Intimacy and network marketing do not offer …
Such a postscript can be seen in every second ad on any bulletin board where people are looking for work.
Why are people so vehemently afraid and sometimes even hate this type of business?
What is so terrible in network marketing and is it possible to earn any penny at all?
In this article I will tell you in detail about network marketing – what it is in simple words, is there money in network marketing, how to make money in network marketing and how to protect yourself from scammers and financial pyramids.
Why do I have the right to tell you about this? Because I managed to work in several network companies and in each company I got my experience: both positive and negative. And I am very grateful to this experience: he taught me a lot.
Network marketing what is it really?
Network marketing is such a form of sales of goods and services that is based on building a network of distributors (agents) who, in addition to selling goods / services, are engaged in attracting partners to their network company for further cooperation and increase their turnover and, accordingly, their income.
Network marketing came from the English word MLM (Multi-Level-Marketing).
The network business differs from the classical business in that in the network business you do not need to open a store, you do not need to hire employees, you do not need to hire couriers and purchase a lot of goods for sale. Network marketing is good because all products are bought via word of mouth or on the recommendations of satisfied customers, thereby forming the distribution network itself, with which you will receive passive income for the rest of your life.
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The History of Network Marketing
Network marketing is not a young business. The first network company appeared in 1945 in America, it was from there that this direction appeared. Since then, network marketing has become popular all over the world.
Network Marketing and the Financial Pyramid
Of course, today there are many myths and misconceptions about the legality of Network Marketing. Many people call Network Marketing a scam or a scam, simply thinking that it is a financial pyramid where people lure simple and naive money from their pocket.
Moreover, I noticed that people themselves, even without fully understanding the essence of network marketing, and somewhere from someone hearing from the ear that this is a pyramid and a hoax, also begin to shout to everyone that this is a scam. This is all from the ignorance of these people. I heard a ring, but I don’t know where he is. Believe me, I met such people very often and I know what I’m talking about.
Only that person has the right to say that network marketing is a scam that has worked in a network company for at least a year.
Many do not even know what a pyramid is and what it means. In fact, many companies have a pyramidal development structure where the CEO is at the head and employees lower down the line are branched off from it.
How to distinguish a financial pyramid?
There are several main signs of a financial pyramid:
- No physical product / product
- Investing an impressive amount of money
- Promise of quick enrichment and return on investment
- Project opening too loud and bold promises
Due to the similarity of such a pyramidal structure, many financial pyramids are disguised as network companies. Therefore, be careful when choosing a network company and work in those companies that have long been on the market and which have a proven quality product.
Benefits of Network Marketing
By no means do I have anything against network marketing. I admire people who earn in this area almost a million a month and I have a friend who makes a million and it’s cool!
I believe that this is an ideal area for beginners who want to achieve something in this life! And network marketing is a great school! I know many successful people, millionaires, businessmen, who started with network marketing.
And now I want to voice to you all the advantages of working in network marketing:
- Minimum starting investment in business development..
- Getting your first business experience
- The products of network companies are thoroughly tested, therefore the products are always of high quality and give results
- The possibility of unlimited income. You can earn 500 dollar’s you can earn 30,000 million. It all depends on your scale of thinking and experience.
- Create passive income. First you work tightly and a lot, build your network and then lie on the beach in Bali and get SMSs with regular replenishment of your account due to the work of your lower partners. That is, you relax, and your business works on its own without your participation in this
- Free schedule. You yourself build your schedule, as you are comfortable without asking anyone
- No boss and no alarm
- Teamwork, where you are always supported and helped to move forward
- Powerful self-development
- Free business training in network marketing, which provides a network company
- Successful surroundings of ambitious people who literally infect you with their success and motivation
- The scale of the business. You can develop this business in any country of the world and having partners from different countries
- Telework. You can work both in the village and on any island where there is Internet. For work you only need a laptop and skype
- You are immediately provided with a sponsor (mentor) who leads you to the result, since it is beneficial for him. You earn – he earns.
- This is a good profession that teaches you networking, communication with people. You step out of your comfort zone and become a charismatic and confident person
- Free business. You can travel constantly. Companies often pay trips to their successful partners and pay for training abroad
Well, are there enough advantages?)) I think so)
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Cons of Network Marketing
Of course, as in any business on Earth, there are minuses everywhere. But the most important thing is that in the field of network marketing there are much fewer minuses than pluses. But still they are. Let’s talk about the cons:
- Your income depends on yourself, on your desire and motivation. Nobody will do anything for you.
- Monthly purchase of goods
- Negative attitude of people to network marketing, which increases the number of refusals
- The first time you need to work hard: to hold many meetings
- Out of the comfort zone: constant communication with strangers
- You have to sell a lot: the product and yourself, as a mentor
On this, the cons ended. I think compared to the pros, these cons are not so striking and they can even be turned into pros. As they say, think for yourself, decide for yourself: to have or not to have.
Types of Network Marketing
There are several types of marketing in Network Marketing. All of them have their own specific structure and their types of rewards.
Surely you saw the structure of network marketing. This is when many branches go down from one person.
So, let’s take a look at the 3 most popular types of marketing in MLM.
- Line Marketing (Classic)
This is when one person can invite an unlimited number of personally invited people (personalities) in one line and have income from their turnover and the turnover of invited partners by his personalities. Also your personalities can invite an unlimited number of partners to their first line, and for you it will be the second line. And so on ad infinitum. The main objective of linear marketing is to constantly expand and increase its first line.
Usually the most stable, successful and long-term network companies have linear marketing.
2. Binary marketing
This is when one person can invite only 2 people to his first line. Binar – from the word “bi”, that is, in the translation “two.” Look at the picture below how the binary marketing structure works.
The binar has 2 legs – right and left. Each invited person always invites 2 people – in the right foot and in the left foot. The advantage of binary marketing is that you can get overflows (interest) from foreign partners who you don’t even know.
The main task of a partner in a binar is to take a position on time, since the higher you are in the binary structure, the more money you earn. Also in Binary marketing, unlike linear marketing, a person who is higher than you by qualifications remains below you in the structure, not rising above you and you will always receive your interest from his income on an ongoing basis.
In linear marketing, all presidents and other high qualifications are always above the lower lower qualifications. Therefore, it is in the binar that there is quick money. By the way, right now I’m making money myself in binary marketing of one Leopays social network. I’m constantly falling down money from strangers when I am out of the house and when I don’t even engage in attracting people to the project.
3. Matrix Marketing
The matrix is when the number of distributors in the first and second lines is limited. When all cells of the matrix are filled, each participant receives his reward. That is, each participant receives his own separate matrix, where there is a certain number of cells consisting of entrance fees. Each level has 2 cells more than in the previous level.
After the matrix is completely filled, a payment is made to the participant and a new matrix opens. That is, the matrix is an ongoing process. After the participant received the payment, he moves down and the whole process resumes.
There are network companies that work purely on linear marketing (Amway, Greenway, LR, Oriflame). Some companies combine several types of marketing, thereby allowing its partners to earn money without exception.
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Network Marketing – where to start?
Where to start a beginner who has just learned about network marketing and wants to try his hand in this area. If you still decide to join the network network community and start working in a network company, I advise you to read the book
First of all you need:
- Find a good network company that is part of the Direct Selling Association
- Get your favorite product in this company and try it for yourself (cream, shampoo, perfume, cosmetics or something from food or dietary supplement)
- Learn the history of this network company, its leaders
- Examine your company’s marketing plan to see how and how much money will be paid to you.
- Look for successful partners who already earn decent money in this network company
- Write or call this successful partner and offer to meet
- After the partner gives you a presentation of the company and products, you can conclude an agreement with him and start working with him
- Now you can promote the products of this company, as well as offer business cooperation in order to earn money on your network and receive passive income for the rest of your life
How to become successful in MLM business
The main secret of success in the MLM business is the invitation (recruiting) as many partners as possible to their first line and the development of their structure.
To become successful in the MLM business, the first time you have to invite a lot and this is inevitable. And in order to become very successful in MLM, you need to attract people not to the company’s product, but to business.
That is, you must recruit your team of business partners who, together with you, will conduct business in an adult way. Surely, in your subcortex, from ancient times, such a belief has been laid that you need to steal the company’s products by strangers passing by.
But today, network marketing is already working in a new way: without pairing and without shoulder bags.
Therefore, I strongly advise you to read this article to the end, and you will learn how network marketing works in the 21st century.
How to Build a Business in Network Marketing
There are two ways to build a business in MLM today: offline and online.
A few years ago, when I was lucky enough to get into a large German network company and work there, my mentor worked exclusively in an offline way. That is, he invited people over the phone to a meeting that took place in a cafe and a face-to-face presentation of the company and further registration of the partner in the company were held.
To be honest, I didn’t really like this scheme of work, and I decided to work online, via the Internet. I invited strangers on facebook, got acquainted with them, recognized their interests and hobbies, and along the way I suggested they switch to Skype conversation. After which I gave them a presentation, told them about the possibilities of network marketing, and after that the person gave me an answer: yes or no, or we were already going to a personal meeting, where we had already precisely discussed the details and made an agreement.
Of course, there were many failures. But that did not stop me from recruiting partners. Statistics work everywhere and in every business, and not every person becomes our client. I liked this scheme of work more, but did not like my mentor.
Then I discovered such an opportunity for myself – to work remotely and online in a way.
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Network marketing on the internet
Today is the 21st century. And each direction over time transforms into something new, different. Previously, all networkers ran home, rang apartments and offered products, thereby making their turnover and making money on it. They did not have internet then, and in order to get to know a new person, they had to come to him and get acquainted in order to offer something.
Today is the era of the Internet – in connection with this, a lot of opportunities have appeared, including the ability to work remotely. After all, with the help of the Internet you can reach anyone, even from another country.
Network Marketing and Affiliate Marketing
I want to touch on the topic of another type of marketing, which is similar to the network marketing scheme and on which anyone can make good money.
This is affiliate marketing.
If network marketing is multi-level marketing, then affiliate marketing is two-level or three-level marketing, which works in the same way as network marketing.
That is, I register in the affiliate program, offer it to people or make advertisements for it, someone buys it, and I get commissions (first level). My partner, whom I invited to this affiliate program, can also do. If my partner invited through my link sells an affiliate product, then I will receive a second-level commission.