Case Study

Herbalife

PLAY Herbalife hoop img
Herbalife tweet

 

In December 2012, activist investor Bill Ackman placed a $1B short on Herbalife stock and immediately launched an unprecedented campaign to influence regulators and elected officials in an effort to destroy the company. At the time, Herbalife, a highly regarded but little known direct-selling nutrition company, did not have the infrastructure for the fight.

Herbalife hired SKDK in early 2014 to coordinate the defense and counter attack. First and foremost was creating a campaign that put the people of Herbalife – small businesspeople who care about the health and nutrition of their friends and neighbors – out front.

 

SKDK managed a campaign that included: a proactive and defensive communications strategy; coalition support for a concurrent lobbying campaign to educated elected officials; digital, print and television advertising; third party engagement; and social media.

Herbalife Vindicated

A multi-year investigation by the FTC, prompted by Ackman supporters, concluded in July 2016, and Herbalife has been cleared of the pyramid scheme allegations.

Meanwhile, after a prolonged defensive campaign, Ackman has finally lost credibility with the public and his investors. With the FTC’s favorable ruling, and SKDK’s help, Herbalife is now able to move forward as a company and focus its attention on growing its successful business.

For its work with Herbalife, SKDK won the Holmes Report’s 2017 SABRE Award for Crisis Management Excellence in North America.

Herbalife side ad

Results

  • Fortune

    The siege of Herbalife

    Read Article
  • The Motley Fool

    FTC: Herbalife Is Not a Pyramid Scheme

    Read Article
  • Fortune

    Investors Pull $600M After Ackman’s Bad Bets

    Read Article
  • The Hill

    The FTC got it right on Herbalife settlement

    Read Article
  • Breitbart

    Bill Ackman Can’t Manage to Destroy Herbalife

    Read Article
  • The Street

    Ackman's Vision of Pyramid Scheme at Herbalife Just a Mirage

    Read Article
  • Business Insider

    Bill Ackman is getting obliterated

    Read Article
  • AFP

    Herbalife ruled not a pyramid scheme

    Read Article