Archive for the ‘Pyramid Scheme’ Category

This Ain’t Rocket Science

Thursday, November 10th, 2011
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I’ve said for years that travel isn’t rocket science. If the average person can book their own airline ticket, hotel room, car rental or cruise – there’s really not much to being a travel agent. The most difficult part about the entire process is driving potential clients to YOUR agency instead of someone else’s.

It’s by far the easiest “sale” anyone can make if you can get a potential client to at least look at you instead of someone else.

That’s where YTB Travel Network as a whole really excels – and why our model works better than any other out there. Every single “Agent” YTB has reaches out to family – neighbors – and co-workers who would at least consider looking at us when it comes to booking travel. If the price is comparable, which it always is – who are they going to book with? You or some Roaming Gnome?

Because YTB not only figured this out, but executed this philosophy – it sent shock waves throughout the industry. For an MLM, you can’t find a better, more romantic and sexy product than travel.

It’s really pretty simple.

The problem that I’ve seen over the years when it comes to YTB and travel isn’t really the process or the model. The real issue here are those in this industry who attempt to complicate this very basic model. I’ve never seen an industry get so side tracked in an attempt to justify what they do.

Case in point – YTB’s new partnership with Sixth Scott.

Last month, YTB issued a press release that in part stated the following:

According to the Agreement, Sixth Scott agrees to assume contracts, agreements and licenses previously held by the Company’s subsidiary, YTB Travel Network of Illinois, Inc. Sixth Scott will independently manage all travel content and provide the customer support function as well as handle all group travel booking.

Pretty basic when you read it right?

Sigh…Not for the travel industry. Some were certain – emphatic as a matter of fact – that the “Scott” in Sixth Scott has some tie to the last name Tomer. This was one of those “bait and switch” tactics they dreamed up because nothing an MLM ever says or does is this straight forward. There’s always got to be something fishy about anything that involves MLM. As I assured you back then – and true to form, these crazed lunatics had the spare time and did in fact spend the energy and resources to get to the bottom of who Sixth Scott really was.

In addition, YTB International also filed this Definitive Agreement and Financial Statement with the SEC that in part stated the following:

 On October 25, 2011, YTB International, Inc. (“YTB”), YTB Travel, Inc. (“YTB Travel”), YTB Travel Network of Illinois, Inc., a wholly owned subsidiary of YTB Travel (“Seller”), and ZamZuu, Inc. (collectively with YTB, YTB Travel and the Seller, the “YTB Parties”), entered into an asset purchase agreement (the “Agreement”), with Sixth Scott, LLC (“Sixth Scott”), a non-affiliated third party, and First Travel Alliance, LLC, a wholly owned subsidiary of Sixth Scott (“FTA” and together with Sixth Scott, the “Purchaser”). The YTB Parties are currently in the business of creating, selling and supporting online travel booking websites to subscribers through websites and otherwise selling travel through various means (the “Business”). Pursuant to and accordance with terms of the Agreement, the Seller agreed to sell, assign, transfer and convey to Sixth Scott the contracts, agreements and licenses held by the Seller in relation to the Business (the “Assets”), and Sixth Business agreed to assume the debts, obligations and liabilities related to the Assets.

While this is worded more like a legal document, the premise is still very basic. Sixth Scott will now handle the travel portion of the YTB Travel business.

As a matter of fact, this whole thing is about the travel side of our business. Nothing more – nothing less.

But as we’ve learned over the years – because the travel industry has this phobia and fear surrounding MLM and the word “recruiting” this whole partnership became an MLM issue. Once again something that appears to be crystal clear was muddied and misconstrued into Sixth Scott now owns YTB.

But why?

Because some in this industry either simply can’t read at an elementary level – don’t have a firm grasp how business actually works – or more importantly simply want to spin this to justify what they do as a “travel agent”.

Here’s a classic example of what I mean. Take the following comment in Travel Weekly from one of the minions who thinks he has it all figured out:

Interesting. So bottom line is – if you read between the lines – “our model simply does not work for travel” AND “it certainly was never going to work being run by people who knew nothing about selling travel” AND “we really screwed up early on by not training agents and not demanding any sort of professional behavior from them” AND “now we’re going to focus on selling the kind of products MLM really works with – things people don’t really need but perceive that they want”.

Read between the lines? Why on earth does someone need to read between the lines here? What’s the matter with what’s actually written?

I’ll tell you what’s wrong with it. What’s actually written either contradicts – or simply doesn’t support the fantasy of the reader.

That my friend is called “spin”.

Now here’s what I find fascinating. Take a look once again at the YTB press release and the SEC filing. Read what YTB stated about this new agreement weeks ago.

Then go out and read how the travel industry made a complete mockery of the press release and the SEC filing over the last two weeks. Inserting speculation here, how they tied the MLM side of our business into this mix to muddy the water, and their overbearing fear and ridiculous perceptions of who we are and what we do.

It’s a complete JOKE!!

And the best part? YTB provided the following clarification for the travel agents sales force to get everyone back on track and separate the facts from all the fiction that the industry has created. And because these Anti-MLM Zealots are never wrong – THEY have it all figured out – YTB is now “backpedaling”.

I swear – these pompous, arrogant pin heads will never realize that the one finger they have pointing at YTB actually provides three fingers that point directly to the source that created this monstrous mess.

And they can’t admit or let it all go.

These people aren’t Rocket Scientist – they’re not even smart business minds.

They’re morons.

Tell you what…instead of reading all the spin and hype about this deal we have – why don’t you get the information from the best source around? Direct from the guys who struck this deal. No hype, no spin, no smoke and no mirrors.

There’s more than enough of that going on right now in this industry – which is exactly why the travel industry “experts” haven’t been able to figure us out.

PS - If you're involved with YTB, sign up for our FREE Newsletter. As a Website Owner or Website Seller, we'll keep you up to date with all the latest news, acquisitions, and developments with YTB.

PPS - Subscribe to the Just Picture It Now RSS feed, (including e-mail) for all the latest posts and updates found right here!

Doug & Ronda Bauknight
Doug & Ronda Bauknight
AKA: TravelPro
Travel Agent / Networker
Phone: 678.458.5812
Book Your Travel & Vacations With


TSO #588629
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Opportunities Never Go Away…

Tuesday, July 26th, 2011
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They simply find the people who are ready for them.

As I sit here on the eve of another YTB / ZamZuu National Convention in St. Louis, I’m astounded how this company has changed my life to look for opportunity. How it’s prepared and molded my mind for business success. I’ve now overcome the fear of the word “no”, and in that same vein – it’s helped me help others who were willing and open to opportunity themselves.

Not everyone has taken advantage of the opportunities presented to them. I think it was Edison who said “Opportunity is missed by most people because it is dressed in overalls and looks like work.” There’s a reason why the word “work” is placed in this industry we call Net”work” Marketing.

If you really study the MLM model, and become a student of the industry you’ll find that this model instills a work ethic and business savvy that you won’t find in any school. It lays a foundation of real – practical business principles and practices that you just can’t find anywhere else.

That being said – I realize that there are so called “experts” out there who will attempt to argue the points I’ve laid claim to above. You (and they) know the ones that I’m talking about. The obnoxious loud mouths who believe they know better than we do – who have it all figured out. Keep in mind that these are the same jerks who warned everyone three years ago that YTB was going to be shut down by the California Attorney General on the eve of the 2008 National Convention. Their experience has taught them that a company that finds themselves in the midst of a $25 million lawsuit will fold like a wet noodle.

I’ve seen instances of companies actually crumbling for far less money and vicious accusations or monetary compensation – but then again, the examples I can recall are traditional business models – not Network Marketing companies.

Companies like Amway, Herbalife, PrePaid Legal, USANA, NuSkin, and YTB have all been victimized by lawsuits claiming they’re some sort of scam and survived because these so called “experts” who get their little panties in a wad aren’t the business minds, or protectors of industry and justice they claim to be. At most, they’re opportunists themselves who take advantage of people’s fears and insecurity instead of instilling rational and logical thinking. It’s simply a chance for them to grab the spotlight and make themselves feel important.

There’s an ancient Chinese proverb I saw just the other day. “Those people who judge a books by their covers…..have difficulty reading!” When it comes to my experience with YTB and critics, that’s about as close to reality as it comes. With some of the outlandish, bizarre and irrational statements I’ve seen over the years surrounding not only MLM but YTB specifically by these people, that proverb pretty much nails it.

Something else I’ve learned over the years about these “experts”. When it comes to owning up to mistakes, inaccurate speculation, or just plain lies – they’re cowards. Actually, their mind, (more accurately “ego”) won’t allow them to admit they might be wrong. This perception they have is the only thing they have to hang on too.

Let me give you an example.

Last week, I was talking with one of our Directors about the once infamous John Frenaye. If there’s anyone who’s fallen prey to speculation and rumors it’s John. The guy would fall for just about anything posted on the internet as “truth” or “fact” if it has a negative ring to it. Even when there nothing there, he’ll manage to create it just to grab some attention. You can only imagine how “excited” John must have been when word of the California lawsuit was announced the night before the 2008 Convention. You’d think the simple filling of this suit meant it was a done deal the way he sensationalized the cover of this suit.

But those of us who went beyond the simple cover, and actually read the verbiage and actually comprehend our business had a completely different take. So much so, that this Director made a bet with Mr. Frenaye.

Sometime after the suit was filed, the two made this gentlemen’s bet. If the suit was indeed accurate, John would get what he wanted. The total and complete illumination of a so called pariah in an industry he actually doesn’t own but merely works in.

If however the suit wasn’t successful in shutting down YTB like Jerry Brown boldly proclaimed he could do – there would be a public apology by John at the next National Convention in St. Louis.

While there was an attempt to make some sort of assurances that John would keep his word on this – according to the account of the Director who made this bet – John’s enormous ego wouldn’t permit him to even speculate any possibility that YTB could survive the cover of the claim.

The National Convention in St. Louis this week will be the third since the suit was first announced in 2008. Along the way there was a $100 Million Class Action filed which has been thrown out of court more times than a cat has lives, and another suit filed by the Illinois Attorney General that honestly just sat there collecting dust for two years before it quietly went away.

John being the gullible and clueless soul that he is obviously took the bet. In his mind – the cover matched his perception, and there was just no way on God’s green earth that he’d ever have to muster up any type of apology with these kind of stakes stacked up against a bunch of lowly MLM Yahoos.

Now I can understand the absence of a full-fledged apology in 2009. While John had certainly speculated that bankruptcy or the YTB Founders riding off into the sunset with everyone’s money was an absolute certainty by the time we all got together in St. Louis at the time, none of the facts about our model had really come to light a year later. Nor were any of the suits either settled or thrown out of court outright.

I’ll even let 2010 slide. He was after all holding on to a thread of hope that the laws as they’re currently written in Illinois would magically change or be re-written in his favor.

However, it’s now 2011 and all three suits have either been settled both legally and monetarily or been pummeled to death by the court system as being “redundant, immaterial, impertinent, or scandalous matter”.

So that begs a very serious question. Could this be the year that YTB gets the apology from this once infamous critic who now finds himself on the wrong end of this bet?

Honestly, I doubt it. Cowards like John and the other critics who have quietly removed themselves from the soap boxes they once stood on just don’t have it in them. The opportunity to correct the years of slander, malicious abuse and misleading information posted on No Travel MLMs will never go away.

Unfortunately, I don’t see John being ready. A far better alternative is to just quietly fade away like he has. However, because YTB will continue to hold National Conventions like the one this week in St. Louis – the opportunity for him to man up and do so will never go away. ;-P

PS - If you're involved with YTB, sign up for our FREE Newsletter. As a Website Owner or Website Seller, we'll keep you up to date with all the latest news, acquisitions, and developments with YTB.

PPS - Subscribe to the Just Picture It Now RSS feed, (including e-mail) for all the latest posts and updates found right here!

Doug & Ronda Bauknight
Doug & Ronda Bauknight
AKA: TravelPro
Travel Agent / Networker
Phone: 678.458.5812
Book Your Travel & Vacations With


TSO #588629
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Would The Real “Pyramid Scheme” Please Stand Up…

Thursday, July 14th, 2011
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By now, just about everyone has caught wind of the current Administrations “faux pas” surrounding the a once thought of guarantee of Social Security checks and the possible delay for current benefactors in August.

While the White House is doing some major damage control right now due to the way the media reported it and how the American public perceived the “warning” – it should be noted that the days of Social Security checks are numbered regardless of what Congress can accomplish with the budget and our debt ceiling.

To this day, it’s still odd to me how we find an abundance of pin heads out there that proclaim that Network Marketing is an unsustainable model. Yet, when push comes to shove, nobody has ever been able to provide a single solitary example of one MLM or Network Marketing company that has ever exhausted the world’s population. Heck, you can combine all Direct Sales and MLM companies in the industry and still couldn’t find that last person who didn’t have at least someone to talk to or sell product to.

Idiots who throw this “pyramid scheme” lingo around simply to place the fear of God into others aren’t smart enough to realize that this theory is just that – a theory. The reality of MLM and it’s real world applications are vastly different from their false and very limiting beliefs.

On the contrary, the model has proven its stability and longevity for over a century now. You have the Direct Selling Association (DSA) that was founded in 1910 to protect and serve this industry over the last 100 years. You also have companies like AVON who has been doing business since 1889 still selling and still recruiting women all around the world. Tupperware, Amway, Mary Kay all founded before I was born and just blasting this “fear” about sustainability right out of the water by selling billions of dollars a year.

To add insult to injury, these same pin heads will tell you to go out and get yourself a “real job” – exchanging 40 hours a week of your time for a fixed amount of income.

I don’t know how or why so many in this country became so complacent, lazy and stupid.

The debt ceiling appears to be covering up the real issue of our Social Security system. Nobody seems to be asking the real question of why the money isn’t there for these benefactors. I mean, you hand over 12.4% of your income to be placed in reserve for when you retire – so where is it? Very few understand that this system we’ve all taken for face value (because the Government is supposed to “protect” us) is doing nothing more than paying for the benefactors who retire before you.

In other words: If you want to take a look at a real – practical – and legitimate “pyramid scheme” you need to look no further than our Social Security system.

Back when I first got involved with YTB, Social Security reform had been place at center stage. The Bush administration saw there was a problem and was searching for ideas to address it. We all have short memories, and there are those who want to forget the Bush years. This USA Today piece however pretty much sums up what was going on in that day and age – just six short years ago.

The idea at the time was personal accounts as a way to fix the cash crunch. Money invest in would be reserved for those individuals only. The USA editorial explained perfectly why the current Social Security system is your classic pyramid scheme.

“Given low birth rates and rising life expectancies, in time, Social Security won’t be able to sustain our elderly population without punitively taxing workers.”

It goes on to state:

“For Gen X, though, this program sounds awful. No matter how poor you are, you pay 12.4% of your income, every year, to maintain Mossman’s cash flow.

Sure, Mossman paid in, funding other retirees. Their taxes funded original recipients who didn’t pay a dime. This is the classic definition of a pyramid scheme, which eventually has too many folks to pay off with too few suckers paying in. Thanks to the 1946-64 baby boom, Gen X is firmly in the “too few suckers” bin.”

And we’re right at the cusp of this dreadful reality. For the next 20 years there will be more than 10,000 baby boomers per day looking to retire for the next 20 years. Some 78 million people all “worthy of” a Social Security check because they’ve been “buying in” all these years.

Knowing what you know now – including the current economic climate – what do you think your chances are of seeing even a penny of your “buy in” when you’re ready to retire?

Are you beginning to understand just how silly and irrational this idea of pointing the finger at MLM’s and Network Marketing when a real – practical example like our Social Security system looms over every tax payers head?

That being said – I’m not going to tell you that MLM or Network Marketing is the only answer in solving your issue of Social Security not being there for you when you retire. There are plenty of options to protect you and actually provide a very comfortable retirement. But if you think you can count on Social Security being there for you – dammit – you need to wake up and see the writing on the wall.

A very real and legitimate example of a “Pyramid Scheme” is staring you right in the face – courtesy of the Government that many believe is there to protect them from such evils.

PS - If you're involved with YTB, sign up for our FREE Newsletter. As a Website Owner or Website Seller, we'll keep you up to date with all the latest news, acquisitions, and developments with YTB.

PPS - Subscribe to the Just Picture It Now RSS feed, (including e-mail) for all the latest posts and updates found right here!

Doug & Ronda Bauknight
Doug & Ronda Bauknight
AKA: TravelPro
Travel Agent / Networker
Phone: 678.458.5812
Book Your Travel & Vacations With


TSO #588629
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Fifth Year – YTB Makes Travel Weekly’s Power List

Tuesday, June 28th, 2011
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For the fifth year in a row, YTB Travel Network makes Travel Weekly’s Power List of the top 50 Travel Agencies. Some will be a bit surprised. Others will be pleased. While I’m sure there will be others who will be (as they always are) frustrated with another year of YTB being included in Travel Weekly’s listing.

Personally, I consider this year’s listing as one of the finest showings from previous years for several reasons. This year’s listing dispels the skewed and misleading math formulas we’ve seen in years past from socialist pin heads. It also puts to rest any notion that the word “Travel” in YTB Travel Network is an afterthought.

Let’s not forget as well, all the mud that was thrown up in the companies face three years ago that has now been cleaned off, putting any claims of pyramid or ponzi schemes behind the company.

I’m quite certain that some had dreams and others feared that California’s Attorney General could actually put an end to the company. If California couldn’t get it done, surely Illinois or the opportunist ambulance chasers would. Yet, here I am three years later with the same capabilities in selling travel, and a better commission split to boot.

Clearly, YTB Travel Network has had its share of the spotlight. Some good – some bad – and some just completely bogus accusations. (Some have turned out to be rather comical.) Through it all however, YTB Travel Network has survived because of a very solid foundation laid by the Founders of the company and a few thousand loyal “Travel Agents” who appreciated a different approach in selling travel.

So, here we are – the numbers from the Travel Weekly Power List:

At number 34 – YTB Travel Network

2010 Sales: $221.7 million
Employees: 120
Previous Rank: 29

What is so impressive about this spot is the company has accomplished this number with a small fraction of people compared to years past. At the companies height (before the mudslinging and bogus lawsuits) YTB Travel reported 92,383 travel sellers who sold $424.1 million in travel. What “socialist pin heads” did was divide total sales by the total number of travel sellers. This year, the company reported 12,200 travel sellers who sold $221.7 million in travel.

So why the big jump in “average sales”?

Clearly, these “averages” we’ve seen (or are forced upon Network Marketing companies from our fine Government as “Income Disclosures”) aren’t what they’re cracked up be. You can’t possibly dictate to anyone what someone is capable of selling based on average numbers. Some will excel, while others won’t do a blessed thing to get their business off the ground. Travel sellers who weren’t making any money (because they couldn’t change their thinking or work ethic from “employee” to “business owner”) are now gone. Those who could grasp the thinking and habits of “business” were making money as travel sellers and are still around and producing numbers more consistent with traditional travel agents. It’s always been like this – but it wasn’t until now that we see how the real world actually works – not some mathematical theory.

We’ve heard over and over again that our focus isn’t travel. Again, you can’t dictate as an overall consensus (just like the bogus “averages” above) that’s true for everyone. I got into YTB Travel Network so I could get paid for telling people that a cruise was the best vacation money could buy. I’m still just as passionate about the industry as I was the day I signed up. Sure the other products offered via the ZamZuu shopping cart are nice. In fact, I was selling similar items here on this blog long before ZamZuu ever came about. Ever since I changed hats from employee to business owner, you become educated about what multiple streams of income can do for your bottom line.

While it’s a nice bonus, my focus – and what fires me up is still travel.

Well, that and the Pittsburgh Steelers. But just because I moved from Pittsburgh to Atlanta 19 years ago, I’m still just as much of a diehard fan than I ever was. (Okay – fanatical, but you get the idea.) You know damn well, you’re never gonna take the Steelers out of this boy. You’ll also never take the passion I have for travel out of me either.

While others in our industry would like our focus to be something else – it’s honestly not up to them to tell me, you, or anyone else what we should or should not focus on. Travel got us to where we are – and travel will continue to carry this company in the future. It’s a fantastic product that everyone still enjoys talking about and still the number one answer to a question I’ve asked for years.

If you had more time and more money – what would YOU do?

What makes this year’s list especially gratifying is that all the crap from California, Illinois, and a handful of ambulance chasers is now behind the company. All laid claim about being a pyramid scheme. Thing is, pyramid schemes are illegal and scams like that are ultimately shut down. Sure, there will be those who will continue to throw that out there – and that’s perfectly fine. Looks worse on them at this point than it ever will YTB, because it illustrates they haven’t learned a blessed thing. (And most likely, never will.)

I really could care less – because all I have to do is pull up my booking engine and look at another listing on this year’s Power List.

Nuff said.

YTB Travel Network will move on as it always has. Like I said before – travel got us here, and travel will continue to be a major asset for YTB International. If the company can do this with all the obstacles thrown up to distract everyone – imagine what it can do now with this core group of travel sellers.

Nothing like a little dose of reality to get things cranked back up again now is there? The way I see it, there’s nothing stopping this company from climbing back up this list to even higher levels once reached in years past. Difference is, there were lessons learned from the first go around that will make it all that much easier to accomplish if everyone pitches in.

Based on what this year’s list has shown us, the company is leaner, meaner, and battle tested for another great run.

PS - If you're involved with YTB, sign up for our FREE Newsletter. As a Website Owner or Website Seller, we'll keep you up to date with all the latest news, acquisitions, and developments with YTB.

PPS - Subscribe to the Just Picture It Now RSS feed, (including e-mail) for all the latest posts and updates found right here!

Doug & Ronda Bauknight
Doug & Ronda Bauknight
AKA: TravelPro
Travel Agent / Networker
Phone: 678.458.5812
Book Your Travel & Vacations With


TSO #588629
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Last YTB Lawsuit Ends In Another Resounding “Thud”

Wednesday, April 13th, 2011
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I would start off with “I hate to say it” but that wouldn’t be accurate or true. Fact of the matter is – I’m rather pleased that “I told you so“.

In a press release announced yesterday, YTB has agreed to enter into a final judgment and consent decree by the court without trial or adjudication of any issue of fact or law concerning yet another slanderous and erroneous lawsuit against YTB – this one filed by the Attorney General in Illinois.

Total damages of this lawsuit – basically restitution for approximately 300 people. I’m being generous with this number, simply taking the $500 start-up fee in the purchase of an online booking engine and not accounting for any monthly fees. We’ve learned from the Class Action that has been thrown out of court a half dozen times (and counting) that most who look for this type of refund or restitution don’t give the business much time or effort before they throw up their arms and quit.

Total cost of the restitution – $150,000 which represents 0.002% of everyone who’s ever signed up with YTB Travel as a Referring Travel Agent.

It’s important to note that all this money should go to former RTA’s of the company. There’s never been any fee for the right sell these websites to anyone (known as a “REP”) – although someone in the Class Action suit never paid a dime, but wanted restitution anyway.

Even when you combine the restitution to “victims” in the California suit settled two years ago, that still totals less than $300K. If you’re thinking – “wait a minute that was settled for $1 million?” you’re partially correct. Almost 90% or more exact – $875,000 went directly to the State of California, leaving a measly $125,000 for the “victims” that suit was designed to protect.

Look – I know how all these law suits put some people in a tizzy. Frankly, some who don’t know squat about Network Marketing (and never will the ignorant Zealots) became raving lunatics about the claims filed. Problem is – these suits were just that – claims. Most simply skipped ahead and proclaimed YTB was guilty of what was said simply because it matches their limited knowledge about the industry as a whole.

Now those who claim to be experts but have no real – practical experience will certainly have egg on their face. Truth is and always has been that nobody ever paid for the opportunity to recruit others. In addition and like it or not, other Host Agencies do charge a startup fee and monthly maintenance to partner with them.

And let me tell you – there was just no way any court would allow anyone to bypass those facts. Not even an Attorney General.

So here I sit today, with the same company, pretty much the same booking engine, and an even better opportunity I had three years ago. My commissions have actually increased from 60% to 75% on travel, and I’ve got an online store that gives me additional commission and provides cash back to my customers.

Instead of going out of business like some had speculated – I ended up with a better business. And I didn’t have to move an inch.

That’s what YTB has always been for me. Nor was there ever any doubt that it would survive. The clowns with the circus act with tails about a “house of cards” this and “endless chain” that don’t have a clue what their talking about. I know the industry from experience, I also know that Founders from personal contact. It was very clear to me that people totally underestimated both. That’s why I stuck around.

Sure there will be those that will continue to harp on the failed attempts to put the company under. They need someone like Jerry Brown or Lisa Madigan to justify their meaningless existence and limiting beliefs. There will also be those that want to focus on the recruiting aspect of the company. If they do more power to them – it’s their problem and misinformation, not mine. Network Marketing has been available and sustainable for the last 125 years. So get over it.

To me – honestly – some acted like such crazed dogs they need to be shot and put out of their self-inflicted misery. It never ceases to amaze me how some will just prowl every nook and cranny to find something they can get upset about. Or even worse, just make it up as they go along. And when challenged with an opposing view, they pretend to talk to someone else who agrees with them. Like that’s healthy or even normal.

I have to admit – it’s hard to believe that all this started three years ago. It sure has flown by. Probably because I always knew the bark was far worse than the bite. While some can’t seem to distinguish the obvious difference between a legitimate Direct Sales company or MLM and some long winded and very broad terminology that scream “pyramid scheme” it’s good to see that right still wins over wrong.

Happy to have all this behind us and I’m certainly ready to move on with a stronger, more lucrative, and diversified company. In that regard, I’m certainly not sorry any of this happened. Times like these always separate the weak from the strong – and the strong always get stronger.

Maybe now with this last suit out of the way we can get back to what we initially set out to do three years ago – Life, Liberty and The Pursuit of Travel.

It’s been long overdue.

PS - If you're involved with YTB, sign up for our FREE Newsletter. As a Website Owner or Website Seller, we'll keep you up to date with all the latest news, acquisitions, and developments with YTB.

PPS - Subscribe to the Just Picture It Now RSS feed, (including e-mail) for all the latest posts and updates found right here!

Doug & Ronda Bauknight
Doug & Ronda Bauknight
AKA: TravelPro
Travel Agent / Networker
Phone: 678.458.5812
Book Your Travel & Vacations With


TSO #588629
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Still The Biggest Fool I Know…

Thursday, March 31st, 2011
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Back in 2008 I wrote my first e-Book and boy was it a huge hit! At the time it was released to the public, there was a massive backlash going on in the travel industry concerning YTB’s rapid growth and clear signs of success. Travel Agents, already beaten and downtrodden by the Airline industry and online booking engines saw a virtually unknown Network Marketing company explode and take hold in the industry. And it scared the living daylights out of them.

The book entitled “What The Critics Know About YTB” was in reality an April Fools joke with a very distinct message. What made it both a joke and message to anyone who obtained a copy, was the book had nothing written in it. Yep, 100 blank pages. Even more comical – those who didn’t get it at first responded with – “There’s nothing past the first chapter?”

I still have this book and story of how it came about in my auto responder series to help new members of YTB and ZamZuu understand just who these people are and how their own fear and anger prompts the attacks of our fine company and our people.

Tomorrow marks the three year anniversary of this blockbuster e-book. (I’d like to call it a “Best Seller” but it was never actually for sale.) While we are three years removed from the vast majority of the drama that was conjured up by critics and detractors, to this day there remains one lone fool who still fits the mold of my brand of “critic”.

Probably the most difficult aspect when dealing with critics that I’ve had to overcome is they never really learn anything new. Heck, I’ve seen cases were they never even admit to making mistakes. It’s a level of arrogance I still don’t understand, but have come to accept. While I still find them irrational and incredibly dysfunctional, after three years of fighting tooth and nail to justify themselves and their position – they’ve become extremely silly in the way they think and act. Which made the April Fools date perfect for an e-book like mine.

When I saw the news about the sale of the Home Office and the money that was proposed – the very first thing that came to mind was “This is really going to tick someone off.” Even fools realize that several million dollars would be beneficial to anyone receiving it. You need to understand however that a clock has been ticking since late 2007 to 2008 with dreams of our company going belly up. While I barely see most of these Zealots around any longer, several were adamant that the company wouldn’t survive past 2009. (They don’t want to be reminded, so it was much easier to just fade away I guess.)

Not my boy John however, he’s fighting to the death. (Preferably ours in his case.)

The Class Action filed against YTB has been a perfect example of how people just won’t learn. It possess a brand of arrogance that they’re views are the only ones that are right no matter who or what you represent.

The Courts have not only dismissed this case a half dozen times, it’s referred to as nothing more than a “glorified fishing expedition” by the Courts. Other descriptions from the Courts include “redundant, immaterial, impertinent, or scandalous matter“. Yet these fools have been pummeled by the very system they beg too more times than I want to remember – returning for more punishment. They’re currently appealing one of the six rulings against them. Oh, and they tried to file in State Court with essentially the same line of bull they’ve always used – and SURPRISE! The state court rejected the complaint and removed it to Federal Court where motions to dismiss the suit are currently on the docket for these Zealots yet again.

I mean good Lord – when might you call a dog a dog instead of a cat with nine lives? This is exactly the kind of stupidity that makes me think these people are insane. They keep regurgitating the same line over and over and over again – hoping, dreaming, wishing, praying that they’ll get a different result the next go around.

For the record, and I know this to be true in California – and suspect all courts in Illinois carry the same tune – the Courts really didn’t care to waste their time with the Attorney Generals complaints either. I’ve actually seen the head critic spin this as YTB wanting to settle the one remaining case in Illinois with Lisa Madigan. Truth is, it was Madigan’s Office who offered not the other way around. However, unlike arrogant critics, YTB is working with the office to help resolve wording so everyone (well, maybe not everyone) has an understanding of what they are purchasing and what’s actually free.

Not sure, but I suspect the Z-Kit was a result of these negotiations since some people didn’t perceive the “booking engine” as an actual product. (Booking engines are products you buy for a traditional business like Nexion, or Cruise Ship Centers, but not for MLM I guess.) The Z-Kit is the kind of product that’s more in line with traditional Network Marketing because you have something you can actually touch.

But just because you have something simple and straight forward- there’s always going to be that lone fool who’s going to make it look like MLM has is doing something wrong.

Case in point – a blurb I found while reading about the YTB 2010 Annual Report:

YTB/ZamZuu makes a ton of money off of the people that attend the convention. The revenue for the 2010 convention was $322,000. (Page 16) and the expenses were $457,000 (Page 17). So if you do the math that means that the gross income from the convention was $779,000. At $199 to attend, that puts attendance in the area of 3,900. A number YTB did not disclose. But, it is clear that for every person who attended the convention, more than $80 went directly to YTB’s bottom line. That is a 41% commission YTB earned on this event! Most companies tend to make their events affordable. Yes, most make money, but most don’t gouge.

See how that works? Only in MLM can you add revenue and expenses together so the company gouges it’s members. Last I heard (from my 9 year old daughter no less) you add revenue and subtract expenses. And because he’s the only one who can be right – he uses this new “fact” he’s dreamed up (sorry make that “uncovered’) to fuel even more anger and resentment towards the company. And you better believe he’ll warn the YTB faithful this summer that YTB will make a sweet 41% profit margin on the gullible who attend this year.

Makes you wonder just who the gullible one is now doesn’t it?

There were several other numbers in this report that mysteriously couldn’t be found in the actual SEC Filing. I have no clue where they came from honestly – he was (in his own words) “taking a good guess”, and “extrapolating a bit more” than anyone really needed to. But that’s just John being John. Playing the “expert” and words like “extrapolating” make you sound a lot smarter than you really are.

By the way – I think “extrapolating” means “make it up”. He’s never considered the hundreds of millions in travel the company has sold as the focus. The $25 million sold on the “recruiting” side somehow equals more than the $252 million sold on the “travel” side. Again, “gross sales” has always been replaced with “net income” for travel so they can focus on what they fear most – recruiting.

Oh and one more thing before I go. What guy prices out purses and girdles? From what this fool says, both Gina Alexander and Ghiada are overpriced? Is there another fixation other than MLM that we don’t know about?

I just find it odd that he knows so much about women’s apparel and garments.

Or is it just another case of a train wreck pretending to be some sort of expert?

Ah well, the charade continues as “Life According to The Almighty John W. Frenaye”. I have to admit, his escapades and illusions have provided some great content for this site over the years. With the way he bumbles and stumbles with outlandish speculation and absurdly bizarre perceptions it’s actually been fun. (I do enjoy slamming the poor guy.)

With the anniversary of my e-book, and one of the better April Fools jokes I’ve played, I suppose I should thank him for the all the content and for still being the biggest fool I know.

PS - If you're involved with YTB, sign up for our FREE Newsletter. As a Website Owner or Website Seller, we'll keep you up to date with all the latest news, acquisitions, and developments with YTB.

PPS - Subscribe to the Just Picture It Now RSS feed, (including e-mail) for all the latest posts and updates found right here!

Doug & Ronda Bauknight
Doug & Ronda Bauknight
AKA: TravelPro
Travel Agent / Networker
Phone: 678.458.5812
Book Your Travel & Vacations With


TSO #588629
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The Next Ten Years

Thursday, January 13th, 2011
16
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Not many companies make it past their first year in business. Even fewer make it past year 3. If a company manages to make it through year 5, most business experts will tell you that the company has passed their litmus test concerning “risk”.

Some will tell you MLM has even a slimmer chance of making it past year one. Even if it does make it past the first year, there’s this myth that MLM is nothing more than a house of cards that will eventually topple. These aren’t “experts” mind you, (not by any stretch of the imagination) they’re just people who regurgitate what they were told or what they’ve read somewhere else.

Truth be told, when you look at Amway, Avon, Mary Kay, Tupperware, NuSkin, PrePaid Legal, and Primerica, these examples dispel the myth with documented cases that MLM can be built to last for decades. In Avon’s case, more than a century.

Before YTB, not a single MLM Travel Program made the cut in the travel industry. I can’t tell you all the reasons why these MLM’s failed, mostly because they were here and gone long before I came into the picture in January 2005. I’ve read about dozens of them over the years and can only guess at this point what sealed their ultimate demise. When YTB Travel Network entered the picture however, there was an enormous shift in the way people actually booked travel – moving from “brick and mortar” to “click and order”. There was also a simple shift in mindset and the companies focus.

In 2001, it was the first really big wave of retail sales moving to the internet. Companies like Priceline, Travelocity, and Expedia were making massive jumps in sales as people found it much more convenient to book their own travel on line. Today, Expedia tops the list of Travel Agencies – doing more business than any other “brick and mortar” out there.

Me? I just wanted a small slice of the pie. So I signed up, bought a domain, and BandBVacations.com was born in January 2005. Other than my first full year in business, I’ve made money selling travel every year since. The only reason why my first year didn’t produce a profit was because all the travel “booked” in 2005 were for trips to be “consumed” in 2006. (You don’t get paid in this industry until after the travel has been consumed.) Once a stream of bookings were created after the first year, it’s been profitable every year since – selling “travel”.

From what I’ve read and heard elsewhere, the problem with Travel MLM’s was they were nothing but “card mills”. Pitching that the average “Joe” had an opportunity to travel on the cheap using travel agent credentials. That wasn’t YTB’s focus however. (Although some in the company did abuse that privilege.)

YTB’s goal was much bigger and far more threatening to the industry – to become the largest supplier of travel in the world.

Pretty big goal to be sure. Some would say it was outrageous – even outlandish. Regardless of either opinion, it’s the one key difference that cemented YTB’s success in the industry, making YTB Travel Network the first Travel MLM – and to this day, the only Travel MLM that really matters in the industry.

So, how did YTB Travel Network do in accomplishing its goal of being the largest supplier of travel in 10 years? Depends on how you look at it. While it’s true the company fell woefully short by billions in taking over the number one spot – by projecting and reaching for such a massive goal, the company has solidified itself smack dab in the middle of some of the biggest, most respected agencies in the country.

Not bad for a bunch of MLM Yahoo’s. ;-P

That doesn’t mean however, that YTB Travel Network totally escapes what I’ve come to recognize as nothing more than “guilt by association”. The Network Marketing industry is riddled with a plethora of myths and misconceptions. Combine that with the negative impact other Travel MLM’s had when they entered and then abused the travel industry. What you stir up are intense emotions in traditional sectors of the industry – and quite frankly rightfully so.

You can’t slap a standard – one size fits all label on YTB however. The company broke that mold when it was founded 10 years ago. If the company and its model was indeed the same as all the others, it would have suffered the same fate. I might add that that the company has withstood what most would assume would be insurmountable odds over the last few years. In reality, losing a single cruise line couldn’t possibly have the impact the industry was hoping for. True, it might have worked if everyone would have piled on like traditionalists had hoped for. But when you’re dealing with true business minds and logic instead of pure emotion and anger, that ship never sailed. Vendors weren’t that dumb. Didn’t matter what the “perception” was – YTB as a whole sold a boat load of travel.

Then there’s IATAN. Again, if the perception was correct as stated by IATA that the company was in the business of “selling” credentials to third parties, the company would have folded long ago. Others may have done it, but in YTB – the only way to obtain that credential was to earn it like everyone else – by selling travel. When the company tried to correct the error and appeal – they snubbed their nose at us. Since credentials, and free rides was merely a perception or label, we moved on and continued with our core model and product – producing even more sales and more bookings without the almighty IATAN at our side.

After the attempt to cut off suppliers and IATA failed, California filed a $25 million law suit with claims the company was illegal pyramid just one day before the 2008 Convention. Problem with that was Jerry Brown, the Attorney General at the time who filed the suit, figured out that nobody has ever paid for the “opportunity to recruit others”. (A very common myth in the industry.) Regardless, California still collected $875 thousand in the deal for themselves, leaving the last tenth of the million dollar settlement to the victims Jerry Brown boldly claimed he was trying to protect.

The Government will always get theirs – and since we did nothing illegal we kept our business.

Biggest problem I see with critics who enjoy slamming and shaming the company and its people – is they can’t correlate “BandBVacations.com” with an actual “product”. Never understood that – really. Nexion sells several hosting plans, TravelQuest does as well, even Expedia sells “booking engines” to those looking to get into the travel business.

But try to do that with an MLM – and suddenly the “value” is nonexistent simply because these minions fear the word recruiting. A phobia some never really overcome or grasp. Reality is, all those Hosting Agencies above are attempting to “recruit” you. They need new blood – new recruits in order to maintain and build their brand.

Regardless of what appears to be an obvious oversight regarding the word “product” or even “value” the company has learned how to “dumb it down” so that anyone, (including staunch critics) can understand what we are selling and being paid on moving into its next 10 years of business. (Truthfully, nobody’s really that dumb, they just like to play dumb on the Internet.)

As the parent company YTB International moves into the next 10 years of business, it’s expanded it’s product offering to another huge boom on the Internet.

Online shopping.

Like Travel, YTB or ZamZuu isn’t the first to market this type of product in the industry. Nor will the company be the first to successfully market an online shopping experience in the industry. But there will be a key difference in how commissions are paid to the Representative who sells it.

What hasn’t changed is the “fee” to become a Representative of the company. It’s free – nor are there any requirements to purchase any of the products associated with the company. But the company has finally come up with a way to ease the fears and phobias surrounding paying commissions in Network Marketing with what’s called a Z-Kit.

It’s silly really – not the actual product mind you, but the idea that people actually need a physical product they can feel – touch – and grasp in our industry in order to calm the nerves. Government and society has a lot to do with that. People like me (or others in the company) who can think on their own in logical, rational terms are in the minority. We have to appear to be like everyone else in order to be accepted – or in this case – to be able to keep jerks like Jerry Brown and Lisa Madigan from filing outlandish lawsuits with claims that it’s some sort of pyramid.

What ever happened to logic, and independent thinking?

The problem isn’t the industry – it’s outsiders who perceive the industry through a fixed lens that create the problems. While Royal Caribbean, IATA, Jerry Brown and Lisa Madigan all made bold claims about who we are and what we do. None of them hit the nail on the head.

How can I make such a bold claim? I don’t – but my website does. See, it’s still here – regardless of all the overzealous and wild claims to the contrary.

While I didn’t join the company when it first evolved 10 years ago – my bet is that it will still be here during the next 10 years. That excites some, and terrifies others. Regardless of which end of the spectrum you fall in – BandBVacations.com isn’t you’re choice to make.

It’s mine – and will be for decades to come. And for that I am grateful that there is somebody out there that still relishes and promotes independence, logic, and value in this world.

PS - If you're involved with YTB, sign up for our FREE Newsletter. As a Website Owner or Website Seller, we'll keep you up to date with all the latest news, acquisitions, and developments with YTB.

PPS - Subscribe to the Just Picture It Now RSS feed, (including e-mail) for all the latest posts and updates found right here!

Doug & Ronda Bauknight
Doug & Ronda Bauknight
AKA: TravelPro
Travel Agent / Networker
Phone: 678.458.5812
Book Your Travel & Vacations With


TSO #588629
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