Pilot Programs, Pre-Launches, and Launches

April 15, 2021 By admin Leave a Comment

If you are launching a new direct selling company, you may be contemplating the use of a pilot program and/or a pre-launch, before you launch your company. A pre-launch is also called a soft launch.

Pilot Programs

A pilot program is a group of activities planned as a test or a trial of a business model. Pilot programs can help direct selling companies to answer some of the most important questions relating to the viability of your business model.

Most often, pilot programs are executed by party plan companies. Through a pilot program, you will learn:

1.    Will guests buy your products at home parties?
2.    How much will the average guest spend?
3.    How much will the average party generate in sales?
4.    How much will hostesses spend?
5.    Is your hostess rewards program configured correctly for your business?
6.    Will some guests agree to book their own parties (where they will be the hostess)?
7.    What is the level of interest in your income opportunity?
8.    Does the sales presentation script work well?
9.    What do guests like best about your home parties?
10.  What can you do to make the parties even more enjoyable?

Network marketing companies can also have pilot programs. Through them, one can learn:

1.    Will representatives buy your products?
2.    Will retail customers buy your products?
3.    How much will the average order generate in sales?
4.    What is the level of interest in your income opportunity?

Pre-Launches

A pre-launch is a designated period of time during which a direct selling company will pre-enroll representatives prior to its official launch. Sometimes during the pre-launch, a company may offer its products for sale. At other times, only starter kits are sold. Most pre-launch periods last anywhere from 2 to 6 months.

Pre-launches are designed to be “momentum generators.” Like priming the pump on a lawnmower, the company will grow faster at the outset if the engine of growth is fueled and ready to go.

During a pre-launch period, representatives know that not everything they expect from the company will be present or will be working perfectly. Chaos may be the word of the day, but in exchange for the chaos, representatives get to be “on the ground floor”. It is an exciting time for everyone.

Launches

A launch is the official birth of a company. A launch may be signified by an event where many of the initial representatives are present or it may merely be a date on a calendar. Launches are celebrations, usually accompanied by announcements of new products or sales tools.

Options

How should pilot programs and pre-launches be implemented? We recommend you consider one of three options.

Run the pilot. If successful, have a break, then a pre-launch period followed immediately by your launch.

Run the pilot. If successful, have a break, then launch the company without a pre-launch.

Run the pilot, then immediately launch the company if the pilot is successful.

Next Steps

For help with your pilot, pre-launch, or launch, contact Sylvina Consulting at 503.244.8787.

Jay Leisner, the President of Sylvina Consulting, is a top compensation plan and direct selling expert, a trusted adviser to new and established network marketing and party plan companies. For more than 30 years, Jay has enjoyed assessing and improving network marketing, party plan and referral marketing companies across the globe.

Jay Leisner and Victoria Dohr authored the top-rated book for new and young network marketing, referral marketing, and party plan companies, "Start Here: The Guide to Building and Growing Your Direct Selling Company".

Available in English and Spanish. This startup guide contains 250 pages of wisdom that will guide you through the right steps to start and continue on your journey to build a successful direct selling company.

You will save thousands of dollars and hundreds of hours of your time using the information you will read in our book.

In 1986, Jay began his career in direct selling by working for a major direct selling software provider. First as a software developer and later as a project leader and a business analyst, Jay worked closely with new and established network marketing and party direct selling companies to provide them with software solutions to meet their unique requirements.

Jay contributed in many ways to the success of large implementation projects for many companies. Jay also worked with dozens of smaller companies to assist each of them in various capacities to provide them with the systems they needed to help their businesses to grow faster.

Along the way while working with them, he learned the secrets of successful direct selling companies and the challenges faced by them. In true entrepreneurial spirit, Jay’s decision in 1999 to start Sylvina Consulting as a direct selling consulting company was driven by what he saw was a need for answers, advice, and solutions.

In 2004, 2006, 2009, 2014, and 2018, Jay gave presentations on compensation plans, recognition, and field leadership development at conferences held by the US Direct Selling Association.

He traveled to South Africa in 2015, 2016, and 2017 to conduct workshops on compensation plan design and recognition programs for member companies of the South African Direct Selling Association.

In 2017, Jay spoke at the Canadian Direct Sellers Association Meeting on the importance of recognition.

More than just a compensation plan expert, Jay is exceptionally skilled at advising new and established companies on business strategies. Before offering advice or solutions, he asks important questions to understand each client’s specific concerns and goals.

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