Scentsy - Company History

Company History

Originally based in a Salt Lake City basement, Scentsy now operates in a 60,000-square-foot (5,600 m2) office facility. Scentsy sells its products via a multi-level, direct selling structure, using the party plan model to spread awareness of the company. Scentsy refers to its multi-level sales force as consultants. From May 2009 to January 2010, Scentsy's sales force grew from approximately 30,000 to over 75,000. With this growth in consultants has come an 8,000 percent growth in sales revenue "to a little more than $178 million between 2006 and 2009 as a result" ($190 million in current dollars). Inc., has labeled Scentsy as "America's fastest-growing consumer products company." Inc. ranked Scentsy 19th overall in its annual "Inc. 500 | 5000".

In December 2008, Scentsy launched a lawsuit against Performance Manufacturing, Inc., et al., for trademark infringement. The case remains before the courts.

In 2009, Scentsy experienced a troublesome migration to new corporate software. This gave rise to sales difficulties during the Christmas season and "a negative spiral" developing in internet discussions." In response, Scentsy held a number of web-based competitions using the company's online social networking presence, especially Facebook, which resulted in increased sales. For "its use of social media and emerging technologies", Scensty was awarded the Success Award from the Direct Selling Association in 2010."

In 2012, Scentsy launched the new product line Velata. Velata represents the company's first venture into the fondue industry.

Two times each year, Scentsy and its charitable arm, Scentsy Family Foundation, select a charity to benefit from the sales of a particular product, usually designed to tie in with the charity selected. The latest charity with which Scentsy has teamed up is the Fisher Center for Alzheimer's Research Foundation. Scentsy donates all proceeds of the warmer to the foundation.

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