Direct Sales Model
A distribution strategy where products are sold directly to consumers through sales representatives, bypassing traditional retail channels.
Implications
A business model where products or services are sold directly to customers without intermediaries, often involving personal selling, online channels, or company-owned stores, allowing for greater control over pricing, customer experience, and brand messaging.
Example
Example: A cosmetics company uses a direct sales model by selling its products through independent consultants who engage with customers in their homes, providing personalized recommendations and direct purchases.
Related Terms
Different from indirect sales models, where products are sold through retailers or distributors, the direct sales model involves selling directly to the end consumer.