Tech Consolidation for Direct Selling. Part 2: Impact on Direct Selling
Kate Chorna
Direct Selling Enablement Specialist | Communications, Research & Analysis | Direct Selling Transformation
Because it’s a relatively new concept, tech consolidation hasn’t yet been fully studied or surveyed – meaning that #DirectSelling companies who are first up in this approach stand to win the most. Yet signs point toward consolidation as an advancing trend.?In their December 2022 State of Sales Report, SalesForce published their findings that 94% of sales organizations plan to consolidate their tech tools through 2023. Because direct selling is an industry that’s driven by distributor #Performance , arguably, the imperative to consolidate reaches beyond “reducing inefficiencies” for tech administrators to affect virtually the whole structure of the business. We can extrapolate the following goals for tech consolidation based on direct selling’s current pain points and market challenges:
Driving Costs Down
At a moment when driving down costs is a must, consolidation does this by reducing the number of vendors that one pays separately, as well as #Onboarding , #Training , and administrative expenses.
Improving Field Experience
With direct selling locked in competition with large gig platforms, consolidation done the right way produces a single data flow between tools, with AI maximizing the impact of personalization at every step. Each action the distributor takes responds to her past performance and self-defined goals – as well as real-time corporate KPIs.
Boosting Revenue
Lastly, where direct selling companies might think of their tech as simply a way to “digitally transform” the distributor’s experience, the fact is that the right tech can drive organizational revenue. It’s not only about cutting costs but enabling distributors to sell more, to more repeat customers, and stay in the field for longer. This isn’t tech for tech’s sake, but for the targeting of direct selling business outcomes.