Got Ditched by XELR8? – Here’s How You Can Accelerate

XELR8 Holdings, Inc. has decided to close its network marketing component and follow a direct-to-market sales strategy instead. Direct selling will imply that XELR8 products will be sold directly to customers and maybe through an affiliate program as well. This decision brings the termination of all XELR8 distributors.

XELR8 is a Denver-based nutritional supplement company founded in 2006. Its product, BAZI, launched in the middle of a frenzy for nutritional products, became popular instantly. Nowadays, it is used by professional athletes as well as by regular consumers as energy enhancement supplements. The marketing and distribution of BAZI was carried out via a network marketing system, in which independent distributors were selling the product, as well as enrolling new distributors to grow the business. Four years ago, XELR8 was a booming business, with new distributors across the globe signing up for the opportunity. XELR8 has also been selling their products directly to professional sports teams and Olympic athletes. XELR8 products include, apart from BAZI, XELR8 EAT, XELR8 DRINK, XELR8 HYDRATE, XELR8 BUILD, as well as XELR8 SUPPORT and other vitamins and minerals.

Unfortunately, all good things must come to an end, and after 4 years of activity through network marketing, the company announces they are looking at an alternative business model. Where does that leave distributors? Even the ones who have been working hard for the past 4 years lose their downline and income sources in a matter of seconds.

No new distributors will be enrolled, the company states in the e-mail sent to all its distributors, and the current XELR8 compensation plan will remain in effect only until February 28, 2010. After all the corresponding commissions and bonuses have been paid out, “no further bonuses or commissions will be paid to any XELR8 Independent Distributor under the current XELR8 Compensation Plan”, the company announces. Customers may continue to order XELR8 products, and the Auto-Ship members as well as the Preferred Customers will continue to receive their automatic monthly orders until they choose to cancel their agreements.

This decision was made due to the fact that XELR8 is a public traded company, and not all decision-makers are knowledgeable about running a network marketing company. Some people argue that there had been erratic decision-making before. It is not for us to say how proper or improper this decision was, we can only notice how distributors in any MLM business are vulnerable to changes that can negatively affect their entire future.
So…what can you do to avoid this? There are three main things I need to remind you: first of all, never brand the company alone, without your name being mentioned in the industry; if you do, when a company closes, you have to start from scratch with your new one. Secondly, you have to build your list, over time; a list means relationships with thousands of people maybe, so you can build another good network marketing business for yourself in a matter of days, should the current company let you down. Thirdly, always have secondary streams of income, so that you never depend entirely upon one company. And, perhaps most important of all, make sure you are able to market just about any product online, by learning good attraction marketing strategies that help you generate leads for any business.