Avon Beauty Center Business Plan: What You Need To Know

An Avon Beauty Center Business Plan gives you a process to assess the profitability of your Avon Beauty Center, improves the site selection process, and provides a basis for loan application. Representatives can earn in four ways with a Licensed Beauty Center: retail sales from new customers, brochure sales, recruiting, and the halo effect of retail visibility and consumer awareness on your overall direct sales business. Here are the essential components of the Avon Licensed Beauty Center Business Plan that will help you gain new customers and increase revenue.

Website Selection

One of the main ways to drive traffic to your retail business is to select the right location. Avon will approve the selection and can also help you decide. You should look for sites that have a population of 100,000 within 5-10 miles, demographics with 20% or more women ages 18-44, a minimum of 2 business areas within your business area, and a median household income of $30 to 50,000. Check with your local Chamber of Commerce for free data on households and population.

Once you have located the mall, you need to balance opportunity, cost, and risk, looking at the primary tenant, occupancy levels, tenant mix, visibility, quality, and activity.

When considering a space, look at the physical layout, the competition, and the leasing proposal. A real estate broker can often help you evaluate the terms of the lease, a contractor can suggest improvements, and you may want to have an attorney review his or her plans before finalizing them.

Start-up costs

The licensed Avon Business Center Operator is responsible for setting up the space. There are no license fees from Avon at this time. Representatives in good standing recommended by Division and District Managers and approved by your Regional Vice President may apply.

Products are tracked on a separate Beauty Center account and all purchases are guaranteed 50% profit on cost. Applicants must qualify for Paymentech credit card processing.

The two largest monthly expenses will be lease payments and personnel costs. Advertising is additional. Start-up costs, including first month’s rent, legal certificates, insurance, cash register, credit card processing equipment, phone, and miscellaneous supplies, range from $3,000 to $10,000 depending on lease amount. Additionally, the suggested opening order for the kiosks is $15,000 at the customer price. Avon provides credit for 60/120 days to minimize start-up costs and publishes a list of the most popular products for sale.

Avon provides counter signage, visual merchandising unit, fitting rooms, samples, sales aids, training manuals and videos, and other start-up supplies. Avon will also provide a customer service contact at each branch.

Staff

A well-trained and knowledgeable staff is a key factor in the success of your Avon Beauty Center Business Plan because the staff will build your business and develop a loyal customer base. A beauty business is made up of core, transactional, and holiday businesses, so it is critical that the Representative and staff have retail experience, know the retail calendar, and schedule accordingly. The retail business is about customer relationships, long working hours, and great staff.

By covering the basic ingredients of the Avon Beauty Center Business Plan in your planning, you are including the key aspects that will help you set up and manage your new Center correctly from the start.

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