Give Products Away as Gifts

Sometimes we have to give to get. This goes for business as well. If we use some of our products as free gifts now, we get to make a bigger sale later. It is a trade-off and we have to decide if it is worth the effort and money.

It is up to us how much product we want to keep on hand as inventory. Most direct sales businesses do not require an inventory be kept.  Keeping inventory can result in having too much product on hand or getting stuck with something we can’t sell.

Promotional products are a way to interest people in buying from you. Purchase a variety of products, maybe something from each category of product that you sell. Use these gifts at parties as:

• Door prizes
• Hostess gifts
• Game prizes
• Incentives

The items don’t have to be expensive but they can be something that a customer would like to have. Use more than one product item to create baskets that can be given away with a show booking or with at least fifty dollars in purchases.

When giving away promotional items, don’t forget to include a business card. A good business card includes several ways to get in touch with you: telephone number, address, and website address. You want people to continue to use your products and see you as a resource.

Free gifts are an option for building a list of contacts. Have everyone at the open house party enter a drawing to win a product prize, like a raffle. They will sign their names on a slip of paper that clearly states that they are giving you permission to add them to your mailing list for future notices.

The point of giving away products is to build exposure. Other ideas for product giveaways are: charity auctions, school events, public events, and trade shows. For the price of your products you are getting your name out there among people who can become customers at some point, which is the strategy we are going for.

All giveaways don’t have to be purely products that you are selling. Many businesses use familiar items and pair them with products. Personalize keychains, hats, mugs, pencils, pens, and lanyards with your company name and contact number. Every person who gets a free gift now is promoting your business and you don’t even have to pay them.

Product giveaways are a great way to market to a wider audience when direct selling. Target your product choices to the type of customers you want to attract. Add other items that are useful and contain your contact information for additional free advertising. Download our free guide “Marketing your Direct Sales Business.”

Get More Downlines Under You

In today’s economy, there is no time like the present to begin your own business. It won’t be easy, but if you are doing something you like, it will be worth it. And, by using downlines, you can take others along with you on this journey.

What are downlines? Perhaps we should explain that first. When you start your own direct sales business, some of the compensation plans involve bringing other people on board as sales consultants as well. Your earning potential is tied to the number of people who you get to start their own direct sales business.

It sounds like a pyramid scheme. That is what they call direct sales businesses that are out to defraud their consultants, but it is not what we are talking about here. With legitimate direct sales programs, downlines are the business associates that you bring in plus the people that they bring in and so on and so on and so on.

Now that we are on the same page, let’s discuss how to turn these downlines into bigger profit for your business. What are your priorities in your direct sales business? The difference between a good business leader and a run-of-the-mill one is how they view their business clients.

To increase your profits and more importantly, help others realize their dream of entrepreneurship, will determine the success or failure of your downlines. Someone who is interested in the profit only will be concerned about the number of people they recruit and not the individual relationships with those people. A savvy salesperson can convince anyone to join a direct sales business, but who’s to say that they won’t get disillusioned and quit?

Getting more downlines under you begins with caring about the people you bring into the fold of your direct selling business. As the lowest level of the totem pole, you bring in others who you feel would benefit from direct selling. As their “mentor” of sorts, you guide them through the process of getting started.

After signing the contract, many people have “signer’s remorse.” They begin to regret the decision. Part of your commitment to your belief in the business is shepherding them along until they reach their confidence level and get on their feet. Something made them want to get started in direct sales. Find out what that is and nurture it.

When they are ready, they will recruit others. Concentrate on people who have the best chance of being serious about starting their own business. They will begin and stick with direct sales and make excellent team members. A strong team will increase your downlines and your profit.

Want to get more concrete downlines? Develop an interest in your clients. Cultivating successful business relationships grow a business faster than preaching to the public and just signing people up.

Download our free guide “Marketing your Direct Sales Business.”

Pros and Cons of Direct Sales

Direct sales involve selling products to customers without the benefit of a store. The potential for profit is enormous but so are the dangers. Here are some of the pros and cons of direct sales.

Pros:
Direct sales have gotten a bad rap. All of them are not schemes and many do sell legitimate products of high quality. There is something for everyone, from affordable products to ones on the higher end for affluent clients.

1. Direct sales give anyone a chance to be a business owner. Entrepreneurship allows everyone to realize their dream of working for themselves. How much you make is directly proportional to how hard you work at selling your product to others.

2. Direct sales let business owners set their own hours. It is a perfect proposition for stay-at-home moms with small children. They can work part-time or full-time as their schedule allows. Moms spend time with their kids and gain a sense of purpose.

3. Direct sales have low overheads. When you sign on with a direct sales program, they provide all of the tools you will need to get started for a low payment. Most can be started for $200 or less. You probably spend at least that much on shopping for the family. Now, you have begun your own business with unlimited return.

4. Direct sales programs offer support for their sales consultants. It can be tough getting started, especially if you have no sales or marketing experience. The support of the company can mean the difference between success and failure.

5. There is plenty of variety with direct sales. You can choose a product you feel comfortable with and believe in. From jewelry to home décor, there is a business to fit your interests.

Cons:
All that glitters, as they say. It is important to check out your direct sales program before signing on the dotted line.

1. All direct sales programs are not on the up and up. They can talk a good game but in the end, take your money. If the up-front cost is heavy and there is no support to speak of, keep on moving.

2. Some direct sales programs have hidden costs you didn’t count on. They supply a starter kit for you to host parties but don’t tell you about the brochures, other products, and any marketing items that you pay for out of your own pocket and are not reimbursed for.

3. Each direct sales program has its own guidelines for earning commission. In an effort to earn money, it is easy to lose sight of the goal and concentrate solely on money. You can convince people to buy something once and gain a big initial earning but for long term gain, you could be sunk.

4. Direct marketing programs offer websites for their associates. Unfortunately, all of these sites are exactly the same and tied to the main company site. Search engines won’t be able to find you individually and neither will you get the traffic you need to make sales.

Are you considering direct sales? Be aware of both sides of the coin with this business before you begin.

Download our free guide “Marketing your Direct Sales Business.”