March 8 By Tom
Mary Kay is a privately owned MLM business opportunity, a seller of beauty cosmetics. The company began with a total of five skincare, and four makeup products, and nine independent consultants. The consultants were responsible for spreading the Mary Kay lowdown and reviewing feedback. It paid off, as the business became immensely popular, and quickly grew to an empire of 857 consultants in a matter of three years.
By 2018, it was the sixth-largest MLM business with a gross volume turnover above three (3) billion US dollars annually. In the early beginnings of Mary Kay, consultants were encouraged to introduce the range of products at house parties equipped with sales enticements. The flexibility of working hours, and working from their own home had enormous appeal and was received exceptionally well by women looking for extra work.
Mary Kay was founded in 1963, by Mary Kay Ash, who turned out to be more than just an MLM pioneer, as history demonstrates her revolutionary entrepreneurial skill on how to build a worldwide direct marketing enterprise from scratch. Not bad, when you consider, back in 1963, she started with $5,000, and an idea.
Even though she is no longer alive (died in 2001) her legacy of inspiration continues, as fifty years on, the business is recognised as one of the premier online cosmetic companies that offer a variety of cosmetics for women.
Ash’s son, Richard Rogers, continues to run the business in the Executive Chairman role, with David Holl the President and Chief Executive Officer.
Mary Kay Business Model
The product range gets marketed, utilizing the Multi-Level Marketing (MLM) system. The “Beauty Consultants” earn an income using the direct selling method, usually selling products to people within their local neighbourhood.
Every new distributor must purchase a “Starter Kit” to qualify. Each starter kit will cost them $100. So, before you even make a start, you’re already out of pocket $100.
That’s only for the starter kit, and then there are other expenses likes of, business cards, Mary Kay Website creation, credit card processing facility, the printing of promotional brochures, and any other incidentals.
You think, well that’s not so bad, so, you take the gamble and join. Why not? I have nothing to lose, and I’ll get back a 50% discount on my order.
Next, you’re ecstatically waiting for that first order to arrive.
Great!… It’s arrived, so now it’s time to submit your promised 50% discount. Oh my goodness you not able to process it; Why? You never got told to qualify for the discount you needed to place a $400 order.
Now, what do I do? Read The Fine Print, and you’ll find, it states that to receive the 50% discount, “A consultant is required to place a $400 retail order every three months to maintain active status and receive the Earned Discount Privilege”. But, there will never be any mention of that when joining.
If my calculations are correct, you have parted with five hundred bucks and still haven’t placed an order or for that matter even made a sale.
But, you are still hell-bent on securing that elusive 50% discount? And you’re more than happy in parting with another $400? Then the decision is easy. Right?
If that is how you see it, then, it’s not unreasonable to assume; you’re, OK, with coughing up your own money for the privilege of being in debt.
It’s bandied around that being a Mary Kay consultant is all about having fun. Sorry, I don’t see what fun there is in parting with your hard-earned cash just for the sake of being one of their consultants. View it like this, is being in debt fun? I don’t think so, and, I’m almost sure you will also feel the same way?
Do You See What I Mean?
You’ve got sold on one idea, and you join.
Once you have joined all these extra costs, come to light. Additional charges that you should have been made aware of before joining.
And, this type of deceitful conduct continues, and before you realize, you are in debt up to your armpits; And, do you think they give a damn? Not in your sweet nelly.
Don’t get duped by their underhand tactics, “STEER CLEAR”, and not be sucked in. After all, you’re the one losing money.
They’ll keep sweet-talking up to you, for as long as you are OK in parting with your money.
After All, Is It Worth The Risk?
There have been many thousands of women, who will attest to having fallen victim to false promises, income pledges, and, misleading marketing materials, coupled with straight-out lies about the business opportunity.
Additionally, profits and commissions are rather meagre, so the potential of earning a substantial income, on face value could be very trying; So, you’ll more likely struggle than be a success.
Not-only-that, you will be competing with a saturation of distributors who also will be competing in the same hunting ground as you.
And, before you even r, you’ll find yourself doing things that are out of character; And, “YES”, you end up hurting many people in the process, including yourself.
Consultants Inventory Holding
All Mary Kay consultants are encouraged to purchase significant amounts of inventory for remaining active in the system.
That’s fine if you have been doing Mary Kay for a while, and, you have a sizable customer base where you’re able to offload the products.
But, what about if you’ve just started, and have no customers nor do you have room to store lots of products.
So, What Do You Do?
Hire a storage facility? More Unwanted Cost!… Or raid some already crowded space in your house—either way, the stock has to be stored (stockpiling).
By the way, this also raises another problem.
You’ve got all this stock that you had to buy and pay upfront when joining.
And, your next shipment is almost due, no sales to talk of, and, your finances already stretched to its limit.
How are you going to pay for the new delivery?
Expenses that you didn’t count into the equation when joining.
Contrary to what Mary Kay upline tell you, starting is difficult and so will selling your inventory.
Therefore you’ll have a sizable stock carryover, and your money tied up in that stock, so your finances will get stretched right to the limit.
And now, you’re struggling for cash; it’s not what you would consider the ideal new business startup. Do you agree? … I thought so.
View it this way; you’re not operating a shop front, this is an online business opportunity. So why should you be carrying all that stock at your expense?
But, if you become a Mary Kay consultant, then that’s what’ll happen, and it’ll be a real problem that you will have to confront.
Please make no mistake; Mary Kay will expect that you store unsold product, while they enjoy the benefits of your up-front stock purchases.
This type of behaviour is outrageous, and, you would only expect it applied to retail stores.
In November 2006, “Pink Truth” site switched the name to indicate its commitment to information-sharing regarding the truths of multi-level marketing companies that prey upon women.
The focus has been (and continues to be) Mary Kay Cosmetics, including other pyramid schemes and MLMs are also discussed.
The founder of Pink Truth believes that Mary Kay is a product-based pyramid scheme‘.
“many people at the bottom of the pyramid must buy significant amounts of products so that those at the top can get the big commission checks, ‘win’ the cars, and go on the fancy trips. ”
Source Pink Truth
How A Consultant Realized Her Director Was Lying
Here is how this consultant got recruited.
In 2016, a friend told her she was starting her own business with Mary Kay. Then her friend introduced her to the business opportunity, telling her she could earn lots of money and if you join then that same business opportunity exists for you; LIE LIE LIE.
Yes, that’s right she fell for the bait and joined. She also agreed to a director, who now, she believes is a fake person.
Get This Bit!…
She (consultant) told me how, in 6 months, I could leave my “JOB” and be my boss.
At that stage, she ( new enrollee) had full-time employment, but it was unstable, so she thought that it was worth a shot.
To this point, she hadn’t discussed it with her husband, and when she did, he wasn’t comfortable on the idea, telling her that they were already heavily in debt without adding to it. She dropped the thought altogether.
Surprise Surprise Surprise!…
After a month had passed by, the friend and the director started pressuring her to join.
She received many text messages masqueraded by lies and innuendo. Followed up with a video to watch and the promise of a “FREE Eyeshadow”, if only she would again talk it over with her husband and then commit. And the story goes on. You can read the full story here at Pink Lighthouse and then form your own opinions of Mary Kay.
Sales And Commissions
Earn 50% commissions from direct sales and a further residual commission from those who you have recruited into the business.
All independent consultants at Mary Kay are self-employed, so you do have the freedom to pick and choose your working itinerary. An ideal lifestyle, because it gives you the flexibility to work around family commitments.
However, it also demands proper scheduling if you want to get the best out of your business venture.
Joining Is Easy And Straightforward
The process of joining involves the signing of the consultant agreement contract, so there is minimal red tape, and, you’re good to go; but, there is just one other thing first.
Your membership or joining fee is, $100, and that must be paid upfront, and then, you’re all ready to go.
No Sales Guarantee
There is no solid guarantee of any direct sales, or recruiting anyone into the business opportunity.
Why not? Simply you may not possess the necessary skills required for cold calling or the ability to recruit others.
If your financial position is tight, and you are looking for a reliable source of income, then Mary Kay may not be the ideal choice.
After all, starting any business on a shoestring is hard, financially and emotionally.
Cold Calling demands lots of discipline and self-control, and that is what’s required being a consultant at Mary Kay.
“YES”, there are many who don’t have such a problem. But, there are lots more who find it difficult or almost impossible to overcome, and that is the core of your success.
Look at it from another perspective; Are you willing to sacrifice part or all of your weekends calling on people. Or, for that matter spending lots of evenings doing presentations that will soak up a fair chunk of the evening.
Can You See What I Mean
Without self-control and a strict discipline regime, then you are doomed to fail.
And I haven’t even mentioned anything about recruitment. That in itself demands a unique set of skills that not everyone possesses.
Is Mary Kay For Everyone?
Sure, it’s easy to get started, and on paper looks a reasonable business opportunity.
But, there is much more to it than that. Be prepared, and, ready yourself to ask lots of questions, also, ask for a copy of the conditions and terms before committing yourself. So is it for everyone? NO.
There is an upfront joining fee, and there will be other financial charges, that are ongoing. These extra charges are associated with stock purchases that you will be required to purchase every TWO months for you to remain an active consultant in the business. So, unless you’re able to get off to a flying start, then all sorts of pressures will start to appear; And, that something where lots of people won’t be able to cope.
Is It Risky Being A Mary Kay Consultant?
Mary Kay has been operating for more than fifty (50) years; in that time, they have experienced their share of challenges. But, continue to enjoy a piece of cosmetic industry.
The overwhelming contentious issue seems to focus on their business standards of legal trading.
The issues that concern most are mainly labelling them as being more aligned to pyramid selling than being a genuine MLM business.
However, and even though they continue to straddle that fine line, they remain a strong force in the online cosmetics market.
Are you contemplating joining the Mary Kay Business Plan, then do so with the utmost of awareness.
Or Are You
Looking To Start An Online Business Opportunity?
Are you earnestly interested in starting your own business? And with a timeframe to suit your lifestyle; My #1 recommendation provides you freedom of choice that will work around your marketing framework; And, it removes the burden of having others call the tune in telling you every single thing to be done.
- You choose what you want
- You control all the decisions on what you want to promote
- No deadline to meet
- Work at a leisurely pace that suits you
- You are the boss, not someone else
It has worked for me, and, there is no reason why it wouldn’t work for you too.