings, learnings, role models as a way to validate how I was feeling as a transplant.”

“[With mentoring] you see one person lifting up and providing information to another person, and then someone else comes along and adds on to that. I think it’s a very dynamic and new way to think about personal development.”

— Jane Creed, President and CEO, Wine Shop At Home

When Tang was in third grade, her family moved from a tenement on the city’s Lower East Side to Brooklyn; they’d finally saved enough money to buy a home. At the same time, Tang’s third-grade teacher, Mrs. Wrynn, was opening her eyes to other possibilities.

“She was the first person who for some reason told me she believed I could do anything. I’d never heard that. She was very free and liberal with her recognition, which is very anti-cultural for traditional Chinese families,” Tang says. “It was extremely scary, because it’s also so different from your own family and what you’re being told at home. But she helped instill a level of confidence in me as I learned to adapt and form my own sense of self. She changed my life; she really did. I’m still close to her today.”

Cindy Monroe, founder and CEO of Columbus, Ohio-based accessories company Thirty-One Gifts, points out that the mentoring experience can also be very informal, and in a sense “caught” by the consultant from other leaders in the field. She recently told DSN, “Personal development is really important so that she gains perspective, and as she sees other women being successful, she says ‘if they can do that, I can do that.’ ”

THE FUTURE: BEST PRACTICES

The road to self-actualization, according to the entrepreneurs we interviewed, may be best experienced by keeping in mind the following considerations:
Be open to change. The speed at which technology continues to evolve—which, in turn, affects salesforce preferences—requires alertness and a willingness to make changes to information delivery systems as needed.

“We have to meet people exactly where they are, and that has never changed,” says Traci Lynn Burton, founder and CEO of Traci Lynn Jewelry in Fort Lauderdale, Florida. “The moment we forget that or we think that our own method is the only way, that’s when we lose.”

Respect cultural preferences. Knowing your audience is key. Almost 90 percent of Princess House consultants are Hispanic, Spanish speakers, and prefer face-to-face training. A team of customer-service employees recently traveled to Houston to provide local consultants with technology training, coaching and encouragement as the city continues to rally back from Hurricane Harvey.

“We have to meet people exactly where they are, and that has never changed. The moment we forget that or we think that our own method is the only way, that’s when we lose.”

— Traci Lynn Burton, Founder and CEO, Traci Lynn Jewelry

“What’s wonderful is that they eventually become ambassadors of personal development on their own,” Tang says. “There’s immense value in that—a whole lot more than us preaching at them.”
Don’t make it a requirement. Personal development is most effective when it’s purely voluntary. The natural leaders will seize the opportunity to grow, develop others and lead the way. Truly there is no substitute for a self-motivated leader.

Stay inspired yourself. As with any other aspect of leadership, employees and salesforce members alike have to model the behavior they expect from their teams and keep up their own personal journeys toward greater self-development.

“If I only give to the field, who’s giving to me so that I can continue to give something to them?” Burton asks. “You can’t give what you don’t have. I don’t give from emptiness; I give from overflowing. I have to have what I need to continue the journey.”

Direct selling is most often described as being all about relationships, and certainly growing in self-awareness and self-knowledge only enhances those relationships. Engagement on this personal level sustains our channel even more than the wide variety of products and services available within it. Indeed, combining a people-oriented opportunity with a personal development opportunity is only natural.

Click here to order the February 2018 issue in which this article appeared.

The post Building a Better You first appeared on Direct Selling News.

He regularly offers his leadership insights to Direct Selling News readers and has answered some of your questions below. If you have a question you’d like John to answer in a future issue, email editor@directsellingnews.com.

I, along with many of our executives and field leaders, see our ability to build and maintain relationships with customers and distributors to be central to our success. How can we best use new technological aids to strengthen those all-important relationships rather than inadvertently keep vital groups at arm’s length?

If you’re running a direct sales company, you have a big distribution force who is counting on you to deliver. It is critical that you see the nurturing and development of your salesforce as the centerpiece of your business. By developing them, you develop clients and customers.

You have to have everybody in the organization understand that if somebody doesn’t make a sale, if somebody doesn’t get a recruit, if somebody is scared to death because they have never sold anything before, if they’re not having success, then you’re not going to grow the business.

I believe that technology can’t be a crutch. Some companies use technology as an “instead of” tool. It has to be an “in addition to” tool. You need to make sure you’re using it to communicate constantly with people—that you’re reaching out to them and not just blasting e-mails with information at them. A lot of people mistake just sending an email a day as communicating with people. You have to make sure that you use it to get their questions answered, to reach out to them, to allow them to communicate with you.

If you’re going to succeed, you have to understand that your business is a personal development business. I’ve always said the No. 1 job of a leader in this business is to transfer confidence to unconfident people, because those are the people who join your company. Use technology to give them confidence.

You also need to make sure you’re using technology to recognize people who are doing well. You have to make sure that you’re communicating, educating, training, inspiring and developing them. You are educating them on the product and on what you do so that customers and clients can get better information. Then you need to use technology to develop world-class service. You improve the experience of your clients and customers while you build up the company.

The New Year always kicks off with so much enthusiasm, optimism and good will. What can company executives do to keep that positive outlook front and center all year long both with the field and with employees?

Everybody gets energized at the beginning of the year, but that burst of motivation on its own rarely lasts through Feb. 1.

In many ways, the business of direct selling is essentially the pursuit of personal development attached to a compensation plan. Direct selling is about empowering and developing people. People want to get better; your job as a leader of the company is to tap into that desire and support them on their journey to success. First and foremost, when they join your business, do they feel like they are improving as a human being?

At the top of the list of what a leader needs to coach people properly is energy and enthusiasm. That requires constant communication. There is no substitute for meetings and other face-to-face personal interaction. And you have to constantly follow up, follow up, follow up, follow up.

What do you think are some specific untapped or under-developed opportunities that direct selling entrepreneurs should be seriously considering in 2018?

It’s important to focus on customer growth. That is, after all, the heart of direct sales. But it’s also critical that we not lose sight of the business opportunity we offer to the direct sellers out serving those customers. Instead of hunting for the next big thing, maybe we should all keep our eyes on the ball and get back to basics.

When people are earning an extra $1,000 or $2,000 a month, that changes their lives. To the average American, a thousand bucks a month pays the mortgage. It’s the complete difference in the quality of life they have with their family and kids. Focus on true part-time income success stories. Somebody can be a school teacher making $49,000 or $50,000 a year, but because of your business is making an extra $12,000 a year. That funds their kid’s college-education fund, that funds retirement, that pays the mortgage.

To me, those are the stories that are so realistic, and so compelling, that when the average person you’re trying to recruit hears them that person says, “I can do that.” Focusing on the fundamentals, the basics of why people join your business, why they stay there and telling their stories in truthful, honest, realistic ways is, to my mind, what’s missing right now. Do that and you’ll really be tapping into what may be the biggest under-developed opportunity that I see out there.

Our company had a rough 2017. What are some of the best ways our leadership can foster momentum in 2018?

The first thing you need to do when things aren’t going well is to get in a room with people you trust in the business, including people from your distribution force. You need to step back and look at every aspect of your business. Be honest with yourself. Try to determine what all the real issues are from a variety of perspectives. Then you can move forward.

There may be product improvements you have to make, which are always difficult. It may be a compensation plan that you have to change, which is always super, super difficult. Or it may be consistency and focus that you need to add, or adjust, to instill a sense of excitement, belief and enthusiasm in the business. When things get stale, people tend to sit, soak and get sour.

You’re a leader. Your responsibility is to make things better. Managers are thermometers. Leaders are thermostats. Leaders change the temperature. You need to create a sense of urgency—not emergency—and a sense of excitement and enthusiasm.

I’ve always found that when a company loses momentum, the biggest thing they’ve lost is belief. You need to step back and honestly look at where you’re at, not where you wish you were. It’s like a golf game: You have to play the ball where it lies. The great Bobby Jones used to say that.

Once you’ve taken a really hard look at the business, then ask yourself and those around you, “How are we going to increase belief? How are we going to increase excitement and energy?”

How much focus should a company—especially a direct selling company—put on the personal development of its full-time employees and field?

Constant. Massive. Huge.

There is nothing more important than this. It is the difference between being where you’re at and being where you want to be. People are either green and growing or they’re ripe and rotten. And that starts with you.

You need to look at everybody on your team as if they are a “human becoming” not a “human being.” Because we are either getting better or we are getting worse. But we are not staying the same.

How connected are company culture and success in the marketplace? Can culture fuel a company’s success and if so, how? Or does culture simply distract from day-to-day business concerns?

Culture is critical. Culture is everything. Peter Drucker, the father of all management gurus, used to say, “Culture eats strategy for breakfast.”

You need to have a culture of belief. A culture of energy. A culture of excitement. A culture of hard work. A culture that inspires people to realize winning and succeeding is hard.

The only place where “success” comes before “work” is in the dictionary. You need to create an atmosphere of competition—healthy competition, not unhealthy competition—where people compete to put results on the scoreboard. When you’ve got an effective culture of belief and enthusiasm, your team members will hang together when times get tough. And that’s how you’ll get through those tough times.

A great team of people, who are personally developing and getting better, that also has an amazing culture will stand the test of time.

Click here to order the January 2018 issue in which this article appeared.

The post Time to Set Your Company’s Temperature first appeared on Direct Selling News.

If you stand still, the world will fly past you. It’s as simple as that, and anyone in the direct selling channel—whether employee or independent representative—is keenly aware of that principle. For direct selling executives, inspiring action is a twofold challenge: How do they as leaders model and encourage engagement not only within their employee base, but also out in the field, where independent distributors are growing in number, are widely dispersed and have varying goals for their businesses?

Our ultimate focus should be on, of course, the salesforce members who represent direct selling companies. Occasionally, however, leaders forget that the salesforce is only half the equation. “I say this from experience. You can get so focused on your outside salesforce, because they’re driving the business, that you miss what’s going on inside your own building,” says Team National CEO Angela Loehr Chrysler. “As leaders, we can miss what’s right in front of us.” The effort to inspire action, then, must begin at home.

A company with a steadfast mission, consistent messaging and frequent communication has the best opportunity for success. The leader sets and drives that ongoing conversation with employees. And although leaders do have direct contact with the salesforce, it’s the rank and file who most often interact with them on a daily basis. Good leadership, then, is so critical at the corporate level because it ultimately affects how employees engage with the salesforce, and, therefore, shapes the salesforce experience with your company and your brand. Direct selling leaders may be speaking to two audiences, but alignment in messaging is absolutely critical.

John Addison knows a thing or two about inspiring action through effective leadership, having led Primerica through its IPO as Co-CEO and now frequently lecturing business leaders on the topic. “Your corporate goals have to be consistent with those of the salesforce,” he says. “It’s death when the home office has one set of priorities and the field has a completely different set of priorities. You’d better have a vision and a message where both of those entities have goals that are in congruence.”

Complacency may be the most formidable obstacle facing any leader. A 2006 study conducted by Duke University found that 40 percent of what we do every day is merely habit; in other words, we’re running on autopilot. It’s highly likely this figure still holds true, that is, if it hasn’t increased thanks to the relationships we have with our smartphones and tablets, and due to the onslaught of information surrounding us in our everyday lives. Whether we’re trying to reach employees or salesforce members, we have to compete not only with human nature, but with a lot of distraction. In fact, “how we inspire action is one of the great challenges in our industry right now,” says Darren Jensen, CEO of LifeVantage. “A leader has to have an understanding of the ability to be significant, rather than just successful. Because significant is much more powerful. Customers add, distributors multiply, but leaders are the exponential factor.”

The Importance of a Strong Start

Direct selling companies across the board are looking at ways to increase salesforce retention. Take, for example, LifeVantage, in which Jensen estimates that approximately 80 percent of distributors “never engage. They never recruit anyone, and they never bring in a customer. They simply become a consumer of the product—a very happy consumer.”

The time to engage is right at the start. “The first question people have is ‘OK, I’ve joined, now what?’ ” Jensen says. “Our industry is different. Think about doing business with Uber. I do what the app tells me, they push customers to me, and I get paid. With network marketing, I have to sign up, build my organization in a specific structure to maximize my return, and find customers. I believe we’re going to have to simplify the way we do business in order to engage people. We’re going to have to deploy technology in order to do that.”

At perhaps no other time in the lifecycle of a direct sales business is action more critical than during the first few months. Quick wins validate the business owner’s decision, generate momentum and help her develop the mindset she’ll need for continued growth and persistence. On the other hand, several factors can leave her questioning her decision to start an independent business. One of them is “analysis paralysis” caused by information overload. More direct selling companies understand and are making concerted efforts to simplify what has been a confusing onboarding process for new representatives.

As for corporate employees, companies of every industry have invested significantly more time and effort in recent years to ensure that new hires receive thorough onboarding, which reaches well beyond training and delves into company culture, or what’s commonly referred to as the “why.”

“It’s absolutely not only possible, but necessary to inspire both your corporate team and your outside sales team,” says Chrysler. “They play different roles, but they’re partners in your success, and so it’s doable with focus and intention. I think when you bring those two things together, there are a variety of ways to get to the same answer—and I think the answers lie in your culture.”

A ‘Why’ Is Key

“When you can help your field members determine their own personal why and you can help them connect that to the company’s why—your mission and vision—it really becomes more of a movement, and the passion and the momentum become unstoppable,” Chrysler continues. “People do more for you when they believe they’re helping others versus themselves. They can get through ups and downs, people can leave, the latest fads can come and go. If you have a really defined culture, a why, along with purpose and passion, then your field will weather the hard times, and they’ll drive themselves to action because they not only want to succeed, they want to help you succeed.”

In fact, any effort a company makes to marshal action from its employees or salesforce members should start with an examination of its culture, an integral component of the company’s identity. Employees and salesforce members who have a why, or a reason for their feet to hit the floor in the morning beyond just earning a paycheck, are more likely to feel connected to your company and less likely to leave. “The State of the American Workplace Report 2017,” issued by Gallup, found that 51 percent of the U.S. workforce is not engaged. Another Gallup report, “Does Your Brand Attract Star Employees?,” found that 51 percent of U.S. workers overall and 60 percent of millennials are considering new employment opportunities.

For leaders, it’s all in the delivery, says Jared Turner, Chief Operating Officer of Young Living Essential Oils. “You can tell people you want to open up a new warehouse, and they’ll see the problems in it. They may say that it will take too long, it’s going to come in over budget, and that it’s going to be painful. But if you paint a vision and say, ‘Opening this warehouse ultimately alleviates issues for our members on the East Coast, because it aids our mission statement, which is getting more essential oils into each home,’ then they will be more aligned with your vision. It’s like telling people to run to the mountain without telling them what’s on the mountain, as opposed to saying the mountain has a beautiful waterfall and a lake, and this is why you need to run to the mountain. You have to paint a vision of what the mountain looks like, not just tell them to run to it. If you connect employees to their whys, and you empower them, you’ll have the most powerful employees in the world. There’s nothing that will stop them.”

Whether we’re talking about field or employees, leaders are dealing with volunteer organizations, “and people can come and go as they choose,” says Travis Ogden, President and Chief Operating Officer for Isagenix. One of his roles is to help employees have “line of sight”—to understand specifically why their jobs matter to the company. “People might think employees aren’t volunteers. In reality, they can go work anywhere they want, but they choose to work for us. When you look at them that way, it helps frame the communication and approach in your dialogue. If they can understand how their daily actions contribute to where our company is going, it helps them have satisfaction and fulfillment in their jobs.”

“It’s more a movement away from doing great work to focusing on feeling great about the work they do,” Jensen adds. “If they feel great, that’s what keeps them motivated and engaged, and the same thing goes for distributors.”

Cast Vision, Then Repeat

When it comes to communication, corporate leaders have found they need to partner with salesforce leadership to ensure understanding, buy-in and consistency; and they need to repeat themselves—often.

“The most important thing you’ve got to do with a large direct selling company is constant, constant communication. A business is an organism, not an organization,” says Addison, who also serves as Leadership Editor for SUCCESS magazine and President and CEO of Addison Leadership Group. “Whether you’re growing or not growing, wherever you’re at in the process, you have new people joining. Your salesforce is a living, breathing thing that’s changing. Maybe you think sometimes you’re being repetitive because you’re saying the same thing over and over again. Well, the truth is you’d better be saying the same thing over and over again, because you’re communicating not just to the people who’ve been around, but to the people who are joining.”

“Employees forget, even senior management, if you don’t remind them,” Ogden adds. “It comes down to keeping your priorities at the forefront, so people filter their decision-making through those priorities.”

Given the growth and sheer expanse of modern direct sales companies both at the corporate and salesforce levels, though, how do leaders keep those lines of communication open? While nothing replaces face-to-face interaction, technology can help fill the gap between company and local events. Executives are employing Zoom, Facebook Live, BeLive and other media to talk to distributors, sometimes conducting live interviews and panel discussions. Others routinely chat with distributors via social media, text and phone. Annual, quarterly, monthly or even weekly meetings give employees the opportunity to interact with leaders and ask questions. At Team National, for example, monthly “personal growth” meetings, led by Chrysler and Team National Vice Presidents, are intended to help employees “grow personally and

professionally, and foster an environment of great discussion,” Chrysler says. “We look at these meetings as a time for them to grow in all aspects of their lives. If we only focus on the business side, we’d be missing a big part of their lives.” Those personal growth topics, in turn, help shape the company’s communications with field members via a weekly conference call with a simultaneous Facebook Live broadcast, a monthly newsletter, and national and local events.

Information overload is always a risk, of course. Addison says that one of the first priorities as Primerica Co-CEO was to cut through the clutter. He was a firm believer in the expression that a confused mind will do nothing. “We had all of these people sending urgent bulletins out to the salesforce,” he recalls. “Well, I clipped their wings. In the noise we live in today, these people are being inundated in every direction you can imagine. If you want your organization to be important in their lives, you have to have a compelling message, it has to be clearly communicated, and you have to be one of the loudest voices in their heads.”

Times of Adversity

Leaders have the power to inspire positive action through times of adversity. Transparency is never more important than during times of adversity. Direct selling leaders agree that the best approach is to acknowledge the issue as frankly and as quickly as possible—even if it’s their own. When fear is removed, innovation can soar. “I manage my mistakes by exposing them,” says Annie Price, Vice President of Field Touchpoints for Scentsy, adding that most mistakes are due to processes, not people. “People don’t come to work to do a bad job. So I usually try to lay mistakes out on the table, then figure out the root cause so we can prevent it in the future.”

Team National’s philosophy on mistakes is to “assume that they wanted to do it right; they just didn’t have all the information,” Chrysler says. “When you assume that people meant to do it right, you’re setting them and you up for greater success.” She adds that the company solicits feedback from employees when those employees make mistakes. “We ask people to be part of the solution; we want to know how we can help them be successful next time. When you approach it that way, you get some great ideas.”

During times of crisis, a leader’s role, Ogden says, is to “stand up and be willing to face the difficult questions, acknowledge head-on what the challenges are and address them transparently. A leader has to have unshakeable belief in the future and in where the company can go, and needs to cast that vision. There’s adversity everywhere, but adversity can be a good thing; it helps us get stronger.”

Indeed, a company with a strong culture likely has a reserve of goodwill and loyalty from employees and field members, upon which they can draw during difficult times.

“One of the things I’ve learned is that one of the best ways to connect with people is to have them know you’re just a person too,” Addison says. “You’re just doing the best job you know how to do. It doesn’t mean you’re going to bat a thousand. When you’re wrong, figure it out and change it. When times get tough, people will stick with you if they have a real connection to you. They know it’s not just about the products or the opportunity; it’s about building a culture and a family. It creates an environment of growth, a self-improvement movement. People view that just by being connected with you, they’re better people than before they were connected with you.”

Getting in the Trenches

How deeply should a leader step into the trenches? A leader’s actions speak much louder than his words, which is why authenticity and a willingness to jump into the trenches can build trust—and inspire action among the masses. It’s also important for a leader to know when it’s time to step out, delegate and empower her employees to rise to the occasion. “I learn best by rolling up my sleeves and getting involved early,” Price says. “But as soon as I get the fundamentals of what it’s about, how it operates, what the challenges are, I back way out and manage purely by objective.”

“Leaders inspire action taking action themselves,” Turner says. “If you expect people to do things you’re unwilling to do yourself, they will not respect or follow you just because the org chart says they have to. It’s also important to be with the troops and identify talent in lower ranks who might not be recognized. It’s important to find a way to connect with and identify that talent.

“I would argue that management is a noble profession, because you have the chance to help human beings identify their purpose, magnify that purpose and be recognized from it, grow from it, and become financially stable from it,” Turner continues. “You’re really crafting and creating greatness in people if you’re willing to take the time to help empower and inspire. You can change the trajectory of someone’s life and her children’s lives by creating that confidence.”

The post Inspiring Leaders, Inspiring Action: Both at Home and in the Field first appeared on Direct Selling News.