Understanding Direct Selling Made Easy

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The Indian Direct Selling industry that is globally ranked 15 is poised to take off and grow exponentially. The several guidelines and policies put in place by the Indian Government should act as a booster to the sector. The future looks bright for those who wish to become atmanirbhar – They can do so by becoming part of the Direct Selling Network Marketing industry. Joining as Direct Sellers or Distributors can prove to be their first step in becoming independent. This write-up should act as a handy reference about Direct Selling.

What is Direct Selling?

Direct Selling is interchangeably referred to as Multilevel Marketing (MLM). In Direct Sales, the supply chain does not involve any middlemen or intermediaries. Instead, in Direct Selling, products are directly sold by the company to its consumers. Unlike traditional selling that requires a physical store to sell its products, Direct Selling depends entirely on its Sales Representatives – popularly referred to as Independent Representatives or Distributors.

In Direct Selling, the products sold do not go via the usual retail route seen in traditional selling. Instead, the manufacturer sends the products directly to the sales company, from where it finally goes to the consumer. The Sales Representative or the Distributer is at the front of the Direct Selling Company from whom the consumer buys the product.

There are Two Types of Direct Sales

When concerns associated with a Multilevel Marketing company, there is often confusion between the types of sales models they adopt. You need to know them before joining any company.

  • Single-Level: In the Single-Level sales-type model, the Sales Representative is given the responsibility to trade products for which they earn a commission for every customer they sell and does not go beyond that.
  • Multi-Level: In the Multilevel sales-type model, the sales representative earns commission by selling the products or services and earns even when they recruit new salespersons. And most importantly, the Sales Representative earns a commission for both – the sales they make and the sale done by the recruited salespersons.

Know the Methods of Direct Selling

When it concerns Direct Selling, the Sales Representatives apply different modes of communication with their prospects like one-to-one sales, online sales, or party-plan sales.

  • In One-to-One Sales, the Direct Seller and customer meet in a face-to-face conversation wherein the Sales Representative meets the client on an individual business level. The Sales Representative also goes from door-to-door to sell products.
  • The Online Sales method is the most popular and digital way adopted by Direct Selling companies. In this case, the manufacturers sell their products and services using the internet as the medium and the benefits of Social Media. Businesses adopt several online means like blog posting, connecting with influencers. Also, leveraging social media, and email marketing to promote their business.
  • In the Party-Plan Sales method, the Direct Seller or Sales Representative gathers a group of prospects in a meeting. And gives a presentation about the company products to them. Such meetings are conducted to give it a look at a party, though it is formal. Such meetings enable invitees to enjoy and relax, thus influencing and inclining towards a purchase.

Make an Informed Decision in Choosing Your Direct Selling Company

Choosing the right Direct Sales company to collaborate with is not an easy task:

  • You need to verify the background, history, credibility, sustainability, and the products that the company offers.
  • You need to know which type of business model the company adopts.
  • The commission margins offered should meet your expectations.

Once you are sure about the company, its existence, and professionalism, you should only go ahead. There are many effective ways in which you can be a successful Direct Seller. However, taking the first step is like taking a step to becoming independent of the routine 9 to 5 job and becoming your own boss. Hope this write-up motivates you further. All the best.