1. Their business models are completely different.
Online is based on the internet, which entrusts the network marketing work that originally needed to be realized by enterprises themselves to professional network marketing service providers in the form of contracts.
Direct selling, as its name implies, is a retail store directly operated by enterprises. That is, the company headquarters directly manages, invests and manages the retail outlets. Some powerful big brands often like to use self-operated methods, directly investing in operating counters in big shopping malls or opening specialty stores in prime locations for retail.
2. The origin and development are different.
As the symbol of the third great commercial change, chain stores have a history of more than 100 years from its appearance to today.
1859 Atlantic Pacific tea company, the world's first workers' direct chain store, established two tea shops in new york, USA, aiming at direct purchasing, reducing intermediate relief and dispersing sales. This business model is very effective, and it has quickly developed into many branches, and has expanded to more than 5,000 by 1936. Smart businessmen were quickly attracted by this successful experience. Before entering the 20th century, similar direct chain stores have appeared in many industries such as jewelry, furniture, medicine, shoes and hats.
In China, network marketing started late, and it was not tried by China enterprises until 1996. 1998, the first online transaction in China was successful. 1999, with the official opening of B2C websites such as 8848, China began to enter the practical stage of shopping websites.
They are different in nature.
Direct selling is a face-to-face exchange purchase between people. On the one hand, the emergence of direct chain operation is to meet the needs of production and consumption development, on the other hand, it is also the inevitable result of fierce commercial competition.
Online is based on the gradual development of science and technology. It is one-to-one, rational, consumer-oriented, non-mandatory and gradual, and it is a low-cost and humanized promotion, which avoids the interference of salesman's strong promotion and establishes long-term good relations with consumers through information provision and interactive conversation.