NOTE: We listen in on the public company earnings calls and the transcripts so you don’t have to. Check back each quarter for our review with insights and takeaways for your own business.
“This was felt everywhere and in everything; the immediacy of things shutting down in a manner of days was extraordinary.” —Brian Kraus, VP Global Manufacturing, Amway
“We were fortunate that we had some plans in place to be able to respond as quickly as we did. It’ll be interesting to see, as an industry, how this changes things in the coming year.” —Brian Kraus, VP Global Manufacturing, AmwayAlready faced with a variety of new challenges in the coronavirus era, direct sellers are dealing with another major hurdle affecting their daily business: supply chain disruptions.
Last year, the U.S. imposed new duties on steel and aluminum imports from Canada and Mexico, prompting the Mexican government to react with its own set of retaliatory tariffs that ended up having an impact on some U.S. direct sellers that sell health supplements.
“If China wants to restrict anything coming from the U.S. or tax any company it sees fit from the U.S., it could do that very easily. In that scenario, what’s going to happen is that the cost is going to be absorbed by the company or passed on to the consumer.”
—Rafael Miner, partner, Miner Group Consulting
“We’re taking the cue from our government relations team in China, and they’re staying in regular contact.” —Keven Guest, CEO, USANA
We listen in on the public company earnings calls and read the transcripts so you don’t have to. Check back each quarter for our review with insights and takeaways for your own business. This report includes an update on the earnings calls from Mannatech and Reliv, both of which had revenue losses for the year-end quarter.Please see the March and April issues for reports from the other public direct selling companies.
Founded: 1984 Executive: Ritch Wood Location: Provo, Utah 2018 Revenue: $2.68 billion Stock Symbol: NUS—NYSE Website: www.nuskin.comSSN: What do you feel are the advantages of having both a corporate perspective and a field perspective? Companies that figure out how to disrupt themselves before they get disrupted from external forces are the ones that survive. I think you have to have institutional knowledge to be able to transform a business.