For a direct selling business to be profitable, it must have healthy gross margins. While margins can be calculated in several ways, at Sylvina Consulting we like to use what we call the “multiplier.” The multiplier is a ratio calculated as the suggested retail price of an item divided by the landed cost of the…
What To Look For In A Leader
In direct selling, leaders must have many of the same qualities as company owners because they essentially own their own businesses. Understanding how leaders are made is important because the number of new first-titled leaders is the best predictor of the direction your company is going (up or down). Watch our video to see what…
3 Ways To Set Your Bonus Volumes
As a multilevel compensation plan designer, I work closely with our clients to help them to make many good decisions. One of these decisions is how to determine the bonus volumes for each of their products or services. Bonus volume is the basis upon which multilevel compensation is paid. Another term for bonus volume is…
Ask Victoria: What Is Landed Cost?
For a direct selling business to be profitable, it must have healthy gross margins. While margins can be calculated in several ways, at Sylvina Consulting we like to use what we call the “multiplier.” The multiplier is a ratio calculated as the suggested retail price of an item divided by the landed cost of the item…
Ask Victoria: When Is It OK To Launch With A Multiplier Less Than Five?
Your profitability as a direct selling company and the richness of your multilevel compensation plan each depend on your multiplier. What Is A Multiplier Your multiplier is the average number you get when you divide the retail price by your landed cost. For example, if the retail price for an item is $50 and your…