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Ethics: Tell the Host and Lower My Commission?

In summary, the host asked the guest to turn an order into a personal order in order to get a better deal. The guest did as they were asked, and the show went up to $400. The guest has not mentioned the situation to the host, but they should.
JAE
4,759
I have a question for you? I was trying to get my host a better deal, so on P3 I took some of her personal order out and turned it into a guest order. It brought her show total to $400 level instead of $300 level. It would save her $12.35, and it would lower my commissionable sales by about $14. I'd only be losing $3 of actual commission, maybe a little more if I get more sales in May. (Not likely.)

Do I tell my host or just let it go? I haven't brought it up to her at all, yet. What would you do?
 
I'd tell her.First, she'll see that it's a separate order when it arrives. If you don't tell her, it may look odd to her.Second, you've gone out of your way to help her out. Letting her know that is a smart business move. It shows that you are more concerned with her than with yourself. (BTW, there's no need to mention that it lowers your commission. To mention that would seem self-serving.)
 
My director had me do that in order to get a catty show up to the totals it needed. I had two instances where the hosts were the only people that ordered anything..not sure if it's legal, or right or moral, but I followed what my director told me to do.

HTH
 
I let my hosts do that all the time when they are that close and on lower shows. I explain it and give them the option. Some do it, some don't. I figure if they pick what is best for them, I have happier customers in the end. Usually ended up happening anyway when they booked off themselves for a future date so they already KNEW they could place a guest order too.
 
I'd talk to her about it and let her decide what she wants to do.
 
If it helps, I truly don't see this as an ethics problem. However when in doubt call Dr. Laura!
 
Just had this happen with a show. The host was $11 away from $400....I told her to go ahead and spend the $11 as a guest, because by doing so, she would be able to get the extra $25 in free product, and also, she had 2 big ticket items she wanted (family skillet, and SS bowl set), and then she would have 2 half price items. I didn't figure out how much commission I lost, but I know she was happy!
 
I always talk to my host about adding to their show to get to the next level. Sometimes it's even like $20-30 order to get more for free and half priced. They are usually willing to do so especially since it saves them money.

Don't worry so much about yourself, it's the connection with your customer to tell them how much you helped them to save. My stepmom wanted the cookware and because her show had $90 for free it was the same price to help her get it on the free and discounted or to get it at half off. I would have made more commission had I told her to get something else at half off but she was able to save more money and get more products that way.
 
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  • #9
Gosh, I didn't think I was worrying about myself, but maybe I'm sounding selfish.

I have spent a lot of time going back and forth with this host, not in a bad way, but it's taken a lot of time. She's rarely home when I call, I'm not here when she calls, she doesn't answer e-mail very often, and she lives an hour and a half away. So, bringing this up will also just complicate things. I was wondering if, ethically, I should tell her that she could save the money because now I know she can. I didn't have to figure it out, but I did. It's not like she couldn't figure it out if she really thought about it, though she probably wouldn't.

It may or may not be her fault that only 4 people showed up to her show even though she invited 40 people. So my commission is already being eaten into by gas money for 200 miles and postage for 40 stamps. I didn't get any bookings, either. She is spending $80+ on product outside of her 1/2 price item and April host special. I figured that she's spending the money anyway, so I'd just take a few minutes to see if it would save her money to order $42 ish at full price. It turned out that she would save the $12.

Earlier when I started this thread I wasn't in a bad mood. Now I come back here in a bad mood and read this while in a bad mood. I will tell you why. I just gave my son and his buddy $20 to go to the Tulip Time carnival. They both had a coupon for $3 off so I told them I wanted the $6 change. I gave ds my watch and said to be "here" at 3 pm. I was going to the park to the arts and craft show. Tons of traffic. Cars everywhere, so parking was a few blocks away. I finally get a spot, and my phone rings. My son is calling me from a police officer's phone to tell me he can't find the $20 I just gave him. So now, I am fuming mad and a bit touchy about my money and my time.

Anyway, thanks for your help. Still not sure what I'm going to do.
 
  • #10
Ugh JAE! I hope he finds the money!!!!
 
  • #11
JAE said:
Gosh, I didn't think I was worrying about myself, but maybe I'm sounding selfish.

I have spent a lot of time going back and forth with this host, not in a bad way, but it's taken a lot of time. She's rarely home when I call, I'm not here when she calls, she doesn't answer e-mail very often, and she lives an hour and a half away. So, bringing this up will also just complicate things. I was wondering if, ethically, I should tell her that she could save the money because now I know she can. I didn't have to figure it out, but I did. It's not like she couldn't figure it out if she really thought about it, though she probably wouldn't.

It may or may not be her fault that only 4 people showed up to her show even though she invited 40 people. So my commission is already being eaten into by gas money for 200 miles and postage for 40 stamps. I didn't get any bookings, either. She is spending $80+ on product outside of her 1/2 price item and April host special. I figured that she's spending the money anyway, so I'd just take a few minutes to see if it would save her money to order $42 ish at full price. It turned out that she would save the $12.

Earlier when I started this thread I wasn't in a bad mood. Now I come back here in a bad mood and read this while in a bad mood. I will tell you why. I just gave my son and his buddy $20 to go to the Tulip Time carnival. They both had a coupon for $3 off so I told them I wanted the $6 change. I gave ds my watch and said to be "here" at 3 pm. I was going to the park to the arts and craft show. Tons of traffic. Cars everywhere, so parking was a few blocks away. I finally get a spot, and my phone rings. My son is calling me from a police officer's phone to tell me he can't find the $20 I just gave him. So now, I am fuming mad and a bit touchy about my money and my time.

Anyway, thanks for your help. Still not sure what I'm going to do.
Please don't take my thread the wrong way!!!!!!!!!!!!!! I wasn't meaning that you were trying to be selfish, if it was meaning adding a $40 order to the show, I probably wouldn't have thought of it either. It's up to you, the host will be happy with what ever she gets.

I hope your son finds his money!
 
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  • #12
wadesgirl said:
Please don't take my thread the wrong way!!!!!!!!!!!!!! I wasn't meaning that you were trying to be selfish, if it was meaning adding a $40 order to the show, I probably wouldn't have thought of it either. It's up to you, the host will be happy with what ever she gets.

I hope your son finds his money!

I'm pretty sure MY money blue down the street when ds got out of the car. I'm guessing he set it in his lap to put the watch on his wrist. Hopefully, someone finds it who really needed it. Maybe they can decide to do something fun that they weren't going to be able to afford during this crazy festival. Me, on the other hand, I have to figure out how to get over this and not over-punish ds. Children are a blessing from the Lord. Children are a blessing from the Lord. Children are a blessing from the Lord. I love my son. I love my son.....
 
  • #13
Jae, I often told my son that I would survive his adolescence. He might not, but I would. He often told me that "adolescent" sounds like a bad word. I told him it is.The good news is that he survived. He has also matured. I've been told that grandchildren are God's way of rewarding you for not killing your teenagers. I'm looking forward to checking out that theory someday.
 
  • #14
JAE said:
I'm pretty sure MY money blue down the street when ds got out of the car. I'm guessing he set it in his lap to put the watch on his wrist. Hopefully, someone finds it who really needed it. Maybe they can decide to do something fun that they weren't going to be able to afford during this crazy festival. Me, on the other hand, I have to figure out how to get over this and not over-punish ds. Children are a blessing from the Lord. Children are a blessing from the Lord. Children are a blessing from the Lord. I love my son. I love my son.....
Yes, your money!

Love your son, he is one of God's greatest gifts to you! Things happen for a reason that we just never know. My sister told me once about seeing a homeless guy digging through the garbage cans at the gas station. The guy in the SUV next to her got out the cans from his car and gave them to the guy. My sister said that something in her told her to give the guy a little more. Even though she didn't have much money in her pocket at that time, she gave him the $20 she did have and went on her way. She stopped at the grocery store and said that some guy whipped into a spot in front of her requiring her to drive further down the row and park alot further from the door with three children to take into the store. As soon as she got out of her car, right there on the ground was $20. She said that felt that it had all happened for a reason and had given her a great feeling that day!

I know my story doesn't help in your situation but just remeber that there are alot bigger things out there to worry about!
 
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  • #15
raebates said:
I've been told that grandchildren are God's way of rewarding you for not killing your teenagers. I'm looking forward to checking out that theory someday.

That's a good one! This ds is sooo loveable but so aggravating. He gives me so much trouble, mostly not on purpose, yet he is truly a delightful child. (I don't really use that word "delightful" but it seems to fit.)
 
  • #16
Too bad I had that show today - or I could have been there with you so you had someone to vent to in person!:eek:
 
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  • #17
ChefBeckyD said:
Too bad I had that show today - or I could have been there with you so you had someone to vent to in person!:eek:
Trust me when I say that you would not have wanted to listen to what I had to say after I hung up from him. Not only did he lose the $20, but Becky, you must know how bad the traffic is in Holland during Tulip Time. So I was fuming about how I had to drive back through all of that to get back to the carnival to pick them up, too.
 
  • #18
JAE said:
Trust me when I say that you would not have wanted to listen to what I had to say after I hung up from him. Not only did he lose the $20, but Becky, you must know how bad the traffic is in Holland during Tulip Time. So I was fuming about how I had to drive back through all of that to get back to the carnival to pick them up, too.

I do know the traffic! We were at Menards in Holland last night (it's how we've been spending our Friday nights for the past month) because we didn't want to haul the trailer through that traffic at any other time this week!

Looks like the weather is going to be good for TT though. I'm still trying to figure out when we can make it over there for some fun!
 
  • #19
As for your original question, I also do this quite a bit for my hosts although I usually give them the option to add an order under their spouses name or to tack it on to their mom or sisters order. The almost always bite. It is good Customer service.

If it was a long drive and sales were low I do not think I would eat the cost. I know it sucks but I would wait till you could talk to her again.
 

Related to Ethics: Tell the Host and Lower My Commission?

1. What is the "Ethics: Tell the Host and Lower My Commission" policy?

The "Ethics: Tell the Host and Lower My Commission" policy is a set of ethical guidelines that real estate agents must follow when representing a client in a real estate transaction. It requires agents to disclose any potential conflicts of interest and to prioritize the best interests of their clients over their own financial gain.

2. Why is it important for real estate agents to follow this policy?

Following the "Ethics: Tell the Host and Lower My Commission" policy is important because it helps to maintain trust and transparency in real estate transactions. It ensures that agents are acting in the best interests of their clients and not prioritizing their own financial gain.

3. How does this policy protect clients?

This policy protects clients by requiring agents to disclose any potential conflicts of interest, such as receiving a higher commission from a particular property. It also encourages agents to negotiate the best deal for their clients, rather than focusing solely on their own financial gain.

4. Can an agent still make a profit under this policy?

Yes, an agent can still make a profit under this policy. However, they must prioritize the best interests of their clients and be transparent about any potential conflicts of interest. This may mean lowering their commission in order to get their client the best deal.

5. What happens if an agent does not follow this policy?

If an agent does not follow the "Ethics: Tell the Host and Lower My Commission" policy, they may face disciplinary action from their real estate board or association. This could result in fines, suspension, or even revocation of their license. Additionally, they may lose the trust and business of their clients.

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