A successful business model in over 120+ countries worldwide. Direct selling, also known as person-to-person retail, is a business model where a party buys products from a parent organization and sells them directly to customers, without a middleman or distributor. It's a type of business-tocustomer (B2C) sale that can happen in-person or online. Direct selling is different from traditional retail because it doesn't rely on traditional retail outlets or online marketplaces.
This business model has a proven track record worldwide, for more than 50 years. Top Global brands and entrepreneurial companies have embraced Direct selling where company affiliated individual distributors, consultants to sell the products or services directly to the consumers.
"Direct Selling" means marketing, distribution and sale of goods providing of services as a part of network of Direct Selling other than under a pyramid scheme. Provided that such sale of goods or services occurs otherwise than through a "permanent retail location" to the consumers, generally in their houses or at their workplace or through explanation and demonstration of such goods and services at a particular place. Explanation: "Permanent retail location" includes such place, location or premises where the seller conducts sales in the ordinary course of business.
"Direct Selling Entity", means an entity, not being engaged in a pyramid scheme, which sells or offers to sell goods or services through a direct seller: Provided that "Direct Selling Entity" does not include any entity or business notified otherwise by the Government for the said purpose from time to time.
"Direct Seller" means a person appointed or authorized, directly or indirectly, by a Direct Selling Entity through a legally enforceable written contract to undertake direct selling business on a principal to- principal basis. The 'written contract' includes e-contracts or digital contracts and the same shall be governed as per the provisions of the Info. Tech. Act, 2000 (Central Act 21 of 2000).
In Traditional marketing channels, up to 60% of product cost is spent on compensating parties involved in various channels, the partners, and not to forget the large chunk of money spent on promotions, celebrities and advertisements.
In Direct selling, by eliminating the intermediary distribution channels and other expenses, the cash saved is passed on to the independent distributors who sell the products in-person or online and MLM is based on Direct Selling with Multi-tiered Commissions.
Aspect | Direct Selling | MLM | Social Commerce |
---|---|---|---|
Sales Approach | Personalized Relationships | Personal & Team Dynamics | Personal & Team Dynamics |
Income Potential | Commission-based | Multi-tiered Commissions | Commission-based |
Networking | Minimal | Essential | Organic |
Recruitment Structure | N/A | Hierarchical | N/A |
Scalability | Moderate | High | High |
Autonomy | High | Moderate | Moderate |
Happiness at work is the feeling that
| U Really Enjoy What U Do |
U Proud Of Yourself
U Enjoy
People Being Around
thus
U have better performance with
U...!
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