Supplement sales are up in direct sales, unless you are in network marketing. In my last blog post I guessed that network-marketing supplement sales were down as a result of much lower traffic to their websites, but I wanted to find out if I was off or not. It turns out that lower traffic to network marketing websites has definitely resulted in lower sales.

If sales are up everywhere else for nutritional products, besides price, what else could be wrong with network marketing? Why would sales be down for network marketers if they were up everywhere else? Is there something wrong with the leadership in network marketing for sales to be lower across so many companies?

According to Nutrition Business Journal the Internet and other non-network-marketing direct sales companies had a banner year in 2009. As people lost their job and benefits, they turned to preventative health, which means increases in supplements. So, once again, why are sales for nutritional supplements down for network marketing?

There are many network marketers who claim that when the economy is slow, network marketing booms.  In 2008 MLM author, Rod Cook, wrote, “When recession hits the economy, network marketing booms.” Cook even claims that during past recessions network marketing showed explosive growth.  Not so in today’s recession.

I am a small business entrepreneur.  I have made money in ventures inside and outside of network marketing.  I have many friends involved in network marketing and I am a major stakeholder in a network marketing company. I do not write this article to try to hurt network marketing. I write it to show that network marketing is not currently capturing the hearts and minds of consumers. If this trend continues, network marketing will be set back many years.

In my next post I will explore some of what I have seen across multiple companies that I believe to be hurting network marketing. I believe that government agencies can try to stop bad practices all they want, but in the end, the market corrects itself and that is what I see happening right now.