MLM Software in Hyderabad: Direct Selling can be a best marketing strategy for MSMEby Appdevelopmentcompany Seoservice app development company, seo servic
Direct Selling can be a best marketing strategy for MSME
A ‘Direct selling’ business prefers a person to person sale of their products or services through multiple chains of people, instead of a conventional distribution or retail store network. It thrives on the strength of relationships people share with each other and expands into a potentially limitless network. More than a century of marvelous journey of ‘Direct selling’ companies like Avon and Vorwerk along with little younger Amway, Herbalife, Mary Kay and Tupperware goes on to prove that this method of selling can indeed drive a company’s extent of geographical and financial growth to abundance.
OK, we have all witnessed how ‘Direct selling’ propels the growth of Multinational companies, but how does it work for Micro, Small and Medium Enterprises (MSME) back home, that have limited resources? Well, I would say, that ‘limited resources’ is the best reason for small and medium companies to choose ‘Direct selling’ over the conventional business strategy of Sales & Distribution network, as they would be in no position to compete with the industry giants in traditional market places.
And users can Post Free Classified Ads in India on these classified websites.
For example, a consumer products manufacturer, to market their products through conventional method requires a good amount of capital investment for an effective publicity and penetration into the markets that depict fortresses when existing competitors have already got their roots spread across and also a relatively nascent market where a particular product or service is yet to get popularised among consumers. Also, heavy margin and credit expectations of the Distribution/Retail channel to promote products of relatively new and smaller companies leaves hardly any scope for these companies to recover their input costs. Assuming that the manufacturer does make way for these mammoth expenses in anticipation of the growth in business…competition’s knowledge, experience and power (of money, muscle / manpower etc) are bound to take the steam out and make the journey tougher if not the toughest. In case the company does succeed against all odds, it becomes an exception. Whereas, if it doesn’t, it joins the list of many companies which have failed in spite of maintaining the best product range of their kind in the entire market.
And users can Post Free Ads in India on these classified websites.
On the contrary, if the same manufacturer/MSME were to choose ‘Direct selling’ they would be in a much better position to not only build their sales volumes through several ‘Business owners’ (Direct Sellers), but also avoid huge expenses on advertising and sales network they would have otherwise incurred in a conventional selling system. While, the Direct Seller’s rapport/relationship with the consumer gives the initial impetus, the product quality and performance take over sooner than later and start offering advantage to the Direct Sellers. The inherent Cash On Delivery system in this strategy gives the manufacturer an unassailable command over the business as the expenses would be minimal, threats from the markets nil and at all times they would possess either stocks or Cash in their hand. Need we ask more?
And users can Post Ads in India on these classified websites.Stay tuned; Keep visiting this blog and contact the undersigned or find your nearest ‘Direct selling’ Consultant for more updates / information on how ‘Direct selling’ can work for your business.
Created on Dec 31st 1969 18:00. Viewed 0 times.