Nu Skin gains wider direct selling approval in China
China and Asia increasingly important as US business declines
US company Nu Skin Enterprises says it has received official notification from the Chinese Ministry of Commerce of its approval to start direct selling activities in four additional provinces and one municipality in mainland China: Zhejiang, Guizhou, Sichuan, Shandong and the municipality of Tianjin.
Nu Skin says this is its fourth round of licenses in the country, adding to existing approvals in Beijing, Shanghai and Guangdong.
“We are pleased with the receipt of these additional approvals which will allow us to augment our existing business model in these provinces with a direct selling component,” says Truman Hunt, president and ceo. “Our business in China is growing at a robust rate, thanks to a dedicated sales force working closely with management and staff, and we look forward to continued expansion in this key market.”
Last month Nu Skin announced first quarter revenue up 9% to $395m.
"Our overall geographic diversity contributed to the impressive quarter. Revenue was particularly strong in mainland China and South Asia/Pacific, which generated local currency growth rates of approximately 45% and 30% respectively. South Korea and Europe were also solid performers in the first quarter. We anticipate that our US business will report a decline of approximately 10%, partially due to a difficult comparison with the prior-year launch of ageLOC Transformation, while Japan revenue is expected to decline 7%, which includes the negative impact from the natural disasters," said Hunt.
