Interesting SU Developments...Demos and the Internet

Edited Again:  This post no longer accepts comments.  For more information on this issue or to discuss, I recommend that you visit Craft Critique.  Edited to add my opinion:   SU is in an interesting bind.  The internet has inserted itself between the traditional demo/customer relationship. SU could have embraced the internet -- participated as a member company on SCS, and other similar sites, advertise on the internet, hosted its own site like Hero Arts, etc. and still sent customers to their local demo.  But it has chosen a different path.  I wish my friends who remain demos well.  However, as a hobby demo, I will let my demoship lapse.  I only ordered for myself and re joined solely to purchase and learn the My Digital Studio.  I will not be buying it now.   While I understand somewhat* the contractual clause not to design for competing companies, I do not understand the clause that restricts a demo from linking to blogs that use other products or talking about other products on facebook and other venues.   Luckily, there are hundreds of other companies who want my money!! * My caveat to this understanding is that the owners of Stampin Up own Clearsnap.  Clearsnap sells product to SU but also sells inks and stamps to other markets both wholesale and retail, including on line in direct competition with the demos from whom SU seeks loyalty.  I just don't get that.  Re-signing the IDA Q: How do I sign the new Independent Demonstrator Agreement (IDA)? A: Log in to the Demonstrator Web Site and either print a copy of the agreement from the Printing Place, or go to My Business>My Profile. There is a link on the right side of the My Profile page for the new (2009) Independent Demonstrator Agreement. From that link you can read the new IDA and electronically agree to the new terms. Demonstrators who do not have Internet access can contact Demonstrator Support to make alternate arrangements. Q: What's the deadline for signing the IDA? A: You have until midnight on September 30, 2009, to sign and submit the new IDA. Q: What happens if I don't sign the new IDA by the deadline? A: If you haven't signed the new IDA by October 1, 2009, you will be unable to place any orders through OEX until you do so. If you try to place an order, you will be prompted to go through the quick, easy process of signing the new IDA. In addition, if you haven't signed the new IDA by October 1, your customers will not be able to place any orders through your Demonstrator Business Web Site (DBWS) and you will not be included in the Demonstrator Locator or Demonstrator Finder tools on the Stampin' Up! Web Site. Make sure you sign the new IDA before October 1 so you don't lose any potential sales. Q: How does this impact new recruits? If I or a member of my downline just joined in August, do we still need to sign a new IDA? A: Yes. The new IDA is available online now, so any new recruits who sign up now will need to sign the new IDA. However, those who signed up before September 1 also need to sign the new IDA, and may do so electronically at any time before October 1. We apologize for any inconvenience this may cause but hope you understand how important it is that every demonstrator is aware of these changes. Q: Why do I need to re-sign the IDA? A: While we can make minor changes to policy and the IDA without requiring demonstrators to sign the agreement again, we felt that the changes on this revision were significant enough that we would give all demonstrators the opportunity to read and accept the new terms.  Top Personal/Business Impact Q: If I have a Stampin' Up! blog where I promote my Stampin' Up! business and a personal blog that I keep separate from my Stampin' Up! business, do the same guidelines apply to both blogs? A: Yes. As a Stampin' Up! demonstrator, any presence you have in the electronic communications world (blog, web site, Facebook, Twitter, etc.) must meet the guidelines outlined in the new IDA. When you sign the new IDA, you agree to refrain from using any electronic communications to promote, market, or sell the products of any other companies (direct selling or retail) that offer similar products, including decorative stamps in any form, stamp art accessories, scrapbooking products, digital art solutions, and vinyl wall art. Keep in mind, again, that the restriction does not completely prohibit you from using competitive products and posting images on your personal web site. You could, for example, post a project you made for your child's birthday party using non-Stampin' Up! accessories, but you would need to refrain from providing specific sales information (price, retailer, etc.) that would be considered marketing of those products. When you post projects, whether they are on your Stampin' Up! blog or a personal blog, you are representing Stampin' Up! and your postings impact your business and Stampin' Up! as a whole. Q: Once I sign the new IDA, what am I allowed to have on my blog? A: The changes restrict you from providing purchasing information, referrals to catalogs or publications, links to blogs or other web sites, or other similar material meant to promote, market, or sell competitive products. For instance, if you created a project that used a wooden block, you could show the project on your blog and mention that you used a wooden block. You could even mention that you purchased the wooden block at a craft store or big box retail store, but you should refrain from giving the name and location of the store, or any other purchasing information. We do not want to list everything you can and cannot do in electronic media-partly because the list would be incredibly long, partly because it would need to be updated every time technology changed (and that would be almost daily!), and partly because we want you to understand and respect the intent behind these changes and use your own judgment in making these decisions. As you consider your activity in electronic media, ask yourself if what you are doing undermines your business, the businesses of other demonstrators, or the company as a whole. If the answer is yes, please refrain from doing it. Q: On my personal blog, I have links to my friends' personal blogs and web sites.  Some of them sell competing product. Do I need to remove these links? A: Yes. In evaluating the links on your web site, you will need to remove any links to blogs, web sites, or the like that promote, market, or sell competitive products.  Q: I regularly participate in online forums relating to the craft industry, and maintain a gallery of my artwork on one of these forums. With the new IDA, is this activity still allowed? A: Yes. Participating in forums and posting your projects for your fellow crafters can be an important method of inspiration and recognition. It's important to note that the new IDA does not prohibit this kind of activity. However, there are some guidelines now associated with activity using any electronic media. Consider the web site or online community you choose to participate in. Does it actively promote or market other craft companies? Does it provide information on products or catalogs for other stamping, scrapbooking, or home decorating products or companies? If you directed your customers to the web site, would they have the opportunity to learn about and purchase similar products from other companies, and not from you? If the answer is yes, then under the new IDA guidelines, you should refrain from linking to the site in your other personal electronic communications, regardless of your personal activity on that forum or web site. We understand that this may be difficult for some, but hope you understand the impact on your customers when you direct them to a location where their attention is diverted from you and the products you have to offer. We are currently exploring ways to provide more of an open community and sharing environment to our demonstrators, and will keep you updated on any new developments.    Q: I create electronic banners, backgrounds, and other projects for my web site using digital artwork from other companies. Can I still do this? A: Absolutely. Again, using or displaying products that compete with Stampin' Up! products is not restricted. However, promoting that artwork, such as providing links to product web sites or giving specific purchasing or download information, would be against the new IDA. Q: I design projects for another company, web site, or publication using non-Stampin' Up! products. With the new guidelines, can I still do this? A: That depends on what the company, web site, or publication has asked you to do. If you simply design projects that are then displayed on the web or in a publication somewhere, but you personally do not need to promote it on your blog or web site, then yes, you may still do this. Once you are required to personally promote competitive products in any manner, you will be in violation of your Stampin' Up! agreement. Q: If I am under contract to promote other company's products on my blog, or to design for another company and promote it on my blog or other social media, how do I handle the new guidelines? A: If you are under contract to promote competing products through your web site, blog, or other electronic media, please contact Demonstrator Support, who will refer you to the Compliance department. We understand that you need to honor commitments you've made under contract; therefore we will work with demonstrators (on a case-by-case basis) who are in this situation. This does mean that there may be some demonstrators who appear out of compliance with the new guidelines for a short time, as they work through the terms of any contracts they may have. We will work with demonstrators on these exceptions within reason. If a demonstrator is under a contract, for example, that has no end date, that demonstrator would need to work with Compliance and determine how best to terminate the contract. Q: I get a lot of traffic on my web site, and I receive requests to advertise other craft products. Are you saying I can't have any advertisements like this on my web site, even if I have the opportunity to gain some income from them? A: Yes. Although you may gain potential income from providing links and/or purchasing information about certain products, at the same time you are losing potential income by driving customers to competing companies. Although it's difficult to measure in hard numbers, we believe that by keeping your visitors interested and informed about Stampin' Up! products, they are more likely to purchase those products-from you! Keep in mind that these restrictions only apply to competing non-Stampin' Up! products. We are not restricting advertising for noncompetitive products. Q: I use my Facebook page or Twitter account to highlight products I like from any company, not just Stampin' Up! Is this now prohibited?  A: Yes. Again, we believe that these changes may increase your sales and will protect your demonstratorship and Stampin' Up! as a whole. As we've indicated, this doesn't prohibit incidental references or visuals of products offered by other companies, and it doesn't apply to noncompetitive products. Q: Now that Stampin' Up! has announced its Simply Adorned line of jewelry, is jewelry considered a competitive product? A: No. Our line of jewelry is so limited that we do not consider jewelry a competitive product at this time. Q: If a customer leaves a comment on my blog that promotes a competing product, am I now obligated to delete that comment? A: No. However, given the intent of this policy, you may choose to do so, as any information regarding competitive products or retailers is harmful to your business. Q: Do I have to go through my archive information on any electronic communication and delete any references that don't comply with these new guidelines? A: No. The policy changes will be effective going forward, and it is not our intent that you would need to go through and "clean out" any information you have posted in the past. If you use or actively refer to an old post or article, however, you will want to make sure that article is compliant as it would constitute current use. Q: At an event, can I market or promote a product or service that is directly related to my Stampin' Up! business? A: No. As the new IDA notes, whether the event is organized by Stampin' Up! or a demonstrator, an exclusive selling environment is an important part of the process. When you sign the new IDA, you agree to refrain from promoting, marketing, or selling any product or service that is not directly offered by Stampin' Up! at any Stampin' Up! event, even if that product or service is directly related to your or other demonstrators' Stampin' Up! business. Top Philosophy Q: What prompted Stampin' Up! to make these changes? A: Before the wide-spread use of the Internet as a marketing, selling, and communications tool, guidelines concerning competitive products were fairly straightforward. Our main means of sharing Stampin' Up! was in workshops or similar face-to-face events. In a workshop or other event, it doesn't make sense to promote products available from local retailers or even direct-sellers, as it would negatively impact the workshop total, the hostess benefits, your commission, etc. As time has gone on, and more demonstrators are using the convenience of online tools to market and promote their businesses, it has become necessary to bring our policies regarding the online promotion of competitive products in harmony with our face-to-face events policies. In addition, as we developed My Digital Studio, the need for more defined guidelines became even more evident as we realized the many ways this new product could be used to build your business. These are a few of the things that led us to examine the Independent Demonstrator Agreement and the restrictions we provide on representation of competing companies and marketing, promoting, and selling competing products. Q: How do these changes benefit me or protect my business? A: When you sign up to become a Stampin' Up! demonstrator, regardless of your purpose in doing so, you sign up to begin your own business. Stampin' Up!'s goal is to provide you with tools, services, and products to help you be successful at whatever level of business you choose to engage in. But whether you consider your business a hobby or a full-time occupation, the same basic business principles apply. Imagine for a moment that you own a fast-food restaurant that specializes in a specific kind of burger. You plaster your walls with photos of happy customers and provide specials on your food to encourage more customers to come by. You wouldn't suddenly put an ad for McDonald's on your wall, right? Nor would you freely tell your customers that they could get a cheaper burger just down the road. Promoting products that compete with Stampin' Up!'s products is not only fundamentally a bad business practice, it also costs you sales, commissions, or other opportunities. Whether in person or in your electronic media resources, the concept is the same. It is in your best interest, as well as the company's, to not allow competitive businesses to utilize the drawing power of Stampin' Up! to build revenue or find customers. We put our resources into promoting the business for you, and we're sure you'll agree that it doesn't make sense for Stampin' Up! to allow other companies to benefit from our efforts. That said, we don't want you to stop creating. We need you! We need you to keep creating, coming up with new ideas and suggestions, and sharing your enthusiasm. We need to work together to protect what Stampin' Up! stands for and what we offer. Q: These new policies seem harsh; why would Stampin' Up! make changes of this kind? A: We have invested substantial resources-financial, creative, personnel, etc.-in providing products, services, and tools to help you build your demonstratorship. While these changes may seem restrictive, we feel strongly that they will protect our investments and your business over the long term. However, please note that the guidelines are designed to restrict marketing, promoting, and selling of competitive products only. The incidental mention of non-Stampin' Up! products is allowed. Top

Comments

[Sandra K]

Hooley Dooley!

[Jackie]

That's just ridiculous!

[Lauri]

it is sad, very sad....but some of us will have to make choice. I am sure they will not miss my measly sales, though..haha! Maybe they just want to get rid of hobby demos like me!

[Lynn Schebor]

A sad day-I thought it was all fun and games in the craft world.........

[Stacy]

I'm anxious to hear your comments, Joan!

[Susan Raihala]

I, too, am anxious to hear your comments on this. As a hobby demo who actively promotes other stamp lines on your blog, it directly affects you.

SU is a business, and as such, has the right to implement these kinds of changes. It will, however, tick off a bunch of people. For me stamping is "fun and games"--to use Lynn's nice phrase--so the new policy has no impact on me or my blog, but many blogs I visit will have to change or the bloggers will have to step down from their demoships. (Is that a word?) This makes me sad.

[Debra]

Wowza!!! That s*cks.

[i {heart} papers]

I had heard rumors that this was coming down but it is MUCH worse than I expected. Wow...I can only imagine how many demos and customers they will lose over this. Wow...

[Jeanne]

Wow. Came over to read the details and am very very surprised. I believe their intent was to help sales, but I think it will harm. Perhaps hobby demos will still purchase after they 'step down' so-to-speak, but I think this will initially hurt their sales. What happens down the line remains to be seen.
Initial reaction: foolish

[Erin K]

Wow that seems a bit much.

[Shannan Teubner]

Seriously? SERIOUSLY? Wow. What has the world come to? And how do they think they are going to police all the hundreds of blogs? I have a hard time supporting a company (with my $$) that would infringe on anyone's basic rights like this. Still shaking my head and saying SERIOUSLY???

[Trish D]

Holy Schnikees! This just confirms that I made the right decision when I let my SU demoship go 2 years ago... While I understand the purpose behind such thinking, they are TOTALLY shooting themselves in the foot.

[Allison]

Will there be a new secret handshake too? Jeebus.

[Mary H.]

I have been on the fence about quitting as a hobby demo. This new policy just made my decision for me. I understand what SU! is getting at, but it does seem harsh and over the top. Hope it doesn't backfire for them.

[buzzy]

I guess I'll have the odd voice out and think it makes the best sense for SU! I am only a customer but I have to admit being somewhat confused when someone is one day promoting their SU business and the next 5 pushing another company.

[Etha]

I can't decide if this is funny or sad.....

[Christi Snow]

Another sad day in that a company that I thought was a bit above the overwhelming greed of being a retailer, has sunk to "it's all about their bottom dollar" mentality. I understand that times are tough, but this is WAY over the top and I think that they are shooting themselves in the foot... can't even link to your friends in the blog world if they are associated with another company??!! This makes me very sad and as a SU customer, I think that I will have to feed my habit with all the other companies out there that make gorgeous stamps...

[LorieW]

Interesting.

[Donna]

What are they so afraid of that they have to be so controlling?

[Erika Martin - Stampin' Mama]

Thank you for speaking out publically, Joan! I love you even more than I did before!

[Nancy (Shady Tree Studio)]

First, Joan, it's nice to know that the next time I'm in D.C., I'll know which way to wave hello!!

And now... SU. Why don't they just change the name to Big Brother? Oh.. they'd probably say "Big Sister." Goodness. Competition is a fact, so just suck it up and rise to the occasion for cryin' out loud. Embrace it even.

They said once that there's no such thing as "just a hobby demo." Well, yes there is, and I imagine only business demos will want to go along with this.

What bothers me most is the arrogance of the statement: "It is in your best interest, as well as the company's, to not allow competitive businesses to utilize the drawing power of Stampin' Up! to build revenue or find customers." Maybe ... some people are introduced to SU because of an initial interest in SOMETHING ELSE! Ya think?

Shudder... I understand the business argument and I see that they are protecting themselves. Again - just rise to the occasion. They can offer this as advice if they think it will improve their demos businesses -- but to require a signed agreement is just too much.

I'm glad I'm not a demo anymore.

[Rose Ann]

I say boo to this! Will be resigning.

[Dana V.]

ooofa.

[Etha]

What really makes me curious is how SCS is going to handle the new rules... apparently this is not being discussed there? at least I could not find anything. According to the new guidelines, if you are a SU rep you can't play on SCS because they also promote etc other companies aside from SU.

[Belinda]

I'm glad you posted the entirety for me. I haven't seen it anywhere else. I'm not a demo but sometimes I had considered being a hobby demo... guess not anymore.

I understand where they're coming from... if you work for SU! full time (which I guess they're viewing their demos as such in the stamping world), then I can see why they wouldn't want conflicting promotions. It's like if I worked at J.Crew and then went around promoting Gap/Old Navy/Banana Republic on my personal blog. Might be a little odd to a customer of J. Crew. I work for a software company and we have to sign an NDA along with a doc that says we're not going to even work on open source projects w/o approval (ok, so that won't make sense to most crafty women but open source is usually something people do on their free time...). But there's IP issues in the software scenario and I'm wondering if its a similar concept.

I don't know how they're going to police it and I do think that prohibiting links to friends blogs who happen to be on another DT is a little much. I think the uprising (at least from these comments) is more that they took this a step too far.

Ok, I can't wait until you decide to post (or someone else comments) and blast each one of my assumptions away. Haha.

[Chris L.]

I too understand from a corporate standpoint what they are doing.
I don't like it. But I see where it comes from. SU is a company, and the almighty dollar is the bottom line.

Demonstrators will have to decide whether they can live within these requirements. I would not be willing to sign this document if I were still a demo. I truly believe its about the craft, not the company, sharing what you love with others and gaining friendships through what we do. It was never about making money FOR ME. Therefore, SU would no longer be a good fit for me as a business now because my approach and theirs are too different.

I've drastically cut back my craft expenses the last couple years, and especially SU. The last price increase did me in. So now, as customers, we have a choice.

I was all set to jump back into SU with the new digital studio. I thought I could justify it because it wouldn't take up more physical space I don't have and I like messing with that stuff on the computer. Now that this has come down and confirmed my distaste for the controlling methods of the company toward its biggest cheerleaders, the demos, I will likely walk away from them. That's just me. I vote on principle, and I choose my purchases the same way. The way a company makes people feel is important to me. And many of my circle feel rather put out by a company that they've dedicated countless hours and poured their creative hearts in to....

[Melissa]

Wow! I am not a demonstator or anything and really I don't know that much about SU!, but this sounds very harsh. If they really are "independent" demonstrators, shouldn't they be allowed to do as they wish, especially on a personal blog??!! It's only their own sales that they are supposedily losing, right? Can't wait to hear your thoughts on this!

[Nicole Anderson]

DITTO to CHRIS L above. I just found you through a friend and am a HOBBYIST demo for years now. I also am on various online design teams and even guest designing this month for another stamp company. Of course, they are CLEAR stamps and the other design team is for DIGI stamps, so maybe I am off the hook. But I guess I am not off the hook with the Scrapbook store I promote in TN, even though I live in INDIANA, how does doing that affect MY PERSONAL HOBBYIST BUSINESS when I am states away from it and never even step foot into my own local Scrapbook store?

I have been on the fence for a year now about leaving SUP! and if this is how they want to treat demos then I am more than happy not just to walk away but skip happily in the other direction. Do they not understand that when I promote other companies that I actually DO bring new interest towards SUP, as well? WHATEVER.

THANK YOU for sharing this info, I was on the site this morning but it must not have been posted yet. Blessings, nicole

[Holly]

Well, I'm not a demonstrator but I know several who are and I personally think Stampin Up does the people who help to sell their product wrong when they retire their images and make the demonstrators unable to use those in their projects after they've invested so much in them. Now they are policing what they do on their own time in their own world. Seems like a bad move to me and I think it makes them look a little paranoid.

[Juliana Swanson]

All I can say is that it is a sad day in the crafting community. It exploits the US vs. THEM mentality--and reeks of the "thought police".

You are kind to share this info--so I don't get only hear-say.

*sigh*

[Jennifer Love]

Well, I can say this, I'm not a SU demo and never would have been and now, I am no longer a SU customer. There are plenty of other fish in that sea.

[Shannan Teubner]

Ok, so speak to us, DP!! Tell us what you think! ;)

[Debbie Seyer]

Joan,

Thanks for putting this out there for all to see. While I am no longer a demo, I can't believe this policy. So sad.

[Keri Lee Sereika]

What a joke! It is like you worked for GAP and they said in your time off you are not allowed to wear anything but GAP clothes....what an absolute JOKE!

[Gabriela (Gabi With An Eye)]

Smug greedy bastards those SU amateurs. I never did like them and have done my damndest to ensure my business goes elsewhere. Or is this another fine example of the Patriot Act? Thanks for enlightening us.

[Cindy]

I guess this is great for those demos that are constantly shoving SU! products in your face and trying to get you to buy the SU! version of a product at a higher price.

I "like" their products but have never been that loyal to SU! and will definitely be looking for other sources for my stamping supplies. SU! used to be the giant in the industry but now they aren't... there are too many other great companies to get my products from.

[Nicole Anderson]

BRAVO TO KERI LEE SEREIKA! Great ANALOGY, girl!!!!!!

[Mary C. Anderson]

Thank you for putting this up on your blog Joan. Now all I have to do is make up my mind which way to go.

Mary

[Christi]

This makes me sick! I can totally understand where they come from a business point of view but I always thought SU was a "family". I'm sorry but a family would never regulate what you can and cannot use or say. I dropped my demoship in August due to hardship but now I am thinking that I will not even continue to use their products. I go by principles just like I saw a girl say above and this is just not right.

[Deb C]

I will be giving up my demo-ship on Oct 1. I just don't "do" big brother like this. I don't blog much and my Facebook page is private so it's more of a "principle of the thing" issue for me.

But I'm honest enough with myself to admit that I'll still be a customer. I have a wee problem with a cardstock addiction. :-D

[Nancy E]

Holy Crap... must say I'm happy I'm no longer a demo!

[Ida]

So glad to be able to voice how I feel on this subject. As of today I resigned as a Demo for SU. I could not in good conscience endorse a policy that prohibts me from my "personal freedom of speech" on my own blog. What's next...monitoring our phone conversations?

[Debbie Olson]

I'm very interested in hearing your words of wisdom and sharp wit as well, Joan! I'm one more closet SU hobby demo who long ago decided that the rest of the crafting world enabled my habit better both in product and in compensation, but I have never spoken ill of them or their products on my blog. I will leave without regrets now after I give my few remaining local customers who want to replenish their CS a chance to order before I bow out. You know, if one made $100K a year through them, perhaps one could argue that they own you as "intellectual and creative property," but for a 20% cut, when you still need to pay 80% of book value for the products with which you give them free advertisement? Bwahahaha! And NO publication compensation--just an "atta boy?" My one regret if this decision bites them is that it will also affect people who are my friends.

[Cynthia]

Well, I'm a hobby demo who publishes Web sites in her day job--and this policy change will force me out.

Even though my site network is not about stamping, or that it doesn't mention SU!, this policy affects them, too. I will be promising NOT to accept ads from "competitors"--and my ad networks do not allow me to make those kind of choices. I can say "no adult ads", but can't specify "no ads for any product that will compete with SU!"--and this is on UNRELATED Web sites!

What I advertise on non-SU! sites is none of SU's business--and I resent the over-broad, intrusive nature of this change. My online presence is my business, and while I might grant SU! some interest in my SU!~ blog, they cross a line when they ask to dictate ad sales on my site network.

VERY disappointed in them.

[Leslie Miller]

I heard something about a new agreement but this is the first glimpse I've had. I'm no longer a demo. Unfortunately, I believe SU! will lose a lot of demos because of this agreement. I wish them no ill will. I hate to see any company go under, but I might begin to worry for them. What do I know? I'm not a business woman. I can't help but think they're going about this the wrong way.

[Shannon T]

I won't sign the new agreement either and will be leading my demoship go. Competition is a good thing and I won't be restricted by this IDA.

[tracy dyar]

Not a demonstrator but I feel bad for any who are. They are going to get a bad rep like Creative Memories.

[nancyk]

whew! What a read! It seems that SU really wants to constrain their demos - even their facebook pages. I wonder how many demos will opt out - and how much will SU save by not paying the commission to all the downlines.

[jacki jones]

What the heck? For instance, everybody knows that when Hobby Lobby opens a store around the corner from let's say a Michaels, they both BENEFIT from increased traffic. isn't that Marketing 101??

[Banu H]

I agree with Jacki. I ended up in my current SU Demo's site becuase of some non SU based post.