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You are here: Home / All Videos / Why Are Activity Requirements So Important?
Why Are Activity Requirements So Important?

Why Are Activity Requirements So Important?

December 31, 2019 By admin Leave a Comment

Activity requirements are vital because direct selling companies want their independent representatives to continue selling (and optionally purchasing for personal use) the company’s products and services.

To understand more about why activity requirements are so important, watch our video.  We recommend you take notes or take screenshots so you have something to reference back to.

More Compensation Videos

Compensation plan design is one of our specialties, so if you’re hungry for more compensation plan videos, you’re on the best website for that.

Compensation Plans

Compensation plans should be designed to motivate specific behaviors of independent sales representatives and their retail customers. These behaviors are:

  1. Personally purchasing your products or services
  2. Selling to customers (non-participants of the income opportunity)
  3. Introducing the income opportunity to others (sponsoring/recruiting)
  4. Building a team
  5. Training, supporting, and nurturing others
  6. Becoming a leader
  7. Personally developing leaders
  8. Helping other leaders to develop leaders
  9. Meeting or exceeding minimum activity requirements
  10. Being promoted to a higher title or rank
  11. Meeting or exceeding title maintenance requirements
  12. Staying active and engaged in the business (retention)

Does your plan address them all well?

Compensation Plan Design

Sylvina Consulting designs compensation plans for both new and existing home party plan and network marketing (MLM) companies.  We also work closely with MLM software companies on your behalf to implement and audit your compensation plan programming.

We create field documents, PowerPoint presentations, and video scripts for plans we design, or for compensation plans designed by others.

For New Companies

With companies new to direct selling, our approach starts with education.  We discuss with you the differences among the various types of compensation plans including unilevels, stair-step breakaways, matrices, binaries, and hybrids.  We also explain the pros and cons of each type of plan.

At the same time, we gather information from you regarding your products, your cost of goods, and the preliminary budget as a percentage of sales for total field compensation.  All of this information is important so that we can design a compensation plan that meets your goals and priorities.

For Established Companies

If you have an established business and you’re seeking help to amend or rewrite your compensation plan, we take the time to talk with you and listen as you share with us the challenges of the current plan and your goals.  Next, we review the requested statistical information to identify any additional areas in your plan in need of attention.

Once the preliminary tasks have been addressed, we move quickly into designing the components of your compensation plan.

Compensation Plan Evaluation

If you have a compensation plan already but need guidance to ensure it is in good shape, we can also help you.

For Established Companies

We offer a results-oriented review of your current or proposed plan, with recommendations included for changes to align the plan with your margins, products/services, and desired sales force behaviors.

Before you announce your new compensation plan, obtain the council of the compensation plan experts at Sylvina Consulting.

For New Companies

If you’ve designed your own compensation plan, but you’re not sure if it will produce the desired results, we can evaluate your proposed plan and provide you with professional advice in the areas in which the plan should be amended.

The Principle of Cohesion

Cohesion is the action of forming a united whole.

Be sure to set your required monthly or annual fee policy, your activity requirement, and your bonus qualified requirement with consideration for each other.

If you’re in need of help with any aspect of your compensation plan or policies and procedures, contact me and we’ll talk confidentially about your needs.

Request more information here!

Filed Under: All Videos, Compensation Plans Tagged With: active, activity, bonus qualified, deactivation

About Jay Leisner

P15Jay Leisner, the President of Sylvina Consulting, is a top compensation plan and direct selling expert, a trusted adviser to new and established network marketing and party plan companies. For more than 30 years, Jay has enjoyed assessing and improving network marketing, party plan and referral marketing companies across the globe.

Direct Selling Startup GuideJay Leisner and Victoria Dohr authored the top-rated book for new and young network marketing, referral marketing, and party plan companies, "Start Here: The Guide to Building and Growing Your Direct Selling Company".

Available in English and Spanish. This startup guide contains 250 pages of wisdom that will guide you through the right steps to start and continue on your journey to build a successful direct selling company.

You will save thousands of dollars and hundreds of hours of your time using the information you will read in our book.

In 1986, Jay began his career in direct selling by working for a major direct selling software provider. First as a software developer and later as a project leader and a business analyst, Jay worked closely with new and established network marketing and party direct selling companies to provide them with software solutions to meet their unique requirements.

Jay contributed in many ways to the success of large implementation projects for many companies. Jay also worked with dozens of smaller companies to assist each of them in various capacities to provide them with the systems they needed to help their businesses to grow faster.

Along the way while working with them, he learned the secrets of successful direct selling companies and the challenges faced by them. In true entrepreneurial spirit, Jay’s decision in 1999 to start Sylvina Consulting as a direct selling consulting company was driven by what he saw was a need for answers, advice, and solutions.

In 2004, 2006, 2009, 2014, and 2018, Jay gave presentations on compensation plans, recognition, and field leadership development at conferences held by the US Direct Selling Association.

He traveled to South Africa in 2015, 2016, and 2017 to conduct workshops on compensation plan design and recognition programs for member companies of the South African Direct Selling Association.

In 2017, Jay spoke at the Canadian Direct Sellers Association Meeting on the importance of recognition.

More than just a compensation plan expert, Jay is exceptionally skilled at advising new and established companies on business strategies. Before offering advice or solutions, he asks important questions to understand each client’s specific concerns and goals.

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