What is Stella & Dot?

There's an easy to spot, very high correlation between network marketing companies which use “host parties” to market their wares, and products aimed at women.   Yes, it's a sure sign the hen party is alive and well…and smart social selling businesses are making full use of the special social network that exists among women who love to hang out and shop together.

Enter Stella and Dot.  Here's a trendy, chic, youthful line of products aimed at hip young (and wanna be young) women who can't resist the magnetic power of seeing products in action in the comfort of a friend's home.

Let's take a look at the company, the products, and what's in store for someone who wants to make a go of it and become a “Stylist”, which is what they call their consultants at Stella and Dot.

The Company

Stella and Dot has the distinction of being listed as a Fortune 500 (not 5000!) Fastest-Growing Company.   Every single thing about this business is super cool…probably attributed to the fact that they're based on San Francisco.

The CEO/Founder's name is Jessica Herrin and she comes with business street cred in the name of co-founder of WeddingChannel.com.  Success is in the bag.  Stella and Dot has already been favorably reviewed by The Today Show, the Wall Street Journal, and The New York Times as the perfect example of a modern-day home-based business that combines the best of ecommerce, social media, and a great structure overall.

It all really started in 2003 in Jessica Herrin's living room, where she designed jewelry and started having trunk shows.  Officially rebranded from Luxe Jewels to Stella and Dot in 2007, it's been upwards and onward ever since.

In 2010 Stella and Dot hit their $50 million mark, representing commissions paid out to their legions of Stylists.  The following year, Ms. Herrin received the Ernst & Young Entrepreneur of the Year award.  In 2012, Stella and Dot expanded to the UK and Germany and only two years after hitting the $50 million commission mark, they hit the $100 million mark.  In 2013 they launched handbags.

The Products

If you're a woman who likes jewelry, then from the moment you land on Stella and Dot's home page, you're enticed by everything you see.  The products, the visual references to fashion magazines, the vogue-ready models, and very thinly disguised replicas of very famous brand-name jewelry…all so exciting for a woman who's really into jewelry.

This is mid-range costume jewelry, the type you'd expect to see at a major clothing retailer store like Banana Republic.  Necklaces range from $40 to just under $100 and bags are right on trend, ranging from $24 for smaller clutches to $198 or so for a tote.

The Opportunity

Let's see if the opportunity measures up to the great things we're seeing so far from this company.  Party hosts get to earn free stuff by holding trunk shows in their homes or wherever they see fit.

Stylists, on the other hand, stand to earn some real cash.  Beginning with the current sign-up bonus of $350 in free product, they can also earn 25% to 35% commission on all their sales and earn monthly style credit.  That's roughly $34 for selling a $98 dollar necklace- pretty good!

Starter kits are $199, $499, or $699, each of course containing various amounts of items to sell and sample credits to your account.

There's no minimum sales quota unless you decide to build a team.  In that case, you'll have to put forth at least enough effort to get $500 in sales in one month every 3 months.

The Verdict

Of course jewelry sales benefit incredibly from the customer being able to see the items in person and try them on.  It's common knowledge that once a woman tries on a piece of jewelry, the likelihood that she'll purchase it skyrockets.

Stella and Dot is a member of the Direct Selling Association, which brings yet another level of credibility to the company and the business opportunity.  Prices are just right for the mid-range customer and commission levels are great, too.  The only downside is the minimum of $199 investment in a starter kit.  Anyone with at least a few jewelry-wearing friends should be able to make that back in a snap, however.