A decline rate of 14.54% in 2019 has been witnessed in Avon’s annual sales compared to the previous year’s revenue (5.57 billion USD). The best thing about being a distributor for an MLM company is that they can work remotely with their own schedule. A study can be made to find the cause and how to overrule it as a perfect solution which remains stable for the future. As the COVID-19 pandemic spread over the world, so did the worries about job security among the employees working in major industries. Even at a 25% success rate, these professionals are able to sell an average of two products per day, making their monthly commissions over $500. Now, they’ve expanded their networks across multiple countries. A part of the revenue is shared with the distributors as commissions and bonuses depend on the marketing plan & criteria to achieve it, set by the companies. However, there are more things you have learned before we help you come up with a solution. The success of a direct selling company relies on its distributors and it’s a plain fact that they make a major contribution towards it. MONAT Wellness reports a record-high sales of $10 million in the first 24 hours. Statistics, facts, data and insights from the Direct Selling Association regarding the direct selling industry. Again, the phrase “network marketing industry” gives you the wrong perspective when you’re looking at the profession. for 1+3, enter 4. This website uses browser cookies to improve user experience and analyse website traffic but never stores any sensitive information. Boswell Valenzuela, Your email address will not be published. Growing diversity in product portfolios and increasing participation of self-employed marketing professionals have driven the industry’s growth to date. Clara has started her journey to top the list with her masterful network of distributors. As mentioned earlier, the first box is half price and for that, the customer has to fill up the details and then subscribe to the graze box. Avon steals the trending deal out of every competitor's trend volume. Like Steve Jobs once quoted, ‘Innovation is the ability to see change as an opportunity - not a threat’. 118.4 million people worked as individual representatives in 2018, a growth rate of 1.6% when compared to 2017 stats. The statistics showcase the excellent potential for individuals to earn through this business model. From there, her journey to successful home income began. PPC. Since this method has been able to gratify customers, it is one of the reason why direct selling is able to withstand the covid-19 crisis. Here, we’re providing you with one of the direct selling companies who integrated innovative ways to improve the business using this particular business model. Some more interesting stats about direct selling companies. The average conversion rate in Google Ads across all industries is 3.75% on the search network and 0.77% on the display network. The most important ingredient in the industry that connects every group is the product. In traditional business as seen above, products are 15.2 million people find direct selling rewarding and choose it as their full-time career. 11.5% of global sales share comes from household goods and durables. To clear up this concern, we have put together some stats and insights on the distributors in direct sales. The second-largest ecommerce market in the world … Here are some of the key industry statistics associated with network marketing, reflecting its growth in the past year and predicting its rise in this year. Become a distributor, buy your pack, and refer more to get more. are some of the strategies commonly deployed. It was to demonstrate what are the consumer trends in the market and how customers around the world felt about direct products. In times when there was no technology or an omnipresent mode of communication, entrepreneurs used to conduct marketing activities by spreading the word, asking help from others, appointing people as promoters, etc. SMEs are preferring the distribution of their goods through network marketing companies, primarily due to low investment and comparatively high returns. About 75% of the customer/direct sellers are women and 25% are men. Required fields are marked *, Thanks for some other informative blog. Clothing and accessories contributes 6.1% to the annual direct sales. E.g. It has been reportedly forecasted that the network marketing industry can witness a year-on-year growth of over 20% in the coming years. More efforts have to be put forward for younger, older generations to collectively call business as a complete world-class choice! Now that Clara knows the industry she has chosen has the potential to make such amounts of money, any thoughts on what should be the next thing to scrutinize? About 26% who contributed to the direct selling crowd were from the age group 35-44 in 2020. Over 6,400 salespeople work for Avon product selling alone in the US regions. Thanks for the post. Your email address will not be published. Out of the top 100 lifetime earners, 45% of them are men, 17% are women, 34% are couples, and 4% are mixed-gender partnerships. China is the largest marketplace for … Product portfolios are being revamped, and the industry is also witnessing a strong uptake owing to the integration of social media and online marketing technologies. MLM & Direct Sales Software for Health & Wellness, Top 100 Business Earners in Network Marketing World! Being the mother of a two-year-old, it was difficult for her to be in a full-time job and fulfill her responsibilities as a mom at the same time. Referral marketing goes side-by-side linked with network marketing/direct marketing. Now, if you check out the below stats and consider the above innovative idea, one important thing that lays a foundation will be the years of experience and out-of-the-box thinking. However,like any other trade, things have changed in order to adapt to the new norms. While the pitch varies from company to company, it basically … Clara is now not only a nice friend in her circle, but also someone who helped them to earn and live better. After all, the meaning and the goal of this business model is to sell products and if the product selling is not the goal then you have to take a close on it as it falls under illegal pyramid schemes. More than 60 million sales consultants work in the MLM industry. The success rate of MLM companies has gone up to 80% from 25% in the past five years. Start building your Network Marketing business with brand new Epixel MLM Software®. Why Is Direct Selling Profit Is More Than Any Other Business? Somewhere in the world, a new home-based business kick starts every 10 seconds. Startups and entrepreneurs can make use of this opportunity to promote their business by focusing more on couple distributors. 1. Due to its success rate, almost every country welcomes the network marketing business model. (Source: IAB) Not only AM is growing fast, but it is already a massive global industry. The reason behind it is that the article is written purely based on facts and statistics, and have omitted any data that doesn’t have an accurate basement to stand for. Let’s see some more interesting facts about the distributors and some motivational facts. In India, about 5.1 million people are involved in the direct selling business which is nearly double that of the past 7 years, says global CEO, Qnet. After the half-price boxes, the next boxes don’t come with any cut-offs. One thing that needs immediate attention is which companies are already established in this field, and how well they sell the products. Sales figures are expressed at Estimated Retail level and exclude Value Added Tax. *, Direct selling requires only a minimal start-up cost of $82.50 when compared to other industries.*. I also noticed that some people were interested in knowing how many people became a millionaire; the network marketing millionaire statistics. Here are staggering network marketing statistics. Network Marketing Doesn’t Work According to the Direct Selling Association, the direct sales industry, of which network marketing is a part of, grossed $35.4 billion in sales in the United States in … It’s without a doubt one of the most popular online activities that users engage in. Proper use of every marketing channel, consistently engaging with the customers is the key! Affiliate marketing is a global industry worth well over $12 billion. I love this type (...), Thank you for these informative blogs! Similar sorts of actions have to be done on the gender side too, a balance has to be kept among them which lacks at present. (Updated list - 2021), Top 100 MLM Companies for 2021! Next it is to integrate the vital part of your business into your plan. Impressive! Amway comes second in the list with 10.5% couples as distributors, and doTerra and Melaleuca with 9.8%. Hearing this, Clara, who was already in search of a product to kickstart her direct selling business, now knew what it should be. Global Statistics. In the U.S. direct selling prospects are diverse with 48% women, 35% millenials and 20% African Americans. The three countries bring in close to $90 billion in revenue. Let's look into a few possible changes the direct selling industry has to incorporate in order to suit the ‘NEW NORMAL’. The growth rate in sales revenue for each and every category displays one important agenda -popularity of the product. We can help you with that part and make you clear with more facts. In the USA, Avon stays well ahead in terms of popularity with 85, Herbalife with 28, Amway with 22, Natura, and Vorwerk less than 1%. In 2020, 7% among the overall direct sellers is aged 18-24. I am very (...). Not only the selling process is simplified, but also the sellers are able to get more insights about the customer behaviour and their preferences to a greater extent. Network marketingis basically just a different way of selling products to the end user. 58% 58% of the affiliate purchases was made on a mobile device in 2018. Marketing is an important aspect which has to gain enough boost in the digital world. Southwestern publishing house is considered as the oldest direct selling company launched way back in 1855. Sales need to focus on the younger generation too as they are the future and having their trust in a product means a lot. They do find this method very useful. You should know three things upfront. South Korea is also among the top countries to witness stimulating growth in the direct selling industry. Epixel MLM Software anchored 200+ network marketing companies to success through their business process automation in more than 88 countries. The world is moving to a new normal. This particular point has been constant trouble for direct selling companies and those who attained customer retention have survived for long. 36.6 million customers have bought products/services from the network marketing model. Even though Amway leads the top 100 MLM companies list in terms of sales revenue for the year 2019-2020, it is not the same in terms of popularity. The COVID-19 pandemic has had a severe impact on every business. MLM Business Sales Statistics (Source) 2. 25% achieves the desired profit they planned for while joining the business. Primerica, founded in 1977 has employed 100,000 distributors with an average of $22,000 per distributor. Direct selling is one of those industries that could turn the crisis into opportunity. Alliance In Motion Global, a direct selling company founded in 2016 has made $0.238 billion in 2018 annual sales income. They renamed later into Southwestern advantage and the revenue they generated in 2019 is around $138M. Network Marketing Company List. There are thousands of direct selling enterprises that are striving hard to reach those exceptional sales figures. At some point in your life you’ve been pitched a multi-level marketing (MLM), direct selling, or network marketing business opportunity. With their efforts and effective routines, they have been able to transform their lives as well as many others’ too. The average cost-per-click in Google Ads across all industries is $2.69 on the search network … Majority still have not been able to recover it by even 50% of the pre-covid times. 39% of the people stopped being a part of the network marketing business and the reason behind the decision is to stop pitching directly to family and friends. A proper plan is necessary and that’s why they have something unique in nature. Social media is yet another tool to perform sales and reach. The place else may (...), Great place to spend time especially now. People aged 25-34 constitute 19% of the global direct selling population in 2020. agree to this point with ample earners as couples. In 2018-19, wellness products shared 33.2% of sales contribution globally. Most of the direct products were sold offline, since it was comparatively easy to demonstrate the product and also to have a one-on-one conversation with the customer. Since it has become difficult to carry out the same selling process now, more and more direct sellers are moving to the online platforms to set up their virtual stores. Right from the time direct selling flourished, most of the marketing part was done offline through word-of-mouth. Not to mention, face-to-face meeting is vital to establish a strong relationship with your distributors as well as customers. dsa.org wfdsa.org ipsos.com businessforhome.org directsellingnews.com *DSA 2020 Consumer Attitudes and Entrepreneurship Study conducted by Ipsos. Online sales also helps in expanding the customer base without any geographical boundaries, which offers a great opportunity for business expansion as well. The sales change in these countries in constant 2019 is China-2%, U.S-1.3%, Korea-2.4%, Germany & Japan-0.2% (in the order of retails sales value list). This is significant because you get an idea about how much each company that endows a particular product earns and also, to see whether a company that sells a product similar to yours is performing well or not. Herbalife operates in 94 countries through a network of approximately 4.5 million independent distributors and members. Fast forwarding, Clara’s career transformation from being a mere homemaker to a successful direct selling entrepreneur was smooth and swift. So it is important to be informed about these possibilities to get your business through this hard time. Some of the key countries witnessing the success of network marketing include – US, UK, China, Canada, India, Germany, South Korea, Brazil, and Japan, among others. *, 77% of Americans are interested in flexible, entrepreneurial/income earning opportunities. 27.9% of direct selling companies prefer party plans, 7.5% prefer direct orders as their business models. It is one of the most trusted ways of generating customer base. From the available resources and references, we have found out a count of about 80,000 boxes have been sold over a period of 6 months. A decline of 6.5% in revenue growth from 2018- 19 is observed this year. Worldwide IT spending is projected to total $3.4 trillion in 2020, a decline of 8% from 2019, according to the latest forecast by Gartner, Inc. 63% of participants join network marketing to make money by selling products to customers. The best time is NOW!!. The strategy is only provided in network marketing and not for a direct customer who enters the website and makes a regular order. The usage of social media around the world is ever-increasing. Education is not a barrier in marketing but customer acquisition with a proper set of presentation ability is a must-need skill to acquire. Yes, email marketing still exists in 2018, and it’s a broadway to reach people around the world with just a click! It has always served as the easiest way to effectively communicate with them, and to build a bond of trust. Currently, the MLM industry is valued at around 167 billion USD, which is estimated to reach around INR 645 billion by 2025. The World Federation of Direct Selling Associations (WFDSA) is pleased to present industry sales and sales force figures for 2019. These companies started out with just a handful of promoters. The MLM company to hit the maximum points with peak popularity is Avon. Herbalife has been able to maintain their revenue through 2019. It reached 100 points in November 2015. But from the data, it is clear that popularity isn’t the factor that makes people buy products. July 13, 2018 ... Network Marketing allows us to duplicate our efforts and income without exchanging time. Out of them, 53% of people made more than 5,000 U.S dollars. Currently, there are several companies operating as established players in the network marketing industry. Yes, it is but to an extent this article can help you to look around the whole system without many dilemmas. When the talent unites with flexible timings, good understanding, and other aspects, companies hire or employ couples as their distributors. In the United States, sales in the network marketing industry are in the $30 billion range. Launched into the world of yummy and healthy food manufacturing in 2009, the success rate of the “graze box” went up in no time. Amway has employed 3,000,000 distributors with average revenue of $2,800 per distributor. Even when one gets off from the graze subscription they come up with new offers to retain them. A simple strategy with the best marketing scheme proposes an attractive option for worldwide customers. *, 79% of Americans consider direct selling as an attractive option for entrepreneurial opportunities. Source: eMarketer. The article connected with her instantly, and she further searched about direct selling and its various possibilities. Solve this simple math problem and enter the result. However, Avon’s search interest began to decline after reaching its maximum. Avon makes the third position among the top MLM companies list with a revenue of 4.76 billion USD in 2019. 44.2 million people find it interesting to consider direct selling as a part-time career option. 41% get motivated to become a direct seller by finding income potential and thereafter 50% continue in the industry. By continuing you consent to our privacy policy. USA becomes the global leader in retail sales with annual sales of $35.2 billion. The betterment in technology has also made this approach seamless. With the success stories piling up, more companies are becoming involved with the network marketing business model. Amway has reported a 5% revenue decline for 2019. The below table lists the top 10 earners in the network marketing industry along with their company and income details. Among the list, 13.2% of couples in the list belong to Herbalife and Jeunesse. In 2018 it was worth over $12 … Consumers are those end-users who ultimately use the products and remark their opinion at least in mind. Graze boxes were sold using both offline and online strategies, they kept pushing the limits using different marketing channels. There are several countries that welcome foreign investors in boosting the growth of MLM companies. 3.9% of annual sales comes from financial services. Top 100 MLM Companies in the world 2020 | The 2020 List of Network Marketing Company, Who Will Be The Highest Earner in Network Marketing? Almost every home has at least one product or received a service from the network marketing industry. In 2019, Amway makes an annual revenue of about 8.4 billion USD and holds the #1 position in the top direct selling company list. The Google Display Network reaches 90 percent of internet users worldwide. Face-to-face meetings v/s Online meetings. The below insights are generated from 2015 to the present day of companies Amway, Herbalife, Avon, Vorwerk, and Infinitus based on worldwide search popularity. Back in 1999, Avon appointed Andrea Jung as their first female CEO. The more engaged the distributors are, the more they earn. The company may have founded way back in the mid-’80s or after 2016 but if they have a good team with experience and talent then growth and brand recognition will be reflected easily in the sales revenue. The flexible operability of MLM businesses makes their entry into international trade a lot easy. 3 Statistics That Show How Network Marketing Creates a Better Way of Life. The following statistics showcase the current as well as the forecasted growth of the network marketing industry in the world: The method of promoting and selling products by communicating with people has been around for ages. Influencer marketing is gaining more traction and investment than ever before. The marketing world is dynamic and ever-changing — trends, technology, and tactics are never stagnant. *, 46% of Americans would welcome contact from direct sellers regarding business opportunities on social media.*. Be unique with a new plan that can revolutionize and make an impact in the world market! With new innovations and the latest ideas, marketing enters into a unique path once such actions come to life. In 2020, network marketing businesses from around the world are slated to bring in an estimated US$ 200 million every day. Network marketing global statistics show that the industry has massive potential, with the top three players being the USA, China, and Korea. 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