Karla News

Surprising Things You Should Consider Before Becoming an Avon Representative

Selling Avon

I am addicted to Avon. Way back when I was just a regular customer, it was like Christmas every couple of weeks when my Representative left a new booklet on my doorknob. I would revel in the never-ending sales and the chance to consistently try out new products and gadgets of all kinds. When my order arrived, I was just as excited to receive the items as I was the next Campaign’s brochure. I may have spent a lot of money over the years on Avon, but I always felt good about helping out a local businesswoman, rather than buying everything I needed from Wal-Mart.

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”.