Most people are still worried about the economy, hunkered in, saving more than they have in years….. just not spending.  Even though most economists and business leaders think the worst has passed, that growth will start again in the 4th quarter, if it has not already, many consumers remain in the “bunker” mentality they have been in for the past year or more.  And that folks is the perfect time for you to really step up your direct selling business!!!!.

Sound crazy?  Believe me it’s not.  I have been a direct seller through the last three recessions, 4 including this blockbuster and I know the signs and what works for us.   We are entering the “jobless recovery” phase which means that the folks with jobs (9 out of 10) will soon begin to feel better about things because the pundits are saying that the worst is over, the stock market is doing better and housing prices are stabilizing.  However, the unemployment rate will continue at or near 10% for months to come perhaps well into the second half of next year.

But those 9 out of 10 with jobs haven’t been spending for a year or so.  When they feel better they will start spending again.  For direct sellers this means hosts will be more willing to book, more guests will be willing to come to a party and spend more than they have and more folks will be open to a one-on-one sales pitch.  But what about those 10% without jobs or who can only get part time work.  Well with the job market still slow, more and more of them are willing to think about starting their own businesses, perhaps as part of your team.  Have you asked?

Right now… right as the economic tide is starting to turn, is exactly the right time for direct sellers to dig in and do their thing: showing – selling and sharing the opportunity.  Get folks just as they want to come up and out of their bunkers and spend again.  Grab folks who can’t find a JOB and give them an opportunity to make $100 a night as many good party planners do.  Some of your colleagues are already hard at it and experiencing great results. Don’t get left behind.

Now is the time!  WHAT ARE YOU WAITING FOR?

Alan Luce

Few people in the direct sales industry can match the experience, expertise and successes of Alan Luce. With over 25 years in senior management, guiding start-ups and established companies alike, Alan has met virtually every challenge a direct sales executive can face.  Learn more about how Alan can help your company at http://www.luceandassociates.com/Alan-Luce.html.

Jennifer Fong, Social Media Associate, recently sat down with Luce & Associates President Alan Luce to answer the most common questions direct selling executives have about social media.  The result is an article in this month’s issue of Direct Selling News.  We invite you to read the entire article here: http://www.directsellingnews.com/index.php/site/entries_archive_display/when_party_plan_and_social_media_collide

Alan Luce

Jennifer Fong

Few people in the direct sales industry can match the experience, expertise and successes of Alan Luce. With over 25 years in senior management, guiding start-ups and established companies alike, Alan has met virtually every challenge a direct sales executive can face.  Learn more about how Alan can help your company at http://www.luceandassociates.com/Alan-Luce.html.

Jennifer Fong helps direct sales companies leverage the power of social media marketing to increase sales and recruiting, and manage online brand perception. To learn more about how Jennifer can help your company, visit http://luceandassociates.com/Jennifer-Fong.html.

With the advent of social media tools, there can be the temptation to think that the party element of a direct sales business is a thing of the past.  Now that social media has arrived on the scene, do direct sellers really need to continue doing parties, and running the business the “old fashioned way?”  Can’t we just point everybody to our website, and call it a day?  And wouldn’t it make recruiting easier, if those people who don’t want to do parties could now be told they don’t have to?

For people who are serious about building and growing a direct sales business, the answer is a resounding “NO.”  Social media tools are fantastic for finding new prospects for a direct sales business, for providing superior customer service, for participating in the conversation that is defining your brand, and for positioning yourself as an expert that people turn to for advice and products.  However it is my very strong opinion that it is NOT a substitute for booking, selling, and recruiting.

First of all, parties are where the immediate income for a direct sales business comes from, at least in the party plan model.  All party plan companies should have party averages, and when a consultant does a party, she can pretty much count on making a certain amount of money.  Parties also give people a chance to interact with a consultant in real life, see and touch the products, and enjoy the experience of being with friends while making informed purchasing decisions.  In short, nothing replaces the party.  (There are online party options, but in my experience they are not as profitable.  This is a conversation for another post.)

Social media marketing also has a longer cycle.  It takes time to build relationships online, develop content for a blog, and build up enough know, like, and trust factor to get someone to make a purchase from you.  You have to connect with someone 7-15 times online, typically, before they’ll make a purchase from you.  There are online tools that help you do this, but you do need to invest time into building those relationships.

Jennifer Fong, Social Media Associate

Social media marketing is an additional tool to help build a party plan direct sales business.  It can enable a consultant to connect with people they couldn’t have met otherwise (cast a wider net), find people that are business minded and specifically looking for an opportunity, and provide superior customer service and customer contact through community-building online groups and events.  Once those initial contacts are made at live parties, customers can get better service and follow-up which can result in a thriving reorder business when they are plugged into that consultant through social media.

In short, social media complements a traditional party plan model in many ways, and can enhance what you already do.  But nothing replaces the core business activities of booking parties, selling products, and recruiting new consultants.

Learn more about how we can help you with your direct sales company’s social media strategy at http://luceandassociates.com/Jennifer-Fong.html

What are your thoughts on this?  Have you had experiences that prove or disprove this?  Would love to hear your comments!