Direct Selling by the Numbers - Calendar Year 2004

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Industry Statistics
(Calendar year 2004 unless otherwise noted)
Estimated 2004 U.S. Retail Sales
Estimated 2004 U.S. Salespeople
Growth Rate
Retail Growth Rate Comparison
Percent of Sales by Major Product Groups
Location of Sales (calendar year 2003)
Percent of Sales by Census Region (calendar year 2003)
Sales Strategy
Compensation Structure by Percent of Firms
Compensation Structure by Percent of Sales Dollars
Compensation Structure by Percent of Salespeople

Salesforce Demographics
(* indicates data from DSA's 2002 National Salesforce Survey)
Gender (2003 data)
Age*
Marital Status*
Education*
Independent Contractor/Employee Status (2003 data)
Hours Per Week Dedicated to Direct Selling (2003 data)
Average Time Spent on Direct Selling Tasks*
Main Reasons for Becoming a Direct Sales Representative*
Percent of Salespeople by Distributorship Type (2003 data)

See data from prior years
Calendar year 2003
Calendar year 2002
Calendar year 2001
Calendar year 2000



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

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Estimated 2004 U.S. Salespeople13.6 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 Selling 73.1%
In the home61.9%
Workplace 6.7%
Temporary location3.9%
Other locations 0.6%
Remote Selling 26.9%
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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