During the holidays, most direct sales consultants add a few extra products to their home party display to encourage impulse buys and for customers to experience limited edition sets.
But what happens when you end up with a handful of seasonal items that are discontinued, no longer available, but are still in sellable condition?
Many consultants will give them away as booking gifts, or let them sit on their shelves. One of the ideas I share in Direct Sales 104 to increase sales is to create a “Bonus Bag” for your parties. Here are three ways to make the Bonus Bag work for you:1. Create an attractive display of “Bonus Bag” items and let customers know that when they spend a certain amount, they can select one item from the “Bonus Bag” as a gift with purchase, or for a discounted price (purchase with purchase). The first to place their order will get first choice from the bag.
2. Place the products in a “grab bag” and let customers know the minimum and maximum values of the products in the bag. For each spending increment, they can make one grab from the bag. For example, spend $75, get one grab, spend $150, get two grabs. It’s important that the value of the products be at least 20% of the amount you’re asking them to spend. That means if you want your clients to spend $75, the retail value of the product should be at least $15.
3. Use the “Bonus Bag” display to encourage higher guest spending. Award the entire bag to the person that spends the most money. This works well for smaller items that have values under $5 or $10. You can bundle them together to create a more enticing gift.
Very often, this adds an additional $75-150 to your total show sales. Plus, you’re able to liquidate discontinued products without losing money. Be sure to add the total to your hosts order and purchase products to replenish/replace your kit. By offering different products at each show – and only at your shows – you’ll encourage not only higher show sales, but increased attendance as well. Your host is happy at the increased show sales, your guests are happy for the extra products at discounted prices, and you’re happy because you made a little money off the products you would probably have otherwise had to trash.
One word of caution: Do not go into debt to buy products for your bag. The idea is to clear out items with a high perceived value that you already have on hand, not to spend more money you don’t have. By using a “Bonus Bag” you’ll be able to take some of the risk out of purchasing those seasonal items that are quick to sell out.
© 2010 Lisa Robbin Young
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Lisa Robbin Young offers direct sales coaching and training to direct sales professionals looking to grow their business like a real business instead of an expensive hobby. Sign up for her free weekly ezine at http://www.homepartysolution.com.
Action tip: Visit our new Direct Sales Classroom Facebook Page and learn about using my “Priceline” technique with the bag. Then decide which technique you’ll use to increase your sales this season!