TO THE NINES Kenny Davis iamaa Direct Scam Allegations

To The Nines shoe MLM scheme, IAMAA Direct and Kenny J. Davis are under fire across the Internet for running a blatant business opportunity scam.  To The Nines shoes were sold through a multilevel marketing (aka MLM, Network Marketing or Direct Sales) system.

There have been numerous complaint online claiming To The Nines is a scam. The Better Business Bureau published a scathing review on October 31, 2011.

On November 1, 2011, To The Nines announced it was offering refunds to its independent retail consultants.

Read & Comment here:  TO THE NINES Shoes MLM: Scam or No Scam?

Read the letter from the To The Nines management here: TO THE NINES Refund Information

Get the To The Nines Refund Form here: TO THE NINES Refund Form

On Scam.com, stacyjames posted this warning:

To The Nines Scam

Warning to anyone involved in To The Nines, a subsidiary of IAMAA Direct owned by Kenny J. Davis.

I want to warn anyone who is currently involved with To The Nines, I strongly believe that To The Nines is a complete scam. If you are currently a consultant with this company you should run away as fast as you can and do not fall for their stalling tactics any longer. If you are looking to be involved with this company don’t do it for the following reasons:

1. They are asking for a huge investment to buy your way into higher management levels but you don’t receive much for your investment. Most of the money goes directly into Kenny Davis’s own pockets.

2. There are NO shoes! There were initially a very limited amount of shoes listed online but those are all gone now and orders that were placed for new shoes were turned back for lack of payment.

3. No one is getting paid. No commissions have been paid to consultants for months. When asked why all you get are deflections, lies and stall tactics.

4. No marketing materials are given to consultants when they sign up because the printer that has printed them are withholding them because of lack of payment.

5. Kenny J. Davis and Keli Teague the person who is recruiting consultants into the company claim that IAMAA Direct is the parent company to To The Nines. They also claim that IAMAA Direct has been in business for 15 years and is a $6m company. However, after investigating IAMAA direct it has been discovered that IAMAA Direct was just incorporated in May 2011, well after To The Nines was conceived of by Kenny Davis and Nicole Jones.

6. It should be noted that upon learning upon the deceptions by Kenny J. Davis and Keli Teague, Nicole Jones resigned from the company and is not a party to the alleged fraud by Kenny J. Davis and Keli Teague. Nicole Jones has been tirelessly working to try to make things right and I believe she is the only honest person in the whole operation.

7. The company has put forth a "refund process" that appears to do nothing but buy them time (90 days) and absolve them of any liability and protect them from the lawsuits that I am sure will be coming soon.

8. Check with the BBB in Texas (Dallas County) and the Attorney General’s Office. There have been numerous complaints of fraud.

9. This isn’t Kenny Davis’s first time! He has a record of perpetrating similar frauds. http://www.frauddigest.com/fraud.php?ident=947

I have become very concerned that no one knows about this because it is being kept very quiet. I fell for this scam because I checked it all out online and didn’t see any red flags or anything alerting me to the fact that this was a scam. I don’t want anyone else to fall for it and hope that this will protect unsuspecting people from falling for this scam. Although Nicole Jones has separated from the company, the company has not told anyone this and many people do not know that they are involved in a fraud. This is my first time being involved in direct sales and I can tell you it will be my last!

On ScamInformer.com, User467564 wrote:

To The Nines IamaaDirect is all RECRUITING and NO ACTUAL SALES OF SHOES!!! Carrollton, Texas

2nd of Oct, 2011 by User467564

In April, 2011, I wrote a personal check to IAMAA for $5,000 to enroll as a Regional Director with To The Nines. The Marketing and Sales team at IamaaDirect showed me how this wonderful new company was the chance of a lifetime. For my $5,000 enrollment fee, I was promised access to brand name inventory, an e-commerce website, marketing materials, business development training, leadership training and an event advertising package. I was also promised national media lead generation for both customers and new retail consultants.

This new company was moving from “pre-launch” into “launch” with a proven business model, and the opportunity presented to me was supposedly backed by IamaaDirect, a marketing firm with 15 years in direct sales, a solid infrastructure, national distribution, advanced technology, and solid relationships with recognized manufacturers. We were told the ink was drying on a contract for a new reality show called "To The Nines" on The Style Network. We were told that Oprah was going to endorse the business. We were told a lot of things.

Six months into this, we have no business. To The Nines has not fulfilled its end of our agreement. I have no e-commerce web site to earn income from. I have no shoe inventory to sell from. I have lost nearly $1000 in event booking fees for having to cancel due to lack of inventory. The amazing “Unified Fast Start Bonus Plan” that was promised, and would have rewarded me for recruiting, never came to be. I have no income from this business, and I see no way of earning an income for months to come.

Every promise made to me has been broken. We know that IamaaDirect and To The Nines owes money to shoe manufacturers, business partners, consultants, web site developers, etc… They have bounced at least 6 checks over the past 30 days to consultants. No one has shoes to sell, but the company still expects us to RECRUIT, RECRUIT, RECRUIT as they have for the past 6 months. Every thing about this has been focused on RECRUITING, which has generated over $500,000 dollars in revenue. Yet they owe money all around?? They are bouncing checks??? They have no website for us. They have no shoes for us. There has always been just enough of a business front to look attractive enough for recruiting.

That’s it… STAY AWAY FROM TO THE NINES, IAMAADIRECT, AND KENNY DAVIS!

ARE YOU FAMILIAR WITH THE TO THE NINES SHOES MLM INDEPENDENT RETAIL CONSULTANT OPPORTUNITY?  HAVE YOU APPLIED FOR A TO THE NINES REFUND?  PLEASE SHARE YOUR THOUGHTS OR EXPERIENCES BELOW.

To contact the author or site admin, please email UnhappyFranchisee[at]gmail.com

TO THE NINES Shoes MLM: Scam or No Scam?

To The Nines shoes were sold through a multilevel marketing (aka MLM, Network Marketing or Direct Sales) system.  Was the To The Nines shoes MLM a legitimate opportunity or a scam?

There have been numerous complaint online claiming To The Nines is a scam.  The Better Business Bureau published a scathing review on October 31, 2011.

On November 1, 2011, To The Nines announced it was offering refunds to its independent retail consultants.

Read the letter from the To The Nines management here: TO THE NINES Refund Information

Get the To The Nines Refund Form here:  TO THE NINES Refund Form

Here are some excerpts from the Better Business Bureau report:

“…the BBB warns that a multi-level sales opportunity to sell shoes from a business called To The Nines has failed to provide job seekers with a viable home business.

“In January, To The Nines and its parent company, Iamaa Direct, began recruiting entrepreneurial hopefuls into a multi-level marketing business opportunity which involved the direct selling of designer shoes. However, since September, the BBB has received 34 complaints from across the U.S. alleging that To The Nines and Iamaa Direct charged individuals up to $5,000 in business opportunity fees and failed to deliver any shoes. Both businesses have a BBB Rating of F due to failure to respond to complaints…

“To The Nines first came to the BBB’s attention when the original president, Nicole Jones, approached the BBB with concerns that her business partner, Kenny Davis, was deceiving her and job seekers.

“Specifically, Ms. Jones stated concerns that over $600,000 in consumer’s business opportunity fees appeared to be unaccounted for. Her concerns were amplified by the discovery that Mr. Davis had been convicted of securities fraud in 2003 for his actions relating to Dallas-based Smart-Mart, Inc.

“On September 16, 2011, the BBB received a copy of Ms. Jones’ resignation letter, in which she stated, ‘I cannot be part of a company that I believe is misrepresenting things about our business, is not acting in an ethical and honest way with our representatives or myself, is not willing or able to provide me with accurate financial reports as the President of the company and is being otherwise generally non-responsive to my requests for information.’

“Shortly after, Debra Aaron took over as president of To The Nines. Ms. Aaron was previously the president of Crowd Sourcing International, a multi-level sales company which claimed to pay job seekers for recording the location of automotive license plates. Crowd Sourcing International has a BBB rating of F due to complaints and failure to substantiate claims about the business opportunity…

“Complaint Concerns

“Complaints on To the Nines and Iamaa Direct describe failure to provide ordered shoes in accordance with the business opportunity plan and difficulties receiving refunds.

“One recent complaint from a Florida consumer explained that “They took my entry fee to the company as a regional director of To The Nines, LLC. which was $4,896.00 via wire transfer from my bank to theirs. I was promised my own website with shoes to sell. They took mine and several hundred other consultant fees as well and closed their doors.”

“Complaints are from Colorado, Florida, Georgia, Illinois, Oklahoma, Pennsylvania, Texas, and Washington.

“Between Iamaa Direct and To The Nines, the companies have failed to respond to 28 of the 34 complaints to the BBB. For the BBB Business Review on To the Nines, see http://www.bbb.org/dallas/business-reviews/multi-level-selling-companies/to-the-nines-in-carrollton-tx-90346239 . For the BBB Business Review on IAMAA Direct, see http://www.bbb.org/dallas/business-reviews/business-consultants/iamaa-direct-in-carrollton-tx-90376954 .

“In addition, the BBB has been unsuccessful in contacting Mr. Davis to address the BBB’s concerns regarding the company’s business model.”

ARE YOU FAMILIAR WITH THE TO THE NINES SHOES MLM INDEPENDENT RETAIL CONSULTANT OPPORTUNITY?  HAVE YOU APPLIED FOR A TO THE NINES REFUND?  PLEASE SHARE YOUR THOUGHTS OR EXPERIENCES BELOW.

To contact the author or site admin, please email UnhappyFranchisee[at]gmail.com

TO THE NINES Refund Form

To The Nines Independent Retail Consultants:  You may be able to get a refund for your investment in the To The Nines shoes MLM program.

(To The Nines shoes were sold through an ill-fated multilevel marketing (aka MLM, Network Marketing or Direct Sales) system accused of being a downright scam.)

Read the letter from the To The Nines management here:  TO THE NINES Refund Information

Download the To The Nines Refund Form below:

 

TO THE NINES REFUND FORM

 

ARE YOU FAMILIAR WITH THE TO THE NINES SHOES MLM INDEPENDENT RETAIL CONSULTANT OPPORTUNITY?  HAVE YOU APPLIED FOR A TO THE NINES REFUND?  PLEASE SHARE YOUR THOUGHTS OR EXPERIENCES BELOW.

To contact the author or site admin, please email UnhappyFranchisee[at]gmail.com

SCENTSY MLM Scam Deceptive Advertising by Sleazy Independent Consultants?

Is Scentsy a deceptive MLM company that uses fraudulent tactics and sleazy independent consultants to sell dangerous, overpriced products?

According to Carol B. it is.  We received this angry complaint from Carol, who felt that she was deceptively tricked into attending a sales presentation by a coworker.

Here’s Carol’s story:

“I started working at a new job in a new town.  Since I don’t know too many people here, I was really happy when a coworker sent me an email saying that she was having a few people over on Sunday afternoon, and she would love it if I would be able to come.

“I really appreciated her thinking of me, and I was really looking forward to meeting some new people.

“When I arrived, I found out that instead of a social get together, this was a home party and that my new ‘friend’ was an ‘independent consultant’  for some multi-level marketing scam called ‘Scentsy.’  Instead of a real party, I had to listen to a presentation about these stupid, overpriced warmers that melt scented wax with a light bulb.  She was pushing  these stupid warmers and wax bars packages for like $75 – $85.  The Scentsy plug-in warmers are glorified nightlights they sell for $20, and the tabletop warmers are like $35.  Of course, if you’re stupid enough to buy those you’ll have to buy their ridiculous scented wax bars for the rest of your life.

“I discreetly asked around and none of the other guests knew they were attending a sales presentation.  Yet still they allowed themselves to be manipulated into buying these ridiculously overpriced air freshners just to be polite.  I was the only one who didn’t buy.

“I have some advice to people who do these home parties like Scentsy and invite people under false pretenses:  You are scum.  You might think you are clever, and you might get some free products or whatever, but all those people you tricked, even the ones you tricked into buying and tell you they love the product, now know you’re scum and can’t be trusted. 

“My advice to people who unknowingly show up to sales parties:  You should leave.  Or eat a bunch of their free food and then leave.  Do not buy a thing!  Make it clear you don’t appreciate being lied to and that if your friend needs money that bad she just should have asked you for a loan.  Do not be ashamed.  It’s your scummy host who should be ashamed.  Go buy yourself a Glade Air Freshner and buy some new shoes with all the money you saved!”

The only good thing that came out of Carol’s experience with the Scentsy home party is a new goal she has at work.

Says Carol:  “I now have a work fantasy that I will get promoted to supervisor over the sleazebag Scentsy consultant.   I will call her in for a meeting to discuss a promotion and a raise.  When she gets there, I’ll say ‘Oh, I didn’t mean a promotion and a raise!  Sorry!  The meeting was to let you know you’re fired!  Good luck with your Scentsy MLM scam!”

ARE YOU FAMILIAR WITH THE SCENTSY MLM HOME PARTY OPPORTUNITY?  IS IT A SCAM OR LEGITIMATE OPPORTUNITY?  SHARE A COMMENT BELOW!

BIZZIBIZ Franchise Founder Jim Piccolo Responds to Criticism

Bizzibiz, the new digital marketing franchise opportunity, launched with much hype January 1, 2011.  Much was made in the initial press releases and promotional video of the fact that serial entrepreneur Jim Piccolo had divested himself from his previous business ventures (most notably the controversial multi-level marketing real estate training school Nouveau Riche University) to devote himself full-time to Bizzibiz and its affiliated franchise sales brokerage Extreme Franchise Marketing.

A series of negative events followed.  In February, the Arizona Corporations Commission announced that Jim Piccolo and his previous business partners must pay nearly $6 Million in restitution and fines for defrauding 105 investors via an unregistered real estate scheme.  In April, Bizzibiz’ much-touted relationship with “Mr. Franchise,” franchise attorney Kevin B. Murphy, resulted in litigation (See BIZZIBIZ Suing Mr. Franchise Kevin B Murphy and Franchise Foundations PC).  In June, infomercial king Don Lapre, who was touted as a VP of Extreme Franchise Marketing, was indicted on 41 counts of conspiracy and fraud, accused of defrauding 222,000 people of $52 million.

Jim Piccolo recently responded to issues raised on UnhappyFranchisee.com regarding Bizzibiz, Extreme Franchise Marketing and its controversial associations.  Mr. Piccolo’s response is included, in its entirety, below.  The headings and short explanations (in italics) are ours.

Founder Jim Piccolo on the Bizzibiz Franchise Launch

“August 19, 2011

“DearUnhappyFranchisee.com:

“Since the start of our company in January of this year, BizziBiz has seen many victories and yet faced a few challenges, some of which were brought up on your blog. Certainly the current state of the economy has not made it easier. The development of a unique franchise model in the digital marketing space has been an exciting journey and discovery process.

“On the positive side we are very proud to state that since our official launch 1/1/11 we have empowered 74 franchisees, who have in turn hired 267 sales representatives—many who are brand new and just getting trained. All in all that is a total of 341 people that are finding exciting new careers for themselves, creating new jobs for many who may otherwise be in the unemployment line, and helping businesses become/stay profitable! In addition we have 38 staff members who come to work every day happy to be part of the solution to this country’s economic challenges. Call us what you want, but we truly believe that through good digital marketing, our small business community can grow and flourish. We’ve intentionally put our primary focus on small business, as it is proven that they are a hugely under-served market. While most digital marketing companies focus on the BIG clients because that is where the big money is, we believe that the smaller “grass roots” companies will be, in the long run, extremely loyal and appreciative of our efforts. In addition, we know that many of the large companies in this country started in a garage—including the likes of Microsoft Corporation. We know that our peers criticize us for this position, but I assure you our customers do not. There is not a week that goes by where one of them does not send us small tokens of their appreciation. While we are at it, THANKS to Marybeth King for the brownies and rice crispy treats last Thursday! J Hint, hint, they did not last long.

“Back to the business at hand…In your website’s posts about us, you address several concerns regarding our company’s leadership and clients. My hope is that we can help alleviate your concerns, and shed light onto the facts surrounding those issues.”

[Pictured:  "Jim Piccolo, a renowned visionary and entrepreneur with more than 25 years of experience in a wide variety of service and product industries..."  Source:  Bizzibiz]

Founder Jim Piccolo on Bizzibiz’ digital marketing track record

Bizzibiz digital marketing franchise and its franchise sales affiliate Extreme Franchise Marketing launched January 1, 2011 boasting a very aggressive growth plan.  In an initial post UnhappyFranchisee raised the concern that Bizzibiz and its principals appear to have little digital marketing experience and zero track record as a company.  In fact, Bizzibiz’ own social media presence appears weak, with only 5 tweets and 49 followers (as of today) on its Bizzibiz twitter account and 207 “Likes” on its main Facebook page.
Jim Piccolo responds: “With regards to our track record of success, as a start-up company, we’ve been able to reach hundreds of small business customers in a relatively short period of time, thanks to our loyal franchisees working hard. Some of these companies  had little to no online presence, and as a result of our passionate effort we have been able to deliver measurable results in the areas of website development, SEO, SEM, Social Media Optimization, Email Marketing, etc. –results that are supported in the clients’ monthly reports. Again, as I mentioned above, our business model is primarily tailored toward smaller businesses that have a great need to reach their audiences in the digital space—and we can say that we’ve made a difference for those businesses. Additionally, along the way we have been able to support some digitally well-established businesses and make a significant impact on their digital presence too. We are happy to put you in contact with some of those businesses that can share their experience and results.

“So why have we at BizziBiz not done a better job with our own online presence? We have experienced rapid growth, and as we continue to establish our own brand identity, we have much yet to carry out in our brand messaging. Our attention has been and continues to be on our small business clients and, unfortunately, we have not dedicated the resources to maintain a healthy social presence of our own. We are currently looking at our resources and making some adjustments internally so that we can dedicate efforts to actively manage our social media and online brand reputation and overall web presence. This is a common problem with rapidly growing companies. It reminds me of the parable of the master shoe maker, who was so busy with his craft and serving his customers he and his children wore old shoes. Using this analogy, we, at this point, are pretty much barefoot. When given the choice of happy customers and sore toes or unhappy customers and comfy toes we choose sore toes….at least for now! I know that there are MANY entrepreneurs out there who could say “yep, been there!” As for the rest of you…thank you for understanding.

Founder Jim Piccolo on Bizzibiz’ Association with Don LaPre

The stormy start of the Bizzibiz franchise also involved the arrest of infomercial king Don LaPre, who was listed as VP of Bizzibiz affiliate Extreme Franchise Marketing.  See BIZZIBIZ: VP Don LaPre 2nd Exec Indicted for Fraud

Jim Piccolo responds: “One of the topics that was raised by your postings is BizziBiz’s affiliation with Don Lapre. Don was never a vice president or an officer or employee of BizziBiz. Rather, we utilized his voiceover talents and video production creativity as an outsourced consultant to assist with promotional and training media. Although his consulting services were completed before the unrelated accusations were brought against him, Don acted with great character and ethics in all areas he touched while working with BizziBiz. The product that he produced for us was simply amazing and worth many times what we paid him for it. His title of vice president represented his level in the commission hierarchy as an IBC (Independent Business Consultant) with Xtreme Franchise Marketing, Inc. (XFM), whose website you screen-captured in your post. XFM is a separate company, with a different ownership structure than BizziBiz Franchise, Inc., Xtreme Franchise Marketing, Inc  was created to sell franchises just likeFranChoice, Frannet, and many others.  Additionally, at the time of his indictment, Don was no longer marketing BizziBiz franchises.”

Bizzibiz Founder Jim Piccolo on his Fraud Charges

Much of the initial launch of the Bizzibiz franchise has been focused around the experience and leadership of founder & CEO Jim Piccolo.  Jim Piccolo’s integrity and track record were called into question when in February 17, 2011, the Arizona Corporations Commission announced that Jim Piccolo and his business partners must pay nearly $6 Million in restitution and fines for defrauding 105 investors with unregistered deed of trust investments.  See BIZZIBIZ Franchise Founder Jim Piccolo Defrauded 105 Investors, Says AZ.

Jim Piccolo responds:  “Now to address the fraud charges against me… I was named in the Arizona Securities Division’s investigation of Michael Roberts, Charlevoix Homes and Five Star Capital, despite any direct activity with the company or wrongdoing. I agreed to settle the issue rather than fight the Securities Division, which would have lead to more harm and frustration for the investors—many of whom are friends of mine. An important note to make here is my wife Mary and I conducted careful due diligence and received validation of the opportunity through recognition like the Arizona Small Business Association’s naming of Charlevoix as one of its 50 Arizona Companies to Watch.  We invested in the Charlevoix project and our personal investment was, in fact, monetarily larger than all of the other investors in this dispute. The Consent Decree shows that I agreed to settle this dispute and that no findings of fact were made against me. My attorney, Jeff Matura is open to answer questions if you’d like to contact him:

“Jeffrey C. Matura,  Graif Barrett & Matura, P.C.,  E-Mail: jmatura@gbmlawpc.com”

Jim Piccolo on Bizzibiz Client Youngevity & Dr. Joel Wallach 

Our response to a recent Bizzibiz press release (BIZZIBIZ Franchise, Youngevity & Dr. Joel Wallach) made the point that Bizzibiz seems to invite controversy through its questionable associations.  Its first publicly touted client is run by Dr. Joel Wallach, who has been accused of being a con-man and snake-oil salesman.

Jim Piccolo responds:  “Lastly with regards to Youngevity, they are one of many clients that we help with digital marketing. We believe they are a forward-thinking company that has embraced the potential of the internet/digital marketing to grow their business.  The services we provide are a great fit for their needs. Further, if we did not take on customers because some people didn’t like their founders, or they had lawsuits out against them, we’d have to turn down companies like Microsoft and Apple. We also ask that others who choose to attack us do not do it through our client base.  This is not fair to us and certainly not fair to our clients.”

Jim Piccolo Promises Transparency & Openness

UnhappyFranchisee.com seeks to create conversations that provide both sides of an issue so that our readers can make up their own minds.  We appreciate Jim Piccolo’s response to the issues raised here, and are happy to provide an opportunity to clarify and respond on an ongoing basis.  We have taken him up on his offer to hear from happy Bizzibiz clients on the success of their digital marketing, and would further like to hear from Bizzibiz franchise owners about their experiences.

Jim Piccolo responds: “If the writers at Unhappy Franchisee would like to speak with me further regarding BizziBiz, I would be happy to talk with them, or even do a video interview. We also have many happy customers who would be prepared to share their experiences. I know that these types of blogs tend to bring out only the negative—I guess the happy people don’t bother wasting their time on these forums. Man, if I spent my time writing all the great things that I experience everyday with my work, my family, my kids school, my church, and my friends, I wouldn’t have time to do anything else. A wise mentor of mine once told me, ‘Stay true to your vision, focus on the good, move to help your fellow man with love in your heart and you will reap what you sow.’ Not bad advice, huh?

“Thank you for allowing me to share.

“Sincerely,

“Jim Piccolo

“BizziBiz”

ARE YOU FAMILIAR WITH JIM PICCOLO AND THE BIZZIBIZ FRANCHISE OPPORTUNITY?  PLEASE SHARE A COMMENT BELOW.

Email the author at unhappyfranchisee[at]gmail.com

 

BIZZIBIZ Franchise, Youngevity & Dr. Joel Wallach

Bizzibiz, the new digital marketing franchise, has a new social media client:  Multi-level marketing company Youngevity, run the controversial Dr. Joel Wallach.

In yesterday’s press release (included below), Youngevity’s VP of Marketing Vanessa Hunter is quoted as saying “BizziBiz has a great track record of success helping businesses increase their online visibility. We believe they are the perfect technology partner to bring us to the next level of engagement and beyond.”

What is the Bizzibiz “track record of success”?

We’re not sure what track record of success Ms. Hunter is referring to.  Since the launch of the Bizzibiz franchise in January, 2011, Bizzibiz has done little to offset its own Internet public relations nightmare.

In February, 2011, the Arizona Corporations Commission announced that Bizzibiz founder & CEO Jim Piccolo and his previous business partners must pay nearly $6 million in restitution and fines for defrauding 105 investors.  (Read: BIZZIBIZ Franchise Founder Jim Piccolo Defrauded 105 Investors, Says AZ )

In April, 2011, the company filed a lawsuit for legal malpractice against its own franchise attorney and Director of Franchising (Read: BIZZIBIZ Suing Mr. Franchise Kevin B Murphy and Franchise Foundations PC)

In June, 2011, TV huckster Don LaPre – who the company’s Extreme Franchise Marketing arm touted as Vice President, was indicted on 41 counts of conspiracy and fraud, and accused of defrauding 222,000 people of $52 million.  LaPre was arrested after reportedly hiding out in a health club locker room for two days, where he allegedly stabbed himself repeatedly. (Read:  BIZZIBIZ: VP Don LaPre 2nd Exec Indicted for Fraud)

How has Bizzibiz used social media to address these controversial happenings?  Have they addressed or rebutted the critical assertions coursing through the blogosphere, on this site and others?

It appears that they have done nothing except tout their association with another controversial figure, Dr. Joel Wallach.

“A snake-oil sales pitch if there ever was one.”

Bizzibiz client Dr. Joel Wallach and Youngevity have already amassed lots of negative buzz on the Internet already.  Here’s what the critics are saying:

“The lies of Wallach and Australian Longevity may do more harm than simply ripping people off. Several of Wallachs claims are potentially dangerous, and some of his products may be harmful.”  Stuart Adams (Dr. Wallach Exposed)

“Wallach has a long history of involvement in dubious healthcare schemes, such laetrile treatment for cancer, as well as chelation and hydrogen peroxide therapies for coronary artery disease.”  James Pontolillo

“Dr. Wallach is an engaging and entertaining speaker… but this is a snake-oil sales pitch if there ever was one.”  NutriTeam Health Watch

Here’s the press release:

Youngevity®, Direct Marketer of Nutrition and Lifestyle Products, Takes the Leap into Digital Marketing

Consumer Cloud to Provide Vehicle for Greater Growth

 

“With our global network of distributors, we’re well-positioned to leverage social media marketing to our advantage."

San Diego, CA (PRWEB) August 01, 2011

Javalution Coffee Company (JCOF-PK), Youngevity Essential Life Sciences (http://www.youngevity.com), a direct marketer of lifestyle and nutritional products, including gourmet healthy coffee, has selected digital marketing specialists BizziBiz (http://www.BizziBiz.com) to significantly enhance its presence in the digital world. This commitment to social media marketing is central to the company’s growth strategy of mobilizing customers and distributors and their social reach or "network cloud."

According to Vanessa Hunter, vice president of Marketing at Youngevity, BizziBiz will work with Youngevity to help the company enhance its use of social media to grow its online visibility, strengthen its brand and reputation, and allow distributors and customers to more actively engage with the company.

“Word-of-mouth advertising, or referral marketing, is extraordinarily powerful in today’s social networking world,” said Hunter. “With our global network of distributors, we’re well-positioned to leverage social media marketing to our advantage. BizziBiz has a great track record of success helping businesses increase their online visibility. We believe they are the perfect technology partner to bring us to the next level of engagement and beyond.”

Zach Ferres, Tribal Leader at BizziBiz said, “We’re thrilled at the opportunity to work with Youngevity, because they have such a creative vision about the digital era and using online tools to attract distributors and customers. They are an innovative, fast-growing company with lots of energy. Our tool set is a great fit for them.”

About Youngevity

Youngevity Essential Life Sciences (http://www.youngevity.com), a wholly-owned subsidiary of AL Global Corporation, is a nutritional and coffee company dedicated to improving lifestyles through vibrant health and flourishing economics. Founded in 1997 by Drs. Joel Wallach, DVM, ND and Ma Lan, MD, Youngevity is the only network marketing company with an FDA-authorized health claim. CLR Roasters, a coffee roasting and distribution company, is a wholly owned subsidiary.

On July 11, 2011 Youngevity merged with Javalution Coffee Company (PINKSHEETS: JCOF) (http://www.javalution.com), which owns and distributes Café La Rica and other brands, which are distributed to retailers. Javalution also roasts the JavaFit® brand of coffee with health benefits.

ARE YOU FAMILIAR WITH BIZZIBIZ, YOUNGEVITY OR DR. JOEL WALLACH?  SHARE A COMMENT BELOW?

AMWAY: Is Selling Amway Child Abuse? Amway Kids Weigh In.

If your parent is an alcoholic, there are many groups (AlaTeen, AlaTot, Adult Children of Alcoholics) available to help you cope.

But what if your parent (or parents) sell Amway?

Unfortunately, UnhappyFranchisee.com is all you’ve got.  Think of the comments section below as your personal Adult Children of Amway Salespeople (ACAS) cope group.  Feel free to share your thoughts, experiences and feelings so that other ACAS’s don’t feel so alone, and so that potential Amway IBOs (Independent Business Owners) will consider the effect that joining Amway may have on their families.

To start off our virtual ACAS cope session, we will post a message we just received from “R.”  R. reports some of the devastating effects that his/her father’s foray into Amway had on him/her and their family.  As a result of her father’s Amway pipedream, R.’s family was subjected to financial hardship, embarrassment and loss of friends.  R.’s father forced the children to listen to “long, boring tapes,” a practice that many consider child abuse and could have long-term psychological effects.

Here is R.'s story in its entirety.  Feel free to add your own or comment below.

“I don’t have a lot to say, I don’t even know details about how the company works, but I do want to share my experience.

“My father has a tendency to trust people who tell him he can make ‘easy’ money. He is a very honest man, don’t take me wrong, but he is also very naive. We have lost a lot of money every time he gets involved in some sort of “business”.

“When I was about 10 years old my father became involved with Amway. He was completely brainwashed by the idea. Everyday, while we were in the car driving somewhere, he would listen to these really long, boring tapes. We would beg him to turn it off, but he said he had to listen to them because he needed to learn. I have no idea what he learned, I guess nothing.

“My mom told him many times that Amway was not a good idea, but he was obsessed. He spent money we didn’t have buying these overpriced, crappy products that we never used, and the stupid tapes he made us listen to. I think he had to pay for seminars too, I am not sure.

“He tried to get other people to join Amway, but everyone was dodging him. He became this really boring “salesman” nobody wanted to talk to.

“Bottom line is he never made a dime. It only cost us money. Instead of being an extra income, it became an extra expense that we could not afford. Finally, he ended up getting out.

“I am not saying it is a scheme, because honestly I don’t know and I could not care less. The truth is, the average Joe that becomes a member doesn’t make any money. The odds are completely against it. My aunt was also a member… I actually thing she was the one who convinced my father to get in… and she didn’t make a dime either.

“I don’t want to offend anybody, but I have seen the consequences of getting involved with this ‘company’… I don’t think it is worth the time or the effort.”

WHAT DO YOU THINK?  HAVE YOUR PARENTS BEEN INVOLVED WITH AMWAY?  WHAT HAS BEEN THE EFFECT ON YOUR LIFE?

Share a comment or story below.

AMWAY Partner Store Claims Embarrass Their IBOs

The Wall Street Journal, the largest and most influential newspaper of all time, is now partnering with UnhappyFranchisee.com, a web portal currently powered by a guy in a bathrobe speckled with English Muffin crumbs.

Founded in 1889, the Wall Street Journal has the largest circulation of any newspaper in America (2.1 million, including 400,000 paid online subscribers) and is revered as a journalistic bastion of truth and integrity.  In fact, the Wall Street Journal has been awarded the Pulitzer Prize 33 times!

Today we are happy to announce that the Wall Street Journal has entered a powerful partnership with franchise issues website UnhappyFranchisee.com!

Yes, the two titans of financial journalism, WSJ & UF, have joined forces and inextricably fused their reputations and allied their brand images for all to see!

UnhappyFranchisee.com has arrived! Also in the works are UnhappyFranchisee.com power partnerships with Forbes, Time, Newsweek, BusinessWeek, the Vatican and even FOXNews.  Our humble blog is commanding recognition and respect from the biggies, aye?  These major brands would not risk their reputation by partnering with just anyone, would they?

How to Use Affiliate Marketing to Fake Credibility

Is the Wall Street Journal really partnering with UnhappyFranchisee.com?  Why… sort of!

Many major companies have what’s called affiliate programs where they provide coded ads and offers to people with access to a potential customer base.  If someone clicks on one of these coded ads and and buys something, the “affiliate” receives a small referral fee.  There is no huge difficulty in getting accepted as an affiliate and most companies just make sure you’re not running a porn site.  Once I promised that UF was not engaged in cannibalism or ritual human sacrifice, I was accepted as a WSJ affiliate.

To characterize the affiliate relationship as a “partnership” is misrepresentation at best.  And when it comes to unashamed misrepresentation at its best, who can compete with AMWAY?

AMWAY Fights its Sleazedog Image… Again

Despite a 50 year history, 3 million distributors and annual sales exceeding $8 billion, AMWAY has an inferiority complex… and has a long history of unsuccessful attempts at trying to fight off its sleazedog image.  For years, AMWAY told its MLM distributors (called IBOs) to avoid using the AMWAY name when inviting prospects to sales presentations (which further reinforced AMWAY’s image as deceivers).  Then AMWAY tried changing its name to Quixtar, which didn’t work… and they changed it back.

One of the latest and most embarrassingly misguided AMWAY ploys is their attempt to promote simple affiliate relationships with mainstream retailers as “partnerships.”  Here’s how their press release touts their “Best Buy” relationship:

#1 Consumer Electronics Retailer Best Buy Joins Amway Global Partner Stores

A lot of top brand stores have partnered with Amway Global in the Partner Stores & Services area. In this technological era, none is more exciting than the recent addition of number 1 consumer electronics retailer in the U.S., Best Buy.

It seems that Best Buy is not “partnering” at all but merely extending a small referral fee to AMWAY and its distributors that refer them business.  But this gives AMWAY IBOs a chance to exaggerate the relationship in fending off those who say AMWAY is a scam.  IBO Shekhar added these comments on our lively AMWAY post ( IS AMWAY A SCAM?):

Credibility:
IBM, Microsoft, DELL, AT&T, Dish Network, Visa…..these are some of our partners.  Will such companies parter with a Company without checking its market standing ?

…Barnes and Noble, Tmobile, Dell, Dish, Ace Hardware, Sears, AA – have PARTNERED with Amway…..do you understand now ?????? Do you think these companies will “partner” with Ponzi schemes ? do you think they do not have lawyers to check a company out ? Do you think they will partner with a Scam ????

However, other AMWAY IBOs are frustrated by what they see as another thinly veiled deception that will – as always – backfire and cause the opposite of the intended effect.

Here are come comments from the pro-AMWAY comment board AMWAY Talk.  Michman wrote:

Personally, I wish the Partner Stores would go away.
In my experience, the Partner Stores only give the curiosity-approachers an excuse to decieve people into seeing the Amway business.
“I am working on an online marketing venture with Bass Pro and Office Depot.”
After the person gets into the business they finally realize that 99.9 percent of their products are going to come from Amway, not Bass Pro or Office Depot.

ibofightback wrote:

If Amway in this part of the world isn’t going to make the effort to do good deals, then they shouldn’t do them at all as all it does is give critics legitimate ammunition.

stickshark wrote:

Because partner stores (in this market) often have better deals when you don’t purchase though Amway… the Amway brand is tarnished due to the association with partner stores / non core items.

Bridgett wrote:

The argument is that these stores “give us credibility.” Really? I think the negatives (misrepresentation of the business, confusion, non-uniqueness of business model or products) far outweight the positives (supposed credibility).

Well, finally, the AMWAY detractors and supporters can agree on one thing:  AMWAY should stop trying to use blatant deception to build a reputation for honesty.  Both sides are embarrassed by it.

ALSO READ: IS AMWAY A SCAM?

WHAT DO YOU THINK?  SHARE A COMMENT BELOW.

EFUSJON: Is Efusjon Energy Club a Pyramid Scam?

According to the efusjon website:  “efusjon energy club products offer remarkable taste, pack tremendous energy and deliver health and vitality! …Made from 100% all-natural ingredients and with no preservatives or additives, efusjon’s energy drinks give you a rich, smooth flavor you can enjoy anytime – completely guilt-free.”

efusjon is more than a drink… it’s a business opportunity.  Says the efusjon website:  “Not only does efusjon energy club offer the healthiest energy drinks available anywhere, but we also provide you with a unique opportunity to make a serious income! When you become an efusjon energy club Associate, you become part of the most unique compensation structure in the network marketing industry. Our revolutionary new system rewards you not only for the efforts of you and your organization, but even for sales in other people’s organizations! It’s part of the efusjon energy club’s ‘share the wealth’ philosophy that’s a win-win for everyone!”

However, a class action lawsuit has another term for the efusjon energy club’s ‘share the wealth’ philosophy:  An illegal pyramid scheme.  According to the COMPLAINT AND DEMAND FOR JURY TRIAL of LAUREL COOK, on behalf of herself, those similarly situated, and the general public, Plaintiffs, v. EFUSJON, INC., a Nevada corporation; ROBERT TOWLES; R. S. EDWARDS; KEITH DILLON; AARON CALLAHAN; KATHY HUMPHREYS; KENNY GILMORE; MARC SHARPE; KEN VANDER KAMP; and DOES 1-300, inclusive, Defendants filed in the SUPERIOR COURT OF THE STATE OF CALIFORNIA COUNTY OF SAN DIEGO, NORTH COUNTY DIVISION dated November 20, 2009:

Efusjon, Inc. (“efusjon”), a Nevada corporation, sells efusjon’s energy drinks to distributors through a pyramid scheme disguised as a multi-level marketing program. The efusjon pyramid scheme is fraudulent because it induces individuals to invest in products and to recruit new victims into the scheme with the false promise of enormous profits. Completely contrary to the law, efusjon forces its distributors to make purchases and then conveniently considers those purchases as “sales” to meet its legal obligations of accruing retail sales.

New entrants into the pyramid scheme are effectively required to invest approximately $170 per month to buy products from efusjon in order to stay qualified and be compensated under the scheme. Because efusjon distributors essentially do not sell products to consumers who are not also distributors, they obtain returns on their investment in the efusjon program only by recruiting new distributors who will then buy products (and recruit more distributors who will buy products), which purchases result in “bonuses” to the recruiting distributor. The efusjon pyramid scheme is a prototypical one, purportedly formed as a multilevel marketing (MLM) system, with rules and regulations which are drafted solely as a pretense, which are not enforced, and which have no substance in the operation of the business.

In the section of the complaint titled “Nature of Classic, Illegal Pyramid Schemes,” the Plaintiffs allege:

“An illegal pyramid scheme is characterized by the payment of money to a company in exchange for: a) the right to sell a product, and b) the right to receive rewards for recruiting others to join the scheme, independent from the sale of products to the ultimate users… Essentially, participants are duped into believing they are buying into a legitimate business opportunity to sell a product but, in reality, the profits are derived almost solely from money advanced by new recruits inducted into the scheme. In efusjon’s case, the new recruits are under exorbitant pressure to “get their three” and purchase the requisite amount of product for personal use, not for resale… Since the financial incentives require distributors to focus on enrolling new participants in the matrix, the sole way to make money is for the Executive Associates to continually recruit new distributors who are also willing to buy and self-consume, inventory load, discard, or give away the efusjon products. There is no incentive to make outside retail sales. This fact alone renders efusjon a classic recruitment pyramid scheme.”

DOCUMENT (PDF): 22852924-COOK-v-EFUSJON

ARE YOU FAMILIAR WITH THE EFUSJON ENERGY CLUB MLM OPPORTUNITY? SHARE A COMMENT BELOW.

Image:  prlog

IS AMWAY A SCAM?

 Have you ever had a good friend or close relative join AMWAY (Mary Kay, Herbalife, Quixtar, Meleleuca, Shaklee, USANA, nuskin, or other mlm, multilevel or network marketing scheme) and suddenly become the annoying sales zombie from hell?

The question came from a comment left on the post IS AMWAY A GREAT BUSINESS OPPORTUNITY? thirstyfox claims that Amway/Quixtar is a cultlike scam that makes everyone annoyed with her deluded sister:

My sis was in it once, wasted all her time and in the end made little or nothing.

She got back into it recently against everyones advice.  It’s like a cult that turns you against your family so you don’t listen to them. Now she has no time for family, just scamming strangers and wasting her time away with unfullfilled dreams.

The constant meetings are to keep you brainwashed.   It’s all a scam and she knows it herself now as she tries to get others in “under her.”  Hard to see her as a Christian anymore when she does this, and it’s sad to see all the time she loses when she could be raising her kids.

I’ll never understand how she could be so stupid. I asked her why she got in it last time and she said of course money.  Then I asked her what she got out of it and she replied defensivly “I met a lot of very interesting people!”  I think that about says it all and if it didn’t work for my sis it won’t work for anyone.

All the BS they tell you about how well this that and the other person did or is doing is all lies so they can get your money.  98% of all Quixtar products are sold ONLY to stupid Quixtar members themselves, yet they go around saying they own a business???

Don’t give them a second of your time.

What do you think?  Does Multi-level “Network” Marketing consists of stupid, annoying members selling worthless stuff to other stupid, annoying members?  Share your MLM story below.

WHAT DO YOU THINK?  SHARE A COMMENT BELOW.

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