Boston, MA -- (SBWIRE) -- 06/25/2014 -- Direct sellers continued to feel pressure from the growing popularity of internet retailing in New Zealand, with several companies launching online platforms to capitalise on this trend. In fact, leading direct seller, Avon Cosmetics, undertook major investment in online retailing during 2012/2013. Key developments included the ability to view products on the Avon website during 2012 and the launch of an e-brochure on the Avon website in 2013. Furthermore, the company launched its own mobile app and virtual makeover tool during 2013 in an attempt to attract younger consumers.
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Avon Cosmetics was the leading player within direct selling in New Zealand with a value share of 8% in 2013. The company lost value share over the review period, falling from 10% in 2008. The company invested heavily within the online channel during 2013 in an attempt to capitalise on the trend towards internet retailing. The company launched its own mobile app and a virtual makeover tool during 2013. The tool allows consumers to upload a photo of themselves and try different makeup looks using Avon products. The mobile app also enables consumers to connect with their local Avon representatives and purchase products through them as well as view the Avon brochure on both tablets and smartphones. During 2013 Avon Cosmetics had still not instituted internet retailing on its website (or mobile app) with products only able to be viewed online. The company?s major focus is within beauty and personal care products, and it continues to sell its products through its distributor programme, using catalogues.
Direct selling is expected to come under severe pressure from internet retailing over the forecast period. The latter channel is set to perform well over the forecast period, as more consumers will engage in online shopping, a trend fuelled by the growth in smartphones, tablets and internet connectivity. Consequently, direct selling is expected to be negatively impacted by this trend as an increasing number of consumers will shift from the direct selling channel to internet retailing, due to convenience (amongst other factors). As a result, value sales growth in direct selling is expected to be modest over the forecast period.
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The Direct Selling in New Zealand market research report includes:
- Analysis of key supply-side and demand trends
- Detailed market shares for international and locally-based retailers
- Historic values, company and brand market shares
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Our market research reports answer questions such as:
- Who are the leading retailers in New Zealand?
- How important is direct selling in New Zealand?
- How is the direct selling channel being affected by the growth of internet retailing?
- What strategies are direct sellers employing to compete in a multi-channel environment?
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Product coverage: Apparel and Footwear Direct Selling, Beauty and Personal Care Direct Selling, Consumer Appliances Direct Selling, Consumer Electronics and Consoles Direct selling, Consumer Healthcare Direct Selling, Food and Drink Direct Selling, Home Care Direct Selling, Home Improvement and Gardening Direct Selling, Housewares and Home Furnishings Direct Selling, Media Products Direct Selling, Other Direct Selling, Traditional Toys and Games Direct Selling.
Data coverage: market sizes (historic and forecasts), company shares, brand shares and distribution data.
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