Surprising Things You Should Consider Before Becoming an Avon Representative
Why You May End Up with a Bill, Instead of a Profit
I frequently considered becoming a Representative (if only to get a discount), but never really got around to signing up. It wasn't until I moved and my employment situation changed that I begun to seriously look into the option. I wanted to have at least a little extra money, since I was unable to go to a regular daily job. I knew I probably wouldn't become a top-selling millionaire with Avon, but I figured at least I'd have an extra hundred a month.
I set up a meeting with another local Representative (which wasn't an easy task, as many people didn't bother responding to potential competition), received my beginner's kit, and paid my $10 fee. I immediately dived into branding the current booklets with my contact information and immersed myself in information on how the Avon system works. If you are unfamiliar with the process:
1. Avon Lady distributes her booklets.
2. Avon Lady collects orders from her customers and places a giant order at discounted prices with Avon.
3. Avon Lady receives her orders, sorts them, and bags them up.
4. Avon Lady personally delivers the orders to the individual customers and gathers their payments.
5. Avon Lady pays Avon back for her giant order and keeps the profit from her customers' payments.
Sounds like a good arrangement, right?
Once the first couple of Campaign deadlines rolled around, I realized that since I didn't already have a large female network in place, getting customers was going to be difficult. Let's examine the many different methods I have tried:
*Printing up flyers and posting them on as many bulletin boards and community areas as possible.
This method gained me no more than one customer (who turned out to be a nightmare), but cost me at least $50 in ink and paper (not to mention the cost of gas driving around to all those places).
*Distributing booklets to as many businesses and public spots as possible.
This method got me one steady customer. However, in addition to the gas of driving around all over the map, you have to put up with a constant supply of business owners who are hostile at your inquiry to leave a booklet in their place. Don't be surprised if your literature is just plain ignored or thrown away. Be ready to occasionally be shooed away as a solicitor (many places have ready-made signs posted to let you know you aren't allowed to leave your advertisement on the property or inquire if people are interested). Also be prepared to be eyed suspiciously (even if you are a small, unassuming woman) if you walk into or around a building (such as an employee smoking area) to leave a booklet.
*Informing close friends, family, and acquaintances (such as your child's school teacher) of your new business.
While it's okay to let them know of your activities, I have not once had any of the above-mentioned people place an order with me. From other people's experiences, either your family/friends will ignore your request (possibly out of fear of being hounded to attend make-up 'parties'-which most Avon Ladies do not have) or they will order and insist on being given a discount (which as you will find out, is not practical). In any case, this method is sure to be non-productive. What's worse, many people have a negative view of Avon (either they find it annoying or they consider the products outdated-which they are not). You run the risk of putting a rift in a close relationship or being looked at with pity when you announce your new endeavor.
*Selling the products in a marketplace such as Ebay or in a flea market, or creating your own website (instead of paying to have a site set up through Avon).
With this method, you run the severe risk of having your account suspended, as it is illegal (per the contract) to have a website not run by Avon or to re-sell products in Ebay (or similar formats) if you have an active account. While I feel this is too restrictive as Representatives have paid their own money for these products and should be able to have freedom to do what they want with them (though I can see why restrictions need to be in place)-this is not recommended.
*Advertising online.
This is something that should be done carefully. Sending mass e-mails out to strangers could get you reported as a spammer, and as such, your internet account cancelled. However, joining free groups (such as those in Yahoo Groups) that specialize in local selling and trading, are a good (and legal) way of getting the word out. You may run into moderators who refuse to allow business postings, but as long as you are not annoying with your posting, you should be just fine. This has gotten me a customer or two. Unfortunately, some of those customers live outside of my neighborhood, which means a lot of time and effort driving around to deliver orders.
*Placing your catalogs in your workplace.
Provided your boss will allow this and you work in a large enough establishment with a lot of women (such as a bank), leaving booklets in the break-room/common area is probably the best way to get customers and their orders. However, many of us don't work in this type of environment.
*Tossing or hanging booklets.
While you may run into problems if your neighborhood requires permits for hanging ads on people's doors, this activity can be relatively effective. In my experience, I get one call/e-mail about every 100 booklets I hang. If you choose to hang during the day, it is very likely people will be watching you as if you are a terrorist delivering bombs door-to-door. You may even get a few complaining, irate homeowners attempting to confront you. However, it is probably the safest route. If you choose to hang late at night or very early in the morning, it can not only be inconvenient, but dangerous. While you may not have as many people out and about questioning your activities, you run the risk of being attacked by a criminal or loose dog. In any case, night or day, you face pouring rain, stifling heat, freezing cold, piles of snow, and dog poop (much as your local mail carrier)! Note: Placing booklets/ads in people's mailboxes is not recommended, as it is a federal offense.
After all this work of getting the word out and trying to attract new customers, that profit from the orders you receive (if you are lucky) will be a welcome sight! Don't get excited yet. Most newer Representatives (especially those with very little customers) will receive only a 20% discount on their items; Which means if you place $100 worth of orders, you get to keep $20 of it (this is not including tax or customer fees). Other than the money and time you've already spent on advertising, let's break down your basic business fees from Avon:
*Avon brochures (Yes, you have to pay for them!): The price varies and you have a choice of which brochures you order (regular, outlet, Mark, specialty), but for the most part, if you order enough basic brochures for about 20 potential customers, you will be paying about $20.00.
*Plastic door-hanger bags and basic order delivery bags: For about a month's worth, you will pay about $10.00.
*Any samples (Yes, you have to pay for them), additional business tools, and any promotional items you want to offer (in an attempt to attract new customers): Prices vary, though you are not required to buy any, it may help you keep customers.
*The tax Avon charges you per order.
*The fee per customer Avon charges you ($.37 per customer, which you are in turn supposed to charge the customer $.75). No kidding-they charge you to have customers!
*The 'Order Processing Fee' Avon charges you, which is about $2.50 per Campaign.
*If you happen to be a few hours late placing your order, you will be charged a $7.00 fee.
*If one of your customers decides to return an item for any reason (as Avon advertises), you will be charged a return fee of around $5.00.
It does not take an accountant to see that by the time you get payment from your orders, not only will you not break even; you will be in debt to Avon. The only way you will make any money being a regular representative is to have several hundred dollars of orders per campaign (so you will be given a mainly 50% discount at that point), give little or no discounts, order absolutely nothing for yourself, be very strict with your customers (refusing late orders and returns), and order the very basic brochures to give to your existing customers. This proves to be impossible for most Representatives.
Other than money woes, let me list some other headaches you will most likely face:
*Rude, aggressive, and complaining customers who don't understand why they can't be given a 45% discount (like their last Representative gave them) and why they can't receive their order within a few days.
*Customers who consistently want to return half the merchandise they ordered just because they "changed their mind", or customers who place a large order and then decide they can not pay for it or cannot be contacted (after you've already ordered the items).
*Hostile Representatives in your area who will do anything to get rid of your business, so they can "claim" the neighborhood as their own.
*Other Representatives who inconsiderately steal other area Rep.'s customers and drive all others out of business.
*Irate business-owners, homeowners, and online moderators who feel that the slightest mention of your Avon business constitutes you as an annoying spammer.
*People who want you to travel fifteen or more miles out of your way to deliver them a $5 order.
*People who request your booklet-then once you go out of your way to pay for and deliver it, you never hear from them again.
*Paying for and delivering 100 booklets (essentially like going door-to-door and placing .50 cents on each doorstep) and not getting a single call.
*Avon's sometimes sub-par products. Although most products are a good deal-occasionally you will be sent something that is of poor quality and over-priced (which can be embarrassing for you as a Rep.).
*Avon's relatively bad packaging and service. Frequently Representatives will receive boxes of booklets and products just thrown in willy-nilly together (probably due to computerized packaging). Many times products will be broken or ruined. Sometimes representatives receive a large box with only a single item (a severe waste) or a box over-filled with too many items. Almost every order you be missing something (either major or minor) or you are told something you ordered is no longer available or on backorder. This can be nerve-wrecking when you have a customer who is impatiently waiting on a completed order.
Other than the products, many of Avon's policies are confusing for a new Rep. and can result in order mix-ups. At other times, you may find that payment information is not processed correctly or quickly enough, resulting in orders placed on hold. Avon's Representative pricing can sometimes be misleading, and you may order something and end up paying much more than you had planned. As well, most new Reps find that their District Leaders are unhelpful or unavailable.
If you find yourself in any of the quandaries above you will have to contact Avon (almost every order I've placed over the last several months I have had to contact Avon about one thing or another). This can be by e-mail or phone. Contact by phone can be more frustrating, as you may have to navigate menus and be transferred to several unproductive departments. You may receive an 'out of country' service agent who is difficult to understand. Either way, you may even have to contact Avon more than once about problems that were supposed to be taken care of, but were still not handled correctly. While most people you talk to at customer service seem genuinely friendly, it can still be a major (unpaid for) pain!
*You may find that because of the excessive fees and the fact that you owe more than you made (and not because you placed a personal order), you have trouble paying your Avon balance; this results in stress and order holds.
Imagine that you are an employee at Wal-Mart; but instead of being paid a steady (albeit low) salary, you are paid nothing or literally next to nothing, even though you've worked your rear off getting customers for the company, selling, and promoting. Or even worse, you have to pretty much pay them for you to be employed at their company. You are expected to advertise and get customers for them out of your own pocket, and the company (still in comparison to a Wal-Mart store) charges you for use of their business supplies and products or expects you to outright buy them before re-selling them to the store's customers. Yet, the company can dictate how you can and can't sell. This is what selling Avon is like for most Representatives. It seems hardly worth it (unless you just really like the products and don't mind the waste of money).
If Avon is truly all about "empowering women", as they state (and not just solely about making as much money as they can make for the executives and corporation); they need to make a few changes:
1. Avon needs to supply each active Representative with about 20 free basic brochures and basic business supplies for each Campaign. If more are needed or wanted, the Representative can pay for the extras (at a normal-not bumped-up-price).
2. Fees such as the 'late fee', 'processing fee' and 'customer fee' need to be abolished or greatly reduced.
3. All representatives should receive at least 40% off on the unlicensed products, not just the people who have sales in the hundreds/thousands. If Avon needs to have a higher-sale motivation, they can still give the high-sellers 50% off.
4. The Return Guarantee and credit-card acceptance should be up to the individual Representative and not advertised on the brochures (especially if fees are to be charged for returns or credit card imprinters are required to be purchased).
4. Avon-sponsored websites should be either offered to each Representative as a free service or offered for much less than the current $15 per month (plus set-up fee). A monthly fee of $5 or less is much more acceptable.
5. Product quality needs to be monitored more closely and efforts should be made to reduce the amount of broken items, missing items, and service problems.
6. More needs to be done to enhance the ethics of individual Representatives so competition is kept at a less-stressful level.
7. The general Avon website needs to be dismantled or a program put in place that automatically credits random Reps. in each customer's district. Local Avon Reps are losing sales to people who order off of Avon's general webstore, but are too lazy to seek out the name/phone number of their local Representative to enter into the order form giving that Rep. credit for the sale. This is a blatant attempt at the company to only make money for themselves. Without Local Reps who personally promote and deliver, Avon would be out of business and could not compete with other national stores. Local Reps are the only thing that makes Avon special. Many friends, neighbors, and family who are Avon customers would never buy from Avon if they didn't know someone personally who sold the products.
Until Avon decides to make the changes I mentioned above, the only people who should consider selling Avon are:
-Those who have some extra money to play around with and can spend a lot on promotion and getting customers (i.e.-giving mega discounts).
-Those who love Avon's products and just want to be a Representative to get a discount on the products they will have bought from someone else anyway.
-Those who already work in a building that employs a lot of females (such as a bank, hospital, or school), or those who already have a large network of receptive female acquaintances.
-Those who go into Avon with the intent to become a manager and have a large "downline" of regular Representatives underneath them (from whom they will make a commission).
-Those who want to work at an Avon packaging facility or as a secretary for the company (for which you will actually get a real paycheck).
As it currently exists, Avon is definitely not for people who are low-income and are struggling to put food on the table every night. It is also not recommended for the lower middle-class, stay-at-home mother who has very little access to the "outside world". Though there are rare exceptions, most of the people in these categories will not make any profit and may even end up owing more than they can pay (and possibly causing embarrassment and problems with an unsupportive spouse).
In conclusion, keep your hopes and dreams-but don't waste your time and money on something that will sink your boat before it even leaves the dock! While Avon offers some great products at great prices for the most part and can be a good business opportunity (better than a lot of other companies out there) for the right people, most should not pursue selling it. Avon has the possibility of being great, if the company would truly focus on "empowering women".
Published by Charyl Miller Pingleton
Visit www.myspace.com/Charyl78, Published Books: "The Revelation of John: A Spiritual Novel" and "Angel Unaware" View profile
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- The fees are what kill most Representatives' dreams.
- Avon needs to truly focus on "empowering women".
- It will not work for those who start out with a low-income and no ready-made female network.
78 Comments
Post a CommentThank you for this informative article, I have learned a lot of useful information by reading it. I have pondered selling Avon because I have recently lost my representative, who lived up the street from my house. Having read this article, I have decided against selling Avon. I was contacted earlier this year by a very overbearing and obnoxious Avon Area Representative. This experience was a complete turn-off for me. I could not consider working her. I will never make a great profit at my advanced age, but I do not want any tactics of scams to do me out of making money, nor do I want to owe Avon bills for low-volume sales. I'll just get my cosmetic needs at my local CVS, Walgreen, Target, or Walmart, probably for a much lesser price. I do not like Avon's fragrances. I used to like WISHING cream sachet, back in the 60s, which they discontinued because it was a very popular fragrance, they replaced it with an awful fragrance. Happy selling to the rest of you, but this is not for
When I read this article I thought "Figures.. just as I expected." But that there were ways to deal with all those issues and pull through successfully....
And then I read the comments... from nasty women who need major attitude adjustments.
They are just attacking somebody who is ruining possible business by exposing the truth.
And because of THEM and NOT the article.. I will NO LONGER buy from Avon.
This is in response to AVON LADY, Rachel Wentz, AlishainDallas,Texas, Las Vegas, Marie Dieudonne and Anonymous.
Avon was such a good idea... too bad they decided to get greedy and employ wenches like the fore mentioned.
Somebody needs to reinvent the home-shopping-cosmetic line.. with a company and reps that actually give a damn.
I just want to say that I am a single father of two, and Avon is my business...I have fun meeting new people, and enjoy every day selling great products. It seems to me that you were "over" advertising, not following up with potential new customers (I never just leave a book on a door when I go door-to-door), I try to use old books when leaving books in laundry mats, offices, etc. Being your own boss with any Direct Selling Company is not for everyone. It is unfortunate that you have had such problems.
I treat my customers like people. I do not look at the all mighty dollar. I look at MY business as a way to help people save money and help my downline make money. I look pout for the "little guy" and treat my Customers like family not like banks.
AVON is an AMAZING company but you have to "work it" to make it work for you.
I have also NEVER had a problem with "competing" with other Rep's. We all work as a team and that's how it should be. We help one another. I know that there are MANY Rep's in my area but if they aren't "working it" and I am, I will get the business and they won't. I don't go out and look to ruin them. I run my business the way I feel that I should and if the customer's come to me, so be it. I have NEVER asked someone to leave their Rep to be my customer and never will, even jokingly. We need to respect each other as business owners and do the best that we can.
Another tip to saving all that gas money, web fee's and money being spent on brochures: 1. Get paid in advance from your customers. 2. Get on your website, as a customer. NOT your e-Rep site. 3. Place your orders as if you were a customer and have them sent Direct Delivery to your customers address's. SAVE gas money= you won't have to deliver orders. SAVE web fee's= You'll have that fee waived because you have an online customer order. SAVE money on brochures= you won't have to buy them and deliver them because every Direct Delivery order get's a brochure with the order. SAVE TIME= you won't have to spend all that time separating orders and putting your info on books or delivering orders or books.
Again I am a stay at home mom that hardly ever get's out and I'm making money with Avon. You DO get a discount on your personal orders. You do NOT have to buy samples or brochures. I only buy brochures for my current customers. If I can't get them to those people before a few days before my next order, I randomly put them on doors or car windows in the plastic "What's New" bags or even hang them on mailbox hooks (it's not legal to put them IN mailboxes).
Even if I hadn't made money selling, I;m saving money on my own purchases and I've been to New York for FREE and saw Reese Witherspoon, Patrick Dempsey, Melissa Etheridge and met Andrea Jung (our CEO), as well as MANY of the Avon big-wigs and won an award from Avon. I have also been to New York for only $55 and got to see Fergie from the Black Eyed Peas. Worth it to me? Yes!
You can also not have the $7.50 web fee at all if you stop being an e-Rep. You do NOT have to have the website if it's not working for you.
The $2.50 fee is offset by the 75 cent fee that you should be charging your customers. Avon will reimburse you .375 cents for every customer that ordered from you. Avon charges you $2.50, You have 3 customers in a given campaign that pay you 75 cents each, that equals $2.50. You pay Avon $2.50 and Avon pays you .375 cents back for each of those 3 customers equaling $1.125 back to you. You are actually gaining a profit of $1.125 in this scenario.
I send out postcards to every address in the phone book from my zip code and I get at least 1 new customer out of every 10 that I send out. I get free postcards through VistaPrint and only pay shipping and for the postage to mail them.
You cannot get money from Avon for gas. You can keep track of your mileage and use that as a tax write-off. ALL of your expenses for Avon are tax deductible. Everything that is NOT purchased for personal use.
Also to avoid the $7.50 web fee, just log in to your website once every campaign and order something as a customer instead of ordering through your e-Rep site. They'll waive the $7.50 fee.
I have been a Rep since Sept 2009 and I LOVE it! I'm a stay at home mom of 3 and rarely get out of the house and I recently made Presidents Club and have been in Leadership off and on a few times. I'm online daily looking for new advertising ideas. I treat my "customers" like I would want to be treated. They have become my friends and partners. Yes, word of mouth works.
I always tell my downline to give it atleast 6 months before giving up. And I mean REALLY give it 6 months and REALLY work at it. You can't just sign up and expect money to come rolling in. Start with friends and family. If they aren't interested, ask them if they know anyone who might like a brochure or that would like to sign up to be a Rep.
As for all of you that commented saying that you can't get anyone to sign you up as a Rep, Contact me- I WILL get you signed up. www.yourAVON.com/RachelWentz or RachelWentz2009@yahoo.com.
I have sold AVON for a VERY long time. the people that seem to complain the most or not thrive, are those that are looking for some quick cash, a free ride, or just really lack a sense of reality. It's a business. NOTHING there you claimed or stated is different in ANY other business. There are always fees (marketing, supplies, utilities, land, property, taxes, insurance) - why would it be any different setting up an AVON business. It is exactly what it is. A Business - not a free ride. Be happy, because this Business can be set up, developed and thrive thousands of dollars cheaper than any other...and no thousands of dollars required in inventory. If you truly want it to be successful and profitable it can be - but like everything else in life - you gotta get up off your a** and put forth some effort.