Re: Phoenix, Juice+, Ann Summers, Bluebella and the rest - What's wdownside?
Jon@TheMoneyShed said:
uplines
downlines
I know these franchises aren't for me, infact to be honest, I think the products they sell and the way they go about doing them are just so archaic it seems the custom is just going to get lower and lower.
Things have moved on, supermarkets now sell EVERYTHING near enough to most people go online in the first instance to source a product. Would I ever buy anything from a catalog or sales person at my door, no, but then I am a man and maybe not the target audience.
I would hazard a guess that most of your customers are women, housewives maybe..
It seems you guys have to do the hard slog and come up with the original ideas to get sales and meet targets and you are all doing it for someone else. If you have a natural skill to sell things then take that talent and maybe use it on Blogging or make a website yourself (or facebook group). source the products and sell them via that and take all the profit.
That out me off a lot of direct selling companies, I always asked myself if I would ever buy their product. I considered Phoenix but while I like their cards I don't buy them, and they have plenty of reps in my area, and usborne books - again I like their stuff but I know reps, and I bought most of my sons recent books from tesco.
SHD is part of the new wave where customisation is part of the offering, offering something that you can't get at a supermarket or large retailer.
As for going it solo, to give anywhere near the customisation options I get with SHD I'd have to pick another wholesaler, probably in the US or China. I could buy a locket for $34 that I sell with SHD for £57. But I'd have to handle customs, testing for nickel/cadmium compliance, setting up and maintaining my own web store, creating my own promotional materials, creating my own promotional images, and I wouldn't have access to the hostess incentive programs and other selling tools.
Could I make a go of it? Of course I could! Realistically I'd cut my offerings and import a smaller number of components in bulk to cut costs further. But I'd be looking at a proper full time job, not something to fit around my son, and my margins would be a bit better than the 40% I'd get with SHD, but probably not that much better that it's anywhere close to a no brainer, and I'd have a heck of a lot more invested and at risk.
SHD is a bad example though
SHD isn't a traditional direct selling/party company.