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Channel Sales Soar in 2020, Report Finds
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Channel Sales Soar in 2020, Report Finds

DSA Survey highlights direct sellers’ resilience during pandemic year

The results are clear—a record-breaking year and an unequivocal demonstration that direct selling is dedicated to serving America. —Joseph N. Mariano, President, DSA
Direct selling companies invested significant resources to transform their companies virtually. —Ben Gamse, Director of Industry Insights, DSA
The Direct Selling Association (DSA) released its Growth and Outlook Survey results for 2020 showing a record level of growth for the channel in one of the most economically challenging years in U.S. history.  Despite the onset of the COVID-19 pandemic in March 2020 and the subsequent shutdowns that ended the longest period of U.S. economic expansion on record, the DSA reported channel growth of 13.9 percent over the previous year, reaching a record $40.1 billion in 2020 retail sales. This is quadruple the growth of U.S. retail sales overall, which the U.S. Department of Commerce reported was 3.4 percent for 2020.

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July 1, 2021 0 comment
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FTC to Review Business Opportunity Rule by End of Year
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FTC to Review Business Opportunity Rule by End of Year

Commissioner Chopra pushes for removal of direct selling exemption

By:  David Bland
It is alarming that the FTC seems to have prejudged the public comment process and concluded that the scope of the Rule should be expanded to impose a new regimen of rules and regulations on the direct selling industry. —Larry Steinberg, Chair of Multilevel Marketing Industry Group, Buchalter
The Federal Trade Commission (FTC) announced on June 14 a review of the Business Opportunity Rule by the end of the year. The Rule was first proposed in 2006 and was finalized with amendments in 2012 after direct selling companies and the Direct Selling Association (DSA) vigorously argued for, and ultimately received, a generalized exclusion from the Rule.

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July 1, 2021 0 comment
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Numbers Don’t Lie: Leveraging Internal Data to Guide Corporate Decision-Making
Direct SellingFeaturesNewsSocial Tech Update

Numbers Don’t Lie: Leveraging Internal Data to Guide Corporate Decision-Making

Actionable data ‘tells the story’ and enables better strategy

By:  Rodger Smith, CEO, DirectScale The senior pilot trainer of a major airline once said that, if he were a businessman, he’d consider a project to be successful if he was only off by a degree or two. But, because he is a pilot, he knows that if he’s flying a plane from San Francisco to Tokyo and his flight path is off by just one degree from the start, he may land in Thailand instead of Tokyo. In March 2021, the price for a Boeing 777-8 was $442.2 million. Its dashboard is very technical, and candidates have months of training to master it. Yet, when someone starts or runs a business, they often overlook the critical aspects of properly training and providing the right tools to those who will be “flying the plane” on the front lines as the face of their company.

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July 1, 2021 0 comment
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The Do’s and Don’ts of Launching an App
Direct SellingFeaturesNewsSpecial Report

The Do’s and Don’ts of Launching an App

Best practices for utilizing new app technology to capture a modernized market

By:  Jena Lang Warford
You can try to get around having a good app by having a mobile responsive website, but it just comes down to the fact that while not all new technology is good, all good technology isn’t old. —Damian Mobley, Executive Director of Technology, MONAT
Apps can now support this livestream shopping for customers, with individualized links for each Distributor to be credited for purchases. —McKinley Oswald, President of Global Sales, Verb Technology
In a relationship business, is it really necessary to have an app—is that what distributors expect?  According to a Mary Meeker report, Americans are spending 5.6 hours a day on the internet, and 3.6 hours of that is on their mobile devices. With eMarketer asserting that 88 percent of mobile device time is spent within apps rather than within a browser, it makes sense for direct sales companies to invest in app technology.  To develop a successful app, executives need to ask themselves three questions, according to Damian Mobley, MONAT’s executive director of technology. “First, will the app serve a purpose that isn’t already being satisfactorily met; that is, are you replacing something inferior? Next, do the people want the functions you’re planning to offer? And finally, can you roll it out effectively?”

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July 1, 2021 0 comment
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Supreme Court Issues Unanimous Decision Against FTC
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Supreme Court Issues Unanimous Decision Against FTC

House responds with bill to restore Commission’s restitution powers

House Bill 2668, which Congressman Cárdenas introduced last week, addresses the two significant judicial limitations to Section 13(b) of the FTC Act. —Rebecca Kelly Slaughter, Acting Chairwoman, FTC
To the relief of many direct sellers, the U.S. Supreme Court issued a unanimous ruling in the closely-followed AMG Capital Management, LLC v. Federal Trade Commission case.  In a April 22 decision authored by Justice Stephen Breyer, the court held that Section 13(b) of the FTC Act does not authorize the Commission to seek “equitable monetary relief such as restitution or disgorgement,” ruling that the “permanent injunction” reference in Section 13(b) only grants the FTC the ability to stop future actions of a targeted individual or company.

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June 1, 2021 0 comment
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Direct Selling Critics, Old and New, Join Regulators at Caustic 2-Day Conference
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Direct Selling Critics, Old and New, Join Regulators at Caustic 2-Day Conference

Organizers block channel representatives from contributing

By:  David Bland
There were a number of factors that led us to think that the timing was right for this type of conference, including indications from the Federal Trade Commission that they are tightening focus on the MLM industry. —Douglas M. Brooks, Attorney
Anti-MLM influencers appear to be more interested in fostering a cottage industry of their own than they are to an inclusionary dialogue on how best to promote entrepreneurship. —Direct Selling Association
For decades, direct selling’s opponents have worked to challenge the channel from the relatively confined spaces within their respective legal, academic and media circles.  The occasional high-profile court case would generate publicity for a few news cycles, and newspaper and magazine articles would follow with passing coverage. 

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June 1, 2021 0 comment
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Direct Sellers Break into Livestream Shopping
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Direct Sellers Break into Livestream Shopping

New trend in digital marketing provides customers with interactive experiences

By:  Jenna Lang Warford
Given social distancing and the low win rate of pre-recorded and printed material, livestreaming is a strong avenue to pursue. It’s been used quite successfully in Asia Pacific already. —Damian Mobley, Ex. Dr. of Technology, MONAT Global
Sending an email for a flash sale is almost like ‘junk mail’ now. People aren’t as interested in what they receive in their inbox. —Jason Sicala, Director of Events, The Avon Company
Livestream shopping has arrived in the direct selling channel. With this interactive platform technology, direct sellers are expanding their customer base, increasing sales and generating excitement for their field.

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June 1, 2021 0 comment
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International Expansion — Challenges and Strategies for New Markets Abroad
Direct SellingFeaturesNewsSpecial Report

International Expansion — Challenges and Strategies for New Markets Abroad

Companies share tips for opening new markets abroad

By:  Ramneet Kaur
These are real people—they are not numbers. They are heartbeats. These are people that are doing this for their own family, for their own hopes, for their own dreams and for their own aspirations. —Bo Short, CEO, Elevacity Holdings LLC
There are four important pillars of importance to consider, with trust overarching: planning, basic business infrastructure, consumer expectation and the people. —Greg Martin, Founder, Japan Power and Gas
There are many things for direct sellers to consider when making a global expansion—from timelines, rules, and regulations to cultural differences, compliance issues and compensation plans. The World Federation of Direct Selling Associations (WFDSA) reports that direct selling is a $180.5 billion industry worldwide that encompasses 119.9 million independent representatives, based on its 2020 release of global statistics. What does it take to enter a completely new market, and what important factors should be considered?

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June 1, 2021 0 comment
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Getting Real with Ruby Ribbon CEO Clint McKinlay
Direct SellingFeaturesGetting Real InterviewsNews

Getting Real with Ruby Ribbon CEO Clint McKinlay

Industry veteran talks about adjustments, humility and home-to-home commerce

By:  David Bland A seasoned global business executive, Clint McKinlay is CEO of Ruby Ribbon, an innovative, social commerce-driven women’s intimates company. McKinlay brings deep channel experience in sales, business development, international expansion, and general management to the company. Before joining Ruby Ribbon in January 2020, he served as a strategic advisor to Yves Rocher, and spent more than two years as VP, worldwide sales for JAFRA Cosmetics, expanding into markets across Asia, Europe, and South America. From 2014 to 2017, as VP, field development for Shaklee Corp., he led growth in North America for the billion-dollar wellness company. Previously he spent three years as national director, sales and training for Rodan + Fields, taking the skincare company from its startup phase to annual sales of over $350 million. A natural galvanizer and communicator, Clint stands as an advocate for women in business. He is also a husband and a father to three daughters and two sons. 

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June 1, 2021 0 comment
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Reimagining the Back Office as a Revenue Driver
Direct SellingFeaturesNewsSocial Tech Update

Reimagining the Back Office as a Revenue Driver

Modern direct sellers are driving value to the field leveraging usage data

By:  Connor Hester
The benefit of segmentation is that it provides clarity to the product team on what data sources they should use to collect feedback and information.
The direct selling industry is undergoing a period of rapid transformation as companies seek innovative ways to support their distributors.  The back office has historically been used as the primary tool for distributors to manage their business, but as many direct sellers can attest, it has not always kept pace with the rate of technological change.

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May 1, 2021 0 comment
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