Intermediary Purchasing from the Producer of the Product
Sell Steps: Sell steps include the activities Intermediary customers take in selling and delivering the product to their customers. These activities include their own customer recruitment and product delivery.
3. Intellectual: Segment customers on the basis of their current knowledge and understanding of the company and its products
A. Knowledge of company and company product
Familiarity with specific product:
Customer knows of product but does not use it
|1||5900||2004||The old-school, direct-sales approach of Tupperware is gaining traction among small-business owners. The Internet has made widespread recruitment of sales representatives easier and cheaper and e-mail has facilitated marketing and selling. E-commerce has allowed sales to expand beyond the traditional house party format by letting reps direct potential customers to a company's website for purchases. Competition for retail space is reduced as direct-sales retailers don't have to compete for store placement with already established companies. Membership in the Direct Selling Association has jumped 89% to 227 companies, offering everything from tools, cosmetics, pet supplies and legal services. In 2003, total sales reached almost $30 billion, up 20% from 1999, totaling almost 1% of all U.S. sales. Distributing through independent sellers keeps start-up and operating costs low, as the individuals sell the products and keep a portion of the proceeds. However, maintaining inventory controls and ordering for future demand is difficult.|
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