Direct Selling in 2010: Sales Increase to $28.56 Billion as Channel Continues to Provide Income for Millions
Washington, DC (PRWEB) August 18, 2011
The Direct Selling Association (DSA) today released its annual Growth & Outlook Survey, headlined by an increase in estimated retail sales for the direct sales channel which, even in tough economic times, provides a source of income for millions of Americans.
In 2010 estimated retail sales increased 0.8% to $28.56 billion. While 2008 and 2009 were tough years for the U.S. economy and for direct selling, industry leaders remain cautious, but believe the decline in sales of the past few years has seen its end.
“Direct selling provided supplemental income to millions of American’s during the worst part of the recession,” said DSA’s President Joseph Mariano. “As we see the economy begin to emerge from its lowest point in decades we know many of those who found direct selling to be an answer to their financial needs when times were tough will now find that same opportunity to provide a better life for their families for the long term.”
While the overall number of direct sellers decreased slightly in 2010 to 15.8 million from 16.1 million the year prior, productivity increased as retail sales per direct seller rose 2.7% to $1,808.
“After seeing a significant increase in the number of direct sellers in 2009 we anticipated that growth would level off as the economy began to improve,” said Mariano. “However, what we see now is less turnover and an increased commitment on the part of active direct sellers to reaching their financial goals.”
Direct selling is a part-time endeavor for most participants as about 91% of those involved spent less than 30 hours per week on their direct selling activities.
While direct selling is heavily represented by females (81.8% of direct sellers are females versus 50.8% of the total population), the percent of Hispanic direct sellers outpaces that of the general population significantly (14.2% of direct sellers are Hispanic, versus 8.7% of the U.S. population.)
About Direct Selling
Direct selling is the sale of a consumer product or service, person-to-person, away from a fixed retail location, marketed through independent sales representatives who are sometimes also referred to as consultants, distributors or other titles. Direct sellers are independent contractors who market and sell the products or services of a company in return for a commission on those sales. There are many products and services sold through direct selling including home and family care, cosmetics, wellness products, household goods and financial services.
About the Direct Selling Association
DSA is the national trade association of the leading firms that manufacture and distribute goods and services sold directly to consumers. Among its more than 250 active and pending members are companies selling both via a party-plan method and in the traditional person-to-person style. The cornerstone of the Association's commitment to ethical business practices and consumer service is its Code of Ethics. Every member company pledges to abide by the Code's standards and procedures as a condition of admission and continuing membership in the Association. For more information visit dsa.org and directselling411.com.