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May 31, 2006

SLV - Consumer Protection

By QBlog in Quixtar

Scott Larsen Videos (SLV) presents "Consumer Protection" where "Quixtar and Industry Leaders talk about consumer protections for tools."

Enjoy.

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In Their Own Words - 4

By Xanadustc in Their Own Words

In this clip, we get to see some of the parenting skills take root as Larry Winters teaches his kids about work ethic:

» Winters Kids (mp3) (From BWW151 – The Badge of Honor):

Larry: Real fast, for all the new people, tell ‘em what happens if you study hard, and go get a J-O-B. What happens if you end up- tell them what happens if you get a job?

Ricky: You have no time, and you sit in a cubical and have no fun at all.

Larry: What happens when you have a job, Steven?

Steven: You’re broke and your life sucks!

Larry: That’s my boys!

(Note, I edited four seconds of audience screaming at the end and replaced with 0.5 seconds of silence.)

This just sickens me. Let's forget the fact that work is a Biblical mandate for just a second and consider the purely social circumstances of this. Larry has successfully trained his children that work is meaningless. He has trained them that no one ever succeeds with a job, despite the fact that the whole culture is based on this trend with the exception of a few anomalies. The world is not totally broke, but persons can be if they are not wise and disciplined in their spending.

Next, let us consider our time at work. My life does not suck because I work, quite the opposite, my work allows me time to use my God-given skills to do something. But on top of that, I have many good friends at work that I can talk to and hang out with while we are engaging in our responsibilities.

UPDATE
I need to clarify a point here. Thanks to Brad for bringing it up. When I said, "Larry has successfully trained his children that work is meaningless" above, I thought it was obvious that I was talking about a job, but there has been some confusion.

For those curious, this whole tape was about a "good work ethic", but Larry constantly defined a good work ethic as being CORE in BWW while simultaniously de-edifying the J.O.B. That is the point I was making, I was under the impression that the context of the paragraph was clear, but I wanted to clarify anyway.

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May 30, 2006

Did you Fail or Quit?

By Truth in A/QMOs

Why does it seem that every time an active "plugged-in" IBO talks about someone leaving the business they're referred to as failures? Think back on your time in Quixtar, when you finally decided you were through. Did you stop Quixtar because you just couldn't do it anymore? Did you stop because your business went under? Or did you stop building the business because of another reason?

Some say to fail and quit are the same thing. I think that is only true in the minds of Quixtar IBOs who are involved in the system. Let's look at the definitions:

Fail

1 a : to lose strength : WEAKEN (her health was failing) b : to fade or die away (until our family line fails) c : to stop functioning (the patient's heart failed)

2 a : to fall short (failed in his duty>) b : to be or become absent or inadequate (the water supply failed) c : to be unsuccessful (as in passing an examination) d : to become bankrupt or insolvent

transitive senses
1 a : to disappoint the expectations or trust of (her friends failed her) b : to miss performing an expected service or function for (his wit failed him)

2 : to be deficient in : LACK (never failed an invincible courage -- Douglas MacArthur)

3 : to leave undone : NEGLECT (fail to lock the door) 4 a : to be unsuccessful in passing (as a test) b : to grade (as a student) as not passing

Quit

1 : to make full payment of : PAY UP (quit a debt)

2 : to set free : RELIEVE, RELEASE (quit oneself of fear)

3 : CONDUCT, ACQUIT (the youths quit themselves like men)

4 a : to depart from or out of b : to leave the company of c : GIVE UP 1, 2 (quit a job - quit smoking)

intransitive senses

For those of you who are former distributors which definition describes you better? For the rest which definition do you think best describes former IBOs who stopped building their business?

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Are You Listening?

By QBlog in Blog News

QBlog Radio Yes, I produce a weekly podcast called QBlog Radio. I've mentioned it before (and it's linked in the main navigation under "podcast") but I want to draw your attention to the most recent production because it addresses some of the Oral Arguments in the Nitro Distributing v. Alticor case. Also, I think it's a darn good podcast.

Not sure about podcasts? Relax. It's just an mp3 file. Find out more from the "How to Listen to Podcasts" page.

I prefer that listeners subscribe to the podcast via iTunes but if you simply refuse to be cool then listen to it the old fashioned way by just downloading the mp3 here:

» Download QBlog Radio Podcast - 55 (31.7 MB mp3)


powered by ODEO

I don't normally mention the QBlog Radio podcast on the Quixtar BLOG because I want the podcast to complement the Quixtar BLOG, not substitute for content. However, occassionally there are productions that I feel need to be highlighted to readers of this blog who may not take the time to explore the QBlog Radio podcast.

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May 29, 2006

Monday Reader Mail: 78

By QBlog in Reader Mail

I don't get much Reader Mail from outside North America so I'm excited to share this particular submission from down under. As always, I left the message intact without edits and my comments appear in bold.

name: Shane S.
date: May 16, 2006

message: Do you actually have any brain function for business success. Have you heard of intellectual property.

Yes, I'm very familiar with Intellectual Property and how the Internet has challenged traditional ideas about its protection and distribution.

I have built a Q12 Platinum business in Australia. I have built a sales program (for instant cash for my IBO team, a lead generation program from this sales program to find new IBOs. You want people like me who attract traffic to the website and spending - to go and speak at a seminar, and have 1000s of people around Australia learn what I teach (i am a high school teacher) & take my speeches, which I try to make inspirational as well as educational - and then give away that knowledge which I have accumulated through experience. How do you propose that a training system be sustainbale when people are not paid.

I've never suggested that people should not be paid for their work. I do know that training a Quixtar (or Amway) downline is a requirement of the Business Rules and rewards are provided (in the form of a thriving downline) if done correctly.

Oh thats right if the payment amount for speakers is above a limit you decide then it is ok. Of course your bum chum BO (redcoat) Short who I have met several times - took heaps of money for speaking in Australia - oh the integrity of following a man who purchased legs for Diamond qualifiaction. Poor Bo, he did not know what he was doing - he just got talked into being paid $20,000 for his Aussie tours.

Interesting comments. Is Shane condemning Short for his downline purchases and receiving money for speaking? Or are those actions to be commended? I've never defended Short's actions with Quixtar (or Amway) but merely sought to set the record straight regarding his involvement with that business.

Just so you know, the people that use ourt motivational training do grow, develop and get something out of it. Of course if we give it away as you stupidly suggest, then the value of the information declines. How do I know? - because when I download mp3s for free from the web, I don't listen to them a s closley as for the one s I pay for.

Using this logic the likelihood of a downline listening to motivational audio increases as the price increases. Why not charge $5,000 for each recorded seminar or rally?

You clown trouser, success has a price - in any field - I have spent 3 hours with Dexter once and I have no prtoblem with his free enterprise approach to being wealthy - from speeches and cds, functions - why? becasue business is about bums on seats - if you could attract people you deserve the money - of course you ability to influence large numbers of people in business probably does not exist.

Funny, I thought this business was about selling products. Silly me.

Do you have a problem with Bill gates, The Wal Mart family, Micheal Dell - who are your business heroes? Lets examine tehm and find out the price they paid for success.

Great question. Some of my business heroes include Steve Jobs, Sergey Brin & Larry Page, Jeff Bezos, Herbert Kelleher and Fred Smith.

Your proposal about the system is a s dumb ass as it gets. How do pay people people to put the system together if their is no profit? Of course you would argue that their should be your limits of profit set, once it is past that we should communise the system. Well done brains!

What I've suggested in the past is that Quixtar's motivational business be opened up to competition. Let a competitive marketplace decide the value of the tools businesses. Allow innovators to be disruptive and provide choice. Is that so wrong?

I'm glad people in Australia are reading the Quixtar BLOG. Maybe I should do an International Reader Mail once a month.

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May 28, 2006

This DeVos Is Cool

By QBlog in Miscellaneous

The Grand Rapids Press is reporting about the newest business venture from Rick DeVos, son of gubernatorial candidate Dick DeVos and grandson of Amway co-founder Rich DeVos. The business is called Spout and it's not multi-level marketing.

About Spout
Spout is a kind of Web 2.0 social networking site focused on promoting and distributing films.

"As the site develops, Spout will organically build a foundation for its ultimate goal: creating a grassroots alternative to Hollywood's promotion and distribution model and allowing the work of more filmmakers to reach their audiences," the company's launch materials said.
Spout

The article describes DeVos as a 24-year-old who "gets" what online business is all about. He's a "Mac guy," dresses in dot-com fashions and launched the site at the uber-trendy South by Southwest Film Festival. Maybe Quixtar should hire him as a Web advisor?

For the record, he said, the company is separate from Alticor and its online unit, Quixtar, which are owned by the families of Rich DeVos and the late Jay Van Andel.

"Obviously, that's my family's business," Rick DeVos said. "There are similarities in that they are both about the power of people and relationships and networks, but there's none of their technology and nothing else that comes from Quixtar."

Joining and Connecting
The Spout registration process was very simple (unlike the Quixtar registration process) and the user interface is fairly intuitive. However, I was surprised to learn that there's no way to upload movies, clips or even trailers. I thought that with the goal of marketing and distributing movies it would have some way to actually watch video. But it turns out that the site is really just a way for film buffs to connect, learn about movies and then buy the DVDs.

I like Spout though I'm not sure it's something I'd regularly use. It includes community building tools and a blog feature which is kinda cool. Check it out for yourself and let me know what you think.

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May 27, 2006

Touretzky Speaks on Scientology

By QBlog in Miscellaneous

One of the most popular destinations for Quixtar information seekers is Dave Touretzky's "Amway/Alticor/Quixtar Sucks!" website. Touretzky is a world-famous research professor at Carnegie Mellon University and an avid Free Speech proponent who's had some personal clashes with Quixtar.

However, his real passion is exposing the "vengeful religious cult" known as the Church of Scientology. I found an interesting video interview of Touretzky on YouTube from a recent episode of Keith Olberman's show on MSNBC.

"Dave Touretzky appears on Countdown with Keith Olbermann to discuss Tom Cruise, Silent Birth and Scientology."

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May 26, 2006

QBlog's Farcical Help Desk - 51

By QBlog in Farcical Help Desk

Every Friday, the QBlog Farcical Help Desk™ answers the Quixtar questions that nobody dared to ask. Additionally, each Help Desk answer is guaranteed to end with some form of punctuation or we'll refund your money. No fooling!


 

Question: I own a nightclub and I'm looking for a unique act this weekend. Can you help?
Answer: Glad you asked. I happen to know of a really original act that's currently available. It's a family with three extremely talented children, a lovely wife and a father who bears a striking resemblance to Dean Kosage.

Q: Well, what do they do?
A: The father comes out on stage and starts screaming, stomping around and spitting on the audience. He's then joined by his wife who starts tossing rotten fish entrails on her husband while yodelling the "Star Spangled Banner" to the tune of Kelis' Milk Shake. And then the three children, two sons and a daughter, walk out on stage covered in garbage. Then one son begins prancing around quoting Kerouac haikus with a thick German accent while the other son climbs on an orange Big Wheel and rides off the stage into the front row. Then the sister reaches up and pulls a long cord hanging from the ceiling and suddenly a deluge of raw sewage is dumped on the family from hidden containers fastened above. The family then turns towards the audience, in unison, and yells "Ta-Da!"

Q: That's disgusting and utterly repulsive. That's the worst act I've ever heard of in my entire life. What do you call this act?
A: The Kingpins!


 

Q: I'm an IBO and I have a problem. Can you help?
A: Maybe. What's the problem?

Q: I have a sense of humor.
A: Yipes. Yeah. That is a problem. How'd this happen?

Q: Well, I thought I got rid of it but you know, I saw that Aristocrats movie right after watching Lenny and now I can't stop laughing.
A: Well, that's not so bad. IBOs can laugh.

Q: Yeah, but I'm laughing at self-deprecating humor, jokes that poke fun at Quixtar and old-fashioned satire. It's freaking me out.
A: Ok, calm down. I know just the cure. Something that will sap the humor from every funny bone in your body.

Q: I'll do anything. Anything at all. Just help me.
A: Watch this video of Birdie Yager every day for a month and you'll be as humorless as Jody Victor.

Q: Thanks Help Desk™!
A: No thanks necessary. It's what we do.


 

Q: Who is this Scott Larsen guy I've been reading about on the IBOAI website?
A: He's the devil. He eats live babies you know.

Q: What? Oh my goodness. That's horrible!
A: He also hates Quixtar, democracy, vegetables, puppies and Taylor Hicks.

Q: What a despicable man.
A: Wait, there's more. He's also a petty man who thinks Jody Victor is ugly and doesn't mind saying so on his website. He's openly attacked Jody Victor's appearance.

Q: I'm so disgusted. Jody's a beautiful, sexy man and anyone who attacks his appearance must have some real problems.
A: Oh, he's got problems alright. And his website is all a bunch of lies.

Q: Really? All lies? Then how does he keep it up?
A: Well, the IBOAI hasn't figured out how to prove that it's all lies yet but their Truthiness Department is working on that day and night. Day and night.

Q: Well, thanks for the info and I'll be sure to lock my doors tonight in case Larsen is in the neighborhood.
A: Good idea. And you might want to put some bear traps out in your yard because I heard he changes into a chupacabra after Midnight.

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May 25, 2006

Interview with a Former Client

By Xanadustc in Quixtar

For today, I figured that I would gather some thoughts from a friend of mine who was a regular customer when I was in Quixtar. We will call him Joe.

Xan: When did you first hear about Amway/Quixtar?
Joe: A long time ago, at least 1984. It was later that a friend of mine got involved, around 1988 I think.

Xan: Did he talk to you about Amway then?
Joe: No, we had pretty much gone our own ways, otherwise, I think he would have. He was involved with “Forum”, and he talked to me about that when we were still close. I did join the forum, so I was familiar with the brain-washing thing.

Xan: Was I only one who ever talked to you about Amway/Quixtar?
Joe: You were the first to mention “Quixtar”, otherwise, I was propositioned at least a dozen times.

Xan: Did you ever get involved?
Joe: Other than the purchase of products, no. I did go to a meeting with you to check it out. I heard stories from friends who had gone to meetings. No one really had anything good to say.

Xan: If you heard about these bad stories, why did you go to the meeting with me?
Joe: I had to satisfy my own curiosity rather than just go on hearsay.

Xan: What were your thoughts about the meeting?
Joe: There are so many, where to start? My assumption that it was a major form of mind control was validated: I saw that most of these people seemed to talk and act in almost identical manners. I was also disturbed to hear the God and Amway connection. I also grew weary of everyone asking me what I did for a living. I felt like getting a sign. I also thought it was very materialistic, particularly about the big estate a few people got to go look at. It was disturbing to see all the people salivating over cars, houses, pools, and other things. I am a recovering alcoholic for 15 years and really wanted a drink by the end of the night!

Xan: You bought products from me. What products?
Joe: You gave me a number of things to try: soaps, shampoo, toothpaste, toothbrush, coffee, energy drinks. It was energy drinks that I bought the most of.

Xan: How were the energy drinks price and quality compared to other energy drinks?
Joe: They were $0.30 more than others, but the quality was great with the grape and orange. I didn’t care for the tea.

Xan: How much did you buy in a month?
Joe: About $60 a month minimum.

Xan: What was it like having a friend who was a Quixtar devotee?
Joe: In a way, I felt forced to observe a fanatical devotion to something that was harmful.

Xan: What do you mean by harmful?
Joe: I knew these people got inside your head in a very big way, but realized I wasn’t the one who could get him out of it. Also, you wouldn’t have listened to me then. I do remember saying to you, “Seems a little bit fanatical”, and your reply was, “You have to fanatical when you own your own business.”

Xan: What was it like having a friend selling you products?
Joe: I didn’t like it at all. There were times when I hesitated knocking on your door because I figured it would end up costing me $30. There were also times I got the impression that was the only time you wanted to deal with me.

Xan: Any final thoughts?
Joe: I felt sorry for most of the people at the meeting because they were victims of a scam and they all appeared to be reaching; they viewed Quixtar as a financial life preserver to get out of their regular career. I also wonder how you can go through life viewing everyone you meet as a mark, a prospect. I was delighted when you left and if you recall, I said, “Welcome to the human race.”

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May 24, 2006

Nitro Distributing v. Alticor Oral Arguments

By QBlog in Arbitration

The MLM Blog recently reported the release of oral arguments from the Nitro Distributing v. Alticor case in the Missouri Courts. I downloaded the audio which is available on the U.S. Court of Appeals for the Eighth Circuit website (click Oral Arguments, Court Session, 2006 May and Case Number 05-3686) and have made it available in a compressed (smaller file size) format for your listening pleasure.

» Nitro Distributing v. Alticor Oral Arguments (41:14 min. mp3 file approximately 9.53 MB)

» Nitro Distributing v. Alticor Oral Arguments (directly from court website, 41:14 min. mp3 file approximately 19.3 MB)

There are a lot of great quotes in the arguments and here are a couple of my favorites though I'm not sure who to attribute them to.

"Nobody can get a fair shake in this system"

"Amway is not required to Arbitrate. They take away the rights to these unknowing distributors. They take it away. Their precious Constitutional right to access to the courts and to the jury. They don't do the same for themselves."

"There's gold in those tapes."

Take the time and listen to the audio and then leave your favorite quotes in the comments.

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In Their Own Words - 3

By Xanadustc in Their Own Words

In this clip, John Crowe talks to us about cults with relation to Quixtar:

How many of you heard this: “Well, you are in a cult.” Have you heard that yet? If you haven’t, you will. It is usually by people who are very spiritually immature, brand new church goers, and they do nothing but parrot back what some other people have heard. They have the confidence that always goes with ignorance…If you look up the word ‘cult’ it’s something that separates you from God. Sounds like what a job is.

» Cult [mp3] (BWW166; Stay Young at Heart)

We need to examine this a little out of order. First, consider this line: If you look up the word ‘cult’ it’s something that separates you from God.

Dictionary.com gives us a few interesting definitions:

A religion or religious sect generally considered to be extremist or false, with its followers often living in an unconventional manner under the guidance of an authoritarian, charismatic leader.

Using this definition BWW often mentions God, as John does all throughout this tape, so it is valid.

Is the theology in BWW considered to be false by mainstream Christianity? I believe so because it is an off-shoot of the word-faith movement, which is anything but Biblically sound.

Do the followers live in unconventional manners? I believe so. Witness the tapes, books, conferences across the landscape, diets of protein bars, energy drinks, and lots of vitamins.

Do they have a charismatic leader? Again, it certainly appears that many in BWW have a deep devotion to the organization Diamonds and Bill Britt.

Consider this definition:

Obsessive, especially faddish, devotion to or veneration for a person, principle, or thing.

I think this one speaks for itself...

Funny, but John Crowe’s “something that separates you from God” is not anywhere in the definition. It is also well noted that work is indeed a Biblical mandate and it in no way separates you from God.

Now, let’s consider the phrase "It is usually by people who are very spiritually immature, brand new church goers, and they do nothing but parrot back what some other people have heard."

Wrong, it is usually by people who have done their homework like cult expert Steve Hassen.

Does this prove they are a cult? No but I would encourage you to take your experience and look at some of the useful definitions of cults:

As you can tell, there is a lot more to this issue than simply looking up a word in a dictionary.

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Advertorial and Prostitutes

By QBlog in Oasis LifeSciences

Am I the only one who's really bothered by the latest "Advertorial" initiative from Ty Tribble's MLM Blog? I dunno, it just seems rather... uh... how do I say this? Whorish?

Maybe that's too strong a word. I mean, it's clearly labeled as "advertorial" at the beginning of the post but still... it just feels wrong.

Of course he's free to do what he wants with his blog but where does one draw the line? And how does running "advertorial" in the same space as the unpaid content impact the blog's integrity? I don't know but I have a hunch it's not increasing it much.

But It's Advertising, Right?
Many blogs, including this one, run a variety of ads to generate a little cash that often helps cover hosting fees and maintenance costs. But those ads are clearly labeled as advertising and they don't look at all like actual blog content.

So, there's clearly a difference between running traditional web ads and posting "advertorial" as a blog post right? I think so.

As a journalist I struggle with "advertorial." I find it in my favorite magazine. I find it in some online reviews. It's in the newspaper and on television. It's practically everywhere. It just feels uncomfortable seeing it in a blog, especially one that uses a lot of space criticizing a competitor.

Judge Not Lest Ye Be Judged
But who am I to judge? I'm just really expressing some of my thoughts on the matter. What do you think?

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May 23, 2006

Jody Victor and Deb

By QBlog in A/QMOs

Background
Years ago her grandfather, Walter Bass, worked closely with Rich DeVos and Jay Van Andel as they built Ja-Ri Corporation (a precursor to Amway) into a regional success story. Bass then joined men like Joe Victor and Fred Hansen to become one of the original members of the American Way Association.

Her mother, Phyllis Chesebro (daughter of Walter Bass), was the Executive Administrator to the AWA Board of Directors and currently heads the first Quixtar business to span four generations.

She ran one of the largest and most successful tool-free Amway (and later Quixtar) businesses for several years before moving on to embrace other endeavors.

Her name is Deb.

Free Speech
Deb has become quite active at a couple of online discussion groups where her personal experience and historical knowledge of Quixtar (and Amway) operations has proved quite valuable. She, like Rich DeVos in 1983, has been outspoken about some of the problems she's witnessed inside and outside the business.

Apologies and Retractions
Deb recently made a mistake. Scott Larsen, a vocal Quixtar critic, posted some comments about Jody Victor (son of Joe Victor) on the Quixtar BLOG Discussion Forum. It turns out that those comments may have contained factual errors and Deb, participating in the discussion, contributed to the apparent inaccuracies.

When it was clear that Larsen had "retracted" his comments from his AmQuix.info site Deb decided to "simply 'let a dead dog lie'" and did not modify her public comments. That was her mistake.

"Lawsuit-Threatening Letter"
On May 3, 2006, Deb received a "lawsuit-threatening letter" from Jody Victor's lawyer, Mr. Abraham. She didn't receive a phone call, personal note or even an email from the man whose father apparently worked side-by-side with her grandfather. Deb responded to the letter with a public note of her own:

Dear Mr Abraham,

I received your lawsuit-threatening letter today (May 3, 2006); and as you demanded on behalf of Jody and Kathy Victor - I have removed any defamatory statements I may have made regarding Jody Victor's qualification at the Crown pin level. I sincerely apologise to all of you.

You say that Jody acheived qualification as a Crown in August of 1981 by sponsoring 20 Direct Distributor Legs (25% level for at least 3 consecutive months) during Amway's 1980-'81 Fiscal Year. There had been a question regarding this, and you have cleared it up.

I did not respond to Scott Larsen's retraction, assuming that I would simply "let a dead dog lie". I realize now that I should have altered my responses to him at that time, also. So now your letter, and my editing of my comments, will bring the entire subject to the fore. For that I am sorry, but unable to prevent happening.

This has been done well before the deadline of May 10, 2006 - after which the Victors said they would "take any and all legal action available". And I am making this known publicly - since you and your clients "continue to monitor Qblog and other web sites". I only wish to present the facts as you offered them.

Sincerely,
Deb

Question
I'm just wondering why Jody Victor didn't just give Deb a call before getting the lawyers involved? I sent an email to Victor asking this very question but he's not responded.

UPDATE: The copywriter for the IBOAI should be fired! This convoluted, comma-crazed sentence seems to be saying that Phyllis Chesebro was the first AWA Board president:

Phyllis Chesebro, daughter of Walter Bass, the first AWA Board president, now heads the family business, the first to span four generations.

What a mess! And I didn't add any commas. That's four commas in a 22-word sentence. Almost 20 percent of the sentence is commas! Maybe the copywriter was getting paid per comma?

So, I updated my comment about Phyllis Chesebro per Deb's input and I also updated my comments about Walter Bass. These aren't retractions, they're clarifications to the IBOAI site because frankly the person writing the IBOAI copy is overpaid.

I also added a few other clarifications including a link to Scott Larsen's retraction page.

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Internet Retailer Goof?

By QBlog in Quixtar

I was excited to learn from Internet Retailer that Quixtar was tops in April site performance. That's quite an accomplishment. Kudos to Quixtar.

But I did a silly thing after reading about Quixtar's dominance in April — I started thinking. I know, it's crazy but I just can't help myself. I noticed that the "Top 50 Performance Index" chart listed in the article didn't include any April dates. How is "Quixtar tops in April" if the measurement only includes data from March?

Click for full graphic

Very curious indeed. But wait, there's more!

Zappos Delivers Top Site Efficiency
A bit of searching unearthed an article dated April 5, 2006, about Zappos dominating site performance in March. The report included a graph with the same dates as the Quixtar report. Huh?

Click for full graphic

To The Source Batman
Ok, there was obviously something strange happening so I headed to the source of the Internet Retailer article — Gomez.com.

All I could find was a Retail GPI Benchmark for April which does show Quixtar at the top of the Success Rate Rating and in second place on the Response Time Rating. So Internet Retailer just got the dates on the charts mixed up, right? Well...

Click for full report

Notice anything odd about the Gomez chart? Look closely. See it? That's right. It doesn't exactly match any of the Internet Retailer charts. In fact, while Zappos is on both charts at Internet Retailer it's missing from the April chart at Gomez. Interesting.

Conclusion
So, now I'm supposed to tell you what conclusions to draw from this little blog post. Well, uh... isn't it obvious? Gomez is lying!

No, seriously I'm just pointing out some odd things at Internet Retailer. I've always been sort of suspicious of the publication because... well, it just seems hokey. That's just my opinion but I definitely get the feeling that something isn't quite right at Internet Retailer. Maybe it's just sloppy reporting that I'm picking up on? What do you think?

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May 22, 2006

Monday Reader Mail: 77

By QBlog in Reader Mail

Today's Reader Mail makes me wonder if Quixtar is a business opportunity or a marriage counselor or maybe even a dessert topping?

name: anonymous
date: April 15, 2006

message: i think the buisness is a wonderful thing and the friends you meet will impact you for the rest of your life.

i think all the people who are complaining about the buisness are the ones who ran and hid with their tails between their legs at the first hint of a storm!

don't bring everyone else down because you weren't strong enough to deal with all the positive and good things that are said about everyone if you would just stop and listen.

i know it has helped my marriage and my self confidence. you negative bloggers need to back off and not rain on the parades of ibos that still belive in a dream! GO DIAMOND!

I think Quixtar is both a business opportunity and a marriage counselor!

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May 20, 2006

QBS - The Big Dream

By Truth in Bumper Stickers

Welcome to the first installment of "Quixtar Bumper Stickers," a new Quixtar BLOG series featuring bumper stickers of our favorite quotes from the Quixtar Motivational Organizations. Each bumper sticker will be posted without comment though your comments are welcomed.

This series does not have a regular publication schedule but all posts are available under the Bumper Sticker category. We encourage you to leave us some of your favorite quotes and slogans, and we might just turn them into a Quixtar Bumper Sticker.

If the dream is big enough the facts don't count

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Domain Names for Sale

By Truth in Miscellaneous

Found a site the other night at work that would give you the value of your domain name if you wanted to sell it. Thought I would have some fun and run a few familiar ones through and see what I came up with:

I know there are more sites that we could do, but I don't want this to be a mile long, so do your own and post them in the comments.

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May 19, 2006

Future IBO?

By QBlog in Humor

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QBlog's Farcical Help Desk - 50

By QBlog in Farcical Help Desk

Every Friday, the QBlog Farcical Help Desk™ answers the Quixtar questions that nobody dared to ask. Additionally, each Help Desk answer is guaranteed to end with some form of punctuation or we'll refund your money. No fooling!


 

Question: I'm so excited that Quixtar is tops in April site performance according to Internet Retailer!
Answer: Yeah. It's a pretty exciting accomplishment to be sure. Did you have a question?

Q: Yes. Can you explain the specific significance of being tops in site performance?
A: Well, it basically means that visitors to Quixtar.com can download an average of 41.99 bytes per second.

Q: Ok. I have no idea what that means.
A: It means that Quixtar is a fast-loading site.

Q: Well, good. I knew it had to be something good because Quixtar was at the top of the list.
A: It's not all so good. Unfortunately Quixtar rated below average in the Quality rating.

Q: Oh. But fast-loading sites are important right?
A: Sure. It's good to have a fast-loading site though this is the first time the Help Desk™ has ever seen such a benchmark. Reports showing site traffic and time spent per visit are some of the more commonly used benchmarks.

Q: How is Quixtar doing in those areas?
A: Not sure about time on pages but overall traffic has been declining for about the last three years.

Q: But it's tops in April.
A: Yes, it's tops in April.


 

Q: I'm in the market for a new car and was wondering if you have any suggestions?
A: Funny you should ask. Quixtar just unveiled a brand new vehicle called the QuixCar.

Q: Really? That sounds cool. What's it look like?
A: It's an all-white car though there are a few brown models available if you know where to look. It has multi-levels, the passengers sit on the bottom level and the driver sits up top. On the bumper you have your choice of Ichthys, with either the word Jesus or the symbol of a crucifix inside.

Q: Awesome! What about the sound system?
A: Oh, it's state-of-the-art. Comes with a 500 disc CD changer pre-loaded with a selection of Quixtar motivational CDs personally selected by Jody Victor. There's also a tape deck for those golden oldies.

Q: Sweet. I'm totally drooling. How about the performance?
A: It's not a fast car but it's very steady. And it has a special feature called Circle Mode that will allow the car to drive around in circles for hours and hours.

Q: I love circles.
A: We know you do.

Q: Where can I buy one and how much does it cost?
A: Well, you can purchase one at Quixtar.com and the price is amazingly low though I must warn you, maintenance costs can be pretty expensive since only Quixtar can do the repairs. One guy spent over $10,000 just to get his brakes checked.

Q: Heck. I can't wait to get my new QuixCar. Anything from Quixtar has got to be good.
A: I'll second that.


 

Q: I'm so depressed. When I do a Google search for Quixtar the first page of results is mostly links to negative websites. Why is that?
A: Well, Quixtar is a large, successful corporation utilizing a non-traditional business method that is sometimes controversial and will naturally attract criticism.

Q: But Quixtar spends lots of money on search engine optimization, word of mouth marketing, search engine marketing, blogging, traditional advertising and supporting worthy causes so I just don't understand why there's so much negativity in search results.
A: It's easy to start a critical website. Most big businesses encounter the same type of negativity. It's the American way.

Q: But I searched for Amazon, eBay, Avon and Newegg and didn't see anything negative on the first page of Google results. And searches for Starbucks, Melaleuca and Dell only return a couple of links to negative sites. Why is that?
A: What about Wal-Mart? Lots of negative about Wal-Mart.

Q: Well, yeah but it is the largest employer in the U.S. and frankly some of the criticism is fair. What about Target? Nothing negative for that company. It just seems like Quixtar isn't doing enough to ensure that curious folks don't run into negative websites and that concerns me.
A: Well, I'm not supposed to tell you this but Quixtar has started a new campaign called "Threaten to Sue All the Critics." Earlier this year the Quixtar execs brought in L. Ron Hubbard as a consultant on how to deal with critics and he advised them to put together a legal task force focused on scaring the critical websites into oblivion.

Q: Isn't L. Ron Hubbard that Scientology dude? I thought he was dead.
A: That's what they want you to think. No, he's very much alive. Lives in a bunker in Colorado with Elvis and Walt Disney.

Q: So, you think this "Threaten to Sue All the Critics" will work?
A: Absolutely. TSAC can't possibly fail with Jody Victor behind it.

Q: Good. I'll sleep better tonight.
A: So will I my young friend. So will I.

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Larsen Gets Slammed

By QBlog in Quixtar

The latest apology and retraction from Scott Larsen as presented by Quixtar's Independent Business Owner's Association.

Quixtar, Inc. has insisted that Scott Larsen and other Internet critics stop circulating false and misleading information that has the potential for harming the entire IBO world and, of course, Quixtar itself. Following is an exchange initiated by attorney James Sobieraj on behalf of Quixtar, Larsen's pretty abject apology, and a follow-up letter from Sobieraj, all of which make it perfectly clear that Mr. Larsen has been allowing his website to be used as a bulletin board for totally unverified and usually false information, regardless of the consequences to others. Read more...

Pet Peeve Alert: Movie critics criticize movies. Sports critics criticize sports. Military critics criticize the military. Internet critics criticize the Internet. Larsen is NOT an Internet critic. He's a Quixtar critic who utilizes the Internet to distribute his criticisms.

Saying Larsen is an Internet critic is like saying Roger Ebert is a newspaper critic because his movie reviews are printed in the Chicago Sun-Times.

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May 18, 2006

LawDawg Says Farewell

By QBlog in Blog News

The guy known as LawDawg exits the exciting online Quixtar conversation. He's leaving his blog up and all his posts are still available on the Quixtar BLOG Forum but he's "retiring" from the discussion.

Take it easy Mr. Dawg.

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I Love "Tapes"

By QBlog in A/QMOs

When my wife was an active Quixtar IBO I tried listening to the tapes and CDs she bought but wound up angry instead of motivated. She heard messages of hope and inspiration while my skeptical ears heard a thirty minute infomercial — the boring kind, not the kind with that chic from "Three's Company."

At the time, my inability to embrace the Quixtar tools perplexed me because I'm one of those talk radio kinda guys. I'd rather listen to three hours of news and talk than a Led Zeppelin marathon.

I was raised on talk radio. My dad would tune in to Paul Harvey while he drove my sister and me to school in his old green Chevy. I fell in love with that oddly staccato voice whining through the tinny speakers barking out "Good Day."

So, it seemed to me that moving from talk radio to tapes would be a natural transition. But it wasn't.

But that's not to say I don't regularly hear inspirational and motivational messages.

Epiphany
As I was mowing the lawn this evening I realized that I probably consume just as much inspirational and motivational content as any "plugged-in" IBO. While the mower was growling I had my iPod Shuffle blasting one of my favorite podcasts into my aging ears (kids, don't try that at home or you'll go deaf) and I felt really, really excited.

Amber MacArthur and Leo Laporte were talking to Stuart MacDonald about the Mesh Conference and I was overwhelmed with feelings of hope and possibility (is possibility a feeling?). I felt motivated to continue with my passions and inspired to participate in similar conferences in the future.

It was then that I had an epiphany of sorts. I reflected on all the podcasts that I regularly listen to and started adding up the minutes and hours that I spend consuming this conversational content and I realized that I probably listen to more messages than most IBOs.

I regularly listen to or watch the following podcasts:

  • Open Source
  • TWiT
  • Inside The Net
  • Buzz Out Loud
  • Diggnation
  • Daily GizWiz
  • Official Lost Podcast
  • Lost Podcast with Jay and Jack
  • Generally Speaking - Weekly Lost Podcast
  • LOSTCasts
  • Get Lost with Scott and Steve (aka MYOKOM w/ SAS)
  • Infected with Martin Sargent
  • Strong Bad Emails
  • Ebert & Roeper
  • QBlog Radio (need to get back in the studio)
  • Quixtar Inside Out
  • On The Media
  • Wait Wait... Don't Tell Me!
  • Rocketboom
  • Security Now
  • Slate Explainer Podcasts
  • The Onion Radio News

There are others I'm forgetting. My point is... well I have a few points (and an opportunity for another list):

  1. Consuming lots of content can be fun
  2. I never paid anything for the podcasts I enjoy
  3. People find motivation and inspiration in different places

So yeah, I guess I sort of do like "tapes" in the sense that I enjoy regularly listening to lots of content. I just don't like the Quixtar tapes. Nothing wrong with that is there?

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May 17, 2006

In Their Own Words - 2

By Xanadustc in Their Own Words

In this little clip, Pam Winters tell us that “We do need a jet, and God will supply all our needs.”

We need a jet and God will provide (BWW151; Badge of Honor)

This is just the type of “give me the goods” theology the BWW system, and arguably some other motivational organizations, use in their tools.

When you have gotten to this level, chances are that God will have given you over to your lusts and desires (as per Romans 1:22-24). Pam does not need a jet any more than Joyce Myers needs another pair of long dangly earrings, but they will probably end up getting what they “need” anyway.

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Andrews Explains Quixtar Tool Problems

By QBlog in Quixtar

Former Quixtar Diamond Andy Andrews explains the problems with the motivational businesses and discusses his efforts to solve those problems. It's more than 17 minutes long but very interesting, especially since he's standing on stage with some empty suits of armor.

This was probably recorded sometime around the middle of 2002 while he was leading Team in Focus.

Most interesting quote attributed to a Quixtar-friendly lawyer:

98% of the people in our organization cannot participate in the income nor can they even know there's an opportunity.

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May 16, 2006

A Call for Reform

By Xanadustc in A/QMOs

I would like to propose a reformation in the Amway/Quixtar Motivational Organizations. This reformation is to call the high level pins into check to determine if their reason for the Motivational Organizations (MO) is primarily for profit or to train the new IBOs. As I've discovered, drawing attention to the profits that are allegedly made in the MO prompts many IBOs to say, “Of course they make money off the tools.

But such candor wasn't always present in most groups. It was only around 2000-2002 and beyond that it became commonplace for MO leaders to admit such profits to downline IBOs. For me it started in the Night Owls and trickled down to the regular teaching level. Prior to that many outright denied making profits from the tools system.

Means To Train?
Some people will point to the system as the means to train your downline. But did you know that according to rule 5.2.4 and 5.2.5 in the Quixtar Rules Compendium, you are not required to utilize any tools system or attend seminars, and rule 5.3.3 says that an IBO can willingly participate in the MO, but they may not be coerced into participating. You are also required to train your IBOs, with the help of the immediate upline Platinum, without necessity of participation in the MO. There is also a clause in rule 7.7 that the tools purchasing must be reasonably related to the sales volume of the business.

Back in 1983, Rich DeVos, the Co-Founder of Amway (now Alticor) released a tape called Directly Speaking to all the Directs, which in today’s Quixtar terminology is a Platinum. In this tape he addressed abuses in the Motivational Organizations, particularly in the area of tape and seminar sales as well as denigrating those who failed to attend them.

Staggering Debt
Nearly twenty years later I will personally testify that the abuses have only gotten worse. My personal loss in BWW alone was over $10,000 during more than three years I was heavily involved with BWW. This was partially my fault, but as a “submissive” (one of the instructions I received in that business) person, I addressed the concern with using credit cards to buy Quixtar products and my cash on the tools system.

My upline Platinum counseled me to use the credit cards because the bonus I would achieve at Platinum would pay all that debt off. I reluctantly followed along. When it got worse, I was counseled by an upline to get a student loan to pay down the credit cards, because my upcoming success would pay all that off. I agree this is not a wise thing to do but I wanted to succeed so I did what my upline counseled.

Shortly after that first tape release, Rich released Directly Speaking II, where he confirmed that:

  1. The abuses were continuing
  2. Involvement in the motivational organizations do not help you build and Amway business better
  3. If you were involved in an MO, it would cost you a lot of money
  4. The tools business may be an illegal pyramid business
  5. The curiosity approach taught in the MO then, and even now, is unethical

However, the tapes and seminars continue to this day.

Costs
I have detailed the costs and uses of the Motivational Organization known as Britt World Wide (or BWW) on my Standing Order Tape website. Others will confirm that many of the Motivational Organizations are essentially the same. The main problem is that the involvement in the MO can sometimes cost the IBO an excess of $2,000 a year (a very conservative number). The average Quixtar income is less than $1,400 per year. The basic breakdown of tools sold follows (I have not included the prices because they vary from one MO to another):

  • Tapes
  • Books
  • Seminars
  • Website & website access
  • Communication tools

Many of the tools are part of a weekly or monthly program that continues until the IBO files a termination request.

The Reform
It is easy to see why the sales of tapes took place in the 80s, as cassettes were the most convenient way to market the exchange of information. However, we are now in the Internet age where we can distribute information must faster, cheaper and more efficiently.

My proposal has six parts:

  1. All persons directly profiting from tool sales must report those profits to the corporation (Quixtar) to ensure that said profits are proportional to the volume in that business.
  2. Eliminate the sale of tapes and CDs. A very small annual fee could easily pay for unlimited access to MP3 files of ALL speeches within that organization.
  3. Books be kept to a minimum. Since it's arguable that Self-Help industry books are very similar and repeat the same concepts ad infinitum, keep the reading list short.
  4. Keep the seminars as they are currently billed but put all the proceeds into a common system fund and reimburse attending IBOs at the end of the fiscal year with the remaining funds.
  5. Determine effectiveness of the “IBO Websites.”
  6. Evaluate the need and cost effectiveness of the communication systems

I understand that many people may not like these ideas, but again, we must ask the question: Are these systems designed to help people or to make money by robbing them for the exchange of tapes and books which repeat the same message over and over?

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May 15, 2006

Monday Reader Mail: 76

By QBlog in Reader Mail

This installment of Reader Mail deals with one of those hot-button issues, homosexuality. The author writes in wanting more information about how Quixtar relates to his particular lifestyle. As always, my comments appear in bold.

name: DM
date: March 20, 2006

message: HI Qblog,

I am a new IBO, recently joined in February and am very excited about the quixtar opportunity.

I am under Doug Weir between us are four upline/downline. I believe in the business and am part of one of the fastest-growing IBO teams anyone has seen (at least they are saying so). I am a 22 year old college student at a prestigious university and the business model made sense to me because of courses I had taken in Economic Geography, and as an Economic Development major, it all made complete sense to me.

That's great!

I also liked how many of my team members are Christians (not all) and that was something we have in common. However, something that concerns me is that I feel slightly uncomfortable about the relationship between this business team and my sexual orientation.

I just read a thread about gays/lesbians in quixtar and something about a Yager individual on your blogsite. I have been to one Weir team meeting & Nightowl meeting and although I did not hear any specific condemnations of homosexuality at the meetings, there were a few moments when I felt quite tense as it seemed that the speakers wanted to speak out against homosexuals but couldn't seem to muster up the courage to outright say anything specific.

However, there were several instances of innuendo concerning a negative feeling towards homosexuality. One speaker used the words "disgusting" and "sick" when beating around the bush about something he couldnt seem to say outloud. He also continuously repeated the phrase, "you can live any way you want to, thats youre choice... but". It seemed cowardish to me.

My limited experience with Quixtar was with people who believe homosexuality is a sin though I have encountered a few individuals online that are very friendly to the gay lifestyle.

Aside from those uncomfortable moments, I did meet one gentlemen who seemed to be flirting with me and who set off my "gaydar". So I felt encouraged that there was at least one other person there that shared my position.

I'm not sure setting off one's "gaydar" is the same as sharing a position. Gaydar isn't 100% accurate.

I also did a search for quixtar on myspace.com which has a very high ratio of glbt members. I found a few quixtar groups, but none of them had openly gay members in the groups. I just cant help but feel concerned about the erie feelings I have experienced with the BWW team.

It seems to me that the mistake that the recruiters are making is that they seem to be assuming that by recruiting Christian IBO's that they are creating a heterosexual empire, when in fact, many many homosexuals are Christian.

Really? I did not know this.

Personally, I have not discussed my sexual orientation with anyone in Quixtar simply because no one has asked. I am not ashamed of my sexual orientation and I have no problem discussing it with confidence and authority. I am the type of person who chooses not to acknowledge morons and stupid people who say stupid and moronic things. When people talk about homosexuality as if they know something about it when they do not, I simply do not acknowledge them. I suppose that by not engaging in a conversation with them about it when they bring it up that they then assume that I am heterosexual or that I am ashamed of my orientation.

Although I have no intention of allowing a controversy over my sexual orientation hinder me of growing my business and eventually going diamond, I still feel concerned and feel that it is appropriate for me to act with some caution when concerning this matter.

As far as my personal goals are concerned, I hope to find my soulmate/partner in this business and to go all the way to executive crown and perhaps get married if the laws of my country allow me to do so someday. I also believe in the sanctity of marriage. I believe that when you make a commitment, that commitment is for life.

Can't argue with that.

Thankyou for your time. Any updates on this topic will be greatly appreciated.

Unfortunately I don't have any updates. From my observations this isn't a topic that gets much attention in the Quixtar groups. It probably should but it doesn't.

Do any site visitors have feedback about your experience with homosexuality in Quixtar?

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May 14, 2006

Prospecting - Revisited

By QBlog in Humor

I posted the audio clip to a prospecting scene from the movie Garden State and now, thanks to YouTube, I can share the video.

The video looks a little funky because of the aspect ratio but it's still enjoyable.

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Bruce Anderson Returns

By QBlog in Arbitration

Scott Larsen reports that former Quixtar Diamond Bruce Anderson has brought his site back online after taking it down for a while. If you're not sure who Bruce Anderson is you can read my comments from April, 2005, or follow Larsen's detailed report.

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May 13, 2006

Quixtar Traffic Declining

By QBlog in Quixtar

When I was first introduced to Quixtar a few years ago it was promoted as one of the most visited E-commerce sites on the Internet. Site traffic was excitedly mentioned in most of the meetings I attended with my wife during her involvement as a Quixtar IBO.

In the past I've questioned the validity of those numbers and I have always wondered why a virtually closed site was comparing itself to the likes of eBay and Amazon.com.

I mention all this to point out that the issue of site traffic originated with Quixtar, not me. One could argue that site traffic is irrelevant for a business like Quixtar but the folks in Ada, Michigan never made that argument. That's why I found Alexa's report on Quixtar's declining site traffic to be so interesting.

The report begins at the end of 2001 and shows a steady decline through the beginning of 2006. It should be noted that Quixtar reported sales growth each of those years except for 2005 when it posted the first "drop in sales" since launching in 1999. Alexa also shows all-time lows in site traffic during the middle of 2005.

Some have speculated that the declining traffic could be the result of increased activity on LOA sites. Whatever the reason, it's now clear why I don't hear IBOs boasting about Quixtar's online traffic.

I'll also point out that Alexa produces its stats from public information and doesn't have the same type of precision in its reporting as services like Nielsen NetRatings. Alexa works best when tracking trends rather than specific site stats. And the trend for Quixtar appears to be declining.

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May 12, 2006

QBlog's Farcical Help Desk - 49

By QBlog in Farcical Help Desk

Every Friday, the QBlog Farcical Help Desk™ answers the Quixtar questions that nobody dared to ask. Additionally, each Help Desk answer is guaranteed to end with some form of punctuation or we'll refund your money. No fooling!


 

Question: Where the hell has the Help Desk™ been? I've been trying to get through for weeks!
Answer: The Help Desk™ was helping Wolfgang Petersen make final edits to Poseidan.

Q: Really? A Help Desk™ was editing a summer blockbuster with acclaimed director Wolfgang Petersen? Why?
A: Well, I would say we acted in an advisory capacity while he was doing the editing. He asked us to advise him because of our association with Quixtar.

Q: Why? Is he into Multi-Level Marketing or something?
A: Oh, no. Not at all. He wanted people who understood what it was like to try to survive inside a sinking ship.

Q: Gotcha.
A: Thanks for the nice setup by the way.


 

Q: That dang Quixtar Blog thang looks all silly and such. What happened to them big ole glaring eyes? And what's with this gosh-dern spikey headed orange guy?
A: It's a redesign. Haven't you been reading the messages about the new design?

Q: I tried but my glasses was busted and now I keep getting distracted by the porn.
A: The porn? There's no porn on the new Quixtar BLOG.

Q: Well what's that... oh MY GAWD! Help me!
A: What? What's wrong? What happened?

Q: My eyes! I just saw something that is burning my eyes. I can't look at that horridness. Foul! Curses!
A: Dude. Just don't look at the porn. Close your browser. You're not on Quixtar BLOG. You must have accidentally gone to some other site. What does it say in the address bar?

Q: Uh... hard to concentrate wilst this abomination is on my screen. Lessee. Address bar says some webraw something. Webraw.com.
A: Hmmmm. Well that seems to be the right site. Can you describe what you're seeing?

Q: It's some woman talking to a group of people at a podium or...
A: Ah, you're at the right site. That's Birdie Yager on YouTube.

Q: Well, make it stop. It's hurting my brain.
A: Close the browser and step away from your computer.


 

Q: Hi. I'm looking for a lawyer. I have special needs and need a ruthless lawyer. One who won't bat an eye at threatening a grandmother with a defamation lawsuit. Got any suggestions?
A: What kind of needs do you have for such a ruthless lawyer?

Q: Let's just say that I don't have to watch the Sopranos to know about mob life.
A: Oh, ok. Well, have you tried Jody Victor's lawyer, Mr. Abraham. He loves sending threatening letters to grandmothers. Even ones related to the founders of his employer's business.

Q: That's pretty low-down. I'll look him up. Thanks.
A: Well, I'm not sure how low-down it is. I mean he is a lawyer after all.

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Supreme Court Ruling Explained

By QBlog in Arbitration

The Missouri Supreme Court issued its opinion and ruling in Nitro Distributing, Inc., et. al. v. Jimmy Dunn et. al. on May 2, 2006. The case is about whether two motivational businesses owned by Amway distributor Ken Stewart - "Nitro Distributing" and "West Palm Convention Services" - have to arbitrate their lawsuit against several other Amway distributors and their respective "tools" businesses - primarily those involved in an Amway "Line of Affiliation" or "system" called Pro-net.

The defendants are: Jimmy Dunn; Jimmy V. Dunn & Associates, Inc.; Hal Gooch; Gooch Support Systems, Inc.; Gooch Enterprises, Inc.; Bill Childers; TNT, Inc.; Tim Foley; T&C Foley, Inc. ; Steven Woods; G.F.I. International, Inc.; Parker Grabill; Grabill Enterprises, Inc.; Pro Net; Don Brindley; Global Support Services, Inc.; Pro Net Global I, Inc.; and Robert A. Blanchard.

Nitro was Stewart's tape, video and book company. West Palm was the business through which he provided speaking services at conventions.

No Confusion
This case should not be confused with Stewart's individual case in the Missouri federal court against Amway and Quixtar, in which United States District Court Judge Richard Dorr ruled that Amway's arbitration agreement was legally unenforceable because it was procedurally and substantively unconscionable. Judge Dorr's order is still on appeal in the federal Eighth Circuit Court of Appeals.

This case involves Stewart's tools businesses as the plaintiff instead of Stewart himself, and it's against other tools kingpins and their tools businesses from the system of which Stewart's tools businesses were once a part - ProNet.

Importantly, unlike the case in Judge Dorr's court, this opinion does not deal with whether the Amway/Quixtar arbitration agreement is legally valid. It mainly concerns whether the different parties can sue to enforce the Amway arbitration agreement as third parties (they can't, said the Missouri Supreme Court) and whether some of the defendants could enforce a different arbitration agreement that was part of the ProNet contracts (they could, held the court).

No Legal Basis
The Missouri Supreme Court concluded that there was no legal basis for any of the parties to enforce the Amway/Quixtar arbitration agreements against Stewart's tools businesses because the tools businesses did not sign the agreements with Amway and, therefore, they weren't legally bound to arbitrate under that agreement. The court also decided that since the suit wasn't against Amway and wasn't brought by an Amway distributor, the Amway arbitration clause wouldn't apply to the lawsuit anyway.

However, the court found that there was another arbitration agreement that came about as part of the formation of ProNet. With regard to the ProNet arbitration agreement, the court held that West Palm never signed it and could not be bound by if for the same reasons West Palm was not bound by the Amway arbitration agreement. On the other hand, Stewart did sign the ProNet arbitration agreement in the name of Nitro. Thus, the court concluded that Nitro was bound by the ProNet arbitration agreement. Not all of the defendants had signed the ProNet agreement though - only Gooch, Childers, Foley, Woods, Grabill, Dunn, Pro Net, and Blanchard.

The court concluded that Nitro's lawsuit against Gooch, Childers, Foley, Woods, Grabill, Dunn, Pro Net, and Blanchard had to be dismissed because of the ProNet arbitration agreement, but that West Palm's claims against all of the defendants could go forward in the trial court, as could Nitro's claims against the non-signatories to the ProNet agreement, Gooch Systems, Gooch Enterprises, TNT, Pro Net I, Global and Brindley.

End Result
The end result: the majority of the case will go back to the trial court as a regular lawsuit, while a small part will be resolved in arbitration. Obviously, this opinion does not have as wide an impact on the arbitration agreements as the federal case involving Amway/Quixtar itself. However, it could be very important, particularly if discovery reveals information about how these tools systems operate.

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May 11, 2006

Little Bird Told Me

By QBlog in Quixtar

A lengthy video of Birdie Yager, Dexter Yager's wife, talking to a group of Amway folks.

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May 10, 2006

In Their Own Words - 1

By Xanadustc in Their Own Words

This is a new weekly post where we will get to hear some speakers from BWW and possibly other Motivational Organizations in their own words teaching how to be successful.

In Larry’s Own Words (Clip from BWW151: The Badge of Honor) (MP3, 103 Kb)

In this clip, Larry Winters seems to take the world and reduce it to two forms: the smart (the ones in the business) and the stupid (who “can’t count to six”). Let us examine the three things that Larry suggests:

Count to Six
First, for those who don't know what "count to six" means, Larry is referring to getting six people to the Platinum level (7500 PV for six months in the fiscal year) which will make you a Diamond. Now, I can count to six perfectly well, that does not mean I am going to get six people who will totally cooperate and go Platinum.

Do 100 PV
Every product you buy from Quixtar has a point value associated with it. The amount of PV you have will determine your rebate, from 3 – 25 percent. This does not include the fact that many of the products are very expensive (but this might depend on where you live.). If I just have to buy 100 PV, that might be doable, but if I am going to follow the Quixtar rules and sell 70 percent of what I buy, I might run into problems (See update below).

Ask somebody if they want to make extra money
This is referred to as Contacting. I analyzed a contacting tape on SOT blog and Drew has talked about contacting on his podcast. I know that I did this all the time, but many people are not very open to have a total stranger walk up to them and offer them a business deal. It seems desperate if not weird.

UPDATE: In the September 2005 rules compendium, the 70% Rule only included sales, but in the November 2005 rules update, personal use is now consider here. The compendium availble from Quixtar does not reflect this change, but under IBO business management section, we can find the update:

4.18. Seventy Percent Rule: An IBO must sell, at a commercially reasonable price, at least 70% of the total amount of products he or she purchased during a given month in order to receive the Performance Bonus or recognition due on all the products purchased; if the IBO fails to sell at least 70%, then such IBO may be paid that percentage of Performance Bonus measured by the amount of products that can be shown to have been actually sold, rather than the amount of products purchased, and recognized accordingly. For purposes of this Rule, products used for personal or family consumption or given out as samples are also considered as part of the sales volume. (Emphasis mine)

This can help Larry's case here, but never-the-less, let us not forget about the member client rule:

4.22. Member/Client Volume: In order to obtain the right to earn a Performance Bonus on downline volume during a given month, an IBO must (a) make not less than one sale to each of 10 different retail customers (e.g., Members or Clients); or (b) have at least 50 PV of sales to any number of retail customers; or (c) have $100 at Member/Client Volume Cost. Member/Client Volume Rule Cost shall mean the published IBO cost for all items or any orders sold to a Member or Client, or the actual price paid to Partner Stores by Members or Clients. If applicable, Partner Store Member/Client Volume Rule Cost is applied in the month when the Corporation credits Partner Store Volume to an IBOs business.

Clarifiying points: You still need to somehow get rid of 70% of your inventory, but it does not matter how anymore, and if you can not do 100 PV, than Larry still says you are stupid. Sorry Larry, I must be stupid because I choose to buy my products a lot cheaper elsewhere.

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Ron Puryear's Stupid Test

By Preston in A/QMOs

stu·pid (stū'pĭd, styū'-) pronunciation
adj., -er, -est.

  1. Slow to learn or understand; obtuse.
  2. Tending to make poor decisions or careless mistakes.
  3. Marked by a lack of intelligence or care; foolish or careless: a stupid mistake.
  4. Dazed, stunned, or stupefied.
  5. Pointless; worthless: a stupid job.

The True North CD "Prosumer to Diamond in Two Years" by Ron Puryear (WWDB156CD) features Ron Puryear, leader of WorldWide Dream Builders, explaining that he has a test (mp3) to judge the intelligence of a person. He calls it the "stupid test."

This "teaching" is "CORE," "True North" - the pinacle of the teaching WWDB offers. Are we really left to believe that WWDB has nothing more exciting to offer in its training system that can potentially cost thousands of dollars a year than simply insulting people who decide Quixtar isn't for them?

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Quixtar Backbone Project - Update

By QBlog in Backbone Project

Quixtar BackBone Project

About This Project
The Quixtar Backbone Project is the result of an idea I had back in 2004. The main goal of the project is to initiate a dialogue with regular, hardworking IBOs by reaching out to what I refer to as the "Quixtar Backbone" (project details). The first person to participate was Sharon Schlesinger. I recently checked in with her to see how she's been doing since being part of the Project. Here's her response:

Dear Fellow Travelers,

Since I participated in the "Backbone Project," I have learned much more about the business of Quixtar, its products and the opportunity it represents. QBlog asked me if I would give an update, and I am pleased to respond to his request.

I have continued to read this blog and many of the forum threads. The cast of characters in the forum has changed somewhat; I think there must be some combat fatigue that sets in causing individuals to disappear after a time in the trenches. Maybe a better metaphor would be that of tag wrestling teams. In any event, I have learned from this site, and I thank all of you who have helped further my education.

I spent 20 years in Wall Street and 20 years owning and operating retail stores so I was not inexperienced in business when I registered as a Quixtar IBO. Even though Quixtar appeared to be a bit of an "odd ball" as a business model, I felt there was an opportunity in there somewhere. The people I recruited early on were friends who were willing to "look for the pony" with me.

A little over a year ago, our team's leaders introduced the Apprentice Leg concept. Simply stated, it advocates building a single deep leg as a team effort while new IBO's are learning the business. Once they have created a PV pathway with a number of members and clients, learned how to present the business opportunity to prospects, registered at least 4 new IBO's in the Apprentice Leg, assisted in getting them started in the business and have experienced all the product education clinics, they are encouraged to start a second leg.

The Apprentice Leg concept has resulted in a more stable, secure base of IBO's. New IBO's can proceed at their own pace. They receive much more training and support from other team members than in our previous organizational structure. Out of this approach has come group PV pathways, with two or more IBO's pursuing the marketing of a product or service together. One PV pathway has seven individual IBO's working together to market an array of products. This last group is looking for specific skill sets to invite into the business they have created.

As for the "system". My team is left pretty much to their own devices, although our Founders Platinum is always willing to give his advise or to provide training sessions of which he is a master.

Of approximately 2 dozen IBO's, I know of only one that is on the standing order system. Once my sponsor bought a carefully selected group of tapes that everyone shared, but as a rule, there is little tape expense. I find the monthly seminars ($18) very useful, because one-half the session is devoted to product education and ideas of how to market an individual product. All of the products are on display at the seminar, with demos going on and experts explaining value. The remainder of the session is given over to guest speakers, some of them are very, very good, and some of them are not.

Our team has a web site that costs $25 to register. No monthly fees thereafter. It has downloads of speeches we may have missed, marketing tools for new products, training tools, all free.

We carpool. We're installing video conferencing. We pinch pennies. Listen to this statement very carefully, my friends: my sponsor is supported by her member/client retail business. I'm not going to prove it to you nor will I ask her to prove it. But I know this to be true, because I have watched her build the business and I am familiar with her situation.

Do I live on my Quixtar income? No, but I don't live on the proceeds of my retail store either. Do they add to my overall income? Yes. Is everyone on my team making a profit? No. Are they spending a lot of money? Absolutely not. More of our team's volume is member/client than personal.

I always looked at this business in terms of what service or product could be marketed. The idea of redirecting your shopping to the internet and teaching others to do the same didn't sound like a business unless one could offer a lower cost alternative. Obviously Quixtar isn't that. However, it does have some very interesting and appealing products.

I know that you build a business one customer and one sale at a time. There really isn't a short cut. I don't sell exclusive products in my retail stores. And, my prices are not even the lowest. So why do people shop in my store? Because I give them service, I'm friendly, I remember their names, their children, I talk and I listen and I've trained my employees to do the same. In my Quixtar business I have some products (not all of them) that I personally like very much and arguably have a valuable difference that makes them very salable. Can I teach others to build a sweet little business that can support them? Darn tootin'.

Sharon Schlesinger

If you're an IBO and would like to participate in the Quixtar Backbone Project send an email to quixtar@webraw.com and put "Quixtar Backbone" as the subject.

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May 9, 2006

Client or IBO

By Truth in A/QMOs

During my involvement with the Quixtar business the majority of my time was focused on contacting new prospects, showing the plan, and registering new IBOs. On occassion I would see a chance to get a new client or member purchasing product. Of course in the midst of getting a new customer I would always attempt to show them the plan to become an IBO. Looking back I wonder why the registration of clients and members was not stressed as much as the registration of new IBOs.

Each week my upline Ruby would hold an accountability conference call, which I always ensured I "qualified" for. On this call we would get some "teaching" from our upline Ruby, and every IBO would go down their list of accountability for the week.

This list would include how many contacts were made, how many appts were set, how many plans were shown, and of course how many IBOs registered. We never discussed how many new clients or members were signed up. The impression given to me was that client and member registration was plan B if you couldn't get them as an IBO.

In terms of running a business shouldn't clients and members be just as important to a Quixtar business as any new IBO registration? Considering that client purchases give an IBO retail profit plus personal PV. And member purchases add to personal PV so it only makes sense that clients and members are a vital part of a profitable Quixtar business.

So, why then do many motivational organizations not stress member/client registration and sales as much as they do IBO registration? Why do the majority of tapes/CDs I'm familiar with discuss business building from an IBO registration standpoint? Why do the majority of speakers I've heard at functions talk about contacting, showing the plan, and IBO registration as their major topics?

Finally, why are so many IBOs taught to try and convert happy members and clients into registered IBOs? I can't help but think that more IBOs would be reporting profits at the end of the year, instead of losses, if they spent an equal amount of time building their client/member base and their IBO structure.

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Ashamed of Quixtar?

By Xanadustc in A/QMOs

As I have mentioned on a recent post on the Standing Order Tape blog, Quixtar rules prevent an IBO from using the Quixtar name on a business website or other large-scale media that is open to the public. But I question whether many IBOs are becoming ashamed of the name Quixtar as they did the name Amway. Rich DeVos spoke to this issue on the Directly Speaking tape:

Number Seven: I will not hide behind group names.
We are proud of our group and like our own identity, but we will not use it as a subterfuge to say we are not in Amway. This really is a hot one, folks. People are saying, "Oh, we're in X-Y-Z organization. We're not in Amway." If you are signed on an Amway application form and if you have anyone you sponsor who's linked to you, then you are in Amway. I don't care what other name you want to run under: By implication, you are saying you're not in Amway: If you are asked, then you must say, "I am in Amway." And if you're not willing to say that, then don't send me any letters.

In fact, much of the Britt World Wide (BWW) team calls BWW their main business. Even still, many tapes on contacting still use the curiosity approach despite what Rich had to say about that approach (MP3).

For a modern example of this Quixtar “hide and seek," I found a BWW PDF file with details about how to remove all Quixtar references from the BWW One Domain IBO website.

Are they ashamed to be in Quixtar?

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Quixtar Tool Bonanza!

By QBlog in Humor

Scott Larsen put together this little Quixtar Tool video.

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May 8, 2006

All the World a Stage

By Truth in A/QMOs

When someone first gets introduced to Quixtar he is often unaware of anything that goes on behind the scenes of this business. Everything he sees can be taken for granted as a genuine experience. For the most part he is unaware of the act that some IBOs put on just for him.

A while back I did a couple of Podcasts on this very subject. One of those Podcasts referred to the Open Meeting and the other was about Contacting.

In the Open Meeting Podcast I went into great detail about how many IBOs are taught to "create" a certain atmosphere in the room for their prospects. Sometimes leaders try to ensure that the room has nothing but happy smiley faces, and that everyone is engaged in a "positive" conversation.

I also talked about the deception that can take place when one IBO introduces a prospect to another IBO. In those types of conversations I was taught that no matter how bad that person is doing in business I was to tell the prospect that their business is "a smokin business," and that they are on "the fast track" to success.

In Contacting I discussed an equal amount of deception that takes place when some IBOs try to get contact information from a prospect. There is often an "Ice Breaker" that you could use, and in my group the most popular was to go up to a potential prospect and say "Hey, you look familiar! Do I know you from somewhere?" We said that even though we clearly had no idea who this person was.

Questions for you
So the question becomes are the Quixtar IBOs who practice the methods I discussed above deceptive to a fault with their prospective IBOs? Are they just putting on an act for them, that leaves the prospect in the dark?

Of course if these practices are seen as highly unethical, the ramifications of that spread to those IBOs who are not being deceptive, which in my opinion should outrage those IBOs.

But, could it be that many Quixtar IBOs are putting on no more of an act, or deception then the rest of the business world? If so, show some comparisions to the examples I gave above.

Also, does deception have a place in the business world, and what are its limits?

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Monday Reader Mail: 76

By QBlog in Reader Mail

This Reader Mail was certainly inspired by last week's post analyzing Quixtar prices. As you know, I'm not all that concerned with the price of the Quixtar products but obviously it's an issue with others like Brian.

name: Brian
date: May 4, 2006


message: Funny you write about the pricing system. Being as my wife (soon to be ex) is big into Quixtar, and I am very much NOT into Quixtar, I've done a lot of compariosns, like you said though, it's a different area, so prices are somewhat different.

We spent $54 on laundry detergent, and Dish Soap...that was it $54 for both those items, which would have runus maybe $20 for the same supply at a grocery store. When she was in charge of the budget, and directing a lot of cash into Quixtar for the house, we came up short EVERY month. We bounced checks, etc, etc.

When I took over the last 3 months we've had between $500-900 left free at the end of the month, and I'm no financial wizard.

90% of th products are horridly overpriced, and when you add in taxes, and shipping it gets ridiculous.

It comes down to payihng $1.50 for a 24 oz XS energy drink, or .79 for a 32 oz Powerade.

One thing I've also noticed about the people in Quixtar is that they always tried to tell prospective IBO's they did comparison shopping...and they did but they ALWAYS went to the highest priced stores possible, so the prices looked closer.

Anyway, keep up the great work.

The biggest indicator of whether or not Quixtar prices are competitive is how well they sell to non-IBOs on the open market. If the only people who see value in a case of XS are the IBOs who claim that self-consumption as revenue then it's possibly a poorly priced product. However, if non-IBOs are clamoring for the drinks then it's a good indication that the price is competitive.

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