It IS the Business of the 21st Century, however not clearly understood and not encouragingly accepted. If we wish to ride on the upcoming wave of wealth and prosperity, then we need to understand this well and smell the coffee well in time. Just deliberated on the WHY?

1. WHY
NETWORK
MARKETING

2. EVOLUTION OF RETAIL DISTRIBUTION
• PHASE – 1 : AGRICULTURAL AGE (BEFORE 1800 AD)
• BARTER SYSTEM
• PHASE – 2 : INDUSTRIAL AGE (1800 AD – 1970 AD)
• MOM & POP STORES
• DEPARTMENTAL STORES
• SUPER MARKETS/HYPER MARKETS
• FRANCHISES (195-60)
• PHASE – 3 : INFORMATION AGE (1980 ONWARDS)
• TELE MARKETING
• TV SHOPPING
• DIRECT SELLING
• E - COMMERCE

3. • DIRECT SELLING IS A DYNAMIC, VIBRANT, RAPIDLY EXPANDING
CHANNEL OF DISTRIBUTION FOR THE MARKETING OF PRODUCTS
AND SERVICES DIRECTLY TO CONSUMERS.
• MONITORED BY WFDSA.
• THERE ARE PRESENTLY OVER 60 NATIONAL DSAs REPRESENTED
IN ITS MEMBERSHIP.
• IN 2012, WORLDWIDE RETAIL SALES BY ITS MEMBERS
ACCOUNTED FOR MORE THAN US$166 BILLION THROUGH THE
ACTIVITIES OF MORE THAN 89 MILLION INDEPENDENT SALES
REPRESENTATIVES.
WHAT IS DIRECT SELLING
SIMPLY PUT, IT IS ASSISTING THE INCREASE IN SALES OF
PRODUCTS OF A COMPANY THROUGH WORD OF MOUTH,
AND GETTING PAID FOR IT.
SOMETHING WHICH WE HAVE BEEN DOING THROUGHOUT
OUR LIFE, BUT NEVER GOT PAID.

4. RESEARCH SHOWS SOME OF THE MOST POPULAR REASONS WHY PEOPLE
CHOOSE DIRECT SELLING ARE:
• DIRECT SELLING IS A GOOD WAY TO MEET AND SOCIALIZE WITH PEOPLE.
• DIRECT SELLING OFFERS FLEXIBLE WORK SCHEDULES.
• DIRECT SELLING IS A GOOD WAY TO EARN EXTRA INCOME.
• DIRECT SELLING IS A GOOD WAY TO OWN A BUSINESS.
• THERE ARE NO REQUIRED LEVELS OF EDUCATION, EXPERIENCE, FINANCIAL
RESOURCES OR PHYSICAL CONDITION – ANY ONE CAN DO IT.
• PEOPLE OF ALL AGES AND FROM ALL BACKGROUNDS HAVE SUCCEEDED IN
DIRECT SELLING.
• YOU ARE YOUR OWN BOSS, WHICH MEANS YOU CAN WORK PART-TIME OR
FULL-TIME; YOU CHOOSE WHEN AND HOW MUCH YOU WANT TO WORK; SET
YOUR OWN GOALS AND DETERMINE YOURSELF HOW TO REACH THEM.
• EARN IN PROPORTION TO YOUR OWN EFFORTS. THE LEVEL OF SUCCESS
YOU CAN ACHIEVE IS LIMITED ONLY BY YOUR WILLINGNESS TO WORK HARD.
• OWN A BUSINESS OF YOUR OWN WITH VERY LITTLE OR NO CAPITAL
INVESTMENT.
• RECEIVE TRAINING AND SUPPORT FROM AN ESTABLISHED COMPANY.
BENEFITS OF DIRECT SELLING

5. VERY IRONIC

6. WHAT PEOPLE SAY
• IT IS A SCAM
• IT IS FOR HOUSEWIVES
• IT IS A PONZI SCHEME
• IT IS A SIDE BUSINESS
• IT GIVES ONLY SOME ADDITIONAL INCOME
• IT WILL FOLD UP SOON
• YOU HAVE BEEN DUPED
• YOU WILL LOSE YOUR MONEY

7. WHO ARE THE PEOPLE WHO SAY THIS
FAMILY NEIGHBOURHOOD FRIENDS
FAILURES COLLEAGUES THE CROWD

8. WHEN YOU NEED ADVICE ON A SPECIALISED
SUBJECT (LIKE, WHEN YOU ARE SEVERLY ILL),
WHOM DO YOU SEEK AND TAKE ADVICE
FROM?
NOVICES?
OR
EXPERTS?
WHOM TO LISTEN TO

9. SO, WHAT DO EXPERTS HAVE TO SAY ABOUT IT

10. WHAT DO EXPERTS HAVE TO SAY ABOUT IT

11. WHAT DO EXPERTS HAVE TO SAY ABOUT IT

12. I AM DELIGHTED TO HAVE THIS OPPORTUNITY TO TALK TO SO MANY
OF THE SALESPEOPLE WHO HELP OUR ECONOMY GROW, AND HELP
KEEP THE AMERICAN DREAM ALIVE FOR MILLIONS OF AMERICANS.
YOU STRENGHTEN OUR COUNTRY AND OUR ECONOMY NOT JUST BY
STRIVING FOR YOUR OWN SUCCESS, BUT BY OFFERING
OPPORTUNITY TO OTHERS. YOU’RE ALSO PART OF A GLOBAL
MOVEMENT THAT PROMOTES ENTERPRISE AND REWARDS
INDIVIDUAL INITIATIVE, AND YOU’VE SEEN REMARKABLE GROWTH
BOTH AT HOME AND ABROAD.
IN ADDITION TO PROVIDING OPPORTUNITY, YOU BUILD OUR
AMERICAN COMMUNITY. AMERICANS FROM EVERY WALK OF LIFE,
EVERY CREED, ARE SEIZING THE OPPORTUNITIES OF DIRECT SALES.
I’VE FOLLOWED YOUR INDUSTRY’S GROWTH FOR YEARS. BUT WE
NEED EVEN MORE OF THE KIND OF OPPORTUNITY DIRECT SELLING
REPRESENTS. YOUR INDUSTRY GIVES PEOPLE A CHANCE, AFTER ALL,
TO MAKE THE MOST OF THIER OWN LIVES. THANK YOU FOR YOUR
WORK, GOD BLESS YOU, AND GOD BLESS AMERICA.
- BILL CLINTON

13. DIFFERENCE BETWEEN
FRANCHISING AND DIRECT SELLING
FRANCHISING DIRECT SELLING
SEED CAPITAL VERY HIGH LOW
WORKING CAPITAL HIGH NEGLIGIBLE
RISK VERY HIGH NEGLIGIBLE
BREAK EVEN 2 – 5 YEARS IMMEDIATELY, VERY
QUICK
CONTROL HIGH LOW
THE ONLY ASPECT TO GUARD AGAINST – IT
NEEDS SELF DISCIPLINE

14. PARAMETERS FOR EVALUATING A COMPANY
PRODUCTS COMPENSATION
PLAN
LEARNING
PLAN
MENTORSHIP

15. LET THE FACTS SPEAK

16. LET THE FACTS SPEAK, AGAIN

17. WHILE WE GLEEFULLY ACCEPT THE OTHERS AS
‘INDUSTRIES’ OR ‘GENUINE BUSINESSES’
WE CONTINUE TO LABEL
NETWORK MARKETING OR DIRECT SELLING
AS
‘HOUSE WIFE’S SPARE TIME BUSINESS’.
SURELY, THOSE HOUSEWIVES MUST BE
LAUGHING AWAY THEIR WAY TO THE BANK
TIME TO WAKE UP AND SMELL THE COFFEE

18. WORLD STATISTICS FOR 2012 FROM WFDSA
REGION RETAIL SALES (IN MILLION
USD)
% SALES
CHANGE
(YOY) IN
USD
SIZE OF DIRECT SELLING
COMMUNITY
2012 2011 2012 2011
GLOBAL 166876 158319 5.40% 89675927 84592449
ASIA/PACIFIC 73276 70177 4.40% 46090251 41961639
INDIA 1051 858 22.60% 4853232 3962521
AFRICA/MIDDLE
EAST
1260 1207 4.40% NA NA
AMERICAS 66448 61606 7.90% 31192151 29948477
EUROPE 25892 25330 2.20% 11356048 11308346
Source : http://www.wfdsa.org/files/pdf/global-stats/Sales_and_Community_2012.pdf
WORTH NOTICING:
-IN INDIA, THE EARNINGS ROSE BY 22.6%
- IN INDIA, THE INCREASE IN NUMBER OF MEMBERS IS CLOSE TO A MILLION, AN
AVERAGE OF 75000 PER MONTH (OR 2500 PER DAY). THAT IS STILL A MINISCULE OF
THE POPULATION POTENTIAL OF INDIA.

19. WORLD STATISTICS FOR 2013 FROM WFDSA
REGION RETAIL SALES (IN MILLION
USD)
% SALES
CHANGE
(YOY) IN
USD
SIZE OF DIRECT SELLING
COMMUNITY
2013 2012 2013 2012
GLOBAL 178521 166876 8.1% 96257679 89675927
ASIA/PACIFIC 77569 73276 12.6% 50246543 46090251
INDIA 1175 1051 11.7% 5775345 4853232
AFRICA/MIDDLE
EAST
1284 1260 6.9% 1496588 NA
AMERICAS 68049 66448 5.7% 31786761 31192151
EUROPE 31620 25892 2.9% 12727787 11356048
Source : http://www.wfdsa.org/files/pdf/global-stats/Sales_Report_2013.pdf
WORTH NOTICING:
-IN INDIA, THE EARNINGS ROSE BY 11.7%, IN SPITE OF LACK OF CLEAR POLICIES TO PROTECT AND
SUPPORT THE DIRECT SELLING INDUSTRY.
- IN INDIA, THE INCREASE IS AGAIN AN AVERAGE OF 75000 PER MONTH (OR 2500 PER DAY). THAT IS STILL
A MINISCULE OF THE POPULATION POTENTIAL OF INDIA.

20. VERY IRONIC

23. NM IS ALSO ENTREPRENEURSHIP

25. NEED OF THE HOUR
COME OUT OF YOUR COMFORT ZONE

26. • THE BOOK ON NETWORK MARKETING by RICHARD KALL
• CASH FLOW QUADRANT by ROBERT KIYOSAKI
• BUSINESS OF THE 21ST CENTURY by ROBERT KIYOSAKI
• THE SECRET by RHONDA BYRNE
• THE SCIENCE OF GETTING RICH by WALLACE D WATTLES
• THINK AND GROW RICH by NAPOLEAN HILL
RECOMMENDED READING

27. AND REMEMBER,
NETWORK MARKETING AND DIRECT SELLING
ARE SYNONYMOUS
YET, PEOPLE LOOK AT THE FORMER WITH A LOT OF
DISTRUST, ONLY OUT OF IGNORANCE.
THANK YOU
ranvirsm@hotmail.com