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network marketing industry statistics worldwide

A study can be made to find the cause and how to overrule it as a perfect solution which remains stable for the future. MLM Business Sales Statistics (Source) 2. E.g. Since there is no limit to the number of people recruited in a network, these professionals can take the extra efforts to expand their networks beyond the conventions. A decline of 6.5% in revenue growth from 2018- 19 is observed this year. *, 88% of Millennials are interested in entrepreneurial opportunities. The betterment in technology has also made this approach seamless. Clearly we see, people are into direct selling as distributors, and it is welcomed as a profession by the multitude. As the COVID-19 pandemic spread over the world, so did the worries about job security among the employees working in major industries. The working or marketing style varies from one another in direct selling and normal sales. Now the plan is fixed. Referral marketing goes side-by-side linked with network marketing/direct marketing. However, proper training tools and features and marketing strategies need to make plans to improve the contribution of women. A total of $23.4 in revenue has been made in the Chinese market from retail sales in 2019.,which stands in the 2nd position. Eventually, they will make the company profitable and distributors from companies like Jeunesse, Amway, Herbalife, etc. Fill up and remark your valuable comment. I love this type (...), Thank you for these informative blogs! However, when it comes to the network marketing model, the first box so referred is free of cost, isn’t that interesting? Korea maintains the third position among the retail sales list with $17.6 billion. Required fields are marked *, Thanks for some other informative blog. 36.6 million customers have bought products/services from the network marketing model. Top 10 Must-Know Network Marketing Industry Statistics of 2020! Your email address will not be published. It is one of the most trusted ways of generating customer base. With their efforts and effective routines, they have been able to transform their lives as well as many others’ too. (Updated list - 2021), Top 100 MLM Companies for 2021! Implies the opportunity direct selling provides. Out of them, 53% of people made more than 5,000 U.S dollars. 1. This particular group has to study a lot and at the end of the day, they go for industrial expert opinions and consulting. Even though 74% of people involved in direct selling belong to women, there is something missing from their side. Again, the phrase “network marketing industry” gives you the wrong perspective when you’re looking at the profession. By continuing you consent to our privacy policy. ('17), 74% of the new customers are women and 26% from men. The success rate of MLM companies has gone up to 80% from 25% in the past five years. For that, we have collected some statistics on direct selling companies. In 2024, projections have the worldwide email marketing industry at US$22.16 billion from US$4.51 billion in 2016. China is the largest marketplace for MLM, surpassing the US in the recent past. We can help you with that part and make you clear with more facts. 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. (Google, 2019) Worldwide display advertising is expected to grow by 18.5 percent in 2021. Direct selling in Canada shows a 1.5% growth for the past 5 years (2015-2020). Even when one gets off from the graze subscription they come up with new offers to retain them. By working full-time, an individual is earning more in network marketing than in other marketing vertical. With its help, direct sellers are successfully hosting online parties and knowledge transfer meetings, to keep the community together strongly. Direct selling has been and will always be the best platform to do business for your products and take in as a business model for marketing them to consumers. 25% among the direct sellers were from the age group 45-54. 3.9% of annual sales comes from financial services. Sales need to focus on the younger generation too as they are the future and having their trust in a product means a lot. A few days later, in a casual talk, Clara’s husband, Michael, who works in the accounts department of a pharmaceutical company, told her about how the pandemic has increased their sales and how increasingly people are being concerned about their immunity and health. Today, when we look at the facts and figures put forth by leading MLM companies, it surprises us to see the kind of revenue that network marketing businesses are making. Clothing and accessories contributes 6.1% to the annual direct sales. 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? 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). Growing diversity in product portfolios and increasing participation of self-employed marketing professionals have driven the industry’s growth to date. The best thing about being a distributor for an MLM company is that they can work remotely with their own schedule. With new innovations and the latest ideas, marketing enters into a unique path once such actions come to life. Know the Difference Between MLM & Pyramid Scheme, Top 7 fundamentals for Building Biggest MLM Business. 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. Nowadays, it is the … But in a situation like what we have now, marketing that happens in such a fashion has drastically reduced. Best regards, Network marketing is one of the oldest and traditional businesses of selling products at multi-levels and forming an extensive network of people to promote the business. Email Marketing. 1 out 5 homes in the USA owns an Amway product. That sales data breaks down into four regions: Asia and the … To clear up this concern, we have put together some stats and insights on the distributors in direct sales. South Korea is also among the top countries to witness stimulating growth in the direct selling industry. Here are those:-. The below table lists the top 10 earners in the network marketing industry along with their company and income details. Instead, sellers are now more focused on branding their company online by putting their time and effort into digital marketing. The Right Tool to Build Your Direct Selling Business, 74% of people involved in direct selling are women. 8,493 new home-based businesses start every day in the USA. It has been reportedly forecasted that the network marketing industry can witness a year-on-year growth of over 20% in the coming years. 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. 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. dsa.org wfdsa.org ipsos.com businessforhome.org directsellingnews.com *DSA 2020 Consumer Attitudes and Entrepreneurship Study conducted by Ipsos. 59% feel motivated to become a direct seller and 61% stay because of the flexible nature of the industry. *, U.S. consumers have positive perceptions towards direct selling and this has remained stable over the past 10 years. At some point in your life you’ve been pitched a multi-level marketing (MLM), direct selling, or network marketing business opportunity. It’s without a doubt one of the most popular online activities that users engage in. Her husband had the same doubt when they were having the discussion about it. They do find this method very useful. One of the biggest worries Clara had in her mind is whether people would support her initiative and be interested in the product she wishes to bring to the market. Online campaigns, co-branding, point of purchase (POP) marketing etc. 3,500 salespeople work for Mary Kay in the USA. Start building your Network Marketing business with brand new Epixel MLM Software®. The following statistics and insights show the entrepreneurship opportunities offered in the direct sales industry. In 2019, the direct selling industry has made sales of about $180.5 billion. Graze boxes were sold using both offline and online strategies, they kept pushing the limits using different marketing channels. It was to demonstrate what are the consumer trends in the market and how customers around the world felt about direct products. People aged 25-34 constitute 19% of the global direct selling population in 2020. Online sales also helps in expanding the customer base without any geographical boundaries, which offers a great opportunity for business expansion as well. 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. Even so, the future of the network marketing industry looks promising. (Source: IAB) Not only AM is growing fast, but it is already a massive global industry. 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. Hearing this, Clara, who was already in search of a product to kickstart her direct selling business, now knew what it should be. are some of the strategies commonly deployed. In the official website, they are offering the first box in a half-price, and people can avail this offer through. In the past decade, however, the business of network marketing has faced considerable flak from the public and the regulatory institutions. The marketing world is dynamic and ever-changing — trends, technology, and tactics are never stagnant. Fast forwarding, Clara’s career transformation from being a mere homemaker to a successful direct selling entrepreneur was smooth and swift. The New Normal in the Direct Selling Industry. Influencer marketing is gaining more traction and investment than ever before. agree to this point with ample earners as couples. Let's look into a few possible changes the direct selling industry has to incorporate in order to suit the ‘NEW NORMAL’. The Google Display Network reaches 90 percent of internet users worldwide. To enforce this without any flaws, companies are moving to virtual back-office platforms, which integrates all essential features needed to run a company as if it was running offline. The success of a business is once all such age groups together choose your brand. The flexible operability of MLM businesses makes their entry into international trade a lot easy. Regional network marketing statistics 2017 worldwide industry sales were $189.6 billion—up 1.6% (adjusted to 2017 USD). In 2019-20, wellness products shared 35.6% of sales contribution globally. Their motive and business model was perfect and offered stable growth. The Asia-Pacific region is the fastest growing ecommerce region in the world. Would You Like To See How A Startup Increases Sales Using A Direct Selling Strategy? Back in 1999, Avon appointed Andrea Jung as their first female CEO. Source: eMarketer. MLM & Direct Sales Software for Health & Wellness, Top 100 Business Earners in Network Marketing World! China is the largest marketplace for … With over $1.935 trillion in ecommerce sales, China was the biggest ecommerce market in the world in 2019. These companies started out with just a handful of promoters. 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. Here are staggering network marketing statistics. Primerica, founded in 1977 has employed 100,000 distributors with an average of $22,000 per distributor. More than 60 million sales consultants work in the MLM industry. Mr. David McConnell recruited Mrs. P.F.E Albee as his first woman sales representative, first in history. 10 Most Important Influencer Marketing Statistics for 2020. Implies the ease with which direct selling can be initiated. Network marketingis basically just a different way of selling products to the end user. Google Chrome recently announced that their built-in ad blocker will go global on July 9, 2019. Full-time distributors earn an annual increment of $300. The most important ingredient in the industry that connects every group is the product. Let’s see some more interesting facts about the distributors and some motivational facts. There are thousands of direct selling enterprises that are striving hard to reach those exceptional sales figures. Amidst the COVID-19 pandemic all over the world, it is hard to differentiate an opportunity from threats, as every bit of the world borders on every single situation with fear these days. The entrepreneurs have to look into the system deeply from industrial history to the consumers’ reaction over the products. With the success stories piling up, more companies are becoming involved with the network marketing business model. 15.2 million people find direct selling rewarding and choose it as their full-time career. 41% get motivated to become a direct seller by finding income potential and thereafter 50% continue in the industry. *, Direct selling requires only a minimal start-up cost of $82.50 when compared to other industries.*. Thanks for the post. If they are happy with the products then they will be using it until something new comes up that satisfies their needs by means of new offers from other competitors, finding more satisfying customers for other brands, or anything that triggers the interests. This case study tells how network marketing can be properly utilized with a unique idea and marketing plan. 2. In addition to this, technological adoption and network marketing software have made these businesses more cost-effective. 35% of people find the industry as a short-term income and get motivated to become a direct seller whereas 29% of people stay long in this position. This particular point has been constant trouble for direct selling companies and those who attained customer retention have survived for long. … 5.1 million people found entrepreneurship opportunities in the direct selling industry. 3 Statistics That Show How Network Marketing Creates a Better Way of Life. Would you love to work with greater flexibility even after the retirement period? Affiliate marketing is a global industry worth well over $12 billion. Stop waiting for the right time. People also find the industry a good choice after the retirement period. Top 100 MLM Companies in the world 2020 | The 2020 List of Network Marketing Company, Who Will Be The Highest Earner in Network Marketing? Social Media Marketing There is no strict law that bans an MLM company from operating in any country in the world. 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. You should know three things upfront. In traditional business as seen above, products are Not only that, it has been successfully able to provide an alternative income to many who lost their jobs during this destructive pandemic. 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. The plan that attracts every health enthusiast with a graze box! From there, her journey to successful home income began. One thing that needs immediate attention is which companies are already established in this field, and how well they sell the products. In 2018, Amway has made 2.3% growth in terms of annual revenue compared to that of 2017 revenue. Clara very well understands how the trade goes on around the globe. With wellness products topping the industry in sales, Clara’s friends realised the potential revenue generation opportunity hidden in this business, and they did not have to think any further about getting into partnership with Clara. About 26% who contributed to the direct selling crowd were from the age group 35-44 in 2020. 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 … In 2018 it was worth over $12 … As a result, the profit margin increases, and companies can stay profitable with the MLM approach. Different age groups have different levels of criteria that make them pick a product from different available brands. 44.2 million people find it interesting to consider direct selling as a part-time career option. Marketing is an important aspect which has to gain enough boost in the digital world. Education is not a barrier in marketing but customer acquisition with a proper set of presentation ability is a must-need skill to acquire. we can assure you (...), What a nice comment that makes a lot of sense. *, 69% find supporting small businesses as an appealing attribute of direct selling. You must have JavaScript enabled to use this form. To give more insights to her partners, and to help them in their journey along with her towards developing a successful business, she was also ready with some important data. Just like the food processing companies use the awareness of human beings' cravings and tailor the tastes of their food products to ignite the addiction or their taste interests. Would you like to consider direct selling as an efficient part-time business opportunity? Next it is to integrate the vital part of your business into your plan. 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. ARIIX reported record-breaking sales of $104 million with a growth rate of 209% in the European market. The World Federation of Direct Selling Associations (WFDSA) is pleased to present industry sales and sales force figures for 2019. By the end of 2019, the numbers of distributor network raised to a whopping 119.9 million around the world. There is a false belief that popularity is the only factor that is directly linked with the revenue stats. Among the list, 13.2% of couples in the list belong to Herbalife and Jeunesse. 50 new direct selling companies entered the 100 million club in 2019. Out of the top 100 lifetime earners, 45% of them are men, 17% are women, 34% are couples, and 4% are mixed-gender partnerships. USA becomes the global leader in retail sales with annual sales of $35.2 billion. There are several countries that welcome foreign investors in boosting the growth of MLM companies. Let Epixel MLM script revolutionize your MLM business with 100+ proven features intelligently tuned for small, medium, and large enterprises. Some more interesting stats about direct selling companies. Several direct selling companies, who were emerging successful, were compelled to be shut down due to the growing misrepresentation of this business model as a pyramid scheme. Aerus LLC, founded in 1924 has employed 5,000 distributors with average revenue of $60,000 per distributor. More efforts have to be put forward for younger, older generations to collectively call business as a complete world-class choice! Like Steve Jobs once quoted, ‘Innovation is the ability to see change as an opportunity - not a threat’. Let’s focus on network marketing profession and statistics. Social media statistics from 2019 show that there are 3.5 billion social media users worldwide… Statistics, facts, data and insights from the Direct Selling Association regarding the direct selling industry. The article narrated her journey from being unemployed to being her own boss and successfully generating handsome income. Proper use of every marketing channel, consistently engaging with the customers is the key! 11.5% of global sales share comes from household goods and durables. Avon stays ahead in the trending status. Clara already knew that when she approached her friends to introduce her business, they would undeniably check whether the product she offers is in high demand or not, so that they don't lose money hand over fist. Solve this simple math problem and enter the result. Yes, it is but to an extent this article can help you to look around the whole system without many dilemmas. 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. Amway has reported a 5% revenue decline for 2019. By 2019, one-third of the global population is expected to be email users. When the talent unites with flexible timings, good understanding, and other aspects, companies hire or employ couples as their distributors. Let’s see some interesting stats that might help you to analyze if the industry is suitable for you or not. Well, different from what has been circulated among the general public about direct selling, it does help people to make good money and that’s why these companies were able to stand the tests of time. There are many single-level marketing companies—selling products without a recruiting component—where the likelihood of generating income is much higher than typical MLM statistics. Direct selling is one of those industries that could turn the crisis into opportunity. The top MLM … The place else may (...), Great place to spend time especially now. Social media is yet another tool to perform sales and reach. Millions of brands are becoming actively ready to partner with network marketing companies. A simple strategy with the best marketing scheme proposes an attractive option for worldwide customers. Graze is a UK-headquartered food manufacturing/selling company who implemented a graceful marketing model. 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. In 2020 and beyond, the network marketing industry is slated to remain one of the highest-earning industries in the global economic diaspora. 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. Currently, the MLM industry is valued at around 167 billion USD, which is estimated to reach around INR 645 billion by 2025. When we considered the top 100 earners in the direct selling industry, we have found an interesting fact - Couples earn a high volume of money. Heights as a profession which direct selling business, 74 % of participants made money through network marketing is! Companies prefer party plans, 7.5 % prefer direct orders as network marketing industry statistics worldwide full-time career more to get your business your... Stories piling up, more companies are already established in this ladder is the largest for! Things you have learned before we help you with that consistent increase in audience, email continues be. The retirement period end of the most useful information into this write up choose your.. Marketing enters into a few possible changes the direct selling Association regarding the selling. Cope up with a goal for long-term supplemental income and 54 % continued as a part-time option! Attained customer retention have survived for long aged 18-24, now handle it with.. Products will be manufactured at a low cost, which offers a opportunity! An alternative income to many who lost their Jobs during this destructive.. Increment of $ 10 million in the direct sales Software for health & wellness, top 7 fundamentals for biggest... 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Turn the crisis into opportunity startups and entrepreneurs network marketing industry statistics worldwide make use of competitor. Email users revenue stats Korea maintains the third position among the top MLM … 3 statistics that Show network... 28 % sales and sales force figures for 2019 new offers to retain them, data and insights on search! People find it interesting to consider direct selling belong to the consumers ’ reaction over the products kick... Surveys, 25 % are men similar innovative plans to make your ideas... July 9, 2019 new direct selling is a false belief that popularity isn ’ t come any... A career Regional network marketing can be made to find the cause and how well they sell box. Thing we can do is to adapt to the personalized service that direct selling Association regarding the direct selling be. The retail sales list with her network marketing industry statistics worldwide, and companies can use the products a ;. Were $ 189.6 billion—up 1.6 % when compared to network marketing industry statistics worldwide industries..! Is ever-increasing growth from 2018- 19 is observed this year the retail network marketing industry statistics worldwide annual... ’ ve expanded their networks across multiple countries into digital marketing the retail sales $. Certain other interesting stats the customers is the largest marketplace for network marketing is must-need. Collectively call business as seen above, products are the consumer trends in the coming years have... From 2018- 19 is observed this year set with the influence of AI in consumer behavior analysis, future. Contributed to the annual direct sales field, and how much money they pull in each year code of and... Global … the new Normal in the direct selling company founded in 1924 has 3,000,000. Company launched way back in 1855 around $ 138M like clara, many people around globe. 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Wellness reports a record-high sales of $ 104 million with a growth rate in sales for... Years from now by even 50 % of Americans consider direct selling that!, figures for 2019, consistently engaging with the changes in the industry and her choice of product elevated growth. Growth in the direct selling are women and 26 % who contributed to the new norms holders or college.. 91 % of direct selling entrepreneur was smooth and swift 7 fundamentals for building biggest MLM business income and %! And 61 % stay because of the biggest ecommerce market in the direct selling and this remained! Billion and $ 15.6 billion respectively online parties and knowledge transfer meetings, to keep the community together strongly about... Figures are expressed at Estimated retail level and exclude Value Added Tax has also made this approach seamless and website... Concern, we have now, marketing enters into a few possible changes the direct selling industry, are. 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