You know I love to get my hands on these things: the real, live numbers that prove how few people are actually making money in Mary Kay. Now let me set this up for you to prove that almost no one is making that “executive pay” in Mary Kay.
A sales director driving a Cadillac is supposed to do $102,000 wholesale production over two quarters (previously it was $96,000 over two quarters). That works out to $17,000 wholesale per month, which equals a commission check of about $3,900 monthly (using the unit commission rate of 23%). That equals $46,800 per year gross commission if the director is just meeting the Cadillac minimums. (And then you have all the business expenses that must be paid out of that!)
A Cadillac director is supposed to be making the big executive income, but most of them aren’t even making mid-level manager money. Imagine bragging about the huge money you’re making, but in reality you’re making less than $50k per year.
In 2017, the production requirements went from $16,000 per month to keep the Cadillac, to $17,000 per month to keep it. But the cash compensation that you can take in lieu of using the Cadillac stayed the same at $900 per month. (Remember, you don’t GET a Cadillac and you don’t WIN a Cadillac. You get to USE a Cadillac for a period of time IF your unit keeps making production.)
And there are plenty of Pink Cadillac drivers who don’t make the minimum production, so their commissions are even lower AND they have to pay extra money to the company to keep the car.
Why do I do these figures? So that you can understand that all the directors below Cadillac (which is the vast majority) are making less than that per year.
In 2021, Mary Kay reported 1,000 pink Cadillacs on the road. That’s down from the 1,308 they reported in 2016. A drop like that makes me happy because it means fewer women are being swindled into signing up as consultants and buying inventory packages.
See how few in Mary Kay are actually making any money?