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Direct Selling Companies in the US: Market Research Report

Market Research • Market Size • Industry Statistics • Industry Analysis • Industry Trends

Direct Selling Companies Market Research Report | NAICS 45439 | Nov 2014

Tough sell: Spending will rise, but competition from e-commerce threatens growth

IBISWorld’s Direct Selling Companies market research report can be used to help you: understand market size and growth potential; major companies; draft business plans and pitch books; and conduct benchmarking and SWOT analysis. Our industry analysis highlights macro industry trends in the overall sector and micro trends faced by companies that do business in the industry. The industry report also provides key industry statistics and 5-year forecasts to anticipate future industry prospects so you can decide with confidence.

Report Snapshot
Market Share of Companies
There are no companies with a dominant market share
Industry Statistics & Market Size
Revenue
$49bn
Annual Growth 09-14
3.1%
Annual Growth 14-19
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Profit
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Employment
842,355
Businesses
709,772
Industry Analysis & Industry Trends

The lingering effects of the recession, including reduced consumer spending, negatively impacted the Direct Selling Companies industry early in the five years to 2014. However, revenue has gained ground since the economic downturn. Many Americans who lost their jobs in the wake of the recession established direct selling businesses as a means of income due to the relatively low start-up costs, thus boosting revenue growth. In the five years to 2019, the industry is expected to continue to grow, driven by improved consumer confidence and disposable income. Nevertheless, department stores, large-format stores and online retailers will likely continue to take market share away from the industry... purchase to read more

Industry Report - Starting a New Business Chapter

The Direct Selling Companies industry exhibits minimal barriers to entry, with low establishment costs and no licensing requirements that prevent companies from entering the industry. However, industry competition and market awareness can pose a threat to potential new entrants.

Most industry operators are individually-owned small establishments that cater to the local community. Therefore, startup costs are low because there is little need to invest heavily in technological equipment, such as computerized inventory controls and point-of-sale systems. In fact, many multi-level marketing corporations, such as Avon, provide “startup kits” for businesses for as low as $21.5... purchase to read more

 


Industry ProductsRelated ReportsTable of Contents

What is the Direct Selling Companies Industry?

Direct selling is the retailing of a product or service from one person to another, away from a fixed retail location. Providers are referred to as independent consultants, distributors or representatives. Sales are usually done via home parties, workplaces, trucks or wagons, street corner carts or door-to-door. Direct sellers of fuel and food for immediate consumption are excluded from this industry.

Industry Products
Home and family care productsWellness productsPersonal care productsClothing and accessories Leisure and educational productsOther products and services
 
Industry Activities
Direct selling of bottled water Direct selling of coffee-break servicesDirect selling of cosmeticsDirect selling of frozen food and freezer plans Direct selling of home delivery newspaper routesDirect selling of party plan merchandisersDirect selling of produce


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