NEW DATA from the UK Direct Selling Association shows an increase of more than 36% in the number of people joining direct selling brands in the first quarter of this year.
An estimated 500,000 people in the UK work as independent salespeople in the direct selling sector, which includes brands such as Avon, The Body Shop and Usborne Books. Around two-third of those are working as a second job and less than ten hours per week, mostly in the evening.
Most are using the work to boost their income to offset the cost of living crisis. Almost a fifth work in healthcare and 15% work in education. The average amount earned through direct selling is £481 per month, with 64% reporting that they scale their side hustle up or down to suit how much they want to earn each month or to work around other commitments.
The increase in the first quarter of 2023 is due to people needing to offset the rising cost-of-living and looking for ways to earn additional household income without the need to commute or pay for additional childcare, says the Direct Selling Association. 38% of consultants reported that one of the main drivers was to be able to work from home.
DSA director general Susannah Schofield main picture, speaking at the organisation’s HQ in Northampton, said: “Direct selling is a retail channel that traditionally performs well in challenging economic times, not least because people look for flexible ways to boost household income without incurring additional costs such as commuting or childcare. This, combined with people choosing to treat themselves to lower cost luxuries during times of financial uncertainty – the Lipstick Effect – is expected to drive sales in the sector in 2023.”
Cliff Jones, DSA chair and sales director at The 1:1 Diet, a former employee-owned business of the year which has seen one of the largest increases, adds: “We have seen a 134% increase in new consultants joining our business in the first three months of 2023 compared to the previous quarter and we are already starting to see small green shoots in terms of impact on sales.
“It is clear that increasing numbers of people are now actively looking for ways to offset the rising cost of living, but in a way which is flexible and home-based.”
