While forecasters estimate that the national unemployment rate will remain well above 8 percent through 2012, and perhaps even longer, even Federal Reserve Chairman Ben Bernanke stated earlier this week that the pace of progress of labor market conditions will likely be “frustratingly slow.” Several analysts have largely credited the slow progress to structural impediments in the labor market, including the “mismatch” between existing job openings and the characteristics of job seekers – many of whom are highly qualified college graduates and experienced professionals in search of a new career path.

Where does direct selling fit in, you ask? With countless individuals facing job cuts, reduced pay or hardship in applying for their first job out of school, the direct sales channel offers a unique, challenging – and rewarding! – opportunity for people of all ages to launch a business with the backing of an industry that has been in important part of the U.S. economy since the early 20th century, not to mention the network of millions across the globe who find direct selling to be a source of empowerment and extra income.

Consider the millions of people out there who are unemployed or underemployed and searching for an opportunity to put their skills, knowledge and motivation to succeed into practice. These men and women of all ages and backgrounds can each find their own personal success in direct selling, whether it’s a stop-gap measure until they find a new traditional job, or something they find to be a long-term source of income! With so many individuals striving to earn an income, many of the jobless are merely looking for new ways to channel their energy into a career that produces results, provides opportunities for flexibility and enables individuals to gain invaluable business experience.

While it may be cliché, recognizing the “glass as half full” is as important now as ever; while the national unemployment rate has seen little improvement over the past few years, now is the perfect time to spread the word about all of the opportunities direct selling has to offer!

I sat with a group of four women at lunch yesterday. Their experience with the company ranged from two years to just a few months. I asked each how she got involved and was impressed with the candor of their responses. None of them set out saying “I want to be a direct seller,” but each had found her way here. One had reluctantly attended a party, ended up buying several products and a few months later decided to give selling a shot because she thought some extra money each month would take the pressure off the family finances – that was two years ago.

All the consultants I’ve met are very genuine, real, intelligent and motivated women. There’s no hype, there’s no pretense – but there is a lot of camaraderie. During the introduction of the fall product line each was busy writing notes and facts that they will use when they demonstrate the products. The addition of additional colors was a particular high point. “I can’t tell you how many people have been asking me for that in red!” I heard one woman say.

I’m headed home on a red-eye flight tonight. Most of the women here will make their way home tomorrow, armed with a new selection of products, new friends and new strategies for achieving their goals. I leave here with a certain satisfaction that the collective story of direct selling, for all of its diversity, is still just as I portray it every day – a flexible opportunity that can be personalized to one’s own situation. In a world with so much bad news, I think that’s pretty cool.

The following information only touches on the ways direct sellers contribute – if you have other examples that illustrate direct sellers contributing to the betterment of their communities, I’d love for you to talk about them here.

• There are more than 15 million independent direct sellers in the United States selling everything from organic gardening supplies and household products to cosmetics and food mixes. A majority of these individuals pursue direct selling on a part-time basis, earning supplemental income, although some do make direct selling a full-time career. Without the additional income some would find it difficult to make ends meet.
• There are many well-known name brands that use a direct selling model, but perhaps more importantly there are countless small sole-proprietorships – individuals who started their businesses in their home as a way to stay at home with their families. In turn, they are now helping others have a flexible schedule that meets each person’s unique needs.
• Direct selling is a perfect example of micro-enterprise. For just the cost of a starter kit (which is usually less than $100 and typically contains product samples, catalogs and training manuals provided by the company at-cost or below) a person from any background, with any level of education and with any goal can get started in direct selling. That small investment may enable that person to make ends meet or he/she may grow it into a larger business. And, if a person decides direct selling is not a fit, he/she has invested little more than their time.
• Direct selling companies and their independent sellers are passionate about giving back to the community. In fact, according to a study on the socio-economic contribution of direct selling to the US economy, in 2004 US direct selling companies gave an estimated $90 million to charitable causes. When asked what types of organizations benefited, 89 percent said they contributed to human services and charities, 36 percent of respondents contributed to education and 14 percent said they contributed to causes that benefited the environment.
• The direct and indirect economic activity generated by direct selling companies resulted in an estimated $6.6 billion in total federal, state, and local taxes in 2004. This helps communities run.
• While economic contributions are more easily measured, the industry also contributes considerably to the quality of life enjoyed by many Americans. Supplementary income, work schedule flexibility, and the entrepreneurial aspects of direct selling are some of the major benefits cited by direct sellers. These social contributions are no less important than the economic contributions.

Direct selling has an impact on many sectors of the economy. It is about much more than selling products and earning an income. For many it’s a chance to accomplish a goal, develop business skills, or simply to meet new people. The companies are active in their communities and encourage their sellers to do the same. It’s really impossible to separate direct sellers from the community because they are one in the same.

]]> http://www.directselling411.com/blog/direct-selling-contributes-to-the-community/feed/ 1 http://www.directselling411.com/blog/people-in-glass-houses/ http://www.directselling411.com/blog/people-in-glass-houses/#comments Wed, 26 Nov 2008 22:08:19 +0000 Amy Robinson http://www.directselling411.com/?p=110 I came across an interesting blog post today by industry critic Robert FitzPatrick. On his blog he recounts the story of Lasdwun N. Luzes – a fanciful economist who is described as, among other things, “a lobbyist for the Direct Selling Association, a fierce critic of consumer protection and a fervent anti-regulation spokesman.” The fact that no such person is a lobbyist for DSA is only the first indication that the entire scenario is a carefully-crafted farce. It turns out this sham character dates back to a 2000 April Fool’s hoax Mr. FitzPatrick engaged in for a publication related to the printing industry. What I find most telling about this particular literary expedition by Mr. FitzPatrick is what it reveals about his position on ethics. In short, if you don’t have facts to support your theories – make them up! Oh, and don’t forget to present the fictitious ramblings without noting that they are satire – that way you’ll fool a lot of people into believing what you have said is true, but if anyone ever calls you on it, you can claim it was all a joke. Nice.

Ironically, it is exactly this kind of deceptive behavior Mr. FitzPatrick accuses direct sellers of engaging in.

Anyway, in the interest of setting the record straight, I’d like to propose a more realistic alternative – one that’s actually true. Meet Bjorn Boss. Bjorn works for a small consulting firm in Anytown, USA. Bjorn is also an independent seller for a direct selling company. He works about 10 hours per week on his direct selling business and makes about $200 per month. It’s not a lot, but it helps pay the bills each month. He joined the company about two years ago because he wanted to buy products he was already using at a discount. After awhile, others found out he was selling the products and wanted to buy them too – thus his business began to grow. Maybe someday he’ll build the business into a full-time endeavor, but for now, he’s enjoying the extra income and the flexibility to decide when, where and how he runs his direct selling business.

The defining difference between Lasdwun and Bjorn Boss is that Bjorn actually exists – in the form of millions of Americans who are direct sellers. Some get involved for supplemental income, some build a business, and some sign up as a seller because they want to buy products they already use at a discount. There’s no cookie cutter description for all the Bjorns out there. That’s one of the greatest attributes of direct selling – it’s completely customizable to each person’s unique goals.

Critics like Mr. FitzPatrick will try to lump all direct sellers into one big pot and suggest that no one succeeds because only a small percentage make a full-time income. Not only does that completely misrepresent the reality of direct selling, but it disrespects to the millions of people who rely on their modest direct selling income to pay the bills each month. I’d like to see Mr. FitzPatrick look those people in the eye and tell them they aren’t successful. It might give him a whole new perspective on what “success” means – and for most, that’s not a 6-figure income.

]]> http://www.directselling411.com/blog/people-in-glass-houses/feed/ 7 http://www.directselling411.com/blog/get-out-of-the-pessimistic-economic-tailspin/ http://www.directselling411.com/blog/get-out-of-the-pessimistic-economic-tailspin/#comments Sun, 02 Nov 2008 16:37:10 +0000 Amy Robinson http://www.directselling411.com/?p=107 I came across a blog post today by a guy who had seen a recent article on the increasing popularity of direct selling. He was bemoaning the fact that the result would be more invitations to direct selling parties or demonstrations. He’s right that the poor economy will probably encourage many people to explore whether direct selling is for them. There are tons of products out there that are of interest to people – especially with the holidays coming up. But what really caught my attention was his “warning” to people to decline the invitations. What? His logic is as follows: “The hard truth is that we do not need more broke Americans spending what little surplus cash they have on stuff they don’t need,” he says. I hardly think it’s fair to paint the U.S. economy that unfavorably – the majority of Americans are far from broke. In fact, I believe it’s his kind of pessimism that makes an already tentative economic situation worse. He probably has his mattress filled with cash, too. My logic says that in this type of situation you should get out there and do what you can to return our economy to good health – and while that doesn’t mean extravagant, careless spending, it also doesn’t mean hunkering down and becoming a hermit in your own home.

 

Here are just a few thoughts:

1)      Give yourself a “pick-me-up.” If the news of economic woes has you feeling down, you need to look on the bright side. The economy is cyclical – it always has been and always will be. Sitting at home a worrying about it won’t change a thing. If you are invited to a direct selling party or demonstration – go and have fun! It’s an inexpensive night out. If you find something you love, consider it a little gift to yourself. If not, thank the hostess for a wonderful evening, and on the drive home think about how you didn’t spend $25 for dinner, $10 for a movie ticket, and who knows how much for drinks afterwards.

 

2)      Be part of the solution. Most women don’t stop wearing cosmetics when a recession hits, just like most people don’t stop their health and wellness routine. For people who already buy these products, most will keep on buying. Others may even discover new brands because smart companies (direct selling, traditional retail or otherwise) increase their marketing during economic slowdowns. Research shows people are very receptive to marketing when the economy is slow because they are looking for signs that things are getting better. I say, don’t just look for signs – get out there and do something about it! When people start buying again, the economy is going to get better, so forget about putting your money in your mattress and be part of the solution.

 

3)      Do yourself a favor. A thriving economy is built on commerce. Whether a particular company has its products on store shelves, sells through mail order or engages a salesforce of consultants to market its products – the end result is the same – products and services are distributed to those who want them. There is always going to be a market for quality products and services – and direct selling gives people the opportunity to earn supplemental income while having fun at the same time. If you are looking for an additional source of income and are intrigued by the thought of doing something on your own, direct selling may be a good option. But, that doesn’t mean you should take the choice lightly. Be sure to set goals and thoroughly check out any company you are interested in to make sure your expectations are reasonable. Direct selling is, in fact, selling, so don’t expect the commission checks to start rolling in without putting in some work. And be sure to think beyond your immediate family and friends. While they are a great group to start with to get your feet wet, long term success will require you to get out of your comfort zone and market your products on a wider scale.

 

Pessimism fuels economic woes, and depriving oneself of a little fun now and then only makes the situation seem worse. So America, while the government is busy throwing billions of dollars at the situation, take the easiest step you can and change your own outlook. Get out there and have a little fun. If you happen to pick up a new shade of lipstick or a new centerpiece for the dining room table, all the better. Consider it a dose of medicine for both your psyche and the economy.

]]> http://www.directselling411.com/blog/get-out-of-the-pessimistic-economic-tailspin/feed/ 9 http://www.directselling411.com/blog/real-stories-real-success/ http://www.directselling411.com/blog/real-stories-real-success/#comments Fri, 03 Oct 2008 19:53:18 +0000 Amy Robinson http://www.directselling411.com/?p=98 As baseball great Yogi Berra once said, “It’s déjà vu all over again.”

This week I’ve seen several blog posts repeating the tired assertion that 99% of direct sellers lose money. One even referred to the myth as a “cold hard fact.”
As I’ve pointed out previously on this blog, more than half of direct sellers report that their net income from direct selling, after taxes and expenses, is positive. In addition, positive net income is reported by nearly half of new direct sellers – those representing their current company for less than a year.
I’m sure this post will encourage the same critics who spread the 99% myth to respond to this message with the same information, that quotes the same circle of people, referencing the same “research” again and again. You can go back and review all of those previous discussions on earlier posts on this blog if that information is of interest to you. I won’t repeat it all here.
Anyway, my purpose with this post is not to spend more time debunking the 99% myth with dueling facts and figures. We’ve done that already. More important are the stories of actual people, average Americans like those profiled in a few recent media stories I’ve linked to below, who personify the success direct selling can provide – whether success is $200 a month or much more. Take a look at these examples:

Direct selling has carved out substantial niche

Direct sales businesses boom as economy tightens

Direct sellers strike balance, maybe gold

There are a couple of key points from these stories worth mentioning.

Not everyone in direct selling earns a six figure income, but then, not everyone is looking to earn a six-figure income. Many of the people profiled are seeking a little extra income in their spare time and they’re obtaining it via direct selling. As I am proud to point out, the median income for a direct sellers is about $2,400. The average income is actually significantly higher, but statistically speaking, the $2,400 number is far more accurate – that’s based on the millions of people just looking for (and achieving) supplemental income.

One of the other theories posited by direct selling critics is that if you’re not already in the business, it’s too late and the market is saturated. Not true. As the stories above demonstrate, successful direct sellers are entering the business all the time.

As I’ve said numerous times on this blog – direct selling is not for everyone, and just as with anything in life, there are people who will try it and not find the level of success they were hoping for. Anyone considering direct selling should clearly define their personal goals and thoroughly research both the industry and the specific company they are considering. Hopefully this Web site will assist in those efforts.

So, keep in mind that despite the stories in the articles above, success in direct selling is not guaranteed. But contrary to what our critics would have you believe, neither is failure.

]]> http://www.directselling411.com/blog/real-stories-real-success/feed/ 2 http://www.directselling411.com/blog/dreaming-of-a-less-stressful-holiday/ http://www.directselling411.com/blog/dreaming-of-a-less-stressful-holiday/#comments Thu, 11 Sep 2008 15:56:41 +0000 Amy Robinson http://www.directselling411.com/?p=97 It’s early September, and already the stores are full of Halloween decorations. Before we know it, we’ll be gathering for Thanksgiving and looking forward to Hanukah and Christmas.

It’s just about this time that many direct sellers are getting ready for holiday sales. In fact, many direct sellers do most, if not all, of their selling activity during this time just to earn extra money for the holidays or qualify for great deals on holiday gifts that they’ll buy themselves! Consumers are also finishing up their shopping lists and want to find interesting gifts – which they can do in a less stressful, more fun atmosphere through direct selling.

While you may not be able to avoid the mall completely, direct selling is a great way to get a jump on your shopping list. And consider this:

* Instead of driving circles around a mall parking lot, you can park in your host’s driveway.
* Instead of battling the crowds, you can relax with family or friends and take your time perusing the merchandise.
* Instead of standing in line at the cash register, you can fill out an order form at your leisure.
* Instead of lugging bags of gifts out to your car, your purchases will be delivered to your home.

Hard to argue with that! To see if the gifts on your list are available from a DSA member, check out this list of companies. Happy shopping!

]]> http://www.directselling411.com/blog/dreaming-of-a-less-stressful-holiday/feed/ 0 http://www.directselling411.com/blog/direct-selling-social-networking-far-before-web-20/ http://www.directselling411.com/blog/direct-selling-social-networking-far-before-web-20/#comments Mon, 23 Jun 2008 02:44:39 +0000 Amy Robinson http://www.directselling411.com/?p=90 I admit it – I frequently attend direct selling parties and demonstrations. Sometimes I call it “market research,” but I really do enjoy the opportunity to browse for new and interesting products, as well as catch up with old friends and perhaps make a few new acquaintances in the process. I was a direct selling customer long before I started working at DSA, so this is one aspect of my work that isn’t like work at all!

 

While I’d certainly be a direct selling customer no matter what, my role with DSA has given me a different perspective on the many reasons why people are involved in direct selling. When we talk about the benefits of direct selling, we tend to focus on the fact that direct selling provides customers with a unique experience that includes the personal touch of a knowledgeable sales representative, or the opportunity for supplemental income that many find attractive. But whenever I attend a party or a personal demonstration I’m always reminded that for many people, the best thing about direct selling is that it builds a community. Admittedly, women will look for any excuse to do a little shopping – it’s a relaxing pastime that for many is a much-needed release from otherwise stressful lives. The chance to shop and socialize is, well, the best of both worlds.

 

Most of the women at a recent gathering I attended are long-time friends – and those who didn’t know each other quickly found conversation centered on the products for sale, which led to discovering other common interests. It was clear that they welcomed the opportunity to peruse the items offered for sale; and most went home with a new-found gem or two. However, what was most clear was that they came for the opportunity to sip wine, catch up with old friends and take a brief break from their responsibilities back home. The direct selling experience facilitated their community gathering, but by no means drove it – and while they still talked about their kids, their husbands and their jobs, it was a welcome respite from the outside world.

 

I also spent some time talking to the sales consultant, a single mother of two who started with the company to earn some extra money to make ends meet. She’s part of a community too, one that provides her with access to training from the company she represents and support from her fellow consultants across the country. It’s not uncommon for consultants to form life-long friendships and even business partnerships through their participation direct selling.

 

My experience at this event and others like it always reminds me that direct selling is more than a business. It’s a community that often extends far beyond any financial motivations. Today, many people make personal connections online through social networks, but direct selling companies used this concept far before the Internet even existed. Direct selling not only reflects current social trends – it even helps shape social trends. So, whether you’re chatting with your friends online, or sitting in your best friend’s living room browsing through product samples, think about the community you’re a part of and the important connections you are making.

]]> http://www.directselling411.com/blog/direct-selling-social-networking-far-before-web-20/feed/ 4 http://www.directselling411.com/blog/happy-mothers-day/ http://www.directselling411.com/blog/happy-mothers-day/#comments Sun, 11 May 2008 17:01:38 +0000 Amy Robinson http://www.directselling411.com/?p=85 I was inspired this week by a combination of my requested gift for Mother’s Day as well as an insightful article on Terry Neese’s blog.

I have two beautiful children whom, on most days, can light up a room with just their smiles. My son has developed the most adorable trail of freckles across his cheeks and, having lost five front teeth within just a few weeks, his grin is the epitomy of childhood innocence. My daughter, for better or worse, is nearly an exact replica of me. She requires constant hugs and tells me I’m “pretty” until I can barely stand to hear it anymore. That said, we do have our fair share of whining in our household, often prompted by my request for them to clean up their toys. When asked what I wanted for Mother’s Day, my request was simple (or so I thought) – no whining and a clean house.

I anxiously awaited waking this morning to see if my request would be fulfilled. So far, I’ve had to endure whining about the number and size of pancakes each child would receive, what clothes are appropriate for a birthday party we’ll be attending later today and, of course, the expected whining when I asked that misplaced toys be cleaned up so I could use one of my exercise videos.

I think I’d have better luck waiting for Santa Claus, the Easter Bunny or, really, even the tooth fairy. But wait, I play all of those roles as well, so I guess I’d better strap on the beard, fluffy tail and wings and get to work cleaning the house.

But I digress. Back to Terry Neese’s article. Neese points out that flowers, gifts and nice dinners are much appreciated by hard-working moms, but there are other things – namely time and money – that really embody what most moms are looking for.

I couldn’t agree more.

As a working mom, I often find my mind wandering during the drive home, thinking about the many hours my own mother spent with me while I was growing up. She was always there to greet me when I arrived home from school, and summers could be summed up as a three-month-long play date. She and I were inseparable. Of course, when I think about what it would be like to be a stay at home mom, I am immediately jolted back to reality when I remember that living on a single income is difficult in today’s society, and for many is just not possible.

But many moms have found a happy solution to this dilemma in direct selling. It’s an alternative that can provide supplemental income, but also the opportunity to buy products and services you probably already use at a discount, and perhaps most importantly for some – contact with other adults! 

It’s flexible – accommodating weekend or evening schedules – and can either be a short- or long-term endeavor. You can take it easy during the summer if you choose, and once the nest is empty, you don’t have a multi-year gap on your resume. While parenting and running a household should trump any MBA, many mothers returning to the workforce find the cards stacked against them if they haven’t kept up their professional activities – but who can argue with building your own business?

So, for moms who desire the gift of time and money this Mother’s Day, consider if direct selling might be a fit for you.

But above all, Happy Mother’s Day!

(Now, where did I put that Santa hat?)

 

 

]]> http://www.directselling411.com/blog/happy-mothers-day/feed/ 1 http://www.directselling411.com/blog/momtrepreneurs-find-a-fit-with-direct-selling/ http://www.directselling411.com/blog/momtrepreneurs-find-a-fit-with-direct-selling/#comments Sun, 04 May 2008 01:51:32 +0000 Amy Robinson http://www.directselling411.com/?p=84 I read an interesting article from the Ft. Myers News-Press recently on the exploding “Momtrepreneurs” movement. The article describes this as when “women exit the corporate world or take creative steps to add extra cash to the family budget.”

 

As you can imagine, one of the ways the women in the story are earning extra money is through direct selling – whether it’s via a DSA member company, or by selling a product they’ve developed themselves.

 

One of them, Carrie Wilson, became an independent seller for a DSA company. She told the News-Press:

 

“I thought it would help me get out of the house and make a little extra money. It’s worked out great. In addition to meeting lots of new people and getting better in the kitchen, I’ve been able to pay off a couple of credit cards.”

 

This is such a great story because it underscores the fact that most people are not involved in direct selling to make a lot of money. It’s disheartening when people claim direct selling is not a viable way to buy and sell products and services because everyone isn’t making a full-time income. There are millions of people out there earning a couple hundred dollars a month through direct selling – and that meets or exceeds their goals!

 

The problem comes in when someone doesn’t enter direct selling with reasonable expectations – and that could be because they were told by someone else it would be easy money, or because they themselves underestimated the time and effort it will take to achieve their goals. Unfortunately, those are the stories that taint what is otherwise a great chance to do something fun and interesting.

 

Anyone who says something’s wrong with direct selling because everyone isn’t making millions absolutely doesn’t understand what constitutes success for the average direct seller. True – you do find a relative few super earners – but there’s a reason for that which doesn’t involve flaws in the business model.

 

Many also fail to take into account the fact that money is not the only reason people try direct selling. The women profiled in the News-Press story discuss how direct selling has enabled them to earn some extra income, but also outline a number of additional aspects they find attractive about direct selling and other home-based businesses.

 

The writer summed up Momtrepreneurship this way:

 

“Although we set out to discover how Southwest Florida moms are making money by embracing entrepreneurism, we learned that, in many cases, money isn’t the driving factor.

 

“The moms we spoke with pursue their businesses for a variety of reasons, including getting out of the house, meeting other women, socializing with friends and pursuing a passion. The money is certainly nice and even necessary to an extent, but these modern moms are filling more voids than one with their businesses.”

]]> http://www.directselling411.com/blog/momtrepreneurs-find-a-fit-with-direct-selling/feed/ 4 http://www.directselling411.com/blog/flexible-schedule-attracts-many/ http://www.directselling411.com/blog/flexible-schedule-attracts-many/#comments Mon, 31 Mar 2008 02:47:50 +0000 Amy Robinson http://www.directselling411.com/blog/flexible-schedule-attracts-many/ One of the many reasons people choose to begin a career in direct selling is that it offers a flexible work schedule. A person can work part-time or full-time, and can set their own goals and determine how they are going to achieve those goals.

 

While some choose to approach direct selling as a full-time endeavor, many see it as a fun way to earn a little extra income in their spare time.

 

I just finished reading an interesting article from the Muncie, Indiana, Star Press about three sixth-grade schoolteachers who work together outside the classroom as well as inside. The three are direct sellers who, though they each sell different products, team up for in-home sales parties.

 

The article notes that while the school year can be a busy time for teachers, the three said they wanted something to do after hours and during school breaks.

 

‘“It’s an opportunity to have fun, fellowship with women and earn a little extra money on the side,”’ one of the women told the Star Press, later adding, ‘“…There’s freedom to do things on your own schedule.”’

 

I couldn’t have said it better.

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