Tweet

What Is Network Marketing?

Written by: Chris Simpson

Article Overview: If you have been on the internet for more than a day, you have heard of network marketing. Network marketing involves one person selling the product of another person for a percentage of the sale and then signing up others to do the same thing underneath you. A common example in the real world would be Avon or Mary Kay. These are termed direct sales but they are all from the same family.

What Is Network Marketing?

If you have been on the internet for more than a day, you have heard of network marketing. Network marketing involves one person selling the product of another person for a percentage of the sale and then signing up others to do the same thing underneath you. A common example in the real world would be Avon or Mary Kay. These are termed direct sales but they are all from the same family.

Internet Network Marketing

The great thing about network marketing on the internet is you do not have to; go door to door as in the above examples; stock the product; deal with customer service; or guarantee the product and you can sell or recruit 24/7. It is the best of both worlds: percentage based selling with very little downside.

Tips:

There are many programs on the internet to choose from and many of them pay very well. Your job will be to market the product through your website, Email, Ezine, or pre-made company site. In doing this there are a few things you should keep in mind.

- Choose products that you are interested in. You are going to be selling this and recruiting others to do the same you will need some passion for the product to do that effectively. For instance if you have never picked up a needle in your life you probably will not have much luck with a network marketing system built around sewing products.

- Try it before your customers buy it. When considering a new network marketing campaign it is a good practice to put the product through its paces before you endorse it. Buy the product and use it. One woman I knew purchased a cellulite cream from the company she was working with then used it on one leg for ten days. When she was asked about the product, she simply showed them a real life before and after.

Besides being able to honestly endorse the product, you will also be privy to how their customer service works. This is important even though you are not the one providing the service.

- Check out the company's statistics, numbers such as; years in business, what kind of sales do they have, and most important the compensation plan. A good plan will have compensation set somewhere between 40-60%, any less than that and it may not be worth your time.

Recruiting Your Team

Another advantage of network marketing is making a certain commission from the items your team mates, or downline, make. When recruiting people to join your downline, be kind yet persistent. No one likes a hard sell and in fact, you may turn off many people if you keep badgering them to join.

Talking about the opportunity, inviting them to a party to watch you in action, or even a simple follow up phone call the next week will show your prospect that you care about the business and would value their contribution as a team member.

There are other tips and tricks to this potentially profitable business model. This is a sample to get you started on your way. Do your homework; choose a network marketing company that is right for you and success will be right around the corner.

Related Articles
  Make A Fortune With Your Network Marketing Downline! ~SECRET TO WEALTH ONLINE
  Network Marketing Business Opportunities - A World Of Choices
  Network Marketing Business Canada: A Place to Start a Business
  Only Coffee Ice Cream Available.
  Network Marketing Tips That Even Big Foot Will Tell You Doesn't Work! ~Omari Taylor

Article Tags: avon, best of both worlds, cellulite cream, customer service, downside, ezine, family internet, internet network, marketing campaign, marketing network, marketing on the internet, marketing system, mary kay, network marketing, paces, passion, real world, sewing products, statistics, stock



Related Forum Posts
Why do people hate Network Marketing / MLM? - I've been looking at a number of different opportunities and end up meeting a lot of Network Marketing / Multi-Level Marketing people. Some of the offers look interesting but everyone I talk to about it says to avoid these guys like the plague - what's the deal? Why do people hate network marketers and MLM people so much? Is it not legit?
Re: MLM Marketing, youtube, and buzzirk mobile. - I have experience with MLM too. My initial reaction to the business was "snake-oil salesman" but once I got to understand the "overall business model" I am now an advocate to it. MLM (Multi-Level Marketing) is also known as Network Marketing. I realized an MLM business is no different than any other business. One needs to focus on both words "Network" and "Marketing" and give both equal respect. Some people focus heavily on the Networking part but forget "Marketing". I've started to use Building on a Budget and Magnetic Sponsoring concepts in my NM business and have found that people don't get involved so much because of the product but more because of what you bring to the table as far as marketing systems and support. I have both products listed in my signature. you don't have to buy it as the link to the free videos itself provides you a good understanding of what is required to position yourself as my above paragraph. If you do plan on purchasing it I can tell you that the measly $40 will open your eyes BUT your upline will not be too happy (atleast in the short term) beacuse the system is not duplicateable. I wrote this post as a polar post to Bulmer's reply as I have exhausted the friends and family networking and realized i never really focused on marketing. My leads now are more qualified and open to hearing about my opportunity than the other way around. my 2 cents if you plan on growing an MLM or Networking Marketing business.
Network Marketing Business - Hello all, Recently, I had join a Network Marketing Business on a part-time basis. Does anyone here who has some knowledge on this type of business? I want to learn as fast as I can from all the gurus here
10 best franchises to get involved - My advice is: 1) Go to the library and start reading business books (accounting, finance, etc.) 2) Go to your local community college and enroll in night classes 3) Join the local Chamber of Commerce 4) Network / Network / Network -- through the above sources. Once you have spent two years doing the above, then look for a 55 - 60 year old business person that is looking to reduce their time in the business. Then you can work on a sweetheart financing option.
Re: answer this question - This is a good topic. I haven't done anything, yet, to seriously damage my business. I did shift gear though. It was the best decision I ever made. For me, affiliate marketing was not working. Making the switch to Network Marketing made all the difference.


Share this article with your friends. Fund someone's dream.

Leave a comment below or share on the left and you'll help support entrepreneurs in Africa through our partnership with Kiva. Over $50,000 raised and counting - Please keep sharing! Learn more.

Tweet

Newsletter

Get advice & tips from famous business
owners, new articles by entrepreneur
experts, my latest website updates, &
special sneak peaks at what's to come!

Name:
Email:

Popular Articles

LISTENING SKILLS IN COACHING

Unharnessing Creativity in Business

How to develop the best lateral thinking skills

Suggestions

Email us your ideas on how to make our
website more valuable! Thank you Sharon
from Toronto Salsa Lessons / Classes for
your suggestions to make the newsletter
look like the website and profile younger
entrepreneurs like Jennifer Lopez.