A different economy

Let’s look at the economy a little differently. I don’t know about you, but I’m tired of hearing about the doom and gloom. There has to be good news out there, and guess what…there is!

There are a number of direct selling companies out there that are not only surviving—they are thriving! They seem unaffected by what the economy is throwing their way. What is most interesting is that it shouldn’t be a surprise. In years in which the economy has experienced a recession in any part of the year, the direct sales industry has grown. From 1987-2007 there were three recession years (1990, 1991, 2001). In all three of these years, direct sales grew more than the Gross Domestic Product (GDP) did.

Yet, Direct Selling (also refferred to as Referral Marketing, Network Marketing, etc.) still has negative association for most people. Why? At the same time this industry is grossly underestimated in size and contribution to your local and global economy. Just to give you some insight into this, I got some numbers from The World Federation of Direct Selling Associations (http://www.wfdsa.org/). Before going into the numbers, let me provide a quick into to this organization first.

The World Federation of Direct Selling Associations (WFDSA) is a non-governmental, voluntary organization globally representing the direct selling industry as a federation of national Direct Selling Associations. The Federation pursues the highest level of ethical conduct in the global marketplace, fosters advocacy by partnering with government, consumer and academic leaders, and strengthens management of national and regional Direct Selling Associations.

The WFDSA mission is to build understanding and support for direct selling worldwide, and supports direct selling companies and associations by:
• Developing, maintaining and promoting the highest global standards for responsible and ethical conduct.

• Advocating the industry's positions and interest with governments, media and key influencers.

• Serving as a trusted global resource for information on direct selling.

• Facilitating interaction among direct selling executives on issues of importance to the industry.

Following research, the WFDSA lists as some of the most popular reasons people choose direct selling:
• Direct selling is a good way to meet and socialize with people.

• Direct selling offers flexible work schedules.

• Direct selling is a good way to earn extra income.

• Direct selling is a good way to own a business.

• Earnings are in proportion to efforts.

In addition to that, anyone can do it. There are no required levels of education, experience, financial resources or physical condition. People of all ages and from all backgrounds have succeeded in direct selling.

Furthermore, direct sellers are independent contractors. Although you have access to training and support from an established company, you're your own boss, which means you can:
• Work part-time or full-time - you choose when, where and how much you want to work.

• Set your own goals and determine yourself how to reach them.

• Earn in proportion to your own efforts. The level of success you can achieve is limited only by your willingness to work hard.

• Own a business of your own with very little or no capital investment.

BIG business

Now, as far as some of the numbers goes, here are some from the WFDSA that might surprise you (last updated on May 8, 2009):

• In 2007 there were 550,831 people in direct selling in Canada, with $1.42 billion in sales

• In 2007 there were 1.9 million people in direct selling in Mexico, with $3.986 billion in sales

• In 2007 there were 419,500 people in direct selling in the UK, with $3.56 billion in sales

• In 2007 there were 15 million people in direct selling in the US, with $30.8 billion in sales

In 2007 alone worldwide sales the industry generated $117 billion in sales, with 62.7 million people in direct selling. As you can see from these numbers, this is serious business…a major industry.

Obviously, the income opportunity depends on the compensation plan of the company you choose to represent as well as most importantly the amount of effort you put in (as mentioned above).

“Distributors participate in this industry overwhelmingly on a part-time basis. Mean gross income is about $14,500, but $2,500 is the median income, meaning 50 percent of people earn more and 50 percent earn less. The reality is that you have to understand the motivations that bring people into this industry, and people’s motivations are primarily modest. They may not even be financial. They could be more about recognition or social contact.” - John Fleming, Publisher and Editor in Chief, Direct Selling News.

Like many others do initially, you may think that you don’t have the time to start your own business. That is actually the other amazing thing about this business; the Direct Selling Association’s research shows that over 60% of people in direct selling spend less than 9 hours per week on their business!

It is a simple business model that every 3 year old kid is very familiar with, and so are you. As a matter of fact, you are currently actively engaged in this referral marketing. You don't think so? Huh... I’m sure that not a day goes by that you don’t refer someone you know, to a product, business, or service that you liked. That, my friend, is referral marketing. Direct Selling is the same, the only difference is you get paid for your efforts.

So let me ask you this question. Why is it, that if you don't get paid for it it is fine but when it becomes a phenomenal income opportunity it suddenly is considered to be shady business? What is wrong with doing what you already do, but have the company who’s product or service you recommend pay you a commission? Only seems fair to me.

YES! You CAN change your future!

I encourage you to keep your options open when it comes to creating (additional) income for your family, just like I did. You can change your future, and the future of your children. Don’t reject something before you know, and understand, what you are rejecting. Inform and educate yourself. Not all businesses are created equally. This is also true for businesses in the Direct Selling industry, and yes, there are scams out there on the internet!

However, the bottom line is that Direct Selling is one of the simplest, fair, and accessible ways to earn extra income. If you’re looking for a sideline or a part-time job that will help augment your budget, then joining a direct selling company could be the answer.

Opinions are the cheapest commodity going around, so do your own research. What it really comes down to in my mind is what the team and the leadership in the team is all about because that will be a big factor in your ability to succeed.

Imagine what your life would be like if money was NOT an issue? Dare to dream, and then pursue your dreams! Most importantly, don’t let someone who doesn’t dare to dream stop you from dreaming.

Thoughts? Questions?

Until next time,

Leon

mailto:Leon@TheLifestyleDream.com

http://www.thelifestyledream.com/