DirectSellingStar

Compensation & pay

Retail profit

The margin a participant earns selling product to a customer above the participant price.

Also: retail margin, retail commission

Retail profit is the difference between what a participant pays and what a customer pays, typically 20% to 40%. It is the only income in a plan that does not depend on recruiting.

In many plans it is also the smallest part of most participants' income, because customers can often buy at similar prices directly from the company.