OREANDA-NEWS. March 29, 2010. Amway, a leading international direct selling company, has reviewed its year-end performance results.

In 2009, the company’s volume of sales on the Russian market amounted to RUB14.85 billion and equaled the record high level of the preceding year. In the first half-year, starting from March, the sales were shrinking with a 9% decline in May and June, but in July the "bottom" was already behind, and the second half-year saw a pronounced upward trend.

The complicated economic environment in the country notwithstanding, in 2009 the company managed to reach the pre-crisis sales level, and the fact that it has been achieved in new conditions is indicative of its business efficiency and stability.

As Amway Company General Manager Richard Stevens noted, "Last year we set ourselves an ambitious objective of sustaining the sales at a record high level of 2008. Thanks to the effort of our team we made it in full. In the first five-year period unprecedented growth rates have been achieved: from RUB1.45 to 14.85 billion. In 2010, we expect to repeat the 2009 results".

NUTRILITE™ dietary supplements became the sales growth driver in 2009, with the sales going 33.8% up, from RUB 1,195 billion to 1,599 billion. These high growth rates were due not only to product quality and a variety of products offered, but also to the improved BAS marketing environment and a new sales program recently launched. Household products (household chemicals) remained at the top of Amway product sales on the Russian market in 2009, amounting to RUB 5,184 billion. The sales of this class of goods went 1.7% up on the 2008 figure. Marketing of a composite group of personal care products decreased by 9.7%, down to RUB4,389 billion (as against RUB4,862 billion in 2008). ARTISTRY™ premium class cosmetic sales volume fell by 17.7% (from RUB 2,711 to 2,232 billion).

At the 2009 year-end, the total number of active IBOs was 1,043,170, or 44.4% more than at the start of the year, while compensations paid to them totaled RUB 4,208  billion.

Amway Company maintains its investment in Russian business development in full. The bulk of it is earmarked for the reconstruction, modernization and development of regional retail networks, logistics centres, and for the continuing effort to implement an integrated information system of corporate control and services to Independent Business Owners (IBO).

In the near future, like in the preceding years, the company will be expanding its sales market and launch new brands. In February 2010 the company has already entered a strategically important cosmetic product in the masstige segment (masstige is an upper medium segment) into the market. A new skin care and colour cosmetic line, beautycycle™, is designed to become a really popular product.

According to Richard Stevens, "Sustained financial performance and the high level of trust on the part of IBOs and consumers of Amway products give us confidence in the company’s future and its strong position on the Russian direct selling market".