What is Direct Selling or Multi-Level Marketing?

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Without consumers, this world will become unrealistic. A consumer is not just a salient backer to the businesses but a backbone of the society’s financial structure. There are mainly two ways by which services and products are distributed to consumers – the traditional one that is the most practiced way. The other one is Direct Selling or Multi-Level Marketing. In this approach, the manufacturers distribute the services and products directly to the consumers. In this post, we will shed some light on the ​direct selling guidelines in India but before that understand what direct selling is! So, let us get started!

What is Direct Selling or Multi-Level Marketing? A direct selling company or multi-level marketing company provides and distributes its products and services to the consumers without involving intermediaries in the channel/process of the sale. Since this model eliminates the participation of mediators, it allows the businesses to distribute a certain amount/commission to the independent agents i.e. distributors, members, etc. depending on the sales volume. A company that is doing direct selling depends on the mouth-to-mouth publicity by its targeted users. This ‘No Advertising Agenda’ not only does a ‘cost-cutting’ but equips the company for the payments of commissions to its members.


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