ABOUT XANGO

XanGo, LLC is a recognized category creator as the first company to market a premium mangosteen beverage, XanGo Juice, to consumers worldwide. XanGo Juice harnesses the nutritional attributes of the whole mangosteen fruit through a proprietary formula. Based in Utah, XanGo is privately owned and powered by a global network of independent distributors. XanGo's expansive operations include the U.S. and numerous international markets such as Japan, Australia, New Zealand, Mexico and Canada.

THE CHALLENGE

Although XanGo was having success in its business endeavors, it came to a point where its technology had reached its limits and was now holding the company back from realizing its full potential. According to XanGo Chief Information Officer Scott Smith, "XanGo quickly outgrew the old system's capabilities and its ability to scale with our growth. We needed a system that was more stable, centered around clear process and clear rules, something that could more easily scale with our rapid growth," he said. "We needed something that was built on a platform that would allow for easy enhancements and customization and would allow us to easily expand into international markets. All of that was very difficult with our old system. We had IT costs that were growing disproportionately to revenue in the old system. And that's something that would have continued had we not moved to a new solution." Ultimately XanGo wanted a product that would allow them to have a centralized, stable system, allow for easy international expansion and reduce costs.

When the company realized it was time to move to a new system, on its first pass they determined to build and implement that system in-house. However, that determination was met with failures that are typical of large enterprise implementations. The new in-house system failed to meet expectations. Because of this XanGo decided it was time to look outside their internal development team and find a company that specialized in MLM technology. They needed to find a system that would provide them more functionality, more stability and ultimately the opportunity to grow and expand.

THE SOLUTION

Because of their previous IT challenges, XanGo was determined to take extraordinary steps to find a solution that would be a success. In order to find this solution they distributed a rigorous 70 page Request-For-Quote (RFQ) to over 20 companies. The responses were carefully reviewed and they were able to narrow the field to three finalists. Once the finalists were chosen, the XanGo team checked references and visited the finalists' offices. This rigorous process finally produced InfoTrax and their DataTrax MLM software and their VirtualOffice distributor tools as the company of choice.

InfoTrax is a company well known in the Network Marketing industry. They provide products and services including multi-tiered commission and genealogy, commission consulting and modeling, web-based distributor services, interactive voice response and wireless information systems, and web-based conferencing and communication solutions. According to Scott Smith this decision making process was highly competitive and took over 3 months to complete. The XanGo team determined which questions were most important and then scored and evaluated each company. "It became clear pretty quickly that InfoTrax was the only vendor that provided a real solid true and tried system with the whole robust set of functionality that we were looking for," he said. "We also knew that InfoTrax had a track record of doing successful implementations and getting them done on time."

XanGo Information Technology Support and Services Director Margaret Harris also believed InfoTrax's successful experience made them a clear choice for XanGo. "The InfoTrax solution not only had the breadth and functionality we were looking for but it was a known system," she said. "A lot of the competitors were vaporware; they essentially had lots of promises but not much there. InfoTrax actually had a system that we could feel, touch, and use. I think one of the key reasons they won was because of their track record."

The 15-month project went live into production in September 2007. The implementation process took a lot of people a lot of hard work but went smoothly and ended up going live several months before the originally-expected deadline. Harris said she has been in data processing for about thirty years and that it was the easiest implementation she had ever been involved in. Scott Smith was also very happy with the successful implementation. "It was probably one of the smoothest, if not the smoothest, implementations I have ever seen," he said. "If you look at statistics about large enterprise implementation projects like this, only seven percent of them are successful. There was a high risk that this would not be successful, but InfoTrax pulled it off. From my perspective it went very well. I'm very happy with the way it was implemented and the service and support InfoTrax has given us since the launch."

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