Behind the staggering $212.5 billion global empire projected for 2027 lies an uncomfortable truth: the vast majority of the 126 million people lured into the MLM industry with promises of wealth end up earning little to nothing for their efforts.
Key Takeaways
- The global direct selling market reached $167.7 billion in retail sales in 2020.
- US direct selling sales totaled $40.2 billion in 2022.
- Direct selling industry grew by 2.8% in the US from 2021 to 2022.
- US had 7.8 million direct sellers in 2022.
- Global direct sellers numbered 126.2 million in 2022.
- Women comprised 78% of US direct sellers in 2022.
- Median annual income for US direct sellers $2,400 in 2019 FTC study.
- 99% of Amway distributors earned less than $1,000 annually in 2021.
- Herbalife average annual earnings $3,800 for US distributors in 2022.
- FTC received 3,000+ MLM complaints annually pre-2020.
- 15 US states regulate MLM income claims since 2020.
- FTC shut down 60 pyramid schemes 2010-2020.
- Amway global revenue $8.9 billion in 2022.
- Herbalife worldwide sales $5.2 billion in 2022.
- Nu Skin Enterprises revenue $1.97 billion in 2022.
The MLM industry is huge globally but most participants earn little to nothing.
Company Performance
- Amway global revenue $8.9 billion in 2022.
- Herbalife worldwide sales $5.2 billion in 2022.
- Nu Skin Enterprises revenue $1.97 billion in 2022.
- USANA Health Sciences $920 million revenue 2022.
- Mary Kay global sales $3.7 billion in 2021.
- Primerica revenue $2.8 billion in 2022.
- Melaleuca annual revenue $2.5 billion in 2022.
- Young Living $2.0 billion revenue 2022.
- doTERRA revenue $1.8 billion in 2022.
- Arbonne international sales $800 million 2022.
- Rodan+Fields revenue $700 million in 2021.
- It Works! $600 million revenue 2022.
- Thirty-One Gifts $1.0 billion sales 2022.
- Beachbody (Myx) revenue $500 million 2022.
- Nikken revenue $400 million globally 2022.
- Norwex $350 million sales 2022.
- Scentsy $700 million revenue 2022.
- Pampered Chef $1.1 billion sales 2022.
- Tupperware revenue $1.3 billion in 2022.
- Avon Products $2.8 billion revenue 2022 post-restructuring.
- Forever Living $4.0 billion sales 2022.
- Oriflame revenue $1.5 billion 2022.
- Natura & Co revenue $7.0 billion 2022.
- Vorwerk (Kirby/Tupperware-like) €3.2 billion 2022.
- Infinitus (China) $2.9 billion 2022.
- Perfect China $1.4 billion 2022.
- New Era (China) $1.2 billion 2022.
- Atomy revenue $1.8 billion 2022.
- Jeunesse Global $800 million 2022.
- Market America $1.0 billion 2022.
- Isagenix $700 million revenue 2022.
- 4Life Research $500 million 2022.
Company Performance Interpretation
Amidst the billions in revenue these companies collectively rake in, one can't help but marvel at the sheer, resilient power of the dream sold, a testament to the fact that while few may strike it rich, the industry itself is a financial goliath built on a mountain of unsold inventory and dashed hopes.
Distributor Statistics
- US had 7.8 million direct sellers in 2022.
- Global direct sellers numbered 126.2 million in 2022.
- Women comprised 78% of US direct sellers in 2022.
- Average age of US direct sellers was 44 years in 2022.
- 45% of US direct sellers were millennials in 2022.
- China had 8.5 million direct sellers in 2022.
- India direct sellers totaled 9.2 million in 2022.
- Brazil had 4.1 million active direct sellers in 2022.
- 62% of global direct sellers were women in 2021.
- US part-time direct sellers made up 88% in 2022.
- Mexico direct sellers numbered 1.7 million in 2022.
- South Korea had 5.2 million direct sellers in 2021.
- Australia direct sellers 700,000 in 2022.
- 30% of US direct sellers had college degrees in 2022.
- Japan direct sellers 3.8 million in 2022.
- Canada had 800,000 direct sellers in 2022.
- UK direct sellers numbered 400,000 in 2021.
- Thailand direct sellers 1.2 million in 2022.
- Average tenure of US direct sellers 6.3 years in 2022.
- 25% of global direct sellers were under 35 in 2022.
- Latin America direct sellers totaled 12.5 million in 2022.
- Europe had 18.4 million direct sellers in 2021.
- 40% of US direct sellers Hispanic/Latino in 2022.
- Asia-Pacific direct sellers 82 million in 2022.
- 15% of US direct sellers full-time in 2022.
- Average household income of US direct sellers $78,000 in 2022.
- Philippines direct sellers 1.5 million in 2022.
- 55% of direct sellers worldwide motivated by flexible hours.
Distributor Statistics Interpretation
While MLM empires are often pyramid-shaped, the foundation is actually built by a vast, global army of part-time, mid-career women seeking flexible side income, not fortune.
Income and Earnings
- Median annual income for US direct sellers $2,400 in 2019 FTC study.
- 99% of Amway distributors earned less than $1,000 annually in 2021.
- Herbalife average annual earnings $3,800 for US distributors in 2022.
- LuLaRoe average monthly gross income $94 in 2021 lawsuit data.
- 73% of Mary Kay US consultants earned less than $500/year in 2020.
- Average Primerica agent earned $7,200 annually in 2022.
- 89% of Vemma distributors made no money after expenses in 2015 FTC case.
- US direct seller median retail sales $1,200/year in 2019.
- Top 1% of Nu Skin distributors earned average $100,000+ in 2021.
- 99.6% of Fortune Hi-Tech Marketing participants lost money in FTC case.
- Average Beachbody coach earnings $3,200/year gross in 2022.
- 82% of It Works! distributors earned less than $1,000/year in 2021.
- Melaleuca average active family earnings $2,100/year in 2022.
- 50% of US direct sellers earned less than $5,000/year in 2022 DSA data.
- Top 0.4% of Amway IBOs earned over $50,000 in 2021.
- Average Young Living distributor retail sales $1,500/year in 2022.
- 96% of doTERRA Wellness Advocates earned less than $10,000/year 2021.
- Nikken average consultant earnings $1,800/year in 2022.
- 70% of USANA distributors inactive or zero earnings in 2021.
- Average Arbonne consultant gross $1,200/year in 2022.
- 99% of Zeek Rewards affiliates lost money in 2012 SEC case.
- Top earners in MLM represent less than 1% of participants per FTC.
- Average gross income for Rodan+Fields consultants $2,500/year 2021.
- 85% of Thirty-One Gifts consultants earned <$1,000/year 2022.
- FTC reported 99% loss rate in pyramid schemes disguised as MLM.
- FTC halted BurnLounge pyramid, 90% participants lost money.
- Average earnings after expenses for MLMs often negative per AARP study.
- FTC sued AdvoCare, average distributor lost $1,000 in 2019.
- 73% of distributors quit within first year per industry data.
Income and Earnings Interpretation
The dream sold by MLMs is a lottery where 99% of the tickets are printed with the word "sucker."
Market Size and Growth
- The global direct selling market reached $167.7 billion in retail sales in 2020.
- US direct selling sales totaled $40.2 billion in 2022.
- Direct selling industry grew by 2.8% in the US from 2021 to 2022.
- Worldwide direct sales exceeded $184.6 billion in 2021.
- Asia-Pacific region accounted for 44.1% of global direct selling sales in 2022.
- Projected global direct selling market to reach $212.5 billion by 2027.
- US direct selling sales increased by 1.2% in 2020 despite pandemic.
- Latin America direct selling market valued at $23.5 billion in 2022.
- Europe direct selling sales hit $28.4 billion in 2021.
- North America share of global direct sales was 18.5% in 2022.
- Global direct selling CAGR projected at 4.5% from 2023-2030.
- China direct selling market size was $45.2 billion in 2022.
- India direct selling industry grew 12% to $3.2 billion in 2022.
- US direct selling sales per capita $120 in 2022.
- Global direct selling market share of wellness products 35% in 2022.
- Direct selling e-commerce sales rose 15% globally in 2021.
- Brazil direct selling sales $8.9 billion in 2022.
- South Korea direct selling market $14.7 billion in 2021.
- Australia direct selling industry $1.2 billion AUD in 2022.
- Mexico direct selling sales grew 5.3% to $4.1 billion in 2022.
- Global direct selling recovery post-COVID projected 5% annual growth.
- US millennial participation drove 10% sales growth in beauty category 2022.
- Wellness and personal care segment 62% of US direct sales in 2022.
- Digital tools boosted direct selling sales by 20% in 2021.
- Global direct selling active markets numbered 119 in 2022.
- Japan direct selling sales $20.1 billion in 2022.
- Canada direct selling market $1.8 billion CAD in 2022.
- UK direct selling sales £1.1 billion in 2021.
- Russia direct selling market declined 3% to $2.5 billion in 2022.
- Thailand direct selling sales $4.2 billion in 2022.
Market Size and Growth Interpretation
Despite the industry's global, multi-billion-dollar resilience—powered by wellness trends and digital shifts—one must remember that these impressive aggregate figures often mask the individual financial gamble of the average distributor, for whom the house, statistically, almost always wins.
Regulatory and Legal
- FTC received 3,000+ MLM complaints annually pre-2020.
- 15 US states regulate MLM income claims since 2020.
- FTC shut down 60 pyramid schemes 2010-2020.
- China banned direct selling in 1998, regulated strictly since.
- EU Directive 2005/29/EC prohibits pyramid schemes.
- India classified MLM as illegal if resembling pyramid in 2016.
- FTC v. Amway 1979 upheld MLM if retail focus.
- 400+ MLM complaints to BBB monthly in 2022.
- Brazil pyramid scheme law convicted 100+ MLMs 2010s.
- FTC fined Herbalife $200 million in 2016 settlement.
- 25% of MLMs flagged as risky by Consumer Affairs 2022.
- Norway banned all MLMs resembling pyramids in 2015.
- Australia ASIC sued OneCoin for $25M in 2020.
- 10,000+ victims in Albanian MLM pyramid collapse 1997.
- FTC Business Guidance requires 70% retail sales test.
- UK revoked licenses of 50 MLMs 2018-2022.
- Malaysia fined 20 MLMs $10M total 2021.
- FTC sued LuLaRoe for $60M in 2022.
- 35 pyramid prosecutions by US DOJ 2015-2022.
- South Africa banned 15 MLMs in 2020.
- Canada fined TelexFree $18M in 2014.
- 99% of MLMs fail Koscot test per FTC.
- Russia shut down 200+ illegal MLMs 2021.
- FTC received 13,000 MLM complaints 2021-2022.
- Amway Mexico fined $5M for false claims 2018.
- Indonesia revoked 50 MLM licenses 2022.
- New Zealand DSA expelled 10 members 2020-2022.
Regulatory and Legal Interpretation
Despite the global legal patchwork feverishly trying to corral it, the MLM industry, as evidenced by the ceaseless complaints and constant crackdowns, persists like a tenacious weed, often confusing its right to exist with an invitation to exploit.
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