We can be sure that almost everyone has heard of the name or known someone that has used some of their products. Avon has been around for over 100 years and it is still going strong.
What is Avon MLM? It is a company that has focused on developing and marketing its beauty products for generations. The company does use multi-level marketing to pay and recruit its representatives.
The company has come a long way since the first Avon lady, Persis Foster Eames Albee joined the company.
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A Brief History Of Avon
David H McConnell was not a successful door to door book salesman in New York when he decided to continue selling. In 1892, he made the simple change from selling books to selling perfume and with that change Avon was born.
Although he and his partner did not use the name Avon, it was called the California Perfume Company originally, the name Avon became the company’s official name in 1932.
After two years of hard work, the company was able to define its policies in 1894 and growth ensued after that. Over the past 100+ years, it has become a very large global corporation that employs about 50,000 people and has over 5 million representatives marketing their product.
Like other MLM companies, Avon has found better success outside of America than inside its home country. In 2013, about 88% of its revenue came from its international markets.
Signing Up With Avon
Like most MLM companies, it is not hard to sign up with Avon. You can do it in two ways: first, you can go to their website and send in your application. You will be contacted by an Avon representative who will help you complete your application. This includes a phone interview by a representative who may become your mentor.
The second way to sign up is through an actual Avon seller. Like all MLM companies, the sellers who recruit you and other new people get bonuses, etc., for adding to Avon’s sales corps.
Also, like a majority of MLM corporations, you have to pay a fee for your starter kit. This fee is relatively cheap, only $30, but it is still upfront money out of your pocket. Once you have signed up, the company offers you training through its Avon U school.
Unlike other MLM companies, Avon offers this training for free. At least we did not find any hidden charges or other fees to pay for the training.
Can You Make Money Selling Avon?
You can make money at almost any business if you try hard enough and are lucky enough to hit the right market or strategy that pays off with good customers. So, yes, it is possible to make money selling Avon.
The company offers higher commissions than other MLM corporations and to start off, any diamond tagged items in their brochure nets you a straight 20% commission. After that there is a staggered commission rate that helps to motivate you to try harder.
The first stage is $0-149.00 which nets you 20% commission. Oh, all home and fashion products give you a straight 20% with no increase with higher sales. The second stage is $150.00 to $299 and with that amount of sales, you get a raise to 30% commission.
The third stage is $300 to $499 and your commission goes up only 5%. Another 5% is added in the final stage when you sell $500 or more at one time. If you are lucky enough to be a member of Avon’s President’s Recognition Program, then you can earn between 40 and 50% commissions.
It is possible to make money selling Avon. Just be careful of shipping costs that you have to pay. Those will eat into your profits very quickly. Shipping can cost you between $8 and $17 per order.
Now you can make money through your personal sales and you can make money through the standard complex MLM way of recruiting new representatives who recruit new representatives and on it goes. Money flows up at Avon like any other MLM company.
The Drawbacks To Making Money At Avon
One that has already been mentioned is that you have to pay your own shipping and handling charges. Whether you can pass this cost onto your customers is not known at this time.
Also, another drawback is that Avon does not really disclose the specifics concerning their team structure. How you rise in the ranks is a top secret known only to a few. While you are told it is possible to earn a 6 figure income, the population that fills that rank is about 1% of all the representatives.
There is a ranking system and to get higher pay you must move up in the ranks. Yet, with each promotion comes new requirements that make advancement difficult. Your promotion will depend on the amount of sales you make and how successful your team is.
Next, a major drawback to your Avon success is the amount of competition you face. Not only is there a large number of representatives to compete with, you may be competing against your own recruits.
This situation can make sales very difficult to achieve and your income will never come close to that 6 figure dream salary you are told about by Avon reps. Also, you will need to pay for more brochures, order forms and other face to face sales supplies you need to use.
If you try selling online, then these costs are reduced significantly. Even though you get a great commission split, the problem comes in when the price of the items you are selling are not that expensive. To make any money at all, you have to sell large quantities of those cheaper priced items.
The Pros And Cons Of Selling Avon Products
Like any company there are always going to be pros and cons to working for that company. Avon is no different. Here are some pros and cons that come with working for them:
- Set your own hours
- High commission rates
- Possibility of earning large amounts of money
- A wide range of products to sell
- Low start up costs
- Meet new people and make new friends
- Get some financial freedom
- May get help from charitable wing
- It is an MLM company
- Commissions may not be that high
- Complex financial reward system
- Need to recruit others to make more money
- Buy your supplies
- Pay for shipping costs
- Lots of competition
- Some bad business practices
The Products At Avon
By now you should be asking what is Avon cosmetics? You may have heard about them and to make a long explanation short, Avon cosmetics are the core products of Avon. The company started by selling perfumes and it stays in business selling perfumes.
But they have also added a lot of other beauty products to their lien up. You can get make up, skin care items, shampoos, conditioners, body products and a lot more. Avon cosmetics make up a large amount of Avon’s product inventory.
Over the years they have added fashion and home products to help them diversify and earn better revenues. Plus, they continually add new products to their already full line up of items your customers can buy.
But like other MLM corporations, you can only sell Avon products. While you can be a representative for many MLM companies and sell their products at the same time, you cannot mix and match. Avon must be sold separately from other companies you represent.
There Is A Good Side To Avon
Even though the company lost a lot of revenue over a 5 year span and it has had its share of difficulties in China, and in spite of the difficulty in making money selling Avon, there is still a good side to the company.
It is a side that is not seen in most MLM corporations. Avon has a very strong charitable wing that many people may not know about. While the charity focuses on women and their struggles, it still has helped people over the years.
From its first $400 scholarship in 1955 to now, Avon has given millions of dollars to needy women’s causes. In fact, over the years and in at least 50 countries of the world, Avon has donated about $910 million to different women’s issues including breast cancer.
The company also helps host or participates in many events designed to raise money for similar causes. Since 2003, those events have raised almost $500 million. On top of this, Avon has been a leader in stopping animal cruelty.
It promised back in 1989 to stop testing their products on different animals. They have sought alternative testing throughout their global companies since that time.
All Is Not Good At Avon
As much as it is easy to like Avon, there have been problems that have plagued the company for years resulting in loss of jobs, employees and revenue. Its China wing was accused of bribery in 2008 and in 2014, they paid out $135 million to settle the charge.
But that isn’t the only issue Avon has faced in recent years. Due to faulty business practices, Avon had to close its French company in 2013. In 2018 their companies in Australia and New Zealand also closed for similar reasons.
These closures and the criminal charges has had its effect on Avon’s bottom line as well as put many Avon representatives out of business.
There Is A Better Alternative
While Avon sounds like a very good company and it has its good points, it is still an MLM corporation that is seeking to earn its revenues off the back of the misguided sales representatives it recruits and signs up.
That can be a difficult situation to be in because you never know when you will be paid, if you will be paid or if you met the requirements to be promoted. That makes for a very stressful work environment.
High pressure sales may be what is needed if you are going to make any money at all. Or you may need to hire your competitors just to make ends meet. Those new competitors would be your new recruits.
But there is a better alternative than trying to sell Avon products. You can enter the fast-growing field of affiliate marketing. In this field you have a growing audience as millions of more potential customers get connect to the Internet every year.
Unlike Avon, where you have to go door to door or personally to your customers, affiliate marketing has your customers coming to you. Of course, that is done through a number of unique strategies, but those strategies rarely cost you a lot of money.
The good news about affiliate marketing is that you do not have to pay for a starter’s kit. Nor do you have to pay for brochures, order forms and other needed supplies. You do not even need to carry an inventory, that is handled by the vendors you represent.
Affiliate is paid per commission but there are no hidden costs, no kicking the money upstairs and no recruiting new sellers to make additional money. It is a lot easier to make money at affiliate marketing than through Avon and other MLM companies.
How Do You Become An Affiliate Marketer?
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The good thing about being an affiliate is that you can make money while you sleep. That fact makes it very important for you to give affiliate marketing a try.
Nothing is gained unless you take the leap and this leap is a lot safer than making one for an MLM company like Avon. There is also nothing wrong with asking some questions.
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