dimanche 26 mai 2013

Définition, objectifs et méthodes du Lean management



Ensemble de techniques visant à l’élimination de toutes les activités à non valeur ajoutée. « Lean » en français

signifie « Moindre ». Le Lean management est de ce fait une technique de gestion essentiellement concentrée

vers la réduction des pertes générés à l’intérieur d’une organisation, pour une production et un rendement plus justes.

A- Les objectifs majeurs du Lean management


   réduire la durée des cycles de production,

   diminuer les stocks,

   augmenter la productivité,

   optimiser la qualité.

B- Approche méthodologique du Lean management

Le Lean management, au delà d’être un ensemble de méthodes, repose sur le facteur humain. Il suggère que le personnel travaille dans un état d’esprit orienté vers la diminution du gaspillage et des pertes (de temps, de

matières, d’argent …). La motivation et les comportements des hommes sont nécessaires pour une application efficace.

Ci-après, nous détaillons quelques outils du Lean management :


Méthodes / Outils du lean management

La gestion des flux logistiques

L'amélioration des processus

La méthode des 3M (Muda, Mura, Muri)

La méthode des 5S

Les étapes de la méthode 5S

La méthode SMED

Les standards de travail

Le Kaizen : Amélioration continue

La méthode du juste à temps

La méthode du Kanban

La méthode Six-sigma

Lean management : les méthodes

La méthode d’hishikawa ou 5M

La méthode des 5 pourquoi

Lean management : les outils
 La méthode des 5G
La méthode 8D (8 Do - 8 actions)
Glossaire du lean manufacturing
Lean manufacturing et gestion de la production
Le cycle PDCA ou roue de Deming
La Méthode QQOQCCP
Le brainstorming, remue-meninges
Le brenchmarking, analyse comparative
Les poka yoke : détrompeurs
La méthode OPT : gestion des goulots
Gestion des stocks et des approvisionnements
Logistique : Techniques quantitatives de gestion

C- Champs d'action du Lean management
 
En tant que technique de gestion essentiellement orientée vers la réduction de toute forme de gaspillage, le Lean
management repose sur l’analyse des flux logistiques et la suppression de toute activité à non valeur ajoutée,
pour une production et un rendement plus justes. Rappelons que dans le processus d’approvisionnement, de
production et de distribution, on distingue sept formes de gaspillages très courants :
1. La surproduction (due à une planification inadaptée, cadence plus rapide que nécessaire).
2. Les délais d’attente (standards de travail non respectés) ;
3. Les activités de manutention et transport (convoyage superflu).
4. Les traitements inadéquats (Usinages inutiles).
5. Les stocks inutiles (stocks excessifs).
6. Les mouvements inutiles.
7. Les défauts de fabrication (correction des erreurs).

Dans la gestion des flux logistiques d’approvisionnement et de distribution, le Lean management s’applique aux processus documentaires, administratif et électroniques. Toute son utilité débute lors de la planification,
notamment pour la gestion du temps et de l’ordonnancement des activités. Une analyse minutieuse de la chaîne des valeurs permet alors de déceler les activités non productives ou sans aucune valeur ajoutée réelle.
Dans la gestion des flux de la production les démarches orientées vers la suppression des opérations sans valeur ajoutée, la réduction des dysfonctionnements et des gaspillages sont reconnues sous l’appellation : Lean Manufacturing ou Lean production. Il s’agit de déployer dans le système de fabrication, les techniques de Lean management afin d’optimiser l’emploi des ressources de production, réduire les temps et les charges de travail et produire le stricte nécessaire juste à temps.
Le Lean management est une philosophie, un mode de gestion qui base son succès sur le développement du
facteur humain. 

o Positionner l’ouvrier en tant qu’homme intelligent et le faire participer aux processus
décisionnels ;

o Former les opérateurs au maniement des différents outils de réduction des gaspillages
(méthode 5S - rationalisation du lieu de travail, diagramme 5M - résolution de problèmes,
SMED - changement rapide d'outils … et différents autres outils du Lean management) ;

o Capitaliser dans le temps les acquis, cultiver et entretenir un bon état d’esprit (Kaizen) et
promouvoir les bonnes pratiques et l’amélioration continue des processus


 Pour une intégration réussie, le Lean management ne doit pas être considéré comme une solution
ponctuelle, une réponse pratique et immédiate à une crise. Il doit au contraire être conçu comme un
projet de moyen terme qui prendra en compte l'évolution des compétences, la formation, l'organisation
du travail collaboratif et la valorisation de l'individu.

samedi 25 mai 2013

Difference between network marketing and multi-level marketing and direct selling?

What’s the difference between network marketing and multi-level marketing and direct selling?
 Direct selling is pretty straightforward. Direct selling is you got be selling. End of story. If you're out there, you've got a product and you go knocking door-to-door, that’s direct selling. Or if you do it through an online system, that’s direct selling. That’s pretty straightforward, that’s very easy to understand. Multi-level marketing is – some companies are out there and you will join their organization through a sponsor and your sponsor will say to you, “Now, to get your first check level, you need to gain, for example, 1000 points. Now that’s 1000 point. Your next level, for a check is 2000 points. Your next level, is 3000 points.” So that’s how it works, that’s multi-level marketing. If you get 999 points, this particular month, your check is zero. And you start back at zero the next month. If you get 1999 points this month, you get paid at the 1000 point level and you lose your 999. That’s like saying free to come to work for me for 40 hours a week, you have to have a day of because you were sick, okay I can’t pay you this week. Now that’s not very fair, is it? So that’s my understanding of multi-level marketing, you have to reach these levels to get paid. And you start back at zero every month. Network marketing on the other hand, and again using the example of the company that I work with, is you are paid for all the sales volume in your entire organization every week. You're not restricted to levels, it’s sales volume. Total sales volume in your entire organization that you're paid the commission on. And that’s a significant difference.
 
Ken Maxwell.

jeudi 23 mai 2013

Basic Methods To Use Marketing To Develop Your Business

images-Basic-Methods-To-Use-Marketing-To-Develop-Your-Business-
 Basic Methods To Use Marketing To Develop Your Business:

It’s a wonderful thing these days to own your own business. You get to set your own hours, be your own boss, and run things your way. If you do run your own business, then you know that it’s essential to utilize advertising to continuously attract customers. Without advertising, your sales can quickly dry up, and your revenue can shrink to zero. In this article, you’ll learn a few basic ways to advertise, so this doesn’t happen to you.
Print publications continue to be the most popular and most widely used form of advertising. This is anything from magazines, newspapers, trade journals or small newsletters published by clubs and organizations. Depending on what size your potential market is, and how much your advertising budget, you can choose any or all of these methods of advertising. Of course, with print advertising, it can take a while to see any fruits of your effort, so if you are just starting out, it pays to get started slowly.
Another form of advertising is direct mail. This can be anything to professionally designed brochures to simple post cards you send out around the neighborhood to announce any sales or specials you may be having. These can be a good way to keep your business or service in the minds of your customers, so that they will automatically think of you first whenever they need something.
Being a member of, and participating in regular chamber of commerce meetings can be a big plus. You can network with other business owners in your area, and come up with some symbiotic relationships. You can refer customers to each other’s stores, which can easily increase your sales and your profits.
Google adwords can be a very lucrative way to get more customers, even if you are local shop. When people type in the name of your service, along with your city, your ad will come up right along the search engine results. This can be of great benefit, as you get plenty of data regarding who is clicking on your ads and so forth.
And of course, having a web presence is an absolute must these days. If you have a web presence, you can have a opt in list, which means you can have people signing up for an email list. This can be a virtual goldmine of customers that are interested in buying your products. You can also collect emails from people physically as they come into your shop or use your service.
With these basic ways of advertising your business and getting your name out there, you are certain to expand your business, and increase your revenue. The best way is to try one or two at a time, and then simply see which works best, and stick with that method. If you’re lucky, they’ll all work, and you can use them together to skyrocket your business and your income.


By  Susan  Kerr

10 Marketing Tips that Won’t Cost the Earth:


1. Word-of-mouth
Get people talking about your business by hiring a ‘word-of-mouth’ expert to start a conversation on your behalf.
A Word of Mouth Company operates and starts 500 conversations a day. Its team of 50 conversation starters are invited to speak at established community groups like mother’s groups about up to seven brands an hour. It costs from 1.30 per person and all feedback is tracked online.
“We generate conversations and all our campaigns are supported by print and online.”
2. Social networking
Companies need more than just a website to be truly part of the digital age. Our expert recommends Search Engine Optimisation (SEO), which uses key words to make sure your business features prominently in search engines. Beyond that, consider social networking.
“Integrating your company into online communities is free. A company can utilise an online network to generate communication so your business becomes part of online conversations. It’s the holy grail of digital marketing right now”. However tread carefully, he cautions, because negative conversations can breed quickly online.
Advertising on blogs or social networking sites is also increasing popular. It allows you to place your brand near industry thought leaders and remains relatively inexpensive.
3. Customer Relationship Marketing
Customer Relationship Management (CRM) systems have long been the preserve of larger companies, but they are great tool for smaller businesses too. The systems capture customer information and can be used to create targeted marketing campaigns. For example, if you decide to send an offer to lapsed customers, a CRM allows you do this quickly and effectively.
Lots of companies seem to think CRM is the same thing as direct marketing, but it most certainly is not.
Most businesses can have an immense amount of dormant information on their computer systems that can be used to create more effective marketing campaigns.
4. Experiential marketing
Whether its bubble wrapping lamp posts, creating pavement art or paying actors to argue in cinemas, experiential marketing (also known as ambient marketing) is on the increase as companies try to reach time-poor consumers.
A great example of an experiential marketing campaign involved a campaign for the promotion of a new Ikea store. One night, the company put 50,000 Ikea swing tags on public furniture, and also drove around old Volvos loaded with Ikea furniture.
These engaging brand experience moments will capture the attention, hearts and minds of consumers and present a clear call to action. If experiential is used as part of an overall campaign, then it works brilliantly.
5. Product placement
Product placement is about dressing branded product as part of a set or photo shoot, or having it integrated into a script. But television networks and magazines are swamped with approaches, so consider hiring a PR firm to do the legwork.
Director Adrian Falk has had clothing, bags and FMCG brands feature in television shows, blockbuster movies, magazines and advertising shoots. It will set you back the cost of your product, plus a fee.
Fees vary depending on the longevity of the campaign and the objectives.
It works perfectly for people who don’t have the budget to advertise on TV and product placement is more believable than traditional advertising.
6. Direct Marketing
Direct marketing includes brochures and offers sent in the mail, email and SMS communication, which can be very effective and relatively inexpensive.
The costs vary depending on communication method and type of design and production used.
Direct marketing allows you to measure return on investment very effectively because you know who you sent the offer to and can track whether they come back and take up the offer.
7. Whisper campaign
Whisper campaigns are the mischievous cousin to word-of-mouth campaigns because the person being marketed to isn’t aware of it.
Companies might hire an actor to visit a bar and mention to unsuspecting punters how great an alcohol brand is, for example.
It’s hard to find anyone willing to admit they create whisper campaigns as it defeats the purpose, but they’re alive and well in the marketing scene. Try calling a few advertising or PR agencies and you should be able to find someone willing to do the legwork. Just make sure no one blows your cover.
8. Turn on the media
Generate media interest in your business with some new-age tactics.
Tourism Queensland’s ‘The Best Job in the World’ competition has also generated far greater media interest than an advertising campaign ever could, with worldwide media coverage.
Hiring a PR firm or marketing agency to engage the media on a project basis can be extremely cost-effective.
9. Corporate events
Organising a corporate event doesn’t have to cost the earth. Friday night drinks and canapés at your office is a good start, although hosting an event in a stylish restaurant or art gallery can be a cost-effective marketing option.
An event will give you valuable face time with your customers, but make sure you ask them to bring a friend so they can introduce a potential new customer to your business.
Getting to know your core customer base is paramount. “It’s five times more expensive to attract a new customer to your business than it is to keep a current one happy.”
10. Negotiate
Discounts can be found across the media landscape, with television, radio, newspapers, outdoor companies and online media operators all prepared to negotiate. After all, sales representatives still need to make budget despite the volatile market.
Small businesses should follow a few basic rules when dealing with the media to snare a bargain.

By Maria Barnett

Direct Sales vs. Network Marketing


Most experts would agree that network marketing is a part of the direct selling concept where products or services are offered on a one-on-one basis and sold directly by the salesperson to the consumer. However, the two approaches offer very different benefits to the salesperson.
Direct sales companies are known as "seller-based," which means they give more income to the distributor when he or she makes a sale at retail. Direct sales companies usually market higher-ticket, one-time-sale, durable items such as air and water filters, cookware, art, home accessories, etc. With the direct sales business approach, the majority of the available profit designated for the salesperson's commission goes to the person who makes the retail sale. That person usually earns a significantly higher percentage of the designated sale commission than does the sales management that may be supervising his or her work.
Unless they have been appointed as sales managers, successful direct sales people are paid based on their personal sales rather than on building an organization of other salespeople. And since most products marketed by direct selling companies tend to be durable goods rather than consumable goods, there usually is limited potential for residual income. Obviously, there are exceptions, such as the residual income experienced in insurance sales, but usually when the sale is consummated, the salesperson is moving on to the next person and potential sale. Immediate commission checks are usually higher than in network marketing, so if you want quick money, direct sales is your ticket.
If you want to build a long-term residual income, however, you should consider network marketing. Network marketing distributors still sell, but the sales process usually begins with their "warm" market of friends and relatives. Network marketing companies typically offer retail commissions that are much lower, since more of the available commissions are directed toward bonuses paid to various upline management people in the sponsor tree.
In turn, you can also sponsor a downline of distributors that not only sell but also consume products, making them your customers as well. If the company has high-quality products that are fairly priced and offer obvious benefits, the distributor has the real opportunity of building a "lifetime customer." Ongoing customer use creates residual income. Residual income is money you earn from your initial sales and reorders and the sales and reorders made by those you recruit and the ones they recruit, etc. This process continues to generate earnings for you long after your day-to-day attention to the "sale" or your sponsoring efforts has ended. For example, the royalties a writer or performing artist earns on his or her creation is an example of residual income. So is the interest earned on stock investments. Consumable products such as vitamins, personal care, cosmetics, etc. are more compatible with the network marketing business model, since reorders create the residual income driving the program.
Having spent most of my working life in direct sales and network marketing, I have found it easier to attract people to a network marketing opportunity for a number of reasons. Residual income is one; here are some others:
  • It usually costs less to get involved. Other than samples of the products and an at-cost distributor kit, there is usually no investment. Customer orders can be drop-shipped by the company, and customers can usually reorder company direct or on the company Web site with the designated bonuses going to the person that made the original sale. Consequently, this doesn't require major inventory. And that means ...
  • More people can become involved, since the concept embraces the part-time salesperson along with the full-time career builder.
  • There's potential for exponential growth. Distributors can leverage their energy and efforts through a small number of people they train who manage to in turn train and manage their own people and so on. In this way, sales create bonuses for the sponsor and upline.
If you enjoy people, are a good communicator and a hard worker, either direct sales or network marketing can provide an accelerated income potential. It's ultimately up to you to figure out which best fits your needs and goals.

History of Direct Selling


Early direct sellers – hawkers, peddlers, traders, itinerant merchants and caravans – are part of an ancient tradition that originated in man’s basic need to exchange goods and to communicate. Doorbells, catalogues and purchase orders were centuries away from the early direct seller who relied on his instincts and common sense to make a living through selling.
As he established economic ties with his neighbors, he traveled extensively despite geographical barriers. The development and use of roads and or water routes for commercial activity were pivotal points in the history of direct selling.
Early man had the option of either contending with geographical barriers like mountains and foothills, or refining the surroundings that hindered trade movements. At the outset, during a period of time called “prehistoric,” trade followed naturally-defined routes. Traffic between neighboring people of eastern Europe, for instance, was hampered by a mosaic of densely and sparsely inhabited areas covered with ridges, foothills and valley floors. These ecological niches were an impediment to commercial exchange between Northern and southern Europe.
Early traders developed easily accessible routes to facilitate land travel. Along ruggedly constructed roads treaded the early direct seller with his goods. Even before the advent of wheeled traffic, the early direct seller did not hesitate to exchange pottery, stone weapons, tools, agricultural products and raw materials with people from other lands. Barter, the direct exchange of goods for goods, was his principal means of trade.
Among the early civilizations, Egypt, Syria, Babylonia and India were actually involved in trade. Ivory and ebony were exchanged for pottery and stone vessels. Indian beads and vases, believed to have originated in remote localities, were found in Babylonia.
In Greece, the caravan trade that connected the Greek world with Asia, prospered. Everyday articles, domestic tools, metal kitchenware and ordinary clothes were exchanged. Markets, in their fundamental stages, were meeting places for customers and direct sellers. Frequently, the direct seller used the market as one of his stopping points before continuing his village-to-village journey.
Anatolia, which is presently Turkey, was an area in which direct sellers, traveling by donkey, sold cloth to people he encountered along the way. The purchase price was generally higher than at trading centers because of the length of the haul and the hazards of the expedition.
The early direct seller seized all opportunities to trade his goods when traveling. Fairs connected with religious feasts brought him to the armies stationed in the fields. Swarms of salesmen procured for the troops all the goods they needed.
The direct seller’s activities were influenced, certainly, by the cultures from which they emerged. As early as 2000 B.C., the Code of Hammurabi, a monument of Babylonian law, protected the general welfare and integrity of the Babylonian direct seller, who was then referred to as the “peddler.” The Code stated that “the peddler shall swear the oath of God” if any enemy caused him trouble in the travels. It also said that the merchant who sells the goods must be aptly compensated. Trade by land, though hindered by poor roads, continued to grow after the birth of Christ.
In the 5th century A.D., Athens was involved in a great deal of direct selling. Many producers who sold direct to the consumer without the intervention of a middleman, continued to sell their goods in this fashion, despite the growing urban population which spawned a new class of retailers. The direct seller of the 5th century either sold his wares about the street or exhibited them for sale on stalls and in shops. Others traveled from place to place, following armies on the march. They visited great festivals and fairs as well, and sold from village to village.
The 10th century marked the beginning of worldwide economic expansion. As commercial opportunities grew, so did the opportunities for the direct seller. He was the native merchant in Western Europe, for example, during the Middle Ages, and he played an important role in bringing about the perpetuation of trade during the Commercial Revolution of the 10th to 13th centuries. He witnessed great progress in road building at this time. In France, the direct seller contributed to the growth of trade by bringing “novelties” from the large cities to small villages. Many of the more prosperous French towns were graces with the opportunity to buy woolen and silk belts, bonnets, brass rings, thimbles and writing tablets from the direct seller.
The traveling merchant was cited in mythology as a notable direct seller. Ulysses, the mythic hero, once posed as a merchant. The little tale, repeated by many ancient authors in many different forms, makes reference to Ulysses as a traveling merchant. The antedates the American peddler by almost 3,000 years. At a palace, Ulysses offered ornaments for sale that he had placed on his arm. The king’s daughters were “engrossed with the contents of the merchant’s pack.”
In the 17th century, “The Winter’s Tale” by William Shakespeare, was inspired by a girl peddling flowers. This flower girl was reminiscent of the direct seller of the Middle Ages who walked tirelessly through the village streets displaying his goods.
In early America, for instance, the renowned Yankee Peddler walked to his customers while those of grander stature rode horseback. The prosperous sellers rode in wagons or carriages.
As emigrants began to filter into early American territories in the 18th and 19th centuries, many became direct sellers. Like their predecessors, these direct sellers began their treks on trails marked by nature. Good roads developed slowly on the frontiers of early America. Early Indian trails evolved into major roads and eventually turnpikes. As the roadways expanded, the Yankee Peddler’s influence on trade was reinforced.
Yankee notions consisted of items like pins, needles, hooks, scissors, combs, small hardware and perfume. The Yankee Peddler carried his goods in oblong tin trunks slung on his back by a harness or a leather strap. Sometimes he used large wagons. He traveled by land primarily until rivers and lakes became connected by canals. Then, direct selling in early America branched out to the frontiers of the West and the Canadian territory in the north. The Yankee Peddlers, as did the Phoenicians, preferred to trade via water routes.
Nearly every culture shares a heritage of direct selling. The direct seller of tropical Africa walked the streets of cities and towns crying out his wares. Some cycled from village to village. “Colporteurs” of France sold flowers directly to their customers and used purchase orders as early as the 14th century. The Chinese direct seller sold, bought, exchanged, mended, entertained and catered to personal wants of man in almost every conceivable way.
European gypsies, after emigrating to America, practiced their native trade of direct selling in their new land. They brought the direct selling tradition from England, Scotland, Ireland, Germany and Hungary to Colonial America and took to tinkering, peddling and horse dealing.
The selling tradition continued to thrive through the end of the 19th century and into the 1900s. The advent of the home party in the 1950s added a new dimension to direct selling as customers gathered at the home of hostesses to see product demonstrations and socialize with friends. Direct selling offered opportunities for many who had previously run into barriers because of age, education or sex. The growth of the industry allowed many to become successful where no opportunity has existed before.
Today, at the beginning of the 21st century, the customer still benefits from a personal and convenient way of purchasing products. The Internet has become an important element of direct selling – essentially giving each direct seller a worldwide customer base. Direct sellers have been empowered by use of the Internet and find direct selling to be a rewarding way to improve their quality of life, reach specific earnings objectives, facilitate social contact and sell products they love.

Direct Sales

What is Direct Sales

Direct sales. These two words seem so innocuous, but they pack a large punch when it comes to describing the definition. If asked, many people involved in direct sales have different definitions of the term and the function of direct sales. So, what is Direct Sales? What does it mean and what is its function?
Direct Sales is the act of selling products away from a retail location, a storefront. So basically it is selling products one on one to people from your home. This could involve door to door selling or presenting and selling at a consumer's home. It often involves selling online as well as offline. The definition is wide open for a reason.

Methods of Direct Sales

There are various methods that direct sales companies and their sales representatives employ to sell products and services to consumers but there are three predominant methods used by majority of representatives in the industry:
  • Person-to-Person

    Person-to-person selling is perhaps the most widely used method in direct sales. This method of selling also involves various strategies but essentially involve interacting directly to a customer for the purpose of pitching in products and services and selling them. These can be in the form of door-to-door selling, telemarketing, catalogue distribution, and other such individual marketing efforts. Most independent sales consultants initially start by selling products and services to friends and family and expand their network of customers from there. It is not advisable to just sell to family and friends, as while it is a convenient and viable option initially, one cannot achieve one's financial goals by only selling within one’s comfort zone. There are many ways by which you can build a network and it all starts with getting the message across to consumers.
  • Party Plan

    Party-plan as a marketing strategy has significantly increased in popularity after Tupperware parties proved to be a resounding success within the direct selling community. Party-plan marketing is convenient and a lot more fun than person-to-person selling and it allows sales representatives to promote their products and services to groups of people rather than individually, as the latter can be pretty tedious. A good number of direct sales companies in the industry employ party-plan marketing and most of them have setup hostess rewards programs patterned after that of Tupperware's compensation plan for hostesses. Majority of direct sellers that employ this type of method are women, though there are some direct sales companies that cater specifically to men and have established a party-plan system that would appeal to the male population of direct sellers.
  • Online Selling

    The Internet has allowed for direct selling to be done online. Most direct sales companies today offer website hosting and support to consultants to allow them to feature their products and services online. Even with the absence of free hosting from the company, it is very easy to create a website and have it available online for a relatively affordable price. A great number of sales procured from direct selling comes online, though some consumers still prefer to order over the phone, a lot have found great convenience in ordering products and services online. This method, while much more impersonal than face-to-face marketing and selling, allows both sales representatives and consumers to save time and effort.
Direct Sales is an evolving definition. It is one that changes as the business of direct sales changes. Selling one on one is a basic function of direct sales as is selling to a group of people in some one's home; otherwise known as the party plan. The use of a generic meeting area is also encouraged.
Another popular method to meet with others that may be interested in your products is through a video sales promotion that is accessed through a sales website online. Similarly used are conference calls or online conference chats.
The profession of direct sales is definitely a growing profession. The market and economy effects the growth in a direct way. As more and more people look to make additional money, millions turn to selling products as a way to increase their cash flow.
The amount of businesses coming into the marketplace with new products to sell is staggering. Just about any profession is represented in some type of direct sales marketing business. The direct sales industry also has a profound impact on the economy as a whole, generating billions of dollars in sales each year. Potential representatives looking for a way to earn that extra paycheck have a large field of products and stable companies to choose from now.
In addition to selling products and earning a commission for that, representatives of direct sales companies also may earn money by referring others to the company that they are working with. This is referred to as multi-level marketing due to the many levels on which the consultant can be paid. By adding members to their "team" and mentoring the new representatives or consultants, additional income can be earned. The larger a team grows and the more products that they sell as a whole, the more income, potentially, can be made.

Direct Sales Modes of Compensation

There are two types of compensation formats used in direct sales, these are:
  • Multi-level

    While not all direct sales companies employ a multi-level marketing framework for compensation, a good number of companies these days prefer this method because of the profit potential for independent sales consultants. Under this mode of compensation, direct sales representatives are compensated for their personal sales as well as for their recruits' or downline representatives' commissionable sales. Though there are different levels, a lot of companies allow consultants to earn a portion of sales from up to three generations of downlines. This encourages representatives to build teams and work in groups rather than individually and offers new consultants a strong support system. Aside from monthly commissionable sales, sales representatives are also given an upfront commission for recruiting new members to the company. While often criticized because this type of compensation strategy has given way for scammers to operate under pyramid schemes, multi-level marketing can still be very profitable if employed by legitimate direct sales companies.
  • Single level

    Single level marketing compensates direct sales representatives solely for their personal sales. Consultants receive a commission from their monthly personal sales volume though some companies offer upfront commissions for every sale made by a consultant. Commission rates can range from 20% to 50%, depending on the company's compensation plan.
This has become an attractive benefit to the direct sales profession. By having income coming in from two different aspects of your business, it will solidify your business and its stability.  It also means that you will be more than likely to stay with your company instead of changing for greener pastures.
Direct selling has always been an attractive venture for many people primarily because of the high potential for profit without the demanding working hours of a full-time job or running an independent business. While majority of direct sales representatives only work part-time, direct selling still proves to be a viable and profitable venture for those who want to work full-time.
As you can see direct sales means so much more that what those two little words imply. When considering a direct sales company for your profession, your sales and earnings potential are much greater than in years past. All that is required of you is time and commitment to make it a success.