Country Overview
Italy ranks eighth in the world’s economies and fourth in Europe, after Germany, the United Kingdom and France. It’s a member country of all major international organisations: European Union, NATO, G7, G20, the Council of Europe and the OECD. It also boasts an extensive presence of United Nations structures throughout the country: Rome is home to the FAO, the Food and Agriculture Organisation of the United Nations, the World Food Programme (WFP) and the International Fund for Agricultural Development (IFAD).
The territory is divided into 20 regions, with a total resident population, as of 1 January 2024, of about 59 million. Its capital is Rome, which is also the largest city in the territory, with a population of over 2.7 million and a surface area of 1.287 km2.
In Italy you will find some of the world’s major tourist attractions and more than 50 UNESCO World Heritage sites. It is ranked the fifth most visited country in the world.
Some Figures
Total surface area: 302,073 square km
Population density: 195 inhabitants per square km.
Unemployment rate: 7.2% (as of January 2024)
GDP: 2.085.376 million euros (2023)
Largest cities: Rome, Milan, Naples, Turin, Palermo, Genoa, Florence, Venice and Verona
Direct Sales in Italy
The first example of ‘door-to-door’ sales in Italy dates back to 1938, when the German company Vorwerk, founded in 1883 in Wuppertal, started selling its Folletto vacuum cleaners in the country. Since then, the industry has expanded into a robust pillar of the nation’s economy, maintaining stability also throughout the pandemic era and persistently provided tangible employment opportunities.
According to the data released in 2023 by the WFDSA (World Federation of Direct Selling Associations), referring to 2022, Italy ranked the third in Europe in terms of turnover generated by direct selling, with a revenue of almost 2.9 billion dollars and an increase of 3.9% compared to 2021.
There are two direct selling associations in Italy: Univendita and Avedisco.
Univendita was founded in 2010 and since then, has been an active member of Confcommercio Imprese per l’Italia (the national confederation that brings together companies, professional activities, and self-employment). At the European level the association is a part of DSE (Direct Selling Europe).
Univendita represents companies that are the biggest in terms of incomes and longevity in the Italian market. They are both national and multinationals that make greater use of party plan and door-to-door sales methods. In 2023, the member companies achieved a total turnover of 1.6 billion Euros, up 2.1% compared to the previous year.
The total sales force of Univendita members stands at more than 138,000, with a further increase in the presence of women (+4.6% in 2022) to 91.5% of the total. From this perspective, the association has fulfilled an important role in promoting female empowerment and entrepreneurship.
Top selling product categories in 2023:
Household Durable Goods: 719.000 €
Food: 411.000 €
Cosmetics and body care: 266.000 €
Household Consumer Goods: 115.000 €
Avedisco was founded in 1969. At the European level it is a member of SELDIA (European Direct Selling Association). It is also member of the WFDSA (World Federation of Direct Selling Associations). Today, Avedisco’s members are mainly national and American multinationals that mostly use multilevel marketing approach.
Italian Legislation
Direct selling in Italy is regulated by Law No. 173 of 2005 (Regulation of direct home sales and consumer protection against pyramid selling). The law regulates the modalities for the direct selling and establishes the requirements for accessing the activity for both direct sellers, self-employed and employed. It also defines the activity of the direct seller and the relationship with the company: terms of the appointment, remuneration, etc.
There are four ways to carry out direct selling activities:
- on an occasional basis, with an annual income not exceeding 5,000 €
- on a habitual basis, with an annual income exceeding 5,000 €
- as a commercial agent (agency)
- as an employee.
This activity can only be carried out by people who possess the moral requirements of accessing and exercising commercial activities.
Article 5 of the Law No. 173 of 2005 prohibits in Italy all forms of pyramid selling schemes and chain letters or games. The authority responsible to control this illegal form of selling is the Agcm (Competition and Market Authority), which has on several occasions, fined those companies for running a pyramid scheme. The Agcm is also responsible for countering the use of unfair or deceptive commercial practices by companies against consumers. These misconducts are prohibited under the Consumer Code (Articles 21-26).
Study on the Development of Direct Selling Profession
On September 2023, Ipsos presented its European research on direct sales. The survey, in the section covering the Italian market (a sample of 9,712 people), showed a high satisfaction rate within direct sales, first for the training tools that companies offer to their sales representatives: 92% said they were satisfied with the theoretical and practical tools made available to them.
Among the main skills acquired by the employees, there are the strengthening of interpersonal skills (87%), the increase in self-esteem (83%), and the improvement of the ability to work in a team (80%), which are added to the benefits of additional income (83%) and above all, the knowledge of new people (92%). The same research shows that 67% are under 55 years of age and a third are under 45. Moreover, 82% of the sample is female.
According to a study of the University La Sapienza of Rome, commissioned by Univendita and presented in March 2022 in Rome, both men and women appreciate the flexibility of working hours, which makes possible balancing private life and work. At the same time, they are attracted to the creative aspect of the relational contact with the client and to the opportunity of increasing income based on merit and results.
59% of them said they have been in the industry for more than six years; 36% of the respondents said they look for personal satisfaction (working for a company they appreciate, growing relationships) and another 36% appreciate organizational autonomy.
Trends
After successfully overcoming the crisis caused by the pandemic, direct sales have restarted in Italy with even more energy, also with the help of new technologies. At the same time, the simultaneous presence of the salesperson and the customer continues to be a distinctive feature of this sales model and guarantees continuous business development. Party plans and home visits are an increasingly ‘glamorous’ sales method, so much so that some fashion companies are looking closely at this distribution model. Autonomy and flexible methods are advantages that convince more and more people to join direct selling companies, a trend that contrasts with the large-scale resignation trend that is characterizing our times.
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Written by Ciro Sinatra, President of Univendita. Ciro Sinatra is the Director of Public Relations and Legal Affairs at Vorwerk Italia. He is also a member of National Council of Confcommercio, member of the General Council of Applia Italia (association of manufacturers of domestic and professional appliances), and member of the Assembly of Delegates of Enasarco (national agency assisting agents and sales representatives). In 2013 he was appointed as the President of Univendita.
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