Why Direct Sales Will Take You Further Than MLM

Picture found in a San Luis Obispo store


Guest post by Arthur Georges

There are some people who will try to sell you on the idea that there is little difference between a direct selling opportunity and an MLM opportunity. Nothing could be further from the truth, however. Here are some differences between the two opportunities so that you can evaluate them and make your own, informed decision about the best path for your life.

Product Quality: Direct sales companies tend to market higher-ticket items. They're normally going to be one time sales to a hot market-that is, people want and need the things that are being sold. You'll be looking at durable items, things that are valuable to the consumer. In a MLM scheme, the products are often lower quality, lower ticket items. They may speak to some manner of demand, like the health supplement craze does, but it's telling that MLM participants are sent after their family and friends-their so-called warm market-before they're sent anywhere else. A truly good product does not require a sympathy purchase from your Uncle John.

Payment Structure: In direct selling the payment structure supports being paid directly for your personal sales. It is true that there are sales managers when you do direct selling, and it's true that you might even end up one. It's even true that some direct selling opportunities make finding other reps part of the prerequisite for being a sales manager. However, the sales manager makes a far smaller percentage of the sale than the actual rep does in a direct selling business-just as in any business. The sales manager's rewards come in motivating each member of the team to do well enough for him to make a living off of, while the sales rep makes the living from the sales. In MLM, the sponsor will always make most of the money, and the sponsor's sponsor will make even more. The person who did the actual sale actually gets the crumbs that are left over.

Focus: MLM's tend to collapse under their own weight as soon as each representative realizes the money is to be made in the recruiting. If only people with downlines make money then it makes more sense to focus on building a downline than it does to sell products. That means that very few actual products get sold, and very little money is getting made. Direct sales opportunities are stable. You can work for ten years as a representative without ever touching management and still make good money as a direct marketer.

Top Tier direct marketers embrace the cutting edge of the internet to do even more than traditional direct marketers can. The best success of all can be found with a company like this. A little research will help you find them so that you can begin enjoying the opportunities and lifestyle they ultimately offer.

Arthur Georges is the founder of Home Business Australia. Learn more at http://www.homebusiness-australia.com.au.
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Greg Cryns
Scentsy wickless candles consultant

Marketing yourself: The 1-2-3 Handshake

photo by shirishbendre

You never get a second chance to make a good first impression.

If your career depends on meeting people offline (and I think most of us would profit from more offline activity), the first impression is a visual event.

An important part of making that oh-so-important good first impression is the handshake.

Follow these three simple handshake rules to get started.

1. Look your prospect in the eye. Look at the pupil in his eye. Experts say that this is a great way to bond with another person and it will affect that relationship in the future. Say a few words while you are shaking hands. If you say nothing you imply that you are nervous.

2. Make your handshake firm but not too firm and definitely not too limp. Men grow up learning this but women may need more practice. It's a business world, not a coming out party.

3. Smile! Show your prospect that you are really happy to see him. Nobody enjoys a serious sourpuss.

Greg Cryns
Work At Home Profiles
Wahm Search Engine

You can make a living on the Internet

A friend of mine called me yesterday. I had not heard from her by phone in a few months. I did send her a special eCard for Christmas two days before.

She is a web marketing pro. That means she worked like a dog for seven years building her own websites and taking chances on other web properties. Two years ago she told me one of her ventures was providing a living for her and her husband. She was not getting rich off that business, but rather she was more comfortable.

She also sells candles. For the past two years she worked diligently to build a large team (downline) in her candle business.

Her check this month is $37,000 for her candle business. That's pure profit, friends.

People say you can't make money on the web. Yes they can.

Greg Cryns
PLR Articles for your website
Expert website creation and development
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Customer service: selling is not a bad word!

Twitter may or may not be all that it's cracked up to be, but I've made plenty of friends and discoveries during the past few months of highly active Twitter participation.

For instance, @RobbDrury responded to me by directing me to a customer service video. I almost did not click the link thinking it was just another sales pitch. I am glad I did finally click that link because I think we need to think of customer service no matter what level we achieve in a company.

In fact, I will say that the most successful companies these days are those that understand that everyone in the company needs to be an evangelist for that company. Achievable? Probably not, but we can hope that a large percentage of our fellow employees will be evangelists. Why? Because if the company succeeds, I succeed. If you say that making money to put food on your table is not your idea of success, well, then you are lying. That may not define "success" but then we are discussing nuances of a word.

Back to Twitter, I ask people if they want to exchange "business cards" through Twitter. See, I think everyone on Twitter is in business even if they are not selling things. But we all are at least selling ourselves in one way or another. We need to get away from the idea that "selling" is a bad word.

Watch this video sent Robb Drury to see what I mean.

photo by jennifer könig

Greg Cryns

Are you talking too much?

It is so easy to fall into the trap of loving the sound of your own voice and simply talking too much.

As a business owner, salesman or manager you need to make sure to give your prospects and clients ample time to express themselves.

Do you find yourself saying any of these?


1. Now pay attention.

2. You really need to hear this.

3. Listen.....

4. Look....

If you use any of those statements, you may have an inability to attract and hold the attention of clients and your subordinates at work. It may be high time to reconsider what you are saying and give yourself a listening tune-up.

Here are some thoughts that come to my mind on the subject of listening.

Do your clients and customers often ask you to repeat what you said?

Are you tempted to interrupt people while they are talking to you?

Do you sometimes finish a statement for a client or team member just to save time? Finishing statements for people will diminish their desire to communicate with you.

Are you thinking of responses during the communication process? If so, you may be losing a sale.

How often do you use the work "I" in your sentences? Think about that the next time you talk. It may surprise you how often the "I" word pops up. People are not that interested in what you have to say. They are more interested in what they have to say.

When we talk at people and not to people, it is like talking to ourselves.

Be careful about your preconceived notions and thoughts. We all have them but that does not make them a good idea in your life.

Tip: think about what it was like before you learned what you know now through long hours of study and experience.

Photo by Sarah L

Greg Cryns
Wahm Search Engine
Scentsy - a hot business idea

Tom Peters - "we are all salesmen"

Quick. What does "marketing" mean? While you are thinking about that on the back burner, what does "salesman" mean? Is the picture getting clearer?

Tom Peters says, "Every single person on the marketing team is a salesman."

"If the MBA were wiped off the face of the earth we would live in a better world."

About China, "They are developing MBAs which means they are on the slippery slope to oblivion."

I agree with Tom Peters. Each person inside a company needs to be a salesman for the company. Ideally, as an owner you would like them to be an evangelist for the company, but you would be happy if the employee at least felt like a salesman.

Even the coders for the websites fit into the saleman designation.

See for yourself......


Tom Peters on Yes! You Are in Sales! from Tom Peters on Vimeo

Photo by Jens Peter


http://www.workathomeprofiles.com
Scentsy: http://www.scentsy.com/16684
http://www.wahmsearchengine.com
Twitter: http://www.twitter.com/calgreg

Interview - Direct Sales expert Nancy Sutherland

20 Ways To Make $100 A Day Online


Interview with Nancy Sutherland Direct Sales Marketing Coach

Nancy is an Independent Sales Director with Mary Kay Cosmetics. She received top honors and prizes in her career. You can read about her interesting journey to the top on her blog. Nancy now also coaches direct sales people and gives them the benefit of her experience.

Nancy's blog: http://www.directsalesmarketingqueen.com/

Q: You started your career with Mary Kay in 1986. You earned your first Career Car in 1987 and your first Pink Car in 1988. That is very fast success. How did you make it happen?

A: I really started my career to enjoy some time with other women while spending time with my children at home. I immediately fell in love with the business and discovered what it had to offer me and my family. When my youngest son started school, I made a commitment to work towards a leadership position in the Company. By setting a goal that had a reason behind it followed by a plan of action, you can achieve success!

Q: Your personal story on your website certainly is inspiring. Do you think you would have been just as successful if you did not have your personal problems?

A: I believe that everyone has challenges in their life. It’s a choice that each and every one of us makes that is whether the drama is going to make us bitter or better. I have always made the choice to be a victor rather than a victim. By being transparent in sharing the difficulties in my life, I hope to inspire and encourage other women.

Q: I talked with another successful direct sales consultant recently. She told me that in her experience people going into a direct sales business must have a love of the product and the need to make money. Do you agree?

A: I agree that the love of the product is crucial. That part has always been easy for me. The need to make money is not always a motivator in a direct sales business. Some people can’t handle the financial pressure in the beginning if they don’t work another part time job until they get their business off the ground.

Q: We always hear about the people who make a lot of money in direct sales. We also know that most people do not earn anything close to six figures. What does it take for a person to make an honest living, say $40,000 per year, in direct sales?

A I will tell you that it is simple, but not always easy. It really takes consistent effort, each and every week. In my business, that would be just a commitment to hold two appointments a week because of the advantage of the great reorder business. In addition, it is necessary to stay in constant contact with your customers in whatever manner that they prefer, phone, email, work, etc.

Q: You started with Mary Kay in 1986 before the Internet began. How did you manage to become successful without the Internet?

A: The internet is a great tool, but what you are doing is building relationships, one at a time. Word of mouth is the easiest way to grow any business. I have found that it works online, but we have been doing the same thing before the Internet.

Q: Direct sales have a high dropout rate. Do you think it is too easy for people to start their own business since the advent of the Internet? In other words, are there too many people who probably should not be in their own business because entry fees are relatively low?

A: I have always felt that it is better to try and fail than to fail to try. You never know if it right for you unless you try. When a new consultant comes into my unit, I ask her to give it a year of honest effort before she decides if it is for her. Because of that commitment, I have women in my unit for over a decade, and a few since the very beginning of my business!

Q: in today's marketplace, what single marketing method is most important to promoting your direct sales business? Second place?

A: I believe that face-to-face marketing is the single biggest business builder followed by superior customer service. That creates loyal customers.

Q: Some people just want to sell products and not build a team. Do you think this is a good model for profits?

A: Many people want to just sell products. I would say about 80-90% of the women in my unit fall into that category. Having a strong leader to teach them the skills to grow their personal sales is crucial. That is what I have always strived to do.

Q: What is the biggest road bump for direct sales people?

A: The biggest obstacle for most women in any business, especially direct sales, is handling their emotions. The fear of rejection is probably the most common, but you can learn to overcome this with a great leader.

Q: You now focus on coaching people in direct sales. Do you think people in Internet Marketing or other areas can benefit from your coaching?

A: Yes, absolutely! I have teamed with Carrie Wilkerson, the Barefoot Executive and others to help get the word out. Carrie has put together a Barefoot Boot Camp that starts this week. I will be one of the teachers in this telesummit. (http://tinyurl.com/5fgghc)

Q: Are you still active in Mary Kay?

A: Yes, as a matter of fact, last year I coached one of my consultants to first runner up in the National Court of Personal Sales! I am in qualification now for my tenth career car and still have a very strong personal sales business. I will be in this business for life!

Q: Generally speaking, why should a direct sales person seek your coaching help?

A: I believe that there are many people who have the desire to make it in direct sales and not the resources to learn how to be successful. Having a good mentor who is active in the field TODAY makes all the difference in the world.

Q: What can a good coach do for a person who is lucky enough to have a helpful, experienced leadership in their direct sales company?

A: A good coach can provide more specific training on the skills necessary to build a solid business for life with practical, relevant applications.

Q: I am glad we met on Twitter. But social networking is still in its infancy. How important is social marketing on sites like Twitter, Facebook and others in your coaching business? How can direct sales people benefit from social networking as well? Is it worth the time and effort you need to put into it?

A: Social networking has been extremely helpful for me to build new relationships and very successful collaborations. There must be a balance in the time that you spend building your business online through social networking and out in public.

Q: Would you recommend blogging to direct sales people? Why?

A: Blogging is a very popular way to become transparent and share with others gaining visibility along the way. As always, people want to do business with those that they know, like and trust. If this is another way that you can do this, it will benefit your business. Not everyone likes to write, but it is fun for those of us who do!

Q: Most of us have heard about The Secret. Do you think "positive attitude" gets too much hype?

A: There is no real secret. The harder you work, the luckier you get! But having a negative attitude or allowing yourself to spend time with those who are negative will definitely hold you back..

Q: Please explain about "list building." Do you think a direct sales person would benefit from this activity?

A: List building is a way of being compliant with the CAN-SPAM regulations. It is a tool to allow your potential customers to get your up to date newsletters and sales offers. I don’t have much experience with this. My company provides the tool for my customers to opt-in to regular news.

Q: If you had not found Mary Kay and the coaching business that resulted, what do you think you would you be doing to make a living now.

A: I would probably still be teaching cosmetology students

Q: What are your plans and goals for the future?

A: My plans for the future are to continue to enrich women’s lives.. I plan to continue to do this through my direct sales business. I also plan on holding seminars, workshops, speaking engagements and conferences. My husband Alex and I would like to retire in Texas in 10-15 years.

Thank you, Nancy, for spending time with us. I am sure many will benefit from your experience.

Greg Cryns
http://www.wahmsearchengine.com
http://www.workathomeprofiles.com
How did Michael Phelps get his start?