Uncategorized – MLM, Network Marketing, Direct Selling News, Videos, Articles, Legal Updates, and More. http://mlmlegal.com/MLMBlog From Multilevel Marketing Attorney and Business Consultant, Jeff Babener. Run, Learn & Get Lost at MLMLegal.com Sat, 07 Mar 2020 15:31:49 +0000 en-US hourly 1 https://wordpress.org/?v=4.9.25 Top 10 Direct Selling Companies in the World http://mlmlegal.com/MLMBlog/top-10-direct-selling-companies-in-the-world/ http://mlmlegal.com/MLMBlog/top-10-direct-selling-companies-in-the-world/#comments Tue, 25 Sep 2012 22:40:33 +0000 http://mlmlegal.com/MLMBlog/?p=236 Direct Selling News (DSN) just released its report of the top 100 global direct selling companies. Here at MLMLegal.com and MLMAttorney.com we will break this list down of 100 companies into more manageable bites of interesting and fun information. Here … Continue reading

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Direct Selling News (DSN) just released its report of the top 100 global direct selling companies. Here at MLMLegal.com and MLMAttorney.com we will break this list down of 100 companies into more manageable bites of interesting and fun information. Here is a list of the top ten global direct selling companies.

The number one direct selling company is Avon Products, Inc. with net sales of $11.3 billion in 2011. Avon is the global leader in direct selling, specializing in beauty, fashion jewelry and apparel. Here are Avon’s statistics, provided by DSN:

1. Avon Products, Inc.

2011 Net Sales: $11.3 billion
Country: USA

Avon is the founder of modern direct selling and the acknowledged world leader in cosmetics, fragrances and toiletries. Avon’s well-known product lines include Avon Color, Anew, Skin So Soft™, Advance Techniques Hair Care and Avon Naturals and mark™.

2010 Rank: 1
2010 Net Sales: $10.9 billion
Sales Method: Person-to-person
Compensation Structure: Single-level and multi-level
Products: Beauty, fashion jewelry, apparel
Markets: 100
Salespeople: 6.5 million
Employees: 42,000
Headquarters: New York, N.Y.
Executive: Sheri McCoy
Year Founded: 1886
Stock Symbol: AVP—NYSE
www.avon.com

Coming in a close second is Amway. Amway is well-known and a history-rich direct selling company. In 2011, the company’s net sales was $10.9 billion. Here are Amway’s statistics, provided by DSN:

2. Amway

2011 Net Sales: $10.9 billion
Country: USA

Amway offers consumer products and business opportunities in more than 80 countries and territories worldwide through more than 3 million distributors. Top-selling brands for Amway are NUTRILITE vitamin, mineral and dietary supplements, ARTISTRY skin care and color cosmetics, and eSpring water treatment systems. Alticor is the parent company of Amway.

2010 Rank: 2
2010 Net Sales: $9.2 billion
Sales Method: Person-to-person
Compensation Structure: Multi-level
Products: Cosmetics, personal care, food and beverage, home care, wellness
Markets: 80
Salespeople: 3 million
Employees: 20,000
Headquarters: Ada, Mich.
Executives: Steve Van Andel and Doug DeVos
Year Founded: 1959
www.amway.com

What company would you guess would come in third place? Tupperware? Mary Kay? Nope. The third largest direct selling company in the world is Herbalife Ltd., with net sales of $3.5 billion in 2011. Herbalife is a leader in cosmetics and personal care products. Here are Herbalife’s company statistics, provided by DSN:

3. Herbalife Ltd.

2011 Net Sales: $3.5 billion
Country: USA

Herbalife is a global nutrition company that sells nutritional supplements and weight-management and personal-care products. Its products have been developed by scientists, physicians and nutrition experts, including Nobel laureate in medicine Louis Ignarro, Ph.D.

2010 Rank: 5
2010 Net Sales: $2.7 billion
Sales Method: Person-to-person
Compensation Structure: Multi-level
Products: Cosmetics and personal care
Markets: 79
Salespeople: 2.7 million
Employees: 5,000
Headquarters: Los Angeles, Calif.
Executive: Michael O. Johnson
Year Founded: 1980
Stock Symbol: HLF—NYSE
www.herbalife.com

The fourth largest global direct selling company is Natura Cosmeticos SA, a Brazilian company. In 2011, Natura’s net sales were $3.01 billion. As a fierce competitor, Natura has expanded internationally and distributorships are available in the United States. Here are Natura’s company statistics, provided by DSN:

4. Natura Cosmeticos SA

2011 Net Sales: $3.01 billion
Country: Brazil

Natura is a direct sales company in the cosmetics, personal hygiene and perfumery sector, committed to the quality of relationships, innovation and constant improvement of its products and services based on a sustainable development model of business.

2010 Rank: 3
2010 Net Sales: $3 billion
Sales Method: Person-to-person
Compensation Structure: Multi-level
Products: Cosmetics and personal care
Markets: 7
Salespeople: 1.4 million
Employees: 6,800
Headquarters: São Paulo, Brazil
Executive: Alessandro G. Carlucci
Year Founded: 1969
Stock Symbol: NATU3.SA—São Paolo
www.natura.net

Remember Vorwerk (technically Vorwerk & Co. KG)? Or, perhaps you’ve never forgotten about them? Vorwerk was started in 1883 and is still going strong. The company began in Germany, but is accessible around the globe. With $3.0 billion in net sales in 2011, Vorwerk comes in as the fifth largest global direct selling company. Here are Vorwerk’s company statistics, provided by DSN:

5. Vorwerk & Co. KG

2011 Net Sales: $3.0 billion
Country: Germany

Vorwerk is a 129-year-old, family-owned, German-based company that has been focusing on the direct sales channel since 1930. Products include household appliances as well as high-quality cosmetics. Vorwerk & Co. KG is a global group that includes JAFRA Cosmetics, which reported sales volume of nearly $600 million (USD).

2010 Rank: 4
2010 Net Sales: $2.9 billion
Sales Method: Person-to-person and party plan
Compensation Structure: Multi-level
Products: Cosmetics, household appliances, home care
Markets: 76
Salespeople: 600,000
Employees: 23,000
Headquarters: Wuppertal, Germany
Executives: Walter Muyres and Reiner Strecker
Year Founded: 1883
www.vorwerk.com

What about Mary Kay? Well, she’s come in sixth place, with $2.9 billion in net sales in 2011. Not bad, considering Mary Kay is one of the most recognizable direct selling brands in the United States. Here are Mary Kay’s company statistics, provided by DSN:

6. Mary Kay Inc.

2011 Net Sales: $2.9 billion
Country: USA

Mary Kay was founded in 1963 by Mary Kay Ash with the goal of helping women achieve personal growth and financial success. The company’s skincare and color cosmetics products are sold in more than 35 countries around the world.

2010 Rank: 6
2010 Net Sales: $2.5 billion
Sales Method: Person-to-person
Compensation Structure: Single-level
Products: Cosmetics and personal care
Markets: 35
Salespeople: 2.4 million
Employees: 5,000
Headquarters: Addison, Texas
Executive: David Holl
Year Founded: 1963
www.marykay.com

In seventh place is Tupperware Brands Corp., with $2.6 billion in net sales in 2011. Tupperware was started in 1946 by Earl Tupper, with the initial help of Brownie Wise, who made door-to-door selling into a movement for American housewives. The Tupperware brand is so successful that even today the general populace refer to their plastic storage containers as “Tupperware.”

7. Tupperware Brands Corp.

2011 Net Sales: $2.6 billion
Country: USA

Tupperware is a global direct seller of innovative, premium products across multiple brands and categories through an independent salesforce. Product brands and categories include design-centric preparation, storage and serving solutions for the kitchen and home as well as beauty and personal-care products.

2010 Rank: 7
2010 Net Sales: $2.3 billion
Sales Method: Person-to-person and party plan
Compensation Structure: Single-level and multi-level
Products: Storage and serving products; beauty, personal care
Markets: 100
Salespeople: 2.6 million
Employees: 13,500
Headquarters: Orlando, Fla.
Executive: Rick Goings
Year Founded: 1946
Stock Symbol: TUP—NYSE
www.tupperware.com

In eight place is Oriflame Cosmetics, with $2.1 billion in net sales in 2011. Headquartered in the small city of Luxembourg, this company has risen to reputable heights. Oriflame’s beauty brands are popular around the world, including in Europe, Asia, Africa, and Latin America. Distributors in the United States may want to keep an eye on this company in case it expands into North America. Here are Oriflames’s company statistics, provided by DSN:

8. Oriflame Cosmetics SA

2011 Net Sales: $2.1 billion
Country: Luxembourg

Oriflame is one of the fastest-growing beauty companies in the world. The company operates in 67 countries and is the market leader in more than half. Although it has no U.S. presence, Oriflame has a presence in Mexico, Central America, South America, Europe, Asia and Africa.

2010 Rank: 8
2010 Net Sales: $2.2 billion
Sales Method: Person-to-person
Compensation Structure: Multi-level
Products: Beauty
Markets: 67
Salespeople: 3.6 million
Employees: 7,900
Headquarters: Luxembourg, Luxembourg
Executive: Magnus Brännström
Year Founded:1967
Stock Symbol: ORI-SDB.ST—Stockholm
www.oriflame.com

In ninth place is Nu Skin Enterprises, Inc., with $1.7 billion in net sales in 2011. Nu Skin’s anti-aging and cosmetics products have made the company stand out amongst the competition. Here are Nu Skin’s company statistics, provided by DSN:

9. Nu Skin Enterprises, Inc.

2011 Net Sales: $1.7 billion
Country: USA

Nu Skin demonstrates its tradition of innovation through its comprehensive anti-aging product portfolio, independent business opportunity and corporate social responsibility initiatives. The company’s scientific leadership in both skin care and nutrition has established it as a premier anti-aging company, evidenced in its unique ageLOC® science that addresses aging at its source.

2010 Rank: 10
2010 Net Sales: $1.5 billion
Sales Method: Person-to-person
Compensation Structure: Multi-level
Products: Cosmetics and personal care
Markets: 52
Salespeople: 855,000
Employees: 3,500
Headquarters: Provo, Utah
Executive: Truman Hunt
Year Founded: 1984
Stock Symbol: NUS—NYSE
www.nuskin.com

In tenth place, but by far not last place, is Belcorp. (Why don’t we have a company profile for Belcorp? Once the company provides an English-version of their website, then we will.) Belcorp racked in $1.6 billion in net sales in 2011. Based out of Peru, this is another successful direct selling company offering cosmetics and personal care products. Here are Belcorp’s company statistics, provided by DSN:

10. Belcorp

2011 Net Sales: $1.6 billion
Country: Peru

Belcorp boasts a rich heritage and product portfolio. The company helps put women in touch with their ideal of beauty and self-fulfillment by empowering and strengthening women to change their lives. Belcorp’s Beauty Consultants offer beauty and lifestyle products through three distinctive brands: L’bel, Èsika and Cyzone.

2010 Rank: 11
2010 Net Sales: $1.3 billion
Sales Method: Person-to-person
Compensation Structure: Multi-level
Products: Cosmetics and personal care
Markets: 16
Salespeople: 938,000
Employees: 8,695
Headquarters: Lima, Peru
Executive: Eduardo Belmont
Year Founded: 1968
www.belcorp.biz

There you have it. The top ten global direct selling companies. Note that Attorney Jeff Babener has represented many of the above mentioned companies. See his biography page for more information.

Visit us at www.mlmlegal.com to learn more.

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Can You Make It By Starting Small? http://mlmlegal.com/MLMBlog/can-you-make-it-by-starting-small/ Thu, 14 Jun 2012 19:48:53 +0000 http://mlmlegal.com/MLMBlog/?p=133 From zero to hero…. Can you make it just by starting small or do you have to start big? The fact is, the most successful direct selling companies of all time all started small. That’s why we have done more … Continue reading

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From zero to hero….

Can you make it just by starting small or do you have to start big? The fact is, the most successful direct selling companies of all time all started small. That’s why we have done more than 60 conferences on Starting and Running the Successful Direct Selling Company with 5,000-6,000 people in attendance. We have started companies with “moms and pops” at the conference table, and watched some of those companies grow to sell billions of dollars in sales over the years.

A few good stories to inspire everyone….

Look at the history of some of our industry leaders; let’s say you take a company like Amway, a company that sells in excess of $10 billion dollars a year globally. This is a company in which, basically, the owners started mixing biodegradable soap in their bath tub.

Somebody like Doris Christopher, started Pampered Chef, and spent the first few years in her basement. Of course, later on, it was taken over for a huge fortune by Warren Buffet and Berkshire Hathaway.

Longaberger Basket Company, whose sales have been in the billions, was started by creating a small assembly line in the backyard. The owner at the time was a manager of an IGA grocery food store.

Discovery Toys was started by Lane Nemeth. She basically was in early education, and she had a passion for shopping for educational toys when she traveled. She brought the toys back and showed them to her fellow teachers and parents, which resulted in the development of a huge company, built from scratch.

Cheryl Lytle, of Creative Memories, was basically doing demonstrations and supplying various sorts of supplies for scrapbooking and ended up building a company with sales in the hundreds of millions of dollars.

Very few people know this, but a young man named David McConnell, around the turn of the century,  was a door-to-door book salesman in the South; and in order to get the ladies to buy the bibles, he gave them a small complimentary bottle of perfume. After a while, he figured out that, actually, the ladies liked the perfume more than the books, and he grew his company from there forward. He named it the “California Perfume Company.” After some consideration, he decided he needed the name to be more upscale. He noticed that Shakespeare plays were performed at Stratford on Avon, and so he renamed the company Avon. More than 100 years later, Avon does better than $10 billion in sales as a New York Stock Exchange traded company in more than 150 countries. So what you really know now is that Avon is actually a door-to-door bible sales company.

Most recently the industry witnessed a tremendous success story.  Two ladies in Kansas started a company called Silpada Jewelry. During their first year, they did less than $100,000 in sales, with a handful of distributors. In just over 10 years, they built their company to hundreds of thousands distributors, hundreds of millions of dollars in sales, and in July of 2010, they were acquired and became part of Avon………… and they were paid $650 million.

Start Small…Think Big….

So if the question is “Can you start small and make it?” ……. With dedication and hard work, the answer is a resounding “Yes!”

 

For more information, watch the video Factors that Make an MLM Company Successful, or one of our many other MLM, network marketing, direct selling educational videos.

These articles also address ways in which to achieve success in direct selling: “MLM Consulting: Starting Your MLM Company,” “MLM Consulting: How to Build a Successful Direct Selling Company” and “MLM Corporate Startup Essentials: Part II.”

Expert MLM Attorney Jeffrey Babener has authored many books on MLM and direct selling. Check out Network Marketing: What you should know and The Network Marketer’s Guide to Success.

Visit us at www.mlmlegal.com to learn more.

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The FTC Final Business Opportunity Rule – Still Work to do for the Direct Selling Industry http://mlmlegal.com/MLMBlog/the-ftc-final-business-opportunity-rule-still-work-to-do-for-the-direct-selling-industry/ Fri, 03 Feb 2012 19:30:20 +0000 http://mlmlegal.com/updates/?p=14 On March 1, 2012, a three decade rulemaking process of the FTC (Federal Trade Commission) will result in the implementation of the final FTC Business Opportunity Rule. Although the FTC’s summary of the Rule explicitly states that it is not … Continue reading

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On March 1, 2012, a three decade rulemaking process of the FTC (Federal Trade Commission) will result in the implementation of the final FTC Business Opportunity Rule. Although the FTC’s summary of the Rule explicitly states that it is not the intent of the Rule to apply to companies that offer opportunities in the channel of distribution alternatively referred to as MLM/Multilevel Marketing/Direct Selling/Network Marketing, the actual Rule seemingly covers many areas of support provided by MLM companies, leaving the FTC rhetoric at odds with the actual Rule that has been adopted. The quasi- assurance of MLM industry exemption, granted in the summary text of the Final Business Opportunity Rule, is unfortunately taken back in the “footnotes” to the Rule and the Rule itself.

Keep reading here.

Visit us at www.mlmlegal.com to learn more.

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