Women sold on selling at home

The Record (Hackensack N.J.) (MCT) - Women historically have turned to direct sales to temporarily boost the family income or to bridge the gap between full-time jobs. But as the economy deteriorates, many are finding these jobs lucrative and worth keeping.

Direct sales _ home-based selling suggesting the Avon lady or candle parties _ is entrepreneurial in nature, with earnings that depend on one's drive, personality and sales savvy.

"Women will come and go in this business," said Sheila Richards, a Butler, N.J.-based zone manager for jewelry designer lia sophia in Wood Dale, Ill., "and some women see the big picture and will build it big."

Women do about 90 percent of the selling within the $30.8 billion direct-sales market, hawking clothing, cosmetics, jewelry and skin care. Direct-sale companies say the tough economic times are increasing their sales force and their revenue as more women with professional backgrounds seek extra income.

Casuals Etcetera Inc. in New York City, direct-sales designer of the upscale Etcetera clothing line sold out of the homes of its sales consultants, has seen "huge increases" in sales force and sales, said President Mary Alice Heape.

"We have more women leaving professional careers," Heape said, "corporate careers (such as bankers, lawyers and physicians) that are very structured. They want more control over life and time."

The company initiated a push in July to expand its sales force by 60 in 16 states, including New Jersey. Etcetera's New Jersey and Pennsylvania sales force has grown 90 percent over the last five years, said Heape.

Like other direct-sales businesses, the starting costs are low compared with buying and opening a franchise. Women invest $1,250 for display hardware, sketchbooks, fabric swatches, color brochures and invitations but can recoup that selling their first 30 clothing items, said Heape.

"There's very little risk involved," she said. "In this economy, that's a very attractive structure."

Top sellers can make six-figure salaries, said Heape.

Patricia Accavallo, 44, of Wyckoff, N.J., said she took over another Etcetera sales consultant's business initially for the money.

Accavallo gets a seasonal clothing line on loan for a week six times a year. From her 75 to 80 clients, she makes appointments for them to view it individually and places orders.

When she started, she sold about 50 pieces a season. Now she sells between 200 and 300. Pants and skirts run from $170 to $250, and jackets and coats from $275 to $425.

Sandy Valdes, a stay-at-home mother of three from Lincoln Park, N.J., didn't start selling food, cooking tools and accessories for Tastefully Simple Inc. six years ago because she needed the money.

"It was just to have a little something on the side to keep me busy," she said.

What changed is that she renovated her home, gave birth to her third child and found she could make more money than she expected by coordinating food parties at other women's homes.

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As a result, Valdes has moved up the ranks to team leader so she could sponsor and train other sales consultants. She sells on average about $100 per party and the Alexandria, Minn.-based company pays her 20 percent to 30 percent commission, she said.

In addition to the supplemental income, Valdes said, she continues with the business because there's a demand for the products, she can boost her earnings by hosting more parties, and she has the flexibility to work around her family.

Amy Robinson, vice president of communications and media relations for the Direct Selling Association in Washington, D.C., said there are growth surges when there's a recession. That's because people turn to direct sales for the supplemental income. Most items are non-necessity items that sell for moderate prices.

"People don't necessarily forgo those items, and in fact, people will increase those products," she said. "They can be a little pick-me-up or a little luxury."

It was a $15,000 water problem in her Butler, N.J., home and then an $11,000 fencing project in early 2006 that made Danielle Syracuse turn to lia sophia. Within a year and a half, she earned enough selling part time to pay for both in cash.

"It's been a blessing because we knew it was going to take much longer than that for us to save," she said.

After attending a friend's lia sophia party, Syracuse applied as a sales consultant. The company appealed to her because it provided training, ongoing support and a free starter kit of jewelry.

"The big thing was not having to invest because I didn't have the money," she said.

Syracuse, 41, who has run a home-based day-care center for 12 years, earned $26,000 her first year by coordinating four to six parties a month _ two to three times the national average.

Her income doubled her second year when Syracuse was promoted to unit manager, and she has maintained that salary since then by building a team of 47 sales consultants who live as far south as Edison, N.J.

Syracuse points out that in northern New Jersey, average earnings per party are $775 and higher than the national average of about $700, a high profit margin considering almost 250 of the 500 items sell for less than $35.

The earnings enabled Syracuse to hire an assistant for her day-care business, but there are also simpler reasons she continues to sell.

"Day-care is sweats and a T-shirt and no makeup," she said.

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