Recently I read an article from USA Today with the heading: Direct Sales Offer Recession Proof Jobs and want to share my thoughts.
Direct-sales businesses that rely on home-based business owners to help market their products are seeing a rapid expansion of networkers because of the country’s unemployment rate, lost jobs and lost nest eggs. People are simply looking for new ways to make money from home during economic hard times for supplemental income or replacement of a lost job. Women are especially looking for financial solutions. Jobs are no longer being taken for granted. What other options or "safety valves" can help to keep you afloat in a faltering economy?
In the article, the Direct Selling Association (DSA) which oversees these companies, states these statistics:
...There are roughly 15 million direct sellers in the U.S. They can also be referred to as network marketers or independent contractors who help market products or services primarily through a home business such as demonstrations in someone's home and one-on-one interactions. In 2007, the most recent year available, the sales industry generated $30.8 billion in U.S. sales.
...10% of representatives work "full time," or at least 30 hours a week. The majority work part-time or only long enough to meet short-term goals, such as holiday presents.
...Compensation systems vary, but representatives primarily earn money from commissions on product sales or by purchasing the products wholesale and selling them at retail prices. Commissions on sales typically are 25% to 50% of retail. While representatives may also earn a small commission on the sales from representatives they've recruited, legitimate businesses do not use recruitment alone as a basis for compensation
You can read the entire article for actual names of people and companies or read this brief summary. Most of the references are about cosmetic companies; in fact, one recently had a 108% spike in its sales representatives.
Three heart-felt opinions are offered:
- What if we switch from lipstick and earrings to nutrition with whole food supplements
- What if we switch from the idea of salesmanship and recruitment to education about three main business concepts: leverage, residual income and duplication
- What if we every person has the potential and democratic right to be an entrepreneur and just need a democratic marketing system
Several different examples were cited of successful home business owners:
…truck driver laid off by construction company worked alongside his wife in a direct-sales compaby with nutritional supplements. Nearly two years later and with no construction job in sight, a one-time sideline is now earning a six-figure income
.. an assistant office manager saw her hours cut last year and needed a way to make up her lost income while maintaining her office job and busy household.Now her home business is thriving even though there is a recession
…young pregnant mother lost her job as a corporate recruiter and couldn’t find a new job.. now focuses on building home business that looks “pretty promising”
…retirees join the trend …66 year old wife saw the couple’s savings reduced by half in the wake of the stock market fall. Now enjoys hosting parties to earn income until market recovers and savings stabilize
… 26 year old recent graduate in public health has struggled to find a job in her field. She worked for her sister as a nanny before getting a full-time position as an account manager. But she has also decided to start selling cosmetics on the side, partly to earn extra cash for her upcoming wedding. She now intends to forgo a public health career and eventually sell the makeup line full time.
My last opinion, as stated priveously, is we live in exciting times, changes and opportunities if we choose to focus on the potential. You cannot control what happens to you. You can control your attitude. You can master change rather than allow change to master you.
Your comments, questions, opinions are always appreciated.
Annemarie
None of us can change our yesterdays, but all of us can change tomorrow..Colin Powell
1 comment:
Just wanted to add a small tip on creating a recession proof career. It would be a good idea to plan out your career or business by considering government contracting. This is a very lucrative financial opportunity that can help you stabilize financially and increase your income flow if it is done the right way.
If this is something that you are interested in to put an end to your financial worries, get yourself registered with the Central Contractor Registry which is a federal clearing house for vendors and small businesses too. Also identify a product or service that you can supply to the government and which the government needs in order to get a contract.
You can win such billion dollar contracts and secure your career or business better even during this phase of recession.
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