How To Make Money In Direct Sales

How to make money in direct sales. So I've been doing this throughout my career in multiple, multiple direct sales businesses. Now the statistic, 82% of direct sales companies go out of business or change their model within the first one to three years. So be mindful as you walk through this. We're going to talk about the formula for success. We're going to talk about the pitfalls, how to avoid them. And last, we're going to talk about how to scale beyond the basics. And this is going to ruffle a lot of your feathers. So stay tuned to the end. So first of all, again, direct sales companies, it's a rough model. For those that make it, the Avons of the world, the Mary Kay's of the world, the Amways for the send out cards. There are some that have been around a very long time, Herbalife. There's some that are really solid business models. And then there's a lot of us one product wonders. They get one product comes to market and then it goes away. So what are the facts? Global statistics that direct sales revenue is $175 billion. This is in 2023. So a lot of money moves that way. And the reason I like it because 74% of those who sell in direct sales are women. And more importantly than that, it's something that they're in love with. They love the product. And what I love the most for women, men, and anyone in this area is you get paid for your performance. So it's not a hierarchy of, you know, you finding your way to the top. It's actually, if you perform, you sell, you make your way to the top. So I love that it's highly performance-based. So the formula for success is you've got to build a system and you've got to build a system into your day. So calendar your day, the best energy part of your day. When are you going to actually do your outreach? So every day you're going to be doing some social media and make sure you follow the rules of the direct sales companies. Some of them actually let you hold up their products. Some of you let them say their names. I'm in another one. They don't like me to say their name, but it's a home wellness product line. It has a lot of different products. I use it pretty exclusively in my home. Interesting, but they don't use the name. Odd. So there are some, you really have to follow their rules or you'll get your hands slapped, which I try to push the limits and do that anyway. But you want to do your social posts every day. Everyone who actually clicks in, in the beginning, you want to systematically call every one of them. You want to have them get into some sort of a sample product. So have them, instead of just giving free samples away, which is the traditional, you tell me roll my eyes, because you're not going to get anything with free. Not in my opinion. So you can give some information away then have them click and put together little packets of samples. So then you're selling them for $7, $10, $20. Get them on the product first or the system, whatever it is. Once they're in the system, then you systematically have them get into a monthly auto ship. Once they're in for 90 days, is my opinion, as a good system, then you ask them to be a leader and join the company. Unless they know right away they want to join the company. A lot of you do as you're being told, go find leaders. Well, if they're not even willing to use the product, how are they going to lead in the product? So if you think about common sense, consumer spend and use, I'm going to get samples, see if I like it. I'll buy samples, but if I can just get a sample, but I can't get the sample pack because you uniquely put it together, I'm probably going to spend the $7 or $10. What that also means is I'll have the efficacy of it means I'll probably actually consume it or use the product. If you just give it away for free, it's probably going to end up in some junk drawer or thrown away. So systematically think about behavior. Then you want them on monthly. Then if they're on monthly for 90 days, most likely they're going to stick. Now you put them in a leader spot in your downline. So building your organization is a huge systematic approach and you need to understand their compensation lines. So if you don't understand the compensation lines, you won't build right. So some of them have just two lines and they only build so far deep. Some say they pay forever. Can that really happen? I find those actually are the companies that tend to fall apart because financial technology that supports it doesn't actually have the ability to pay that low. And then if the only way that's going to happen is the price has to keep going up because you're going to have to keep paying out more and more and more. So be mindful, be smart about it. Talk to people who really understand the financial models of the system. So you'll be posting, you're going to be systematically putting them together, and then putting them into a database. So here's where it gets a little different. It's a huge pitfall that I see as we go into pitfalls is you send everybody to your back office right away. People don't know what to do in your back office. It's your back office. It's not a marketing site. So what we do, contrary to everyone's opinion, is have you, the person, who's spending the money on the direct sales, on the marketing, on sales, on any of the social media, even if you put ads together, you're the one spending the money and time. So front face yourself on a website. So if it's a skincare line, maybe you are a skincare expert. Maybe you are anti-aging expert. If it's just a wellness line, you could have a wellness line. You could have gifts and cards as you're a personal shopper and add that in. So I want you to have the business. So if the direct sales product that you're using goes away, you still have a business, which means you need your own website. You need your own marketing. I'm going to send you to how we do our marketing. It's called askrms.com. A-S-K-R-M-S dot com stands for Rapid Marketing Systems. We can get that up and running for you for just a very, very small fee. We'll be up in minutes for you. You literally will then have an ability to capture all the names, phone numbers, and emails. So although the direct sales company says you can go always back and get your customer list from their system, try it. It's very difficult. I've seen it before. It's very difficult to see it. And usually if they're falling apart, which just happened a couple of months ago to a line that a bunch of folks here in our office were in, and it just went away overnight. And literally everybody in your downline was gone. There was no way to go capture anybody even in your line or anybody you ever referred to the company. So keep your own database. It's a massive, I say financial pitfall because if the company goes away, you're just going to replace it with a different product line. That doesn't mean you change who you are. If you're a professional shopper, then you're going to find a new, you know, pool of things to shop for people. If you are a travel agent, there's travel companies that do direct sales, then you are a travel agent. Go get an online course for 40, 50 bucks, 100 bucks and become a professional travel agent. If you're health and wellness, you're just going to find a product to serve your client with. So if this is interesting to you, I want you to go to asklaurel.com, ask questions, make requests. I also want you to subscribe to my channel, click that notification button and send it to everyone that's in your direct sales lines right now. Get everyone on the same page in this conversation. The thing I like to do with all of you in direct sales is make sure that you're incorporated, your taxes stay low. You have extra money that you know how to go invest. Like I want you to really use the direct sales model, which creates unlimited cashflow for you to actually become a millionaire and actually do this. So I'm actually going to give you the download of my whole book. Version two just came out this year, and I want you to read up the chapter three, do the gap analysis in the show notes below. I want you to click, go get the book, do the gap, and then call into our office or click the link to schedule an appointment and talk one-on-one to our team on how we can help you really build your direct sales model for good cashflow, but then it grows into ultimate wealth. As far as scaling your business, you want to create your own monthly meetings, weekly meetings, however you want to do that. If you blend into your, say, upline or people that have bigger systems, you're going to now collateralize your database to their database. So I tend to not do that. I want to host my own calls, do my own trainings, keep the people that are following me, following me, because I'm also probably going to recommend or encourage more than just the one thing they're buying. So people come to me for, say, the new skin line, because they were like, they want to use the skin products. What else could they use? Could they use the home wellness? Could they use the gifts and cards? Could they use other things so they can amplify their ability to make more money? So think systematically, think training, think marketing, think database, and you'll be thinking the right way. Again, if you have any questions, go to asklaurel.com, ask questions, make requests. We'll be back tomorrow.