XS Energy Drink from Quixtar
I had a friend give me a Citrus Blast XS Energy Drink, from Quixtar. I thought it was pretty good and it didn't have any carbs so I imagine this would be a great product to retail considering the Atkin's Diet Craze.
In my opinion most Quixtar products are next to impossible to sell at the retail pricing. I also find that most people who do any significant retail volume do not charge retail prices but rely solely on the volume bonus to make a profit.
So here comes XS Energy Drink; competitively priced and market relevant. A home run right?
Let's take a look at the numbers:
XS Energy Drink (1 Case - 12 Cans)
List Price: $23.99
Your Price: $20.40
PV/BV: 7.54/20.40
The retail profit on 1 Case of XS Energy Drink is $3.59 or 15%. If you are 100PV in Quixtar, (keep in mind you would have to sell 14 cases of XS Energy Drink to move 100PV), you would make another 3% of $20.40 or $0.61. Total profit on a case of XS Energy Drink if you are at the 100PV level is $4.20 or 17.5%.
Even people in the e-commerce field will tell you that operating on a 17.5% Gross Profit Margin is tough. Let's look at how competitive the product really is.
180 Energy Drink appears to be a competitive product. 0 Carbs, etc. $21.99 online at Beverages Direct
Red Bull Sugar Free 3 Carbs, $21.99 online
Hansens Diet Red, 3 Carbs, $21.00 online
XS Energy Drink, 0 Carbs, $23.99
If Quixtar IBOs want to compete they would have to drop the price by $2.00, thus leaving the Gross Profit at $2.20 or roughly 8%.
Speaking strictly from a product standpoint, I like the taste and the fact that it has no carbs, it's too bad most of the sales of this product will be to folks that are already involved with Quixtar itself.
You make some good points. We have many customers who buy XS through us at retail, but here is the best part. Our customers are set up to order directly from Quixtar.com. That way, we don't have a bunch of money tied up in inventory and we are able to have customers all over North America. 17.5% is very good when you haven't put out money bringing stock in.
Posted by: dale | September 23, 2004 at 07:50 AM
Some further thoughts. Your point about a small margins in XS make sense if you don't know a lot about an independant business powered by Quixtar.
Everyone I know that is actively pursuing the business does over 100 pv in products other than XS. The mark-up and volume bonus we get from XS customers is pure gravy. Other than that, we have customers all over that are glad to pay the retail price for XS. Even if someone buys a membership, and gets XS and other products at the wholesale price, it is still gravy, because the pv is consumed very quickly.
There are currently 5 flavours of XS available: Citrus, Cranberry-Grape, Tropical (also caffeine free available),non carbonated Green Tea, and Lemon Blast. A new Cherry Blast is due out anytime.
This energy drink has more than caffeine and flavour. Check out www.xsgear.com for more info.
Posted by: Dale | September 23, 2004 at 07:24 PM
Dale,
90+% of Quixtar IBO's lose money. There is no such thing as "gravy" in Quixtar because your business is based on comsuming and not selling a product to the end customer.
Posted by: Ty | September 24, 2004 at 09:02 AM
Again Ty, you are probably right. That's because the 90% that you say lose money don't do anything!
Isn't every product business based on product consumption? In our personal business, the products we market make up more than 90% of our income.
One more note, we treat our business like a business, not a hobby. We also have a traditional business, and our Quixtar business gives us a much better ROI than the other one.
Posted by: Dale | September 27, 2004 at 07:15 PM
Dale,
You say "we don't have a bunch of money tied up in inventory and we are able to have customers all over North America. 17.5% is very good when you haven't put out money bringing stock in". It may be true that you don't put money out to "bring stock in", but you are putting money out in tapes, books, tools and meetings. If you are "building", you are putting out somewhere between $5000.00 and $10,000.00 per year for these items (that don't teach you how to sell or build your business). You have to sell a whole lot of energy drink at 17.5% just to break even, how bout 2381 cases at retail price (and most won't pay retail price). The sad thing is that 90% or better of these GOOD PEOPLE (IBO's) are spending money they don't have for products that are way over priced because they are believing people who are telling them lies. Yours is not a product business, it is a tool business hidden under the cover of products for people who will make 70-90% of their income from the tapes, books, tools and meetings that don't benefit the IBO at all in building your so called PRODUCT business !!!
Posted by: Mike | September 28, 2004 at 08:17 AM
Mike,
It's always amazing to me that the world is full of experts. We spend 327.00 per month supporting our business. That includes books, tapes, travel and functions.
By the way, our RETAIL profit more than pays for all these things. If you look at this as a business (which it is) you will find that it can be very profitable for the people that work it as it should be.
Don't universities make money from books and their teaching systems? The only difference is that our system gives you something at the end. A proven way to make money. What training system doesn't make money?
I appreciate your thoughts, and look forward to the next coments.
Posted by: dale | September 28, 2004 at 12:52 PM
Dale,
You don't fool me a bit. I've heard all the lies before. Even if all you spend is $327.00 per month (and I don't believe you) you still have to sell 78 cases of xs to break even.
"It always amazes me" to here people like YOU talk about doing the business "right" or "as it should be". I guess that means in your eyes 99% of the people who get involved with quixtar are losers, because 99% of ibo's never make a dime, they lose money. Why?, because they were lied to when they were shown the plan, either by ommission or commission.
No problem with making money off of tools like universities, as long as you tell people the truth. But you don't, you tell people they can make a seven figure income in 2-5 years by selling products and sponsering. Just one big lie.
Oh yea Dale, just so ya know, I am an expert, I listened to the lies for 11 years, had over 150 people in my organization and was at the silver level when I resigned my iboship. I resigned because I discovered it was all a lie, nobody was making money from the products except what they could con ibo's into buying. The only people making money were the emeralds and above. Most of there money was coming from tools. Anybody who will sit down and do the math will realize its all a lie. Just compare what they are telling you with what the real math is. Just investagate quixtar (try www.formerdiamond.com, but then I guess Bo Short did'nt work the business "as it should be" either. Right Dale)and you will find it to be a hugh scam.
So, Mr. Expert, don't try to feed me or anybody else your lies about the quixtar business.
Tell the truth, the REAL TRUTH, and see what you have for a business!!
Posted by: Mike | October 07, 2004 at 09:30 AM
Well Mike, I imagine is some cases people don't make money and quit the business. Just like any other business, why should this be any different? 99% of ALL businessess fail in the first 5 years anyway.
People who quit or don't build the business aren't losers in my eyes, they just weren't cut out for the business world. The biggest problem I have with any MLM company is that 99% of the people that get in work the business like they work their job... they do the least they can without getting fired! No wonder so many people quit!
You say you resigned at silver, and I'd be curious what kind of structure you had in your business. 25% is good, but not if you have 1 or 2 legs.
As for moving hundreds of cases of XS, that is just one of over a million products we have. It adds to our income on top of what we had before XS came out.
Maybe this is a big scam. That's probably why quixtar did over a BILLION dollars worth of business in North America last year. By the way, none of that is tool money!
Cheers
Posted by: Dale | October 09, 2004 at 08:29 AM
Dale,
99% of business DO NOT fail in the first 5 years. That is a standard Quixtar myth. As for the million products, a million products that for the most part are priced 30-50% higher than the rest of the world is nothing to hang your hat on.
Posted by: Ty | October 09, 2004 at 08:52 AM
Sorry Ty, I got that stat from my banker, lawyer, and also from my accountant when I went into my traditional business 8 years ago. Not a quixtar myth.
My accountant and lawyer also buy products on a monthly basis from quixtar through my business at retail.(XS,coffee, vitamins, and all his office supplies) I guess they're out to lunch as well.
Posted by: Dale Wride | October 09, 2004 at 05:59 PM
Dale,
Your banker, lawyer, and accountant are idiots. According to the Small Business Administration, 66% of small business remain open for 2 years, 49.4% for 4 years and 39.5% last at least 6 years.
http://www.amquix.info/pdfs/small_business_faqs.pdf
Perhaps those cats should lay off the XS Energy drink, eh?
Posted by: Ty | October 09, 2004 at 10:31 PM
In regards to my banker, lawyer, and accountant being idiots, I'm not sure what that has to do with XS Energy Drink, but that's your opinion.
I know these guys, and have no idea who you are, or anything about you. Their opinion carries a lot more credibility than yours.
As for XS, it is more than an energy drink with some flavour. Go to www.xsgear.com and see for yourself.
Posted by: dale | October 10, 2004 at 11:18 AM
Dale,
I just proved your banker, lawyer, and accountant wrong based on statistics from the Small Business Administration and your response is:
"I know these guys, and have no idea who you are, or anything about you. Their opinion carries a lot more credibility than yours."
That's funny. If the dream is big enough, the facts don't count huh?
Posted by: Ty | October 10, 2004 at 12:11 PM
Sorry again Ty, but those are the stats from my country, not from the US.
The facts DO count in this case. I know that most business ventures will not go on and have great success, but that also keeps me motivated.
My bank (the largest in My country), my mortgage broker, my office supply company, my computer supplier, and my long distance provider(all Quixtar partners) all of which I did business with before I started my Quixtar business checked things out more than we will know. Again, maybe they are all idiots, and just wanted to get involved in some sort of scam!
Since we both are in the same industry, which makes the whole conversation make sense, I think we can both agree that we are very loyal to our respective products and training systems.
I find it rather amusing that this is supposed to be a product forum, but all we seem to talk about is a tool and training system that has nothing to do with the Quixtar Corporation.
I wish you the best in your business, and will check back once in a while and throw in my 2 cents worth.
Posted by: dale | October 11, 2004 at 07:27 AM
Another note on this subject of energy drinks. Red Bull has arrived in my country listed at 2.99. I guess XS is just not price competitive at 2.30 retail.
This doesn't count the fact that no one that did a taste test to could stomach the flavour of Red Bull.
Cheers
Posted by: dale | November 03, 2004 at 07:05 AM
Go dale go! It's so nice to finally hear an intelligent person spelling out facts in a logical sucession to emotional, angry people who aren't willing to listen. I wish you the best of luck.
Ok, also, I wanted to say something about XS (since this IS a product forum.) Me, and all of my college aged friends, think that XS is a perfect solution to late night studying, cramming for finals, and the like. Have you ever noticed that drinkig excessive amounts of coffee to try to stay awake just leaves you feeling jittery and unable to concentrate? Well.... XS keeps you awake and able to focus on the task at hand, without that jittery feeling. Believe me, when you HAVE to stay awake, it works. (also, it doesn't stain your teeth like coffe... :) Anyway, I'm not a fan of all the flavors, but that's ok, cause I like the ones I drink, the tropical blast and the cherry blast. That's the joy of options. Too bad Red Bull only comes in one (disgusting) flavor.
:) Peace
Posted by: ashley | December 01, 2004 at 09:02 PM
I was given a can of X/S citrus one evening by my daughter when I was feeling exhausted and didn't want to go out with her for dinner and a movie. I said I'd have a cup of coffee to see if that perked me up. She said, "Try this energy drink," (one of the catalog products she sells.)
I did and within minutes I felt pepped up and raring to go with no caffeine buzz, although it is an ingredient. I went out with her and the energy lasted for hours. I am 74 years old. I would like to order a case and probably will, but I think it is just too expensive. The price to individual distributors should be cut by at least 25%. It does seem like a fine product
Posted by: Nebula | December 04, 2004 at 10:34 AM
Any business that has a failure rate of 99 percent is suspect to say the least. Imagine if McDonald's had a 99 percent franchisee failure rate. Also how many worldwide IBO's does Quixtar have? I'm willing to bet if you multiply the number of IBO's Amway/Quixtar has by the average amount of money IBO's spend on personal products per month you will come very close to Alticor's 6 billion dollar annual revenue. Maybe someone knows the numbers and can verify if what I said is true or not.
Does anyone know the average time it has taken Amway/Quixtar IBO's to achieve the Diamond level?
Also I have heard many kingpins say this is the best business opportunity ever. What is their basis for such a statement? I thought more people became millonaires due to real estate than any other thing.
Posted by: Seeker | December 22, 2004 at 09:18 PM
psshhhhh
you can get the same shit outta gatorade, now thats some real stuff
BTW, HOW MUCH PV DO YOU GET WHEN YOU BUY SOMETHING FROM QUIXTAR
AND HOW MUCH BV DO YOU GET FROM 1 PV
Posted by: Josh | December 29, 2004 at 09:30 PM
The average PV to dollar ratio is around 1 PV for every $2 on core line product (made by Amw...oops....Access Business Group)....
On "Store for More" stuff, it is about 1 PV for every $6. Partner stores like Bass Pro or OfficeMax are anywhere from 1 PV for $15 or as good as 1 PV for $3, it really varies.
For real profit margin, a tape costs about $.65 to package and duplicate. Sold at $6, it is a real margin sweetheart. Cd's cost even less, easier to make, and charged MORE for because they CAN be sold for more because most Q-bots don't understand new technology unless they are told to understand.
Notice how many blogs are being started by "Kingpins"? They are using up bandwidth to get their sites to the top of the search engines to protect their businesses.
Also, don't EVER let a Diamond know that you prospected one of their IBO's with another idea. It is "un-Christian" and could get someone "shot"---direct quote...
If there are so many that make a six figure income, and the average income is $115 a month, that means for every six figure income, there are over a 100 that aren't. A one percent chance at success...
Millionaires work hard and compete with more to provide what people NEED. Billionaires provide people with what they WANT, and have less competition doing it....
Posted by: Former IBO | December 31, 2004 at 07:48 AM
For real profit margin, a tape costs about $.65 to package and duplicate. Sold at $6, it is a real margin sweetheart. Cd's cost even less, easier to make, and charged MORE for because they CAN be sold for more because most Q-bots don't understand new technology unless they are told to understand.
Isn't it amazing that the tapes and CD's in the Quixtar business cost less than not only the tapes and CD's that can be bought from any CD store, but also the likes of Tony Robbins, Zig Ziglar, and any other motivational speaker. The tapes and cd's are a personal CHOICE. People aren't being forced to buy them, and if they are, they need to realize that it is a voluntary system. Do people in the business make income from the sale of tools? Of course they do-it's a business people, grow up. Anthony Robbins doesn't DONATE his techniques for free, and neither do we. This is a profit sharing plan, no more or less than what you MIGHT have at your job-the biggest difference is that anyone who puts in the work to make it work can share in the profits.
Notice how many blogs are being started by "Kingpins"? They are using up bandwidth to get their sites to the top of the search engines to protect their businesses.
Everyone else on the planet can make a blog, but when the so-called "Kingpins" create one, suddenly it's an issue? Valid concerns are one thing, but this inciting a mob mentality is a little post Salem witch hunt, don't you think?
Also, don't EVER let a Diamond know that you prospected one of their IBO's with another idea. It is "un-Christian" and could get someone "shot"---direct quote...
If you're not in the business anymore, how would a Diamond know that you prospected one of their IBO's? Let's see-if my boss caught me doing a phone interview for another company at my job, I wonder how excited he would be about that? Interesting that your direct quote isn't shown in the context of the entire conversation, but conveniently snipped to make your point. That's funny, I used to do that in high school to avoid having to do real research.
If there are so many that make a six figure income, and the average income is $115 a month, that means for every six figure income, there are over a 100 that aren't. A one percent chance at success...
The average income in the business is $115 a month-no argument from me here. I've never been average in anything I've done, which could explain why I make significantly MORE than the average IBO. What do the average people do at your job? What type of grades did the average people at your school get?The success rate for people with a little heart and a little hustle is 100%. Those who aren't determined enough to do the work necessary to make it happen, or not smart enough to figure out what they are doing wrong and fix it won't make a six figure income in Quixtar. Here's a tip-THEY PROBABLY WON'T MAKE A SIX FIGURE INCOME IN ANYTHING. This is not a get rich quick scheme, it is a business that takes work, tenacity and dedication to build-for anyone who CHOOSES to do so.
Millionaires work hard and compete with more to provide what people NEED. Billionaires provide people with what they WANT, and have less competition doing it....
Posted by: Jay | January 05, 2005 at 06:38 AM
And to your last point:
Millionaires work hard and compete with more to provide what people NEED. Billionaires provide people with what they WANT, and have less competition doing it....
What the hell is your point with this statement anyway?
Posted by: Jay | January 05, 2005 at 06:41 AM
Yes the average income is $115 but wouldn't that mean that all the new IBOs coming into Quixtar making ZERO dollars be bring down the average. Couldn't that also meen that people at a $115 dollar monthy income could increase that income the next month. People are joining Quixtar rapidly, there is always new IBOs coming under people bringing down the average. All of you who are talking down Quixtar are just big babies who make excuses about everything you don't understand and who don't have that drive to build a business. And no matter how many excuses you make and how many "facts" you may know I'll be out there building my business and setting a secure future for me and my family. Have fun working your corporate America job for the next 45 years. Good luck!!!
Posted by: Tim | January 05, 2005 at 07:56 PM
You tell'em Tim. I'm an IBO as well and if there's one thing that I've learned is that the most expensive thing in the world is ignorance. You other critics had better get your mind right because believe it or not, noone sells more Energy Drinks than Quixtar. We're the #4 website in the WORLD. Microsoft's LARGEST e-commerce website, breaking our own records in revenues. My guess would be either you didn't qualify, or one of the ones that quit. You actually made me laugh at "your" stats for people who make six figure incomes. I'm sure everyone who you attended school with didn't graduate right? Results are not guaranteed if a person is born lazy and had a relapse. My fiance will be retired at 26 years young this year never to work for another boss again. I'll be sure to send you an eVite to the event!
Posted by: Marc | January 10, 2005 at 08:57 AM
If you let me know, I will post about it on this blog. However, I won't hold my breath. Quixtar people love to talk about the success of the company, (even though North American revenues have slipped since '99), but they forget to include the fact that 90% or more active Quixtar IBO's lose money.
Posted by: MLMBlog | January 10, 2005 at 09:31 AM