Neil Offen

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Neil Offen
President DSA
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DIRECT SELLING INDUSTRY
The People Business
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DIRECT SELLING INDUSTRY

• 48,000,000 Sales People Globally

• 475,000 New Distributors Weekly

• 90 Billion Global Retail Sales

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DIRECT SELLING GROWTH

• New Markets

Vietnam Kazakhastan Brunei Morocco
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DIRECT SELLING GROWTH

• New Direct Selling Associations

Estonia Romania Latvia
Montenegro Lithuania Macedonia Croatia
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DIRECT SELLING GROWTH

• Improved Performance in Argentina
• and Japan

• Record Growth in the United States

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DIRECT SELLING NEWS

• Vorwerk Purchases JAFRA Cosmetics

• Activated Holdings to Purchase Shaklee

• Swedish-based Oriflame Goes Public

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DIRECT SELLING NEWS

• Golden Pride, Achievers Unlimited Changes
• International Merge To Form Goldshield Elite

• Avon Net Sales Grow More than 600 Million
• Stock Price Cracks 80 on NYSE

• Stock Prices Climb at Mannatech, NuSkin,
• USANA, Reliv Int.

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DIRECT SELLING NEWS

• Notable Success Stories

Southern Living AT HOME
Creative Memories
Primerica Financial Services
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DIRECT SELLING NEWS

• Notable Success Stories

Binney Smith At Home
The Kirby Company
The Pampered Chef
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DIRECT SELLING NEWS

• New Subscriber Members

Lillian Vernon
Milliken Company (Sylvan Chemical)
Rona Barrett Lavender Company
TruGreen Chemlawn
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DIRECT SELLING NEWS

• Exploring Direct Sales

P G Schwanns Nestle Unilever
Penguin Books
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DIRECT SELLING NEWS

• Start-Ups Rising
• 1200 Possible DSA Recruits
• 79 New DSA Members in 2003
• 59 New DSA Members in 2004

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DIRECT SELLING NEWS

• 162 Active Members
• 61 Pending Members
• 67 Subscriber Members

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DIRECT SELLING NEWS

• 290 Total Members

• 200 Supplier Members
• Grand Total 490 Members

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DIRECT SELLING TRENDS
International Expansion Stimulates Growth
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DIRECT SELLING TRENDS
Creation of Professional Societies for Career
Sales People
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DIRECT SELLING TRENDS
Providing Pension Plans Major Medical
Coverage
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DIRECT SELLING TRENDS
Changing the Status of First Level Recruits to
Preferred Customer
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DIRECT SELLING TRENDS
Fastest Growing Segments of the Salesforce are
Persons Over 65 Years of Age, African Americans,
Hispanic Americans and Asian Americans
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DIRECT SELLING TRENDS
Elimination of New Abuses
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DIRECT SELLING FACTS

• Mean Income 14,500
• Median Income 2,500
• 2002 7.5 Worked 40 Hours

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DIRECT SELLING FACTS

• 25 of Full-Time Sales People
• Grossed 100,000
• 50 Work Less Than 10 Hours
• Per Week

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DIRECT SELLING FACTS

• 40 Work Less Than 5 Hours
• Per Week
• Career Ranks Are Growing

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DIRECT SELLING TRENDS
More Firms Outside the Industry Are Using Direct
Sales as a Distribution Channel
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DIRECT SELLING TRENDS
More Government Regulation
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DIRECT SELLING ISSUES
9 Countries Considering Bans on Direct Sales of
Food Supplements and Nutritional Products
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DIRECT SELLING ISSUES
Crackdown on Distributor Produced Sales/Training
Aids Sold to Downlines
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DIRECT SELLING TRENDS
Impact of Terrorism
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DIRECT SELLING TRENDS
Positive Impact of Technology
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DIRECT SELLING FACTS

• Consumer Ordering Over Net
• Has Increased
• 7 of Sales are From Customer
• Direct to Company

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DIRECT SELLING FACTS

• Cross-Border Sponsoring
• Continuing to Grow

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DIRECT SELLING FACTS
Image and Reputation Will Be Enhanced and Improved
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