I hope everyone is looking forward to enjoying a relaxing and well-deserved Labor Day holiday weekend in the days to come. As we celebrate the achievements of our fellow American workers to start this month, I am particularly inspired by the passion, positivity, and grit that is on display in this country as we face so many concurrent challenges—the global economic downturn, geopolitical upheaval affecting trade, and the continuing pandemic.
As many of the second-quarter earnings calls recently revealed, direct selling companies have not been immune to the hardships brought about by worldwide inflationary trends, COVID-19 disruptions and lingering supply chain issues. However, this business channel has demonstrated over the past several years a remarkable ability to adapt and respond to problems with ingenuity and forward thinking. This creativity inevitably leads to a renewed excitement for the brand that is passed from the C-suite to the business partners to the customers.
A perfect example of this can be found in our report on Q2 earnings calls. Tupperware CEO Miguel Fernandez laid out plans to counter the company’s sales decline with an omnichannel expansion and began testing new pricing and merchandising approaches on certain products to gauge customer response. I admire the company’s resolve to meet adversity with creativity and outside-the-box strategies.
Likewise, Herbalife CEO John Agwunobi announced what he called the “single most significant investment in the company’s history,” a $400 million investment in an AI-powered data platform that will serve as the cornerstone of Herbalife’s digital strategy to “supercharge distributor growth and elevate customer experiences.” A bold and exciting move!
I was also excited to see Pampered Chef honored by the Direct Sellers Association of Canada with the 2022 Industry Innovation Award for its implementation of a virtual party platform that gives consultants the ability to combine a virtual kitchen with social interaction and live video engagement. While ingenuity such as this provides obvious benefits during the pandemic, I know that these innovations will be utilized for decades to come.
I love the quote from American inventor, businessman and founder of Learjet, Bill Lear. He said, “The best of life is the exercise of ingenuity—in design, in finance, in flying, in business.”
As the direct sellers continue to navigate the turbulence of 2022, let us not lose sight of the ingenuity that fuels so many of the success stories in this channel, even in the most challenging of times.
I wish each of you a successful and rewarding month ahead.