Whenever a new Mary Kay national sales director is appointed, the company hounds the local newspaper to run a story. They make the stories appealing: only 500 worldwide, millions of dollars of products “sold,” huge accomplishment, etc.  But this article in the Salt Lake Tribune turned out a little differently than Mary Kay intended it.

Thanks to the investigative reporting by Steven Oberbeck, he got readers to consider the “other side” of the Mary Kay issue. The Pink Truth.

Utah woman a star in pink
Gladis Camargo reaches top level in Mary Kay’s sales force
By Steven Oberbeck
The Salt Lake Tribune
05/15/2008

During the past 13 years, Camargo has built up a marketing organization of nearly 40 sales directors who in turn are responsible for leading, training and motivating more than 3,000 independent beauty consultants.

Later this summer, she will be recognized at Mary Kay Inc.’s annual seminar in Dallas for achieving the position of “independent national sales director” – a ranking only attained by about 500 women during the company’s 44-year history.

[snip]

The company, though, isn’t without its critics, many of whom focus on Mary Kay’s pyramid-like marketing structure but acknowledge the company’s operations aren’t violating any laws.

Under such multilevel marketing arrangements, independent sales associates can earn a commission on merchandise they sell. More importantly, they get a piece of the sales from new distributors they recruit, and on down the line.

Tracy Coenen, a forensic accountant who runs the Web site www.pinktruth.com, believes Mary Kay is just such a “product-based pyramid scheme.” She said it relies on an endless recruitment of new people who purchase inventory so those at the top of the marketing organization can collect large commission checks.

Camargo said she doesn’t listen to such criticism.

“I’m happy with the business I’ve built and the career I have,” she said. “And I’m grateful for the opportunity I have to help other women because I know what this (Mary Kay) can do for people. It can change lives.”

[snip]

What an exciting piece of journalism! I can only hope there are more articles like this in the future. It would be great for more media outlets to recognize there is another side to the story of “success” that MLMs have been promoting for years!