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Monday, January 21, 2013

What is Network Marketing?


Network Marketing, also known as Multi-Level Marketing (MLM) or Direct Selling is a legitimate business model that uses direct selling and relationship referrals as a method of selling a company’s products or services. In a typical networking model, individual associates (often referred to as distributors) essentially contract or act like a franchisee to the parent company and are paid a commission based on the volume of product or services that are sold as a result of their own organisation’s efforts.


Network Marketing is a SECURE Industry as it’s first growth boom which has already happened has established the Network Marketing industry in over 50 countries. This has been the result of and been driven by some major trends.

“Direct selling or Multi-Level-Marketing is actually one of the oldest, most respected business models in the world and has stood the test of time.”
                                                               -Donald TRuMP, Billionaire Businessman

Why Would Companies Choose to use the Network Marketing Distribution Model?

There are a number of reasons why many companies are now choosing to use this increasingly popular business model. Firstly, it allows start up companies to build a customer base through referrals without having to try to outspend their competitors advertising budget. Essentially network marketing levels the playing field and allows small businesses the same opportunity as their competing international heavy weights. It also allows the manufacturing company to build a relationship direct with their customers creating better customer satisfaction and loyalty. Selling direct to the customer and bypassing the middleman also helps the customer to save money (without compromising quality), which additionally makes their products more appealing.

Instead of using the traditional method of manufacturing and delivering their products, MLM companies choose to bypass the middleman, selling direct to the customer. They use referrals and a word-of-mouth approach to develop their customer base as opposed to a large advertising budget and as such the money that would normally go to the middleman and advertising can now be used to reward business operators (distributors) a commission for helping the company to make a sale.

WHY MULTI-LEVEL-MARKETING an OPPORTUNITY?

Because it is the best way an average person can build assets in order to have financial freedom faster than working a job. Network Marketing levels the playing field. No matter who you are, where you come from, or your education level, Network Marketing is available to all and does not discriminate. Anyone can take advantage of this business and succeed.

Network Marketing will turn ordinary people into extra-ordinary one as long as you work hard for it just like any other business. This is the 21st Century business for all. 
  • LOW START UP COSTS:
Unlike many homebased businesses, Network marketing allows investors with very little capital to get started. With less than USD$300, you are good to go. If you are like me without any fortune to start from, then mlm Network Marketing opportunity is your best choice.
  •  FREE TRAINING:
I don’t know any homebased business that offers you free training like mlm Network marketing opportunity. This industry has unbeaten team work. Why? Because it is a win- win situation.
It should be the burden of your upline to see you grow. That is why you must be careful.
  •  PART TIME INCOME OPPORTUNITY.
Network marketing gives you a chance to start on part time basis as you keep your daytime job. You can eventually keep quit your job as your business grows.
  • EXTRA INCOME.
Most people need extra income. With the ever rising bills, you find that your pay check can’t cover all your bills. You definitely need a back up. The mlm Network marketing opportunity does that for you.
  • LEVERAGE / RESIDUAL INCOME
This is probably the most important.

“Rich people build networks while poor people look for jobs”. Robert Kiyosaki

To think of financial freedom, you MUST have either people or money working for you. Mlm Network marketing opportunity does it very well. You can leverage off the efforts of others.

By learning to leverage your time (and money), you can also benefit from a percentage of other people’s efforts, and dramatically increase your income and freedom. It is also an important step toward gaining financial independence and time freedom.

“I would rather earn or have 1%
from the effort of 100 people rather than 100%
from my own effort!”
 
- J.Paul Getty

 There are only two sources of money:

1) PEOPLE AT WORK, and 2) MONEY AT WORK…

THAT’S IT! 
  • EARLY RETIREMENT
MLM Network marketing opportunity gives you a chance to retire young and enjoy your riches. If you really work very hard, within five years, you can think of retiring. I have not seen this in many Companies. Please let me know if you find some..
  • TRAVEL OPPORTUNITIES
Do you love travelling? Network marketing gives you a chance to tour the globe. That is why you must be careful when choosing a company. You might want to think of global network marketing concept so that you travel to meet your business partners worldwide.
  • WORK AT YOUR OWN PACE.
Basically, you are your own boss. You work at your pace and you set your own goals and deadlines.
  • LEAVE A LEGACY
In case of death(God forbid), Many good Network marketing Companies give you a chance to choose legal beneficiary. What a beautiful way to reward your efforts. A good number of other homebased businesses collapse immediately.
  • COMPANIES DO THE WORK FOR YOU.
You don’t have to bother with customers’ orders . The company does all that on your behalf. Yet you still enjoy Tax break benefits… Yet the overhead costs are minimal!

HOW TO CHOOSE THE GOOD MLM COMPANY?

Network Marketing or MLM is a trillion dollar business and there are lots of Multi Level Marketing today especially those which are selling health and beauty products. But how to choose the best MLM?

You have to consider these factors:

1. The product: It should be effective and true to its promises. It’s hard to sell a product if it is ineffective. You get in cheapest price but no effect. 

2. Best Networking System: Make sure that you will earn in company’s marketing plan whatever will it takes and it must have good incentives. 

3. Know the reputations of the Owners: If they are businessmen and did not experience to become a distributor, it’s hard to depend on them. Their only concern are they own profit. Make sure that they know and experience the life of being a network marketer.

4. Know the Investment Package: Some of MLM companies initial investment are cheap but there’s a quota on product sales. Some investment are higher than the other but it’s benefits are more than 74% which DTI and SEC requires.

5. Growth of the Company: This will prove that the company are earning. 





To Success!

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