In a challenging economic scenario, direct selling was highly impacted. Although the number of resellers has increased slightly, the purchase amounts are getting smaller because this channel is mainly orientated towards lower socioeconomic levels which are the first to suffer a consumption contraction in challenging economic circumstances.
In this context, some brands have developed other strategies to sell their products that break with traditional direct selling. In this way, both Natura and Avon have physical stores where they sell directly and without intermediaries to end-consumers, and Natura has also looked to develop its online sales channel by offering an increasing number of promotions and discounts and free shipping to customers who buy through this channel.
Within direct selling categories, the sale of bottled water and beverages is very important. In all the cities of the country there are large numbers of bottlers that offer this service to households and more and more households are opting for this type of purchase, not only because the price is lower, but also because of the convenience that implies not having to carry a large number of bottles from the store to the home.
The bottled water category is of great importance to the direct selling channel, however there are different business models operating in this category. There are some companies that bottle their own water and sell it in the area where they are located, but there are also other types of operation such as Ivess and Cimes.
In 2007, Tsu Cosméticos created the Tsu Foundation with the aim of contributing to the most vulnerable sectors in Argentina’s society. One of its main actions was to buy a mobile consulting room so that all the women in the country can have access to complete and totally free breast screening.
One of the great pillars of Natura is its concern and contribution to the environment and ecology. In this sense, the company makes sure to apply production methods that have less impact on the environment as well as to buy raw materials for manufacturing its products that are fair trade, contributing to the most vulnerable populations around the world.
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