61st Edition – June / July 2020

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2019 Direct Selling Business Results

2020 Global Philanthropy Report of the Direct Selling Industry

World
Congress XV I

WFDSA Update

DSA of Brazil Update

Colombian DSA Update

Hong Kong DSA Update

DSA of Peru Update

DSA of Poland (PSSB) Update

US DSA Update

WFDSA Board of Delegates

DSA Reminders

Updates and Information

WFDSA Board of Delegates – October 1, 2020

WFDSA CEO Council Meeting – October 30, 2020

DSA of Poland (PSSB) Update

At the end of last year, PSSB launched the PSSB Academy in order to provide an extra benefits to its members, which originally intended to provide four webinars
a year on various topics and to be conducted by leading Polish coaches and motivation speakers. The webinars would be open to all sellers either selected by member companies (winners of internal competitions, best leaders etc.) or would be available to their
independent representatives at large.

The arrival of the COVID-19 pandemic in early spring this year made the Association change its original plans while considerably enhancing the significance
of the project. The PSSB Board quickly resolved that the number of webinars should increase and that their topics should reflect the new situation and needs of the sellers.

In March, the first three webinars were devoted to topics such as crisis management uncertainty, interpretation of a whole series of new legislation acts
designed by the authorities to neutralize some of the negative effects of the pandemic..

Due to the growing demand for knowledge of online techniques of starting and running a business, the DSA launched in May a year-long course titled “How to
Build a Successful Business On-line” comprising of thirteen one hour modules devoted to topics such as “What is a personal brand and why to build it in social media”, “Selected archetypes of personal brands and matching them to one’s talent and skills”, “Key
steps to selling and recruiting in social media” amongst others. The course is personalized for each individual as they received personalized e-mail with special motivational messages, exercises and workshops. Participants can join the course at any given
time prior to May 2021 and have up to twelve months to complete the course. Graduates are honored with special certificates upon completion of the course.

The course is already popular among the independent representatives of DSA member companies. At the end of May, more than five thousand independent representatives
already joined the course and several of them already completed the course and received their certificates.

US DSA Update

DSA’s 2020 Growth & Outlook Survey

Topline data from US DSA’s
Growth
& Outlook market-sizing survey was unveiled on June 4 by DSA President Joe Mariano at Engage. DSA’s Industry Research Committee will present a deeper dive
into the data and analysis from this year’s survey in mid-June. The full report will be delivered in July (focusing on Coronavirus and its impact on the future of the direct selling channel, exploration of what will be the permanent lasting impacts of Coronavirus
on the industry, actionable recommendations for how to navigate the challenges the pandemic poses, and an industry forecast along with scenario planning).

Coronavirus QuickPulse Research

In March, DSA began fielding bi-weekly Coronavirus “QuickPulse”
tracker surveys. These short pulse surveys are designed to help direct selling companies better understand the business impact, industry outlook, and navigate challenges posed by Coronavirus on a regular basis. This survey also generates detailed examples
of actionable tactics, strategies, even some pivots where direct selling companies are finding success. The objective of this research is to help us learn from each other so that we can make it through this pandemic together, hopefully stronger than before.
We shared this pulse survey with WFDSA’s Global Research Subcommittee so that this survey was fielded in other markets around the world.

WFDSA Board of Delegates

The WFDSA Board of Delegates virtual meeting will take place on October 1, 2020 from 9:00 a.m. until 12:00 p.m.(US ET)

More details will follow shortly.

For more information, please contact: Maureen Paniagua at:
mpaniagua@wfdsa.org

WFDSA CEO Council

The WFDSA CEO Council virtual meeting will take place on October 30, 2020 from 9:30 a.m. until 1:00 p.m.(US ET)

More details will follow shortly.

For more information, please contact: Maureen Paniagua at:
mpaniagua@wfdsa.org

Legal Compendium

Has your DSA submitted their legal compendium update to
mpaniagua@wfdsa.org

Global Threat Report

Are you updating the global industry threat report and providing this as a tool to your members? Click Here for the online threat report:
https://www.wfdsa.org/legal_reg/

DSA Videos

Does your DSA have any new videos that you want to share with us? Please forward to
mpaniagua@wfdsa.org
so we can share them to DSAs.

Global Code of Ethics Recognition Program

Is your DSA and your members participating in the Global Code of Ethics Recognition program please visit
https://wfdsa.org/code-of-ethics-recognition-program/
for full details or contact Maureen Paniagua at mpaniagua@wfdsa.org

Current Direct Selling Laws

Has your DSA provided a link on your respective website to current laws? Please remember to include the link on your website, as it is a DSA Standard requirement
to maintain Silver level DSA or above.

Reminders

Just a reminder to allow mail from News from WFDSA to safely come into your inbox without being placed in your junk or spam folder by adding
mpaniagua@wfdsa.org and
news@wfdsa.org
to a safe senders list within your email client or Internet security software. DSAs also please remember to forward the news to your member companies – we would not want anyone to miss out on exciting news!

2019 Direct Selling Business Results

Dear Colleagues:

We are pleased to report that worldwide retail sales showed a year-over-year increase of 1.4% with all regions around the globe showing increases in sales
versus 2018. Global results, including China, resulted in a sales decrease of 4.3%. The industry is growing at a healthy pace with 5 year Compound Annual Growth of 2.3% (excluding China) and 1.6% Globally (China Included).

Global sales force is at 119.9 million independent representatives/distributors, slightly down from 2018. This figure includes over 59 million Independent
Representatives who are actively working to build their direct selling businesses either as a full-time career or part-time to earn supplemental income. It is important to note that over 40% of Direct Selling markets are now reporting inclusion of Preferred
Member programs by their member companies. Many of those joining Preferred Customer programs would previously have joined as independent representatives primarily to access discounted products. We expect to see this trend continue as these programs develop
further, which ultimately provides a clearer view of those intending to participate for additional income.

Thanks to each and every one of you who assisted with the annual survey, at companies and DSAs globally! It takes a cast of thousands to size the direct
selling industry annually. Your efforts and participation are essential.

Global Statistics can be found on the WFDSA website at:
https://wfdsa.org/global-statistics/

Please note: During Q1 of 2019, the Chinese Government implemented a 100 Day Review of the nutrition supplement industry. While this action was not related
specifically to the direct selling industry, it had a significant impact on certain sectors of the industry

WFDSA Global Research Sub-Committee

Mark Menatti, Co-Chair (USANA), Josephine Mills, Co-Chair (Shaklee), Tim Sanson, Segmentation Co-Chair (Herbalife Nutrition), Bob Bass (Amway), Michaela
Beltcheva, Paul Bourquin (Nathan Associates), Ben Gamse (US DSA), Leonidas Gomez (Natura), Jeff Kaufman (Isagenix International), Marie Lacroix (Seldia), Mark North (NuSkin), Todd Wakefield (NuSkin), Monica Wood (Herbalife Nutrition), Garth Wyllie (DSA New
Zealand).

2020 Global Philanthropy Report of the Direct Selling Industry

WFDSA is pleased
to present the results of the 2020 Global Philanthropy Report of the Direct Selling Industry. Please refer to the full report on the WFDSA website
at:
https://wfdsa.org/initiatives-and-resources/publications/

World
Congress XVI

The World Congress (WC) titled “Tomorrow is Now” has been postponed until October 6-8, 2021 in Bangkok, Thailand due to the current pandemic. Please register
now online at https://www.wfdsa2020bangkok.com/registration before
the early bird rates expire on November 11, 2020.

Please refer to Executive Director Tamuna Gabilaia message below:
https://www.youtube.com/watch?v=DJgIWs74Ev0&feature=youtu.be

WFDSA Update

World renowned artists of Song Division (https://songdivision.com/service/virtual-happy-hour/)
who will be entertaining us at the World
Congress XVI in
Thailand in October 2021 recently held virtual happy hours as a WFDSA effort for DSAs (Asia / Pacific / Middle East, Latin America and US DSA) and their members to keep us all connected and positive as we navigate thru the global pandemic.

Thank you Song Division!

WFDSA continues virtual calls with DSAs in each region (Asia / Pacific / Middle East, Latin America, Europe / Africa) several times per month to exchange
information and discuss various direct selling related issues. WFDSA will launch a webinar series in August.

DSA of Brazil Update

Since the pandemic began, the Brazilian DSA has produced more than ten webinars focused on promoting direct selling as a channel which generates entrepreneurship
during various economic conditions. The webinars help spread information about direct selling opportunities and also engage member companies on various topics such as ” How to Encourage the Independent Representatives”,” How to be an Entrepreneur in times
of the Pandemic”, “Economic Measures and Impacts in Direct Selling” and “Ethics in Direct Selling”.

The DSA has also been actively collaborating with the government authorities to position direct selling as the sector to help reactivate the country’s economy. The
DSA in partnership with SEBRAE (Brazilian Service of Support for Micro and Small Business Enterprises) developed a protocol for the reopening of the economy, specifically for the direct selling industry and independent representatives which was presented to
the State of São Paulo government and also was mentioned in several State laws.

Colombian DSA Update

The Colombian DSA has ramped up the frequency of the data collection and reporting to provide insights on the impact of the coronavirus on the direct selling
industry on a biweekly basis, The results are analyzed by the Crisis Committee and are reported back to the members. The DSA also continues conducting the quarterly survey on national net sales and number of active direct sellers.

The Colombian DSA continues participating in the complimentary US DSA #StrongerTogether webinars in order to share the latest updates to its members.

The Colombian DSA continues to be the watchdog for the industry with regarding to the highest ethical standards in the marketplace. For the second year in
a row, the DSA has achieved the Gold participant status for the Code of Ethics Recognition Program.

The DSA also publishes a monthly industry magazine which includes various topics such as DSA and company activities.

DSA continues promoting the industry with the release of the second video about the advantages of direct selling: https://youtu.be/KL8JZaixXrw

Hong Kong (HKDSA) DSA Update

HKDSA is actively involved in the local charitable campaigns and participates in the various charitable organizations / activities. The recent pandemic has
impacted the lives of many children who have to stay at home. HKDSA prepared the learning kits which include educational materials designed to support small children and enhance their fun learning experiences at home.

HKDSA and their member companies prepared gift packs including face masks, food and other protective supplies for the students and families from the TWGHs
Wan Chai Kindergarten during these times.

HKDSA also created beautiful cards designed by the children demonstrating their amazing creativity. The cards were sent along with the learning kits and
gift packs for these two campaigns, to generate a positive vibe, cheering up and encouraging everyone to staying hopeful during this difficult time!

DSA of Peru Update

DSA of Peru has been actively supporting and communicating with their member companies during the pandemic. As a result of the DSA cooperation with the government authorities, member companies were able to register their
plan in the Integrated System for COVID-19 (SICOVID-19). Therefore, since early June member companies have authorization from the Ministry of Health to operate in the marketplace.

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