Big changes at the top of an organization always cause ripples down through the ranks. Nikken made big changes that began to take effect in November with lower prices and a shift in focus toward sales to retail customers.
What Has Changed
Some of the top-ranked big name Royal Diamonds, including two in my own upline, decided to leave, which causes more ripples down through the ranks. It’s really not a huge surprise. They are career network marketers who have always focused on building a huge team. If you read my previous post you know that Nikken took some of the money incentive out of team building by lowering the commission value on most of the products to encourage distributors to put more focus on building a retail customer base.
I admit, I was a bit concerned last fall when all of these changes were announced. They closed some of their markets in other countries, Australia being probably the biggest. Some of them were underselling so it just didn’t make sense to be there losing money. Other countries have very specific requirements that made the cost of the products and of doing business very high. I know a lot of people in Australia found it less expensive to have friends or family in other countries, like here in the US, buy the products for them and then forward the package to Australia once it arrived. Neither Nikken nor the distributors in a country are going to make money if their customers are buying the exact same products overseas for that much less.
Nikken also dropped a handful of products, and lowered the price on almost all the rest. They discontinued all of the PowerBand colors except black, and dropped the KenkoAir Purifier air filter, the KenkoLight full-spectrum lamp, and the MagCreator magnetic roller. Black has always been the most popular PowerBand color, so that wasn’t much of a surprise. Dropping the other products was a big surprise to me. It looks like they may be reconsidering though because the KenkoAir Purifier and the KenkoLight both sold out immediately, were restocked, and are now back in their regular spots in the online store. Sales picked up significantly for a lot of the more expensive items once the new lower prices took effect. I hope they decide to keep the MagCreator too because it has been selling very well and I really like mine.
Looking Forward
With all of the changes in the past few months it was easy to get really concerned about whether Nikken was going to continue to be around. If those changes had been spread out a little more, I doubt most people would have really paid too much attention because they all make sense for advancing the overall business. Even two of the biggest three names in my upline leaving the business makes sense because the focus going forward isn’t solely on recruiting and making money on your downline anymore. They must have taken big hits to their paychecks in December with the new lower commission values assigned to the products.
The current president of Nikken is making a bold move personally to show people that he believes the recent changes are the right thing for the business, and especially for the distributors, by resigning his position on the executive team and taking up one of the abandoned Royal Diamond distributorships. So, effective February 1, it appears that I will have a new upline Royal Diamond. It will certainly be interesting to see how all of this continues to play out.
As for me, I’m going to continue pretty much the way I have been for the past eight years or so. My focus from the beginning has always been on selling the product to earn retail profit. All money made in the Nikken business opportunity comes from somebody buying a product, either a distributor buying it for themselves or selling it to customers. The price of each item sold has two components – retail profit and commission. As the distributor selling the item, the retail profit is all yours less any discount you may offer your customer. The commission part is shared by you and potentially a few people above you in your organization. Therefore, your retail profit has always been and will continue to always be the biggest source of income that you can make as a Nikken distributor.
If you are ready to join a business that not only allows but encourages you to make money from day one then I’m ready to help you get started. Leave me a comment below, call or email me at the number or email address at the top of this page, or go ahead and sign up now and I’ll contact you.
Disclaimer and Disclosure
There is never a guarantee that you will make money with Nikken, in network marketing, or any other business opportunity. My experience shows that you will get out of it what you put into it. I am a Nikken distributor and I make most of my money from retailing product to customers. If you would like to do the same and are willing to work then join my team.
