Posted by Mike Akins on September 27, 2000 at 03:13:23:
In Reply to: ATTENTION MIKE AKINS posted by Dr. David on September 26, 2000 at 16:00:31:
Thank you David for sharing the earlier post closer to the top of the board. I have been out of touch for a couple of days.
I identify with the concerns that each of you have expressed. I will address each issue separately.
1. Clinical study on AIDs- Information has been withheld on this impactive study for a purpose. We did not want to release this information before we were ready to do it in the most effective manner. Information like this, used incorrectly, could create a problem with the FDA. In the FDA's perspective, one study doesn't prove a product safe or effective. We do not want to be forced to spend $200 million and 5-10 years moving through a government structure of hurdles. Transfer Factor has been researched for 50+ years but this would not satisfy FDA regulators.
This type of impactive information could actually hurt us more than help us if not approached correctly. Some of our leaders have jumped the gun and forced our company to address this exciting prematurely. We would be better off if the actual doctor who conducted this study reveal its findings and had it printed in a medical journal before will over use the information. This would give us a third party validation without exposing us to unnecessary regulation. If we as the manufacturer and marketer flood the media with this information, it will be viewed differently than if an independent source reveals the "miracles" of this study. We could offend the doctor involved in the study and isolate him from our company. So there has been a good reason why other leaders and I have not addressed this issue on an open forum.
2. Why the difference in how we have address the communication with Shaperite distributors than with 4Life distributors. Although, in reality, this merger is great for both companies, each set of distributors has a different issue to consider. Shaperite distributors are with the company that is losing its identity. The new merged company is to be called 4Life. Although, each set of distributors will continue with each their own pay plans until December, eventually, it will be the 4Life pay plan that will be used by both. The chairman of the board is David Lisonbee. All of these issues create a very sensitive situation to present to the dedicated Shaperite distributorship. On the positive side Shaperite distributors have gained one of the hottest products in the market place. Their sales dropped from 60 million in 1995 to 20+ million last year. They are uniting with an upcoming growing company that has gone from zero to 2 million per month in less than two years.
On the other hand 4Life distributors must consider that overnight they have 20,000+ competitors. The majority of leaders in 4Life selected it for its groundfloor opportunity and does not necessarily view doubling overnight from a merger as great news. When a company is young they grow faster with a few products and later benefit from the addition of many products to maximize per person purchases. Shaperite has more than 60 products while 4Life have only 15+. It would not be advantageous in the view of many 4Life leaders (in the field) to add 60+ products to our product line.
While all of the 4Life products are available to Shaperite distributors, only a few of the Shaperite products will be available to 4Life distributors. Eventually, only the best selling products will remain in the combined product line. Each set of distributors has different needs and is being address appropriately.
3. You are right there are communications problems and other related challenges. There are logical reasons for this. We are aware of these challenges and are working on correcting them. As many of you know we experienced major software problems in the spring. We had one of the most renowned computer servicing companies in the industry install our new software and reprogram it. This company dropped the ball on the project and initiated a nightmare of a series of problems.
Eventually, 4Life purchased one the most advanced computer systems in the industry and hired a full-time computer technician to work on the project, along with a consulting firm. The problem with such a problem is that one problem creates a cascade of other problems. 4Life was flooded with hundreds of calls on customer service lines, as well as order entry lines. This has created many frustrations in the field and created other problems in shipping etc. We are 95% recovered from this challenge.
During this period of challenges 4Life broke a series of sales records, which increased the workload. A great number of the middle management personnel who normally would be coordinating communication and other important activities, were busy dealing with the problems and managing four months of record breaking sales. At the same time the management was organizing expansion into several countries. All of this was on the drawing board before the problems developed.
I can empathize with the individual who was on the customer service line for 15 minutes. I realize how frustrating this is. I encourage each of you to keep focused. Transfer Factor has a life of its own. It will find a market inspite of problems. I experienced similar problems on Herbalife. A majority of distributors jumped ship during this period. Herbalife went on to be a billion-dollar company and many of us have lifetime residual incomes.
4Life has more going for it than any company that I have ever been involved with. This will be a billion-dollar company and there will be a great number of millionaires come from this company. More important than any of this, we need to focus on getting this product to the millions of people who desperately need this product. We are saving lives. Also, thousands of "grassroots" distributors will earn that $200, $500, or $1,000 that can make a world of a difference in their lives.
Yes, we have and will have challenges. We are in a young company and will have growing pains. Along with the challenges of a young company comes the increased opportunity of being groundfloor. Think about the testimonies that you have heard. Think about the independent test that you have read about. Think about the impact of this clinical study of these AIDs patients. Transfer Factor is the most impactive product in the past century. It will become a house whole brand name.
You can be a part of this unique opportunity. Together we will have to pay the price of patience, diplomacy, hard work, and understanding. We will continue to work on our shortcomings. We will continue to assist the company in recognizing the need of refinement and encourage positive action. I encourage all of us to exercise the same wisdom, patience, and vision that we do in other important areas of our lives, in this 4Life venture. The benefits will be lifelong and worthwhile.
I appreciate each of your questions, comments and suggestions. We take each and every one of them seriously. We value you as a partner in this quest for unparalleled success. If I have missed any issues that concern you, feel free to post them on this board.
Mike Akins