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By Yennifer Youssef
Published: Wednesday, March 4, 2009

That ring at your door or on your phone could be Avon calling.

Or Amway.

Or a host of other direct-sell companies, thanks to a tumbling economy that has sent thousands of laid-off and struggling workers in Metro Detroit and across the nation signing up to sell cosmetics, jewelry, cleaning products and pet supplies to help make ends meet.

Recessions have historically meant a jump in the number of people selling products person to person — that is, knocking on the doors of family and friends and hosting sales parties — though figures for 2008 are not yet available, said Amy Robinson, a spokeswoman for the Direct Selling Association.

In 2007, the association counted 15 million direct sellers with sales totaling $30.8 billion — both figures are slightly down from the year before but do not reflect the impact of the economy’s nosedive in late 2008.

“Looking at the indications, I would say yes, things are good (for direct sales companies),” Robinson said.

Michigan-based Amway Corp., for instance, has seen double-digit increases in applications to sell its cosmetics and cleaning products. Avon Products Inc. saw a 1 percent jump in sales representatives in the last quarter of 2008, and Tupperware Brands Corp.’s sales force grew by 100,000 last year.

Direct selling is an attractive option because it has no overhead and it gives sellers an opportunity to socialize and network, which could lead to a permanent job, said Charles Ballard, an economic instructor at Michigan State University.

“It makes more sense than some alternatives like staying at home and looking at the want ads,” he said.

Company applications soar

Amway, the Ada-based company that sells cosmetics and cleaning products, has seen an 11 percent jump in applications in the past year, said Jim Payne, executive vice president.

“When the economy goes bad, it does bode well for our industry,” he said. “While it’s early in the year, we see solid evidence that more people are interested (in selling Amway products.)”

Tupperware’s sales force increased to 2.3 million from 2.2 million in the past year, according to the Orlando, Fla.-based company.

And interest in selling Avon Products, which specializes in cosmetics and jewelry and boasts 500,000 representatives in the U.S., also is on the rise.

“We have seen an increase in interest, especially during these tough economic times,” said Lindsay Blaker, an Avon spokeswoman. “It’s definitely a help for people who need a second income.”

Selling Avon products has become a lifeline for Christine Few.

The 42-year-old Lincoln Park resident, laid off from her sales job at a welding company, began selling Avon in May. She earns $300 to $400 a month and uses the money to help foot the family’s food bill.

“I’ve always been sales oriented,” she said, adding she also enjoys the freedom of being her own boss and a flexible work schedule so she can take care of her two kids. “I don’t have to worry about anyone being sick because my business still goes on.”

Buyers become sellers

Rebecca Godin of Roseville started selling jewelry with Dallas-based Premier Designs Inc. in February to earn extra money so she and her husband can pay down their mortgage. She hopes to dedicate six to 12 hours a week to selling high-fashion necklaces, earrings and other accessories, besides working her full-time job as a foreman and purchaser for Phillip’s Sign and Lighting in Harrison Township.

“It’ll help me to make extra money so that my husband and I can eventually move and start a family,” said Godin, 32.

The recession has changed the scope of questions about another direct sell company, Shure Pets, said founder Andrew Shure. In the past, consumers would ask about the Chicago-based company’s line of pet products, which include botanical shampoos, canine breath mints and organic catnip. Now, they want to know how to go about selling the products.

“At first, they had a buyer mentality,” Shure said. “Now, they have a seller mentality. People who contact us are much more interested in ‘How can I make money?’ ”

Jenny Andrews, 34, of Battle Creek, is among them.

She became a consultant for Shure Pets in December after losing her job as a promotions contractor. So far, she’s held six parties, making an average of $100 per party. She’s also recruiting other sellers, earning extra money.

“I never thought I’d do it,” she said. “But it hasn’t been a hard sell on my end.”

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