directsale

Direct selling is a retail method in which manufacturers or distributors sell products directly to consumers, bypassing traditional fixed retail locations. Sales typically occur through independent representatives who demonstrate products in homes or at demonstrations, through one-to-one consultations, or via online channels. Direct selling can include home parties, door-to-door sales, catalog orders, and social or online selling.

Most direct selling firms rely on a compensation model that pays distributors a commission on their own sales and, in many cases, on the sales of recruited distributors as part of a multi-level marketing (MLM) structure. Not all direct selling uses recruitment-based compensation; some companies compensate solely on personal sales or on team performance without multi-level recruitment.

The modern direct selling industry developed from door-to-door and party-plan selling in the 20th century. Prominent companies associated with the sector include Amway, Avon, Mary Kay, Tupperware, and Pampered Chef, among others. The model has diversified to include online and social selling alongside traditional demonstrations.

Direct selling is subject to regulatory oversight and industry guidelines designed to prevent deceptive practices and improper compensation. Regulators in many countries scrutinize pyramid-like schemes, require earnings disclosures or truthful marketing, and impose rules on inventory loading and conduct. Trade associations such as the Direct Selling Association advocate ethical standards in some regions.

Today, direct selling incorporates digital tools, social networks, and e-commerce platforms, enabling sellers to reach customers without fixed retail spaces. It remains a controversial but globally active channel for a range of consumer goods, with adoption and regulatory treatment varying by country.