Wednesday, March 3, 2010

Active? Inactive? Terminated? Gone....


Hi all... great question from one of our readers..

mkmommy said...
Actually, I do have a question....in order to keep my active status, does that $200 wholesale have to be at one time, or can it be in a couple different shipments in different months.

Okay... once a consultant places a $200 w/s ($400 retail) order in a month she is officially "active" - at this point she has earned the discount privilege which means any size order during the month she placed the $200 w/s order and the following two months will receive a 50% discount no matter the size of the order. (Important thing to remember though is we do contribute $8.75 (plus tax) on the s/h. So it would make sense not to order one lipstick, even though you would receive the discount. This is also the time period a consultant is considered active. After this time period a consultant is considered "inactive" - it is really not as bad as it can be made to sound. Nothing happens to an inactive consultant except in order to receive the discount, the 200/400 rule applies to receive the discount. But!! if you don't need to order that month the consultant just doesn't have to place an order. She can wait until she needs to place the order.. be it one month, two months, etc... now if during the following two months after the order is place if a consultant places several small orders during the same month and they combine to $200 w/s, the clock starts over again.
(for those looking to maximize their profits, it would make sense to do as few orders as possible in a month so that the $8.75 s/h doesn't end up eating all the profit on the orders.)

So an example.. a consultant place a $200 w/s order January 10th.. in February so places no order, the beginning of March she place a $100 w/s order and the end of March she place a $100 w/s order, together they total $200 w/s so her clock starts again. She has the remainder of March, April, and May where she is active and no minimum order is required. If she placed a smaller order than that, she would have to do the $200/$400 in April, or in May, or in June, etc... it wouldn't matter which month she did it because to receive the discount it would have to fall under the minimum order requirement.

The only disadvantage to being inactive is that if you have a team and your are receiving a commission check, you will not receive the check. Now, I really want to point out... if you are going to receive a $4 commission check and DO NOT need the product, it would be rather silly to place a $200 order to receive a $4.00 check. Wouldn't it?? The other thing is if your recruiter is on on target car or diq, an inactive consultant doesn't count....but that should not be the concern of the consultant if she doesn't need the product. It would be the recruiters responsibility to add more team members so that she doesn't have to pressure ones to order if they don't need the product.

After 6 months of non-ordering a consultant "terminates" sounds awful, but it isn't that bad either... if you had a team you would forfeit your team, you do not count for your recruiter or director as a team/unit member but in order to reinstate, all it takes is a $200/$400 order and you are an active consultant again.

If a consultant goes a year without placing another order than she is no longer a consultant and would need to submit a new agreement. The key is that at any time after a consultant goes inactive, it only takes an "qualifying" order to activate them again.

From reading other sites, they try to make it sound that you must do an order every three months, honestly the only thing a consultant must do is one $200/$400 order a year and she could stay a consultant the rest of her life. Many of my personal use consultant order just twice a year.

I will agree that to stay an "active" consultant it would require a $200 w/s every three months but as I said, one would need to have a reason to be active.

I hope I explained this well... but please ask and I will clarify until it makes sense.

31 comments:

  1. Hi everyone! I have been reading up a lot on this site, and thanks to all the helpful info, I've been a Consultant for a whole 8 days! I just wanted to double check something...so the $200 order includes shipping(is w/s...meaning with shipping?, I know stupid ?), or $200 wholesale, then tax, and then add shipping too, so $208.95?

    ReplyDelete
    Replies
    1. I have been a consultant for almost 4 years and love it. I am not swayed by any fluff, because some of it can be. I just love make easy money and making great friends and having team members. I come to this site VERY cautiously, because the women here are VERY dissatisfied with Mary Kay. I will not play down any of their stories as I don't know any of the details. I can tell you that my experience has been great. This site come up a lot on Google searches which is why I am here today...lol! I was just trying to get a activity status explanation chart. You must make your MK experience your own; yours will vary from ours. So just be careful when you come here or the other sites. Wish you all well.

      Delete
    2. Rhonda, appreciate your comment, and totally agree with your statement that you must make the Mary Kay experience your own. You sound like you are referring to another site in your comment and not ours. I won't say that everyone here is happy with their mk experience but I know many are and we try to be a rational (balanced) REAL site to avoid the "oops" and "myths" that do exist.

      There is good and bad in any experience.. we often learn by our mistakes and the wise person does not repeat them.

      We try to give insight in how to operate without setting yourself up for failure. Earn your recognition and prizes do not buy them. Those that do things as intended ..... book, sell, book, build.... will have a much better chance of growing and being and remaining profitable. those that try and "cheat" the system will end up in turmoil. Stop by and add to the conversation... except for the count that I can that people reading - there are often times that I feel like I am here all by myself! :)

      Delete
  2. $200 wholesale is in Section 1 product only... so $400 retail Section 1 product will give you a 50% discount so the product will cost $200 plus tax on the $400 (this is required by the state - we do not have to file quarterly sales tax) and then the $8.75 s/h which now must be taxed.

    questions are never stupid - checking and making sure that the info as you understand it is the smart thing to do. :)

    ReplyDelete
  3. I agree about the shipping charge . . . if you have to have your order shipped, it's not financially responsible to do a whole bunch of little orders in order to reach that $200 WS threshold. But everyone runs their own business, so to each her own.

    I am lucky because I live near a distribution center and it is not out of my way to run over there to pick up my orders. So I can avoid the $8.75 shipping charge. It's a nice perk, but not available to the majority of consultants. Even though I don't pay shipping and the branch is just 10 minutes away, I still don't place tiny orders unless absolutely necessary. In fact, I don't place orders less than $400 wholesale ($800 retail) because I like the free product. I sell quite a bit, so I'm always needing sizable amounts of product.

    But again, each consultant needs to do what's best for her business.

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  4. Thanks for your quick (and detailed :)) response; it's all clarified now. :)

    ReplyDelete
  5. At exactly what point would you have to pay a reinstatement fee (either $20 for 2nd chance or $100 for full starter kit)? Say I placed an order in October 2009. Can I order in October 2010 to avoid the reinstatement fee? Or do I need to order in September 2010?
    Thanks!

    ReplyDelete
  6. Hi PTO, You would need to order by the last day of September (basically one order a year) - if you didn't you are eligible to rejoin in your unit or any other unit (for that matter) and you have the choice of either opting for the Second Chance for $20 or a Starter Kit for the $100 - the "new" consultant qualifies for all bonuses available that are available to a "brand" new consultant. No matter which way she rejoins.

    Hopes this answered the question sufficiently!

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  7. Can you tell me what is in a second chance starter kit. Just trying to decide if I should get the new kit or second chance because I am rejoining.

    ReplyDelete
  8. very little is in the second chance kit, you get a package of current Look Books and some odds and ends.. right now with the $75 special on the starter kit I would certainly go that way. but if you really only want catalogues - then second chance it :)

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  9. I'm inactive now, but I need to order. I need Look Books. Those don't come out until the 15th, right? I don't want the ones that will be obsolete in a week. Should I wait to place my order until then? What do you think?

    ReplyDelete
  10. @mk mommy, if you didn't enroll your clients in the pcp program you are correct, the earliest you can order the new look books are June 15th. June 15th is the last day of the current quarter as well. June 16th starts a brand new quarter. My suggestion would be to wait until the 15th or the 16th! :)

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  11. So I'm still trying to get a handle on the 3-month cycles with the 200/400 order. I started MK May, so I had May, June and July to meet my goal. I made my goal in July. So I should have Aug, Sept and Oct now to meet my next 3-month cycle goal. My activity status however, is A2 and it's August. Shouldn't it only be A1 since it's my first month of the cycle? So confused...

    ReplyDelete
  12. For the earned discount, it is the month you order and the next two....

    so if you ordered $200 wholesale any day in July from the 1st thru the 31st, you have any days left in July and the next two to receive your earned discount, meaning you can order any amount and receive 50% during that time... (you are also considered active) ... once you go outside the time frame, you need to order $400 retail/ $200 wholesale to receive the discount. ----Please realize if you don't need product - don't order just to be active if there is no reason other than to be "active".

    Please let me know if this helped, if not I will try to explain it differently.

    ReplyDelete
  13. mk4me, I'd just like to say I really appreciate your blog and your helpful insights. I did MK for about 1.5 years quite a while ago and really enjoyed it, but I also see how people can have bad experiences and need to keep a healthy, balanced perspective. I went inactive/terminated in 2003, so if I wanted to be a personal use consultant at this point, I'd need to start all over right? I'd really just like product for myself at the discount and have no need for the starter kit. Is the $20 deal the right one for me? Thanks again for your helpful site.

    ReplyDelete
  14. I know I'm a year late, but I'm fairly new and before my three months were up I made small orders and they added up to the $200 but not $400.
    I just put in an order of $200 NOT $400 so I didn't get the discount.
    Is there anything I can do about that? Or will I have to just order again and learn from this experience? (I hope not I paid a lot out of pocket)

    ReplyDelete
    Replies
    1. I got my answer :)
      I called the company and they were really nice about it :)
      They're going to let me order the other 200 as my discount and, of course, only charge the shipping fee :)
      I'm beginning to like MaryKay very much :)
      This website helped a lot! :)

      Delete
  15. Is there a way that I can change my recruiter? I know I can't change my director as to why they have adoptive directors to help keep you motivated.

    ReplyDelete
  16. The only way to change recruiter or director in Mary Kay is to remain inactive for a year - then you may rejoin with anyone any where.

    ReplyDelete
  17. Next month I enter T status. If I decide to stay inactive for the rest of the year and sign back up with someone new will my Propay and website still be availibke to me?

    ReplyDelete
    Replies
    1. Your website will still be there but when people try to place and order it won't let them if you are in terminated status.

      Delete
  18. Thank you so much! This was EXCELLENT information, and very well explained with all the details I was looking for! :) You. Rock.

    ReplyDelete
  19. thank you for letting us know and I am very happy it helped you.

    ReplyDelete
  20. I like this blog, it has been so helpful! So I just only have to spend $200 the first 3 months to be active and get a discount?

    ReplyDelete
  21. It must be $200 w/s placed in one month and then you are active the month that you placed the order and the following two.. so if you placed a $200 w/s in May - you would be active May, June, and July. As long as you are active you will receive the 50% discount on any size order (but be smart) because we still pay the $9.25 towards the shipping and handling, so one would never want to place several small orders in a month because of the shipping costs. Now if you don't order in August and you become inactive - it is not big deal unless you have a team because when you are inactive you will not receive your commission check and to get the 50% discount you would need to do the $400 retail and then get the 50% off to only cost $200 w/s ..

    ReplyDelete
  22. I need a quick reply! I am being pressured by my director to place that beloved $600 order! I have already worked for many hours calling , booking, partying, etc. I have sold about $515 retail. Since I wouldn't agree to the $600 order, my consultant now wants to place the order under her name and have it shipped to her as she let me borrow from her inventory to place some earlier orders. I fully plan on returning her products when my order arrives. She actually wants me to give her my Visa #! It's not that I don trust her, I just don't think this is right. Can you advise promptly as I have friends waiting for their products. Thank you .

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  23. Am I allowed to place my own order as an IBC?? Isn't tht what independent means?

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  24. Question... Let's say you are inactive but then place a 200 w/s order. I know you have the discount for the remainder of that month and the next 2 months, but does the discount apply on that initial order? Or just the orders that follow??? Thanks!

    ReplyDelete
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  27. Thank you so much for this info! I always wondered how long I could go being inactive without losing or "being terminated" as an MK consultant. I LOVE MK products and really am only a consultant for the discount on my personal use items.

    ReplyDelete

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