An analysis of the motivations of independent direct selling consultants based on expectancy theory
DOI:
https://doi.org/10.5585/remark.v22i3.21835Keywords:
Direct Selling, Consultants, Expectancy theory, Effort, PerformanceAbstract
Objective: To understand the factors that impact the effort of sales consultants working with direct selling companies and which can generate greater effort, enhanced performance, and better results for both consultants and companies.
Methodology/approach: A cross-sectional survey was used with consultants from across Brazil, and 1,199 valid responses were obtained. Data were analyzed using exploratory factor analysis (EFA), confirmatory factor analysis (CFA) and a structural equation model (SEM).
Main findings: A model was generated which proves that consultant satisfaction, the sales management carried out by companies, and the channel tools used by consultants impact consultant effort, performance and outcomes.
Theoretical/methodological contributions: We studied the factors preceding the effort of direct selling consultants and whether there is a causal relationship in which satisfaction – as seen in customer engagement – and channel and sales management tools – i.e., relational governance and consultant engagement tools – lead to effort. We suggest a new approach to customer engagement, as well as extending findings on relational governance. The model, based on expectancy theory, was tested to describe the relationship between effort, performance, and outcome from the consultant’s perspective.
Relevance/originality: Because consultants are a fully independent sales force, companies have legal limitations to directing their activities; therefore, it is crucial for the industry to indentify the factors that motivate greater consultant effort and, consequently, better results for companies.
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