Guerilla Marketing Tactics for Direct Sellers
Being in the middle of a recession doesn’t have to hinder your direct sales marketing efforts. Begin to think like a guerilla… marketer, that is – not the furry kind that beats his chest!
Guerilla marketers are serious about promoting and marketing their businesses with little or no cash outlay. They look for every opportunity to share their message and gain exposure. You can do the same with a little creativity and effort.
• Clip any articles from national magazines like Redbook, Elle, Vogue, Ladies Home Journal, Woman’s Day, etc., that mention or recommend your company’s products. Create a journal to show prospective recruits and customers. This will build credibility as well as pointing out how the national organization is promoting your products so heavily.
• Leave samples of your products in businesses that complement your product line. For instance, leave cologne samples or testers in salons and spas. Leave spices and herbs samples in kitchen supply stores. Leave scrapbooking samples in yarn stores (scrapbooking stores would probably see you as a competitor). Offer a free product to the store owner for every sale made through her business.
• Accept coupons for your competitor’s products. If you sell beauty products, take $2 off Revlon mascara coupons and give $2 off your company mascara. You probably want to limit the dollar amount on these and state that you’ll only accept one coupon per sale but even if you lose a few cents on one sale, you’ll ultimately gain more loyal customers with this strategy.
• Hand out three catalogs, brochures, flyers or business cards every single day. Be sure to get each person’s name, address, phone and email information so you can keep in touch with your new prospects. Contact them when you’re ready to place a new order to see if they need anything.
• Have a realtor’s style sign made for your yard and a set of magnets for your car that include your business name, phone number and URL
• Look for community newsletters and local newspapers where you can place low-cost advertising. Some small publications will include a business card size ad for $3 to $5 an issue that goes out to hundreds of local residents.
• Sponsor a local bowling team or ball team. You buy their T-shirts which they wear every time they play and you get “free” publicity plus build good will in your community.
These few strategies can get you started thinking like a guerrilla. Use them and look for other options to help you grow and build your direct sales business on a shoestring.
Dress for Success in Direct Sales
There was a time when the concept of dressing for success was all over the news and media. Public speakers shared tips and ideas in dress for success seminars. Radio talk shows interviewed dress for success authors. Television shows invited guests to demonstrate ways viewers could dress for success.
But like many fads, this one seems to have gone by the wayside. The problem with that is it’s still important to dress for success when you’re in business. Even if your business is direct sales.
Sometimes we treat direct sales more casually than we might treat another business such as working in an office or a retail store. But selling directly to your customer never eliminates your need to be professional in everything you say and do, as well as how you look.
Dressing for success goes beyond simply the clothes you wear although that’s an important aspect of it. But dressing for success also encompasses your personal hygiene, hairstyle, shoes and more. Anything that affects the way you look to others affects whether or not they’ll do business with you. Sure, you can sell to your family and friends regardless of what you wear or how you look. But there’s going to come a time when your family and friends can’t support your business any longer. You’ll want to expand your customer base. And when you do, that’s when you’re going to want to do everything possible to present a professional public image.
Now don’t think that professional has to mean stuffy, stodgy or shrewish. Professional simply means neat, clean, well pressed and attractive. You can still wear your funky jewelry and your casual slacks… though you might want to avoid blue jeans except in certain settings.
The idea is to look your personal best. But only you can decide what that truly means. Here are a few things to take into consider where your image is concerned.
• Shower or bathe regularly. Body odor is very offensive to others and you certainly don’t want it to drive your customers away.
• Comb your hair, keep your make-up in order and keep your nails trim and neat.
• Brush your teeth and make sure your breath smells fresh. If there’s a chance it might not, use a breath mint or spray rather than gum which can be annoying.
• While casual clothes are perfectly acceptable, opt for business casual rather than overly casual sweats or jeans. Wear shirts that are neither too low-cut or too short, and pants that cover you fully.
• If you choose a skirt, be sure it’s a reasonable length. Above-the-knee lengths can be flattering, but consider whether you’ll be sitting or kneeling and plan appropriately.
• Minimal jewelry is better than too much. Several bangles are fun for a night on the town but if you’re doing a presentation where you use your hands a lot, they can be distracting. The same applies for every aspect of your apparel. YOu’ll want to look your best without drawing attention to any one aspect of your appearance.
The idea is to think of your customers, what they expect, and how they perceive you as a direct sales professional. Since you can reasonably be going into their home, you certainly don’t want to offend. It’s better to err on the side of conservative and save your wilder, freer look for times with your family and friends when you’re not trying to earn a living or sell products.
Direct Sales Products are Ideal for Secretary’s Day
As direct sales consultants, it’s a good idea to always be aware of upcoming holidays and special events. These make tremendous opportunities for marketing to a certain group of people. With that in mind, Wednesday, April 22, is Administrative Professional’s Day. This is the day that bosses all over America will honor their assistants with a token of appreciation. And many of those executives are just looking for a unique way to do that rather than with simply lunch or a bouquet of flowers. That’s your cue to share gift ideas from your company catalog and help those bosses look good in the eyes of their assistants. Here are some ways to do that.
• Buy or make some nice greeting cards to include with every gift you sell so your customer doesn’t have to shop anywhere else. You can easily print these from your computer using free graphics and simple phrases of gratitude.
• Offer gift wrapping or gift bags with every purchase at no additional charge.
• Place a few products in inexpensive gift bags and attach a balloon to the handle to make it more festive.
• Team with other direct sales consultants to offer a broader selection. You can include one or two items that each company sells and share in the profits.
• Do you sell mugs? File a few with various products such as Hershey’s Kisses®, herbs, a small plant, silk flowers, coffee or tea packets, etc. Tie a ribbon to the handle.
• Look for inexpensive baskets at yard sales, thrift stores or the dollar store. Paint them gold, pink or white and fill with small gifts.
• Include gifts in a variety of price ranges so you can market to companies of all sizes.
• Do you sell food? Fill a small basket, bag, or tin with several of your food products. Include a recipe card, wrap with cellophane and tie with curling ribbon.
• Sell beauty products? Choose several items that don’t aren’t colorized such as lotions, soaps, pedicure products, etc. so they’ll work for everyone.
• Don’t be discouraged if the direct sales company you rep for specializes in items that aren’t traditionally considered for secretary’s day. Look for original and innovate ways to market them.
For instance, for scrapbook companies, create a memory book kit with a small album and supplies to make several pages. Or for companies that offer children’s products, opt for a fun-filled selection of games for all ages.
• Don’t be afraid to mix products from more than one company. If you sell beauty products and kitchen items, for instance, select a nice kitchen container and fill it with beauty supplies.
• Offer to make more than one of the same gift for companies with more than one office professional.
• Make up a simple gift certificate if your company doesn’t offer them and sell those in place of the actual gift. Include a catalog and contact information so the recipient can choose what she wants.
• Don’t forget the men! While this is still a predominantly female profession, more and more men are becoming assistants. Be sure you have some gifts that would suit them as well.
There are so many ways to market your direct sales products to bosses for Administrative Professional’s Day. Do some brainstorming or creative thinking and come up with as many ideas as you can to grow your business on this special day. Think outside the box and you’re almost guaranteed to find some products that will fit the occasion.
Gift Basket Themes for Direct Sellers
When you think of gift baskets, you may think of lavish, over-priced baskets filled with lots of shred and a little fruit or cheese. But there are so many other choices for gift baskets (or gift bags, gift boxes, gift tins… you get the idea)! The profitability factor for a gift collection made using your own direct sales products is tremendous.
Instead of selling one item in a single purchase, you can sell several at one time. And the service you provide your customers by having a ready-made, pre-packaged gift that is totally unique, wrapped and ready to give makes for many repeat customers. Once your customers know you can whip up a gift basket, they’ll contact you for gifts for every occasion. Talk about profit!
Once you understand the profit potential for creating gift baskets from your direct sales products, you may wonder what to include in your baskets. One of the best ways to build a creative, attractive gift basket is to go for a theme. Choose products that complement each other, both in type of product and in color. Here are some themes to get you started…
• All Occasion
Good for housewarmings, new neighbors, congratulations, etc. Use products that would be good for a man or a woman for more versatility.
• All Things Chocolate
This may be your best seller!
• Anniversary
Select romantic, traditional or contemporary themes and fill your container with a variety of items for the happy couple.
• Baby
This is a perfect gift for a baby shower. Include rattles, bottles, lotions and more
• Barbecue
Nice for men who are always hard to buy for. Consider a BBQ apron, long-handled spatula, oven mitts, BBQ sauce, etc.
• Beauty
The options for this one are unlimited! Skin care, spa products, lotions, nail care…
• Birthday
Make one for every age and be sure to keep a few on hand for last minute shoppers.
• Book Lover
Include a couple best sellers, bookmarks, even a journal for recording notes.
• Children
Include toys, puzzles, books, bubble bath, etc.
• Gardening
You can include plants, gardening tools, gloves, seeds, gardening books.
• Get Well
A can of chicken soup and a soup bowl or mug make this another basket that’s good to keep on hand.
• Graduation
Consider pens, notebooks, photo frames, dorm room supplies, snacks and more.
• Holidays
Christmas, Easter, Valentine’s Day, Fourth of July, St. Patrick’s Day, etc.
• Kitchen and Baking
This is good for a housewarming gift, for the chef in your life, or for a new bride.
• Mother’s Day and Father’s Day
Go for traditional or fun gifts, but make up a bunch since these are always best sellers.
• Romance
It’s not just for Valentine’s Day, you know!
• Secretary’s Day
Provide several sizes of baskets for different size companies. Market these to bosses and executives.
• Sports
Baseball, basketball, golf, soccer, you name it.
• Tea or Coffee Lovers
Include a mug, stirrers, tea bags, coffee packets, flavored non-dairy creamers.
• Teachers
Parents are always looking for something to give at the end of the year. Be creative and you’ll sell several.
• Teens
This age group can be hard to buy for so products that would appeal to them are very welcome.
• Wedding
Options are broad. Select items on the bridal registry or choose things you know every new couple needs.
As you can see, the ideas are never-ending. And so is the profit potential! Have some inventory on hand or some things that a customer ordered then backed out on? Create a nice gift basket or bag and sell those products quicker while offering a service your customers will love.
Selling More Products with Gift Baskets
You know that thrill you get when someone places a nice size order with your direct sales business? Think of that multiplied several times over… with just one customer! That’s how you’ll feel when you begin creating and selling gift baskets, bags and boxes you’ve put together yourself from your company’s products.
The thought of creating gift baskets doesn’t have to be intimidating. It’s really an easy process and you can make your gifts as simple or as complex as you choose. Start with the easy gifts then, as you feel more confident and your abilities increase, create more complex arrangements.
Whatever you do, though, do it now! You’ll be wonderfully surprised at how much profit you can make by offering complete gift packages to your customers. And they’ll think you’re wonderful because of the added service they’ll receive.
So how do you put together a basket? It’s really not hard.
You’ll need a container to hold your gifts. Choose a basket, gift bag, decorative box, tin, plastic container, paint can, lunch box or anything else you can think of that will hold your items.
Place a little color coordinating shred in the bottom of the container to form a cushion that will protect your items as well as adding interest.
Select the gifts you’ll use in your package. Choose items that complement each other, of varying sizes. Keep in mind the amount of container space you have to fill.
Arrange your items in the container with the largest items in back, getting smaller as you come forward. Save the smallest items to use as fillers. Create a nice arrangement. It doesn’t have to be elaborate, just pleasing to the eye.
If appropriate, cover the entire gift with cellophane. This isn’t necessary for gift bags or certain other containers. If you do cover the gift, you can use a cello bag or shrink wrap.
The dollar store always has nice large “basket bag” kits that come with a twist-tie and bow or ribbon. If using one of those, you place your basket inside, twist-tie to close, then use your blow dryer to shrink the cellophane for a nice tight wrap.
Then just add a bow with curling ribbons and a gift card with your company name and contact information.
You’re good to go with a delightful, creative gift that’s customized to your customer’s needs.
Make a variety of gift baskets using your company’s products to have on hand for upcoming occasions and let everyone know you offer them.
You might even want to send out a postcard mailer or email to your customer list to announce this new service. Your sales will increase dramatically!
Creative Ways to Market with Expired Catalogs
Sometimes as direct sales consultants, we end up with extra catalogs that we couldn’t use before the expiration date. Maybe we ordered too many for an event, or just didn’t get them handed out like we thought we would. Whatever the reason, catalogs are money in hand, so we certainly don’t want to just toss them out! Here are some ideas to make the most of your expired catalogs and hopefully, get some added exposure and sales from them.
• Print up some stickers with your contact information, including email and website, that say “Contact Me for a Current Catalog!” Put one on each expired catalog before you begin to distribute them.
• Give them to sub-sellers at no cost. This is especially good if you typically charge your sub-sellers for catalogs.
• Leave them on a table in your local library. Our library actually has a table set aside for people to drop off used magazines and books. I’ve picked up catalogs for several direct sales companies there.
• Drop them off at local doctors, dentists, chiropractors and other offices where people have to wait.
• Leave one in the dressing room when you try on a new outfit.
• Cut a circle of netting or sheer fabric (or buy circles ready-made at Michael’s or Hobby Lobby). Place 4-5 Hershey’s Kisses® in the center of the circle and tie with ribbon. Attach one to each expired catalog and drop them off around town in any office that has a receptionist. Consider car dealerships, insurance offices, contractors, etc.
• Ask if you can drop off a few at your child’s day care center.
• Leave a few in the restaurant’s restroom when you go out to eat, and leave one on the table with your (generous) tip.
• Give one to your bank teller when you go through the drive-through.
• Leave a couple on the fabric counter in your local department store.
• Take a couple with you when you have your nails done.
• Ask your hairstylist if you can leave a few in her shop. Offer her a discount for any orders that come from there.
• Drop one off with the secretaries at your local elementary, middle and high schools.
• Leave several around your local college campus. You can also add a recruiting sticker to these since college kids are always looking for ways to make a little money.
• Leave a few in your local laundromat.
• Make up a coupon good for 10% off a first order (six to a page work well). Place one inside each expired catalog. Leave them anywhere else you can think of.
The whole idea is to change the way you think about expired catalogs. While they may have looked like money wasted before, you can now see them as potential orders and recruiting prospects with just a little effort and creativity.
Helpful Hints for Hostess Coaching
Coaching your hostess to do her best job in preparing for her direct sales party with you will help you both. A successful hostess means a successful party and that means more gifts for her and more orders (more money!) for you. Spending the time required to ensure your hostess does well is in your own best interest, but it will also make a better experience for your hostess, which means she’ll be more likely to book with you again – and encourage her friends to book with you, too. It’s a win-win situation all the way around.
Here are some ways to coach your hostess to ensure her party is successful:
• Encourage your hostess to call her prospective guests as soon as she books the party to get it on their calendars. This is especially important if you host a party with limited seating, or if you need to bring specific supplies such as in a scrapbooking workshop or a cooking class.
• Tell her how important it is to over-invite, since some guests could have something come up at the last minute that would keep them from showing.
• Encourage her to call each guest again on the day of the party just to remind them. People do forget – even if they wrote it down – and this can double or triple her attendance.
• Ask for contact information for each confirmed guest so you can call them as well. Have your hostess tell them you’ll be calling. Assure them you’ll only take about five minutes of their time, but that you’d like to touch base. Introduce yourself, find out if they are familiar with your product line or if they have questions about anything. This will help you and the guests to feel more at ease with each other during the party itself.
• Stress that she keep refreshments simple. Most successful hostesses serve only soft drinks or tea and cookies. Discourage your hostess from ordering pizza, making sandwiches, or cooking a full meal. You want the guests’ focus to be on the party and the products, not on the food. And ask your hostess to plan to serve refreshments after the show.
• Have your hostess plan in advance in what room she’ll hold her party. A well-lit area with plenty of seating is ideal. Depending on the type of party, suggest the dining room, living room or den. But ensure her that you’ll work with what you have. You don’t want her to feel stressed because she doesn’t have the “right kind” of space. Be flexible.
• If your hostess has small children, encourage her to have her husband or someone else entertain the children elsewhere for an hour or so. She’ll want to suggest this to her guests, too, since children can distract from the show. Stress that it’s not that you don’t love children, but the fewer the interruptions, the sooner you can finish. And since most of us are very busy women, our time is valuable. Remind her that even mom needs a little time for herself once in awhile.
• Be sure to give your hostess an order form and a couple catalogs or brochures to help her get orders before the party. Not everyone she invites will be able to attend. Getting some outside orders can tremendously increase her sales so encourage her to get as many as she can.
• Make sure she also has complete contact information for you, including email, cell phone and anything else she can use to contact you. You want to be available for any and all questions she or prospective guests may have.
• Let her know that you’re looking forward to the party and that you you’re going to do your best to ensure she and her guests have a really good time.
Regardless of the number of guests she has, tell her how much you appreciate her and give her a small thank you gift just for booking the show. Her efforts matter, and showing your appreciation will build her loyalty, which is a key in building your direct sales business through home parties.
Are You Offending Your Direct Sales Prospects?
A recent post on a direct sales news blog caught my eye today. It was an exaggerated scenario about a direct sales consultant (DSC) approaching a young mom at a park where they had both taken their children to play. Almost as soon as they had introduced themselves, the DSC stuck a catalog in the other mom’s hand and began sharing her latest hostess incentives. That poor prospect couldn’t get out of that park fast enough!
Now, I’ll admit that there are a few (very few!) people who might could pull this off. But to the majority of us, this approach simply comes on too strong. This kind of behavior can not only offend, it can literally turn a new customer off so badly that they will never be reached by our products. Attempting a sale without becoming better acquainted makes the DSC appear gauche and insensitive. It’s better to build a relationship with a prospect first, then let them know of your business.
Put yourself in the prospect’s shoes. You’re at the park with your child. Enjoying a beautiful, sunny day. A nicely dressed woman walks up to you and asks if she can sit on your bench. She smiles. You smile and invite her to sit. Immediately she pulls a catalog out of her oversized purse and thrusts it toward you. “Hi, I’m Mary. I’m a direct sales consultant for XYZ Company. I’d love to show you the latest items in our catalog.”
Now, I don’t know about you, but I quickly start looking for an exit in a situation like that!
But consider, on the other hand… this same nicely dressed woman walks up to you and asks if she can sit on your bench. She smiles. You smile and invite her to sit. She says, “Hi, I’m Mary. What’s your name?” You begin to chat. She tells you about her kids. She asks about yours. You talk about where you live, hobbies, husbands, work. You spend an enjoyable few minutes getting to know each other.
Before long you look at your watch and realize it’s time to go. As you stand, Mary stands also.
“I have really enjoyed talking with you,” she says. And you believe her. She reaches into her purse and pulls out a business card. “Give me a call sometime when you’re free. Maybe we can go to lunch,” she says as she hands you her card.
You notice she’s a consultant for XYZ Company. You say to her, “Wow. I’ve been wanting to see a recent catalog. Do you have one with you?” Being the good consultant she is, she pulls one out of her oversized purse and hands it to you. “Sure,” she says. “Look it over and call me if you need anything.”
Totally different scenario. No pressure. No feeling of imposition. You’ve just met a new friend and she happens to be a sales consultant for XYZ Company. What a pleasant coincidence.
Which of these situations do you think would create a loyal customer? The second one, of course!
Yes, there are times when it’s appropriate to hand someone a catalog right after you’ve met. And you’ll have to use your own judgment as to when that may be. But be sensitive to the feelings of others and if you see them begin to back away, slow down. Those times are the exception rather than the rule. More often than not, we need to get to know our prospects – at least a little – before coming out with a sales pitch. Build friendships first. Customers will naturally follow.
Tax Tips for Direct Sellers
You may have already filed your income taxes this year, but there’s also a good chance that you haven’t. Most of us have made the mad rush on April 15 to get that return in the mail. While it’s our duty, as tax-paying citizens to pay what we owe, we certainly don’t want to pay more than we owe. That would be absurd.
By familiarizing yourself with tax laws and regulations, you can ensure your tax preparation and filing goes smoothly. At the same time you’ll be covering all your bases in finding every deduction allowed.
Obviously, in direct sales your income is based on the amount of money you make rather than an hourly wage. As such there are some tax regulations that apply specifically to direct sales persons that will help you get the maximum number of deductions you can get without upsetting our friends at the IRS.
According to the IRS Website a direct seller is any one who:
• sells consumer products in the home or a place of business other than a permanent retail establishment
• sells consumer products on a deposit or commission basis, or to other persons who will sell the products in the home or place of business
• delivers and/or distributes newspapers or shopping guides
• receives compensation related to sales rather than to the number of hours worked
• performs services under a written contract
• is not treated as an employee for federal tax purposes
If you are in direct sales, you will report your income on Form 1040 Schedule C or C-EZ. Such income may come from:
• sales
• commissions
• bonuses
• percentages of income received for sales
• sales of others who work for you such as helpers and sub-sellers
• prizes, awards, or gifts received from the business you sell for
• products received for reaching sales quotas
As with everyone else, a direct sales consultant is required to claim all income received for any purpose.
If you sell at least $5,000, the company you sell for is required to fill out a Form 1099-MISC on you. Whether they do or not, however, you are still required to claim the income you make from selling their products.
Since you’re required to claim all income, you will want to claim all expenses to reduce the amount of income tax you have to pay. As a direct sales consultant you are allowed to deduct all “ordinary and necessary business expenses.” This can include:
• office supplies
• long distance telephone charges
• business cards and other promotional items
• supplies such as bags, order forms, etc.
• advertising expenses
• website design and maintenance
• business mileage
You may also be able to claim a portion of the space in your home that you use for business if it is set aside for business use only, and possibly other expenses. Check with a tax accountant to be sure of what’s allowed.
According to some IRS documents, you’re not allowed to claim start-up expenses, such as the costs involved with searching for a direct sales opportunity, sales training for a specific product line, the fee you paid to join the company, or the starter kit you bought. These are considered capital expenses and are typically not deductible. The exception to this rule is if the company you sell for deducts this expense. Ask them what their policy to be sure.
As with many tax laws and regulations, there are exceptions based on certain criteria, and the rules do change. Check with a tax accountant to be sure of what’s allowed and what isn’t, just to be safe.
Since your business as a direct sales consultant is to purchase and sell merchandise, you will need a complete inventory of any products purchased at the beginning of the year and what you have on hand at the end of the taxable year. This will help the IRS to accurately determine your taxable income.
While taxes can sometimes seem overwhelming, doing them properly is such an important part of running a successful business, direct sales or otherwise. That’s why it’s important to realize that these tips are very generalized. Please check with a tax professional to ensure you follow all the guidelines and find every deduction allowed you by law.
Build Your Direct Sales Business with Great Customer Service
Customer service is an illusive concept in many ways. While we all know what it is when we see it, it’s sometimes hard to describe. Especially in direct sales where we may not interact as closely with our customers as in the retail marketplace. Here are some tips that will help you, as a direct sales consultant, ensure your customers are satisfied with their products, the order system and you – their sales representative!
1. Maintain good contact with your customers. Most people will understand if an order is delayed, misplaced or simply wrong. But they won’t be as quick to understand a lack of communication on your part. Stay in contact with your customers and they’ll know that you’re looking out for their best interests as you work to get their orders to them on time and as they requested.
2. Go the extra mile. If there’s a problem with an order, do everything you can to make it right. Offer free shipping or return on the replacement – even if the company charges you. Or add a small gift with the order when it finally arrives. Let your customer know she matters and she’s not just a sale for you, but someone you care about helping in any way you can.
3. Offer a personal guarantee. Many people will hang on to an item even if they don’t like it, just because they don’t want the hassle of a return. But most people will be glad to know they can return something even if they never do. The option of a return is what matters more often than not.
4. When you have to give a refund, do it cheerfully. While a lot of consultants will refund a customer’s money when they have to, all too often it’s done with a grudging attitude that tells the customer know the money is more important than she is. Choose to have a better attitude and your customers will respond with loyalty and referrals – that’s a guarantee you can be sure of.
6. Offer a discount for repeat sales. Offering your repeat customers 20 percent off subsequent orders, based either on quantity of items purchased or simply on the number of orders given, lets your customers know you appreciate their business. And everyone wants to feel appreciated.
7. Give them a referral fee. If one of your customers refers another customer to you, thank them with a small gift or a added discount on their next order. This minimal amount can go a long way toward getting you added customers on a regular basis.
Good customer service makes the difference in one-time sales and repeat business. And any sales or marketing expert will tell you that it’s much less expensive, and much easier, to keep a customer you already have rather than try to find a new one. Do what you can to keep your customers while continuing to add new ones and you’ll build your direct sales business bigger than even your wildest dreams.
