The MLM business in Italy has shown rapid growth in recent years and the country now ranks third among the leading network marketing markets in Europe. But what factors contribute to this growth in the MLM industry, and what legal regulations should be considered for successfully running a network marketing business in the Italian market? Let’s explore.
Economic dynamics of Italy
Italy is known as one of the most culturally and economically advanced countries in the world. The country has a steadily growing social market economy, which ranks third in Europe and eighth globally in terms of GDP.
In April 2024, Italy’s GDP reached over $2.3 trillion, with a per capita GDP of $39,580. According to data from the National Institute of Statistics of Italy, the country’s GDP is expected to grow by 1.1% in 2025.
Italy boasts a well-developed services sector, accounting for 65% of its GDP. A major part of this sector is tourism—Italy ranks 5th in the world for tourist visits, with 12.6 million tourists visiting the country in January 2024 alone. Additionally, the industrial and trade sectors make a significant contribution to the country's economy, comprising around 23% of its GDP.
As for the country's population, according to the World Population Review, it currently exceeds 59.2 million people. Research by Statista shows that about 15% of Italians are looking for ways to earn extra income online, and more than 60% of the population prefers online shopping. These trends create favorable conditions for the growth of the MLM business in Italy.
Features of the MLM industry in Italy
Network marketing in Italy is a vast market, rich in a variety of products and services. It is currently one of the largest in Europe in terms of growth rate and openness to new projects.
According to the World Federation of Direct Selling Associations (WFDSA), the sales volume of the MLM business in Italy is growing at an average annual rate of 1.2% and has already exceeded $2.9 billion. This figure represents 8.3% of the total sales in the European market.
There are currently around 1,000 MLM companies operating in the country, and over 650,000 Italians are working as independent distributors for these companies. Analyzing demand among the local population, we have identified the most popular product categories in Italy's network marketing market:
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food products – the leading category, with revenues exceeding $484.29 million.
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cosmetics – revenue from natural cosmetics has increased to $364.8 million.
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clothing and accessories – this category accounts for 7% of the MLM business in Italy, or $202.37 million.
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energy products – a category with a profit of $177.64 million, showing a 19.8% increase compared to the previous year.
Network marketing in Italy is strictly regulated by legal norms and rules. The country has the Association of Direct Sales (AVEDISCO), whose primary goal is to protect the rights of consumers and distributors. To foster the development of the industry, AVEDISCO also represents the interests of both Italian and foreign MLM companies in the country.
On August 17, 2005, the Italian government introduced the "Law on the Regulation of the Direct Sales Market and Consumer Protection from Pyramid Schemes." This law established the rules for conducting MLM business in Italy. It outlines the specific taxation features of network projects, the conditions for profit distribution to distributors, and the requirement for all partners to have identification cards.
Italian law also stipulates that distributors in the country are not classified as "direct sellers." Instead, they are considered intermediaries known as "demonstrators." According to Italy's Direct Sales Law, demonstrators do not purchase products for resale. Rather, they seek potential consumers and establish a connection between them and the manufacturing company, earning profit from bringing in the buyer.
Тop MLM companies in Italy
In the Italian network marketing market, globally renowned MLM companies such as Tupperware, Avon, Vorwerk, Herbalife, and others are successfully growing. However, today there is also notable growth among Italian MLM companies:
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Chogan
Website - chogangroupspa.com
Specialization: health, decorative and skincare cosmetics, perfumery
Chogan Group is the largest Italian MLM company, founded in 2013. According to Chogan, their goal is to create high-quality products at an affordable price for everyone. The company offers products based on natural ingredients under the brand names Brilhome, SuppleFit, Aurodhea, Peptilux, and Olfazeta. Chogan is gaining popularity in Europe and South America, and in 2022, their sales volumes grew by 28%, reaching $101 million.
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Snep International
Website - mysnep.com
Specialization: food, cosmetics, bioactive supplements
Snep SpA was founded in 2014 by Italian entrepreneur Giorgio Burgalassi and is now well-known in all European countries. The company develops innovative products for beauty and health. According to Snep, new products are introduced to the market only after rigorous laboratory testing to confirm their effectiveness and quality. Distributors are the most valuable asset for Snep, having the greatest impact on their growth. In 2022, Snep revenue increased by 35%, reaching $54 million.
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Evergreen Life
Website - evergreenlife.it
Specialization: skincare, body care, dietary supplements, health
Evergreen Life Products is an Italian MLM company founded by Livio Pezle in 2010. The company's development began with the creation of an olive leaf extract OLIVUM and a dietary supplement OLIFE based on it. Later, the product range expanded to include body care products and health products based on OLIVUM. Evergreen Life claims that their primary goal is to support people's health and financial well-being. By uniting more than 40,000 distributors, the company achieved revenues of $26 million in 2022.
Summary
Network marketing is a highly promising industry in Italy, offering great opportunities for both scaling existing MLM businesses and launching new projects. However, the intense competition requires a careful approach to product selection and the creation of an attractive compensation plan. Only by choosing the right product, developing a well-structured rewards system, and complying with all legal requirements will you be able to successfully grow your network marketing business in Italy.