Mary Kay Directors are fond of telling potential recruits that in Mary Kay, you make 50% of everything you sell.
While it’s true that the suggested retail of MK products is double what the Consultant buys the product for from the Company, before you get too excited about that 50% “profit,” you need to be aware of a few things:
- Many times you will not be selling the products for the full suggested retail. You will be discounting for various reasons: to get discontinued products off your shelf; to offer incentives to your Hostesses; to rid your inventory of limited-edition items; to encourage customers to purchase more.
- If you choose to participate in the Preferred Customer program, which most Consultants do, one benefit of the program is giving your customers a gift with purchase. YOU have to pay for these gifts, and they’ll cost you $4.00 each.
- There are many expenses that come out of that 50% profit: shipping charges to get the product to you; meeting costs; samples and business supplies, like catalogs; costs of training, workshops and Seminar. And don’t forget one important expense: TIME.
Some of these expenses can be managed or avoided, but some are just part of the Mary Kay “opportunity.”