Direct Selling by the Numbers
Calendar Year 2004

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Industry Statistics

(Calendar year 2004 unless otherwise noted)

Salesforce Demographics

(* indicates data from DSA's 2002 National Salesforce Survey)

See data from prior years

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Estimated 2004 U.S. Direct Sales: $29.73 Billion

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Estimated 2004 U.S. Salespeople 13.6 Million

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1-, 5- and 10-year growth rates

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Comparison with Retail Growth Rate

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Percent of Sales by Major Product Groups


Personal care products
(cosmetics, jewelry, skin care, etc.)
30.8%
Home/family care products
(cleaning products, cookware, cutlery, etc.)
30.5%
Wellness
(weight loss products, vitamins, etc.)
16.1%
Services/other 14.3%
Leisure/educational
(books, videos, toys, etc.)
8.3%

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Location of Sales (2003 data; reported as a percent of sales dollars)

Face-to-Face Selling73.1%
In the home61.9%
Workplace 6.7%
Temporary location3.9%
Other locations 0.6%
Remote Selling26.9%
Phone 15.6%
Internet 10.8%
Other remote selling 0.5%

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Percent of Sales by Census Region (2003 data)

West 24.8%
Midwest 23.1%
Northeast 16.1%
South 36.0%

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Sales Strategy (method used to generate sales, reported as a percent of sales dollars)

Individual/Person-to-Person selling 69.8%
Party plan/group selling 27.8%
Customer placing order directly with firm
(in followup to a face-to-face solicitation)
1.6%
Other0.8%

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Compensation Structure by Percent of Firms (multilevel vs. single level)

Percent of firms84.3%/15.7%

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Compensation Structure by Percent of Sales Dollars (multilevel vs. single level)

Percent of sales dollars 76.1%/23.9%

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Compensation Structure by Percent of Salespeople (multilevel vs. single level)

Percent of salespeople 82.7%/17.3%

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Gender (2003 data)

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Age

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Marital Status

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Education

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Independent Contractors/Employees (2003 data)

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Hours per week (2003 data)

Less than 30 hours per week/30-39/40 or more 85.1%/7.6%/7.3%

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Average Percent of Time Spent on…

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Main Reason for Becoming A Direct Sales Representative

Additional income 36%
It's your business and making money through direct sales in important to you 31%
Discount/wholesale/free products 29%
Other 4%

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Percent of Salespeople by Distributorship Type

One-person distributorship: female 71.9%
One-person distributorship: male 16.7%
Two-person distributorship 10.3%
Multi-person distributorship 1.1%

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