October 01, 2012
News in Brief, October 2012
Amazon Herb Co. Merges with TriVita Inc.
Michael R. Ellison, CEO and Founder of TriVita Inc., announced that final documents were executed to officially merge Amazon Herb Co. (AHC) with TriVita, a 13-year-old international wellness company based in Scottsdale, Ariz. AHC was founded in 1990 by John Easterling to help the world recognize the health benefits of Amazon Rainforest botanicals, and now Easterling and his wife, four-time Grammy Award-winning singer and actress Olivia Newton-John, will continue to work directly with TriVita post-merger to advance the company’s wellness mission, offering a full spectrum of quality natural health products and skincare formulas to consumers around the world.
Having spent the last 22 years in the Amazon Rainforest and building AHC, Easterling was looking for the perfect company with which to ally, and he found that in TriVita. Moving forward, Easterling will create new product formulas for use in TriVita’s global media efforts.
Founded in 1999, TriVita distributes superior-quality wellness products to 14 countries worldwide with regional corporate offices in Sydney, Australia; Hong Kong; and Vancouver, Canada. TriVita expanded into 10 new countries in 2011.
Inc. Magazine Unveils the Inc. 500
Inc. magazine has announced its 31st annual Inc. 500|5000, an exclusive ranking of the nation’s fastest-growing private companies. The list represents the most comprehensive look at the most important segment of the economy—America’s independent entrepreneurs.
Direct selling companies included in the list were Stella & Dot at No. 57, J. Hilburn at No. 221, Scentsy at No. 516, It Works! Global at No. 662, YOR Health at No. 1220, Ambit Energy at No. 1305, Initials at No. 1555, 5LINX Enterprises at No. 2900 and Isagenix International at No. 4951.
Started in 1982, the Inc. 500|5000 has become the hallmark of entrepreneurial success.
In order to make the cut for the 2012 Inc. 500, unveiled in the September issue of Inc., companies had to have achieved a minimum of 770 percent in sales growth. The Inc. 500’s aggregate revenue is $15.7 billion, with a median three-year growth of 1,431 percent. The companies on this year’s Inc. 500 employ more than 48,000 people and generated over 40,000 jobs in the past three years.
Founded in 1979 and acquired in 2005 by Mansueto Ventures, Inc. is the only major business magazine focused exclusively on CEOs of fast-growing, private companies.
Avon One of Top Global Green Brands
Avon has maintained the No. 37 spot on Interbrand’s 2012 “Best Global Green Brands” list and is the only direct selling company in the ranking.
For the 2012 rankings, Interbrand, the world’s largest brands consultancy, partnered with Deloitte Touche Tohmatsu Limited’s Sustainability Services Group.
The ranking reflects Avon’s ongoing commitment to sustainability. In the 2012 Best Global Green Brands report, Interbrand authors noted that, despite turbulent times, “The brand remains true to its ‘Hello Green Tomorrow’ campaign, which aims to help end deforestation,” as well as other sustainability efforts (including enhancing and creating green buildings and decreasing global paper consumption). Avon’s latest Corporate Social Responsibility Report, “The Beauty of Doing Good,” is also highlighted.
The ranking also noted that Avon’s performance exceeds the perception, meaning the company is doing more—and better—in sustainability than many people may realize.
The nominees were drawn from Interbrand’s annual Best Global Brands report, which ranks the world’s 100 most valuable brands. Companies were evaluated based on their performance in the sustainability arena and the public’s perception of their environmental efforts.
In related news, Avon recently announced that the Avon Hello Green Tomorrow project has to date awarded a total of $1 million to The Nature Conservancy and World Wildlife Fund to help end deforestation. This latest contribution brings total Hello Green Tomorrow funds raised to over $4.5 million since the program was launched in 2010.
Medifast on Fortune’s Top 100 Fastest-Growing Companies List
Fortune announced that Medifast, a manufacturer and provider of clinically proven, portion-controlled weight-loss products and programs, is ranked 46th on the 2012 “100 Fastest-Growing Companies” list. The full list and related stories appear in the Sept. 24, 2012, issue of Fortune.
According to Fortune’s report, over a three-year average, Medifast realized 40 percent revenue growth, 59 percent profit growth and a 20 percent total return. For fiscal year 2011, revenue increased by 16 percent over the previous year to $298.2 million.
Medifast first appeared on the list at No. 29 in 2009, then rose to No. 5 in 2010 and slipped to No. 46 in 2011. It is the parent company of direct seller Take Shape for Life.
To qualify, a company—domestic or foreign—must be trading on a major U.S. stock exchange; report data in U.S. dollars; file quarterly reports with the SEC; have a minimum market capitalization of $250 million and a stock price of at least $5 on June 29, 2012; and have been trading continuously since June 30, 2009. Companies must have revenue and net income of at least $50 million and $10 million, respectively, for the four quarters ended on or before April 30, 2012, and have posted an annualized growth in revenue and earnings per share of at least 20 percent annually over the three years ended on or before April 30, 2012.
Companies that meet these criteria are ranked by revenue growth rate, EPS growth rate, and three-year annualized total return for the period ended June 29, 2012. (To compute the revenue and EPS growth rates, Fortune uses a trailing four quarters log linear least square regression fit.)
AdvoCare Continues Support of Service Members and Operation Homefront
With the school year about to begin, Texas-based AdvoCare is stepping up its support of Operation Homefront, an organization that provides emergency financial and other assistance to families of service members and wounded warriors.
The health and wellness company held a Success School Conference in Fort Worth, during which independent distributors collected more than 1,400 backpacks and raised more than $27,000 from a Chocolate Mocha Meal Replacement Shake promotion and AdvoCare Accessories sales and donations, all of which will benefit Operation Homefront.
Iwonne Herrera Salvador, Director of Corporate Relations for Operation Homefront, notes that back-to-school expenses can be a very real challenge and a costly venture for military families. But through donations from companies like AdvoCare, families experiencing hardships are able to take care of some of these needs.
This is the third year that AdvoCare has stepped forward to help Operation Homefront. The company is on target to once again surpass its Platinum-level commitment of $250,000.
AdvoCare has also recently donated product packages to Operation Homefront for 2011 Marine Corps and Air Force Marathons. Freedom Walks took place in communities across the United States in September.
Herbalife’s Gerry Holly Receives Lifetime Achievement Award
Nutrition Business Journal (NBJ) recognized Herbalife’s Gerry Holly with a Lifetime Achievement Award at its recent 15th annual NBJ Summit in Dana Point, Calif.
For more than 50 years Holly, currently Senior Vice President Global Operations at Herbalife, has been a driving force behind many aspects of manufacturing supplements. Although he has worked at major companies including Herbalife, his expertise in manufacturing has benefited a significant number of companies throughout the nutrition industry.
Herbalife was also honored with NBJ’s 2011 Business Achievement Award for Growth – Large Company.
Nominations for the 2012 NBJ Business Achievement Awards will be accepted this month at www.newhope360.com/nbj.
NBJ is a publication for the nutrition, natural, organic, dietary supplement and integrative medicine industries. NBJ’s Business Achievement Awards give recognition to the industry’s biggest leaders who have made significant impacts in the fields of health, wellness and nutrition.
Mary Kay’s Pink Cadillac Turns 43
Introduced when Mary Kay Ash requested pink as the color of her new Cadillac in 1969, the pink Cadillac created the model Career Car program for her dream company. In 1969, the top five independent sales directors earned the use of a 1970 Cadillac Coupe de Ville.
Today more than 19,000 pink Cadillacs have been in the hands of Mary Kay independent beauty consultants. Currently, there are more than 1,200 Mary Kay pink Cadillacs on the road nationwide.
The pink Cadillac is a coveted incentive awarded by Mary Kay. The modern-day Cadillac comes in pearlized pink—a color unique to the Mary Kay Career Car program. Other cars offered within the program are the Cadillac Escalade Hybrid, Chevy Malibu, Toyota Camry, Chevy Equinox and the newest addition, the Ford Mustang.
Founded in 1963, Mary Kay is one of the world’s largest direct selling companies with high-quality skin care and color cosmetic products being sold by more than 2.4 million independent beauty consultants in more than 35 countries around the world.
Stream Energy Product Green-e Energy Certified
The Center for Resource Solutions announced that Stream Energy’s new renewable energy certificate (REC) product, “Stream Energy Clean Nation REC,” is now certified by Green-e® Energy. Stream Energy joins the growing network of renewable energy providers that offer products certified by Green-e Energy, the nation’s leading certification and verification program for renewable energy.
The company is sourcing the renewable energy for Clean Nation Renewable Energy from wind facilities located in the United States and offering it to residential and commercial customers nationwide. These customers will support currently available renewable resources and growth of the program will aid in the development of new renewable resources in North America.
Green-e Energy provides independent, third-party certification to ensure that certified renewable energy meets strict environmental and consumer protection standards.
In conjunction with the rollout of this new clean energy initiative, Stream Energy announced that the firm will be offsetting 100 percent of its own corporate electricity usage through the purchase of renewable energy certificates.
Founded in 2004 by Rob Snyder, Stream Energy is a Dallas-based energy company that provides service to hundreds of thousands of customers, including low-cost electricity and gas in Maryland, New Jersey, Pennsylvania, Texas and Georgia. Stream Energy provides a full-service approach to customer relationships, supported by the firm’s network marketing arm, Ignite.
Tupperware Changes Women’s Lives in Mexico
Tupperware Brands Corp., a global direct selling company with a strong sales presence in Mexico, through its Tupperware Mexico and Fuller Cosmetic businesses, has announced findings from a new independent research study that analyzes the economic and social impact of empowering women in Mexico. The Global Fairness Initiative (GFI), a nonprofit dedicated to enhancing economic opportunities for women entrepreneurs, partnered with Tupperware Brands on the independent study.
The study, commissioned by Tupperware Brands and conducted by GFI and IBOPE Inteligencia, a Latin American research and survey firm, sought to determine the extent to which Tupperware Brands’ business model promotes empowerment, financial security and socioeconomic mobility among its Mexican salesforce. The study included interviews with 1,600 Tupperware and Fuller saleswomen in six Mexican states.
Some statistics that resulted from the study include: 89 percent of Tupperware saleswomen said their lives have changed significantly since joining the business; 99 percent credit the company with improving their financial status; 45 percent of Fuller saleswomen see themselves as future leaders in the business; and 76 percent of Tupperware and 59 percent of Fuller saleswomen said their family relationships had improved with greater support and more family time.
Tupperware Brands Corp. is a portfolio of global direct selling companies, selling innovative, premium products across multiple brands and categories through an independent salesforce of 2.7 million.