Ok, I Have a Couple of Friends Who Are Consultants for Another Ds

[emiscookin]

Ok, I have a couple of friends who are consultants for another DS company.

They tell me that they make 50% commission and...by golly I am jealous! I'm not gonna lie! Then they ask how much I make (which I think is a personal question normally) but because they are good friends I told them "Up to 25%." The look on their faces told me exactly what they were thinking..."THAT SUCKS!!"

Many times I have asked myself, "Why doesn't PC give us 50% commission? Will they ever raise it? To 30 or 35% maybe, if they can't do 50%?" (I know Directors can make up to 31% or something like that, but I am asking if they will raise it to 30 or 35% when you are just a consultant).

Why do ya'll think we don't get 50%? I would LOVE to hear your thoughts.
~Emily

 

[Liquid Sky]

Re: Why?Because our product prices are not inflated up the yin yang for PC to give us 50% commission.
You'll find others do pay out 50% but their prices are RIDICULOUS. That also tells you the VALUE
of their products. Did you ask them if they have to pay for their host gifts? Many times, you will find that they do.

 

[chefsteph07]

Re: Why?The next time they say how much they make, ask them if they have to pay for the host specials or any discounts. Chances are, they do. Do they have to pay a fee for credit card orders? Etc. The reason they "pay" so much is because alot of things are taken out of the consultants commission to pay for host perks. I know Mary Kay is like that, and so are alot of jewelry companies. So, don't get TOO jealous. We pay for NOTHING, except if we WANT to. And make sure those other gals know it, maybe they will be jealous of YOU!

 

[heat123]

Re: Why?I have heard....Usually, the 50% commission rates (dont include Host rewards). Those consultants generally have to pay out of pocket for thier host rewards and they don't get FREE change overs each season, or they pay for credit card processing fees or they have a annual "dues" to pay to stay active...etc. And when all is said and done, they make around the same as our 20-25%.

 

[emiscookin]

Re: Why?

The next time they say how much they make, ask them if they have to pay for the host specials or any discounts. Chances are, they do. Do they have to pay a fee for credit card orders? Etc. The reason they "pay" so much is because alot of things are taken out of the consultants commission to pay for host perks. I know Mary Kay is like that, and so are alot of jewelry companies. So, don't get TOO jealous. We pay for NOTHING, except if we WANT to. And make sure those other gals know it, maybe they will be jealous of YOU!

You must have read my mind because the gals I talked to: One does Mary Kay and the other does Cookie Lee. That is too funny!

Yeah, after thinking about it for a while I figured PC doesn't give us 50% BECAUSE they give such generous host rewards and BECAUSE it's to make shipping cheaper to us and the host! Those kinda things are what keep hosts and customers happy and make them come back for more!!

 

[chefsteph07]

Re: Why?PC is very generous that they don't have us pay alot out of our own pocket...and you should ask Cookie Lee how much their start up cost is. I know a "certain" jewelry company (not CL) that has it's own FINANCING to pay for the starter kit!

 

[lesliec]

Re: Why?On top of the other things that have already been mentioned they often have to pay for things like credit card processing. I was with one of these companies for a while. I think I paid around $30 annually in addition to 1 or 2%, and then would have to pay a fee to actually get the money out (opposed to using the credit to order more product).
With Mary Kay for example, a good show is about $250 in sales, and that is if you can actually get anyone to show up. The commission might be $100 after paying for host specials. Sounds pretty much like PC, but would you really want to be known as the pushy Mary Kay lady? I can guarantee that they aren't getting tons of shows booked.

 

[heat123]

Re: Why?

On top of the other things that have already been mentioned they often have to pay for things like credit card processing. I was with one of these companies for a while. I think I paid around $30 annually in addition to 1 or 2%, and then would have to pay a fee to actually get the money out (opposed to using the credit to order more product).
With Mary Kay for example, a good show is about $250 in sales, and that is if you can actually get anyone to show up. The commission might be $100 after paying for host specials. Sounds pretty much like PC, but would you really want to be known as the pushy Mary Kay lady? I can guarantee that they aren't getting tons of shows booked.

Exactly, 50% of Nothing is O% profit!

 

[emiscookin]

Re: Why?

PC is very generous that they don't have us pay alot out of our own pocket...and you should ask Cookie Lee how much their start up cost is. I know a "certain" jewelry company (not CL) that has it's own FINANCING to pay for the starter kit!

Oh my goodness!!

With Mary Kay for example, a good show is about $250 in sales, and that is if you can actually get anyone to show up. The commission might be $100 after paying for host specials. Sounds pretty much like PC, but would you really want to be known as the pushy Mary Kay lady? I can guarantee that they aren't getting tons of shows booked.

Ain't that the truth!!!

I was gonna say this earlier (in regard to that) but I didn't know if it would sound confusing:
Maybe we don't get 50% commission because with all the parties we book (and like I said earlier, because there is more demand for our products) which is a lot, then PC wouldn't make any money!! 50% to their consultants, plus the discounted shipping and free host rewards...yeeeeeah!

 

[emiscookin]

Re: Why?I feel happier with my "up to 25%" now chatting with all of you about this. People always think of things that I never think of!

 

[chefsteph07]

Re: Why?

I feel happier with my "up to 25%" now chatting with all of you about this. People always think of things that I never think of!

Yes and you can add "up to 25% (it's actually higher the more in sales you have) with NO out of pocket fees for ME!"

 

[Sheila]

Re: Why?Remember, you can get much more than 25%! You get a 2% pay raise when you hit $15,000 in career sales, and you get more when you start recruiting! I had a "low" month, only did $759 in sales and should have made $182.27 in commission. But with the team overrides, my pay for the month was $686.84. An extra $504.57 for having a team! I'm certainly not complaining about that! That's outside orders & one catalog show. Not one single cooking show in April! I gave 3 shows away to new recruits & then did one on the 30th that didn't close until May. So that's $686.84 for being a mentor & lazy all month! I think it really boils down to how many hours & the final profit at the end of the year. If they spend 20% or 30% of their paycheck back into buying stuff to give away ... then they are not making as much as they think. Like it's been mentioned, we don't have to buy stuff for our hostesses ... anything that we do buy is optional other than the basics ... catalogs & order forms!

 

[emiscookin]

Re: Why?

I had a "low" month, only did $759 in sales and should have made $182.27 in commission. But with the team overrides, my pay for the month was $686.84. An extra $504.57 for having a team! I'm certainly not complaining about that! That's outside orders & one catalog show. Not one single cooking show in April! I gave 3 shows away to new recruits & then did one on the 30th that didn't close until May. So that's $686.84 for being a mentor & lazy all month!

Sheila, that is just AWESOME! :thumbup:
I need to try and recruit more!!!

The thing that concerns me about recruiting is...the area I live in there's a total of about 55,000 people. There's my Director (who hits up the WHOLE AREA and knows everyone it seems!), my recruiter, 3 other part time consultants, 1 new person my Director just signed up and Me. So 6 PC consultants running around. If I recruit people form this area, we're all gonna run into each other aren't we? Or one consultant is gonna steal customers/opportunities from another? That's my concern.

I ended up "stealing" one of my Director's high paying customers cause, she goes to my church and knows me better and I know my Director joked about "expecting" that she would lose customers to me, but I think it really hurt her.

So, about that $15,000 in sales, do you get to keep that 2% raise as long as you are active?

 

[raebates]

Re: Why?Yes, the increase of an additional 2% is permanent, as long as you stay active. One more thing to consider--we are never required to purchase new products. Never. I have friends with other DS companies. Most either have to carry inventory, which they're then stuck with if the line changes, or they are required to purchase new lines as they come out. Also, we don't pay anything to stay active. In many DS companies there is an annual fee. While our percentage seems low when taken at face value, PC is actually one of the most profitable DS companies for consultants. And, while I don't point this out when talking with consultants from other companies, the mark-up on products for companies who are able to pay 50% commission to their bottom rung consultants must be astronomical (as others have mentioned). I love knowing that our products are worth every penny a customer pays.Add to that the other way we can benefit from PC. When I tell other DS consultants about the SATs, the other free product incentives, the KE month, and the PC dollars we can earn, they're amazed. PC rocks!

 

[raebates]

Re: Why?

Sheila, that is just AWESOME! :thumbup:
I need to try and recruit more!!!The thing that concerns me about recruiting is...the area I live in there's a total of about 55,000 people. There's my Director (who hits up the WHOLE AREA and knows everyone it seems!), my recruiter, 3 other part time consultants, 1 new person my Director just signed up and Me. So 6 PC consultants running around. If I recruit people form this area, we're all gonna run into each other aren't we? Or one consultant is gonna steal customers/opportunities from another? That's my concern. I ended up "stealing" one of my Director's high paying customers cause, she goes to my church and knows me better and I know my Director joked about "expecting" that she would lose customers to me, but I think it really hurt her.

So, about that $15,000 in sales, do you get to keep that 2% raise as long as you are active?

I wanted to address this concern separately. Remember that you still benefit from those customers your recruits "steal" because of overrides. I live in a rural area with a small population. One of my recruits took a chunk of my steady customers because they're her family. Another took a few of my best hosts. The great thing about that, though, is that they have a good customer base to start with, which helps them to be successful right off the bat. Even in our tiny area there are oodles of people. Plus, with no territorial boundaries, we can all expand our customer base as far and wide as we please. Don't let fear keep you from helping others to benefit from an amazing company like PC. There's room enough for us all.As a little experiment, find out the population of (or better yet, the number of households in) your county. Divide this number by the number of consultants you know are at work in the area. My guess is that there are plenty to go around.

 

[ChefBeckyD]

Re: Why?I wish I could find the article that I thought I'd saved...someone had posted it a while back - it was about Direct Sales Companies...and PC was listed as one of only 2 or 3 out of ALL DS companies where you could actually make an income as just a consultant. That to me says VOLUMES! I know that as a young pup, in college, I got sucked into selling Jafra, and was supposedly making a 50% commission. I can't say that I actually ever made anything though. It seems like I always had so many expenses, and had to always be restocking my samples - there was never anything left of my half!


As far as recruiting. I have a team of 13 now. 2 of them live w/in walking distance of my house - in my neighborhood! 3 of them are long time repeat hosts, whose friends had all been my customers too. Having them all on my team has not hurt my business one bit! My one consultant had hosted for me for 5 years before she signed, and when she signed, she took about 6-8 other GREAT hosts with her. Yes, I've joked with her about taking my best customers...but it seriously doesn't hurt my feelings...I knew that would happen, and it didn't stop me from encouraging her to sign! She is one of the top performers on my team, and is also one of my SC/TL....because of her success, I am promoting to director!
Remember - YOU succeed by helping OTHERS succeed!

 

[gailz2]

Re: Why?I sat next to a lady selling Arbonne products at an event yesterday. I was shocked to learn they pay annual fees, and her recruiter is many states away so she has no training or meetings to attend for extra guidance. I bragged up this fabulous site, as well!And if she does well in one quarter, she has the "opportunity" to spend $100 for $300, I think she said. She has to carry inventory, her own bags, etc. I LOVE selling PC!!!

 

[RMDave]

Re: Why?

... and her recruiter is many states away so she has no training or meetings to attend for extra guidance.

That's not really so bad. I'm in that very situation. I'm in California and my recruiter and AD are in Florida. My AD is always available via phone to answer questions, motivate, and tolerate <g>. I attend meetings via Skype. Perhaps not the ideal situation, but I don't see distance as being a downfall.

 

[millthayer]

Re: Why?One other thing to think about.....alot of other companies change their catalogs and sale flyers monthly!!! So say you buy 50 catalogs and only do a few shows and have extras left over at the end of the month...that comes out of your commission! Then you have to start all over again the next month and buy more catalogs!!! I am so glad we only change products and catalogs only twice a year (except for this year, I know!) Still lots more money in MY pocket, not the companies!!!

 

[BlueMoon]

here's another thing Re: Why?You know, I have hosted Mary Kay parties over the years, and never got a hostess reward at all. Never thought about it before, cause I love their lotion, and always had a reason to throw the party (support a friend, get my niece taking care of her skin, etc) but that must make it hard to book parties.
Also, the stuff was always delivered to the Mary Kay consultant, who then had to deliver it or pay shipping.
Marghi

 

[AJPratt]

Re: Why?I'm not sure which ones, but some companies have much higher minimums, too. I know my PL lady told me hers was just $500 a month. For many months that was not an issue for me, but for now while I am trying to figure things out (new job and such), its easy for me to pull together $150 in orders to submit, rather than $500.

 

[Sheila]

Re: Why?

Sheila, that is just AWESOME! :thumbup:
I need to try and recruit more!!!

The thing that concerns me about recruiting is...the area I live in there's a total of about 55,000 people. There's my Director (who hits up the WHOLE AREA and knows everyone it seems!), my recruiter, 3 other part time consultants, 1 new person my Director just signed up and Me. So 6 PC consultants running around. If I recruit people form this area, we're all gonna run into each other aren't we? Or one consultant is gonna steal customers/opportunities from another? That's my concern.

I ended up "stealing" one of my Director's high paying customers cause, she goes to my church and knows me better and I know my Director joked about "expecting" that she would lose customers to me, but I think it really hurt her.

So, about that $15,000 in sales, do you get to keep that 2% raise as long as you are active?

We have about 55,000 Americans here on Okinawa, so about the same size. But we do one thing that you don't have - we constantly have people rotating on & off the island, so it's a constant new flow of customers arriving. And, since their choices of what they can buy retail is limited, a LOT of people here rely on ordering stuff from the states via online or from home based businesses. So I'm sure that has an impact on the amount of sales that we do.

I'm starting to loose count. I think there are about 25-30 PC Consultants on Okinawa now! Not all of them do it full time though, many are part timers. I have 12 members on my team & NONE of my team is having a rough time. Some are brand new, but seem to be having a great start. 8 of the 12 were active last month & our team did over $12,000 in sales. Handing out "high show" ribbons at the cluster meeting last week ... I gave out one $400 ribbon & then jumped to $1,000 ribbons! Our team is rocking and the number of consultants doesn't seem to effect our ability to excel in our individual businesses.

I'm currently on vacation in TX and have 2 shows coming up here in TX on the 21st & 22nd, so I'll have to let you know if I hold my $885 per show average or if it's considerably lower here in the states. I'm curious to see if it's technique or location that helps my business.

But I do agree with the other responses about it benefiting your upline for you to do well with your business! Their success does depend on YOUR success.

Oh, and who says you have to recruit from your area?

In reference to the $15,000 pay raise, you keep it unless you go inactive 2 months consecutively. If you don't submit 2 months in a row, you will loose your career sales and the pay raise. And you have to meet your goal for your title to get the overrides for that title. For example, as a Director, I get a 3% override for my team. As a Team Leader and Director, you have to do $750 in personal sales. So let's say I only did $600 in personal sales ... I would get "paid as" a Sr. Consultant for the month because I didn't meet my goals. So I would only get 1% override that month. If I didn't get my act together & failed to meet my goal 3 months in a row, I would loose my title & be knocked back down to the "paid as" level until I achieved my goal again. If you don't submit for 6 months straight, you loose any recruits you have under you and your consultant status. You would have to sign a new contract & start all over.

I hope that all made sense!

 

[Chefgirl2]

Re: Why?I had a one on one meeting today with a Mary Kay consultant. She asked me about:
Keeping stock. - I never keep it because I don't want to be stuck with 12 choppers if they change the color.
My commission. - If I have a $1,000 show my host gets $215 in free product and as a director that sells over $4,000 a month I get paid $300. She did that math fast. I pointed out that all of the host benefits come from the company and not me. Even free shipping and tax on the free products.
We spoke about other PC perks...free credit card usage...we don't pay fees. 6 month catalog vs quarterly. Monthly meeting vs weekly.

Mary Kay is a great company. But, what we have with The Pampered Chef is what I need and why I still love my job after 11 years. Don't be jealous. This job Rocks!

 

[nikked]

Re: Why?One other thing I found while experimenting with other DS companies is (by and large) they do not have a hospitality program. If you move out of the area of your upline, too bad so sad. Other lines will NOT welcome you in and let you benefit from their excitement and training. I like that with TPC it is required of directors to participate in hospitality (at least it used to be). I know that there are differing qualities of hospitalities, but there are also differing qualities anywhere up and down the line as well.

I know that this thought isn't directly about pay, but if you move out of your area and are excited about your business and thrive with meetings, then they're not available to you, that WILL affect your pay!

And ditto to everything that was said!

 

[Lifeat50]

Re: Why?Other things to think about.
Free products during Sell-a-thon. Usually a free product or sales aid for 2 shows before 15th. I know I have been a Jafra Cosmetics rep. We had new cycles every two months with new products. We could purchase these at our discount. Either 30% or 50%. They did have a program where we could order a product at a larger discount but that was one product. I think I received a few business gifts for sales but NEVER the new product line. We paid for bags, samples, catalogs, new product line and the hostess program. I am very happy with PC!!!

 

[wadesgirl]

Re: Why?As far as being concerned about taking recruits/shows in your area away from other people, there are probably plenty of people in your area that haven't meet any of the other consultants. Plus I live in the largest city in our area but very rarely do shows in this town! I do more shows in surrounding towns.