Have you ever thought about selling Avon beauty products, but wondering how do you make money with Avon? Or wondering how much do you earn selling Avon and how to sell Avon? Can I be selling Avon online only, or does it have to be face-to-face? Can I join Avon online free? What does the compensation plan of Avon look like and what are the Avon career opportunities?
I was recently approached by a distant relation to join Avon online free. So I did my own research into the compensation plan of Avon to see if it would be worth selling Avon online only. I also wanted to look at how easy it was to shop Avon products online. These are the aspects that I will cover
- Overview of Avon
- What is the Avon Business model?
- Avon Product Lines
- How do you make money with Avon?
- How much does it cost to join Avon?
- Avon career opportunities
- Compensation plan of Avon
- Pathway to Premier Program
- Additional costs and expenses
- How much do you earn selling Avon?
- Do I get training with Avon?
- What I like about Avon
- What I don’t like about Avon
- Is Avon a good way to make money?
- Final thoughts and my #1 Recommendation – click here if you want to see it now.
What I did find, is that if you are looking to make a stable income, then Avon is probably not a smart choice.
Overview of Avon
Avon is a direct selling company dealing with personal care products, beauty and household products. It was founded by David H. McConell in 1886. The core priority of the company at the time, was to empower women, and the mission today is still that.
Avon is a personal care Multi Level Marketing (MLM) company that specializes in beauty and make-up products. It is a legitimate company and is one of the oldest MLM companies. Together with Amway, Mary King, Herbalife and Vorwerk, they are one of the biggest 5 MLM companies.
They very much appeal to women, although men can also sell Avon. The Avon Independent Sales Representative earnings opportunity will empower women to support themselves, and their families. So let’s see if that is actually possible.
This review is not about the Avon beauty products, but about the Avon career opportunities. So we will look at the compensation plan of Avon and the business model that Avon uses.
What is the Avon Business Model?
Avon uses the business model of Multi Level Marketing (MLM). Multi level marketing is also known as direct marketing or network marketing. The basic concept is that the company has a direct contract with independent representatives, who then sell and promote their products.
At the same time, the representatives are encouraged to recruit new distributors to join their team, and also sell the company’s products. They are also encouraged to recruit more people and build a team.
You can then earn from the sales of your own personal recruits, as well as from the team. As with all MLM businesses, you are limited to selling the range of products that the company produce and offer. The Avon business model is evolving and there is now a large online presence for shopping Avon online.
If you join Avon, like with all MLM companies, you will be a rep for the company. But you will be without the benefits that employees enjoy. Thus, no salary, no holiday pay, no sick leave, no pension, no health insurance or any other benefits. And you are limited to selling only Avon products.
Evidence has shown that 99.6% of people who join a Multi Level Marketing company will actually lose money. Network Marketers are switching from MLM to Affiliate Marketing and this is the platform they are switching to.
Avon Product Lines
Avon focuses on personal health care and beauty products, ranging from make-up to fashion and even health supplements. Products are grouped into 8 categories:
- Bath and Body
- Men’s Products
Let’s look at how to sell Avon products and if the opportunity to earn money with them, is worthwhile.
When shopping Avon products online, Avon products are also available on Amazon. So do bear that in mind when you are thinking of joining Avon.
How Do You Make Money With Avon?
There are two ways in which you can make money with Avon:
- Selling the products:
- Sales could be face-to-face, or
- Selling Avon online only by promoting your personal Avon website.
- Through the Sales Leadership Program, which means selling products, while also recruiting others to your team. Thus building your own Avon team.
Sales Leaders are representatives that are selling, but also recruiting. Therefore, they earn money based on their personal sales, but also on the sales of their recruits. The higher the sales of a representative, the greater the percentage she will earn.
When you join Avon as a representative, you will be part of a team. Your Leader will give you personalized guidance and support. Leaders mentor their team members on an ongoing basis.
You can become a Leader yourself, and start recruiting others to become a representative. Team building allows you to earn more, as you will get a percentage of what your team members sell. The size of your down line, will reflect in how much do you earn selling Avon.
These could be cash bonuses, special trips with Avon, and even an exclusive diamond necklace.
There are better ways to make money online, so check out my #1 recommendation here. It is free to join, so you can keep your credit card in your wallet.
How Much Does it Cost to Join Avon?
There are three enrollment options:
- No cost: you can join Avon online free, and will get a free online store, but you will get no products or brochures.
- Make a contribution to the American Cancer Society: join for $0 and choose to contribute $5, $10 or $25 to support ACS breast cancer programs. You will get a free online store, but no brochures and products.
- $30 “All the Bestsellers” Starter Kit. You get the products shown in the photo, plus 11 brochures and your free online store. If you want to jump-start your Avon business, you are encouraged to buy a starter kit. This will cost you $30, for products that are valued over $100.
Even if you join Avon for free, you will still earn free gifts, free credit and cash bonuses. And you can be selling Avon online only, you do not need to have face-to-face sales. You can direct customer to shop Avon products online on your personalized website.
You can join online. If you already know somebody selling Avon, you can sign up under them via their online store. Alternatively, if you want Avon to place you under a Leader, you can sign up on the company website.
Avon Career Opportunities
As a new Avon Representative, you will earn 25% commission on beauty products, but only 20% commission on home and fashion. But, and there is a big but, you need minimum orders to qualify. Every fortnight you have to order a minimum of $40.
This is the Standard compensation plan of Avon:
- Avon Contender with annual sales of $0 to $4,999: earn 25% on beauty and 20% on fashion and home (with minimum sales of $40 during 2 weeks).
- Avon Premier with annual sales of $5,000 to $9,999: minimum sales of $5,000 and you qualify for 30% commission on beauty and 20% on fashion and home.
The Avon President’s Club and above: when you reach $10,000 in award sales during a year, you qualify as a member of the President’s Club.
- President’s Club: Minimum sales of $10,000 and you can earn 40% commission.
- Honor Society: minimum sales of $20,000 and you earn 40% commission.
- Rose Circle: minimum sales of $35,000 give you the possibility to earn 45% commission.
- David H. McConnell Club: minimum sales of $65,000 and you can earn E% commission.
- President’s’t Council: minimum sales of $110,000 and you earn 45% commission.
- President’s Inner Circle: minimum sales of $220,000 will qualify you for 50% commission.
But then it becomes very complicated. It is not just the sales volumes, but also the amount of team members and Leaders under you, that count.
Compensation Plan of Avon
As with most MLM’s, the compensation plan is quite complex. This also means that it is difficult to establish how much do you earn selling Avon. You have to submit minimum orders to qualify.
There are basically 4 main levels within the plan: Promoter, Ambassador, Leader and Executive leader. Within each level there are sub levels such as bronze, silver, gold and platinum.
- Earn a once-off $20 recruitment bonus for each qualified new recruit that you personally added to your team. They must submit a paid minimum order of $150 within their first 2 campaigns, so within 4 weeks.
- Earn a 3% bonus on the sales of new recruits when you have a minimum of $50 in personal sales.
- Promotion and mentor bonuses are paid for first time achievement and are paid over 4 campaigns. To receive the mentor bonus, you must maintain your level.
- Generation and leader bonuses are calculated at 70% on the paid team sales of your down line.
So as you can see from the chart, minimum campaign orders are required. The lowest amount is $50 every campaign or fortnight. This goes up to $200 every campaign as soon as you reach Ambassador level.
You also need a minimum amount of personal recruits, as well as Leaders, to qualify for override commissions. The higher up the ladder, the more Leaders you require, and the more Leaders under them .
Traditional and online sales are combined to establish the commission and bonus payouts. You can also earn free products
All potential earnings are before expenses have been deducted.
Pathway to Premier Program
To encourage new representatives to progress quickly, Avon has a new Pathway to Premier incentive. New representatives can earn up to $3,300 in their first 8 campaigns (16 weeks, as each campaign represents a 2-week selling period). You can earn these bonuses:
- Mini Milestone bonus: get a $50 bonus when you hit $500.
- Stepping Stone Bonus: for every $200 in sales during a campaign, you get a $20 bonus. You can earn up to $500 in stepping stone bonuses.
- Avon Milestone Bonus: receive a 10% bonus for every $1,000 in cumulative sales during your first 8 campaigns. You can earn up to $1,500 in milestone bonuses.
Additional Costs and Expenses
Be aware of minimum sales requirements. To keep you account active, either you, or one of your customers, must shop Avon products online on your website. An order must be placed at least once every 6 campaigns. Thus, once in 12 weeks an order must be placed on your account.
You pay shipping fees on every order you place. The amount is based on the value of your order. However, some of this cost will be passed on to the customer when you collect the service charge. Typically, the service charge would be 75c to $1.
Free shipping is available for customers that place an order of $60 or more, when shopping Avon online. Although the customer gets free shipping, Avon charges it to you account. So you pay for the “free shipping” that Avon gives to customers that order directly through your website.
So if the order is for $60, you earn 25% commission, thus $15. But, Avon charges $8 shipping fee, which they deduct from your profit, so you are left with only $7. Thus, in reality, you are earning just over 11% commission, NOT 25%.
So how do you make money with Avon if you are also being charged for “free shipping” to your customers? There are better alternatives, so check out my #1 recommendation here.
At the start of each new campaign, so every fortnight, Avon releases a new brochure. Brochures cost $6.49 for 10 (that’s expensive!), but gets less expensive the more you order. Other optional expenses are samples and business tools like Avon branded products.
Additional expenses to keep in mind are your own telephone bills, petrol costs, travel expenses etc. as Avon does not pay for that.
How Much Do You Earn Selling Avon?
MLM companies do not have to submit income disclosures, so it is very difficult to find out how much you can expect to earn. They only provide the percentages that you can get, but not real figures that Avon Representatives make.
They do say that all new representatives earned an average of $112 over their first 8 campaigns, so that is $112 in 16 weeks. So this is basically 4 months, with an average monthly earning of $38 / month. This is without shipping cost and the initial sign up cost.
Those that participated in the Partway to Premier program, earned an average of $390 over the 8 campaigns. So this would give you $97.50 / month. Once again this is without shipping cost, so let’s add the shipping cost.
Avon charges you $8 shipping for a $60 order, for which you earned $15 (as we saw above). Thus, on earnings of $390, you will be paying $208 shipping costs. That leaves you with earnings of only $182 over 8 campaigns, thus $45.50 / month.
From that, you still need to deduct other expenses and pay tax. If you did not participate in the Pathway to Premium program, you monthly earnings would have been just over $13. This is hardly what I would call an earning opportunity.
So can you make money? Of course you can, but is $13 a month enough to sustain you? I know it won’t even keep me in tea, never mind coffee! So look at your best alternative and join me there.
Avon Diamond Club is for achievers with more than $1 million in team sales, and you get a 0.5 carat diamond. (well, it is lab made by Swarovski, so it is a zirconium!). Team sales consist of personal sales, plus sales from first, second and third generation during the reward period.
Avon does say that these are rare, but real accomplishments. They also say “these results are not typical. Actual earnings can vary significantly depending upon time committed, effort extended, skill level and other factors“.
If you don’t want the uncertainty and anxiety associated with working for a MLM company, then look at what Wealthy Affiliate can offer you.
Do I Get Training With Avon?
Avon offers their representatives training opportunities on how to sell Avon, including online training. They have an online training curriculum called Pathways, that offers e-learning programs.
These are self paced training courses on subjects such as, success is green, building your team, building your sales, managing your business and a specific curriculum for new representatives. Avon also offers training courses to help you with selling Avon online only.
Mentoring is a key component of training, so representatives are offered workshop training and development and seminars. There are also monthly district “business buzz” meetings.
What I like about Avon
- They have been operating for more than 130years, so is trusted and well-established.
- You can join Avon online free or have a low start-up cost if you buy the starter kit.
- Customers can shop Avon products online with the digital catalog.
- You get a team leader to help and mentor you.
- Work in you own time, so flexible working hours, either part-time or full time, you decide.
What I don’t like about Avon
- Requires a huge amount of time and a lot of work to succeed.
- Market is competitive and saturated in many areas.
- Income potential is very low.
- You can only progress up the earnings ladder, if you are recruiting.
- The anxiety and uncertainty of making the levels to get bonuses and commissions.
- Avon has been through many controversies over the years.
Is Avon a Good Way to Make Money?
No, I don’t think Avon is a good way to make money. I worked for a MLM company, Usborne Books, and I know how frustrated reps start feeling when they struggle to recruit another team member. Or they have run out of family members and friends to sell the products to.
When people shop Avon products online, they are also available on Amazon. This is making it even harder for Avon independent Sales Representatives to sell to customers. Instead, build your own free website and sell beauty products to people that are already interested in products that you are promoting.
All direct selling companies require time, dedication and investment to be successful.
If you don’t want the anxiety and uncertainty of working for a MLM – look at what Wealthy Affiliate offers you.
The Avon business model is outdated. It takes a long time to build a business, so it could be 3 to 5 years before you earn enough.
Avon says they have a commitment to managing their carbon footprint. Yet, I cannot find anything on their website or elsewhere online, that their products are eco friendly. There is nothing about the use of organic materials, or sustainable practices.
Do you have any experience of how do you make money with Avon or the compensation plan of Avon? If so, please leave any suggestions or questions in the comments below, and I will get back to you.