Choosing sales channels

There are many ways to sell your products and services. Consider a multi-channel sales approach.

Multi-channel sales approach

If you focus on a single selling method, such as over-the-counter sales, you might be limiting your potential market.

A multi-channel sales approach might allow you to reach new customer groups and grow your sales.

Consider these methods:

  • direct selling
  • over-the-counter sales
  • online sales
  • telemarketing.

Direct selling

Direct selling can be an effective way to build long-lasting customer relationships and grow a flexible, low-cost business. It involves selling products and services directly to customers in meeting places such as homes, offices and markets, rather than through conventional retail stores.

Direct selling can help you:

  • avoid expensive rent and utility costs
  • run your business more flexibly
  • provide convenience and personal attention to customers.

Disadvantages of direct selling can include:

  • the time and effort required to find new customers and regularly engage with them
  • a perceived negative reputation due to illegal pyramid and network marketing schemes that use this selling method. Make sure you market yourself purposefully and professionally, and be aware of legal selling practices and obligations.

Direct selling examples

Examples include:

  • kitchenware
  • lingerie
  • health and beauty products.

Individual appointments with customers to make presentations or product demonstrations.

Examples include:

  • finance brokers
  • insurance brokers
  • high value business-to-business sales.

Cold canvassing, approaching homes and businesses without appointments to leave catalogues or offer product demonstrations.

Examples include:

  • electricity
  • water filtration systems
  • vacuum cleaners
  • home and garden maintenance.

Booths or kiosks at events to generate new leads and promote and sell products.

Recruiting other sellers into a network to 'duplicate' your product sales role, earning a percentage of their sales revenue and expanding your product reach.

Retail shop and over-the-counter sales

Over-the-counter sales, also known as retail sales, depend on having customers regularly coming in and buying from you. A quiet day with few customers means your sales are low, impacting revenue and your ability to cover costs for the day.

For successful retail sales, invest in marketing your products and services to drive foot traffic to your business. Without marketing, you risk being dependent on existing customers and their buying patterns.

Finding the right business location for your store is critical, so you can benefit from high volumes of foot or vehicle traffic to generate the customer and sale volumes you need.

Shopping centres and shopping districts that attract customers are attractive locations for retail and over-the-counter sales.

Retail examples

  • Cafes and coffee shops
  • Clothing and footwear stores
  • Outdoor adventure stores
  • Car parts and accessories stores
  • Furniture stores
  • Bottle shops
  • Convenience stores
  • Pharmacies.

Online sales and ecommerce

Buying products and services online is popular as customers can do it any time of day or night and from any device.

Benefits of online selling can include reduced staffing costs and having your products available to a wider audience of customers (both national and international).

There are also challenges with online selling. Many business owners invest a lot of money into website development of complex ecommerce sites, but then don't invest in marketing to drive visitation to the site.

An easy and cost-effective way to drive traffic to your site is to add links to your website in emails and newsletters you send to customers.

Operating an ecommerce business can be very lucrative if it is set up professionally and correctly.

Read manage online sales and payments for tips and advice on ecommerce websites and online shops.

Telesales and telemarketing

Telesales and telemarketing involve calling people to sell your products and services.

It can be challenging, as customers may be reluctant to respond to unexpected calls.

Telemarketing can be a good way to introduce a new product or service to customers. It can also be effective for raising sponsorships or donations for charities.

If you are calling existing customers, ensure you have their permission to use their contact information for promotions and marketing. This is usually done by asking them to consent to future contact when they subscribe to your newsletter or fill in a customer details form.

You must comply with laws for:

If using a telemarketing company, consider asking for evidence of their success rates with other past programs.

Also consider...