Direct Selling companies amongst our survey set of fifty continued their impressive performance during July, continuing what is now a five-month trend for the industry. While the volume and rate of sequential growth have predictably slowed, due to the higher hurdle rate that has been established month after month, more than half of the companies surveyed once again grew in July compared to June. In addition, the vast majority of respondents reported being up for the month as compared to July one year ago, as well as up year-to-date as compared to the same period in 2019.
We began tracking this data in March of this year to provide industry executives with timely and salient data related to the direct selling industry’s performance in the COVID-19 environment. It would be a significant understatement to say the data has been impressive.
In March, as the pandemic was beginning to take hold of individuals’ daily lives, 80% of respondent companies reported sequential revenue growth over February, which was followed by 80% of respondents reporting sequential growth again in April during the peak of COVID-19 related lockdowns. May and June’s survey’s each resulted in reported growth by more than 70% of respondents.
As we are all aware, Summer is typically a slow season for most companies within our industry, which, we believe, makes June and July’s results all the more impressive. Despite some seasonality and the likely effect of altitude fatigue, the industry remains strong and all indications point toward a strong fall and close to 2020.
Going forward, we are accelerating our efforts to provide industry executives with information that can assist in the strategic planning and decision-making processes. Collective and diversified data is far more indicative of industry trends than that developed in a silo and benefits us all, as a channel.
We look forward to sharing more with you soon.
CEO & Owner | SUCCESS Partners
*The total data set consists of more than 50 companies, with criteria including headquarters based in the U.S., a minimum of $5 million per month in revenue, and a substantial percentage of revenue from U.S. business. Public companies did not participate. Half of the companies are not members of the Direct Selling Association.