Beauty and personal care has been a very profitable industry. People want to use products that are safe on their skin and for the environment. I guess that’s why multi-level marketing companies like Seint and Arbonne are doing well for themselves. Still, most of the network marketing or multi-level marketing companies that I have reviewed has mostly been concerned with either health & wellness or beauty & personal care. There have been some companies in slightly more niche industries. Or industries you wouldn’t think would have multi-level marketing companies. So I when I found out about a clothing company that operates with a multi-level marketing, I was kind of excited. I haven’t really reviewed one of those before.
Cabi was founded by twelve people in 2002. Yeah, that’s actually a lot of co-founders. But the story of how the company was founded, at least what the company has acknowledged, is that it was getting really hard to buy clothes through retail spaces. If you’ve ever shopped for clothes at a mall or a brand’s own store, it’s really hard to choose clothes that fit your body and your style. Sometimes, the store runs out of the size that you’re looking for. Or the measurements of the size don’t really match your body type. Because of a lot of factors, clothes designer Carol Anderson and marketing consultant Kimberly Inskeep decided to ask ten of their like-minded friends wat they want to see from a fashion brand. And through that, Cabi was born. Cabi is short for Carol Anderson By Invitation. Kimberly Inskeep serves as the company’s CEO while co-founder Syd Ryan serves as the company’s Chief Culture Officer.
It seems like a lot of multi-level marketing companies do tend to cater more to women than men. Cabi’s entire deal seems to be more about giving women an opportunity to earn money by selling clothes directly to women at the comfort of their own homes. According to an article made by Fortune on its website in 2015, Cabi has a retention rate of 85% compared to the usual 20% in other direct selling businesses. That’s a pretty high amount, considering. Less than one-fifth of the people who join Cabi leave the company.
In order to start your journey as one of Cabi’s “stylists,” a different take on the term “affiliate member,” you can buy either of two collections. The introductory collection costs $1,250 and features select pieces from each clothing group that’s in style for that season. The full collection costs $2,500 and includes, obviously, the full collection of pieces for each group and some additional jewelry pieces. You also have to pay for the shipping fee and taxes for both collections.
Considering how expensive the full collection may be, people will probably be a bit more hesitant to put that kind of money into a venture like this. For the most part, the clothes are targeted to women. And that’s basically who you will be selling the clothes to. One good thing about Cabi is that they don’t really have those ranked levels that most multi-level marketing companies have. You know the ones. You have to make a certain number of sales in order to earn more commissions and all that. You just only have to clear out your stock from whatever collection you bought. And that’s it. You get commissions from the sales you made. You will probably earn back the money you put into the company. And maybe a bit more?
The thing about MLMs is that you can never really guarantee though if you will actually earn your money back from it. Joining MLMs is a sort of investment. Because you’re putting in time, money and effort into something. Because Cabi is pretty much a home-based business, you will have to drive over to your customer’s house in order to let them see the collection of clothes that you’re going to sell. It takes a long time to drive, and you have to put your inventory into the car. You have to worry about fueling up your car. There are so many things that go into the entire experience of being part of Cabi. I mean, most fashion brands sell their clothes online now. They have size guides for their clothes. It’s probably easier to buy clothes online. But I guess it helps that you can see the clothes you want to buy?