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What happened to North American Power?

North American Power was a clean energy MLM that closed their network marketing branch in 2015.

They had their run for a while, but like most MLMs, the success and home based business opportunity was short lived.

So what exactly happened to them and was I involved?

This video explains:

 

All good? Let’s continue…

Overview

North American Power (NAP) was founded in 2009 by Carey Turnbull and Kerry Breitbart. They’re headquartered in Norwalk, Connecticut with 70+ full-time employees. They’re BBB accredited with an A+ rating. [1]

These guys really skyrocketed onto the scene. By 2011 they were already on the Forbes list of “America’s Most Promising Companies”, all the way up at #57. [2]

In 2013, they hit $263.3 million in annual revenue. In 2014, NAP was named one of “America’s Fastest Growing Private Companies” by Inc. Magazine due to a massive 991% 3-year growth rate. [3] [4]

In under a decade, NAP managed to make a big name for themselves and work their way up to nearly $500 million in annual revenue. [5]

A lot of this was thanks to some very wise moves by founder Kerry Breitbart. It’s no surprise that he got as far as he did, considering he’s a major player in the energy industry with 20+ years of experience in high-level positions. His most recent post was as President and CEO of United Companies, and he’s a member of the National Energy Marketers Association Energy Committee.

But in 2015, he had to make one particularly tough and unfortunate decision. NAP decided to dissolve its network marketing arm and left distributors totally out of work. [6]

How exactly this happened isn’t really clear, because the announcement kind of came out of left field. Energy MLMs are hot right now (see: Powur, Viridian, and Stream), but it’s hard to pull off direct sales in such a highly-regulated industry.

MLM isn’t exactly known for playing by the rules.

While the shutdown might have surprised NAP’s distributors, it doesn’t surprise me. This is how it always goes in MLM – shoot up into the sky for a few years and then crash and burn.

It sucks for distributors more than anyone else. One day you’re moving up to top ranks, raking in the residuals, and the next day you’re back to square one with nothing to show for your hard work. The company, of course, keeps all the customers you worked so hard to sign.

How much does North American Power cost?

There’s no fee to sign on as a distributor, but you do have to purchase one of NAP’s energy plans. The cost is your monthly energy bill, which varies greatly depending on your energy usage.

Products

NAP sells energy services in the 12 states that have deregulated their energy industries. These states are Connecticut, Georgia, Illinois, Maine, Maryland, New Hampshire, New Jersey, New York, Ohio, Pennsylvania, Rhode Island, and Texas.

Basically, companies like NAP don’t follow standard government regulations when it comes to energy providers. NAP doesn’t actually control any energy plants or generate your electricity. What they do is purchase lots of electricity at a wholesale price, break it up into small units, and then sell one of those units to you at a retail price. Therefore, you don’t have to schedule any installations or home visits in order to become a NAP customer. You simply fill out a form online.

They’re mostly known for electricity and natural gas, but they actually provide four different energy services.

  • Electric
  • Natural gas
  • Solar
  • Wind power

You have the option to purchase an 8-month contract, a 12-month contract, or a month-to-month plan. Of course, you pay significantly more for the month-to-month plan than you would if you were to purchase a contract.

Along with the purchase of any energy services from NAP, you’ll get an automatic Understandabill report delivered to you each month. This report details all your home energy usage, sending you data on your current habits and advice on how you can conserve energy and save money.

Compensation Plan

Under NAP’s direct sales model, customers and distributors were one in the same. Anyone who became a NAP customer could then market NAP’s services to friends and family to get discounts on their own services, commissions, bonuses, and more.

The NAP compensation plan no longer exists, but it was a unilevel plan with modest commissions on personal sales. The money, as always, was in recruiting a big team to do the work for you.

Bonuses were also pretty generous if you knew how to recruit. If you could recruit at least 3 teams of 10 customers, you could qualify for these bonuses. They started at $500, but if you really bulked up your team, you could win all the way up to $5,000. Not bad.

Recap

These guys had all the ingredients to become the next big hit in MLM: a knowledgeable, experienced founder, big initial buzz, a solid compensation plan, and a product that everyone needs. They were well on their way, too.

What happened?

The same thing that happens to so many other promising MLMs. There’s a saying that sums it up pretty well: the brighter your star, the faster it burns. Believe it or not, 6 years is longer than most last.

North American Power is still around, and their CEO is probably still making good money off the name and client base that their distributors built. But of course, their distributors aren’t ever going to see another penny from all their hard work.

Look, I’m not a hater of the company. But if you like passive income streams, there are much better opportunities out there.

In other words, you might like our training because it teaches the “good life” without selling electricity to your family and friends.

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Multilevel Marketing

Zija review: Nutritional supplements from moringa

Zija is a nutritional products network marketing company capitalizing on the healthful properties of moringa.

In May 2017 they acquired Xango, making them a bigger force in the health MLM space.

Run by a pioneer inventor in the herbal supplement industry and propelled by a top Harvard scientist, Zija is setup to do big things.

Overview

We’ll take a look at exactly what Zija is celebrating. You’ll find out whether the science is there to support the claims made about moringa. You’ll also discover how well their International compensation plan stacks up in a sea that’s brimming with nutritional energy drinks (hint: Tru Vision, Isagenix, and Visi).

First let’s find out about moringa.

Moringa Oleifera is a tree found in the foothills of the Himalayas known for its drought-resistant properties (1). The seedpods are eaten in Africa and Asia. The leaves are the most nutritious part and are eaten in Southeast Asia. The flowers are said to taste like mushrooms.

There seems to be no question as to the high nutritional value of moringa. It’s a good source of protein as well as vitamins, amino acids, minerals, and phenolics (2).

But delve a little deeper and the clinical studies aren’t there yet for many of the claims made by Zija Interntional. More on that below.

Who is Zija International? The founder of Zija is Ken Brailsford. He is credited with inventing herbal encapsulation, and with helping to bring moringa to the supplement industry after watching a documentary about the health benefits of consuming parts of the moringa tree.

Mr.Brailsford is actually something of a “star” in the herbal supplement world. He started Nature’s Sunshine in the 1970s, to capitalize on his new herbal encapsulation methodology. He ran that until 1979 when he left to become a stockbroker because of a noncompete clause with Nature’s Sunshine (3). He later went back but fully retired in 1997 until he founded Zija years later.

The company is based in Lehi, Utah and boasts an executive team of “experienced MLM professionals.”  That would include CEO Rodney Larsen who was hired to promote the growth goals of Zija. Mr.Larsen has been with ZI since 2006 and his LinkedIn profile shows no other data before that year. Some Zija affiliate websites do mention that he worked for NEXX and a branch of NuSkin Entrprises before joining Zija.

President Brad Stewart’s profile mentions that he has managed his career “through vision and faith”. He has been involved in network marketing his whole life.

Executive Vice President Darrell Eyre started as an Amway distributor and has been in network marketing for 25 years.

COO Michael Hershberger has over 15 years experience in management and IT and an MBA.

The takeaway: apart from the Chief Operating Officer, Zija International is run by people who have pretty much always worked in network marketing. The founder is recognized as an important figure in herbal supplement history and founded one of the oldest and most successful herbal supplement companies in the world.

Zija International is a BBB accredited business with a rating of A+.

Products

The ZI products can be divided into three categories: moringa, ameo, and ripstix. Headed by  Harvard Medical School valedictorian Joshua Plant, the scientific wing of Zija International is actively engaged in formulating new products based on moringa and other botanicals.

Moringa is believed to support a wide range of health benefits, including anti-inflammatory support, improved digestion, improved mental clarity, increased energy, anti-aging, immune system support, and blood glucose level regulation. All of these benefits are listed on the Zija International website.

Scientific evidence and clinical trials, however, are hard to find.

There is one agricultural study  where mice and ruminants were given moringa tea. It was found that the white cell count in the mice who drank the tea was significantly higher. Mice also experienced reduced inflammatory responses.

In that same study, Moringa also improved cell viability in sheep and goats, and reduced oxidative stress from internal parasites. No effect on the gut health of pigs was observed, however (4). The results of this study have only been published informally to date.

The same Ag & Tech school that’s conducting that study is also looking into the use of moringa to promote animal health. Specifically, they’re researching moringa’s effects on the immune system (on B and T cells). In addition, they’re studying moringa’s effects on growth rate and performance of pigs. However, at this time it’s merely stated that more research is needed (5).

There is also a World Health Report citing the use of moringa in the use of water treatment in developing countries (6). But so far, not much has made it into the National Institutes of Health’s PubMed system.

The takeaway: moringa is incredibly nutritionally dense, but clinical studies are needed to support many of the health benefit claims made by Zija Interntaional.

Essential oils produced with clinical-grade standards and Zija’s exclusive patent-pending certification system.

Ripstix Hydration and Fitness Line – these are energy drinks in powdered form. Fitness supplements containing L-arginine (8) and electrolytes, they also contain fructose which some people try and stay away from.

Compensation Plan

There are tens of thousands of independent distributors working for Zija International. They have access to an extensive network of Zija training modules, including videos, an app, audio training, all of which is measured by a series of exams.

It’s the only MLM known to have a certification process for its distributors. Not only that, but every 90 days, distributors must re-certify. Passing exams means higher pay, too (7).

This is similar to how non-MLM companies handle their training. For example, public school teachers get pay raises when they pass graduate-level courses from accredited institutions of higher learning.

So what if Zija operates its own training, testing, and certification program in-house: it’s far above and beyond what you’ll see in other MLM companies.

Details:

1) IBOs profit by purchasing products at wholesale prices and selling them at retail (up to 25% profit).

2) Qualify to earn commission by being on autoship for at least 75 PV per month.

3) Get 10% of sales made by your personally enrolled recruits.

4) Team commissions and further bonuses as you advance in rank.

Recap

Zija appears to offer a good product. They have done a lot of things right and have a unique niche in the competitive nutritional supplement industry. But the income potential isn’t worth my time.

I’m not saying Zija International is a bad company – they’re not.

With any MLM, peddling products to your family members and friends at church might work for a couple months…maybe over a year if you’re lucky.

In the end, it’s still the sad story of selling hype and chasing the hot opportunity.

There is a better way.

Check this out. This will help wreck your money-chasing habits.

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