Network Marketing in South Africa

Abstract

In global terms the Network Marketing (NWM) industry continues to experience rapid growth. Indeed, in South Africa the absence of a need for high levels of infrastructure support and the fit with elements of traditional African culture, combine to make NWM one of the most significant avenues for growth within the post-apartheid economy. It is therefore the purpose of this article to explore consumer perceptions of this category of organisation. The study is based on a series of 471 personal interviews with South African consumers. Perceptions of current customers were found to differ from non-customers and use of the statistical technique CHAID revealed distinct groups of attitudes related to purchasing behaviour. The implications of these findings for NWM strategy are explored.

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