Buying beauty products can be difficult because of the many brands. Beauty product consultants help individuals find the right beauty products to meet their needs. In exchange for their expertise, beauty product consultants receive a sales commission based on the individual products sold. In some instances, these consultants can actually receive two commissions based on their own sales and the sales by a consultant they referred to the company.
Direct sales involve selling a product directly to a person. A store is not involved. Individuals who sell these products receive a sales commission instead of a base salary. The sales commission can be set up in a variety of ways. One way is a direct commission from the sale of a single product. Another way is by receiving a sales commission based on the total products sold in a month. The more products sold, the higher the total percentage commission.
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The sales commission percentages on beauty products depend on the employer. A USA Today article in 2009 reported that sales commissions on beauty products are typically 25 to 50 percent of the retail price. This means that if an individual sells a lipstick for $10, then at a 50 percent sales commission, the seller would make $5. The Work at Home Woman website states that the average sales commission is 20 to 35 percent of a sale.
Highest and Lowest Commissions
Affiliate Mantra lists the sales commissions for different beauty product companies. The highest percentage of sales commissions as of this article's publication tops at 50 percent. Some companies give a 50 percent sales commission, others 30 percent, and yet others 25 percent. Affiliate Mantra also lists commission sales at the lower end of the scale. The lowest percentages fall around 5 percent. Some consultants earn only 4 percent for performing the same work. The sales commissions vary based on the beauty product company.
Beauty product companies also use a tier sales commission system to pay their consultants. This means that in addition to sales commissions on the products consultants sell on their own, they can also receive a second commission based on the sales of another sales consultant whom the individual referred to the company. The first tier commissions are usually a lot higher than the second tier commissions. Affiliate Mantra shows that lower-paying companies offering a tiered system use a 8 percent first tier and a 1 percent second tier on sales commissions. Higher paying companies offer a 30 percent first tier and a 10 percent second tier. The two-tiered commissions can really increase a beauty consultant's profits.