Direct Sales On The Rise In Philippines
Direct selling businesses in the country are growing significantly and remain one of the top alternative sources of income especially among women, according to Sophie Paris Philippines.
Jomel Diaz, Sophie Paris sales manager for Northern Luzon and Visayas, said that compared with the previous years, Filipinos are now aware of how a direct selling business works and how the business can help them augment their income.
“Ten years ago, direct selling companies had difficulty engaging people to join but with the expansion of the industry over the years, coupled with the testimonies of successful people in the industry, this business model has gained traction and has attracted more people to get involved,” said Diaz.
A direct selling business, according to the Direct Selling Association of the Philippines (DSAP), is “a business model that offers entrepreneurial opportunities to individuals as independent contractors to market and/or sell products and services, typically outside of a fixed retail establishment, through one-to-one selling, in-home product demonstrations or online.”
Sophie Paris, which is a member of DSAP, has more than 400,000 active members since it started operations in 2002. Majority of their members are women and students, aged 30 years old and younger.
Of its nationwide coverage, Diaz reported Region 7 is the fastest growing in terms of sales and membership. The region grew 74 percent compared last year. “A lot of our active members come from this region,” he said.
According to Diaz, people venture into direct selling because of its proven system and small capitalization requirement. For a P200 starter kit at Sophie Paris, members are already entitled to 30 percent discount in all of their products, among other benefits. Sophie Paris imports bags, cosmetics and accessories, among others.
Another factor that entices more Filipinos to take the direct selling route is that it doesn’t require business experience or high educational background. On top of that, Diaz said, “members can earn unlimited income.”
“Anyone can become big in this business so long as you work hard. Plus, companies like us give business mentorship and other trainings to further unleash the potential of our members,” said Diaz, who added that some members earn P300,000 a month. “Your success in direct selling will depend on the time and effort you put in to grow your business,” he said.
Citing huge business opportunities, Diaz announced the company is planning to set up warehouse depots across the country in the next two to three years. It will also establish an office in Cebu this year.
The future looks promising for the industry, according to DSAP Chairman Joey Sarmiento. During its general membership meeting last March, Sarmiento said DSAP is committed to support the formation of an Asean direct selling community. He said some major developments like the formation of an ASEAN economic bloc were brought up in meetings of the World Federation of Direct Selling Association.