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Several Directors in My Area Losing Directorships ...

In summary, there is a lot of talk in the consultant community about the new kit being too expensive and not providing enough value for the money.
sailortena
440
I don't know if any of you who live in a southern state like me are having this problem ....

I live in Central Arkansas. Arkansas is not a high-income state. My director called me and said she is on the verge of losing us because we can't make the sales requirement as a team. She has not been able to recruit ANYONE new to the team for months. She has never had a problem like this before the new kits. On average she recruits maybe 15-20 people a year.

Her current team has dwindled from 25 active six months ago to five. As one of her active consultants I am struggling to stay afloat. My director gets tons of parties on her books, but is having a hard time having people stick.

I know of three other directors nearby who have lost their directorships or are losing them due to lack of recruits and active teams. An AD in our area is probably going to be demoted to director since her directors lost their teams.

This is really sad. They have contacted home office and told them of the problems people in our area have been having (and I know it's all over the state, not just in one area) and haven't gotten much positive feedback.

We think the price-point of the kit is too expensive. Before, $90 wasn't too bad, but now at $155, people are thinking twice, I think. The economy, gas prices, you name it, there's a reason.

I know some of you who live in other parts of the country don't have this problem. But those who live in states like Arkansas, have you seen a trend like this?
 
I know of one directpr in my area who is struggling to maintain her directorship. I agree about the pricepoint of the kit but look at other companies - they are basically the same. Although Partylite lets you earn a kit by hosting a show. I would LOVE to see something more generous that $20 or $40 off your kit - I literally have gotten laughed at by hosts when they hear that.
But, rather than focusing on the negatives why don't we brainstorm some solutions to offer to HO...like, raising the FPV that can be used toward the kit...offering the kit as a half-price item with some sort of YOU MUST HOLD YOUR $ SHOWS stipulation...

any other ideas?
 
I LOVE the idea of offering the kit as a half price item!!!!! :cool:
What about offering the regular $155 kit AND a lower priced kit option with less product and an "add on" package that would give the full kit option? Then new consultants could purchase the smaller kit and earn the PC$ during their first few months to put toward the rest of the kit.
 
dannyzmom said:
I know of one directpr in my area who is struggling to maintain her directorship. I would LOVE to see something more generous that $20 or $40 off your kit - I literally have gotten laughed at by hosts when they hear that.

I know a couple who are struggling and I hope it works out for them. I would love to see PC do something like, have a $700 show (or something higher) and get the kit free or at a higher discount.

I think when you compare we are very competitive with the kit's price. But its tough to explain to someone who was looking at $90 that its now $155. I mean, I see the value, but sometimes not everyone does.
 
LBurke said:
I LOVE the idea of offering the kit as a half price item!!!!! :cool:
What about offering the regular $155 kit AND a lower priced kit option with less product and an "add on" package that would give the full kit option? Then new consultants could purchase the smaller kit and earn the PC$ during their first few months to put toward the rest of the kit.

I was just thinking this. Maybe even a no-product kit for people who have tons of current products already.

I think we have to be careful that the kit doesn't become a product rather than a tool of an opportunity, if that makes sense.
 
While I've only been a consultant for a litte while (and I signed up with the new kit) I think that pushing HO to change the price or FPV towards kit may be a hard sell. I mean, the Dream Patrol is out there showing people who can recruit 7 or more in a month, 3 at one show, etc. I think they understand that it can be a struggle to get people to spend the money, but I think they are really trying to tell us that it can be done. Having said that, I think I could do alot better with better FPV for the kit or 1/2 price option as you guys have stated, but.......it is what it is.
 
It is tough, but we really are comparable to all the other companies. All we can do is share our ideas with HO, and maybe things could change. HO does listen to us, so all we can do is try! It would be nice if there were more options as a host planning on signing. Of course, our 90 day bonuses are unlike most others though. (I think!)
 
MomToEli said:
I think we have to be careful that the kit doesn't become a product rather than a tool of an opportunity, if that makes sense.
You've hit the nail on the head, Sandy.

I remember hearing at or around Leadership this year, that the price point on the kit and the fact that the host credit was still low was to give people more of a vested interest in succeeding. When it's very easy to get a kit (earned free or very inexpensively), people buy the kit as a set of products, not as a business.

Personally, I'd rather have someone on my team who knows up front that it's not just a great deal, it's an investment. Even if they have to scrimp and save for a period of time to afford the kit. They're more likely to try hard to make their money back than the person who has it just given to them.
 
I agree with everything said. I would just like something for those financially challenged.
 
  • #10
I agree - but I think it would be more effective if it were a payment plan rather than a discount. Or a payment plan with HO that could be paid off with PC$ earned in the first 90 days.
 
  • #11
chefann said:
I agree - but I think it would be more effective if it were a payment plan rather than a discount. Or a payment plan with HO that could be paid off with PC$ earned in the first 90 days.
I love that idea!!!
 
  • #12
That just came to me, and the more I think about it, the more I like that idea. It gives them a real incentive to earn those PC$, without requiring a huge financial outlay initially. And we all know that once someone gets a taste of success, they're more likely to continue. :)
 
  • #13
chefann said:
That just came to me, and the more I think about it, the more I like that idea. It gives them a real incentive to earn those PC$, without requiring a huge financial outlay initially. And we all know that once someone gets a taste of success, they're more likely to continue. :)
Yes! Let's face it... $155 to some people is huge. There have been times in my life where it was all I had! I would love it if there was an option like that available. I understand that this is a business, but imagine the possibilities and options it could give people who really can't afford it. Maybe a special low-income program?
 
  • #14
chefann said:
I agree - but I think it would be more effective if it were a payment plan rather than a discount. Or a payment plan with HO that could be paid off with PC$ earned in the first 90 days.

NOW THIS is a GREAT idea!!!!!!!
 
  • #15
There...its decided. Then its done. Carolyn, would you be a dear and just call Jean and let her know? LOL
 
  • #16
I'm all for some more FPV being able to be added toward the kit purchase. However, I do also agree that there still needs to be some sort of motivation for them to succeed. I wouldn't go anymore than half price off, I think that's a great idea!

And there may already be a thread started about this, but as a Director, I just got a letter in the mail regarding some new policy changes for Directors. Without getting into the whole thing, Director's are going to have to really make sure they are on top of their game regarding their personal sales in order to keep from relinquishment and to make sure that if their downline Director's relinquish, their consultants are reverted to us. It's a bit complicated, but if we don't have $1250 in comissionable sales 3 out of 4 months, our 2nd line team members will be shifted to the Director above us if our 1st line Directors relinquish. I'm sure they will be sending out an email soon, maybe after conference. (What that means for me, is it's time to sharpen my pencil!!!!)
 
  • #17
chefann said:
I agree - but I think it would be more effective if it were a payment plan rather than a discount. Or a payment plan with HO that could be paid off with PC$ earned in the first 90 days.
Or they could deduct it from the commissions...They would have to something different so as not to attract kit-nappers though.
 
  • #18
So are they changing the director's requirement of $350 in personal sales to $1250? Or you just lose the 2nd line? What is the 2nd line again? I get so confused on that part! I am a consultant & my director is my recruiter's recruit. So is anyone I recruit in her 2nd line, or is that still her first?
 
  • #19
OhmyDLM said:
I'm all for some more FPV being able to be added toward the kit purchase. However, I do also agree that there still needs to be some sort of motivation for them to succeed. I wouldn't go anymore than half price off, I think that's a great idea!

And there may already be a thread started about this, but as a Director, I just got a letter in the mail regarding some new policy changes for Directors. Without getting into the whole thing, Director's are going to have to really make sure they are on top of their game regarding their personal sales in order to keep from relinquishment and to make sure that if their downline Director's relinquish, their consultants are reverted to us. It's a bit complicated, but if we don't have $1250 in comissionable sales 3 out of 4 months, our 2nd line team members will be shifted to the Director above us if our 1st line Directors relinquish. I'm sure they will be sending out an email soon, maybe after conference. (What that means for me, is it's time to sharpen my pencil!!!!)
Yes, we're actually discussing this in the July CN thread. Its in there.
 
  • #20
I think there needs to be a way to prevent Kitnappers too. That would have to cut down on PC's cost. I think if they do not do the 4 shows in 3 months they should have to return the kit or something.

I had one person sign up and NEVER done a thing. I found out later she went around telling people that was her intentions to begin with to get the products. Of course, they have to live with themselves for being dishonest - it will catch up with them.
 
  • #21
I know a director who actually went to someone's house to pick up the kit. Does it say somewhere that PC can ask for it back if they don't qualify. I mean, technically, its breech of contract, right? If they don't do the four shows or sales level?
 
  • #22
I know a director here in SA that does that. She drives out to her recruit's home and picks up the kit and mails it back to PC. During her recruiting though she tells them that she will do it. That lady has some HUGE balls!! I've had so many kitnappers in my almost 4 years it's embarrassing!
 
  • #23
My director who is a Senior director, tells all recruits that if they do not do a show within a time period that they have a choice they can either submit a show or they need to send a check to Ho for the amount of the products in the kit, it's a breech of contract if you don't' do anything. It frys my cookies when people do that!!! BIG TIME!!
 
  • #24
OhmyDLM said:
I'm all for some more FPV being able to be added toward the kit purchase. However, I do also agree that there still needs to be some sort of motivation for them to succeed. I wouldn't go anymore than half price off, I think that's a great idea!

And there may already be a thread started about this, but as a Director, I just got a letter in the mail regarding some new policy changes for Directors. Without getting into the whole thing, Director's are going to have to really make sure they are on top of their game regarding their personal sales in order to keep from relinquishment and to make sure that if their downline Director's relinquish, their consultants are reverted to us. It's a bit complicated, but if we don't have $1250 in comissionable sales 3 out of 4 months, our 2nd line team members will be shifted to the Director above us if our 1st line Directors relinquish. I'm sure they will be sending out an email soon, maybe after conference. (What that means for me, is it's time to sharpen my pencil!!!!)

This is not how I read the new agreement at all....it actually says:

"For an upline Director to be eligible to receive the reassignment of the downline Director's First Line Cluster, the upline Director must submit $1250 in sales in 3 out of the 4 months prior to the reassignment."

This means that if I have a Director below me with 5 recruits and she relinquishes her Directorship (not enough sales, recruits leave, etc.), I have to have done $1250 in sales in 3 out of the 4 months prior. If I have, when the Director relinquishes her Directorship, I will inherit her recruits. If not, I will NOT...they will go to MY upperline Director if THEY have met the sales requirements.

I believe that the company has changed the requirements for reassigning downlines because of the Directors and upper level Directors who submit $350 in sales each month out of their own money in order to keep getting their overrides. This change makes them a little more accountable.

Just as an FYI, Directors still get a 3 month "period of relinquishment" in order to re-establish their line so it makes it a little harder to just "lose" Directorship.

That being said, I have had a few rough months also. I have not recruited since the change in the Starter Kit took effect. I would love to place the blame somewhere else, but I know that it ultimately ends with me. I know that whatever I WAS doing before, I am NOT doing now. Time to take a step back and re-evalutate myself....and listening to recruiting CDs and tele-classes always seem to motivate me.

My sales are good....and typically range from $4000 - $6000 per month, and it is hard to juggle personal business and the duties of a Director AND recruit. Hey, they don't call it "Balanced Business" for nothing!!

As with us all, I think that we go thru ups and downs. It's all about going back to basics.....getting on the phone, following up, OMG! You know the drill!!!
 
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  • #25
We were told the increase price to $155 was to help prevent kitnappers. Getting a kit for $50...not a huge investment, so why not buy it and run. Yet, $155, they have to think about it more.

If you want to be success in recruitng, you've GOT TO focus on their DREAMS, not the deal. Once I started doing this, not only did I start recruiting more, but I've also have folks on my team PRODUCING and STAYING!

Ginny
 
  • #26
jwpamp said:
This is not how I read the new agreement at all....it actually says:

"For an upline Director to be eligible to receive the reassignment of the downline Director's First Line Cluster, the upline Director must submit $1250 in sales in 3 out of the 4 months prior to the reassignment."

This means that if I have a Director below me with 5 recruits and she relinquishes her Directorship (not enough sales, recruits leave, etc.), I have to have done $1250 in sales in 3 out of the 4 months prior. If I have, when the Director relinquishes her Directorship, I will inherit her recruits. If not, I will NOT...they will go to MY upperline Director if THEY have met the sales requirements.

That's how I read it too, sorry if my original post was confusing...
 
  • #27
Ok, so I have a question...

Am I right to assume that if we have 5 recruits and don't accept directorship and they stay active they are still our recruits...let's say we get up to 10 later and want to accept, we can...they are all ours..

Now, if we promote right at 5 and don't meet requirements in the set amount of time or one goes inactive and we don't recruit more, we permanently lose them all and they all go upline for good...

Please let me know if my logic is correct...if so, it gives a little less incentive for someone to accept directorship if they aren't focused on doing PC full-time or a very busy part-time.

I guess it is a way to force all your directors to keep focused on PC as a JOB not a hobby...
 
  • #28
You're right, Janet. There are special cases for the people you recruit during the repromotion period (the last-chance to repromote after you lose Directorship), but all that detail is spelled out in the Director policies document.
 
  • #29
Yes, when you are a new director you have several months before you can lose your team, but if you do they are gone. I think you are right about accepting directorship later. And I agree, I think the focus for a director needs to be more serious. Most people learn by example, and if you aren't doing much they may not be inspired to do much either. Of course there are exceptions that will go out and do it on thier own. That is the same reason that there is the "bypass" option. So a director that is really working thier business isn't under a hobbiest.
 
  • #30
janetupnorth said:
I guess it is a way to force all your directors to keep focused on PC as a JOB not a hobby...

I think that's a big part of it... my senior Director told me the policy change is for a couple of reasons...

1.) (The increase from $350 a month to $750) The original policy was created years ago when we didn't have such a large product line and commission sales were not as high, so it needed to be updated

2.) Because a lot of newer consultants have been receiving poor training and are left to flounder around when their Director relinquishes and they are pass along to the next Director who doesn't take care of their training and support needs. They want to make sure that if someone is receiving a new support line, it is someone who is active and doing their job so the consultant won't be put in that situation two times in a row. Aparantly, more often than not, consultant fall off the map when this situation happens and they are trying to prevent that

3.) My upline doesn't think that it's fair for her to be doing all the work (training, etc.) and have a Director underneath her who is not, get a brand new team and earn the commissions based on that, when chances are, if the Director who acquired the new team is barely active, then she will be doing all the work anyways and not getting paid for it

Whew.... that's a lot of info LoL, hope it wasn't too confusing :)
 
  • #31
Makes perfect sense to me!

I am in the category of "recruiting" if the situation arises, supporting as able, but not going to give up my FT job unless PC would be worth it...which is a long way off. However, I would hate to build a team so to speak, yet have to accept directorship, lose them and feel as if I'm working for someone else to benefit.

I personally like the theory of holding off on directorship, since they stay part of my director's first line until I accept and let them train and earn commission until I would be ready to take over.

I see so many pushing to achieve directorship, taking it before they are ready sometimes, whether it be too early in their learning, family or job conflicts, etc. then losing it and their consultants. I can really see where these changes help with the long-term structure.
 
  • #32
I just want to say Thank You to everyone that has supported this change in a positive way. I think it is for the benefit of all of us, and I am so glad that others see it that way too!
 
  • #33
jwpamp said:
As with us all, I think that we go thru ups and downs. It's all about going back to basics.....getting on the phone, following up, OMG! You know the drill!!!
Yes... I just signed someone new under the new plan and she loves the PC dollars because she doesn't have to spend the $ if she doesn't have it.

Darcy: Thanks for clearing this up!

Shana: I like that they give the notice and give some time for directors to kick up their business if they need to. If I was a director, ror me, that $750 would just be one show a month. I'm fortunate that I'm in an area where our sales are higher, so the new requirement doesn't scare me. I would want to be at the $1250 mark so I get get the other benefits as well. Ahhhh... one day!
 
  • #34
I'm already making sure that I do at least $1250 a month as a consultant so that when I do eventually promote I won't have to worry about this & will still get the perks with that amount of sales.
 
  • #35
janetupnorth said:
Ok, so I have a question...

Am I right to assume that if we have 5 recruits and don't accept directorship and they stay active they are still our recruits...let's say we get up to 10 later and want to accept, we can...they are all ours...

Question about promoting...

If - no, WHEN, I get my 5 consultants, I know that if I don't promote, I don't have to. But then do I have to wait until I get 5 MORE before I get the chance to promote again?
 
  • #36
katie0128 said:
Question about promoting...

If - no, WHEN, I get my 5 consultants, I know that if I don't promote, I don't have to. But then do I have to wait until I get 5 MORE before I get the chance to promote again?

Absolutely not, once you have 5 you can promote whenever you choose to contact the home office and sign your Director agreement. When you do have 5 consultants signed, they will send you a "letter of intent" to see if Directorship is a goal for you. If you say "yes" to this letter, they will still call you to ask if you'd like to acept Directorship when all 5 are qualified/active. You can either let them know you'd like to wait a little bit or accept, it's as easy as that! I'm sure they would give you more information on either when they would contact you again or when you should contact them to accept.
 
  • #37
katie0128 said:
Question about promoting...

If - no, WHEN, I get my 5 consultants, I know that if I don't promote, I don't have to. But then do I have to wait until I get 5 MORE before I get the chance to promote again?

No, every month that you have 5 personally recruited, active consultants on your team, you'll be given the opportunity to promote.
 
  • #39
Thanks much... that was so much easier than actually looking up the info myself. Thanks!
 
  • #40
I have a great Director and some of the best advice she gave me as a new Director was to carry the majority of my team's sales myself. The reason is that a great many of our consultants are hobbyists that only do enough in sales to stay active. I am happy to say it has been 4 years since I have faced relinquishment.
 
  • #41
I have recruted 4 since Jan 1. The first one chose to stay on the old plan but the other three (who didn't have a choice) were fine with the new cost and kit content (don't forget that the $90 kit had $350 in products and the $155 kit has $500 so it is actually a better deal!). They love getting the PC dollars too! I think the new system is a good thing - the recruit is more likely to be serious in signing if she/he gets our new kit at it's price point.
 
  • #42
I have also had possitive reactions to the new kit and program, I have signed 5 people on the new system, and most have qualified in thier first 30 days. I have found it is especially helpful when you are talking to PC enthusiasts. Since many of the products in the new kit are new or restyled and they can choose what they would like to earn.

A side note of not accepting directorship, If you have a consultant under you that promotes, you would need to accept your directorship with in three months, or you would lose that consultant. They would by pass you and go to your director.
 
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  • #43
I like the new kit; however, I do agree a payment plan would be great! I think recruits should have this option if they pay w/a credit card. For those of you who purchase from QVC think "Easy Pay." They could spread the payments out for 3-5 months.

Just a thought!
 
  • #44
I love the new program. I think it's priced just right... I am probably the only one that thinks this, but I don't think they should make it any EASIER for people to afford the kit. Running a business costs money to start up. If it's too cheap, it's not meaningful. I think the price point helps to weed out the people who just want to snatch the kit up for a deal and fall off the face of the earth. In fact, I wish they'd do away with the Kit Credit for hosts. It really delays getting things going with a hostess when she's waiting on the show to process before being able to submit her agreement.

Just my $0.02. ;)
 
  • #45
I agree with Laura. This is a good price for a great selection of products. With the PC dollars incentive, I think recruits get excited and become determined to get at least $200 in their first 30 days.
 
  • #46
I agree with Anne - Carolyn wea re behind you calling up Jean 100% :D

Let us know what shes has to say on the matter...
 
  • #47
While I would have totallly invested $155 to start up my own Biz, some however may feel that's alot up front, I like the payment plan or the 2 kit options like some other DS companies have!
 

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