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Network Marketing MLM

Network Marketing MLM – is a direct selling method in which people act as distributors for goods and services. It is possible to sell anything using this method and popular products such as Tupperware and Avon started out this way. Distributers are encouraged to build and manage their own network by recruiting and training other independent distributers. In this method, commission is earned on the distributors own sales, on their directly recruited distributers and all their teams recruited distributers (called downline).

Network marketing MLM programs normally feature a low up-front investment. Some are free, some cost tens of hundreds of pounds but always a tiny fraction of what’s required to start a traditional business. Sometimes the investment is required for the purchase of a product sample kit and the opportunity to sell a product line directly to friends, family and other personal contacts.

There are many types of network marketing including two-tier programs and multi-level marketing, but many of the more solid marketing companies, like Avon, are single-tier.

  • Single-Tier Network Marketing: You sign up with an affiliate program to sell their product or service. You don’t recruit other distributors as you’re only paid for your direct sales or traffic you referred to the affiliate’s website.
  • Two-Tier Network Marketing. When you’re only paid for your direct sales and for sales or referred traffic made by the affiliates or distributors that you personally recruited.
  • Multi-Level Marketing (MLM): This is a distribution-based marketing network that is two or more tiers “deep.” Some MLM programs allow you to make money five or more tiers deep.Examples of MLM businesses include FG Xpress, and Amway.

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