Case | HBS Case Collection | December 2012 (Revised October 2013)

Rodan + Fields Dermatologists

by Das Narayandas, Michael Roberts and Liz Kind

Abstract

The case focuses on issues involved in managing the direct multilevel marketing sales consultants who sell R+F skin care products. The company is trying to better manage the inconsistent and highly variable recruitment behavior of the sales force i.e., the degree to which existing consultants recruit new consultants. The company utilizes a range of periodic incentives for recruitment, but hopes to build a system of salesforce compensation and management that relies more on intrinsic rewards and less on these periodic incentive programs. The case forces students to address principles of compensation system design, as well as more fundamental issues around what they believe motivates this "volunteer" (i.e., non-employee) sales force.

Keywords: marketing; Marketing; Consumer Products Industry; Beauty and Cosmetics Industry; California;

Citation:

Narayandas, Das, Michael Roberts, and Liz Kind. "Rodan + Fields Dermatologists." Harvard Business School Case 513-067, December 2012. (Revised October 2013.)