Network Marketing, also referred to as Multi-Level Marketing, is a highly-lucrative yet controversial business model that leverages the power of personal magnetism as a stepping stone to financial freedom. Jacques Sassin explains how MLM works and why it has so much potential to rewrite the path to your financial success.
Leveraging the Powerful Potential of Multi-Level Marketing
If you’ve ever wondered why multi-level marketing works, then this blog by Jacques Sassin will feed your curiosity.
What is Multi-Level Marketing?
Multi-level marketing, also commonly referred to as network marketing or direct selling, are terms that describe a sales strategy whereby brands leverage the selling power of individuals and the relationships that exist in their personal network to distribute products & services. As an incentive, these individuals are paid a commission not only for their sales but for the sales of the distributors that they recruit on the tier below them, too.
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How Legit is MLM?
While this sales model has seen its fair share of controversy over the years, multi-level marketing is a tried-and-trusted legitimate business model. Due to the hierarchical nature of this business model, MLM often gets compared to pyramid schemes, but there is a significant difference. While pyramid schemes place their primary focus on recruiting and incentivize the recruitment aspect by paying large commission cheques for team growth as opposed to sales volume. When the aim of the game is to expand your network and not to sell more product, then you are most likely looking at a pyramid scheme.
Is Multi-Level Marketing Always a Good Thing?
While pyramid schemes are unsustainable and tend to result in fat, rich uplines on top of stressed out, dead-broke participants at the bottom rung, network marketing brands purport to distribute the profit evenly among the bottom tiers, while still allowing a percentage of commission to filter to the higher tiers. This is why it is vital that you scrutinize any opportunity to evaluate whether it is a real MLM opportunity or merely a pyramid scheme disguised as a legitimate network marketing model.
The commission structure that multi-level marketing brands offer is a very attractive business model for driven individuals who are inclined to write their own paycheque, without having to worry about building a business from the ground up. MLMs have established supply chains and marketing materials to use, which means that an entrepreneur needs only to train themselves on the benefits of the product they are choosing to sell and leverage the support that is offered by the MLM in question.
The terminology may differ from MLM to MLM, so you may be referred to as a distributor, a consultant, an agent, a representative or a team leader. Essentially, you are a representative of the MLM, but you are the owner of your destiny as you manage your sales goals and commission targets according to your own needs and capabilities.
Exciting Stats about Multi-Level Marketing
As published by the Direct Selling Association, the year 2016 saw 20.5 million Americans getting involved with ‘direct selling’, with a total of $35.54 billion in sales that year. Over 74% of the US public has bought goods or used services through network marketing and direct sales.
Furthermore, global network marketing sales continue to flourish, boating a whopping US$189 641 000 000 in sales in 2017, according to the World Federation of Direct Selling Associations.
Speak to Jacques Sassin to Find Out More About the Power of MLM
Jacques Sassin is a highly-successful MLM coach with years of experience and insight into the world of network marketing. Take a look at the contact page to discover how to get in touch with Jacques today.
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