[UKDaisy]

Originally posted by laura ryan
I am a little late responding to this one - reading thru the thread -too funny! btw - anyway, your director DOES NOT make all that money off "sales". The only thing many of the higher earners are selling is "inventory" and that's what you need to know about this business.

They are not selling product to the public - they are selling product to the distributors and for those orders, directors make up to 26% commission on their personal recruits. So, do the math. How much, at 26% would a director make on a 4200 inventory? Quite a chunk!

IN ADDITION to that, she'll get a number of bonuses for recruiting new ones, for exceeding production levels, etc.

Sales reps in Mary Kay are going National in record numbers AND in record time because they are selling inventory. I have documents on Mary Kay Opinions and my site www.thepinkingshears.org which are from Nationals who promote how to sell inventory to a new consultant and the new bonus structure which focuses on recruiting and that, from what I know is what puts them in a "pyramid" arena.

They've upped the ante to a 4200 Pearl Level inventory and the "new crop" of directors will tell consultants that that is "profit-level" implying anything less would not reap success. When a "seemingly successful" director communicates this to a consultant, for sure the consultant wants to be successful, so oftentimes, she will take the director's advice and borrow from Grandma if she has to to get amount of inventory.

The bonus structure for recruiting and commissions is turning MK into a product based pyramid, or a thinly veiled one., in my opinion. It has many payouts from multiple levels.

Since directors always flash their commission checks, ask to see her Schedule C, tax document for her business to gleen exactly what the income comes from.

Top director trips are reported as "income" and are valued up to $30,000. The lease/insurance payments MK makes on the "free"cars is reported as income as well as all the "free lunches" and prizes awarded by the company. The sales tax for the "leased car" is also reported as income as well as other awards.

So, I know you are assuming most of the income comes from personal sales and maybe some does, but don't make the statement unless you've seen her Business tax form complete with expenses/prize/award allowances.

The purpose of doing parties in MK was to work "full circle" meaning a customer is to eventually become a recruit.

All the direct selling companies are about recruiting and that's where the big money is.

Show me ONE consultant in this business who consistently sells $1,000 worth of product EACH week of the YEAR (I don't know who that would be, I don't know any) and that would net them $52,000 in "sales". Well, from that, knock off 25,000 which is what it COST them to buy the product. Knock off another 7% of tax on the retail value and delivery costs, books, promotional items, samples, etc. not to mention discounts and that further cuts in to that $25,000 they could make. That $1000 is IF (big IF) they sold ALL the product EVERY week at FULL RETAIL value. Unheard of in nearly all circles.

I've been writing to talk about MK for a few years now and I have yet to have anyone say THEY personally are selling at that level. When MK was publicly traded and was required to post their average earnings per consultant, the figure was $5,000/yr in "sales".

Recruiting is the name of the game - you do not move up in a direct selling company unless you do so and make production quotas.

Why do I feel like I just got bitch slapped by you? Oh wait b/c I did.

I actually visited your website and found it somewhat beneficial. However, b/c of your last post in respond to my post I'm slightly peeved.
Pm if you wanna talk.