As reported in Forbes Magazine:
"Avon Posts Attractive First Quarter Earnings
With growing demand for its products and improved cost management, beauty
company Avon seems to be in a position to deliver decent earnings growth.
Further, with a solid outlook for the industry, this Zacks Rank #1 (Strong
Buy) beauty products company looks quite attractive as of now.
Avon posted first-quarter adjusted earnings of $0.26 per share on April 30,
easily crushing the Zacks Consensus Estimate of $0.14 per share, and increasing
more than twice from the $0.10 per share in the prior-year quarter.
Adjusted gross margin was 62.5%, 160 basis points higher than the prior-year
quarter, primarily due to lower freight costs and lower material costs.
After underperforming for many years, the company finally took a number of
steps last year including upgrading senior talent, implementing stabilization
plans for key markets, prioritizing product categories, reducing cost base and
improving capital position.
These strategies finally seem to be paying off as this was the second
consecutive earnings beat for the company after reporting six quarters of
lower-than-expected results.
As a result of improving outlook for the company, analysts have been revising
their estimates for the June 2013 quarter and the fiscal year 2013. Zacks
consensus estimates for the second quarter and the fiscal year 2013 now stand at
$0.25 and $1.15 per share.
Per Avon, the global beauty Market is $400 billion currently and is projected
to grow at 7% rate through 2017, mainly driven by surging demand in developing
countries. Further, consumer shopping behavior continues to change but
word-of-mouth remains the most trusted source of information, benefiting direct
sellers like Avon.
With a Zacks Industry Rank of 17 out of 265, Cosmetics industry is expected
to outperform significantly in the near-to mid- term, as well.
AVP is a Zacks Rank#1 (Strong Buy) stock. It also has a longer-term Zacks
recommendation of “Outperform”. Additionally, a Zacks Industry rank of 17 out of
265 indicates very strong likelihood of continued strength in the short to
medium term, compared with other industries."
The question however is how do YOU make money selling Avon?
How Avon
works is you sell the product to family, friends etc. Avon bills you the
discounted price. You collect the full price from your customers and the
difference between the 2 is your paycheck. I don't find the ordering and
delivering time consuming but you do need to find customers. You don't want to
depend on your family and friends but they are a great place to start. You
definately need to expand beyond them. You can ask them to share your brochures
with THEIR family, friends, and coworkers. Talk to the people you come into
contact with every day....coworkers, mom's at the bus stop, neighbors, the
people at the local deli where you get your coffee in the morning, the tellers
where you do your banking etc etc.
This is called the power of 3. Talk
to 3 people a day about Avon. Collect a 100 no's in 30 days....chances are good
you'll get more yes's than no's. Think about it; if you talk to 3 people a day,
times 5 days a week, times 52 weeks in a year, you will have talked to 780
people in that year! If only 10% of them become customers, you will have gained
78 customers! Not bad huh? Collect 100 no's in 30 days and you'll be surprised
at how many more people say yes than no.
For your first campaign you
will earn 50% commission when you place your order online. For your Second,
Third, and Fourth campaigns, you will earn 50% commission provided your orders
are greater than $50, and you place your orders online. After your first four
campaigns, the commission structure is as follows:
Order Size Earnings
$1550 or more 50%
$900 - $1549 45%
$425 - $899 40%
$285 - $424
35%
$145 - $284 30%
$25 - $144 20%
$00 - $24 0%
Licensed
products are earned at 20% commission.
You do have to purchase the
brochures. That is the only thing you really need to sell Avon. Avon has
quality, affordable, consumable products and something for everyone.
You
can make money selling to your customers, you can get online orders with your
website (but I don't recommend trying to sell avon solely online), you can do
fundraisers-parties-fairs and you can also share the Avon opportunity with
others and get commissions on their sales.
The best way to make money
with Avon is combining sales with leadership.
As with any job, if you
don't show up or you don't do the work you won't get paid. If you don't work
your Avon business and put in the time needed to find new customers and build
your business you arent going to make any money either.
To join Avon
costs $10 at a face to face meeting or you can join Avon online for $20. See my
profile for more info. Don't go to avon.com and fill out the form there because
your info with be sent to the local district manager who will call you
(eventually) and make an appt to meet and sign you up. You don't want to join
under the DM because they don't have the time to help a new rep get started. You
are better off signing up with a leadership representative either locally or
online.
I have more information regarding Avon to Share! If you
have any questions feel free to ask!!!
Or, to raise money for something,
like a non-profit event or cause, contact me regarding
