Golden Era of Direct Selling Industry is coming?

The direct selling industry which markets its products and services through forming Multilevel marketing companies, and providing it’s products and services to the consumers without advertisements, are in limelight again for various reasons.

This industry has seen a significant shifts in recent years, and with the rise of betting apps, online money making projects, crypto projects, and other quick money schemes the leaders of the direct selling industry who are busy with the products and services, have got distracted.

They have been drawn away from the product based direct selling towards schemes that promises quick riches, such as cryptocurrency investments, betting apps and various Ponzi schemes.

This diversion often results in financial losses and broken trust among those involved.

Here I am sharing, on the basis of talks with the industry leaders, the situation and the potential resurgence of traditional product based direct selling:

The shift

  • Attraction to high returns: The attraction to high and quick returns had le many MLM leaders to divert their focus from traditional product based companies to schemes like cryptocurrency investments, betting apps and various Ponzi schemes.
  • Lack of regulation: These quick rich schemes often drive in an unregulated world, these schemes doesn’t like regulatory compliances. This unregulated or poorly regulated environment, making these schemes high-risk and prone to collapse.
  • Consequences: After spending a long time, say 2-3 years, many leaders have started realizing that these schemes are a trap, and no one is benefitted from these schemes except the organizer. And with each and every failing schemes, they have suffered financial and trust loss. And ended up with accumulated liabilities, the paying-off of which seems impossible to them.

The Return

  • Stability and trust: Product based direct selling companies are generally more stable and trustworthy. They offer tangible products or viable and essential services, which provide real value to consumers and provide a more sustainable business model to direct sellers.
  • Regulatory Compliances: Reputable product or service based Direct selling companies comply with the regulatory standards and compliances,  and this compliance regime reduces the risk of legal issues and financial instability.
  • Building long term relationships and career: These product and service based companies focuses on building long term customer relationships and trust. And this sustainable business environment can lead to more sustained income and business growth for participants.

The Golden era

  • Reliability of the Industry: As the participants of these quick rich schemes, who have realized that these schemes are a trap, have started seeking more reliable opportunities. The Direct selling industry may experience a Renaissance. These individuals are likely to value the stability and reliability of the product and service based direct selling.
  • Focus on quality and value: Emphasizing on high quality product and services, will lead to the customer satisfaction and can help restoring the confidence.
  • Education and training: The golden era of the training and education culture of the Direct selling industry was missing in theses quick rich schemes, now these are going to gain the importance again.

We can take from this article that the golden era of direct selling industry in on the way.

Anupam Jaiswal
Anupam Jaiswal
Anupam Jaiswal is a Certified professional, corporate trainer, motivational speaker and a business coach. He is the founder of Multiple ventures including AJ Leadership academy and Shrie Campus LLP. Anupam is having 20+ years of a rich experience of working with corporate, institutions and government bodies. He also acted as a CS and compliance office in a Mumbai based listed company and headed ICSI, Lucknow chapter as secretary and chairman. and now in whole time practice, and consultants to corporate including Success My Business.

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