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What You Need to Know About Direct Selling

If you have gone this far at life, there is a huge chance you’ve come across the term “direct selling” once or twice before. Direct selling has been around for ages, taking root from olden British practices of peddlers who knock on people’s doors to sell their service or product. Since then, direct selling has gone through numerous facelifts and has used the internet to its advantage.

If you are interested in venturing into direct selling by becoming a sales consultant, then this blog entry is just what you need. We have compiled some of the most important pieces of information you’ll need to help you get started. Grab your pen and papers ready because we are about to teach you everything you need t know about the world of direct selling.

Direct Selling Philippines
  1. The Basics

Direct selling is a form of Multi-Level Marketing (MLM) where representatives and independent sales agents sell their product or services directly to potential customer away from a fixed retail location. Simply put, direct selling provides its agents the freedom to earn without being tied down to a desk or chair. They are often given discounts and incentives for hitting sales quotas through their own creative strategies. Companies provide direct sales agents huge discounts on products which they can sell to potential customers according to the SRP (suggested retail price).

Direct selling has been around since the olden days, taking root from peddlers who would knock on people’s doors and offer services or products. Now, the list of products can range from fashionable jewellery pieces to gourmet food items. There are endless varieties of products that direct selling companies invest on so it is important that you do your research before signing up.

Direct selling companies offer agents starter kits at highly discounted price, make sure to find a product you believe in.

“Simply put, direct selling provides its agents the freedom to earn without being tied down to a desk or chair.”

2.  Marketing Strategies

Direct sales consultants have the freedom to sell and market their product in any way they deem fit – as mentioned, the digital age has given direct selling a facelift but some of the tried and tested methods are still being used and are as effective as they were before. Below are some of the tried and tested marketing strategies still being used by some of the most successful direct sales consultants to this day.

The Party Plan Model
Network Marketing

a. The Party Plan Model

This model is used to efficiently sell a product to a group of people in a friendly and social atmosphere. Oftentimes, Direct Sales Consultants visit homes and invite a group of prospective clients for an afternoon of food, drinks and a demonstration of their products.

This is, by far, one of the most effective ways to sell products as clients are often in a good mood and are more open to suggestions. The biggest challenge Direct Sales Consultants face is reception from clients. Pushing a product too hard on a more intimate environment can leave potential clients feeling cornered and intimidated. The Party Plan Model makes it a whole lot easier for Direct Sales Consultants to get through to potential customers and build a network.

b. Network Marketing

Have you heard of the saying that word-of-mouth is the best marketing strategy for any business? Well, that still rings true to this day. There are many businesses that follow this business model. The goal is to move a product across a steady network of independent representatives for both personal use and sales. In this model, companies rely on the money being shelled out by the representative for their income.

The independent contractor then has the freedom to sell the products according to the SRP and gain profit that way. Companies who follow this method also give out incentives for outstanding performance.

Be very wary of companies who use this model though because many institutions who are involved in the Pyramid Scam follow this, too. The difference between a legitimate direct selling company and one that isn’t is determined by the value of their product. Scammers would often put a hefty price tag that is of no good use or value.

There you have it, some of the most important things you need to know before venturing into direct selling. Of course like any sort of business venture, proper research is needed to make sure you find a niche that is right for you. Ask friends and family what they know about direct selling and get to know a direct sales consultant in your area to know more about what it takes to be in such a profession.

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