Direct Selling Model Still Not Understood

Former Wall Street Analyst Speaks Out Douglas Lane, named as The Wall Street Journal’s “Best on the Street” five times and a four-time Starmine Analyst Award Winner, responds to the attack on direct selling companies by some financial press over the summer months. In an article published in September 2012 Direct Selling News, titled “Direct Selling: Capitalism at its Core,” Lane describes why he is “bullish” on direct selling.

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(PRWEB) September 26, 2012

Douglas Lane, named as The Wall Street Journal’s “Best on the Street” five times and a four-time Starmine Analyst Award Winner, responds to the attack on direct selling companies by some financial press over the summer months. In an article published in September 2012 Direct Selling News, titled “Direct Selling: Capitalism at its Core,” Lane describes why he is “bullish” on direct selling.

Lane points out that direct selling, at its most simple level, is a distribution system with two components: 1) products that are sold directly to consumers via an independent salesforce, and 2) the money the salesforce makes as a commission on the product sales.

Multiple sources in the financial press have recently criticized companies such as Herbalife, USANA, Nu Skin and even privately-held entities such as Mary Kay without understanding the model. Short sellers may have actually capitalized on this lack of understanding by spooking the investment community to drive stock prices down. Lane provides facts and definitions, revealing strengths behind a business model that has withstood over half a century of intense scrutiny by multiple branches of the federal government.

About Direct Selling News

Direct Selling News is a monthly publication servicing the direct selling industry and network marketing executives since 2004. Each issue of Direct Selling News offers content on topics that shape the dynamics of our industry. Direct Selling News also conducts the most comprehensive annual ranking of the world’s direct selling companies.
Visit the Direct Selling News website at http://www.directsellingnews.com.

Contact: Meridith Simes                            
Vice President of Marketing and Events
msimes (at) videoplus (dot) com


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