Direct Selling companies eliminate the need for middlemen by acting as intermediaries between consumers and manufacturers. They reduce the costs involved in the business process and increase the demand for goods and services. The following are the three types of direct marketing:
Single Level Marketing
With this marketing, direct sellers create a customer base in a specific town or city. They then introduce and sell goods directly to customers to get good feedback. Growth in this type of marketing is possible through face-to-face communication and references.
The major drawback of single-level marketing is that it is only possible in a small geographical location. Increasing manpower can improve the effectiveness of this marketing; however, this would result in increased costs.
Party Plan Marketing
This concept entails inviting like-minded individuals to a party and then having them try out your product. You can set up contests and award the winners with trials or products. Party Plan Marketers have positively impacted direct selling by creating an extensive network.
Multi-Level Marketing
In this marketing, a direct seller sponsor interested individuals to market and sell the products. This is a more cost-effective way as it eliminates the need for hiring employees. It’s a great way to grow business because of the low cost involved. In addition, it is one of the most effective ways to ensure that products reach thousands of customers in a short time.
Growth of Direct Selling in India
According to a joint report by FICCI (Federation of Indian Chambers of Commerce & Industry) and KPMG, direct selling in India will likely touch INR 64,5OO Crore by the end of 2025. Among the leading direct-selling companies in India is QNET. The company has a large network of direct sellers, both men and women, across the country.
Direct selling in India has created thousands of employments, especially during this challenging economic time. QNET deals in various products such as beauty, health and wellness, home & living and others.
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