Is Stella and Dot a Scam? – Facts that NO “Stylist” will discuss with you!
So, you’ve been to a “Trunk Show”, and you are “selected” to be a part of this company.
You are thinking if it’s worth joining this business opportunity, and maybe, just maybe, this could be the big break that you need to quit your job and finally earn a living from home.
While this could all be real, there’s always a catch to it.
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Is Stella and Dot a scam? Or could it be a legitimate business opportunity.
In this Stella and Dot review, we will discuss stuff that no “Stylist” will talk to you about.
And you will know the ins and outs of this business opportunity.
How I Fired My Boss and Still Earn a Full-Time Income. Here’s How You Can Too!
What is Stella and Dot?
In the MLM (Multi-Level Marketing) industry niche, numerous firms come up, but only a few prove to be genuine and beneficial to its long and short-term members.
After all, all the participant’s intention including the founders is on making a profit out of their investments.
Stella & Dot is a famous and mainstream home jewelry MLM firm that was established in 2007.
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In such a fantastic turn of events, the founders, mompreneur Jessica Herrin and Blythe Harris conceptualized the idea while at an alumni event.
Jessica had previously established a business during her “aha moment” at an elevator that utilized the same concept, and it was at this moment that they added creativity and relaunched a revolutionary social-selling model.
The MLM firm allows women to achieve global success, giving them an opportunity to follow through their stylist interests and become successful.
Both women studied M.B.A at Stanford that played a significant role in their successful endeavors.
Stella and Dot is a favorite firm among moms who are interested in making some extra buck as they express their love for fashion and jewelry.
And with the opportunity to sell jewelry on the side, numerous people are signing up to the Stella and Dot MLM enterprise.
Averagely, members receive 25% to 35% commission for the products that they sell.
Considering the sophisticated network of the Stella and Dot MLM firm, a member also gets an opportunity to receive a team sales commission each month according to their down-line team’s sales volume.
A great way to earn extra income, don’t you think? Should the company assimilate the name Stella and Dot Pyramid scheme? Let’s find out.
What Are the Benefits and Drawbacks of Becoming a Member?
So, of all the MLM firms out there, what makes this one stand out?
I know you’ve come across multiple MLM’s promising riches but how do you distinguish between the honest and phony ones?
You should be willing to stay long enough to realize the potential benefits and drawbacks but who has the time?
Are the common Stella and Dot Scam stories true?
Common Stella and Dot Review sites have mentioned a lot of pros and cons, but we are going to demystify every element below.
Advantages
- Support: The Company offers support to its members by regularly calling them and doing a follow-up.
- Managing inventory: Stylists don’t have any responsibility of keeping stock.
- Transparency: The firm takes openness seriously. It lays out its compensation plan in the open such that any layman can comprehend. You can gain access to everything from their website without even the need to make a physical inquiry.
- Trendy and Fashionable jewelry: The MLM firms possesses an extensive collection of stylistic jewelry that contains many unique pieces. When you start selling, you’ll realize a massive influx of clients because of the unique products you offer them.
- Responsible customer care: Since every business is bound to handle customer complaints, dealing with them appropriately is a significant concern for better market penetration. Stella and Dot is a very responsive firm when it comes to customer complaints. They have a full-time customer service portal that caters for all Stella and Dot Complaints.
- No sales restrictions: A member can even sell one commodity in a year and still earn their commission. Also, if you don’t possess a downline, you have no mandatory requirement for a particular quote. It is one of the perks that separates this company from others.
Cons
- Average earnings are too low: Among the members subscribed to Stella and Dot MLM firm, most earn less than $5,000 in a year. This is very disappointing considering that all stylist are working hard to live their desired lifestyle.
- Micro-management: The firm is heavily involved in personally managing their stylist which can be bugging at times.
- Products are too expensive: Considering they are high-end products, they have a premium price that is very hard to sell to someone who can get a substitute at a lower price. If your sales skills aren’t that great, you would barely sell an item.
- Downline sales quota: Once you manage to get new stylists, you will be given the responsibility of selling a certain amount of dollars ($500) so that you can lead by example. If you fall short of this quota, you risk your commission being reassigned to another stylist.
- Market reach: The Stella and Dot MLM business is established under an assumption that most member stylists are stay-at-home moms with a good grasp to their relatives. What if you cannot create a gathering where you can sell your items? Most probably, within a month, you’ll have exhausted all your available market.
What is the Cost of Joining Stella and Dot MLM?
Investing in your business isn’t a smooth road – you are going to need a lot of capital and resources.
Fortunately, numerous online opportunities don’t require that much funds.
If you would like to start as a Stella and Dot Stylist, you have three options:
- Ultimate Kit: It costs $699, and you get an opportunity to select $1,500 worth of Stella and Dot jewelry and accessories.
- More love kit: Will cost you $499 and you get $1,000 worth of commodities.
- Essentials kit: It is one of the popular packages for part-timers, and it will cost them $199, and you can select $350 worth of jewelry and accessories.
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All plans include a lot of marketing materials to give you the capability of selling more and making a lot of money.
A stylist also gets a personally dedicated website that they can sell their products, but they highly encourage a “trunk show” that is an in-home party.
Those interested in creating a team have to gain a minimum of 500PQV per three months or risk surrendering their group to the next qualified person in their line.
The Stella and Dot Compensation Plan
When you start at Stella and Dot as a stylist, you begin earning a 25% commission on the items that you sell.
If you become successful and manage to sell items worth more than $2,500, you automatically upgrade to a 30% commission.
The commissions increase proportionately according to the increase in sales, and if you sell over $5,000 and $10,000 in a solitary month, you increase your commission to 32% and 35% respectively.
A stylist also has an additional opportunity to make more income by recruiting other stylists.
If you have a good downline of stylists, you can earn up to 18% in commission from their sales.
With such money, you can pay for your kid’s tuition and even go for a couple of outings within a year.
Now, with everything good comes something bad…
Why more than 95% of the Stylist Fail?
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Source: www.stelladot.com
MLM’s come with all the hype, but once you become a distributor, you start facing numerous challenges.
After all, nothing is a smooth sale; you have to struggle to make the best out of your opportunity.
With such a large subscription to the Stella and Dot MLM empire, how is it that only a mere percentage succeed? Here are the common reasons why more than 95% of the stylists fail…
1. Poor Prospects
It is smooth riding on a firm’s fame in the market, but once you are interested in increasing your sales volume, you might start realizing that getting new leads wasn’t that easy after all.
Such is the problem that distributors of Stella and Dot MLM products face.
The internet is plastered with noises and in order to rise up to the top and be noticed, it requires skill.
Yes, there are means to sell the accessories online, and it does seem like there is an endless pool of prospects.
But, if you don’t know how and where to find suitable prospects, it will be tough for your business to grow.
2. Decentralized Training
Once you are subscribed as a new distributor, you’ll likely rely on your direct sponsor for initial training and orientation.
In most circumstances, you’ll find that they are barely qualified to offer essential advice since they are not successful.
It’s kinda like the blind leading the blind.
So, if you intend to grow your Stella and Dot business, I highly recommend that you get your training from top earners in the industry.
3. Unable to Face Rejection
The majority of those that become distributors and start getting products, expect an easy sail.
Unfortunately, the market is full of different characters and rejection is a common occurrence.
Once in a while, or even majority of times, you are bound to face rejection which most distributors cannot handle effectively.
Such instances lower their morale, and most quit as a result.
4. Competitive industry
It is essential to recall that a market already possesses numerous sellers of the same product but what makes yours different?
The fashion industry has very many players with diverse marketing approaches and versatile products.
Once a distributor starts selling, they realize that the market is full of other stylists from big brand firms.
Only if the distributor has an endless rundown of wealthy housewives will they sell their highly-priced products.
5. Expensive business cost
Based on Stella and Dot marketing preference, the “trunk show” approach is preferred among others.
For such a strategy to succeed, the distributor has to organize costly parties so that they can accumulate enough groups of people to advertise what they have.
Such parties consume time and resources. It might even cost more than what you are making from selling the jewelry and other products.
If it is profitable, great! Unfortunately, most of the time they aren’t.
And distributors question themselves if all they do is worth it.
Here’s how a “trunk show” will look like:
What do you next?
If you are already a Stella and Dot Stylist, and you are looking for ways to grow your business, here’s what I recommend you do.
Invest in yourself.
The MLM industry is a tough nut to crack, and to stay afloat, you need to continually learn stuff from experts who’ve made it.
You can never rely on your sponsor or upline, unless they are successful themselves.
So, I recommend that you learn and get expert advice from this program.
This is one of the best courses I’ve found that teaches people real strategies on how to find quality prospects online.
My Sincere Advice to You
Success is a habit. It is the little things that you do every single day that accumulates.
If you have been struggling and hitting brick walls, I think it is time that you start learning from other successful people.
I truly believe that Stella and Dot is a good and legitimate business opportunity.
Unfortunately, the majority are not suitable to be in this business.
If you have the tenacity and the eagerness to make the Stella and Dot Business Opportunity work, then I recommend that you to this training program.
However, if you think that selling and hosting trunk shows is not your cup of tea, then what?
You’d be interested to know that thousands of people, just like you, have been earning passive income online through the teachings of this learning platform.
I’ve personally got success as a result of it. You can read my humble story here.
Thank you for reading this review and I truly wish you all the best in your endeavor.
If you found this review helpful, please share it! I might help someone who is looking for this information.
And, if you wish to share your thoughts and opinion on Stella and Dot, feel free to leave a comment below.
Your pal,
Jack