Sunday, December 17

Herbalife International Facts or Fiction? Scam or Genuine Business?

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The field of network marketing, MLM and direct sales is loved by many but disliked by others. This triggered a research that lead to a variety of companies in this industry. Researchers compared the company products, services, training provided and a detailed look at their pay-out plans.

The researchers found lots of unprofessional nutritional companies claiming a lot; but when asked for facts or proof, were not able to produce much. However one company showed professionalism, integrity and self-confidence. In this article that company is highlighted; Herbalife International a US based multinational with a clear mission for healthy nutrition.

Herbalife International Global Player

Herbalife International (many times misspelled as Herbal Life) is a Los Angeles based company which is 30 years in business, meaning they have 30 years of know-how in a very narrow field of expertise, human nutrition, or as they call it Cellular Nutrition. With headquarters in 73 countries, which means, 73 countries have approved their products to be sold accordingly. For nearly 7 years they have been publicly listed on the New York Stock Exchange (first board) trading under HLF, and the company claims to be leader in the weight management industry. Looking at their annual turnover of nearly US$ 4 Billion per year, their claim becomes a hard fact.

With their own research facilities all around the globe and a team of 120 scientists and doctors working on product development, Herbalife is leading the way to healthier active lifestyles. As they say it ; “The world needs a solution”.. Herbalife International provides weight management programs based upon natural ingredients. Their Shapeworks program, Healthy Breakfast program and world wide Franchise of Nutrition Clubs and Nutrition Centers seem to have taken the world by surprise.

Michael O Johnson their current CEO (formerly from Disney International) has together with his marketing team made incredible efforts to grow the company from US$ 2 Billion in 2004 to nearly US$ 4 Billion in 2008 and 2009. In marketing terms an incredible achievement and it seems that the company is preparing itself for the next expansion, The Middle East and Africa. MOJ as he is known among CEO’s world wide has created a team of clever leaders in his court. Former South East Asia CEO for McDonalds Bill Rahn has joined the ranks. Madeleine Albright has formed a strong lobby in Washington for the company’s mission. Among some pioneers from the pharmaceutical industry, Steve Heining, Dr. D Heber and Dr L.Ignarro; a Nobel prize laureate, have headed their way too. This leads to a high world wide branding and credibility factor with their world wide investors and business partners. Herbalife prepares itself to become a worldwide household name.

Impressive Network Operation World Wide

Visiting their headquarters in different countries the researchers came across friendly people, addressing their message of good nutrition in a kind and open manner. The same counts for the corporate staff; from front desk managers to warehouse attendances, friendly well trained smiling employees.

The company also seems to be very much involved in the green movement around the globe.

Herbalife Scam or Genuine Business?

Not a scam, a company can not fool the world for 30 years, with a turnover of close to US$ 4 Billion, someone must have some good results and is buying their products. Even the global recession does not seem to hinder them from expanding into new markets worldwide.

The research lead to some negative stories on the internet about Herbalife, but being realistic, any company must have some dissatisfied customers, and the internet is a great place to spew anger. As the company is a long term member of the DSA (Direct Sales Association of America), their distributorships are protected and a money back guarantee is secured for customers and distributors. The cost of a distributorship (partnership with the company) varies from country to country, ranging from US$30 (no products) to US$150 (with Healthy Breakfast program).

Surfing past their various website, www.herbalife.com and www.myherbalife,com the company is detailed and informative. Transparency seems to be part of their modus operandus.

Having researched Herbalife International for several months, the researchers conclude; a very bold company, with a clear message, which takes good care of their customers and partners.

Author’s note – turnovers in US$ are based on retail volumes

Research conducted from November 2007 – November 2009

Researchers – Frank Amptmeijer & Franklin-Paul Blake

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