How to Make Money in Direct Sales

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Direct sales is a popular business model where independent affiliates sell products and/or services and receive a sales commission and residual income based on their sales volume. The direct sales model is also known as network marketing or multilevel marketing. While many people have a negative impression of direct sales, it can be a profitable and personable business model.

  • Decide if you are more comfortable doing person-to-person marketing, Internet marketing or traditional advertising. Whichever ways you choose to spread the word about your product, service or opportunity, your message will stay relatively the same.

  • Become comfortable with all the details about your product and/or opportunity so that you have the confidence to answer questions.

  • Realize that the direct sales model is based upon relationship building with people. Being a great salesperson means being a great listener. You should get to know your prospects as well as possible by showing genuine interest. The more you know about your prospects, the more you know what they want, what their fears and reservations are and what they expect from you.

  • Attend community functions and/or join as many social networking sites as possible to begin expanding your social network. Useful social networking sites for direct sales are Twitter, MySpace and Facebook.

  • Stay in close contact with whoever recruited you into your direct sales business. Your "upline," or those above you in the business, should have tools and resources to help you grow your business. Many in the direct sales business host hotel meetings and home presentations to support those in their organization and boost recruitment. Attend local training and recruiting meetings and bring along prospects to increase your organization's growth.

  • Make a video of yourself. Talk about your background, your experience and your product, service and/or opportunity. Many people want to connect with someone they can relate to, so video marketing is an incredibly effective sales tool. Include your telephone number and/or website in your video.

  • Upload your videos to popular video sharing sites such as YouTube, Vimeo and Metacafe. Include as many keywords in your video description as you can, and make sure those keywords are relevant to your product and also to your competitor's products.

  • Look for direct sales companies that are new or relatively new. Remember that in the direct sales model, those at the top make residual income from all those who subsequently join. Therefore, it makes sense not to join a company that has thousands and thousands of affiliates and has been around for years because the growth potential is limited. By joining newer direct sales companies, chances for more residual income are greater.

  • Believe in the products you are selling. Authenticity is the best sales tool there is when it comes to relationship marketing.

Tips & Warnings

  • Do as much "due diligence" research as you can before joining a direct sales team. Make sure your upline, or recruiter, has the tools and time to help you make your business grow. Also, make sure the compensation plan is lucrative and fair and that the product and/or service is in demand and is high quality.
  • Before you join a company, test your warm market or Internet network to see if people are indeed receptive to what you have to offer. If there seems to be no interest in that product or service, look for something different.
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