Arbonne Axes 95 Positions At Main Facility
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Arbonne International, the anti-aging skincare behemoth, announced that they would be letting 95 workers go because of the economy.
Arbonne International experienced tremendous growth in 2005 – 2007. However, with many Arbonne distributors calling it a day, that growth is now reversing and many consultants are walking away.
This led to the layoff of 95 workers at one of their main facilities, citing that there wasn’t enough work to keep them all busy. The really sad thing is that Arbonne remains dedicated to the “friends and family” party model of business. As other marketing tools have appeared over the years, Arbonne has continually refused to look at alternatives to home parties. Hopefully, this incident will provide the impetus for Arbonne to give a more serious look at home party alternatives and get their growth back on track.
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Cindy
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December 30, 2008, 2:13 pm
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TopThank you for this post. As an Arbonne consultant, I see via the demographic report information available when logged in to my account that Arbonne has gone from 67,000+ consultants in January 2007 to 23,000+ consultants by November 2008. The attrition rate is unbelievable. No wonder Arbonne is floundering and having financial problems. Avon and Mary Kay are growing their rep base while Arbonne has lost 66% of its consultants in about 22 months. Shocking.
The Harvest Partners (private equity company which owns Arbonne) debt bonds for Arbonne are trading at $.37 on the dollar which basically means the bond market has little expectation of the return of the bond principal being paid when the bonds are due in about 5 years. As a consultant, I am dismayed of the downward spiral of Arbonne. I fear the company’s viability is over and can no longer survive.
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Kresimir
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December 30, 2008, 6:25 pm
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Topodličan i zanimljiv blog !
pozdrav iz Hrvatske (Croatia)
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Lois Keaner
3
December 30, 2008, 9:35 pm
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TopIt amazes me that Arbonne refuses to at least try an alternative to the parties. In this current economy it’s the companies that are willing to be flexible that will survive.
Wow, looking at the attrition rate Cindy posted! That’s irresponsible for Arbonne to get those numbers on their desk each month and not consider making changes.
Thanks for posting this.
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lee
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January 1, 2009, 12:44 pm
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TopThanks for the information. I was thinking of becoming a consultant. Maybe Arbonne can explore other areas for their consultants to keep the workers manufacturing the products.
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connielee
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January 2, 2009, 12:12 pm
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TopWhat is the reason for so many distributors giving up on this? Maybe they can step back and see what their competitionis doing to keep their success rate up, and see if they could implement some similar strategies.
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Scott
6
January 5, 2009, 5:56 am
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TopThat is so sad. I have heard that Avon and Tupperware are also hurting, but then again, who is not hurting in this economy today. I hope that the 95 people let go are able to find work quickly. I know here in Ohio the turnaround time for a new job is months not weeks.
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Joseph
7
January 19, 2009, 12:45 pm
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TopNot surprising, people are just not buying personal luxuries these days, and I know many who are tired of being invited to \"parties\" where they are expected to buy stuff.
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Kim
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January 27, 2009, 1:48 am
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TopI am not suprised at this as Arbonne made such fake claims about their products. They should not have touted they were so “natural” when they were just marginally better than what you buy on store shelves. Plus the fact you had to be a party person or rep to get thir products.
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marlee huber
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March 6, 2009, 9:41 pm
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TopAccording to a cosmetic industry press release, anti-aging cosmetics are projected to grow by 20% through 2013. Baby-boomers will not compromise their looks even in this economy. In my organization with NoevirUSA, sales for 2008 increased by 24%. Company wide sales have been growing steadily over the last 5 years with no down-turn in sight. This year is looking to be very prosperous with new consultants coming on even more eagerly than last year. If sales are down in this industry, it is not the economy and it is not that women are holding onto their money–so it must be something else.
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Carrie Pepper
10
September 16, 2009, 6:38 pm
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TopNu Skin Enterprises sales are continuing to go up and we are about to take another huge leap with the introduction of our new “transformation” line of ageLOC products. In fact, the editor of Vogue magazine just was quoted saying, “The skin care industry will never be the same again.”
I am looking for leaders to join my sales team.
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Claire
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October 28, 2009, 9:22 pm
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TopThank you for the post. In this harsh economy, with people losing jobs everyday (and finding a job takes months), it’s difficult to spend on luxuries. Everyone is in survival mode and people are adhering tightly to their budget just to get through the day (let alone the week…the month). I love Arbonne’s products. For me, it’s the only product line that my skin loves. I’m almost 40yrs old but everyone thinks i’m my son’s older sister in college. But, I made the painful decision to cut back on my Arbonne spending when I lost my job earlier this year. I’m looking at affordable alternatives — like Avon. I had to make this adjustment if we’re going to keep the roof over our heads, food on the table and clothes on our back. I think consumers will still spend on skin care even in this tough economy. After all, we jobseekers still have to look good for that interview. But consumers will be shopping very wisely. And if a consumer wants exclusive products (i.e. can’t do drugstore or department store products) the next best thing is Avon — affordable and high quality products at reasonable prices. Face it….that’s the reality — times are hard and consumers are adapting to it. [DISCLAIMER: I am not an Avon consultant. Just a consumer who's trying to make ends meet while taking care of my skin.]
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Heath Wilsey
12
April 30, 2010, 1:29 pm
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TopI have been to your site before. It’s Great! IMO you have a nice web site
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Garnet Hibberd
13
May 21, 2010, 2:04 pm
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TopThis site is of great help for me to identify the exact product.
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muraliraj
14
May 28, 2010, 9:00 am
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TopI am really appriciate your website and which is used to get the required product what I expected. But no one like to buying self richness product now a days. Any way really thanks for this types of informations.
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Don Joseph
15
June 11, 2010, 11:35 pm
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TopThe layoff is becoming a serious problem to social security as it increases the number of jobless people. There should be something like rehabilitation centres for the laid off people to secure back their emotional strength and to cope up with the situations ahead boldly taking it for granted as a matter of the era.
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Best Jobs To Meet Women
16
June 27, 2010, 9:07 am
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TopThanks for the article.Really thank you! Much obliged.
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Dianne Storey
17
September 5, 2010, 5:41 pm
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nicole
18
September 24, 2010, 8:29 pm
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TopI must say that I am very honered to represent a company that has never has any lay offs and continues to grow every year over the last 25 years. I love the products…it is not MLM and I have many reasons why to explain this…would love to share with any of you who are open mined to learn how to join the best company on the planet!!!!!!!
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Sincerely the last company you will work with!
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Elizabeth
19
October 10, 2010, 1:23 pm
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TopI have a friend that sold Arbonne and did really well, but has quit doing that. She looks great..due to using the products.
However, I have been looking for something DIFFERENT from
the usual “selling” routine and found it with FHTM! Check us out at
my website! This is “recession proof!”
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Brandon Neuhaus
20
October 23, 2010, 2:11 pm
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TopGood ideas here. Still looking for supplemental knowledge on natural health and would love any recommendations. Thank You!
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Kristi Willis
21
November 4, 2010, 8:53 am
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TopI had heard that about Arbonne. I feel sad for the many people who worked so hard only to be let down.
I have never done Network Marketing but when I heard about Rodan + Fields Dermatologists, the ProActiv Doctors, new company I had to check it out. I couldn’t afford not to partner with the doctors!. Rarely do you get a chance to be a part of a ground floor opportunity. Just think if you had been with Arbonne in the beginning! Only 6000 reps in the U.S. Some states don’t even have anyone yet! Slated for Mexico, Canada and global in the future. Started in 2008, they develped the first and only “over the counter prescription strength” skin care line. The new product AMP MD produces clinically proven “better than injectables” results for wrinkes. It was introduced in Oct. 2010 & sales are over the top! Founded by well known and respected doctors,that have proven product success, how can you lose! They are the first to bring a brand name using the online marketing field. NO more home parties, NO inventory, and NO bugging your friends and family. Started with ProActiv royalties of 15 million, they made 12 million the first year and expected to be a billion $ company by next year. They have grown 800% in 2 years and the DSA says the one to watch. They have set this company up for the consultant to succeed like no other one before it. You owe it to yourself to look into it. http://kwillis.myrandf.biz
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admin
22
November 4, 2010, 5:05 pm
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TopKristi,
Thanks for your participation. FYI, leaving comments /links that are specifically designed to promote your product is considered spam. If you have an agenda that you want to promote, that’s okie dokie with me – however, other webmasters will be more likely to publish your comments if you’re not blatantly advertising. It would also look more appealing to your prospects – spamming blogs isn’t much more appealing than chasing friends and family.
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Kristi Willis
23
November 4, 2010, 5:41 pm
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TopHad no idea of blog etiquette. Honestly the first time I have ever commented on any type of blog or even worked for a DM company. There are so many different types of sites, I didn’t realize. Thanks for the heads up. Happy to remove if able to edit!
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admin
24
November 4, 2010, 6:03 pm
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TopKristi,
No worries! It’s all good – just wanted to give you a heads up. I’ve done a good deal of online marketing, and the best way to get traffic is to participate (like you’re doing), building up a reputation in the community, and then making a soft offer of some sort. Congrats on getting into business, btw – it takes character to step out and try something new