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More women are turning to Direct Selling for extra cash

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Lawton_Chatting up friends...A fabulous dinner...Some shiny, new jewelry. For millions of women, It isn't just a girls' night out...it's work! With the economy floundering and unemployment on the rise, ladies across the country are banking by selling products from home. 7News Reporter Lindsay Vocht took a look at a house party where some ladies are trying to improve their bottom line by using the direct approach.

Direct selling. It's peddling the products and taking a cut of the proceeds. You can sell everything from cookware to scrap booking supplies to pet products. And the women who do it said it's not just the extra cash in their pockets that they love ... It's also the flexible schedule.

A trendy necklace here, some shiny gemstones there..."Shiny is my favorite." "I love these long pearls that I have on," said Shannon Bambara. She was laid off earlier this year so, she polished up her silver and her sales pitch!

Shannon became a direct seller with Silpada Designs, a jewelry manufacturer. She peddles the company's products at house parties...then takes a cut of the proceeds. "An average Silpada party retails about $950, which means I take home 30% of that, which would be around $285. And typically that's only in a two hour period," said Bambara.

Now...she said she's "sold" on direct selling. And she's not alone. While there are no statistics for this recession, history shows that during bad economic times, more women turn to home parties as a way to help fill the income void.

And according to the Direct Selling Association, these days it's more than just jewelry and makeup... "some of the things that are sold through direct selling that you might not initially think of include pet supplies, scrapbooking supplies, organic gardening," said Amy Robinson from the D.S.A.

Even clothing! The average seller works part time and earns about 200 dollars a month. But for those who choose to sell full time...there's the potential to earn up to six figures. "And as for the non-financial motivations, you have people who are interested just in the social aspect of it," said Robinson.

At Mary Kay Cosmetics, Rhonda Shasteen said her sales reps love being able to help put some gloss on these tough economic times. "A woman may not be able to go out and spend $100 on a new dress or a new leather handbag, but she can certainly afford-- and will spend-- $13 or $14 on a lipstick that will help brighten her day," said Shasteen.

And keep her looking good! Nicole Robinson works in the pharmaceutical industry but wanted to pad her family's savings. She loves the flexibility of her Mary Kay career. "I decide when I'm going to hold appointments, when I'm going to make my extra money, how much I want to make," said Robinson.

But, before you sign on, experts said...investigate the company thoroughly. Call and ask questions ... "including what does it cost to get started? Is there a buy back policy if you decide the business isn't for you?," said Robinson.

Shannon said her business selling silver has turned solid gold profits. She was recently offered the chance to work her old job part time...and can now pay for daycare easily. "The extra money that I'm making will go to that but also for things like car payments and credit card payments," said Bambara.

And a paycheck isn't the only perk. Many companies offer free merchandise based on sales numbers ... Employee discounts ...  And compensation for recruiting other members.

The D.S.A. looked back over the last 20 years and found that during recessionary periods, there was an average decrease of about 3.3 percent in retail sales. However, during those same periods, there was growth in direct selling of about 5 percent.

And if you're interested in direct selling you can log on to dsa.org. There you'll find a list of all the different companies that offer direct selling.

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