12 Success Factors What separates Melaleuca from the MLM industry Executive Director IV Rosemary Brandrick The goal in any home business should be to build a reliable, residual income Success Factor #1: Proven Company Track Record • Most companies, whether home business or traditional business, fail within the first 5 years • Melaleuca has had 25+ years of consistent growth Success Factor #2: Financially Sound • Melaleuca is a debt free company • Melaleuca has never been a day late in sending commissions or profit sharing checks • Melaleuca is a privately held company with a 4A1 financial rating with Dun & Bradstreet Success Factor #3: Strong Management • Melaleuca’s corporate leaders come from Fortune 500 companies like ADT, Revlon, Schick, Ohio Bell, Gillette, Procter & Gamble, Cox Communications and UPS • Sound business minds running the company • Melaleuca’s management team is principle centered and mission driven • There is no “hype” – CEO Frank L. VanderSloot has vision – “Built on Solid Principles” • CEO Frank L. VanderSloot: • Board of Ethics of the Direct Sales Association, past Regional Vice-Chairman Washington Chamber of Commerce, 1998 Idaho Business Leader of the Year and 2001 & 2009 Entrepreneur of the Year Success Factor #4: Unique Consumable Products • Melaleuca manufactures superior quality, safer products protected by trade secrets, proprietary formulas and patents • Products that can only be obtained through Melaleuca • No need to “create the need to buy” – it’s already there! • Melaleuca manufactures products that people are already buying. There is no “new money” being spent since people are already spending money on these types of products/services somewhere • Monthly consumption of household basic necessity products is what creates true residual income Success Factor #5: Competitively Priced • Melaleuca’s price point/comparison is equal to or lower than supermarkets • Smart economics – great value in being a customer • Melaleuca manufactures all of its own products • • Complete control – American made Recession proof Success Factor #6: High Monthly Re-Order Rate • Over 300 products that consumers can choose from creates residual income • Customers are more likely to order over & over if there is enough value/savings • Documented 95% monthly re-order rate • Melaleuca Marketing Executives are proud to show their business reports Success Factor #7: Low Personal Production Requirement • No “new money” is being spent • Everyone can be a customer • Something the “80%’ers” can easily do Success Factor #8: Low Entry Fee • Melaleuca membership is just $29 • Enroller is not paid a bonus on the membership fee • You can get started right away – no inventory Success Factor #9: Low Attrition • Melaleuca is not a “sign up” game • Customers will stay loyal as long as there is perceived value • 60% of business is brand loyal customers which means a stable, residual income on repeat business • Melaleuca vs. “MLM” turnover rates Success Factor #10: Timing • Melaleuca is still the best kept secret! • Less than 10% of North Americans have even heard of Melaleuca • No bad news – no one gets hurt • We are a green company, environmentally conscious – we were manufacturing responsibly long before it was popular • Sitting squarely in the driver’s seat of supply & demand Success Factor #11: No Breakways or Binaries • Never penalized for enrolling someone who has more success than you • Your organization can never be taken away from you • Many MLM companies use a binary comp plan. This really goes against traditional business principles since they reward the “non-producer” • Melaleuca has no hoops to jump through – no games Success Factor #12: No Risk At Melaleuca • Everything is fully refundable • No one can get hurt • Melaleuca offers a safe home for everyone • Something the “80%’ ers” can win at Which one of these 12 success factors would you be willing to take off the page and still throw your time, energy and reputation into? Now you see why “All roads lead to Melaleuca”