What are the advantages and disadvantages of direct selling?

The advantage of direct selling is its own characteristics, that is, shortening the purchase channel between manufacturers and consumers, reducing the price of products by saving advertising and transportation costs, thus increasing the purchase volume and product popularity of customers.

Because of the short sales distance of products, customers' feedback on products can be conveyed to product companies and manufacturers more quickly, which can improve the problems of products in time and improve the ability of products to meet users' needs. Similarly, because the sales distance of products is short, we can realize the benefits by better managing the after-sales service of products, thus enhancing the reputation and love of direct selling products.

Disadvantages of direct selling:

Because it shortens the distance between manufacturers and consumers, and reduces the product price, the difference, that is, the publicity expenses and transportation expenses, needs to be borne by the enterprise itself, so it takes a lot of money to become a direct selling brand.

Because of the model of direct selling reward system, every direct selling enterprise needs to constantly attract new members. After a certain regional market is full, it needs to go to a new region for development. However, under the restriction of national conditions, developing in the new area is equivalent to reopening half a company, which requires a higher price.

Without a fixed workplace, the management of direct selling will become more difficult, which is a problem that has not been solved by traditional direct selling. Although the era of online direct selling provides convenience for management, there is still no very practical way to manage regional members.

Due to the great demand for new direct sellers, there are not too many requirements when recruiting new members, which leads to uneven personality and ability level of direct sellers and different products and services.

The last point is about counterfeit products. Direct selling products mostly belong to middle and high-grade prices. The first point is because of the technical effect, and the second point is because of the production materials and technology. The cottage products directly ignore these two points and replace them with inferior products, which not only discredits the product brand, but also brings losses to consumers.