On March 13, more than 150 students gathered at Elon University for the “Using Data Analytics to Drive Sales” panel discussion hosted by the Center for Organizational Analytics and Direct Selling Education Foundation. The panel featured Bassam Alqassar, Vice President of Information Systems and Technology at Princess House, and Yemi Mateola, Director of Solution Delivery and Architecture at ACN. The panel was moderated by student Matthew Jegier, graduating class of 2018, a finance and management double major.

How data drives sales in direct selling companies is unique, due to independent sales representatives, who are also consumers. “We look at how we can build information between devices and networks to best understand behavior,” Mateola says. A company’s ability to use data to anticipate and prepare for the future is critical. “It’s not just looking at the data and reporting what happens,” says Alqassar, “but also recognizing patterns to determine what could happen.”

For any direct selling company, integrating analytics into company culture can be challenging, but well-worth the effort. “It’s no secret, data drives everything nowadays,” says Mateola. “Culturally, every department has to find ways to take data more seriously, because using it produces better results and longevity as the business moves forward.” Alquassar agrees. “The biggest lesson we learned at Princess House was that people have to first change their mindset of how they think about business,” he says. “The three key aspects of embracing a data-driven culture include spending time analyzing not only what happened, but also what will happen; ensuring data quality because without that, data can be misleading; and knowing your focus as a business, so you can accomplish what you set out to do and not become lost in the analytical process.”

What are the most important trends in data-driven sales, in the next five years?

“Deep learning as a compliment to machine learning is at the top of my list,” says Mateola. “The importance of the Internet of Things cannot be understated.” Alqassar agrees.”There is so much information we cannot comprehend,” he says, “and with computer power we are able to input information, make a correlation and establish a cause and effect.”

In a data-driven age, employers are hiring college graduates that have a full complement of skills. Hard and soft skills go hand-in-hand when it comes to success. “You could have the greatest analytics idea,” says Alqassar, “but if you don’t know how to present it you will not be able to move forward and deliver your message effectively.

Technology needs to be part of, not separate from, a company’s business strategy. “Every company today is a technology company, so it is key to look at the business first and then see how technology can enable the company to deliver the business goal,” says Mateola.

From left, Jeff Dahl (31 Gifts), Tami Merica (Nerium Intl), Roger Morgan (pawTree)

The direct selling business model is predicated on creating value with its customers to build distributor networks. How our business model creates value through relationships and impacts business performance was discussed with nearly 900 students at the University of North Texas (UNT) on February 22.

DSEF’s “Co-Creating Value in a Technology-Enabled Marketplace” campus event, which featured three leading company executive speakers, was an idea conceived by DSEF Fellow, Dr. Lou Pelton, Associate Professor of Marketing and Logistics at UNT. With the rise of web-based, mobile and social technologies, customer expectations continue to rise. But faced with a myriad of choices, customers are turning to trusted sources – family members, co-workers and friends – when making decisions on a product or service purchase. “Direct selling is the 21^st-century’s channel for optimizing value delivery in customer relationships,” says Lou.

In traditional retail, when wholesale manufacturers sell through retail distributors, they have very little control in how the product is sold or whether the customer leaves the store or website happy and satisfied. In direct selling, companies can visualize the customer journey and provide their independent salespeople with the training, tools and support needed to create it. “How do you create value with your customers? Not by putting products on a shelf,” says Roger Morgan, Founder and CEO of pawTree, a pet nutrition company. “Our products are best tried and trusted through relationships.”

Relationships are the heart and soul of every direct selling company. A company’s customers often sign-on to be salespeople, who in turn, share the value of the product with family and friends and motivate others to do the same. “Whether you work as a direct seller or start a company of your own, consider how you can add value,” says Tami Merica, Vice President of Sales at Nerium International, a premium skincare company. “Recognize people for their work. Create your own personal brand. Be a positive influence in someone’s life.”

Having a positive impact in people’s lives extends well beyond business, for many direct selling companies. “Five percent of our company’s revenue is given to charitable organizations every year, but not many Wall Street companies give at this level,” says Jeff Dahl, President of Thirty-One Gifts. Direct selling companies are uniquely positioned to make a difference in the lives of their customers, their independent salespeople and in their communities.

The advancement of digital technologies, mobile devices, and social media has led to significant changes in the way consumers shop. “Once considered a newest trend, omni-channel retailing is now the standard, but direct selling is rarely discussed as a channel option in college classes,” says DSEF Fellow, Dr. Jay Ryu, Associate Professor of Interior Design and Fashion Merchandising at Texas Christian University (TCU). “What’s great about hosting direct selling executives in the classroom is they share their sales and marketing strategies with our students and broaden their awareness.”

DSEF’s “Channel Strategies for Digital Consumers” campus event at TCU featured executives from four direct selling companies – Essential Bodywear, Initial Outfitters, Jamberry and Youngevity. Speakers discussed integration of various online strategies to support the direct selling channel, including use of online parties, websites, mobile apps and social media with more than 320 students and faculty in 13 classes. The event concluded with a real-time interview of our speakers on Facebook Live.

“Direct selling is about empowering individuals to be your distribution channel,” says Brian Posalski, Director of Digital Marketing for Youngevity, “and to build brand awareness across as many consumer touch points as possible.” Companies provide an online platform and develop marketing campaigns that distributors use in their businesses. Integrating marketing communications provides a seamless branded experience, regardless of channel or device. It benefits a company’s salesforce and customers, but it can be challenging as well. “As a company, we have to keep up with the changing channels,” says Alicia Storbeck, President and Founder of Initial Outfitters. “Facebook marketing, Instagram marketing, Snapchat marketing – all are critical for a viable company.”

A corporate marketing department standing ready to support their independent salespeople with websites, social media and promotional campaigns is only one advantage of the direct selling experience. Low start-up costs and flexible work hours are other hallmarks. Research shows that how successful an independent salesperson becomes is strongly associated with the number of hours worked, (Join Stay Leave study). “Direct selling is really customizable,” says Elizabeth Thibaudeau, CEO of Jamberry, “you can work as little or as much as you want.”

Finally, the skills gained through the direct selling experience are often transferrable to other jobs. With entrepreneurship on the rise and corporate jobs declining, college graduates need to be competitive in the employment space. They need people skills to be successful. “In my experience, relationship-building is often what’s missing in most college programs,” says Carrie Charlick, CEO and Founder of Essential Bodywear. “Direct selling companies focus on personal training and development of their independent salesforce. We fill an important gap.”

DSEF’s academic partnerships serve to inform and educate students – highlighting direct selling as a go-to-market strategy and pathway to entrepreneurship and micro-entrepreneurship.

DSEF warmly welcomes our newest Fellows:

Dr. Can “John” Uslay
Associate Professor of Marketing
Director of Special Projects
Co-Director for the Center for Market Advantage
Chair, Entrepreneurial Marketing SIG, AMA
Rutgers Business School at Newark and New Brunswick
Rutgers University

Dr. Fabian Eggers
Associate Professor of Marketing and Entrepreneurship
Menlo College

Dr. Abdul Ali
Associate Professor of Marketing and Entrepreneurship
Faculty Director, Division of Marketing
Babson College

Dr. William “Bill” Johnson
Student Success Navigator
Life Design Catalyst Coach and Facilitator
Instructor and Coleman Fellow of Entrepreneurship
School of Health and Human Sciences
The University of North Carolina at Greensboro

Dr. Olivier Rubel
Associate Professor of Marketing,
Graduate School of Management
University of California – Davis

Dr. Dustin Bluhm
Assistant Professor of Management
College of Business
University of Colorado – Colorado Springs

Dr. Mark Peterson
Professor of Marketing
College of Business Department of Management & Marketing
University of Wyoming

Dr. Lisa Spiller
Distinguished Professor of Marketing
Joseph W. Luter, III School of Business
Christopher Newport University

Dr. Chris Hopkins
McLain Family Professor
Raymond J. Harbert College of Business
Auburn University

Dr. Karen Flaherty
William S. Spears Chair in Business Administration
Professor of Marketing
Spears School of Business
Oklahoma State University

Karen Hopkins
William S. Spears Chair in Business Administration
Professor of Marketing
Spears School of Business
Oklahoma State University

Dr. Theresa Clarke
Professor of Marketing
Wampler-Longacre Eminent Scholar
College of Business
James Madison University

Dr. Rajesh Srivastava
Associate Professor of Marketing
Jennings A. Jones College of Business
Middle Tennessee State University

Dr. Bo Dai
Assistant Professor of Marketing
College of Business
Georgia Southern University

Dr. Lori  Long
Baldwin Wallace University
Associate Professor
Chair, Marketing and Entrepreneurship

Dr. Chen Liu
Assistant Professor of Finance
Assistant Professor of Business
Trinity Western University

Dr. Nathalie Duval-Couetil
Associate Professor of Technology Leadership, and Innovation
Director for Certificate in Entrepreneurship and Innovation Program
Associate Director, Burton D. Morgan Center for Entrepreneurship
Purdue University

Dr. Sara Cochran
Entrepreneurial Programs Manager  for the University of Missouri System
University of Missouri

Dr. Adam Bock
Lecturer in Management
University of Wisconsin-Madison

Dr. Art Sherwood
David Cole Professor of Entrepreneurship
Director of the IDEA Institute
Western Washington University

Ms. Joanne Cao
Assistant Professor of Marketing
The University of Southern Mississippi

Dr. Mark T. Schenkel
Jack C. Massey College of Business
Associate Professor of Entrepreneurship
Belmont University

DSEF, in partnership with the U.S. Association for Small Business and Entrepreneurship’s (USASBE’s) Minority and Women Entrepreneurship Special Interest Group (SIG), sponsored a paper competition on the direct selling channel of distribution and micro-entrepreneurship opportunity.

One of DSEF’s key priorities is to fund and develop research and case studies that advance understanding of the direct selling channel. We achieve this goal through our partnerships with Fellows and academic organizations and are gratified that seven out the eight authors of these winning papers are DSEF Fellows.

It is with great honor that we announce the 2018 winners of the DSEF/MWE SIG Best Paper Awards:You can view these working papers through the links below:

BEST EMPIRICAL PAPER

Direct Selling in South Africa: Empowering Women Entrepreneurs

*Dr. Victoria L. Crittenden, Babson College

*Dr. William Crittenden, Northeastern University

*Dr. Haya Ajjan, Elon University

BEST CONCEPTUAL PAPER

Entrepreneurial Environment and Culture in Direct Selling Entry Decisions Of Hispanic Entrepreneurs: An Acculturation Approach

*Dr. SherRhonda R. Gibbs, The University of Southern Mississippi

*Dr. Caroline Glackin, Fayetteville State University

BEST TEACHING CASE

Traci Lynn Jewelry: Maximizing Shining Opportunities

*Dr. Caroline Glackin, Fayetteville State University

BEST DEVELOPMENTAL PAPER

Exploring the Entrepreneurship Ecosystem of Marginalized Direct Sellers: Needs of Military Spouses

*Dr. Tracey Mays, Minot State University

*Dr. Art Sherwood, Western Washington University

Dr. Lyzona Marshall, Seton Hill University

*DSEF Fellow