Network Marketing: Past and Future

When Carl Rehnborg founded California Vitamins Corporation in 1934, which changed it’s name to Nutrilite in 1939, he set out to develop the first Vitamin and Mineral Supplements.  His goal was to use the research he had gathered while living in China to create a dietary supplement that consisted of natural ingredients like alfalfa, watercress, and parsley.  His research had shown the distinct difference in overall health between those that ate more natural foods over those filled with sugar, salt and fat.  It was the first time North Americans were able to live healthier by supplementing their diets with Multi-Vitamins and Minerals.  But, Carl had no idea he was also about to create a new Industry and begin the first Network Marketing Company.

Carl began to sell the Supplements to his family and friends.  When some of his earlier customers began to refer new customers to him, he suggested they sell the products themselves and were given discounts on their products.  As the company grew and developed what would now be known as the compensation plan, those who were selling for Nutrilite, began to earn a percentage of the overall sales each month and were also rewarded for “training“ new people to sell.

Rich DeVos and Jay Van Andel were the leading people that made Nutrilite a success.  They both sold Nutrilite’s Vitamin and Mineral Supplements for 10 years, before branching off by themselves and founding Amway in 1959.  Amway later acquired Nutrilite and is now sold exclusively through their Distributors.

Today, the Network Marketing Industry has not only stood the test of time, but has grown into a world-wide $114 Billion a year Industry.  There are over a thousand different companies that are successfully using this business model.  Offering thousands of different products including health-care products, skincare products, educational products and many more.  Network Marketing has experienced a 91-percent growth in the last 10 years and financial experts say it’s a “recession proof” industry.  Network Marketing has created thousands of Millionaires and continues to change lives for the better.

Filed under: Network Marketing

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