Herbalife began as a young man’s dream more than 29 years ago. Mark Hughes was just 18 years old when his mother, Joan, passed away from an accidental overdose of prescription weight-loss drugs.
As a part-time model and actress in Los Angeles, Joan struggled with her weight for many years and found a convenient and effective method of weight loss as a single working mother in the late 1970s with few alternatives other than diet pills. Diet drugs are highly addictive, have terrible side effects and make sleep difficult, so Joan also took sleeping pills and sadly overdosed and died.
This event and the life situation of Mark Hughes impacted him so deeply that Mark decided he would make a difference in the world by finding a safe and effective alternative to the drugs and diet pills that had killed his mother.
Mark was interested in nutrition and particularly Chinese herbs. He studied these herbs and traveled throughout China speaking with Chinese herbal doctors and discovered first hand the incredible health benefits these herbs have on the human body. The Chinese brand discovered that he had been using these herbs for thousands of years as his medicine.
Despite having no medical background, never finishing high school, no business background and no money, Mark managed to find someone who would listen to his idea and with their help and support and 1 year of testing and refining together they form “Formula 1”. A meal replacement made with soy protein, vitamins, and herbs. Mark wanted to help people lose weight by replacing 2 meals a day with this formula, thereby reducing calories while getting 100% of all the nutrition cells need for optimal health. And “Cellular Nutrition” was born.
In February 1980, at age 23, Mark landed his first customer with the product, his grandmother Mimi, who lost 20 pounds and introduced 20 of her friends.
Word quickly got out that people were not only losing weight on this product, but because their systems were being cleansed of the herbs, they began to look younger, get more energy, normalize their blood pressure, and get many other health benefits, and by the end of its first year Herbalife had sold more than $2 million dollars.
Now, armed with loads of incredible health AND income testimonials, the company grew rapidly.
In 1981 US$10 million
In 1982 US$52 million
In 1983 US$148 million
In 1984, Herbalife made $402 million, making it the fastest growing company in US business history, breaking all kinds of records and achieving remarkable things because of three very important factors.
1) The product. Mark decided early on that Herbalife products would be made with the latest in science, technology and medical discoveries and that no amount of time, effort or cost would be diminished from that number 1 purpose. The products would be the best form of food for the human body that money could buy. Combining Chinese herbal wisdom of over 6,000 years with Western nutritional technology and making it consumable, easy to prepare, and tasty was certainly a task, but Mark Hughes and his team of physicians and scientists accomplished just that.
Today, the Herbalife product range includes weight control, specific nutrition, external nutrition and personal care. All made with natural herbal ingredients and designed to cleanse and nourish the cells of the body for maximum health results.
2) Personal training. Mark realized the need for a “personalized” approach to weight loss. He knew that selling the products in a supermarket would decrease their effectiveness, so Mark decided that the best way to “change the world” was through multi-level marketing. Through MLM, the consumer will not only get the best products, but they will also get the best service by having a Herbalife Distributor as their personal trainer to help them.
3) The Compensation Plan. Mark realized that to make his dream of “making the world healthier” come true, he would need a highly motivated team of distributors, so Mark created the compensation plan to beat everyone else.
1º The Compensation Plan pays a maximum of 50% on all sales. From high school students to moms, taxi drivers and even your family doctor, making sales means helping someone improve their health and therefore adding an extra couple hundred or thousands of dollars to their monthly income.
2. Rewards distributors who grew an organization to help with the ‘Dream’. From 1 distributor to 100,000, you’ll be paid fairly across your entire team, including wholesale commissions up to 25%, royalties 15%, and infinite bonuses up to 7%, vacations, and worldwide sales bonuses amounting to 1% of the annual turnover. In total, Herbalife pays out 73% of all product sales to its distributor base, making it the fairest and highest-paying compensation plan in the entire industry.
Today the records speak for themselves. 29 Years in Business, 70 Countries, $3.8 Billion in 2008, New York Stock Exchange Listing, Nobel Prize Winning Scientists, UCLA Medical Advisory Board, Over 100 Million RECORDED Testimonials, The Foundation for the Herbalife Family supporting at-risk children around the world and iconic sports sponsorship deals, including the LA Galaxy and David Beckham, are just a few of the achievements. But the most incredible thing is that Herbalife is officially the “Number 1 Weight Loss Company Worldwide”.
It is true that ‘One man can make a difference!’ Mark Hughes has shown that anyone with a dream and the determination to make it come true can change the world for the better.
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