The party plan is a method of marketing products by hosting what is presented as a social event at which products will be offered for sale. It is a form of direct selling. The primary system for generating sales leads for home party plan sales is the home party itself: the salesperson uses the home party business model as a source for future business by asking attendees if they would like to host selling parties, too.
Direct selling through the party plan typically uses multi-level marketing (salesperson is paid for selling and for sales made by people they recruit or sponsor) rather than single-level marketing (salesperson is paid only for the sales they make themself).[1]
This plan has been used primarily to sell items whose main appeal is to women by women, such as kitchen utensils, home decor items, jewelry, cosmetics, handbags, and similar products.[2] Recent additions to the field include lingerie, wine, and sex toys. Sometimes a combination party is held, at which a wide variety of such merchandise is offered for sale.