MLM Weekly News: BeHip Wins In Court, Paul Kroto Makes a Move, FTC Warning, And More!!!

This weeks Direct Selling News, has the Network Makreting Community on fire as more and more companies and distributors prepare for 2013!!! Even her at MLM Help Desk we are making some huge moves in how we cover the news and create our video news reports.


Social Media Marketing or Spamming? Direct Selling Companies Share Their Take on Where to Draw the Line Online

DSA News

According to a report issued earlier this year by Business2Community, social media accounts for only 16 percent of customer engagement today; however, that number is expected to jump to 57 percent within the next five years, making it the second-most used channel behind face-to-face interaction.

Recognizing how often consumers turn to social media for product advice, brand recommendations and more, approximately 90 percent of companies nationwide use social media marketing, yet many are left wondering where the dividing line between “too much” and “too little” interaction through social networking platforms stands. (Read On)

Direct Selling Edge

The Direct Selling Edge conference for MLM startups is back!  The event kicks off on Thursday, January 10th in Las Vegas.  See below for a link to purchase your ticket.  The details for the conference can be found on our MLM Startup Conference page. We received some great feedback after our last conference and we’ve made the agenda even better. In addition to our already stellar lineup of MLM professionals, we’re very pleased to announce our latest guest at the DS Edge Conference. Len Clements. 




Hello my name is Paul Kroto. I grew up and currently live in Buffalo, NY. After graduating from high school I joined the Marines for 4 years and I was proud to serve my country. Upon returning home I went to college to earn my bachelor’s degree in health and wellness and continued on to get my master’s degree in Nutrition.

Zig Ziglar once said, “You can have everything you want just as long as you help enough people get what they want.”  Because I was so focused on helping other people have more energy and become healthier I was able to turn my yearly income into my monthly income!  For the past 17 years I have continued to share the ”Dead Doctors Don’t Lie” recording with people every day. I have helped thousands of people achieve health and wealth in their lives from just sharing this audio recording. (Read On)



Direct Selling Professionals News 

MonaVie recently announced the following new appointments to its executive staff:

  • Gavon Barkdull has been named President of US Latino Market
  • Katy Holt-Larson was appointed VP of North America
  • Dr. Shawn Talbott was promoted to Chief Science Officer

Catherine EhrenbergerAmway’s Vice President, R&D, Quality and Regulatory, has been elected to the American Cleaning Institute’s Board of Directors.

Michael Norris has been named to the newly created position of President, PartyLite Americas, for PartyLite.



We have 2 pages left to sell before we’re done for the year. This is your last chance to reach 25,000+ of the nation’s top network marketers & opportunity buyers – January 2013.

  • 2 Page “Spread” – $1495 (Reg. $1795)
  • 1 Full Page – $795 (Reg. $1045)
  • 1/2 Page – $495 (Reg. $635)

HAVE A VERY MERRY CHRISTMAS! We’ll see you again in the New Year – 2013… God Bless you and your family this coming year! <><

Christ’s Blessings,

Bob Schwartz. Jr.
Phone: 717-426-2438


Network Marketing Companies In The News

Amway has partnered with NBA teams the Golden Gate Warriors and the Orlando Magic, as well as the Global Alliance for Improved Nutrition, to raise awareness and funds to call attention to the malnourishment of children worldwide.

In other company news, Amway has purchased the Fulton Street Strip in Ada, Mich., which will enable a redesign of the town’s village. The finalization of the purchase of the properties was announced by township officials, who say they are excited about the new development possibilities provided by the sale.

Avon has opened voting for its Makeup Mavens video contest for U.S. representatives. More than 600 Avon representatives submitted how-to beauty videos for the chance to be crowned one of four Makeup Mavens, who will serve as Avon Color Brand Ambassadors throughout 2013.

Melaleuca has started to build a 371,000-square-foot home office building, which the company estimates will cost $50 million. The building will house all of Melaleuca’s international and domestic operations except for manufacturing and distribution. It will be the latest addition to the company’s 195-acre campus in Idaho Falls, Idaho. A distribution center is already on the site. Manufacturing operations will follow in coming years, the company said.

Talk Fusion has entered into a second year as the exclusive American corporate sponsor of David Zauner, a member of the Austrian ski jumping team and Talk Fusion Diamond Elite Associate.

USANA made a $10,000 donation through the International Relief Teams to aid victims in the Philippines of Typhoon Bopha. This is the second USANA True Health Foundation donation this year that has gone to support relief efforts in the Philippines.

In additional company news, USANA recently opened an office in Mexico City, Mexico. The new 10,000-square-foot building will house 38 employees with room for 325.

USANA is also now the title sponsor of an Audi FIS Ski Cross World Cup stop and FIS US Snowboard World Cup event. The events, scheduled to be held on Dec. 14, 2012, at Telluride Mountain Resort in Colorado, will be renamed the USANA Ski and Snowboardcross (SBX) Cup.


FTC’s Second Kids’ App Report Finds Little Progress in Addressing Privacy Concerns Surrounding Mobile Applications for Children

Kids’ Data Still Collected, Shared without Parents’ Knowledge, Consent

The Federal Trade Commission issued a new staff report, “Mobile Apps for Kids: DisclosuresStill Not Making the Grade,” examining the privacy disclosures and practices of apps offered for children in the Google Play and Apple App stores.  The report details the results of the FTC’s second survey of kids’ mobile apps.

Since FTC staff’s first survey of kids’ mobile apps in 2011, staff found little progress toward giving parents the information they need to determine what data is being collected from their children, how it is being shared, or who will have access to it.  The report also finds that many of the apps surveyed included interactive features, such as connecting to social media, and sent information from the mobile device to ad networks, analytics companies, or other third parties, without disclosing these practices to parents.

“While we think most companies have the best intentions when it comes to protecting kids’ privacy, we haven’t seen any progress when it comes to making sure parents have the information they need to make informed choices about apps for their kids.  In fact, our study shows that kids’ apps siphon an alarming amount of information from mobile devices without disclosing this fact to parents,” said FTC Chairman Jon Leibowitz.  “All of the companies in the mobile app space, especially the gatekeepers of the app stores, need to do a better job.  We’ll do another survey in the future and we will expect to see improvement.”

Staff examined hundreds of apps for children and looked at disclosures and links on each app’s promotion page in the app store, on the app developer’s website, and within the app. According to the report, “most apps failed to provide any information about the data collected through the app, let alone the type of data collected, the purpose of the collection, and who would obtain access to the data.   Even more troubling, the results showed that many of the apps shared certain information with third parties – such as device ID, geolocation, or phone number – without disclosing that fact to parents.  Further, a number of apps contained interactive features – such as advertising, the ability to make in-app purchases, and links to social media – without disclosing these features to parents prior to download.”

The survey found that:

  • Parents are not being provided with information about what data an app collects, who will have access to that data, and how it will be used.  Only 20 percent of the apps staff reviewed disclosed any information about the app’s privacy practices.
  • Many apps (nearly 60 percent of the apps surveyed) are transmitting information from a user’s device back to the app developer or, more commonly, to an advertising network, analytics company, or other third party.
  • A relatively small number of third parties received information from a large number of apps.  This means the third parties that receive information from multiple apps could potentially develop detailed profiles of the children based on their behavior in different apps.
  • Many apps contain interactive features – such as advertising, links to social media, or the ability to purchase goods within an app – without disclosing those features to parents prior to download.
    • Fifty-eight percent of the apps reviewed contained advertising within the app, while only 15 percent disclosed the presence of advertising prior to download.
    • Twenty-two percent of the apps contained links to social networking services, while only nine percent disclosed that fact.
    • Seventeen percent of the apps reviewed allow kids to make purchases for virtual goods within the app, with prices ranging from 99 cents to $29.99.  Although both stores provided certain indicators when an app contained in-app purchasing capabilities, these indicators were not always prominent and, even if noticed, could be difficult for many parents to understand.

The report strongly urges all entities in the mobile app industry – including app stores, app developers, and third parties providing services within the apps – to accelerate efforts to ensure that parents have the key information they need to make decisions about the apps they download for their children.  The report also urges industry to implement recommendations in the recent FTC Privacy Report including:

  • Incorporating privacy protections into the design of mobile products and services;
  • Offering parents easy-to-understand choices about the data collection and sharing through kids’ apps; and
  • Providing greater transparency about how data is collected, used, and shared through kids’ apps.

In addition, FTC staff is developing new consumer education directed to parents to help navigate the mobile app marketplace and avoid apps that fail to provide adequate disclosures.

The report also states that FTC staff is launching non-public investigations to determine whether certain entities in the mobile app marketplace are violating the Children’s Online Privacy Protection Act or engaging in unfair or deceptive practices in violation of the Federal Trade Commission Act.

The Commission vote authorizing staff to issue the report was 5-0.

The Federal Trade Commission works for consumers to prevent fraudulent, deceptive, and unfair business practices and to provide information to help spot, stop, and avoid them. To file a complaint in English or Spanish, visit the FTC’s online Complaint Assistant or call 1-877-FTC-HELP (1-877-382-4357). The FTC enters complaints into Consumer Sentinel, a secure, online database available to more than 2,000 civil and criminal law enforcement agencies in the U.S. and abroad. The FTC’s website provides free information on a variety of consumer topics.  Like the FTC on Facebook, follow us on Twitter, and subscribe to press releases for the latest FTC news and resources.

Office of Public Affairs
Manas Mohapatra
Bureau of Consumer Protection