You have surely heard of network marketing or MLM. Chances are that you have been on the receiving end of pitches from friends or family. You may even be an active member of any of the numerous MLM companies.

But how well do you actually know the network marketing business?

Did you know that network marketing was first introduced as a business model by Nutrilite in the 1940s? Or that Amway’s all-time top distributor, Dexter Yager, made $12 million in a year.

What about the fact that 50% of distributors who start partaking in an MLM business drop it inside the first year?

Turns out there are numerous things most people don’t know about the history, companies, distributors, consumers, and entrepreneurs of MLM business.

So here we are going to have a look at the top MLM statistics for 2024.

General Network Marketing Statistics & Facts

Do you know how network marketing turnover around the world annually is?

Or which are the leading countries in MLM sales worldwide?

Did the network marketing business expand or shrink compared to the previous year?

Find out the answers to these questions and more in general network marketing statistics.

According to Statista, the global MLM market will be worth $200 billion in 2022.

According to a study by Grand View Research, the MLM sector will expand between 2023 and 2028 at a CAGR of 3.6%.

The Direct Selling Association estimates that in 2022, there will be about 18.8 million MLM participants in the United States.

The European Direct Selling Association estimates that in 2022, there will be about 14 million MLM participants in Europe.

Women make up the majority of the MLM workforce, making up 74% of all participants in 2022, according to the Direct Selling Association.

According to Business for Home, Amway, Herbalife, Avon, Mary Kay, and Vorwerk were the top MLM businesses in terms of revenue in 2022.

According to a 2022 Federal Trade Commission study, the majority of MLM participants make less than $5,000 annually.

According to the Direct Selling Association, the MLM industry’s health and wellness sector was the most well-liked in 2022, followed by personal care and beauty.

According to a Forbes report, the pandemic has increased interest in the MLM sector, with some businesses reporting a spike in sales.

In 2022, 53% of MLM participants, according to the Direct Selling Association, will be between the ages of 25 and 44.

As stated by the Direct Selling Association, the median annual income for MLM participants was $3,000 in 2022.

78% of MLM participants, as reported by the Direct Selling Association, will be part-time employees by 2022.

According to a Grand View Research report, the Asia-Pacific region will have the largest MLM market in 2022, followed by North America and Europe.

In a 2022 survey by the Direct Selling Association, 89% of MLM participants reported being satisfied or extremely satisfied with their involvement in the sector.

According to the Direct Selling Association, 82% of MLM participants indicated that they would recommend their company to others in 2022.

In 2022, the Direct Selling Association found that 44% of MLM members had attained some level of post-secondary education.

Market size for direct selling businesses worldwide is projected to increase from $688.45 billion in 2022 to $763.85 billion in 2023.

Korea is in the third position with $17.68 billion in revenue from retail sales.

The USA became the worldwide leader in retail sales with yearly sales of $35.21 billion.

Germany and Japan are in the 4th and 5th positions with $17.45 billion and $15.62 billion from retail sales respectively.

China accounted for 17.96 billion US dollars or 12.5% of the retail sales made in the direct selling sector in 2022, a decrease from the previous year.

The change in sales in the top 5 countries in 2019 is USA-0.4%, China-30%, Korea+3.8%, Germany+5% & Japan-1.2%.

The retail sales of the direct selling market worldwide reached an all-time high of $192.9 billion in 2018.

Network marketing revenue has been on a subtle downward trajectory since 2018.

The Asia/Pacific region is the largest contributor to the retail sales of the global direct selling industry.

Germany is the leading market for MLM in Europe with a revenue of $17.97 billion in 2020.

France comes in a distant second with a revenue of $5.13 billion.

A drop of 4.3% in sales globally can be seen in 2019.

This value has diminished significantly from the 2018 peak of $69179 million.

The size of the direct selling market in the United States is currently estimated to be $55048.7 million.

MLM Company Statistics: Network Marketing Industry Worth 2023

You must have surely heard of the big-name network marketing companies such as Amway, Herbalife, Avon, Mary Kay, etc. How did these companies fare over the last couple of years?

Let’s find out through MLM the statistics about these companies.

  • Herbalife functions in over 94 countries with a network of around 4.5 million autonomous sellers and members.
  • Jeunesse recorded the second position on the list of top direct selling companies in 2023.
  • Amway maintained its position as the top direct selling company in 2020.
  • Herbalife came in at third position with a revenue of $5.5 billion.
  • 1 out of 5 homes in the USA owns at least one Amway product.
  • Amway made a yearly revenue of about 8.5 billion USD in 2022.
  • Amway suffered a 4.5% revenue slump in 2019.
  • Amway has distributors in over 100 countries.
  • Mary Kay has been recognized for its commitment to sustainability, including being named one of the 50 most sustainable companies in the world by Corporate Knights in 2022.
  • Mary Kay has donated over $90 million to cancer research and domestic violence prevention through the Mary Kay Foundation as of 2022.

Revenue In 2023

  • Direct selling businesses with membership in DSA follows the DSA code of ethics and gives 90% buyback on starter-kit purchase by new recruits.
  • The Asia Pacific region is Herbalife’s biggest market in 2022, as it constitutes 27.33% of the company’s market share.
  • The beauty segment of Avon generated net sales of about 2.04 billion dollars in 2022.
  • In comparison to the previous year, this represents an increase of around 261 million dollars.
  • Avon’s annual sales suffered a decline compared with the previous year’s 4.76 billion.
  • Herbalife Nutrition indicated net sales of $1.2 billion for the fourth quarter of 2022 and $5.2 billion for the entire year, both down from the same periods the previous year by 10.4% and 10.3%, including both.
  • Direct selling has recorded a 1.5% growth in Canada over the last 5 years.
  • Between 2018 and 2023, the sales volume of the Direct Selling Companies industry in Canada increased by 0.6% annually on average.
  • Mary Kay has a salesforce of 3.5 million worldwide.
  • Amway employs a workforce of 15,000 people worldwide.
  • Avon generated approximately 2.77 billion dollars in revenue in 2022.

Network Marketing Distributor Statistics

Distributors are the heartbeat of any MLM network. How many active distributors are there around the world?

How much does an average MLM distributor earn?

How many hours of work do they put in each week?

Let’s find out through these network marketing statistics about MLM distributors.

  • 99% of network marketers are high school graduates, and 52% of them hold a degree or have graduated from a college.
  • Over 125.4 independent representatives are involved in the network marketing industry worldwide.
  • By the end of 2022, the number of sellers increased to a huge 121.3 million around the globe.
  • 62% of members participate in network marketing to earn long-term supplemental income.
  • 25% gains the desired profit they intended for while entering the business.
  • According to the surveys, 25% of members earned profits through network marketing.
  • 10.5 million people take network marketing as their full-time profession.
  • 42.9 million people consider direct selling as a part-time career option.
  • Over 64.9 million independent distributors work in the MLM industry.
  • Network marketers work for an average of 13.3 hours per week.
  • About 10% of sellers make over $100 weekly.

Couples as Distributors

Network marketing has emerged as a solution for couples as a solution for their financial problems.

The newly found work-from-home capabilities of the business and the importance of teamwork in network marketing make it the perfect opportunity for couples. They get to experience success together and work hand-in-hand toward their dream life.

Some of the biggest earners in the network marketing business are couples. The Dutch couple Igor Alberts & Andreea Cimbala of DagCoin Success Factory have earned over 150 million dollars in the business.

Ivan & Monika Tapia of IM Mastery Academy and Trin & Jirawan Vichaidith of Nu Skin are also some of the biggest earners in Network marketing. Jeunesse Global, Herbalife, and Amway are the network marketing companies that hire most couples as distributors.

The new normal in Direct Selling Industry: Facts during covid

  • Health and wellness were the most popular sector in direct selling bringing in a revenue of over 60 million dollars, constituting 36% of the global sales.
  • Over 125 million new members joined the direct selling industry as new distributors in 2020.
  • Cosmetics and personal care came in second with over 45 million dollars in sales.
  • The direct selling industry generated 179.3 billion $ worldwide in sales in 2020.
  • 40.1 billion of this was generated in the U.S alone.
  • This constitutes 22.3% of worldwide sales.
  • This is a 4.3% increase from 2019.

MLM Product Statistics

Numerous companies with a wide range of products deploy the network marketing business model.

Wellness products, household goods, cosmetics, accessories, financial services, etc… are constitute the majority of MLM products.

Let’s have a look at some of the interesting network marketing statistics about MLM products.

  • The health and wellness sector has a $4.4 trillion market value as of 2022.
  • Household goods and durables contribute to 11.5% of global sales.
  • In 2022, the global market for health and wellness was estimated to be worth USD 4,886.70 billion. By 2030, it is anticipated to have grown to USD 7,656.7 billion, with a CAGR of 5.5%.
  • In 2023, the Beauty & Personal Care market will generate US$91.41 billion in revenue. The market is anticipated to expand by 2.60% yearly.
  • Clothing and accessories made up 6.1% of the annual network marketing sales.
  • 3.9% of MLM sales come from financial services.
  • Food and beverages contributed an annual share of 3.1%.
  • Wellness products and cosmetics were the most sold products globally in 2020.
  • Wellness products made up 47% of sales in the Asia/Pacific region.

 

Consumers are the end-users upon whose satisfaction, the whole industry revolves around. Customer satisfaction is one of the most important things in network marketing because so much depends upon the relationship between the customers and the distributors or the company.

Here are some interesting MLM statistics about consumers.

  • Health and wellness were the most popular sector in direct selling bringing in a revenue of over 60 million dollars, constituting 36% of the global sales.
  • People aged 25-34 make up 23% of the global network marketing crowd in 2022.
  • About 26% of network marketers are from the age group 35-44.
  • 25% of network marketers are between the age group 45-54.
  • 23% of network marketers are of the age of 55 and above.
  • Around 75% of the network marketers are women.

Conclusion

As you can understand from these statistics, network marketing is not at all a risk-free trade, as some companies and distributors would have told you. The truth is that most people who go into the MLM business don’t make much money from it.

Here we have provided an accurate description of MLM facts. Success in network marketing can only be achieved only through commitment, hard work, and commitment.

References

  1. Statista
  2. WFDSA
  3. DSA
  4. AARP
Meet The Author
Misbah Thevarmannil

Content Writer

Misbah Thevarmannil's writing is both tech-savvy and grounded in creativity. She combines a play on words with an encyclopedic knowledge of technical subjects to produce piece that are clear, concise, and accessible to her audience. Thevarmannil has been on the forefront of technology for years, and she keeps up with software trends from writers, developers, and the like.

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