Global biggies foray into the direct-selling industry

The Rs 3,330 crore direct-selling industry in India is set to see an intense action as domestic and global majors such as Nu Skin, Burlington, Salad Master and Golden Warp plan to start direct-selling operations in two years. “The Indian market is clearly a growth story in every sphere of economic activity. We receive more than three membership enquiries every week,” says Chavi Hemanth, Secretary General, Indian Direct Selling Association (IDSA). The market, which grew 17 percent during last year, is led by Amway India, a Rs 1,407 crore company. Targeting to become a Rs 2,500-crore company by 2012, Amway India officials feel that more competition will help in the progress of the industry. “Competition is good. It improves products quality, services and gives numerous options to the consumers. So, we are looking forward to new entries because there is definitely scope for more players,” says William S Pinckney, MD and CEO, Amway India.