MLM stands for Multi-Level Marketing. It is also commonly referred to as Network Marketing, Relationship Marketing,
One-on-One Marketing, Face-to-Face Marketing and Dual
Marketing. MLM or Network Marketing is a method of
marketing products and services through independent
representatives who refer customers to the Multi-Level
Company they represent Any company can choose to use Multi-Level-Marketing to
reach its customer base and any product or service can be
sold this way. Network Marketing started in the USA.
Network Marketing is based on the concept of 'networking'.
We all have a circle of people we know through the
circumstances of our daily lives and each of these people
will have their own circle of acquaintances, colleagues,
family and friends. Network Marketing involves tapping into
these networks not only to sell product but also to offer
the business opportunity to potential new distributors who
then start the process of developing their own networks for
selling and recruiting.
This is network marketing which allows its distributors not
only to network outwards in order to sell the product but
also to benefit from their downline's downline, either to a
limited depth or ad infinitum. However, the two terms tend
to be used easily indiscriminately. Network marketing
businesses close down every year but still more
product-based businesses are turning to network marketing
as a means of getting their products out to their customers
and cutting out the wholesalers and retailers. A lot will
depend on you, but a lot will also depend on the business
acumen, personalities and perhaps sheer luck of the people
you're signing up to do business with.
Email is a very cheap method of getting messages out in
front of people and has been taken up by many
representatives of those MLM companies. This means that
they spend very little on marketing which leaves them to
enjoy a larger share of the commission than they might
otherwise. MLM is a way of selling products or services
through distributors. In order to become a representative
for the company, you sign an agreement and are also usually required to purchase a “starter kit” which contains
training materials and a limited amount of full-size and
sample-size product so that you can begin getting orders. |