FTC Lauds Establishment of the Direct Selling Self-Regulatory Council

Lois Greisman, Associate Director of the Division of Marketing Practices, Federal Trade Commission (FTC) lauded the establishment of the Direct Selling Self-Regulatory Council (DS-SRC) at the Direct Selling Association (DSA) Fall Conference in Arlington, VA.

In addition to providing an overview of the January 2018 FTC Business Guidance Concerning Multi-Level Marketing, Associate Director Greisman characterized the launch of the DS-SRC as a “really terrific step.”  She noted that DSA members are “perfectly situated to get it right and promote consumer protection” and “competition in the marketplace.”  She underscored her belief that self-regulation will benefit all direct selling companies.

Ms. Greisman outlined how the structure and independent monitoring initiatives such as the DS-SRC provide a “great framework” that have both “transparency and teeth.”  She reiterated her standing offer to continue pursuing productive dialogue with direct selling, adding that she looks forward to seeing the program in action.

DSA President Joseph N. Mariano stated that “direct selling has the responsibility to raise the bar to protect consumers, and will help the channel maintain the sharpest competitive edge for the independent contractors who are our businesses’ lifeblood.”

He added that the Association “appreciates the FTC’s acknowledgment that the Direct Selling Self-Regulatory Council is a good step forward for the channel.  The stronger the channel’s self-regulatory efforts and reputation, the better positioned every direct seller will be to compete in an increasingly competitive marketplace.”