The Compound Factor represents challenges that most of us face, and an opportunity to do something about it. American small businesses and middle class jobs are disappearing at an increasing rate. In retail, global companies such as Wal‐Mart, Costco and Amazon have consolidated product distribution so much and made the industry so efficient that the increase in their market caps is really just a g
iant value migration from small town U.S.A. to Wall Street at the expense of thousands of mom‐and‐pops and regional players. Worse yet, a relative few stakeholders are harvesting all the value “unleashed” during this value migration (i.e., the infamous one percent). Traditional ivory-tower economists would argue that this is all part of the natural progression of an evolving economy. Their solution is for displaced workers to simply upgrade their skill sets through more education. Most companies do not want to hire people (they would rather automate). But these same companies need people to purchase their goods and services. In fact, consumers make up 70 percent of the U.S. Without consumers, the world’s economies would grind to a halt and the market capitalization of all these big companies would go to zero. So with an economic model that favors automation, in order for business to survive, it is time for companies to recognize the value that consumers create and strike a fair bargain with their patrons. With the same technology used by companies to become more efficient, but this time in the hands of consumers. The typical Facebook user has 245 friends (with younger users having a much higher average). The notion of being “virtually” in touch with so many people would have been unthinkable 10 years ago. If technology can be used to leverage social networks to market and sell products and services, then market forces shift back in favor of the consumer. This “social selling” model makes it easy for people to introduce products and services to their social networks, and then track the transaction from introduction to a sales event. The individuals are able to band together with others to form selling and purchasing collectives, and the technology platform manages their interactions and efforts to fairly compensate all involved. The Compound Factor is tackling this head on. Their first product is a competitor to the acne line Pro Activ (over $800million in annual sales). Unlike Pro Activ, however, with profits generated going to the manufacturer, The Compound Factor’s model pays out up to 50 percent of revenues to its Affiliates. The Company also produces a line of wellness drinks that are truly unique in the market. Their elevator pitch is Avon meets Tom’s Shoes meets Occupy Wall Street. If you are fed up hearing about the 99 percent and the widening gap between the haves and the have-nots, then join us and do something about it. Become one of the first to claim your stake in what we call Retail 3.0. Become a Compound Factor Affiliate today.
