The new world is fueled by customers who prefer to shop online
This month we are reporting on yet another company that has made the decision to stop its multi-level compensation plan program (see “Univera Drops Distributors,” page 15).
In this case, it appears as though multi-year declining sales drove the company’s decision to move to a solely e-commerce business. Since the company is private, we don’t have a lot of insight into the decision-making process.
However, the move highlights a certainty that has impacted, and will continue to impact the channel: the ease and popularity of e-commerce.
In this tech-driven world, the customer is the one who makes the decision about the manner in which they will shop—not the business. If your team has not grasped this very important shift in perspective, you may not close your doors, but you will certainly be behind where you could be.
Since the pandemic started last spring, we’ve been writing about the digital explosion and the need for all companies to expand their digital strategy. Our cover story this month takes another look at that topic as new companies enter the channel, and an old friend, The Body Shop at Home, makes its re-entry into the North American market.
Many new companies are entering the channel with digital-first and digital-only strategies, while still finding a way to support and compensate independent contractors with rich rewards. I interviewed Laura Hunter, founder and CEO of Tori Belle Cosmetics for our Getting Real segment (see page 16), and I was very impressed with the company’s approach to their independent salesforce, especially in the digital and marketing training they offer in their back office.
It’s a new world, and from our vantage point here at Social Selling News, those companies who seem to be finding the greatest success are those who embrace both their customers and the new digital frontier.