𝐁𝐮𝐬𝐬𝐢𝐧𝐞𝐬 𝐖𝐨𝐫𝐥𝐝 𝐢𝐧 𝟐𝟎𝟐𝟓

Direct selling market to touch Rs.64,500 crore by 2025

by Idhaya on July 2020

The direct selling industry has the potential togrow almost nine times to touch Rs 64,500 crore by 

2025 a FICCI-KPMG report said Direct selling has already emerged as a successful industry in over 

100 countries, with a market size of USD 180 billion.

and is likely to provide self-employment to around 1.45 million people, says a report.

The direct selling industry in the country is currently pegged at Rs 7,500 crore, a report by KPMG and 

industry body Ficci said today.

The report also said the market in Gujarat, valued at around Rs 3,000 crore, has the potential to 

touch Rs 5,000 crore by 2025, as the state is witnessing  a rise in middle income households, coupled 

with growth of consumer markets.The report said the direct selling industry has been recording double 

digit growth of over 16 per cent over the past four years

Indian IT industry to grow to $350 billion by 2025:

Golden Future of IT Industry

“ 

The Indian IT industry is expected to grow to $350 billion by 2025, from the present $191 billion, riding on increased growth in digital initiatives and higher spends by global Fortune 500 clients.

Separately, Nasscom has joined hands the Maharashtra government to launch a 50,000 sq ft startup warehouse in Andheri, Nasscom Chairman Keshav Murugesh said in his keynote address, but did not elaborate.

“We are preparing for a great digitally-enabled future where every model will be transformed, and the old will give way to the new. We are confident the current $185 billion-industry will grow to $350 billion, if not more, by 2025,” Murugesh said.

Foreseeing this, Nasscom had taken a lot of initiatives last year including ‘Future Skills’ programme or driving digital at scale.

“We expect 4 million technology employees to benefit from this programme. FutureSkills Prime has also been funded by the Government of India will import 4 lakh people,” Murugesh, who is also the Group CEO at WNS Global Services, said.

The Best Time to Choose Direct Selling:

 As per the Corporate Finance Institute, any industry typically goes through five stages in its life cycle – startup, growth, shakeout, maturity, and decline.

As per my views, it is best for a business owner to get involved in an industry when it is in its growth stage if he/she is not among the start-ups.

Industries like Social Media (Facebook), Online Shopping (Amazon), Electric Cars (Tesla), etc are a part of this Industry Life Cycle and are currently at the maturity stage.

Nokia went through the decline phase, as it did not adapt to the changes in the mobile industry.

Currently, in India Network Marketing is in the growth phase and it seems to have potentially high growth in the future based on the facts discussed above.

It is the best time to invest in a Direct Selling Business now at the growth stage ,rather than 

waiting for the maturity stage.

Advantages Of Direct Selling Market:

1. Low Risk – Less Investment :

Direct Selling has a very minimal investment to be made and has hardly any risk involved.

Here you are not actually making a product, all you are doing is selling it for someone else, who has taken all the risk.

Here your investment will include a one-time sales kit that you might have to purchase and to invest your time to study the product, attend the training sessions, etc.

2.Self -Ownership-Time Flexible:

Direct Selling will make you self-employed and you can work on your own rules, as per your time availability.

This is one of the main reasons why women are currently leading in this industry. Housewives involve themselves in this industry as per their time availability and also manage their houses at the same time.

3.Side Income-Growth Potential:

As this business model does not require all day, you can consider direct selling as a part-time job. Havings a side-income is always better than to watch T.V.

All Millionaires believe that Side-Hustle is one of the major keys to their Success.

Looking at the high growth potential, you never know when your side gig, turns in a huge business estate.

4.Recurring Income(Passive Income):

One of the main reasons why Network Marketing works, as it has a passive income opportunity involved in it.

One of the ways to earn in Network Marketing is by recruiting more people. Every time a recruitee makes a sale you also earn a commission.

It can be said that every time you recruit or refer a new person, you are investing in that person similar to investing in new business. Every time your business earns you earn.

And in this case, your business is going to be a passive one.

Common Myths of Network Marketing and Direct Selling:

 Myth-1-Only the Person on Top makes Money:

As Network Marking is also assumed to be a game of referring and recruiting, people on top are the ones who actually make money.

The argument suggests that people who have joined at an early stage will be the ones who will make money without any struggle.

Well, a part of it can be true, but let’s be practical, even in the corporate offices the same concept works, but that does not mean the one who works is not rewarded.

People who sell the most earn the most commission. The recruiter (investor) earns the returns on the investment he made in you.

Myth-2-Network Marketing Eventually Will Get Over:

The argument here is that, eventually, everyone will refer to everyone else, and everyone will be sellers of the product creating a high supply with the same demand.

This is completely wrong as every year there are people who turn 18 years, and not everyone is going to join this business.

Even out of the existing ones only 5-10% of people actually take network marketing seriously and puts the required efforts.

Myth-3-Network Marking Schemes are all Illegal & Fraud:

You need to understand the difference between Network Marketing Schemes and Pyramid Schemes.

Network Marketing involves actually selling a product or service and with that to recruit and refer.

While Pyramid Schemes only have one agenda, to get people to join them with a fee and ask them to bring more people to join.

Here a person joins by paying a fee only in the hope that he/she will bring more people to join and earn a commission from their joining fees.

Myth-4-Direct Selling is an Easy Business:

Although it might seem that it is easy to crack the direct selling industry, it is not.

You will need adequate training and skills to actually be able to go out there and sell.

More importantly, you will need a lot of patients as selling is not easy and 80% of the new joiners give up in the very first year.

ALSO READ: 3 STEPS TO SUCCEED IN NETWORK MARKETING