What Is Consumer Direct Marketing?

Some people make a healthy living from Consumer Direct Marketing.

Consumer Direct Marketing, also known as multi-level marketing, sells products through a chain of consumers, rather than advertising or distributors. Some examples include MonaVie, Mary Kay and Avon.

How it Works

Direct marketing starts with one seller and trickles down to many sellers.

Consumer Direct Marketing starts with a seller. He finds potential buyers of the product and educates them on the benefits they provide. When successful, he then closes the deal. He may also attempt to find other sellers, as the more sellers he converts, the more money he can make.

What to Sell

There are several makeup companies that use Consumer Direct Marketing.

You've likely seen many products sold using Consumer Direct Marketing. Some have higher prices, such as MonaVie's juices. Others, like Avon or The Pampered Chef, offer affordable products unavailable in stores. Other categories, like health products, cleaning supplies and food products, prove popular with consumers.

Criticism

Many direct marketers find themselves empty-handed after their efforts to sell.

Many people believe that Consumer Direct Marketing provides the very few at the top of the pyramid money while the rest of the sellers struggle. Many believe the dream of riches that these companies impart seems unachievable by the average sales rep. Few companies have consistently sold products, and many fizzle out as trends die.

Successes

Amway has been selling cleaning supplies for 40 years.

On the other hand, several companies have succeeded in their Consumer Direct Marketing structure. Mary Kay's independent representatives have successfully sold makeup for over 30 years, and Amway's cleaning products have seen success for over 40 years.

Is It Right for You?

You have to decide if Consumer Direct Marketing is for you.

If you're considering becoming a Consumer Direct Marketer, ask others who have sold the products you're thinking about selling about such things as how much money they make and how much effort they put out. Decide if this provides the best way to reach your goals, and whether you have the networking abilities to consistently find new business.

References

• Ogilvy Public Relations Worldwide - Consumer Marketing - More

Resources

• Small Business Glossary