5 Ways Direct Sales Boost the Economy

Not only does direct sales help your average person make money from home, it also boosts the economy as a whole. The direct selling industry has been around for decades and continues to be a positive influence on the economy year after year.
There are over 20 million people involved in direct selling in the US alone, accounting for more than $35 billion in sales, and the direct selling industry is only gaining strength. Here are five ways the direct selling industry boosts our economy.

1. Direct Sales Support the Small Business Owner

A vital component of the direct selling industry is the promotion of small businesses. Direct sales account for a large growth of small businesses. There are more than 100 million people worldwide listing themselves as a representative of a direct sales company.

Millions are actively growing a customer base and sponsoring others to do the same. In the US alone, these companies employ over 800,000 workers to supply products to the direct selling representatives.


2. Providing Business Education to Representatives

Any successful entrepreneur needs to have the proper business skills in order to achieve success. The direct selling industry is a leader in promoting business education. In addition to having great products to distribute, each successful direct selling company has a training system for their representatives. Often times, the business skills promoted are essential to developing personal skills and habits that the average employee wouldn’t normally learn.

Not only are the direct selling representatives gaining knowledge of products and services, they are building a foundation for marketing, customer relations, bookkeeping, as well as investing in their future.

3. Major support of Manufacturing Industry

Almost every direct selling company promotes a manufactured product. The direct selling industry accounts for over $35 Billion in retail sales. These products are in the health and wellness, personal care, fitness, clothing, and travel categories to name a few. Many of these direct selling companies have manufacturing plants in the US.

However, the direct selling industry manufactures products all around the world, often times utilizing unique ingredients that can only be found in selected areas. This leads to expanding the manufacturing industry into areas most big companies would not even consider.

4. Direct Selling Companies Enhance the Shipping Industry

With a large number of Direct Selling companies having representatives in multiple countries, the shipping industry is actively involved. Regardless of the location of the manufactured product, the large direct selling providers are shipping huge volumes of products internationally.

One of the largest cosmetic direct sales company, Mary Kay, produces a majority of their products in the US, but internationally ships over 75% of their products to representatives globally. Shipping internationally, as some of the largest direct selling companies do, involves a sophisticated, highly coordinated system.

5. Direct Sales Promote International Trade

The direct selling industry is invested in international manufacturing and shipping. The large volume of shipping internationally has opened up communications with other countries. The US has been able to negotiate international trading agreements with several countries over the past 25 years, in part, due to the international direct selling companies worldwide. The global direct trade sales are over $180 Billion annually.

As you can see, the direct selling industry boosts the economy on a global basis. Additionally, representatives of direct selling companies gain business skills that are not available to the average employee. Do not undervalue the power of personal development skills. As the direct selling industry expands, so does the knowledge of the consumer, which leads to the expansion of manufacturing and distribution of goods and services around the globe.

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