Is Financial Success Guaranteed for Directors in Network Marketing?

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Discussion Overview

The thread explores the financial implications and benefits of becoming a director in network marketing, particularly within the context of Pampered Chef. Participants share their personal experiences regarding commissions, overrides, and various perks associated with directorship.

Discussion Character

  • Anecdotal
  • Opinion-based
  • Exploratory

Main Points Raised

  • One participant, identifying as a consultant, questions the financial difference between being a consultant and a director, noting specific benefits like $50/month for booths and free products.
  • Another participant shares that directors receive numerous benefits, including multiple overrides and discounts, suggesting that these perks contribute to financial success.
  • One participant details their personal sales figures, illustrating a significant increase in commission as a director compared to being a consultant.
  • Several users mention the importance of team performance and recruitment in determining financial success as a director.
  • One participant expresses that the personal fulfillment of helping team members is a key benefit of directorship, alongside financial incentives.
  • Another participant emphasizes that the director role can lead to checks that are typically double what they would be as a consultant.

Areas of Agreement / Disagreement

Views differ on whether the financial benefits of directorship are substantial enough to justify the role, with some participants expressing strong support for the position while others remain skeptical about the financial guarantees.

Contextual Notes

Participants share a range of experiences, with some focusing on specific financial metrics and others highlighting the emotional rewards of leadership within the team.

Who May Find This Useful

Consultants considering the transition to directorship may find the shared experiences and insights valuable for understanding potential financial outcomes and personal satisfaction associated with the role.

There is much more to Directorship than the monetary awards. Directorship has also opened the doors for more opportunities for me. I don't think I would have been on the cover of the CN if I wasn't a director. Directorship also brings a certain respect for what I do as well. Plus there are extra training opportunities not only through PC (i.e. Director's event, Leadership), but also through our cluster. I am blessed to be 5 miles from my NED and within 30 miles of three executive level directors that are in my NED's downline and they sponsor and plan director only retreats that I get to take advantage of as well.Directorship just opens lots of doors--monetarily, professionally, personally.
 
BethCooks4U said:
I had $1288 in sales a couple of months ago. According to my commission statement if I had been a consultant I would have made $322. Because I am a director my commission was $760.

Another month I had $2600 in sales and would have made $682. My team didn't do as well that month but I still made a commission of $1,100 that month.

I would say it's worth it!
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How many recruits do you have under you?
 
twinkie10 said:
How many recruits do you have under you?
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I believe Beth posted above that she has between 16 and 20 recruits in any given month.
 
Forget that I asked... I should have looked more before posting!
 
  • Thread starter
  • #35
I just signed on in February. I never met my recruiter or my director. When I did the math, it just didn't made sense for the amount of work.
 
phatratz said:
I just signed on in February. I never met my recruiter or my director. When I did the math, it just didn't made sense for the amount of work.
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:eek: Do they at least support you?
 
  • Thread starter
  • #37
My director tried to get me hospitality but no one close would take me. She was able to get one director but I would never be able to make it to the meetings. She sent me a welcome package and that was nice. I haven't seen my recruiter on here in over a month. I'm not even sure she is active still.
 
phatratz said:
My director tried to get me hospitality but no one close would take me. She was able to get one director but I would never be able to make it to the meetings. She sent me a welcome package and that was nice. I haven't seen my recruiter on here in over a month. I'm not even sure she is active still.
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Sorry to hear that! Plenty of us here will "adopt" you even though you aren't under us. Just yell...

Where are you located?
 
  • Thread starter
  • #39
ThanksThanks. I normally come on and read the posts once a day. If I have a question I can normally find the answer by searching for it in the archives. This topic just didn't seem to be addressed.

I never checked the Director policies, that helped a lot.

Syracuse, NY
 
I am still very confused about what compensation a director receives. My director barely makes her $750 minimum every month. Sometimes her cluster doesn't reach the $4000 or whatever that amount is. Is she still getting all that money for meetings and such? I come away with less than $5, way less, worth of "prizes" every month. I'm also the only one who attends, most of the time. She doesn't do fairs.

I feel like I need someone to handhold me to explain what an override exactly means, too. I've read the policies. I just don't think I completely understand.
 
JAE said:
I am still very confused about what compensation a director receives. My director barely makes her $750 minimum every month. Sometimes her cluster doesn't reach the $4000 or whatever that amount is. Is she still getting all that money for meetings and such? I come away with less than $5, way less, worth of "prizes" every month. I'm also the only one who attends, most of the time. She doesn't do fairs.

I feel like I need someone to handhold me to explain what an override exactly means, too. I've read the policies. I just don't think I completely understand.
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Slightly off topic JAE - but if you look at the Stats in the June CN, your SD is in the top 5 for total cluster sales.....hmmmmm......just doesn't seem fair does it?
 
Who is my SD?

Oh, and where do I find espresso powder?
 
JAE said:
Who is my SD?

Oh, and where do I find espresso powder?
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You are rooming with her at conference.;)

I get espresso powder at D&W with the instant coffees, or I sometime have gotten it at De Rueze Market. (that Gourmet Market across the street from Rivertown Crossings)
 
I guess I was confused about the order of director titles. I thought she was my AD. I thought she was just one above director, but she's two above? I didn't know that. Hmmm...
 
JAE said:
I guess I was confused about the order of director titles. I thought she was my AD. I thought she was just one above director, but she's two above? I didn't know that. Hmmm...
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Just went back and checked - yep, she's a Sr.
 
There's no specific compensation that Directors get that's earmarked as "for meetings." Any recognition and incentives Directors offer is paid out of their own pocket.JAE, if your Director isn't meeting the minimum requirements to maintain Directorship (5 active first line, $4000 cluster sales, $750 personal sales), then in those months that she doesn't make it, she's only getting her own commission plus production bonus based on the makeup of the team ($10 for FD, $7.50 for personal recruits, $5 for other consultants). If she doesn't meet the requirements 3 months in a row, she'll enter the repromotion period, which means that she'll have to recruit and qualify several new consultants in order to retain her Director status.
 
chefann said:
There's no specific compensation that Directors get that's earmarked as "for meetings." Any recognition and incentives Directors offer is paid out of their own pocket.

JAE, if your Director isn't meeting the minimum requirements to maintain Directorship (5 active first line, $4000 cluster sales, $750 personal sales), then in those months that she doesn't make it, she's only getting her own commission plus production bonus based on the makeup of the team ($10 for FD, $7.50 for personal recruits, $5 for other consultants). If she doesn't meet the requirements 3 months in a row, she'll enter the repromotion period, which means that she'll have to recruit and qualify several new consultants in order to retain her Director status.
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The production bonus is given to directors to help them with the costs of running their meetings and sending out newsletters and such. These are also the funds that are used by most directors to purchase incentives and door prizes for the team. This money barely covers the newsletter printing and mailing and the materials needed for meetings.

Some of us over-spend and others use very little of it and consider it as payment for the time taken to train their team.

It's up to each director how to spend it.
 
Phatratz

Just wanted to let you know that my upline director is about 30 miles from you, not sure if that's to far or not. If not e-mail me and I'll give you her information. She is great and Ifeel sure she would welcome you.

Kathy
 
and if all that is enough...you get special directors gifts at conference and leadership, a christmas present and this year i got a birthday card from Marla...WOW...i work part time at a doctor's office and they didn't send me a birthday card!! Being a Director ROCKS! and growing a team is so personally rewarding...there are some ugh moments but i love helping each member of my team discover their dream and helping them to acheive it..some people don't think they can do this business and just by giving them support and encouragement and believing in them they see that they can do this and the feeling of that to me is priceless :)
 
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Thanks for that clarification, Beth. I hadn't seen in the policies where the Production Bonus is earmarked that way. I guess my point was that HO doesn't reimburse Directors specifically for incentives and prizes they offer their teams, so anything offered comes out of the Director's pocket, whether or not they've gotten their overrides and production bonus that month.
 
JAE said:
I guess I was confused about the order of director titles. I thought she was my AD. I thought she was just one above director, but she's two above? I didn't know that. Hmmm...
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The titles have nothing to do with their standing in the "family tree"--it has to do with the composition of their team. My director is an AD, but her director is our NED. I know of an Executive Director who has a Senior Executive under her. Once you hit Director it doesn't matter what level the people under you are--they can never pass you up.
 
DebbieJ said:
The titles have nothing to do with their standing in the "family tree"--it has to do with the composition of their team. My director is an AD, but her director is our NED. I know of an Executive Director who has a Senior Executive under her. Once you hit Director it doesn't matter what level the people under you are--they can never pass you up.
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I think she knew that - she just thought she was an AD, not an SD.

This particular person doesn't do hardly enough to stay active, but because of some of her line that has promoted to higher levels, she consistently has great paychecks....(it's worth it to her to buy enough herself to meet monthly minimums)
 
ChefBeckyD said:
I think she knew that - she just thought she was an AD, not an SD.This particular person doesn't do hardly enough to stay active, but because of some of her line that has promoted to higher levels, she consistently has great paychecks....(it's worth it to her to buy enough herself to meet monthly minimums)
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Interesting...and kind of sad to collect the paycheck and not provide support. You can be assured that your ED does stay out there, do shows, walk the walk so to speak!
 
ChefBeckyD said:
I think she knew that - she just thought she was an AD, not an SD.

This particular person doesn't do hardly enough to stay active, but because of some of her line that has promoted to higher levels, she consistently has great paychecks....(it's worth it to her to buy enough herself to meet monthly minimums)
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That is exactly why they raised the minimum for directors from $350 to $750.

Personally I don't think it's fair to plain old directors - many (especially new directors) have weaker teams and if life happens to happen in their life they get the added stress of worrying about their status. Those who are at higher levels have larger teams to keep them afloat...
 
janetupnorth said:
Interesting...and kind of sad to collect the paycheck and not provide support. You can be assured that your ED does stay out there, do shows, walk the walk so to speak!
Click to expand...

Yeah, this person isn't part of my upline at all - just JAE's
 
BethCooks4U said:
That is exactly why they raised the minimum for directors from $350 to $750.

Personally I don't think it's fair to plain old directors - many (especially new directors) have weaker teams and if life happens to happen in their life they get the added stress of worrying about their status. Those who are at higher levels have larger teams to keep them afloat...
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Yeah, because for her, the $750 is still worth it.
 
ChefBeckyD said:
Yeah, because for her, the $750 is still worth it.
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What does she do with all that product!!!! Everyone in her family must be sick of receiving PC stuff all the time...

...and she'd BETTER not be selling online... ;)
 
Do you automatically get $50 a month for exhibiting at fairs or do you have to actually prove you did some fairs and then get reimbursed?
 
JAE said:
Do you automatically get $50 a month for exhibiting at fairs or do you have to actually prove you did some fairs and then get reimbursed?
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I think you have to submit a form with receipt showing payment...
 
janetupnorth said:
What does she do with all that product!!!! Everyone in her family must be sick of receiving PC stuff all the time...

...and she'd BETTER not be selling online... ;)
Click to expand...

I don't think she has to spend $750 every month....it's just not a problem for her to fill in the gaps herself is all.
 
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