DIRECT SELLING:TRENDS AND FUTURE
Shopping is always an experience, be it offline or online. People are always on the hunt for products that would make them stand out in the crowd.
We always love to be trendy, right?
Advertisements telecasted on televisions greatly influenced us. There was a time when people could not think of buying products without affirming their quality with their own hands. Over time things have changed; many smartphones have replaced T.V s.
How much of the world population be watching tv now?
Everything is happening online now. The world is digitalized. Learning, meetings, conferences, and so on is happening online now. It did positively influence the business world too. With the introduction of the internet, the business world just took a long leap, with numerous opportunities opening up for all. Now, anyone can do business without any prior experience. Sudden drift occurred in the mindset of people.
People are now ready to buy products and services from friends, relatives, neighbours instead of from retail shops. Have you ever thought of products and services made available at your doorsteps? That is what we call direct selling.
Direct selling is trending now. Covid 19 has wreaked havoc worldwide, and the past two years have been a period of unprecedented changes. Covid 19 period promoted direct selling industry, and traditional business is forced to take a back seat due to the restrictive measures like containment zones and social distancing.
It’s visible what would be the future of traditional business and the direct selling industry. People, day after day, are dependent more on direct selling because of the number of benefits it offers- convenience and service it provides, which includes personal demonstration and explanation of products, home delivery, and guarantees great satisfaction.
It has a vast potential to grow. Let’s have a look at the direct selling industry in detail.
DEFINE DIRECT SELLING
Direct selling can be defined as “face to face selling away from a fixed retail location“. In simple words, it meant carrying goods directly to the customers by a sales representative. It replaces shopfront with door to door delivery.
Related: Direct Selling Software
DIRECT SELLING ADVANTAGES
- Personalised Demonstration and Explanations: This is one of the significant benefits which we lack at retail shops. There, we will not be given any demos or explanations. If we like the appearance of the product, we buy and try it. On the other hand, personal demos and descriptions are helpful for a better understanding and thereby enhances the product sale. You will also get the opportunity to try and test the product.
- Delivery at Home: Yet another attraction is delivery at home. Unlike the traditional business, we need not visit retail shops to get the products here. As online business is gaining popularity, you need to place the orders and receive the products within stipulated time.
- Right to Withdraw the Product: You have the right to withdraw the product due to any reasons you do not necessarily clarify. You can go for it within a given period.
- Ensures Guarantee: Which is one of the major attractions. Who will not look forward to offers? When you buy a product, you will be promised after-sales services to use the product and be renewed by the company for long-lasting use.
DIFFERENCE BETWEEN TRADITIONAL BUSINESS AND DIRECT SELLING
| Traditional Business | Direct Selling |
| Requires high capital investment. | Relatively low in investment. |
| Third party involves in distribution. | No intermediaries is allowed to involve in distribution. |
| Experience matters a lot in the success. | No advertisement or previous experience is required. |
| Better if acquired high qualification. | No specific educational qualification is required. |
Now let’s look at the trends that would revamp direct selling business in future.
1.Global Expansion of Market
Direct selling will have no boundaries in future. It provides job opportunities to those who dive into it, no matter which part of the world you are from. Anyone can experiment and open a new market in any part of the world and expand their market with digital platforms as a catalyst.
Covid 19 has shifted the mindset of people, and taking this as a great opportunity and learning the prospects of direct selling, masses have already started making international connections. From reliable sources, it is discovered that the global expansion of the direct selling market is expected to grow from $168.33 B in 2020 to $184.64B by the end of 2021 at an annual growth rate o 9.7% when the companies open up after restrictive measures like containment zones, social distancing, work from home. The direct selling companies is expected to reach $237.63 b in 2025 at a compound annual growth rate Of 6.7%.
2. Influence of Social Media
Social media has become so popular that, it has become a platform for one to market and sell products by posting on ones profile without leaving one’s home. It connects the consumers with products and sellers. This connection arises from such sources as blogs, networking sites, smartphones and so on. Facebook and Instagram top the list. Instagram reels and live stream and shorts does play an essential role in the promotion of direct selling. Sharing and communication have increased radically on these platforms.
Technology and social media enable every individual to express their dissatisfaction with the world. 90%of customers trust online reviews and recommendations. People rely on social media outlets to know more about the products. One should grab the opportunity that social media provides to become an individual marketer. Social media is not a platform to view posts and write comments; instead, it is a dias where you will be gifted with plenty of opportunities.
3. Rise of Female Entrepreneurs
Since the rise of network marketing, there has been a constant rise in female entrepreneurs. In India, this is a male dominated industry. 79% of women are involved in this industry worldwide, while in India, the ratio varies as 80%men and 20 %women. But with the rise of the pandemic, there occurred a change in thought process of people. Now homemakers, retired hands , everybody is thinking of multiple income sources. People now a days don’t like to ideal away their time. Instead, they are in a hunt to generate supplement income.
There will be many businesswomen, much work from home coming up soon. The direct selling industry provides them with enough opportunities to fulfil their dreams. The brighter side of this business world is that individuals can work at their own pace and earn a good living. Here, no one is there to question you. You can be your boss. This trend of getting self-employment will accelerate the growth o this industry in future.
4. Online Training Programme
This is mandatory as far as the direct selling industry is concerned. Initially, it took much effort to teach the associates about network marketing; what this model is? How will it work? Slowly everything evolved. Leaders of the team realized how important it is to motivate the associates. They must constantly be encouraged to maximize their business productivity. To achieve the target, both the old and new associates be provided with the training.
As time passed by, training became mandatory, and associates were given training regularly. Covid 19 has taught us that it is possible on online. Here after we need not necessarily attend training, conferences at hotels, conference halls and more. Technology is so advanced that we can meet up on different platforms like zoom, skype, WhatsApp etc. This trend will enhance the growth of direct selling industry.
5. External Support System
It is essential to keep oneself updated. You cannot simply survive on old strategies, old tools and age old methodologies. The world has evolved radically, and consumer habits changed; the colour of jobs changed this industry must change. The new trend in direct selling will arise shortly. Due to the profound influence of social media, youtube channels, changes in people’s habits, rise in transparency, every network marketer can access the best training. Network marketers started realizing that If you have to grow up as a good marketer, you need special activities and coaching to achieve something extraordinary. Internet avails you of the best trainers or your development.
6. Variety of Payment Modes:
The world is digitalized and is expanding at high pace. The old method of transactions gave way to Net Banking, UPI, E-wallets. E-commerce snatched the lions share of significant gains. Companies will gradually shift to this mode of payments, and these online sales will ultimately become the future of this industry. Multi-currency models will be adopted in future, and shares of online business will increase. You will witness technological upliftment in the Direct selling industry.
