Is It An Over Saturated Market?

I would be rich if I had a penny every time someone told me their company was an over saturated market!

I have heard it from all different companies both large and small, in every product line. People who live in the backwoods and the big cities all say the same thing.

The market is saturated!

Is Starbucks An Over Saturated Market?

over saturated marketThe concern about market saturation indicates a misunderstanding of sales…

Does the mini-market on the corner complain that there is another market less than a mile down the road?

Does Starbucks whine that you can see the next Starbucks from their doorstep?

No, they understand that this is what makes business good! It actually contributes to business success!

Think about this – you can only service about 500 people well.

With almost 400 million people in the US and over 7 billion worldwide, how can any company have a totally saturated market?

Almost any town can support multiple reps. (Take your town’s population and divide by 500 to get the amount of distributors you would need to have before saturation occurs.)

Has Mary Kay Hit The Saturation Level?

Think about a direct sales giant like Avon or Mary Kay. I have at least 5 personal friends who sell Avon and only those who actually work their business are doing well.

It has nothing to do with saturation and everything to do with customer service!

Did you know that in 2010 there were over 700,000 Mary Kay US distributors?

A study found that 91% of the women in the US who wear makeup use some other brand besides MK!

Does that sound like a saturated market?

Saturation In The Market Is An Excuse!

Whether you are sharing the opportunity with a lead that is concerned or your team member (or yourself) cannot succeed because of saturation it is nothing more than an excuse.

  • Maybe your potential lead just does not want to hurt your feelings by saying no.
  • Is that team member taking actions to build their business?
  • Or could you just be looking for a scapegoat as to why you are not working your business?

A good market saturation strategy is to:

  • Use every marketing opportunity available to you to find direct sales bookings
  • Provide AWESOME customer service
  • Explore new markets for the product or service
  • Use every service opportunity your company provides – diversify with different types of parties and services such as fund-raisers, charity events, catalog show, etc.
  • Reinvent the brand with your own personality – set yourself apart from the other distributors

The way to overcome the saturation concern when dealing with new distributors is to be confident about your business, have a good answer to concerns (one which validates rather than argues) and offer a solution.  Then end with a question asking them to share more about what is REALLY holding them back!

An example using the feel, felt, found sales method would be:

I can understand your concern about a saturated market.

You are not alone, that is a question I hear a lot and yet I have found that there is more business out there than one distributor can handle. I can certainly teach you how to thrive in our company and create income….

You said you could use some extra income; would you mind sharing more about why you are concerned about joining?

Remember it is more about attitude than anything!  No market is ever saturated!

It is easier to represent a well branded company than one that is not well known!


    Shared by: Lee Chapman:

    My company has experienced phenomenal growth. Yes, more competition but also more name brand recognition. I also had more than one customer say their previous consultant was “rude”.

    Shared by: Phyllis O'Neill:

    Set yourself apart from others! Build the know, like and trust factor among your clients and potential clients. When we get down or frustrated, it’s way too easy to toss around that “S” word!!

    Shared by: Rita Bosh:

    well, I guess I need to rethink this because I often feel that it is oversaturated.

    Shared by: Karla Jones:

    Great customer service will set you apart. Be yourself and ethical and it won’t matter how many reps there are. Don’t forget, some reps are just hobbyists and may not be working their business the way you are.

    Shared by: Belinda Yost:

    Excellent a seldom mentioned issue, but important! Best advise I will remember use every marketing opportunity available to you and important ,set yourself apart from the rest with excellent customer service and consideration!

    Shared by: Linda Rennie:

    Attitude…mine! This had a dif spin for me, as I think people don’t like my product when it is more about the service they received in the past from someone else and are now reluctant to party or purchase or even talk with me. Thank you for this wake up call to me. Now for my kick in the go -get ’em.

    Shared by: Lauren Kelly:

    I never really understood why people would feel this way. Just would make me want to work harder.

    Shared by: John:

    Great article! I often come across many people that think my company is over saturated because they know a few people that are in my company.

    Shared by: Melanie Silvestre:

    Is it really over saturation? People are buying from a person so one must market them self first.

    Shared by: Patti:

    Amen! I am posting this article everywhere!!!!

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