Direct approach pays off for Czech sales

Direct sales in the Czech Republic have been thriving, despite door to door sales being prohibited in some municipalities, the daily Hospodářské noviny reported. The upturn in business has been mainly driven mainly by the good economic situation in the country.

Photo: Czech Television

According to the data released by the European Direct Selling Association (SELDIA), direct sales in the Czech Republic have grown faster than elsewhere in Europe. Last year’s turnover of direct sales companies increased by six percent on the previous year, compared to EU average of three percent.

At the moment, some 288,000 Czechs are actively involved in direct selling. Karel Havlíček from the Association of Small and Mid-sized Businesses told the daily Hospodářské noviny that a growing number of Czechs are engaged in direct selling alongside their main employment.

The biggest direct sales companies in the country, associated in the Czech Direct Selling Association, include Amway, Herbalife, Mary Kay, Just Oriflame, Vorwerk, Nu Skin, Zaren and Party Lite. Other major players are Avon and Zepter. Last year, the companies’ overall turnover reached 6.8 billion crowns.

Ildiko Dikošová, the head of Czech Direct Selling Association, thinks direct sales are attractive mainly due to the flexibility offered.

“In today’s anonymous age, some customers also appreciate personal contact with the seller,” Dikošová told the daily.

According to Katarina Molinová, head of the European Association of Direct Selling, sellers are also trying to reach new clients through Facebook and other social media. Door-to-door sales are currently regulated on state level, but the European Commission has been considering blanket regulation for the whole of EU.