Indirect Sales

AAA

DEFINITION of 'Indirect Sales'

The sale of a good or service by a third-party, such as a partner or affiliate, rather than a company's personnel. Indirect sales may be used in conjunction with a company's direct sales efforts or may be used in lieu of hiring. Indirect sales are often made through resellers, such as specialty stores and big box retailers.

INVESTOPEDIA EXPLAINS 'Indirect Sales'

Indirect sales can allow a company to increase sales quickly without having to hire more sales personnel. In some cases, however, indirect sales may lead to reduced control of the brand message and poorer customer service because the company cannot manage indirect sales teams easily. Companies often resort to indirect sales when the demand for the product is outpacing the ability of the company to hire competent sales people, or when the price of the product is too low to justify a large sales force.

RELATED TERMS
  1. Sales Lead

    A prospective consumer of a product or service that is created ...
  2. Always Be Closing - ABC

    Retail jargon used to describe a sales strategy in which a salesperson ...
  3. Organic Sales

    The term "organic sales" refers to revenue generated from within ...
  4. Business Model

    The plan implemented by a company to generate revenue and make ...
  5. Inorganic Growth

    A growth in the operations of a business that arises from mergers ...
  6. Big Data

    The growth in the volume of structured and unstructured data, ...
Related Articles
  1. Great Expectations: Forecasting Sales ...
    Fundamental Analysis

    Great Expectations: Forecasting Sales ...

  2. Measuring Company Efficiency
    Fundamental Analysis

    Measuring Company Efficiency

  3. Is Growth Always A Good Thing?
    Markets

    Is Growth Always A Good Thing?

  4. Earnings: Quality Means Everything
    Investing

    Earnings: Quality Means Everything

Hot Definitions
  1. Conduit Issuer

    An organization, usually a government agency, that issues municipal securities to raise capital for revenue-generating projects ...
  2. Financing Entity

    The party in a financing arrangement that provides money, property, or another asset to an intermediate entity or financed ...
  3. Hyperinflation

    Extremely rapid or out of control inflation. There is no precise numerical definition to hyperinflation. Hyperinflation is ...
  4. Gross Rate Of Return

    The total rate of return on an investment before the deduction of any fees or expenses. The gross rate of return is quoted ...
  5. Debit Spread

    Two options with different market prices that an investor trades on the same underlying security. The higher priced option ...
  6. Leading Indicator

    A measurable economic factor that changes before the economy starts to follow a particular pattern or trend. Leading indicators ...
Trading Center