Differences Between Direct Sales and Network Marketing
Direct sales and network marketing are two sales models that are often confused but have different characteristics. We can summarize the key differences between the two concepts as follows:
Direct Sales
Definition: The sale of products by the manufacturer or wholesaler directly to the consumer without intermediaries.
Focus: The quality of the product and customer satisfaction are prioritized. Sales representatives typically offer a specific range of products or services.
Earnings: The earnings of sales representatives are determined by the quantity or value of the products they sell. It is seen as an additional source of income.
Examples: Selling products such as cosmetics, cleaning supplies, and kitchenware by going to homes or workplaces.
Network Marketing (Ağ Pazarlaması)
Definition: The sale of products through an independent distributor network structure.
Focus: It is based on both product sales and finding new distributors. It is also presented as a business opportunity.
Earnings: Distributors earn commissions from their own sales, their team's sales, and the expansion of their team.
Examples: Sale of products such as health products, personal care products, financial services.
Key Differences Between the Two Models
Feature Direct Sales Network Marketing
Focus Product sales Product sales and team building
Earnings From personal sales From personal sales, team sales, and team growth
Business opportunity Additional income source Presented as a full-time job opportunity
Network structure Generally less complex A wide and complex network structure