Here is part #2 on our Inventory Series.
The New year is a perfect time to re-evaluate how efficiently you are managing your Mary Kay business. A strong business principle is “You can’t sell out of an empty wagon”. Evaluate your inventory goals for this new year.
- Security with Inventory - A strong inventory stimulates your creative thought into the many avenues available to turn this merchandise into profit.
- Sales Advantages - Many a sale has been missed because, at the moment of the customer’s greatest desire, merchandise could not be delivered.
- Your Recruits’ confidence in you - If they know you have an adequate inventory, they will have much more confidence, personal motivation and enthusiasm, which means more effort and more sales
- Operating with Efficiency - A well-balanced inventory that is ready for delivery tremendously increases the day-to-day operating efficiency of your business, eliminating trading with other consultants, which saves time; and time equals money!!!
Let’s look at what happens to a business woman who either “steals” from her present inventory or who fails to keep it growing
- She is going against a basic success principle - In the same way that you cannot say to a stove, “Give me some heat and I will put wood in you,” you cannot demand of a business, “Give me profits and I will make an investment.
- She is being dishonest with herself, her family and her recruits – If the inventory is gradually depleted, the day will come when the Consultant will say, “I no longer have a business,” or “I must start over again.”
How to build and maintain an inventory goal
- Set an Inventory Goal – Never let your inventory get below 25 TimeWise sets (only enough for about 4 classes), reordering the day it reaches 25. Aim for at least 50 sets plus spa and glamour.
- Setup 2 bank accounts – 60% ACCOUNT AND A 40% ACCOUNT. (ONE SAVINGS, ONE CHECKING, WORKS NICE) If you need help managing this aspect of your business, then add-on Ascend to your Pink Office service. They will get you right as rain on your business finances and on your way to realizing a profit!
60% account to replace goods sold, inventory growth, sales aids and hostess credit.
40% account is your profit account. You pay back your loan out of this account and also pay expenses that you would have with a regular job – babysitting, etc.
So what are you waiting for? Load up your wagon ladies and get to selling! ;-)