MLM/Network Marketing

What Is Network Marketing?

The simplest explanation of network marketing is that it is a method of marketing that utilizes independent representatives to reach potential customers that a company otherwise would not reach with traditional online or offline marketing methods.

In order to accomplish this, network marketing companies and their associates recruit individuals I.E. “their sales force,” just like other companies and franchises, have done for years, take for example the insurance industry.

How often have you seen ads on television that use the term, “Independent Insurance Agent or Associate?”

Yet, as we watch these advertisements we naturally assume they are employees of the company, when in reality they are independent business owners!

No doubt you have noticed as you have driven through your neighborhood many of these small businesses, they have signs and other advertisements designed to draw your attention to them.
Yet, you will rarely see advertising from the approximately 13 million people who are either involved with direct selling, or in the network marketing industry according to figures by the Direct Selling Association (DSA).

There is distinct difference between us and them, in most cases they are assigned an exclusive territory and therefore cannot market outside of their assigned territory. Where as in network marketing in most cases, you can market just about anywhere your company is established!
Why are companies willing to pay you to market for them…

…Why don’t they just utilize the internet or other traditional marketing methods?
It’s quite simple, they want access to your network, that is your network of friends and family members! Today there are hundreds of companies offering products and services. Many of these products and services you recognize by their brand name!

The products and services you can market today cover everything from Communication Services, Internet Access, Nutritional Products, Weight Loss Programs, Water Filtration Systems, Financial Programs, Electrical Power, Solar Power, just to name a few.

So why do they need us? Traditional marketing methods have companies spending millions of dollars each year to market their products and services.

They know that word-of-mouth marketing is a far more powerful and effective method of marketing, especially, when that message comes from those whom we know and trust!

And these companies are more than willing to pay you, to communicate this message to your network of friends and family.

It is extremely important to understand that this method of marketing is not about bugging your friends and family members, as many would love for you to believe.
It is about your ability and skill to determine from those individuals within your circle of influence who would be interested in the products or services that your company has to offer…
… That information alone is one of the critical elements that separates those who fail, from those who go on to become very successful!

And occasionally you might uncover a few individuals, who also want to start a business!

I truly believe Robert Kiyosaki summed it up nicely; it really is the business school for people who like helping people!

If you want to call your own shots in life, if you’re willing to get the education you will need to run a small business, if you enjoy working with people, then network marketing just might be right kind of business for you.

How Does Network Marketing Work – Word of Mouth Marketing

One key aspect of MLM that I love is it’s a business that is available to anyone. That is exactly one of the reasons why network marketing works. Any person can become that 6-figure or million dollar earner.
Unlike traditional corporate workplaces, everyone in MLM has an equal opportunity to reach the top.
People are constantly debating why network marketing works or it does not work. I guarantee that people who say it does not, have done one of these:

• Never had an MLM business
• Had an MLM business and quit too soon