What is The Party Plan Business?

Are you interested the Party Plan Business and a little curious about the industry? Or are you thinking about joining a business like Mary Kay, PartyLite or Premier Jewelry soon? Before you make a decision, let’s cover a bit of the basics and thoroughly define what the Party Plan Business really is.



How is this a Business?



The Party Plan Business (or Direct Sales), is a legitimate business model whose method of selling is by distributing a company’s products or services, like skin care or home decor, through a network of independent distributors who are usually called consultants. These independent consultants use direct selling and network building to market the products and services to potential customers. They act as a franchise (like KFC or McD’s)  to the company and earn commissions based on the volume of merchandise sold as well as team building and leadership.

In effect, the “home” company provides marketing tools, like catalog and company websites, to its consultants to help them promote the business and reach their maximum earning potential.  Beside this, the company also offers personal development tools, business opportunity meetings, marketing and sales training, and leadership guidance to new and existing members.

The “home” company’s ultimate goal is to procure outstanding sales and gain a loyal customer base. Instead of using the traditional method of hiring a sales force, housing the product in a “brick and mortar” building, and spending on costly advertising, they instead have an independent sales force who promote the business through word-of-mouth referrals. The consultants  bypass the middlemen and sell the products directly to the customer. This direct method, in turn, helps customers save more money by eliminating mark-ups on the products.

 Customer Satisfaction and Loyalty
are gotten with the personal touch
that only a consultant can give.

By using this business model, the “home” company stays ahead of the competition against their traditional counterparts. Not only is the playing field leveled by allowing small businesses (the consultants)  the same opportunities which their competing large corporations enjoy, the consultants also build valuable relationships directly with their customers which generate customer satisfaction and a loyal following for the product.

Some companies even let their products speak for themselves by developing excellent quality and highly effective product performance. They allow the potential customer to experience their products, asking for feedback, ideas, and suggestions on how to improve the products. Satisfied customers will then provide testimonials to convey the benefits and advantages of using the merchandise. These testimonials will then be used by the companies as their promotional tools.

What makes this business model a highly popular choice by many is that it offers a virtually limitless earning potential that cannot be seen in any other traditional business. Independent distributors enjoy numerous benefits by operating their own “franchise.” Not only do they get to retail the products and services to consumers, they also get to expand their businesses by encouraging others to do the same.

But perhaps the most appealing factor in venturing into the party plan business is that in return for a low risk investment, distributors get a chance to take home a most-coveted residual flow of income. At the same time, they take pleasure in time freedom and an improved quality of life. They can work whenever they prefer and decide on how much effort they are going to put into the business to make the income that they desire.