Kitsy Lane – Review





Kitsy Lane Logo

www.kitsylane.com

Kitsy Lane is an online jewelry store making it possible for anyone to create a personal “e-boutique” for 25% commissions. With prior approval a personalized line of jewelry can be added as desired.

As it is, Kitsy Lane offers big name and lesser known anklets, bracelets, earrings, necklaces, pendants, rings, hair accessories, and many more jewelry-related merchandise.

The whole concept is to take the energy of a home party trunk show and harness it to a social networking salesforce of home based, online e-boutique owners.

Leadership

Andy Fox is the founder and Chief Executive Officer. Former Vice President of Product Management at Novell, Mr. Fox has been involved in mobile startups and some voice processing companies.

Launch:

Boston, Massachusetts, USA.  July, 2012

The Better Business Bureau:

The BBB provides Kitsy Lane with a B+ rank.

Common competitors:

Lia Sophia, Origami Owl, or Avon Jewelry.

The “Kit” in Kitsy Lane

  • Free Affiliate Status:
    • No need for preapproval or to provide essential billing information, this completely no-cost sign-up can instantaneously turn you into a boutique owner (what Kitsy Lane calls its affiliates) and have your jewelry boutique up and running without delay. Just provide a name for your jewelry boutique, complete a simple sign-in form and you’re in in the jewelry business.
  • Storefront:
    • In short, Kitsy Lane provides an affiliate page (e-boutique) under your personalized web address (always YOURNAME.kitsylane.com). In a very intuitive style you create your own web space with a welcome message, your own logo, choice of color, texture, and background. In a few quick clicks you select items for sale, which ones you care to feature on your home page, which you will flash sale, and all the other basic shop owner decisions.
  • Inventory:
    • There are 700+ costume jewelry related pieces, most from $40 to $90 in price.
  • Marketing:
    • Next comes marketing with Kitsy Lane resources for Facebook, Twitter, and most popular social marketing platforms. E-coupons are a snap and helpful suggestions of sales messages, even exclusive webinars, are at your fingertips from the moment you open for business.
  • Payment/Shipping: No problems, all handled by Kitsy Lane online processing. You can sell today!
  • Customer support: Again, it’s a Kitsy Lane problem, not yours.
  • Compensation:
    • Compensation from two sources:
      • Personal Volume: Direct sale of retail products
      • Team Volume: Indirect sale of retail products downline by those you recruit

Flash Sales: In addition to constant updates to the inventory catalogue, Kitsy Lane offers frequent flash sales of selected items selling at a discount for a certain set time period. Celebrities and fashion designers often involve themselves in these events.

COMMISSIONS:

Sale prices less any discounts or promotions are the basis upon which to calculate commissions. Shipping and taxes are not part of the calculation.

Some items and sales are not commissionable and these are identified by Kitsy Lane. Chargebacks are applied in the case of returns or refunds. If an item is returned, the Boutique Owner does not earn a commission on that item; if a commission has already been provided the Boutique Owner then that commission amount will be deducted from the next payout.

Boutique Owners earn commissions on any purchase they personally handle on those handled through their specific e-boutique.

Boutique Owners also earn commissions on those items sold through Boutique Owners they have personally enlisted. These enlisted Boutique Owners are the sponsor’s “downline.” First level downline items sold by personally enlisted Boutique Owners pay the sponsor 15% commissions on each item.

Team Volume does include four levels of enlisted downline Boutique Owners. However, commissions are only paid at the personal direct sales level and just one level downline (those Boutique Owners who are personally enlisted by you).

Direct Sales:

Kitsy Lane claims that participants can achieve a 25% commission on each sale. You can achieve a 15% commission on sales from your referrals to other boutiques.

A quick example provided by Kitsy Lane shows the following when each order approximates $75:

  • Five orders per week will earn $3,500 per year.
  • Five orders per day will earn $25,000 per year.
  • Twenty orders per day will earn $100,000 per year.

It’s curious Kitsy Lane would promote 25% commission when this example demonstrates no more than an 18% commission.

  • Sell Personal Volume $1,000+ in a month and get an extra 5%
  • Sell Personal volume $2,500 in a month and get an extra 10%

Indirect Sales:

Team volume can get you there as well:

  • Be active and have $10,000+ in team volume in 1 month and get an extra 5%
  • Be active and have $25,000 in team retail volume and get an extra 10%
  • Team volume is counted to 4 levels deep.

You’d want to have Kitsy Lane explain the difference, and to clarify the percentage of commission you would be allowed on your own jewelry merchandise should you desire to sell such.

Payout Schedule:

Of course, in order to be paid, you’ll need to provide our essential information to Kitsy Lane for issuance of a 1099 independent contractor tax record.

Kitsy Lane uses a third-party vendor (www.bill.com). A $1 processing fee for each check is passed back to you.

Commissions are generally paid within 60 days after the item’s return period has expired. On or around the fifteenth of the month following the return period month Kitsy Lane will issue payment in the form of a check.

You Can Be Disqualified:

Payment of commission is dependent upon a good standing assessment by Kitsy Lane. They reserve the right to suspend a Boutique Owner account at any time and in full or in partial suspension according to their discretion. Some reasons for suspension include:

  • Spamming: sending unsolicited promotions (emails, texts, tweets, etc.) in an effort to promote or make sales.
  • Inactive management: the Boutique Owner no longer attends to the e-boutiquet or respond to customer requests.
  • Exceed maximum number: the Boutique Owner has activated and is operating more than 5 Kitsy Lane boutiques and/or exceeds the current limit of 500 registered customers per boutique.
  • Violation of Terms of Service: any such violation.

Penalties If Disqualification Is Administered:

  • Full suspension means no operability of the e-boutique or its extended activities
  • Partial account suspensions can include:
  • no available use of one or more than one boutique
  • discontinuation of emails or social media messages generated from the e-boutique
  • loss of connection with downline
  • loss of a portion or all outstanding commissions

Advantages:

  1. Ease of startup, you don’t even pay nor provide payment information.
  2. Affiliate status, complete with customized storefront and 25% commission per sale is a no-brainer.
  3. Customer service (including returns) are handled in the Kitsy Lane online package.
  4. Marketing scheme, necessary software, exclusive webinars, all supplied and functional from day one.
  5. No threat of a pyramid scheme or money game…actual retail products, no membership fees.
  6. Commissions can be earned on your own Kitsy Lane purchases.

Cautions:

  1. Reconciling a 18% commission demonstrated in their examples with a claim of 25% commission and other gaps of information need to be clarified prior to participation.
  2. BBB complaints seem to center around payment amounts and payout scheduling conflicts.

There Is A Better Way

Fortunately my mentor, Brad, shared with me a better way to make more money in an easier, less complicated way. Get his best ideas for free right here. You’ll be glad you did.

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