Direct sales businesses What are they, how do they work and how much money can you earn with them?

One of the ways that shows greater success when finalizing the sale of any product is direct contact with the customerand it is that people highly value the fact that the seller goes to the site where the interested party is and that he understands his needs.

For this reason, direct sales are today one of the most effective tools to earn a lot of moneythrough the commercialization of a certain brand, which allows reaching and expanding the market in a very successful way.

In the next note, you will know what are direct sales businesses, as well as its characteristics, what are its benefits and types of direct sales. In the same way, you will see the best sectors to apply a sale of this type, with their respective examples.

What are direct sales businesses?

This is a method used by many companies, which offers all its products to customers taking them to the place where they are, without the need for people to go to a store or specific place.

Secondly, It is a very attractive commercial strategy, since it allows the business to know first-hand the client’s intentions, what they need, as well as possible criticism that the product may havein order to apply the necessary corrective measures so that everyone is satisfied.

Characteristics of direct sales businesses

Direct sales businesses have been climbing positions as time goes by, this method is very effective, since customers know first-hand, and in an almost personalized way, all the benefits that the product can bring them. Now, to better understand what it is about, it is necessary to know what its peculiarities are, all of them very marked, clear and specific, of what a company of this type is.

The characteristics of direct sales businesses are:

• It is a business that has direct contact with the client at all times.
• Their sellers, they are in charge of explaining to people in detail what the product is abouthow to use it, and what benefits it can bring.
• It has ways to accessible payments or in comfortable installments.
• the products alone can be purchased this way.
• Sellers have catalogs so that customers can see all the products in a better way.
• sellers receive commissions for the sales you make.
• To publicize the product, the seller make a brief explanation of the product and the brand, as well as it can clarify all kinds of doubts in case they arise.
• They show a large stock and enough to cover the demand.

Benefits of direct sales

Every time There are more people who work in this type of business, and not only because of the economic utility that it offers, there are also other types of factors that influence and are very beneficial for anyone. For this reason, all these advantages are a hook from which many cling to be part of this method.

The main benefits of direct sales are:

• Direct sales can offer a variety of products, from beauty items to clothing, shoes, or auto insurance.
• You don’t need a place to be able to sell.
• It is not required of such a high investment.
• It’s a alternative distribution channel for all companies.
• You as a seller can organize how to manage customersdepending on the product you offer.
• It allows you to reach different markets, in different areas.
• It is not necessary to have studies advanced nor specialized.
• represent good income.
• Flexible schedules and convenience.

Types of direct sales

The method to apply will depend on the strategy used by the company, as well as the type of clients to whom the product is directed, in this sense, and before choosing which option to use, It is important that you know the market before making a decision. There are three types of direct sales, each with very particular characteristics that make them stand out from one another, all offering excellent results and benefits.

The types of direct sales are:

• Single Level Direct Selling: is one that is done in a personalized way, where the seller goes to the place where the client is and performs a demonstration or exhibition of the product, the income obtained through this method is through commissions, the presentation of catalogs and organization of meetings are key aspects to be successful with this option.
• Organizer Sales: You as a seller must organize and gather a group of people in a certain place, and in this way, show them all the benefits that the product offers, as well as explain its use or application in case this applies, allowing for questions, clarifying all the doubts that may arise, in order to create a commercial relationship, obtaining as a result that people feel attracted and can buy the item for sale.
• MLM Sales: Also known as multilevel marketing sales, where companies use independent sellers to publicize their products, providing them with various incentives such as promotion of positions within the organization, and the payment of excellent commissions for sales made.

Other types of sales you should know

To sell a certain product, you can support yourself in various forms and ways, the idea of ​​all this is to reach the public and captivate them with the article that you are offering. For this reason, you can have various models, each of them has a different work methodologybut they show excellent results to the company in their own way.

The most important types of sales are:

• Transactional sale: It consists of achieving the greatest number of sales through the greatest number of clients possible, it is characterized by carrying out discounts and promotions to attract people, in the same way, the buyer usually spends very little time through the sales funnel, since he is only interested in a certain product, there is no prior explanation of the article, it can be carried out in person at a physical store or remotely online.
• Wholesale or wholesale: It is done when companies buy directly from manufacturers, and then distribute the merchandise or sell it at retail, the objective of all this is to buy the products in large quantities at a lower price, to later sell them a little more expensive, on the other hand, this allows wholesalers to have permanent contact with customers, having these distributors as intermediaries, since in some way these will show important data about the marketing of a given item.
• Telephone sales: also known as telemarketing, it runs on two stages: “outbound telesales” that is done when calling a customer to offer the product, and the “inbound telesales” and this occurs when a certain customer contacts the sales team because they are interested in the merchandise. Now, for this format to be successful, you must know what is the right time to make the call, since at first you will most likely not achieve the sale you want, so you must go in stages, establishing a good relationship with the client and that he feels identified with what you are offering.
• Internet sales: Internet sales have had a boom in recent years, all thanks to the proliferation of e-commerce, which have become the stores with the highest number of sales, due to the number of products they offer and that each item It can arrive at your doorstep without the need for you to go anywhere. For this type of sales to show favorable results, you must have an appropriate marketing team, one that is clear about the objectives set, and that presents an advertising campaign where social networks and other technological platforms are the protagonists.
• Sales through social networks: Today social networks are a very powerful tool, for this reason, many companies have been able to take advantage of it, using these platforms to promote and sell their products. Media such as Market Place, Instagram store or WhatsApp sales groups are at the forefront of all this, therefore, large corporations have invested in professionalizing these departments with advisors and experts in the field, who will fine-tune the strategies to follow, to that the products can be successfully marketed through all existing networks.

Best sectors to apply direct sales

As we have been telling you, direct sales are an excellent mechanism to reach customers, create a good business relationship and expose all the benefits that the product can bring them, but this can go further, since there are sectors where this strategy can be more effective in the short term, which is what every investor wants. In this sense, each sector has its particular characteristicswhich depending on their bouquet will allow them to adapt to this method in a more natural way.

The best sectors to apply direct sales are:

cosmetics

The cosmetic sector is one of those that best adapts to this modality, since your sales are based on the demonstration of the products. A meeting to show the effects of some facial cream, or the exposure of the color of some lipstick in white-skinned people, are certain in which you can guide yourself.

Other elements such as payment terms and catalog sample to choose the different perfumes, are activities that must be done face to face, talk and create affinity, that is why this sector is one of the most important for the development of direct sales.

supplements

People seek to maintain a good figure, look and feel good, for this, vitamin and protein supplements are the most indicated, which is why this industry has been the one that has shown a firm commitment to direct sales, since sellers are trained with professional training before offering the products, in order to advise the client and recommend what is best for them.

Other tools on which this sector is based, are meetings with large groups, seminars and conferences, and of course home visits, where that relationship of fidelity with the client or interested parties is established.

Insurance

All people who have a car are interested in acquiring good insurance, therefore, many companies of this type seek to reach their potential customers immediately and in key places, therefore, this sector implements the direct sales method , in order to expose to all interested parties the benefits that the policy offersas well as the various prices and promotions.

This market is very interesting because of how varied it can be, since it will depend on the type of vehicle that the client has, the costs and the needs that may arise. Having a good attraction strategy is essential, so direct sales is the indicated method for this sector.

telecommunications

Technology has become a very important factor in everyday life, for this reason, it is important to have a good mobile device and the best way to offer them to customers is through direct sales, since the seller can explain to the interested party of all the functions that the device has, as well as its characteristics and everything related to its operation.

Also, through this modality, promotions and discounts are usedin addition to payments for accessible installments for the client, so that it can be an attraction for a later sale.

Examples of successful direct sales businesses

Direct sales is a model that has shown excellent results, this is how many companies have adopted this format to become very successful corporations, generating truly extraordinary profits. On the other hand, these businesses are recognized worldwide, directly or indirectly employing many people around the world, being pioneers in their brand.

Examples of successful direct sales businesses are:

Herbalife

Company dedicated to the production, marketing and distribution of vitamin and medicinal supplements, is found in almost every corner of the planet, and bases its success on the implementation of direct sales to publicize its products. Every year it holds meetings, gatherings and forums, where thousands of people come together to join this network, providing them with interesting benefits, prizes for established goals and climb positions within the organization.

Avon

The cosmetics giant is a company recognized worldwide for the number of direct sellers that sell their products, Avon made a profit of $5 billionbased on this very successful method, which has allowed him to be in a very prestigious place for thousands of clients.

Make-up, perfumes, skin creams and accessories are some of the products that this corporation offers, and one of its key points for success is that close relationship between the seller and people who are interested in purchasing their items.

Amway

It is an American company that is responsible for manufacturing nutrition, personal care, home accessories and natural medicine products, It currently has a base of 1 million people who are dedicated to the direct sale of all its articles. Amway showed some profits greater than $8 billion during the last periodall thanks to the sales method in which they are handled, adapting at all times to what the client needs.

nu skin

Company that focuses on personal care, for skin and hair care, on the other hand have successfully undertaken in the food area, and all this thanks to the direct sales method, which has made the company known around the world. Another of its characteristics is to offer its vendors, very good commissions with beneficial compensation for sales madewhich makes it a very attractive at the time of attracting a new staff for its marketing and commercialization.

nature

It is a Brazilian company responsible for the production and marketing of cosmetics and beauty items, it is a pioneer in using the direct sales method in the world, resulting in earnings in the last period of approximately 3 billion dollars. This company has been linked to the conservation of the environment, managing to issue a message that all its vendors try to expand when offering products, making this the motto of the organization.