Wednesday, August 13, 2014

Creative Memories Bankruptcy Roller Coaster


(A quick background in case you've missed the thousands of times I've mentioned this:  I have been with Creative Memories for the past 20 years - the last 8 of which many of us lovingly refer to as the "crazy train" or an even better comparison - a Roller Coaster. I finally had enough of the craziness and released my team in 2011 to pursue leadership with somewhere else (Thirty-One Gifts) - yet always hoping that CM would get it figured out and I could come back.)

When I found out CM was launching an entirely *new* company in January of this year, I came back to the "new, improved, free-from-several bankruptcies Ahni & Zoe by Creative Memories" naively thinking the emotional roller coaster was over.  

We started off great - Ahni & Zoe by CM was actually awarded the coveted Ethos Award for 2014 Best Product Launch from the Direct Sales Industry! I just knew we were on to something big...and after 8 years of ups and downs and stomach-clutching hairpin turns, I was starting to think that maybe just maybe "I've earned a life-long ride on the calm, cool lazy river."

So I jumped in with both feet - literally stepping down *again* from Leadership this time with my Thirty-One business so I could come *back* to my first love and find my *passion* - helping others get their photos off their devices and into their lives. I actually thought I was doing something noble.



Life was good! I was sooo excited!! (Except if I was CEO, I would have kept bookcloth album covers and some card stock, but for the most part I really loved their streamlined Fast2Fabulous product line.)  From January to May I sold over $8,000 in photo albums and supplies, was blessed by lovely ladies who joined my team, promoted to Unit Leader, earned an i-Pad Mini, helped my customers complete albums of love, held Dream Board workshops, enjoyed my own albums, and earned an all-expense-paid trip to a sunny Marriott spa and resort...I even floated down a lazy river...


Our CEO praised us for persevering through "tremendous head winds."  One of the windiest days was in February with the sudden departure of CM's co-Founder Rhonda Anderson. Seemingly overnight she surprised us all by abruptly announcing she was leaving Creative Memories and launching a very similar product line over at Heritage Makers. Suddenly I was inundated with requests to leave CM, join Rhonda's team, and get rich quick! It was all under the umbrella of the Youngevity company (think Amway) - we could sell photo albums, digital albums, vitamins, mineral makeup and essential oils! Oh joy! No, Thank You! 

I mean I had just come back to CM, I was all about Simplicity. I was also all about launching Ahni & Zoe by CM - I mean isn't that what we had been waiting for? To get out from under the mistakes of the past?  Besides I couldn't understand Youngevity's career plan and I really wasn't interested in selling vitamins along with my scrapbooks. I'm not the sharpest crayon in the box apparently because thousands of Consultants followed Rhonda over to her new company within days...(did they even look at the career plan?)...I guess it didn't matter - many were strategically placed onto teams to develop and promote leaders quickly. Rhonda has recently been recognized by Youngevity for having the "Fastest Growing Team in the World." I just wish she would have told me she was leaving and taking everyone with her before I gave up my Thirty-One Directorship to help her launch this "brand new" Ahni & Zoe company, but whatever, I'm not bitter. Haha.



So that was when the jolting feeling hit me - when *my* dream, *my* passion rounded another hairpin turn. I started hearing the familiar click-click-click sound a roller coaster makes as it takes its time climbing a Very. Steep. Hill.   Hmmm...I thought I was on a new track? Yet realizing I was actually on the same Crazy Train...and maybe nothing had changed. 

So many seemed excited to follow RA on this new venture and I just felt extremely hurt. During the first bankruptcy CM had somehow lost all of the Retirement Funds of their leaders and drained them completely empty. This was money that I had set aside every month from my commission checks into what I was told was a Financial Security Plan through the Home Office. Later we find out it was changed to a Rabbi Trust without our knowledge and completely drained dry. Thankfully I only set aside 5% during that time and lost around 10K but many leaders had 6 figures in there and were actually at retirement age when they found out they had no nest egg. I won't even get into the Home Office employees who lost everything during the employee-owned stock days... while the former CEO cashed out with millions.  


Wait. You thought we were talking about a Scrapbooking Company not Enron, right? Are you confused yet?

So then I thought...well, maybe it's a good thing that RA left and thousands of Consultants with her. They didn't like the direction of Ahni & Zoe. I still believed in the product, our mission and the small, committed group of women who remained. We could change the world! One album at a time! My energy was renewed. Now I was determined not to fail because I didn't want someone else to determine my destiny. And what really had changed? Just many thousands of our sales field had left, we were out of debt, we could still rise from the ashes....

So I put my head down and "Shared the Love" and earned Ahni & Zoe's very first Incentive Trip!


Are you a believer in signs?  Three things happened on that Trip that gave me the Gut Feeling that Something is Up:

The first *sign* - I had a layover in Denver and I got stuck there....broken down plane and ALL other flights overbooked. It was like a bad dream. I could not *get* to my all-expense-paid Incentive Trip!! Are you kidding me??  So I sat in the Denver airport for nearly 2 days waiting on standby for each plane taking off hoping to inch my way closer to Texas. Denver is significant because it just happens to be where my Thirty-One Senior Executive Director lives. Denver is also where I chose not to attend a LeadHERship Retreat with Thirty-One because I was too busy launching Ahni & Zoe. And Denver is where Thirty-One was having their National Conference in 2014. 

The second *sign* - when I wearily checked into my airport hotel room that United airlines so graciously provided, they assigned me to room #231...as in "To Thirty-One!!" I just remember lying on my bed looking up at the ceiling and asking God "What are you saying here?...Why am I stuck here?...Is this *just a coincidence* Lord? Or is this a significant Universe shift that I should be paying attention to?"

The third *sign* that Something Was Up - when I finally did arrive at the beautiful Marriott Spa and Resort the CEO was nowhere to be seen. I finally asked about him and was told, "He couldn't come. He's doing CEO things." Hmmm...what could possibly be more important than encouraging and rewarding his top leaders in the field? There were only 31 of us who earned the trip (yes, "31" I'm not making this up...was that sign #4?)  I thought maybe he would at least have a video message or Skype us or ??  But nope. Crickets....

Either very rude (which he's not) or like I said Something is Up.

Sure enough a couple of weeks later our CEO holds a Conference Call and tells us that we are financially at the end of our rope and we are no longer in the care of the Bankruptcy Trustee but we are now in Receivership. Which means that the Receiver will be trying to find a Buyer and if he can't, we will have no other choice but to shut down. (Wait. Bankruptcy? Trustee? Receivor? Didn't you tell us that we were *free from the constraints of the bankruptcies*? We were a *new company* with *unlimited potential*? 

Some people can handle roller coasters. 
Some thrive on the adrenaline and the excitement.
Some don't need to know what's around the next bend.
Some call that Faith.

I call that "they must have had a secure childhood."

This is me on a roller coaster...(the little guy in the front row Freaking Out):


...to be continued








  

19 comments:

  1. Awesome summary of the entire situation. Kudos to you and best of luck as you make that career change.

    ReplyDelete
  2. wow, your story was shared in light humor and yet, total seriousness. I felt as if I was on the ride with you, watching all the warning signs and wondering when the ride was ending. I am confident that better things are in store for you, hang in there, you were a fabulous CMC, and AZC and I firmly believe you will succeed at your next endeavor, whatever that is. I look forward to your continued story....

    ReplyDelete
    Replies
    1. Thank you, Sherry - I appreciate your support and encouragement!

      Delete
  3. I felt like I was watching an episode of "Untold Stories of Creative Memories" while reading this. I'm so sorry you've been on such a roller coaster. God has a plan for you--I'm anxious to see what that plan is:-) Good luck with your future endeavors!

    ReplyDelete
    Replies
    1. Ohhh Tamara there is so much more behind the scenes drama, you have no idea...."As the CM World Turns" ;)

      Delete
  4. Oh, Donna Lyn, I hope by now you are safely back in the arms of 31 Bags...I only shared the last 10 years of CM, but tasted just enough of the glory days to miss it terribly. I'm now a happy CTMH consultant/leader, but I still miss the CM that was. Blessings to you.

    ReplyDelete
    Replies
    1. Thank you - I'm almost there - just closing out my A&Z business and then I will be able to focus on Thirty-One full-time. I'm happy for you that you found success with CTMH - I love their papers! They have a super cute Catalog and I've heard they take good care of their Consultants! All the best to you in your continued success :)

      Delete
  5. ....no joke...i've been watching to see what you would decide to do. I started to join A & Z a couple of times and just couldn't do it. Don't know where God is leading me, but I'm assured there is a plan (Jeremiah 29:11). I will keep you in my thoughts & prayers as well.

    ReplyDelete
  6. Awww, thank you Arla! You have more restraint than I! It is tempting though, isn't it? They had a good concept just not the means to pull it off. God is always faithful and He promises that "in ALL things He works for the good of those who love Him, who have been called according to His purpose." Thank you for your prayers! I will pray for you to as God puts you on my heart <3 Please stay in touch :)

    ReplyDelete
  7. Oh Donnalyn! I'm so sorry. You are such a talented and energetic person who has blessed the lives of many. God can use you with or without a man-made, buttoned up career plan. Keep moving forward! Whatever company God places you with will be dang lucky to have you!

    ReplyDelete
    Replies
    1. Thank you, Holly - I am learning that it's not about the success, it's about the journey and who we touch along the way. The older I get the less I know! But the best thing about our Creator is His GRACE! :)

      Delete
  8. This comment has been removed by the author.

    ReplyDelete
  9. Donna, *you* are the reason I joined Ahni and Zoe. Nothing else, no one else had convinced me before I came across your blog. I had been one of the sheep to follow RA to HM and Youngevity but soon realized that I hated their "Amway" way of doing things (all the conference calls were about recruiting and promoting the *other* products that Youngevity sells). My distaste for Our Memories For Life only increased when Mark Mizen started pointing out the quality issues with the product and RA came back defensive and dismissive to his comments. One instance was with the pages not being punched right. The email from RA said to just cut off the holes/jeeping and slide them into the top-loading photo sleeves that were coming out. I was appalled when I read that: this was the same dialog that happened before the first bankruptcy, where the execs didn't seem to care anymore about what happened to us little guys and our albums/photos. I suddenly felt that RA didn't really care about our albums, that she only cared about getting ahead, and suddenly I wanted OUT. I cancelled my consultant status there and started looking for something else when I came across your blog.

    I immediately hopped on what seemed like the old CM I'd fallen in love with when I first joined. I imagined it being like one of those easy-going trains that gently take you around the amusement park, allowing you to do the business at your own pace and with your own style (read: fun parties and crops where people are excited to buy this fun, easy-to-use/do, new product). I wanted to sign up under you--honestly I did--but I couldn't find the link you'd provided on one of your blogs and I couldn't find you in the system no matter how I phrased your name. Time was running out to get the promotion for that month, so I foolishly let A&Z pick my leader...someone I didn't know and who didn't even bother to contact me even though she was just down the road from me (I should have realized then that something was wrong b/c that's the same situation I was in when I was last with CM).

    And then I too heard the click-click-click but didn't realize what it was b/c I hadn't been on the ride for either of the two bankruptcies. I too am heart-broken about all this. I wanted to make the business grow for the first time since I first heard about CM 18 years ago. I had a ton of ideas about how to promote, sell, and hold parties. I wanted to meet *you* at one of the incentive parties b/c you seemed to care more about the product, the company, and the people than a certain person who had left A&Z and took 1000s with her. But I had joined June 30...I had practically hopped on the roller coaster the instant it had started its descent into the screaming terror full of loops and sharp turns and horror.

    I still plan to pay attention to what happens with the future of this company, BUT...secretly, I'm hoping that they just go to an online direct-to-consumer model and cut out the whole direct-sales thing b/c I'm tired of that ride. For me, it's just been a ride filled with people who ignore me or destroy my photos (one CM leader was "helping" me remove my photos from a non-CM album with a multipurpose tool and ripped my expensive, professionally developed photos in half--I never recovered from that b/c the photo developer who had originally printed the photos was gone, and I never found a photo developer who could even come close to that quality of work) or use me to recruit others to promote their business without returning the favor and helping *my* business to grow. It's been a ride filled with heartache, headache, and wallet-ache, and I'm done. I'm done with direct selling; I'm done with selling product just so I can have some for myself. I'm done. I just want to buy the high-quality product without all the pain of having to recruit or promote the business to justify the expense of getting product for myself.

    ReplyDelete
    Replies
    1. Thank you for your kind words LemonDropMemories! Wow, what a story you have. I remember taking down the "Join My Team" link on my blog because I didn't feel right advertising the business opportunity during uncertain times. I had no idea if we would even be in business so how could I let someone just sign up blindly.

      I agree with you in that I hope the new business is direct-to-consumer. There is enough brand awareness that most scrapbookers do an internet search for Creative Memories and know what they want to purchase. We saw that with A&Z where A&Z was accepting direct-to-their-website orders and passing the Lead to a Consultant after the sale.

      Most of my customers have stocked up on supplies - myself included. I think a lot of Consultants went over to HM for the product discount and when their beloved CM products come back, we may see a mass exodus bacak to CM. But it's funny because it used to be where people would use CM exclusively but all of these changes have forced CM's customers to seek supplies elsewhere, thus opening up a whole wonderful world of products from many different suppliers. Gone are the days of CM exclusive loyalty (exception to this would be the albums and pages in my opinion).

      Please don't let your CM experience taint your feeling toward direct sales in general. I found out in 2011 by trying another company that they are NOT all the same. There are indeed well-run companies out there and I like to support women who are entrepreneurs making a living through a home businesses. I hope you will consider that too! What goes around comes around so of course, just go with the ones who offer the best customer service and products you love.

      All the best! dl :)

      Delete
  10. Life is indeed like a rollercoaster ride. You will encounter ups and down along the way, which can test your patience; however, at the end of each ride, you’ll always walk out stronger. Anyway, it’s good to know that was how your journey with bankruptcy ended. You defeated it, moved on and became stronger than ever. Congratulations!

    Stanley Erickson @ Bankruptcy Happens

    ReplyDelete
  11. We don't know each other but I have to say that you showed so much more grace than I would/could have! 16 years ago, I was a cm consultant...just a hobbyist..stayed a couple of years and quit scrapbooking. When I first heard what was happening several years ago, I thought 'what greedy, disgusting people...how does RA and the other even look at themselves in the mirror??? And STILL have the audacity to play the religious card?? What a bad actor she is. GAK! But you are an amazing lady and I feel the same...the cream always rises...enjoy your ride back to the top!!

    ReplyDelete
  12. Thank you, Carmen. I certainly have made my share of mistakes and only hope that grace will be extended. I believe in "what goes around comes around" - the truth always come out one way or the other. Happy scrappin'

    ReplyDelete
  13. If you are in need of a lawyer still, this is a great opportunity for you to take some advice and get yourself the best help. All you need to do is make a small list of questions you would like an attorney to answer concerning your case and go see a handful in person. You will easily be able to choose based on how they answer.

    Karoline Peak @ Ruffi Law Offices, S.C.

    ReplyDelete