If you are thinking of starting a direct sales business or you are already a consultant and wondering what to sell during a recession, here are some tips.
First are the bare necessities of course… food, clothing, shelter, basic personal care (toothpaste, soap, etc), health care, and utilities (heat, electricity, etc). Then there are other items that people are slow to give up such as education and television and Internet. Additionally, consumers will show increased interest frugal living and in do-it-yourself products and information.
However, while consumers will continue to buy food for example, they are cutting back on higher priced organics, choosing budget family dining instead of fine dining, and are more likely to choose a less expensive generic over their usual brand. Some adjustments to your marketing message may be necessary to meet customers’ current preferences. Market gourmet food mixes as a less expensive alternative to eating out. Or sell spices and recipes that make budget meals more appealing. Demonstrate how your cooking tools can be used to preserve the nutrient value of foods and how storage products prolong self life.
Think about why people don’t give up television during hard times. Perhaps it’s because they give up other forms of entertainment like going out to the movies or skiing. Since the family is staying home more, they rely on television for entertainment. But other inexpensive family entertainment products such as board games and movie rentals may be good sellers now too.
As mentioned in Recession Proof Your Business Using the Lipstick Theory the best positioned companies in a recession sell what economists refer to as “inferior goods” – products that people substitute for their favorites that they can no longer afford. So again it follows that if you focus on selling your less expensive product line as an alternative to the more “luxury” products they’ve been buying, your customers are more likely to continue buying from you.
It’s really a lot of common sense – think about what people will continue to buy when they are being very budget conscious and sell those items.
There’s also a major advantage direct sellers have during a recession that makes customers want to buy from you – personalized customer service. While the department stores are probably cutting back on personnel, you can go the extra mile to provide the attention your customers want.
It’s not the time for business as usual, but if you make adjustments you may be able to maintain your usual amount of business.
If you’re looking for a company to join, be sure to also read, How to Choose a Direct Sales Company During a Recession.














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