So what is Direct Sales Anyways? Direct Sales marketing is a simple and effective way to market products or services direct to the consumer. It involves the sale of a consumer product or service, person-to-person, away from a fixed retail location by an independent salesperson. Products are sold through in-home product demonstrations, parties, group meetings or demonstrations, over the telephone, over the Internet and through one-on-one selling.
Direct selling is a growing industry with sales in the U.S. having doubled in the last decade to nearly $25 billion and are now more than $82 billion worldwide*.
People from literally all walks of life, of all ages, are successful in direct sales. An estimated 13 million people are involved in direct selling in the U.S., and more than 47 million worldwide. Most are women, though nearly a third are men or two-person teams such as couples. The vast majority are independent business people - they are micro-entrepreneurs whose purpose is to sell the product and/or services of the company they voluntarily choose to represent - not employees of the company. Approximately 90 percent of all direct sellers operate their businesses part-time. Many people start part-time, and later leave their other careers when direct selling becomes more lucrative.
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To buy and sell in the comfort of a home setting--that's the heart of the direct-selling industry. From kitchenware to vitamins to cosmetics to stamps--if it can be made, it can likely be sold via the direct-sales route. Today, direct selling is usually characterized by an independent consultant with a portable kit of wares. The seller visits people's homes by appointment to have home shows where items are displayed; customers invite family and friends to share in the demonstration. The latest available figures from the Direct Selling Association (DSA) show retail sales of more than $28 billion for the direct-selling industry in 2002--and an estimated 13 million independent direct salespeople across the country. This is an increase from about $22 billion in 1997, with 9.3 million salespeople.
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* Many of the facts and figures reported here were derived from the Directs Selling Association's 2000 ‘Direct Selling Public Attitude Tracking Survey’, conducted by Burke Marketing Research, assessing public attitudes toward the direct selling industry.
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