With the rise of social media and the COVID-19 pandemic limiting face-to-face interactions, direct sellers are expected to continue to lose ground to the rapidly growing e-commerce channel, particularly in the realm of social commerce. One of the main factors contributing to this trend is the relatively high entry barriers for direct selling in China, whereby companies must obtain a government permit to engage in direct selling.
Direct sellers have long relied on face-to-face interactions to build relationships with customers and sell their products. However, in recent years they increasingly turned to virtual tools such as social media, e-commerce platforms, and video conferencing to reach their audience.
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Understand the latest market trends and future growth opportunities for the Direct Selling industry in China with research from Euromonitor International's team of in-country analysts – experts by industry and geographic specialisation.
Key trends are clearly and succinctly summarised alongside the most current research data available. Understand and assess competitive threats and plan corporate strategy with our qualitative analysis, insight and confident growth projections.
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Direct selling is the marketing of consumer goods directly to consumers, generally in their homes or the homes of others, at their workplace, and other places away from permanent retail locations. Direct selling occurs in two primary ways: On a one-to-one basis (usually by prior arrangement a demonstration is given by a direct seller to a customer) or on a party-plan basis (selling through explanation and demonstration of products to a group of prospective customers by a direct seller usually in the home of a host(ess) who invites other persons for this purpose). Avon stands as a prime example of a direct seller using one-to-one selling, whereas Tupperware is famous for its party-plan method. Direct selling of services - such as insurance, telecoms, other utilities, and financial services - are excluded.See All of Our Definitions
This report originates from Passport, our Direct Selling research and analysis database.
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