Mary Kay is a cosmetic company with 3,5 millions of Beauty Consultants and annual sales of $4 billion.
- Company founder: Mary Kay Ash
- Founded in 1963
- Products: cosmetics
- Earning level for Beauty Consultants: questionable
How does Mary Kay’s company work?
Welcome to the MLM world. Do we have the same model as for Avon or Herbalife? Yes, we do.
If you do not know that it is multi-level marketing or so-called MLM, you will see the explanation here.
If you join the company, in this case, Mary Kay, you will get fancy names: Beauty Consultant.
- You will read Mary Kay Recruiting Notebook
- You will buy Mary Kay products at the wholesale price
- You will sell to customers at the retail price
- You recruit newbies creating downline
- The downline earns you the percentage of the money
You can watch the video here about Mary Kay’s business opportunities:
Overall, I would like to see the conversation between newbie and Beauty Consultant who show exact steps on how to become profitable.
You would ask why? Because of easiness to be excited about Mary Kay when you sit at the top level. Newbies earn pennies compared with top-level consultants.
In MLM business downline are people who just started. They cannot make big money. They spend more compared with what they earned.
Is it so wrong?
No, it is not, mainly when you use products for yourself, have plenty of friends, and have a knack on how to attract.
On the other side, you need to spend your own money and use the time to meet people, show how to use products, host parties, and persuade potential clients to join under you.
Think about that: to earn money with Mary Kay and earn 50%, you need to sell products at a double price. However, if you are successful, you will get back fifty percent of the cost. It is an excellent option.
Before earning money, you need to host parties at your expense, deliver products to every customer.
Are here more earning opportunities besides selling products at the wholesale price?
Yes, it is. In Mary Kay’s company words, you can share an opportunity. The straight talk would be like that without fancy words: recruit others.
It is the same old MLM pattern. It goes like that: you invite people to yourself. They become your downline. New Beauty consultants recruit others under themselves.
It resonates slightly with the pyramid. However, there is a difference between a pyramid and MLM business model.
The difference between pyramid and MLM
The pyramid scheme is when people think that they earn money by investing in projects following various promises. Individuals who participate in the pyramid scheme do not have actual products.
MLM business type is when members recruit newbies, so-called downline and sell products or services
How can you start a business with Mary Kay?
To earn money, you need to buy beauty products at the wholesale price and sell them to potential clients.
You can become a senior consultant when you recruit new members. After that, you will get commissions depending on how many newbies will join your team.
If you recruit more than three people, you will become a star recruiter. It pays for you a $50 bonus and provides a higher commission percentage on the team’s large-scale production. Besides, star recruiters earn 50 percent from sales profits.
After having five to seven active members of your team, you will become a team leader. Unfortunately, if members do not sell products during the month, the team leader does not earn a commission.
There is some exciting news about earning money with Mary Kay.
If you reach the title of Grand Achiever, you can get a pink car such as Cadillac or mini cooper. For what you need to have a team from twelve members and sell the production of $18,000 within four months.
Do you own this car after achieving Grand Achiever’s level? Nope. These cars come with the lease. If your team keeps the required level of product sales, you will have that car.
The lease agreement lasts for 24 months. If you fail to keep up with the minimum production requirements for several months, you can tell your car bye-bye.
How much do Mary Kay’s business consultants earn?
Unfortunately, Mary Kay’s company does not disclose how much precisely every employee earns.
Forbes show what on 2018 Mary Kay’s company has in sales $3.6 billion worldwide.
It sounds nice. However, business consultants must-buy products and sell them to customers. Employees buy products at 50 percent less and can earn a double price.
Sounds easy? I do not think so because of reality; when consultants look for customers, they need to deliver products. It takes time and money.
The returns are not impressive.
According to the finance-guy net website, 94.39% of Mary Kay consultants in Canada earned less as $100 through 2015. How about that?
Overall, Mary Kay consultants cannot scream of joy after getting commissions as the Independent Beauty Consultants.
The central money goes to the top-level, which consists of less as one percent of the whole Mary Kay bunch of consultants.
MLM business model cannot provide a decent income for everybody who works hard, wasting the most valuable resources: time.
Always recruiting new members, consultants do not have enough time to sell products. Besides, Mary Kay lets sell products everywhere, where the market is. It means that there can be more sellers and fewer potential clients who need this particular production. Reaching out for people who want to make money with Mary Kay and not being able to fulfill promises does not provide monetary and emotional satisfaction.
It is okay if you want to use Mary Kay products. In this way, you can brag about them and share your experience.
If you want to earn money, choose the place where you can gain knowledge that would work for you in the long run. Here you depend on the company when oppositely you can learn how to navigate business online without having real products.
What you have is yours, and nobody will take it away from you.
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