In 2017, the global market for direct selling sales reached $189.6 billion. In the next five years, the industry is expected to turn in $1 trillion in sales. These numbers that made top players out of business owners, distributors, and sales representatives are not by-products of “get rich quick” schemes, masquerading as direct selling firms.
A direct selling company is one of the best and most rewarding businesses you can venture into. Tried-and-tested strategies and blueprints for building the business from the ground up are available, and most of the time, all you need to do is to create the perfect product that meets a need, and then create a channel of distribution. However, as with any business, you will have to overcome certain challenges to run a direct selling company.
Product Research and Development
You can’t just force a product idea into existence. It starts with research and finding the best materials and manufacturing process to use, and the best people to make it. Once you have a prototype, you need to test it to see where it can be successful, how it can be improved, and which features to retain. You have to constantly be on the watch for improvement and work towards maintaining quality.
As an entrepreneur, one of the most challenging things you will face is making sure that everyone and everything involved in your business is on the same page. You will initially take on more than one or two roles in the business—manager, marketing officer, bookkeeper, salesperson—so it can be a bit overwhelming if you don’t know what to expect or have underestimated the gravity of each role and task.
Slow Growth and Return on Investment
Your company can explode and become an instant success, however, it is not always the case. After a year or two, you may be starting to evaluate your business decisions. Sometimes you will feel that you have not done enough or that you took a wrong turn somewhere.
Business will not always be booming during its launch and growth period and you have to be ready to deal with it.
Why not take this time to explore? You could check out successful competitors and take note of what they are doing differently. Maybe you have to make the hard call of cutting losses with products that are not popular enough or by improving your sales model.
Direct selling companies are not without their challenges, especially for start-up entrepreneurs. It takes blood, sweat, and tears, and as much capital as you can put together. Once you see the fruit of your efforts pay off in sales and growth, in meaningful connections, and in your company’s impact on society, it will all be worth it.
If you know that you have what it takes to become successful, start your business now and enjoy the benefits later!