Avon Products Sales Drop, Jobs Cut

Why Selling Avon Isn't How to Make Money from Home in this Economy

Ali Canary
According to an Associated Press wire report, Avon Products, Inc. announced that it will cut about 1,200 positions by 2013 in a restructuring bid to deal with a poor economy that has lessened demand for its products.

And yet, Avon is advertising like never before on television, pushing for sales representatives, selling the dream that women can become financially independent, setting their own hours and growing their own businesses. How does Avon propose to these vulnerable women, hit hard by the recession, perhaps reeling from the loss of a job and maybe facing foreclosure of their homes, that they can grow a business selling products for which demand has lessened? Should they really be advertising for more representatives, knowing the demand is lower?

Well, why not? It doesn't hurt the company to have as many representatives as there are people on Earth, to be quite frank. Avon representatives are not actually employees of Avon (those jobs that are going to be slashed are the real employees: warehouse workers, office workers, managers); they are considered independent contractors. They receive no benefits, no guarantee of income, and they basically have to pay to sell the products. The Avon Products brochure, the well-known mini-catalog that drives most representative-to-customer sales, must be purchased at the representative's own cost; so must the demonstration products and all samples.

Avon holds forth that an Avon representative should become successful through both sales and recruiting, and yet Avon competes with its own reps by selling and recruiting directly, via its website and its toll-free telephone number. Furthermore, as I revealed in my prior article, "What They Don't Tell You About Selling Avon", the products are really not marketed to the consumer as much as to the representatives, who seem to be the real customers, as far as Avon is concerned.

I sold Avon for many years and was quite successful at it, and while I believe the quality of the products is high and the prices are reasonable, I am appalled at how unrealistic the dream is that Avon is selling. Of course there are some success stories, but so many more former Avon representatives have retired in debt and disillusioned, believing that they were somehow lacking, rather than the system that provided few ways to succeed. People trust Avon, a company that has been around for over a hundred years and has, indeed, provided many opportunities for women throughout their history, but these days, it's just business as usual.

Sources: Associated Press wire report as presented in the News and Record (Greensboro, NC), July 23, 2009, Personal experience and observation

Published by Ali Canary

Trying to inform, but not trying to be too formal.  View profile

24 Comments

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  • Lacy Rose6/20/2011

    Visit YourAvon.com/LacyRose This is my personal Avon Website, I'm sure you'll find the perfect gift for yourself or that special someone. We also have work out gear/clothing and a brand new baby line called Tiny Tillia.

  • Theresa Wiza1/4/2011

    I've worked for Avon twice. While I love the product (all except for the perfumes – I'm allergic to them), Avon cost me more in fees than I made.

  • Avon10/25/2010

    I recently just started selling avon and I am doing well. I learned my lesson with Mary Kay. My consultant persuaded me into purchasing so many products that I am still trying to get rid of, but this time around I learned that its not worth it. I watch my spending and improvise a lot. I also speak to others that are in business for themselves to get I would suggest this article to new comers so that they know that in everything in life their are some downfalls, but not to be discouraged.

  • Krista Hudson5/3/2010

    I also used to sell Avon. I wasn't very successful at it, but if I sold it now, I would probably be better. I don't need to sell Avon, though, because I've started my my own handmade cosmetics line. I'm working on being the new LUSH!

  • Jason Eby12/12/2009

    I have been selling Avon for a few months now and it helped us pay rent last month. We make a few hundred dollars a month with it. We almost never buy products to sell, spend about $25 a month on books. Nice way to make some extra money in a bad economy. So far I haven't had anyone stiff me on orders. Even if someone does, just a $7 fee to send them back and Avon pays the postage. You can always make people pay half or all up front if you don't trust them. It's not for everyone, but cheap to try or just become a Rep. to buy at a discount! If anyone has question about it, contact me. www.youravon.com/jeby

  • Aurora Aberdeen10/23/2009

    Interesting article, Ali! Good work! :)

  • Me9/18/2009

    It's great to see logic vs. hyperbole. I cannot believe Avon's recruiting efforts during a time when existing reps are struggling to keep their customer base. Let's just flame the fire, through in new reps, blame them for not trying hard enough when they fail. I see Avon is a greedy corporate monolith -- just like many others -- who see an unemployment check and thus see an 'opportunity' to scam struggling families into a loop-de-loop of illogical and debt-driven behaviors. Oh, you can't make a profit selling Avon? The real money's in Leadership? Oh, you recruited your customers and now they are struggling too? Well, you just aren't trying hard enough. Put more money into your business. If these reps knew their chances of making a profit were 1%, would they have ever signed up? mlm-thetruth.com

  • Sheryl Young8/29/2009

    "...the products are really not marketed to the consumer as much as to the representatives..." This is so true, Bat! I sold for an Avon competitor for a while (not Marky Kay, this company I speak of is defunct) and every 6 months all the products would be discontinued, meaning I had to sell what I had at my cost becuz I had to tell people they'd never get it again, and I had to buy a whole new line. And the shipping charges were sheer thievery. I never made a profit.

  • Jill P. Viers8/26/2009

    I haven't purchased an Avon product for long time, though I do think the products are high quality. I hope these jobs work out better for people.

  • Dan Reveal8/25/2009

    I've heard of Avon for a long time. This is a very informative article.

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