Leadership in Action - November 2008

Now, More Than Ever

McKay Christensen, President, Melaleuca Inc.

“Now, more than ever, households need extra income. A Melaleuca business is exactly what they need [...] They are looking for a solution. They will be interested in what you have to say.”

Nothing seems to dominate our thoughts today more than the state of the economy. So, let’s spend a few minutes analyzing the economy, getting a clear view of how Melaleuca Inc. and your Melaleuca business are poised to grow significantly in this new economic environment. Simply stated, now, more than ever, your Melaleuca business can grow, and you have an unbelievable opportunity before you!

How can that be? In the midst of all the poor economic news, how can you create a thriving Melaleuca business? First, no one wants a recession. No business would hope for the type of economic conditions we face. However, there is very good news in the midst of what is happening. In tough economic times, your business can and will thrive and prosper. At Melaleuca, we are moving faster and with more energy and excitement than ever. We are hearing story after story of success. So, let’s assess the opportunity ahead and talk about how to act in order to grow fast in this economy.

1.

Economic Condition— Unemployment: The average household income is declining, and many people have lost or will lose their jobs. In September, The Washington Post reported that the U.S. industrial output posted its biggest drop since 1974. When output decreases, companies lay off employees to stay in business. As a result, the labor market is in bad shape. Generally, 400,000 unemployment claims in a week is a clear sign of recession, and we’ve had

that level of jobless claims for 13 straight weeks. During the recession in 1982, jobless claims got as high as 600,000 and after September 11, 2001, they averaged 483,250. Economists are forecasting those levels of claims in upcoming months. Unemployment is now at 6.1 percent, up from 4. 4 percent at the end of 2006.

People are losing their jobs, employers aren’t hiring, and pay and benefits are being impacted.

Opportunity: Now, more than ever, households need extra income. A Melaleuca business is exactly what they need. When you approach your friend or neighbor, it’s very likely they have been worried and anxious about how to replace their lost income. They are looking for a solution. They will be interested in what you have to say.

How to Act: When you have a friend interested in building a business, help them get off to a fast start. Help them get to Director in their first few weeks. This quick success will give them confidence in their own ability to build a Melaleuca business. They should always buy a Value Pack so they can qualify for the $200 Pacesetter Director bonus. (With a Value Pack they also save $200.)

Here is my quick rule of thumb: If a new Marketing Executive can get to Director with 10 customer enrollments in their first month and have two or three of their customers buy a Value Pack, they will earn over $400 in their first month. If they help one or two of their friends do the same thing the next month, they will earn between $500 and $1,000 in their second month as a Director II or III.