Business Basics

Attack of the Mary Kay Math

This latest promotion by a Mary Kay director not only screams desperation, it gives a completely false impression about what it will really cost a new consultant to get started. Sure the $100 rebate and FREE FREE FREE sound good, but the words below obscure the real cost to the consultant. Take a look at what the director says, then check out the real cost I’ve calculated at the bottom.

Another Bonus for All New Consultants that Start their Mary Kay Business in August!! Mary Kay is giving All New Consultants that their agreement is put in the system by 7:00pm on August 31st a $100 Rebate Check when they do a Minimum $600 wholesale order by the end of September!
I am going to give each New Consultant that starts her Mary Kay Business in August, $115 of Free MK Products in August when her agreement is put in the system. They will receive 1 Mirco Derm Set $55, 1 Peach Smoothie Satin Hands Set $30, and 1 Firming Eye Cream $30 for a Total of $115 in Free MK Products. These are the Demo Products that are not in her Starter Kit that she would have to purchase to Demo to her customers.

Make sure that you let them know that they will get $100 Cash Back on their Starter Kit, $115 Free MK Products just for signing up, $100 in Free MK for doing their $600 to Co. and $113.50 Free for doing that $600 order within the first 15 days.

So, she will get $100 Cash Rebate Check and a Total of $328.50 in Free MK Products for starting her MK Business in August.  Plus, there is $323 in Full Size Retail Products in her Starter Kit that she is going to have for Free, because she will not be paying anything for her starter kit!! She is getting Much More in Free Products than it cost her to do her $600 Wholesale Order!!! See the flyers attached at the top for more details!!!

Here’s the real cost to the new consultant: About $678. Start off by telling a potential recruit that you’re going to be asking her tonight to spend $678, and see how quickly that conversation gets shut down.

This is how it works:

$113 starter kit cost + $600 wholesale order + $65 tax on retail = $778

Rebate = $100

Total out of pocket = $678

The consultant will also receive  $114 in wholesale value of products free, part from the director and part from Mary Kay. Notice how the order the new consultant must place is stated in wholesale terms (lower number) but the free stuff is stated in retail terms (higher number) to confuse the situation and make it sound like she’s getting much more than she is.

At the end of the day, the consultant will have products in hand worth $1,428  at suggested retail value, for which she had to pay $668 out of pocket to get. Is it really all that exciting? I think not.

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