The party plan business has caught up with stay-at-home mums in a huge fashion just like what Tupperware did several decades ago. But one thing about party plan businesses of today is that it involves other aspects wherein home-based mothers can earn a fantastic income.
Higher income derived from this direct selling industry has improved lives and what makes it even more lucrative is it can start from home, but scale to a national or even global business. With an unlimited income potential, one can start part-time by hosting social events, with a very small investment.
Does Party Plan Work?
The good news for those who already have regular day jobs—you don’t have to take a leave of absence or resign from it. The only thing you have to worry about is deciding on products to promote as there are just too many of them that you can actually sell. The wide selection is just too awesome it leaves you breathless.
Here are a just few choices (and there are plenty more):
- Skin care
- Home decors
- Adult products
- Children’s educational toys
The home party business started with selling home wares for the kitchen and later on added children’s toys and other items. Today, choosing from a vast expanse of products is quite intimidating unless you know which sells fast and what items are trending. It is imperative to know how attractive they are in the eyes of your prospective buyers so there will not be wasted time and effort.
How this business model can help you succeed
If some people doubted the merits this business model brings, some have plainly come out in the open and averred that there are so many ways money can be earned. Many successful companies in the past have used almost the same scale and stood the test of time just as Avon, Tupperware and many more. Discussed below are points that can help those who plan to embark on a party plan business earn.
There is a big possibility of selling to more than just a few people. This business focuses on not only to a handful but it can take on large groups. Inviting more people to a party equates to more profits. Therefore, earning more profits is equivalent to more money and—benefits from the company.
The assortment of products to sell is awesome that’s why the business plan goes well for almost every woman who wants to gain from this opportunity. You can choose products that are closely associated to each other in order to present the fact that buying one needs the other or others more than that. Wise party plan consultants have utilised this strategy because they know this method can help maximise their earnings.
Low overhead costs
There is no need to pay for office space and no storage space to rent. You can ship the orders directly to your customers. This saves you more on time, transportation expenses and financial resources. All you need is minimal spending for a kit which will be your first point of battle. Now, the more products you can sell means more benefits for you and your customers. This would then lead you to have loyal followers who would bring in more referrals.
A single consultant can form a team that can help sell products. This team, broken down down to individual sellers, can rake in higher revenues for the entire group. Selling can be done simultaneously or using one schedule (at different locations, of course) and pitch in unison. Your team’s sale ushers in exponential earnings for you as the team leader as well.
Benefits are at stake
High team earnings found at a particular period of time are awarded bonuses and some benefits by the company. So, if you and your team reach a particular quota or go overboard that line, you are bound to receive company rewards that may serve to motivate you and the members of your team. This entitles sellers free gifts or items heavily discounted by the company where you can earn more profit.
The party plan business model does not happen in typical work environments. Parties can be conducted in a town hall, your home, a prospective customer’s home or anywhere you can imagine except in an office setting. Pitching is on a more relaxed scene that enables sellers to a more comfortable approach in presenting their products that entitles the customers to carefully consider the benefits the products offer. There is nothing more enjoyable than listening to somebody talk while nibbling something on your mouth.
How party plan businesses have evolved
The business maintains several principles which catapulted it into fame and success. Companies that have utilised this model believe in a lot of things and some of them are listed below.
- Companies observed that this business model is a constantly evolving one. What was feasible in previous years may not be practically used today. Therefore, the passing of time has made them adapt to what is agreeable to customers in today’s generation and deleted techniques that would no longer work, and enhanced some aspects wherein the company, its consultants and their customers would gain as a whole.
- Pitching environments before was restricted to conducting home parties but the scenario of today has changed. Selling something is now taken to where target audiences are and the Internet is highly involved in this change. Parties can be done virtually with the help of a computer and many users have joined the bandwagon because this process needs only a short time to finish.
- While some companies still follow the old technique of gathering for team meetings, others involved themselves in live streaming which is more feasible. Live streaming has a wider reach. You can conduct meetings either on a regional or national scale. You can utilise Google+ online chat groups or Skype for webinars and for daily training posts, there’s YouTube, Twitter, Pinterest or Facebook pages.
- Party plan businesses believe in the effectiveness of coaching and mentoring people who are tasked with promoting their products. This they do in order to build a workforce great enough to know how this business can be improved. Leaders in this business want their sales force to be adept at company principles and customer management as well as providing customer satisfaction.
- If the old style of direct selling involved takeaway schemes, this is now eliminated in today’s party plan business model. The present scale advises companies to reward consultants who generate more sales and provide fat paychecks for those who work really hard to obtain higher revenues for the company.
- The old style had consultants communicating directly with their customers and follow through on a personal basis. In such case, companies treated their consultants as customers. These days, companies partner with their sales force in order to get into a win-win situation. They provide them with high tech tools and more visibility like having a website to make it favorable to both parties. This gave into increased consultant and customer retention that sums up to a more lucrative business and full-time earnings using part-time effort.
How to start your own party plan business
- Love the product: Since you are about to sell a product or two, choose properly and make it a point to select items you’d love to own as well. This is very important as you will never appear excited in pitching about the product if you do not like it personally.
- Research and compare: You must research companies that are involved in this industry and compare each of them based on selling method and consultant commission rates. Companies vary in a lot of things from rules and regulations and process of operation.
- Know how you will sell: To know which one seems to be closest to your own style, ask other consultants to get some insights. They can provide you with reliable information. Another way of finding out is to attend a party or two.
- Check out the company: If it is registered with the Direct Selling Association of Australia (DSAA), you are on the right track. Other than that, skip it and go and find positive information on the next one on your list. There are rules that companies follow that protect not only the company itself but also their consultants.
- Know how you will earn: Get information on how you will earn. This part of selling is very essential as this is where your livelihood depends on. Learn about incentives in store for you and know how you can get most out of the company you joined. Compensation and rewards must work for you and the customer at all times.
Party Plan Business Success Tips
- Time management skills – There is a huge need to use time wisely when it comes to work, and a party plan business needs it the most as well. In order to succeed in this field, you have to learn to balance your time spent for the family and time you spend for your business.
- Organise – Use a diary or a calendar to schedule demos so as not leave out essential things that involve orders, customers and delivery specifics. If you think that only big details matter, think again. Small matters once piled up can turn into a gigantic issue that not even the oldest company can sometimes solve. Being organised makes you more efficient.
- Know the members of the team you joined. Problems set in at any given time and it is your team members that you can ask help from. New recruits benefit on assistance the most because everyone would be there to help solve even the minutest issue they have.
- It is imperative that you are armed not only with the products you like to sell. What is far better is to be well-informed of policies, quality and benefits of the merchandise and after sales service. This allows for more credible selling technique which customers adore.
- You may ask friends and family members to help you through during the starting point of your career. They can help you book parties that may give you a good push before you continue treading the path towards mainstream selling.
- Do away with nervousness when you start pitching. Although some people were born with the skill of engaging people through speaking, there quite a few who really hate doing so. Many first time speakers say they feel their hearts have found their way inside their throat before they speak. Some say they get intimidated by the attention provided them by their listeners. To avoid this, practice in front of a mirror before you finally start your first party. Practice makes perfect—you’ll get over it after several pitches.
Several party plan companies require upfront party payments the moment you place your orders. You have to use your convincing skills in explaining this to your customers. You can tell them that the policy states that you have to pay at the party to expedite delivery of goods.
At times, delivery of goods may cost a lot most especially if your customer lives far. What you can do is to check if the company you work with is able to post orders to the hosts. This may save you from traveling as well.
Once you have done a series of parties and have reached a certain amount in sales, you may start evaluating your own performance and enthusiasm. Do you still feel excited in calling for another party or not? Can you handle your customers’ demands? You have to answer all these questions honestly.
Ask yourself if the business has provided you with a grand opportunity to earn or have you proven that the business model is not good for you. If you feel that the latter takes on more weight, then, it is time for you to stop. However, with most opportunities, if you’re prepared to learn the processes and systems in place to succeed, then there is a good chance that you will actually do just that!