Control Direct Selling Expenses

Your direct selling expense ratio is as important to track as your cost-of-goods ratio and other key metrics on your income statement. Indeed, controlling your direct selling expense ratio plays a major role in helping to improve your catalog company’s profitability.

This month, I’ll focus on ways you can reduce your direct selling expense ratio. But first, let’s look at what normally comprises direct selling expenses:
- catalog creative costs;
- printing and paper;
- ink-jet addressing and mailing expenses;
- bind-in order forms and envelopes;
- postage;
- outside list expenses; and
- merge/purge costs.