Hey there sea changers, and welcome back to my series of MLM reviews. Today we are going to a take another look into the very popular fashion side of the network marketing industry with my Hello Pink MLM Review. The online sale of clothing can be extremely lucrative with many making a good living selling items via online stores and affiliate marketing. Added to this obviously is the array of clothing based multi level marketing programs that are available. So, what is Hello Pink all about? Let's have a look and find out…
What is MLM?
Multi-level marketing (MLM) programs are the traditional mainstay of the ‘party plan' world of products such as Tupperware, Mary Kay and Amway etc. and, of course within the beauty/cosmetics, supplements and essential oils markets. It is not as prevalent within the clothing industry but as MLMs have become more popular in recent times – mainly due to the fact that much of the sales and marketing is now being managed online – companies in other niches are starting to get in on the action.
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The ‘multi level' aspects of MLM come from its hierarchical nature in which you make commissions based not only on those that you sell to, but also the sales of those whom you ‘sign' into membership arrangements as well.
In short, the process works as follows:
- You join the program, either via referral from another person (known as your up line) or directly through their website.
- You promote the products of the company via parties, workshops or online.
- As you make sales, you offer incentives to your customers to sign up as a member of the program (there are different names for this but they all mean the same thing).
- That new member is then placed ‘underneath' you in a hierarchical arrangement (known as your down line).
- You, and a number of levels of your up line, then gain extra commissions for everything they sell as well.
- If they manage to refer their customers into memberships, they also become a member of your down line allowing you to make up line commissions as well.
The number of levels of your up and down lines will vary depending on the program you have joined. Commission rates will also change as your down line grows or contracts and many will also offer other incentives such as total company sales percentages and/or access to membership prizes as your own business grows.
Who are Hello Pink?
Hello Pink was founded in 2014 by Lauren Gagnon, a stay at home mother of 3 who strives to find the highest quality and most fashion forward items possible. So much so that she personally tests the quality of each new style brought in.
With a mission to allow women “to present themselves to the world in a way that is stylish, creative and unique”, their values include:
- We believe that all women should be able to look great.
- When you look great, you feel great!
- Affordability and a customer service experience that is second to none.
Peach is based in Grand Rapids, MI in the United States.
What do they Sell?
As above, Hello Pink operates predominately within women's fashion however they do also offer a smaller range for men and children as well. The items on offer change regularly in order to keep their range fresh however does generally include:
- Ohana & Kai
- Bracelets
- Necklaces
- Earings
- Rings
- Graphic Tees
- Faithfully Blessed
- Tops & Dresses
- Bralettes & Tanks
- Leggings
- Bottoms
- Accessories
- Kids
- Maternity
- Men's
Item costs for Hello Pink clothing appear to fall into the low to medium price range of around $20 to $80 per piece keeping them in line with competitors such as Peach and Lularoe.
MLM Program outline
The Hello Pink MLM program calls their members ‘Stylists' who are part of what appears to be a simple program with a common retail and downline commission structure only. Their compensation plan is located on their website so here are the basics as I have found them…
Base Commission rate: 20% to 25%
Stylist Discount: 25%
Down line commission rates: 3 – 13% to 3 levels (level 1 down line is 9% – rank Associate and above)
Minimum monthly spend to qualify for commissions
To qualify for downline commissions, Stylists are required to meet monthly Personal sales (PSV) targets of at least $100 per month with group sales (GSV) totals of $150 (this includes PSV as well). PSV can be made of personal or customer sales. Base 20% – 25% sales commissions however can be earned without the need to meet or maintain sales targets.
Payment terms: Weekly.
Application required?: Yes, Application form on website.
Purchase requirements to join: Yes
New stylists who wish to become eligible for downline commissions will need to purchase a Back Office account with access to the Back Office Suite for $6.99 per month(or $4.50 per month when paid upfront for a year). This includes:
Ongoing seasonal collection purchases are not mandatory however the documentation does highlight discounts of 25% for the purchase of samples for use within trunk parties or pop up events.
Marketing materials provided: As per starter kit above.
Within most MLM programs, rankings and commissions are determined by the total personal sales volume (PSV) generated by the Stylist and their down line within a calendar month with points assigned to each product. These point allocations can range from 50 to 100% of the retail price of each product (before tax and shipping) and vary from item to item and currency of sale.
In the case of the Hello Pink MLM program, it appears that PV is calculated at 100% of the USD retail sales price minus tax and shipping.
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How can I get paid?
Ok, so from what I can garner from the compensation plan, there are just 2 ways in which a Hello Pink Stylist can make money when they promote and sell Hello Pink items. These are very straight forward however there are none of the extra bonuses found in many other MLM arrangements. The 2 payment options for the Hello Pink MLM program are outlined as follows:
1. Retail Bonus
These are the base commissions earned by the general day to day retail sales that Stylists can generate via parties, popups, social media or online via their personalized website. There are two tiers of personal commissions based on sale volume as follows:
- 20% – 0 – 499GSV
- 25% – 500GSV and above.
As above, to qualify for the base 20% retail commissions, Stylists do not need to meet sales targets. For the higher commissions however, members of the stylists downline are placed into legs which are limited to 50% contribution per leg to the GSV targets. See graphic below.
2. Team Bonus
The Team Bonus is Hello Pink's version of the traditional unilevel commission structures prevalent within many MLM programs. Within the Hello Pink MLM program, commissions are paid to 3 levels based on the rank of the Stylist as follows:
Stylists must be at rank of Associate and above to qualify for the Team Bonus.
Ranking structure
Hello Pink, as with most MLM programs, uses ranking structures on which to base commission payments on. Rankings for the Hello Pink MLM program are as follows (note personal and team sales qualification targets as well):
Again, as is common with almost all MLM programs, rank progression is determined by both the number of members within the Stylist's down line, and the total sales made by those members per month. Ranks can rise and fall based on the ability (or dis-ability) to reach the required member and sales targets.
What is good about it?
So, after a good look around the site and looking at all the options I could find, I do like the following:
- Commission rates for entry level sales are good.
- Program is simple and easy to follow.
- Commissions can be earned without the need to meet sales targets.
What is no so good about it?
There are also some things to be aware of including:
- There are some minimal joining costs.
- Not as many bonus options as many other fashion based MLM programs.
How much can you make?
Hello Pink does not provide an income disclosure statement on its website however as with most MLM programs, it has to be assumed from the compensation plan that the percentage of members making the upper rank levels – and hence earning a living – is very low (usually less than 1%).
My final thoughts
Look, MLM is not an easy platform to make money in and there is not much that I have seen here to put this program above the many others I have seen. However, the program is pretty straight forward with common commission arrangements and the ability to make sales online or via the party plan model. So if you are an absolute fashion nut with a large customer list at your disposal and the ability to generate good sales via online processes, then the 20 – 25% base commission rates might just appeal here.
Once you have joined, there are not the usual financial pressures of needing to make minimum personal purchases in order to qualify for commissions as long as you can make them within your down line. You may also need to bump up your personal purchase quota if customer sales alone are not enough for you to remain at rank and qualify for commissions and/or discounts within a particular month.
I was unable to locate any negative reviews in terms of non-payment etc. although there were some negative comments (not as many as most others however) about the quality of customer service and the MLM program itself – although it was not really anything that is uncommon in regards to MLM programs or products within this niche.
Conclusion
So there you have it, my honest review and appraisal of the Hello Pink MLM program. I hope it has been of assistance but as usual, if you have any questions or experience with this program please do not hesitate to reach out by commenting below – especially if any of my information is inaccurate.
Are there any other programs you have been looking at but want to know more about? If so, please comment below and I will do my best to get some details for you.
Do you want further assistance with any of the above or need help to build your own fashion based website?
Are you looking for a comprehensive training platform that can give you step by step training, 24/7 support, tools to develop and host your very own website, ongoing assistance with SEO and social media and access to some of the best affiliate marketing minds on the planet, then click on the following link to read more about Wealthy Affiliate.
Until next time
Have fun
Paul
Note: If you make a purchase from this page, there is a very good chance that I make a commission from it – these commissions do not increase your sale price. This may include sales may via Wealthy Affiliate.
Introducing Wealthy Affiliate, My #1 Recommendation for Setting Up Your Own Online Business
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Member Training
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Great, What Else Does Wealthy Affiliate Have To Help You?
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Now of course I can tell you all about how Wealthy Affiliate works (because it does) until I am blue in the face. But every other program out there – including the shams and scams – will tell you the same thing!
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Look, in the interest of transparency, whilst Wealthy Affiliate does offer a free starter membership, this is designed to give you a look around, have a practice and see if it is worthwhile for you – which is a really great option.
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So How Much Does This Really Cost?
Wealthy Affiliate does not use upsells once you join – but as I mentioned in the video, to succeed here you will need to invest in a membership. There are a couple of options that provide access to all the tools, training and assistance that you could need – and a free domain as well.
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But again, those promoting other programs will tell you the same thing!
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And this is what people are saying within Wealthy Affiliate as well:
So, Let’s Make a Decision!
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(oh, and the profile is mine so you can find me that way as well)
See you there
Paul
