By John Fleming, Guest Contributor
As we observe new adjustments in leadership at the FTC, those who work with and advise those building businesses via independent contractors have much to be optimistic about. Change, in this case, may represent the beginning of a new period where we are not as concerned about “what may be next” relative to regulatory oversight.
I recently attended the Direct Selling Channel Summit held in Salt Lake City, Utah. This conference is an evolution of what Momentum Factor started many years ago as the Direct Selling Legal & Compliance Summit. I have always enjoyed the focus of this conference, and the learning/listening opportunities presented. The content of the recent conference was much broader in the new format.
As I sat and listened through this year’s sessions/presentations, it was obvious that there was less tension in the air relative to lawsuits and FTC-related concerns that have been in the atmosphere of direct selling for many years.
With the abatement of threats and perceived threats (the Neora victory has obviously had a very positive impact on direct selling companies in particular), I often thought about how refreshing it was to observe that companies are once again more focused on relevancy as a channel of distribution vs. “worry/concern” over the threat of attack and interruption of business.
Perhaps regulatory scrutiny has led to greater simplicity and elimination of complexity in many of our business models. Simplicity, effective branding, and excellent digital tools appear to be the enablers that fuel success in this new and very different marketplace.
Success is also defined in accordance to the objectives and expectations of the individuals involved. During inflationary times when traditional income may be shrinking, incremental income opportunities—which enable one to leverage underutilized assets such as time, knowledge, skills, experience, passion, or purpose—become treasured possibilities.
Therefore, adhering to and being compliant with regulatory guidelines is not a barrier to our ability to market our value proposition effectively and grow market share. The
marketplace of those seeking incremental income possibilities is certainly much more aware of the significance of a few hundred dollars earned with the flexibility and freedom one desires. Developing multiple income streams is growing in popularity, and the gig economy is proof of concept. The research we initiated and conducted validated our hypothesis.
As we continue to be cautioned by those closest to the laws and guidelines, perhaps we are also realizing that others who are growing market share in this new marketplace are doing it effectively by focusing on attributes such as flexibility and freedom through state-of-the-art digital tools, which remove the barriers of geography and time zone. Our friends, family, and prospects can be thousands of miles away yet as close as the technology we embrace
and use.
Unique to the direct selling business model is the opportunity to leverage love, passion, and purpose with the skills associated with building a source of income via the products and services made available through a direct selling company.
Beyond our regulatory concerns is the need to remain relevant whenever a marketplace changes. The future of work is predicted to be very different. However, we already know and realize that the way we work “today” is very different from the way we accepted work more than 10 years ago.
While the need for physical interaction remains a human need and some types of work will continue to require a physical presence, our work is obviously less dependent upon physical interaction and more and more dependent upon how we use technology in a personalized and authentic manner.
The phrase, “less is more” is ringing true in how we approach both living and working. Those who are focused on predicting the future of work are very consistent in their outlook. I am reminded of these words recently read in the preface of the book Employment Is Dead by Deborah Piscione and Josh Drean:
“The confines of hierarchical management and centralized control are increasingly ill-suited for the fast-paced eco systems around us. What is taking their place? Decentralized work ecosystems that empower individuals with unprecedented flexibility and agency to mix and match income streams, collaborate in communities driven by shared passions, and engage in meaningful work from anywhere in the world. Workers will spend the majority of their time on their passions and far less time on monotonous tasks….”
The quote I just referred to sounds like a definition of direct selling. This is who we have always been, and the new versions of direct selling are primed to succeed in this new marketplace. I came away from the Direct Selling Channel Summit with a feeling of exhilaration. Compliance and regulation now appear to be a natural part of marketing strategies.
Our focus is not about what we cannot do but more about what we can do! Direct selling brands represent quality, uniqueness, and value proposition. Direct selling brands should be brands of choice. We are now in a very special moment in time!
