Traditional Culture Encyclopedia - Traditional culture - What are the disadvantages of the traditional business model?
What are the disadvantages of the traditional business model?
Direct marketing is a large-scale marketing activity using direct feedback advertising, mail, telephone or other interactive media. Its biggest feature is direct contact with customers, and it is easy to establish relationships with each customer, thus becoming an effective way to keep in touch with customers and cultivate loyal customers. The most controversial issue is the product price positioning. Many mice will be self-defeating, and most people in China lack understanding of this model. To be exact, direct selling chose the health care industry. According to the statistics of china health care association, more than 80% products of direct selling system are related to health care industry. From the right or wrong of pyramid selling in 1990s to the limited opening of direct selling market in 2005, direct selling has been controversial. Its high entry threshold makes a large number of entrants choose to swim in the "gray zone". After the market adjustment in 2006 and 2007, 2008 should be the year of recovery of direct selling. With the help of the word-of-mouth of direct sellers, it is a fast marketing method to sell by direct selling, and the products enter the hands of customers only through an intermediate link. Moreover, this kind of word-of-mouth communication is growing geometrically. Therefore, products can quickly and comprehensively occupy the market; This is absolutely beyond the reach of traditional marketing methods. On the one hand, direct selling can save sales costs, and on the other hand, it can save promotion costs.
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