Overview Of The Usana Business
Usana was started in 1992. They sell three different types of products which include nutrition, diet and energy, and personal care products. I’m going to discuss Usana’s business opportunity so that you can decide for yourself if this is the right fit for your home based business.
How To Get Started
To become a Usana associate, you will incur 2 expenses. The first is a registration fee of $29.95. The second expense is for you to buy a starter pack which ranges from $160 to $1,250. There are 4 packs to choose from:
1. specialized Pack costs $1,250
2. Entrepreneur Pack costs $599.95
3. Business Pack costs $299.95
4. The 4th pack is a custom pack in which you pick the products you want. It will run you around $160.
The packs be make up of consistently various products that Usana sells. Some of these items in the packs can include nutrition bars, shakes, shower gel, and shampoo just to name a few. It’s important to have the packs because you can truly use the product to learn about it. And it’s very important to be a user of the product because it makes selling it and marketing it much easier. Also, with the bigger packs you get more products at a lower price. So this method you can sell the products to make a bigger profit.
Usana Compensation Plan
Usana uses a binary plan. This method that any one person can only have 2 people in their front line. For example, when you become a sponsor, you will only be able to place 2 people below you. These 2 people below you are called your front line members. If you recruit more people then it will be up to you to place those people directly under your front line members. Also, each team of 3 people is called a business center. For example you and your 2 front line members are called a business center. And each business center has a left and right leg.
You build up sales quantity points (SVP) for products you buy for your personal use, products you buy to sell to customers, and product sales made by your team. Each product is given a point value which is called sales quantity points. These points are earned on both the left and right legs of the business. Your commission is based on those points earned. With a binary plan you will get paid a commission based on the weaker legs performance. The weaker leg is the leg with less group sales quantity. For example, if your left leg accumulated 100 points and your right leg accumulated 1,500 points then you’d get paid a commission based on the 100 points which is the weaker left leg.
So it’s very important that you balance the two legs. And in order to do this, you must develop yourself as a leader and take initiative to ensure you implement effective training to help the weaker leg enhance their performance. If you’re a person that is already a leader or knows that you can become a leader then this compensation plan can work for you.
But being an established leader doesn’t average just taking initiative, it method you have to reach a substantial marketing foundation. This foundation is received by the right coach that will show you how to utilize smart marketing techniques to get customer leads that will rule to additional sales or will rule to additional recruitment of team members.
Also, an established leader is going to have to learn how to aim others to become team leaders too. Creating more team leaders will just increase your sales and increase the number of business centers in your organization. It’s known that the majority of your income in an MLM is received by residual income. The amount of residual income depends on your team’s performance below you. So you can see why it’s so important to aim your team. Their financial success just adds to your residual income.
As an Usana associate you can earn money 6 different ways. This includes retail sales, weekly commissions, matching bonus, incentives, leadership bonuses, and elite bonuses. Of course all the commissions and bonuses you receive will depend on your sales, your team’s sales, and you and your team’s ability to recruit people to join the team. There are some important rules within Usana’s payment plan that you must take into consideration if you become a Usana associate. When you reach a pre-determined amount of points, you are paid a commission off those points. If you do not meet the points quota, the points will spill over into the following week. Usana requires that you meet a certain sales quota every 4 weeks in order to keep eligible to receive compensation. If the quota is not reached, you will lose all the points that you’ve accumulated but have not been paid on.
Usana holds a convention every year in Utah. At the convention one of the activities that take place is additional training to help people succeed in the business. However, they are not teaching business owners online marketing strategies, which are the new strategies that are more effective because using these strategies allows you to attract only those people that are already interested in the types of products you’re selling. Usana is teaching a warm marketing approach. This method Usana distributors are being advised to approach their family and friends to promote the Usana products and the business opportunity. Also, associates are advised to attend product parties, attend hotel presentations, and attend company sponsored trainings.
Today, this is an ineffective method of marketing compared to using online marketing strategies. Some of these strategies include employing pay per click to get web site traffic, creating personalized web sites to get people to sign up for your auto responder, using your auto responder to build trusting relationships by providing free informational resources to help people solve their business problems, and this is just a few of the methods that can be used online to generate a large amount of customer leads.
Usana is a well established business providing quality health products that are very useful to their consumers. As an associate you will get paid mainly by residual income which is earned based on your ability to recruit and your ability to aim others to become leaders. You must remember that the binary plan will only allow you to get paid a commission based on the weaker legs performance. So you must make sure you have developed a proven training system to help balance out the 2 legs. You have to really analyze the facts to ensure that this is the kind of plan that is right for you.
Also, if you’re the kind of person that does not mind using the warm marketing strategies, attending hotel meetings, and going to home parties to promote your product then this business may be right for you. But if you’re a person that would rather implement online marketing strategies to generate customer leads, then this may not be the right opportunity for you to commit to. But please keep in mind that every sponsor does aim differently. Make sure you ask any possible sponsor in any business what marketing strategies they use to generate customer leads.
And before you dive into any opportunity, you always want to exercise your options and make sure you compare other business opportunities before you commit to one. It’s a very important decision and I hope I gave you information to help you determine if this business opportunity is right for you or not.