How do I pocket money in direct sales – part 2..
In my last blog I talked about how you can put money into your pocket from direct sales. We even broke down the cost of doing business, which included the purchasing of catalogs, office type supplies, fuel and the products themselves. The model we used was $100 in sales, with a 20% commission (or discount) on products, $10 for catalogs, $5 for office supplies and $5 for fuel. If you do the math it’s easy to see that the $100 in sales is completely used up for the cost of doing business. Now let’s figure out how you can actually put money in your pocket. The way to put actual money into your pocket is to sell more. Using the figures above, of you sell $200 you’ll actually pocket $20. Based on the fact that you already have the catalogs, office supplies, and chances are you can deliver a couple orders to the same place. Now, what would happen if you sold $300, you could potentially pocket $40. Although that doesn’t seem like a bunch of money, if you only spent 2 hours that becomes $20 an hour. As you can see, it’s really not about making easy money, it’s more about getting the large orders. If your only selling a small amount, then direct sales probably isn’t a way to pocket big money. Bottom line, if you want to make money, you have to put in the time. Just like any other sales job based on commissions, the more time you put in getting the sales, the more money you pocket.