Direct selling players are expected to continue leveraging the relatively high unemployment rate in South Africa and persisting income gaps to attract less affluent groups seeking financial independence. The trend will be consolidated by a slow economic performance in 2023, with GDP only expected to post a 1.
As the South African direct selling landscape continues to rebound in the coming years, competition is expected to intensify across different product categories, a trend consolidated by improved internet penetration as it enables greater price and product discovery online. In response to this trend, businesses are expected to develop more curated online platforms to facilitate interaction with prospective users.
Avon will continue to face intensified pressure from emerging beauty direct selling players in South Africa. The trend will be supported by improved penetration of affordable brands such as Inuka, attracting price-sensitive consumers, and momentum gained by Avron Shlain, which is likely to receive further investment support after being acquired by Bachique 813 (Pty), Ltd in 2021.
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Understand the latest market trends and future growth opportunities for the Direct Selling industry in South Africa 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.
If you're in the Direct Selling industry in South Africa, our research will help you to make informed, intelligent decisions; to recognise and profit from opportunity, or to offer resilience amidst market uncertainty.
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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