Important Information on the Direct Selling Industry
Exploring Direct Selling
What is “Direct Sales”? Direct Sales is a method of getting a product or service to a consumer. This distribution system relies on the services of independent sales representatives, eliminating the need for a retail outlet for the product or services. The sales through this distribution system are growing rapidly—almost $30 billion in 2011. *Statistics from the Direct Selling Association (DSA).
When you are considering a company, check to see if they are a member of the DSA. Member companies must meet the highest ethical standards, and the DSA works with state and federal agencies to ensure that the public is protected from illegal pyramid schemes. The direct sales industry is now studied at prestigious centers of higher learning like Harvard Business School and described favorably in magazines like Fortune and newspapers like USA Today.
The DSA has an excellent website to help you find a company that is a good fit for you. Visit DSA 411 You’ll discover information on how to evaluate a company you may be considering.
Here are a couple of other links that will answer many of your questions:
Statistics from the Direct Selling Association website
- More than 74% of the U.S. public has purchased goods or services through direct selling
- Direct Sales in the U.S. totaled $31 billion
- According to the DSA, in 2011 64.9% of sales are person to person and 25.7% are the result of a party/group selling
- The percentage of companies using a multi-level compensation plan has risen to 95%
- An estimated 15.9 million people in the U.S. are involved in direct selling
- Worldwide sales are estimated at $166.9 billion
- 82% of sellers report a good, very good or excellent experience with direct selling.
- People from all walks of life are successful in Direct Sales. In the United States:
- 80% are women; 20% are men (estimated)
- 90% work part-time; 10% work full time (30 or more hours a week)
- The top three reasons someone goes into direct sales:
1) Additional income
2) Pride of owning their own business
3) Being able to earn free products or purchase products at a wholesale/discounted price
To download a “fact sheet” about direct selling in the US, click on this link: DSA 2011 Fact Sheet
Other Interesting Statistics
- Women make 80% of all purchase decisions in the U.S.
- There are 10.6 million women-owned business in America that bring in more revenue than the gross domestic product of Germany
- 72% of U.S. women are unhappy in their jobs
- 91% of women say their most important financial goal is to not outlive their savings. Only 12% of them are confident they will be able to do that.
- According to a study by the Harvard School of Business:
- 83% of Americans don’t have clearly defined goals
- 14% have goals, but have not written them down
- 3% have written goals
- The cumulative earnings of that 3% is ten times the cumulative earnings of the 83%
As you make your decision, be sure to…
- Choose a reputable company. Visit the Direct Selling Association (DSA) website DSA is the national trade association of the leading firms that manufacture and distribute goods and services sold directly to consumers.
- Prepare yourself! Get a good step-by-step guide to help make a plan and avoid the common pitfalls. Here are some resources:
- Use the training system provided by your company. Get connected to successful people in your company and learn from them!
- Bookmark this site and visit us often! A Fresh Perspective has ongoing focus calls, tele-classes and self-study programs to help you become a “Smarter Direct Sales Professional.”
- CDs are also available for every stage of your development at A Fresh Perspective, Inc.
- Free calendars and other business tools at Free Stuff