If you have a knack for marketing but work best when the environment is cherry and joyful, the party plan business could be for you. It’s a unique and engaging model that blends business and social gatherings to make direct sales.
Party plan business relies on personal connections and direct interaction with potential customers to make sales. And if you are still not convinced with this refreshing and interactive way of doing business, let us tell you that there are hugely successful companies working in the space making big money.
In this post, we will dive deep into the working of party plan business and their unique marketing approach. Likewise, we will also learn about successful party plan companies that have leveraged the power of social gathering to achieve impressive sales numbers.
The party plan business model is simple – individuals associated with a party plan company organize social events or virtual gatherings and promote the company’s product.
It’s a kind of direct selling business – the only difference is the setting which is often an event or gathering, and the interaction is direct between the seller and the customer.
Therefore, party plan companies leverage fun-filled and intimate gatherings instead of brick-and-mortar stores to showcase products and derive sales.
Here are some noteworthy benefits of party plan business;
- Unique and personalized shopping experience for customers.
- Foster a sense of community amongst participants.
- Facilitate direct interaction with the sellers enabling close bonding and firsthand product experience.
- Free word-of-mouth marketing for companies.
- The party plan model involves lower overhead costs than traditional retail stores.
Now, let’s check out the most successful party plan companies;
Speaking about the party plan business, the first name that came to mind is Mary Kay – a world-renowned company operating in the makeup and beauty product space.
It’s a veteran in the industry and has humble beginnings going back to 1936 when the company’s founder, Mary Kay Ash, invested $5,000 to start the company.
But today, Mary Kay occupies the 6th position in the top global direct-selling business list and boasts a presence in 40 countries.
Its USP is Mary Kay’s independent beauty consultant program which employs women as consultants and relies on party plans to make sales. And its approach to empowering women has been so successful that Mary Kay now has a net worth of $3.2 billion.
Scentsy started as the seller of wickless candles and decorative warmers by Heidi and Orville in 2004. But the small-scale business soon turned into a full-fledged enterprise, owing to its unique products and intuitive business model.
At the heart of Scentsy’s success is the party plan business model. The company relies on individuals known as Scentsy consultants for organizing events, interacting with customers, and making sales. In return, these consultants receive a 20% commission on each sale.
Today Scentsy earns a yearly revenue of a whopping $500 million, plus it sells its products in 11 countries. And the best part is a large part of its revenue and success comes through the network of Scentsy Consultants.
AVON is an iconic direct-selling company that has been empowering individuals for more than a century.
Started in 1886, AVON has survived through the ups and downs of market slowdowns and has now positioned itself as the top direct-selling business in the world. Its product range includes wellness, fashion, beauty, fragrance, and personal care products.
But the most noteworthy thing about AVON is its efforts to empower women and provide them opportunities to make a considerable amount via product sales.
Individual consultants, mostly women, form the core of the AVON selling model. The company now provides earning opportunities to over 6 million sales representatives worldwide. AVON is just behind Amway in revenue and has total annual earnings of over $6 billion.
Party plan companies have repeatedly proven that it’s a viable business model, but why do these companies succeed? Let’s explore some of the reasons;
- Customer Relationship – The party plan involves direct customer interaction, facilitating strong customer engagement at personal levels. This ultimately leads to more sales.
- Top-Notch Product Quality – Quality products are the pillars of party plan business. It is one of the main contributing factors to the success of party plan companies.
- Consultant Motivation – The involvement and dedication of their consultant is a big factor in the success of party plan companies. That’s why they offer attractive incentives, rewards, recognition, and ongoing training to keep their consultant motivated.
Follow the below-mentioned tips if you are venturing into the party plan business to achieve success in a short time;
- Start with a reputable party plan company to gain exposure and experience in the sector.
- Be clear about your target market.
- Emphasize heavily on forging strong and authentic customer relationships.
- Learn the ways of organizing engaging events and parties.
- Leverage the power of social media to expand the reach of your parties and attract more visitors.
- Know the product you are selling inside out so you can effortlessly explain it to customers.
- Network and collaborate with other consultants to understand the technicalities of the party plan business.
Party plan business has made significant inroads into the direct selling business and speedily emerging as a preferred mode of selling products. It provides a thriving and fun-filled approach to traditional marketing business and holds significant sales potential.
If you work well with people, have a knack for parties, and have skills to effectively engage the audience, you can achieve massive success in the party plan business. Why wait, then? Start today and fulfill your entrepreneurial dream with a party plan business.