Shaklee: Healthy Living with a Healthy Income
With many different ninths that a company can sell, the health and weight loss ninth is among the most famous and the most profitable. To show how this particular product responds to consumers over the years, we can look at the Shaklee Company and how they applied multilevel marketing to their business plan, and the capital that they earned before and after. First we must understand what multilevel marketing is. Multilevel marketing is the structure of allowing associates to represent a company and then thus sell their products and get a commission. Along with this basic insight, the associate can then add other associates under them and get a commission from what they sell. This creates a pipeline that allows for the top associate to benefit from all the other associates under them. This is the basic structure of MLMs.
Shaklee: How the Company was formed
The Shakelee Company was first formed in 1956 by the late Dr. Forrest Shaklee. He had a vision that all individuals had the right to keep their bodies clean and vile free. Dr. Shaklee assets all the food that was being in took, and the air that we all breathed. He came to a conclusion that a regular intake of healthy foods and non-toxic cleaning products, as well as beauty products can be altered for a healthy approach. Staying true to its nature the Shaklee Company was formed and thus passed down through time as a “Stay green” health company that supplies all types of health products and intakes for a healthy living. After many years of direct sales of these pertained items, the Shaklee Company opened up to the world with the multilevel marketing business plan.
Shaklee: Multilevel Marketing brings new Jobs and New Sales
In 2000 the Shaklee Company established their world headquarters in Pleasanton California. Among this new setup, the company decided to change the structure of the business as well. The internet was starting to take form on other businesses and the Shakelee Company also decided to see how this new form of communication could help in their business. With the use of multilevel marketing, the Shaklee Company exploded on the scene as a leading company in health and beauty products.
The Shaklee Company hired associates for their mlm structure. They allowed these associates to have access to all of the products they have access to. Not restricted like some mlm models, these new associates can sell these products in two different ways, either direct or mlm. Both ways still allow for the associate to receive some form of compensation. Along with this business model, the associates are allowed to hire other associates under them and receive a compensation from their efforts.
To show these compensations, When the associates hire other associates under them, they can receive an additional 15% in wholesale discounts. This allows for either an mlm sale or a direct sale for the associate to receive an additional 15% profit from the sale. Along with this they receive a bonus for volume sales. This can be between a 4% to 12 % of the bulk volume that is sold by the associate and their downline. With these great sale tactics the Shaklee Company has taken new leaps of sales and jobs that the new associates have received.
Shaklee: Profits have no Bounds
With this new mlm structure in place, the profits have seen new heights. Along with the profits, they have created new jobs all over the world for associates that have the endeavors of owning their own business. The company is currently making 515 Million dollars in annual revenues and the distributors, “associates” are making 1.25 million dollars in annual revenues. With this product reaching over 8 countries around the world, the new mlm structure has truly shown how this business model can change a company and new business owners alike.