Amway aims for $16.5m from direct sales

Direct sales company Amway Romania expects sales to increase to more than 16.5 million dollars this year, up from the 15 million dollars (12 million euros) seen in 2004. The increase will be the result of new product launches and promotion of the existing product range. “The sales growth in 2005 will be largely driven by the launch of the water filtering system eSpring earlier this year. We sold about 800 of these systems in three months, which exceeded our initial estimates,” said marketing manager Teodor Dragan. He added that 40 or 50 new products would be introduced this year, including entirely new products, as well as additions to existing ranges. Approximately 35% of Amway’s sales, says Dragan, are made through the vebso virtual shop that allows distributors to consult the product catalogue and order online. The company currently has 500 products in its portfolio, including include cosmetics, nutritional supplements, home care products, kitchenware and clothing. “Amway’s most dynamic segment is nutritional supplements, which accounts for 19-20% of the total sales,” Dragan added. Amway has more than 20,000 distributors in Romania and its main competitors are Avon, Oriflame and Zepter. ZF