Nsd Commissions Are Embarrassing

We’ve got more data that demonstrates the downward spiral of Mary Kay Cosmetics. The title of “national sales director” is the highest position in the pyramid. It used to represent high income and lavish prizes and perks. Hundreds of nsds were receiving big commission checks, going on fancy trips each year, and driving a Mary Kay pink Cadillac for life.

Now? Most make less than $10,000 per month (before business expenses are paid!) and they’re having pink Cadillacs towed away.

For October, we saw that 44 out of 122 nsds made $10k or more. The other 64% of nsds made less. Remember when Mary Kay used to publish all commission checks for nsds? We criticized the numbers so regularly at Pink Truth, that the company changed things and started publishing only the commission checks of $10k or more. Soon, I expect they’ll start publishing only the “top ten” in each of the three seminar divisions. They can’t have us knowing how many nsds are making so little money.

What did November’s numbers look like?

Check it out! Again, 44 nsds had commission checks of $10k or more, leaving 78 nsds making less than that. This time the highest check was just over $40k, as compared to $45k in October.

You have to give it to Mary Kay Inc. for trying to motivate the nsds to do more with their areas, though. They offered double credit to nsds for November.

Too bad the promotion didn’t seem to increase any production for these areas.

A bunch of national sales directors are retiring early and locking in their annuity payments before the whole scheme falls apart. Can you blame them?

21 COMMENTS

    • I don’t have the data. MK hides it so only current consultants can get it if they find the spot in MK Intouch to see it. I depend on people to send it to me.

  1. Someone asked for a list of the upcoming retirements on Facebook and here’s the names so far

    Nancy Osborn
    Dacia Weigandt
    Lisa Madson
    Sue Pankow
    Caterina Harris Earl
    Roxanne McInroe
    Kim McClue
    Sabrina Goodwin Monday
    Alia Head
    Kelly McCarrol
    Maggie Nevarez
    Janis Trude

    16
  2. I really wish IBCs would take the time to read those numbers regularly and think things through. These numbers are a true indicator that most people are not making money in their “businesses”. The more money the units make, the more commissions NSDs make…yet these numbers are pitiful for the majority. Every time I think about the financial manipulation and how it doesn’t make sense, I get angry.

    I can’t remember the exact number of people needed in units and areas to maintain status so feel free to correct me but in looking at previous qualifications info, each area on paper is supposed to have an NSD with 24 personal members, 20 offspring sales director units (assume half are first line from their personal team) who each have 24 unit members, right? That’s 300 people.

    The culmination of efforts from all of those people resulting in a commission check under $10,000 for most is wild. Even the efforts of half of that number would still be ridiculous!! Bad any way you spin it.

    People clearly aren’t selling or ordering much either. IBCs, please GO far far away from all this! It’s not looking good for anyone who hasn’t already secured a retirement plan.

    Ugh, I wish the FTC would step in more.

    13
    • What I would give to have the data to create a real-time MK hierarchy, in tree-node form (click-to-zoom on nodes etc.), with every single sales participant represented, along with two numbers next to each name representing the following values:
      Value 1: (Total in cumulative bonuses and commissions paid my MKC to this individual) Minus (Total cumulative money sent to MKC from this individual)
      Value 2: (Total in aggregate bonuses and commissions paid my MKC to this individual’s downline) Minus (Total aggregate money sent to MKC from this individual’s downline)

      For this to be meaningful, all the numbers would have to be “lifetime”, not just “last month”, and must include current and former participants in order to show the true downline carnage.

      Well over 99% would have a negative number for Value1. Value 2 must be negative for every single individual, as this is how pay-to-play endless-chain recruiting schemes work, and incidentally, how MKC makes its money. Only the size of Value 2 would be different from individual to individual.

      This view would also expose the sheer magnitude of the aggregate losses in each NSD’s (or other xSD’s) downline. Interestingly, MKC has the data to create exactly this view of things. There is no way in hell they would ever share it with me or anyone outside of corporate!

      15
  3. I just did some simple math (annual salary divided by 12) and determined that I would be included in those lists just by my salary alone and not including annual bonuses, stock awards, 401k earnings, and benefits. Additionally I’m not required to travel to pointless meetings such as last week’s Million Dollar Reunion, assist my downline at parties, etc or keep track of my expenses and things like that. I’ll even get a pension.

    16
    • I doubt that changed much about commissions. They merged the areas because there weren’t enough people coming to each event (especially Seminar where it’s divided out) to justify the cost of putting on the event. They didn’t eliminate any nsds, just merged them into different groups.

  4. Some of the NSD’s on this list are at the “mandatory retirement” age. I think some of the younger ones see the writing on the wall and want to secure their retirement benefits before MK corporate makes any more changes.

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