XOWii is no longer active as an independent direct sales company.
XOWii had its very rapid rise and equally rapid disappearance: roughly 20,000 distributors and an estimated $15 million in first-year sales, followed by acquisition by Evolv only a few months later.
XOWii was a California-based health and wellness network marketing company launched in 2009 by Richard Kelly and James Christiansen. Kelly served as chief executive officer and Christiansen as president. The company initially operated from Newport Beach and later listed an address in Costa Mesa, California. XOWii entered pre-launch in October 2009 and grew rapidly during its first year. By September 2010, industry reporting placed its distributor organization at approximately 20,000 independent distributors, with estimated 2010 revenue of about $15 million and approximately 18,000 recurring autoship orders. XOWii was accepted as a member of the U.S. Direct Selling Association in December 2010.
XOWii marketed nutritional supplements, weight-management products and functional beverages. Its principal products were XOWii Energy, XOWii Thin and XOWii Ultimate. XOWii Energy was a functional energy drink formulated with ingredients including KonaRed coffee fruit, glucosamine and resveratrol. XOWii Thin was positioned as a weight-management and appetite-control product, while XOWii Ultimate was a liquid vitamin, mineral and antioxidant supplement. The company developed much of its branding around KonaRed Coffee Fruit, derived from the fruit surrounding the coffee bean, and incorporated it into several formulations. XOWii later developed its 90 Day Challenge, which combined its nutritional and weight-management products with a structured customer program.
XOWii used a hybrid binary MLM compensation plan supplemented by a unilevel-style check-matching structure. Its compensation program offered multiple forms of payment, including fast-start bonuses, binary team commissions, executive check matches, rank advancement bonuses, car incentives and several leadership bonus pools. Binary team commissions could reach approximately 12% of qualifying volume on the lesser binary leg. The company also offered a "XOWii 4 Free" program under which distributors who enrolled four people maintaining qualifying autoship orders could have their own product autoship covered, excluding shipping and handling. Contemporary industry reporting described the compensation program as providing approximately 10 different ways to earn.
XOWii's period as an independent company lasted less than two years. On February 4, 2011, Evolv Health announced an agreement combining the two direct-selling businesses. Evolv subsequently described the transaction as an acquisition of XOWii LLC, incorporated XOWii's distributors into the Evolv organization and added XOWii's weight-management, energy and nutritional products to the Evolv product line. Evolv also adapted XOWii's successful 90 Day Challenge into its own E84 Challenge program. The merger gave Evolv access to approximately 20,000 XOWii distributors, although a group of prominent XOWii field leaders publicly announced that they would not participate in the transition. XOWii therefore ceased operating as a separate network marketing company during 2011.
XOWii was involved in litigation with competing nutritional MLM MonaVie during its brief operating history. MonaVie sued XOWii, Kelly, Christiansen and several former MonaVie distributors in Utah, alleging that XOWii and the distributors had improperly targeted MonaVie's sales organization and made false statements concerning MonaVie's financial condition. The case was removed to the U.S. District Court for the District of Utah in January 2010. XOWii separately filed suit against MonaVie in federal court in California. That action was dismissed with prejudice on November 10, 2010, pursuant to a stipulation between the parties, with each side bearing its own attorneys' fees and costs.