Direct Selling is the sale of a consumer product or service, person-to-person, away from a fixed retail location.

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What is direct selling?

• Direct Selling is the sale of a consumer product
  or service, person-to-person, away from a fixed
  retail location.
• These products and services are marketed to
  customers by independent salespeople. Depending
  on the company, the salespeople may be called
  distributors, representatives, consultants or
  various other titles.
• Products are sold primarily through in-home
  product demonstrations, parties and one-on-one
  selling.

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Estimated 2005 U.S. Direct Sales
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Estimated 2005 U.S. Salespeople
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1-, 5- and 10-year growth rates
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Popularity of Direct Selling

• In 2000, 55 percent of American adults reported
  having, at some time, purchased goods or services
  from a direct selling representative. (Some
  recent surveys show this number to be as high as
  74.)
• In the 2000 survey, one in five American adults
  (20) reported they are now (6) or have been
  (14) a direct selling representative.
• Among direct selling customers, three out of four
  (77) have attended an in-home demonstration or
  party.
• DSA's 2000 Direct Selling Public Attitude
  Tracking Survey, conducted by Burke Marketing
  Research

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Industry Growth Potential Continues

• 38 of adult Americans surveyed in 2000 have
  some interest in purchasing a product or service
  in the future via direct selling.
• 27 had actually made a direct selling purchase
  in the past year.

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Growth

• Sales in the U.S. have more than doubled in the
  last decade to more than 30 billion and are now
  more than 100 billion worldwide.
• According to recent surveys, 74 percent of
  Americans have purchased goods or services
  through direct sales. That's more than the number
  who have purchased through television shopping
  and on-line computer services combined.

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Percent of Sales by Major Product Groups
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Industry Leaders

• Avon (9 billion)
• Amway (6 billion est.)
• Mary Kay (3 billion est.)
• Herbalife (2 billion)
• Tupperware (1.8 billion)
• Nu Skin (1 billion)

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Percent of Sales by Census Region

• West 25.7
• Midwest 25.2
• Northeast 15.7
• South 33.4

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Gender
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Age
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Marital Status
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Education
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Diversity

• People from literally all walks of life, of all
  ages, are successful in direct sales. About 75
  percent of those working in direct sales are
  women, 10 percent are African American, six
  percent are Latino and three percent are Asian,
  Native American or other. Many people start
  part-time, and later leave their other careers
  when direct selling becomes more lucrative.

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Main Reason for Becoming A Direct Sales
Representative

• 36-Additional income
• 31-It's your business and making money through
  direct sales in important to you
• 29-Discount/wholesale/free products
• 4-Other

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What is a Pyramid Scheme?

• Payment or commission based on the recruitment of
  individuals and not on the sale of product.
• No refund for goods or services.
• Large entry fees
• Pressure to purchase large orders

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Global Market Size
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Global Sales Force