Case Studies
Sales Model Innovation: By Women, For Women
Tupperware Brands today sells products for the kitchen and home, as well as for beauty and personal care, in nearly 100 countries. The company relies on sales consultants – mainly women – to sell wares directly to consumers through a "party plan" approach. The consultants arrange social parties at their homes, or in the homes of willing customers, where in addition to games and entertainment they demonstrate and sell the company's products. Consultants are paid through commission on their sales: they are independent businesswomen and not Tupperware Brands employees. Party hostesses are rewarded with gifts from the consultants. Meanwhile, guests enjoy an opportunity to network with other women and possibly buy items of interest, without having to go to a store.
Tupperware Brands was not the first American company to use a direct sales model. It was, however, the first to rely almost exclusively on women to drive revenue with a standardized approach to mentoring, training, recognition, and peer recruiting that resonated strongly with its female sales force. Above all, the business model and branding depends on the idea that any motivated woman can be successful at building her own direct sales business and can change her life if she is given confidence and assistance through the power of example.
While the Tupperware story is an old one in the U.S., the model continues to replicate and adapt with success, particularly in developing countries. About 85 percent of company revenue now comes from outside the U.S. and 50 percent comes from emerging markets, including Argentina, Egypt, India, Indonesia, Mexico, Russia, Turkey, and South Africa.
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