Home » Direct sales in Lithuania grew by 16% in 2012
In 2012 the Lithuanian Direct Selling Association (LTPA) members total sales (excluding VAT) increased by 16 percent and amounted to 125.85 million LTL. Meanwhile, the number of people involved in direct selling business increased by 2 percent and reached more than 31 thousand persons.
“Having in mind the fact that last year Lithuania’s economy grew by 3.1 percent, while the total retail sales growth was only 2.7 percent, so 16 percent growth is really good result for direct sellling companies. As it was expected, the direct selling industry is recovering faster than the total retail market and reaffirms its good growth prospects in the coming years, “- says LTPA General Secretary Gintautas Zaleckas.
According to G. Zaleckass, such a rapid growth of direct selling companies sales was due to three main reasons. First, it’s due to the general recovery of state economy and more positive consumer expectations and the increased in spendings. Second, the new technologies have significantly increased the efficiency of direct selling, due to the popularity of smart mobile phones and the wide accessibility of the Internet it is possible to communicate anywhere, anytime and in various forms. Distributors can reach their customers and fulfill orders 24 hours 7 days a week, and well developed courier service network allows to deliver the goods for consumer quickly than ever. Finally, the growth of number of direct sellers has also helped companies to increase the sales.
Comparing all three Baltic States in 2012 the biggest growth of direct selling industry was in Estonia,- 19 percent, while in Latvia – 11 percent and reached respectively 102.5 and 90 million LTL. The number of direct sellers in Estonia increased by 5 percent up to 22 thousand and 4 percent in Latvia up to 26 thousand persons.