The comments made in this post and this Blog are my own, and should not be viewed as those of YTB International, Inc. I would also like to state, for the record that I have met many Travel Retail Professionals in my years with YTB, and these statements in no way reflect EVERYONE in the Travel Retail Profession, which I not only admire, but respect. However, just like any large group, there are a select few that have chosen to follow the path of one particular individual. It is nothing new, and I/we deal with ignorance all the time in the Network Marketing industry.
Update: The organizer of the petition against Travel MLM’s has found me, and decided to post a couple of comments on my Blog. Due to the activity this Blog has been getting since Thursday, I’m not all that surprised he found me, but I am actually impressed that he took the time to not only read, but comment.
I hadn’t decided if I was even going to recognize John Frenaye at all, since I don’t find his “opinions” about travel MLM’s worth responding too. (Coach, Scott and Kim certainly wouldn’t.) Anyone who “Double Dog Dares” us needs to go back grade school instead of trying to waste our time and energy. While his syndication on MSNBC as a columnist gives the appearance of someone of either knowledge or of authority, his perceptions of who we are and what we do are skewed and inaccurate. Like most Anti-MLM Zealots who protest too much, John work’s by categorizing, separating, hiding, judging and condemning, attacking and rejecting. When zealots are in trouble like they are with YTB and other MLM’s, they try to distract everyone and blow the whole situation out of proportion. By making a lot of noise, they think everyone will miss what is really going on.
Mr. Frenaye doesn’t realize that I cut my teeth some time ago with both angry and misinformed individuals, and while I find that responding to such views and opinions need to be left on forums and message boards dedicated to such subjects, I also believe he has given me the perfect opportunity and platform in dispelling some of the myths, rumors, and misconceptions these “Professionals” have about those of us in YTB and the Network Marketing industry.
Sit back and enjoy!
I’m human, and this circle of controversy has many layers and subplots associated with it. I’ve attempted to provide both insight and documentation to the best of my ability when writing about this. When wrong or inaccurate in reporting what I know to be true at the time, I’m both confident and professional enough to admit it, and correct it. (See Saturday’s post.)
John has certainly set the record straight, for which I would like to thank him, as he comments “The petition was NOT ARTA’s idea. It was mine and done by me.”
So there you have it…here is the organizer, the self proclaimed leader. The Retail Professionals version of Coach J. Llyod Tomer. I apologize to John publicly for not giving him the credit he both deserves and apparently wants concerning what’s going on.
John also states “The decision by RCI happened long before the petition–so they are mutually exclusive events that happened to have exquisite timing.”
I don’t know if we will ever know the real story, as I can’t investigate at this time why Royal Caribbean would give the YTB home office Group Sales privileges one week and the next week pull the plug completely as it appears another decision was made before this whole ordeal blew up. It has been documented that YTB has $13 Million on the books with Royal Caribbean so far this year, and 67% of that are groups, so we may possibly have to let the dust settle a bit before we find out the real story behind Royal Caribbean. (Preferably from Royal Caribbean.)
That’s about does it for the corrections and subtractions concerning John’s comments and what I have posted here. I think it’s only fair that since I was able to set things straight in John’s behalf, I should be given an opportunity to correct and subtract other comments made on my Blog made by John. If someone is going to make comments here, I would ask that they be not only be accurate, but documented if possible.
“YTB consistently changes it’s “sales” numbers to appease different audiences. I have to assume the numbers reported to the SEC are correct. And if so, they came nowhere close to selling $226M in “verifiable travel sales” in 2006. Looking at their commission revenue it is closer to $50M in sales.”
Really? Does YTB change numbers to appease an audience, or does the audience not understand the numbers? There are very strict and rigorous guidelines that YTB must abide by when concerning SEC filings. (Much fun was poked at YTB last year when these guidelines were not met.) Likewise, the $226 Million in sales were verified by the CFO of Travel Weekly. So while it is stated that YTB changes numbers, we find the SEC and CFO of Travel Weekly are also changing numbers to appease an audience?
Doubtful.
As someone who has been in this industry for only 3 years (January of 2005) even I know gross sales were calculated and to my understanding verified by the CFO of Travel Weekly at the time off booking, (If they were not verified it would be noted) and earnings do not show up until after the travel has been consumed and then paid. Calculating and posting earnings to the SEC before hand to appease John and the rest of our Travel Professionals would have serious legal ramifications. (Like…I don’t know…Jail time?)
I’m sure our Travel Professionals understand how this works, with all the years of experience, training, and certification they have, but some of you may not, so let me elaborate by this example.
I booked an 11 day riverboat cruise for clients from Cologne to Nuremberg directly with UniWorld in November of 2006. While only a deposit was made at the time of booking, a gross sales number was generated and this cruise booking is part of the verified travel sales that went on the Travel Weekly report. While a commission percentage and number was known at that time, the actual commission numbers did not show up for YTB (or me) until the cruise was paid in full a month ago on September 3rd. (Typically made 60-90 days before sailing)
On December 1st, my clients with several other couples will be flying to Cologne to enjoy this holiday cruise and when they return, UniWorld will then issue a check to YTB in commission and I in turn receive my 60% cut from YTB. While it’s possible that this commission will be paid in December of 2007, it’s more likely UniWorld will pay YTB 30 days after, January of 2008.
While “verifiable travel sales” show up in 2006, the SEC filings will not see earnings until Q1 of 2008, so it’s highly unlikely that John is correct and YTB, the SEC, and Travel Weekly are all wrong.
“However, if you are trying to sell the program, the $226M sounds a lot better. If you read the TW report, it says that $176M of that was from website sales and from monthly website maintenance fees. These are NOT travel sales. These are website sales.”
Here is the Report, which mentions nothing about monthly website maintenance fees. Furthermore, I don’t know why a Travel publication would post anything to include Network Marketing? It’s a separate business model altogether, unrelated to anything a Travel Publication would even want to consider. The $176 Million ARE travel sales from Hosting Outside Agents, also known as RTA’s. Website sales and maintenance fees can only be found on our SEC filings which according to our 2006 Annual Report (Form 10KSB) website sales and maintenance fees consisted of $36.8 Million for the same calendar year of the Travel Weekly report.
“Why would I want to be YTB to earn 60% commission of 13%, when I now earn 80% of 16% and higher? Stupid. Ya’ll keep drinking your koolaid.”
I was unaware that John D. Rockefeller was either involved in Network Marketing or drinking Kool-Aid when he stated “I would rather earn 1% off a 100 people’s efforts than 100% of my own efforts.” Coach, Scott, and Kim have given us 10% instead of just 1% from the people who book travel in our Power Team. I can certainly see why John would want to go it alone, and if 80% produced all by himself works, I’m not going to ridicule anyone who is happy with that.
If John was smart like some of the Retailer’s who have actually joined our ranks, he’d sign up with YTB, offer his vast experience, expertise, training and support to help someone earn their IATAN with YTB. He’d help them earn $5000, and in return, he would also profit off what they did with $6340 in his own pocket in Travel Commissions and Bonuses for helping them. That’s close to 80% and someone else did most of the work. Rockefeller was a very smart (and rich) dude and certainly would have seen value in this. Unfortunately, some individuals can not work past the myths, rumors, and common misconceptions surrounding what Network Marketing, or MLM really is, settling instead with what they have heard about from someone else.
I would also have to assume that John’s never looked at the commission percentages YTB makes based on comments made that YTB only earn 13%, and not the 16% YTB’s been earning on all the cruises I and other RTA’s have booked with them. (I am assuming reference to RCI of course.)
The $176 Million ARE website sales, which is the premise of our whole argument concerning how much training is required in this day and age concerning booking travel. Just like Travelocity, Orbitz, Expedia, and Priceline who produced over $40 Billion in website sales, YTB produced $176 Million from our websites. These Petitioning Agents can have the business that requires “high service and high touch”, all YTB and other MLM’s are looking for are the growing numbers booked on the internet, which clearly does not require any specialized training or certification from the millions of American’s who “click and order” day after day.
If Aunt Betty can book a flight, a car, a hotel, or cruise on the internet with my web site just as easily as she can with a Roaming Gnome, I fail to see why any Retail Professional would be concerned about any training, certification, or experience I have regarding the Travel Industry.
I am not only grateful but give many thanks to vendors, industry publications, Training Programs, and even other Retail Professionals in our industry, I have been fortunate enough to elevate myself beyond a simple “click and order” web site booking.
“Our petition has over 1000 signatures, and represents sales amounts that YTB could never dream of hitting!”
While this can’t be documented at this time, it’s my understanding that YTB has the same number of Travel Professionals who have joined our ranks. Furthermore, I would hope that John and others go watch this movie. We aren’t dreaming of merely hitting, we are dreaming of crushing those numbers. I also see many direct correlations between what’s going on in real life from this film in both content and movie critics alike.
I doubt John or any of the other Petitioning Agents will ever admit that I or anyone else in YTB would even have any worth or certification regarding this industry which I/we love and support. While my Travel Commissions certainly support this, unfortunately, these professionals don’t know that sending them check’s or IRS documentation to prove how much I make is a big “No No” in the MLM industry. It’s considered “income claims” and none of the 127,000 RTA’s with YTB would purposely put their spare time, part time, or like me full time opportunities in jeopardy.
Speaking of income claims, while John has attempted to promote these myths here, he has been found other various places on the internet, including the MSNBC article which is far too long to devote the time and energy to try to dispel everything there. He did “Double Dog Dare” us to send him our travel commission checks.
I have found a short post off his own web site that should serve as an example of his “marketing”. John comments that “The Tomer favorite phrase is that “everyone has a minister and 6 pall bearers–sell to them”. But realistically, you have a limited number of people to which to sell.”
Anyone who actually knows the Tomer’s would recognize THIS as their favorite phrase:
“If it aint true, don’t say it.
If it aint right, don’t do it” ~ Coach
By the way, I’m wearing a T-shirt with this quote on it this morning as I finish this post up. I bought this shirt at the National Convention as a member of Coach’s Corner, and was wondering if John would like to investigate working out a co-op with YTB to sell these same T-shirts on his web site? Or do we need to contact someone else for this gem?
Guys, this is the self proclaimed “Ring Leader” who is using the same marketing methods we use to build our business. Word of mouth and presentations to recruit others. I find it hysterical he is using the same tactics that he obviously so adamantly opposes and claims we do. A leader should be better informed and educated about a subject before they recruit others into any organization. Clearly, this man knows nothing about Network Marketing, and there’s plenty more of this filth being spewed as he duplicates the hatred towards a system and individuals here clearly has no contact with.
Do you now have a better understanding of why there is such hatred and animosity towards Travel MLM’s?
Step off your Shinning White Horse John and stick around here for a while. I’ve worked very hard to document what’s REALLY going on with YTB, and if you would take the time to do just a little study instead of knowing all you “think” you need to know already, you just might find a new perspective.
It’s a long shot I know, but someone has got to say it.
“Get a clue”.
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Doug & Ronda Bauknight
AKA: TravelPro
Travel Agent / Networker
Phone: 678.458.5812
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If you recall, Royal Caribbean announced that they will be giving the “Royal Shaft” to some 472 Agencies by upping the commission threshold, in some cases doubling the threshold starting in 2009.
