Last year the total retail sales of direct selling industry in Latvia increased by a record 13.4 percent up to 84 million EUR (excluding VAT). Meanwhile, the number of people cooperating with direct selling companies increased by 3 percent and amounted to more than 66 thousand persons.
“Last year despite the continued quarantine restrictions direct selling companies and their sellers successfully worked on the conditions of new reality and were able to combine well personal sales with the sales on the virtual space. This allowed the industry to adapt well to the changing needs and purchasing habits of consumers and to keep two-digit growth of sales for the second year in a row,”- comments Gintautas Zaleckas, General Secretary for the Baltic Direct Selling Associations.
According to G.Zaleckas, during constraints for in person meetings because of COVID-19, the sellers of direct selling companies were active in using social networks, in organizing consultations and product demonstrations virtually. This provided additional opportunities not only to consult and serve existing customers, but also to find the new ones. Meanwhile, the necessity to work from home and declining regular incomes have led some people to discover direct selling as a flexible extra income or even as an opportunity for their own business.
As a result of the coronavirus pandemic, people were putting more attention to their health, so the demand and sales of wellness products increased the most between the different product categories, which are sold by the direct selling companies.
Comparing the Baltic countries, in 2021 the volume of direct sales in Lithuania grew by 12,2%, and in Estonia – by 4,4% and respectively amounted to 108 and 54 million Euros. The number of persons cooperating with direct selling companies increased by 4 % in Lithuania and by 1,2% in Estonia and respectively amounted to 87 and 43 thousand people.