I hope Creative Memories succeeds. Here is why a Chapter 7 liquidation following the “Twinkies Model” is not such a bad outcome.
The retirement money is almost certainly gone or never existed. Nothing that happens is going to make it reappear. New laws that require transparency and limit the power of the banking industry are the only way to prevent misuse of retirement funds.
Like Hostess, the main thing Creative Memories has of value is its brand name. Presumably, another company would acquire the name, perhaps at a bargain basement price.
The Creative Memories brand name is associated with high-quality photosafe products; yet the current company is having difficulty meeting those requirements. Different ownership with additional resources may be better able to meet these needs and may, in fact, be able to develop the brand’s full potential. The Creative Memories strap-hinge album would certainly continue, since it is the core of the product line.
The new owners of the Creative Memories brand might or might not continue with direct sales, but there are plenty of direct sales options for people interested in the career opportunity. Several direct sales companies even offer photo related businesses, including MemoryWorks, Close To My Heart, Heritage Makers, and Send Out Cards.
Digital technology is key for the future. I have no basis for saying so, but I strongly suspect that Panstoria would reintroduce Artisan and take over the software business. They currently have no customers other than Creative Memories, and they will need revenue. Under this scenario, Panstoria would also probably develop their own source for digital products to generate additional revenue.
Albums, pages, and software are now available. Problem solved.
Sounds so simple…….but anyone who thinks we’re in it just for a career, does not get what Creative Memories is all about. You know what, Michaels doesn’t change lives like we do, Avon does not change lives like we do, Tupperware, Mary Kay, etc. None of them have the impact to make a difference in lives the way we do. And without direct selling and that one on one, it’s just not the same. All great products, but I’m sorry, a tube of lipstick, a plastic container, they just don’t have the same impact as a saved photograph. Take away the consultant and all you have is yet another company wanting to push their product line on you. What a tragedy.
Dr. Mizen, I can’t help but feel you are trying to be incendiary with your Chapter 7 remarks. As of right now, CM has filed Chapter 11, not 7, unless you know something we don’t know.
Amen Nancy… I’m with you
Hostess started in Chapter 11 and wound up in Chapter 7. My view is that it is not necessarily a bad thing if the CM brand is acquired by another company that is better able to support and develop the brand.
I will pray that never happens – it would be a disaster. We are not selling Twinkies, easily replaced by Sara Lee. Some ideas sound great on paper……….but they aren’t the answer.
I just saw that Panstoria is bringing Artisan back….
given that CM australia has gone in to liquidation based on the fact that the US parent company is unable to provide them with product, I would say this may be a hole that CM is unable to climb out of.
Creative Memories consultants: if CM is unable to recover from this situation, you ought to check out Heritage Makers as an option. GREAT direct selling company with a great product & the ability, as mentioned above, to directly affect peoples’ lives through the power of pictures & story.