Direct selling channel is expected to face ongoing value sales decline over the forecast period, although this will be marginal year on year. Changes in purchasing behaviour and the general shift towards e-commerce is the main reason behind the decline in direct selling.
With consumers forecasted to spend less money through direct selling, brands that sell exclusively through this channel have an opportunity to explore other distribution methods. For consumer health and beauty products, the pharmacy channel is particularly lucrative and can help direct selling brands get more exposure.
To transform direct selling, brands must look to the e-commerce channel for inspiration and find new ways of reaching out to existing customers and onboarding new ones. Social media platforms are essential in modern-day marketing strategies and must be utilised effectively to get the most out of a product’s potential.
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Understand the latest market trends and future growth opportunities for the Direct Selling industry in New Zealand with research from Euromonitor International's team of in-country analysts – experts by industry and geographic specialisation.
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Direct Selling
Direct selling is the marketing of consumer goods directly to consumers, generally in their homes or the homes of others, at their workplace, and other places away from permanent retail locations. Direct selling occurs in two primary ways: On a one-to-one basis (usually by prior arrangement a demonstration is given by a direct seller to a customer) or on a party-plan basis (selling through explanation and demonstration of products to a group of prospective customers by a direct seller usually in the home of a host(ess) who invites other persons for this purpose). Avon stands as a prime example of a direct seller using one-to-one selling, whereas Tupperware is famous for its party-plan method. Direct selling of services - such as insurance, telecoms, other utilities, and financial services - are excluded.
See all of our definitionsThis report originates from Passport, our Direct Selling research and analysis database.
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