What is MLM company. The whole truth about network marketing. How does a networked business work? Negative sides of network marketing

Why did I choose the cautionary title for the article? Because, unfortunately, lately I have come across sad stories of people working in network companies and having the same deplorable results of this very "work".

Network marketing (or multilevel marketing, MLM) is a concept for the sale of goods and services based on the creation of a network of independent distributors (sales agents), each of which, in addition to selling products, also has the right to attract partners with similar rights ... At the same time, the income of each member of the network consists of commissions for the sale of products and additional rewards (bonuses), depending on the volume of sales made by sales agents attracted by them.
Network Marketing originated in the 1940s. The dawn of the network companies industry came in the 80s and 90s. One of the founders of the industry was the well-known American Way Corporation (Amway).

Myth number 1. Network Marketing is my business.

Do you seriously think this business is yours? And if you think well? Have you thought? No! Network marketing is not your business 99.999% of the time. Network marketing is only a business of those (very smart and enterprising) people who founded it. Dot. This is the business of those people who speak to you at the company's seminars once a year and deliver motivating and “grandiose” speeches from the stage.

What problem is there? And the problem is that those newcomers who come to a network company from the very beginning "explain" that he will be engaged in BUSINESS. Yes it is. But not all newcomers clearly understand whose business they will be engaged in. Understand that a business is yours only if you have the authority to make key decisions about running it. Can you make such decisions in "your" network company? Can you change the price of your products? Can you change the assortment and suppliers? No. You only RESALE the products yourself or through the attracted new sales agents. You are forced to obey and comply with all the conditions and rules of doing business, which are dictated to you by its founders. Even if you have registered a business or a company and are selling the products of “your” network company, you have very limited freedom of action, in contrast to a full-fledged entrepreneur.

Understand, if you work for a network company, then this is NOT your business. In this case, your activity can only be called an alternative to working "for an uncle" and self-employment, but not a full-fledged business, in the true economic sense of the word.

Myth number 2. There is a lot of money in network marketing and you can get rich quickly there.

Of course, the best option is definitely to try and see the result. But, as long-term practice shows, there is NO big money in network marketing. Sometimes there is no money at all, let alone big. How is it that network companies make billions of dollars in profits? Yes, they do. Received by the founders and those who lead these companies and are personally close to the management. Ordinary mortal distributors are content with small checks that barely make ends meet. You may argue that you can become a leader! You're right. You can fly into space. The whole question is who will not "vomit" on the way to this space, who will not lose consciousness and how long to fly to this "space". And in general, do you need this space?

All that an employee of a network company does is search for those who would sell more and those who would sell more and who would be looking for the same thing.

Network marketers (forgive me) are just intermediary salespeople. Just INTERMEDIARIES. Of course, intermediaries can sometimes make good money, but the owner gets the main profit.

There is no big money for an ordinary distributor in network marketing, they simply are not there. All the mountains of gold that your "mentors" and leaders draw for you are farce and pure motivation with profanity. Getting rich in network marketing is very difficult. I will not say that no one made a fortune for themselves selling detergents, toothpastes or super-cutters, but the pictures they draw for you are radically and sharply different from the harsh reality.

Think of network marketing as an alternative to regular work (and then carefully), as an additional source of income, but not as an easy and shortcut to wealth. I repeat, of course, there are people who, being distributors, have become leaders and made a fortune for themselves. But these are tough, unceremonious people with pronounced leadership qualities, these are people who went through fire, water and copper pipes in this business, putting a good part of their lives on it. There are one in a million distributors of this kind. Do you want to try your luck? That's your business.

Myth number 3. My mentor is my friend, he will help me in everything, teach me everything and explain everything.

Hell no! Someone who is your mentor is definitely not your friend. Friends do not strain each other from month to month, constantly reminding them that they need to make qualifications this month and buy three and a half more super-cutters for future use, they say, they may need it. Friends do not receive material benefits from friends, at least good and true ones.

Your mentor is the one who is most interested in your success, eloquent people have told you in seminars and meetings, he will teach and guide you. So it is, but what is the problem in this situation? And the problem is that, under the yoke of their “beloved” mentor (who, by the way, had to be sent through a dense forest), the wards begin to perform actions that contradict the actions of a person in a bright mind and good health. Such wards begin to take loans, get into trouble-free and hopeless debts, begin to make deliberate decisions that are not their own and not their own brain. This often leads to very unpleasant consequences, which have to be sorted out by the wards themselves, already without the "help" of mentors and leaders.

In general, in our life we ​​are under the constant influence of other people, whether we like it or not, and very often there is no awareness in our actions and decisions. In network marketing, distributors dependent on the opinions of others, listening to the motivation of the mentor and looking at his painted pictures of the golden mountains, lead their lives downhill (in a very bad case) without knowing it. This is sad.

Your mentor can be a good person and he can really be your friend, but this is in very rare exceptions and only if he is not very interested in your results in a network company, respectively, as well as his own. Understand that the boss will never have a true and sincere friendship with subordinates - this is nonsense and it is contrary to business.

Mentors, seminars, educational and recreational collective events in network marketing - their actions are mostly aimed at brainwashing, retaining distributors in the company and increasing the company's profits. They wanted to spit on you, your life and your problems. Remember this. The first leaders of the company will never share with you the intimate knowledge they have, since they are not interested in your growth to their level. They give you exactly the information and knowledge you need to increase sales, nothing more. They are not interested in your true growth and your potential.

Summing up the results.

Of course, there are many positive aspects in network marketing. Working in network companies, a person learns a lot, goes through an excellent school of sales techniques and learns a lot of interesting things. In the process of work, he can radically (perhaps for the better) change his lifestyle, he can start traveling if he hasn’t traveled before, communicate with interesting and successful people, can open himself up from a new angle, and so on. There are definitely advantages. But there is no need to rely on MLM companies as if this is the only occupation worthy of you, that it is a gold mine and some kind of unknown klondike.

Again, you can consider working in a network company as a means and a starting point for unlocking your potential, as a school of sales, a school of communication and interaction with people. But those myths that you read about above should not be forgotten. As one good person and coach Ildar Zinurov says: “There is no happiness in the network business”.

Yes, in network marketing you can make money for a living, you can study, you can travel as a distributor, but the happiness that you are told about in the first and subsequent presentations is definitely not there.

We often take wishful thinking. You need to look at the results and draw conclusions. You need to use such a precious tool of yours as thinking. Use it! Think with your head. Trust the facts and results, not the words and pictures of your mentors and leaders. If for several (or even tens) years nothing has changed for you, then it is not prudent to believe that while doing the same thing (for example, plowing into a network company), something will change for you and you will start raking in money with a shovel. Don't start.

P.S. Who am I to talk about working in network companies like this?

I am directly related to work in network companies. I had the good fortune to work as a distributor of Chinese goods, and in a not very simple way - wandering around organizations with a bag at the ready. I was engaged in cold sales. I think this is the most aggressive and difficult form of network marketing. I had a sales system, as in all similar companies, there was a mentor (and more than one), there was a bunch of "flushing" of my then virgin brain, and so on. I went through all this and realized (fortunately quite early) that this is NOT my business, that mentors are NOT friends, and that everything is NOT as sweet as I am told. Plus, I have many friends and relatives who are in one way or another in network marketing (some for over 10 years). So I more than know what I'm talking about.

MLM ("Multi-Level Marketing") is multi-level marketing, but the better known name for this business is network marketing.

The concept of such marketing is that a multi-level organization is created in which a product or service is promoted from manufacturer to consumer in a direct path from person to person. Each level of the organization receives its own income. In traditional trade, the store has several salespeople working all day long, earning very low wages. In mlm, a very large number of people are aimed at distributing the product. Each person does much less work promoting a product or service. With the help of the network, a complex of advertising, promotion and sale of products is organized.

There are several basic actions that each person must perform in mlm:

• promote information about products and services;
• promote the idea of ​​business opportunities;
• teach others to promote this information.

Back to the table of contents

How to choose your mlm company?

Choosing a company starts with a product or service offered by a network company. In most cases, the products of network companies are of high quality. If you have already tried it, and your impression of it remains positive, then it will not be difficult for you to recommend it to someone else. And the more you like a product, the easier it is for you to offer it to other people.

Imagine that you watched a movie the other day that you really liked. Surely you will immediately want to recommend it to your friends. Your enthusiasm and confidence in the quality of the product will remove all doubts and constraints, and you can easily offer the product that you yourself like, even to strangers, thereby gaining benefit for yourself.

Depending on which company you got into, spending the same amount of effort, you can get completely different profits. There are several criteria that you must adhere to when choosing your MLM company. They are quoted by the Down-Line News magazine. According to these criteria, you can determine:

1. What can you earn in this company?
2. What awaits you personally in your business that you organize in this company?

Let's consider several main criteria:

1. The uniqueness of the products. The products offered by the company must be unique. You can’t start working in a company whose products, although good, but such products are produced by a large number of different companies. If the product is not unique, then a huge number of competitors can produce an analogue at lower prices. Also, the company should have a wide range of products. don't get involved with a company with only one miracle product.
2. Relevance of products. Demographic studies of the market are carried out to find out the unmet demand. Actual products must meet this demand and be maintained at a high level.
3. Production of products. The company must promote its own production and have high productivity in order to maintain a competitive price and pay to its distributors. It is not recommended to work with a mlm company that sells other people's products under its own trademark. Such a company is considered an intermediary, which will affect the price and payment.

Back to the table of contents

MLM business goes online

Already a huge number of networkers, realizing that the future of the Internet, began to work on the Internet. The only problem is that few of them know how to properly handle this modern and powerful tool. Moreover, not every MLM organization provides conditions to build your business there.

Working in mlm is getting harder every day. The annoying calls, the constant distribution of leaflets, personal meetings practically do not give any results, and the person who decides to work in mlm in this way receives constant refusals, after which he simply leaves this business without having time to achieve something. Having understood this problem, many networkers began to master the World Wide Web in order to find a wider target audience.

They began to understand the importance of surfing the Internet. But here the old methods no longer work. Most networkers have no idea how to build an mlm business using the Internet. Back to the table of contents

Why do you need to build a business on the Internet?

1. You can build your business from anywhere in the world, the main thing is to have access to the Internet. you are not tied to a specific office where you needed to bring potential partners.
2. People with disabilities who are unable to attend various presentations and travel to different cities can study on the Internet.
3. You can build your team from people from different cities and even countries. It doesn't matter where your potential partner is, as long as he has access to the Internet.
4. Organization of webinars allows you to communicate with your partners from the comfort of your home, at a time convenient for you and for them.
5. With the help of online stores, it will not be difficult for you to sell your products without problems with delivery and payment.
6. The most effective advertising at the moment is considered to be advertising on the Internet, which can be used with minimal financial costs, or completely reduce them to zero.
7. An easy-to-use online learning path gives you the opportunity to learn from some of the world's most successful leaders.
8. The Internet will help you with many types of work on which you previously spent a lot of time, and even partially automates it.
9. Your sites will tell people about your business 24 hours a day!

Back to the table of contents

Stages of a novice networker on the Internet

1. Attracting potential partners. To begin with, as you might guess, you need to create your own website on the Internet. This can be a paid site that can be ordered from a freelance exchange. Or create a website yourself for free. To get started, a one-page site on free hosting is suitable. If you already have a site for selecting candidates, then this is very good, but if no one finds out about it, then it will not do any good. You need to promote your site. This can be done for free, but you will have to spend your precious time, or you can turn to paid services for advertising a site on the Internet, but for this you have to fork out. Both those and other methods of advertising are still quite effective, so it is recommended to resort to both.
2. Selection of people looking for new earning opportunities. This stage is considered to be the most important in the work over the Internet. It is advisable to automate the initial selection of partners, since it is at this stage that the largest number of people, the overwhelming majority of whom will not build a business with you in the future. It is not difficult to do this with the help of the website. The main thing that you don't need to do here is to advertise your company, as well as your products, since people do not like it at all. On the Internet, using your site, you should search for people who are looking for opportunities to achieve their goals, and provide them with this opportunity. There are a large number of design options. you must understand what you need to give your partners - to help make the same site with the same function. After all, the main principle of mlm is duplication, i.e. repetition of the actions of your sponsor. It is best to provide your partner with a ready-made website builder so as not to waste time on it.
3. Selection of people who are interested in the possibility of achieving goals with the help of mlm. This is not difficult to do. Give the person the tools to do the job for you. These can be films or books about mlm, or an invitation to a webinar. Such materials can be posted on your website, but it is better not to make them publicly available, the subscription form will help with this. A person who wants to study the materials fills out a form, after which everything necessary is sent to him by mail. This is a huge plus of the Internet: you do not need to wait until the disc or book is returned to you, and you do not waste time on this, since there are automated subscription forms.
4. Webinar (conference). This event provides a potential partner with information that will help him make a final decision. A candidate from anywhere in the world can, having received a link, enter the webinar room and listen to information about your proposal, ask questions of interest to him, hear the opinions of other people. Almost all mlm companies have leaders who run daily webinars to which you simply invite your candidates. Over time, it is better to learn how to conduct your own conferences, in which partners will see you personally as their sponsor. You can also record your conferences and send them by mail in the future.
5. Registration and getting started. After attracting and motivating potential partners, they are registered in the business and start working with them. Before the involved partner starts working, he must fully study all the information about the principles and system of work in your team, understand how he will repeat your actions to achieve the goal.

What is network marketing: 6 advantages + 3 disadvantages + 5 myths + 10 tips for those who want to make money with MLM.

Network Marketing or MLM. Who has not heard of him today.

Yes, perhaps it is difficult to find such a person.

And yet, most people who are not closely associated with this type of activity do not really know what is network marketing.

Someone unnecessarily demonizes MLM, someone, on the contrary, deifies it and considers it almost the only one.

And someone simply does not take it seriously, because they associate network marketing with a girlfriend, which every month brings to look through a colorful catalog and provides an opportunity to buy lipstick at a discount.

And what is most interesting - everyone is right, because they are looking at MLM from their wheel.

What is network marketing as a type of business?

Network marketing (or MLM / MLM - multilevel marketing) is a special concept for the distribution of goods and services based on the work of independent distributors, each of which has the right not only to sell goods and services, but also to attract other distributors to the company.

At the same time, earnings depend not only on the amount of goods and services sold, but also on how much the people involved in the company were able to sell.

Network marketing is a kind of pyramid, but unlike financial pyramids, this business is quite legal and can bring you good earnings, provided, of course, that you start cooperating with a serious company that produces quality goods and services at adequate prices.

MLM history

It was then that the owner of California Vitamins, which sells vitamins and nutritional supplements, Karl Rehnborg, decided that the products he made would not be sold by professional sellers, but by the consumers themselves.

Moreover, these same consumers will attract other buyers to cooperation, thus forming a network.

Thanks to this approach, the young company could boast of a turnover of $ 7 million over several years.

In the late 1930s, Karl Rehnborg renamed his company Nutrilite Products, but the principle of distribution of products remains unchanged: it is sold by consumers themselves, armed with samples and training manuals.

These same buyers bring in other Nutrilite Products supplement aficionados who want to not only consume them but also sell them.

Renborg's business is growing by leaps and bounds and proves to all skeptics that network marketing has a right to life.

A new stage in the development of MLM begins at the end of the 1950s.

It was then that two former Nutrilite Products employees, De Vos and Van Andel, decided that they were no worse than Rehnborg and founded American Way Corporation, also working on the principle of network marketing.

It still successfully operates on the market under the name AMWAY.

Network marketing flourished in the 1980s and early 1990s.

In the United States, with the help of MLM technologies, they distributed everything from household appliances to medicines.

Then it was even said that soon the traditional form of trade, and the stores themselves will disappear without a trace and the world will be ruled by network marketing.

Today we see that these predictions are far from reality.

Yes, MLM companies are still successfully operating in the markets of various fears, including in the former republics of the USSR, but they have not been able to displace traditional trading platforms.

According to the latest data, the turnover of large network companies (and there are at least 4,000 of them today) is over 300 billion rubles. US dollars.

How network marketing works

Since network marketing is a kind of pyramid, your earnings depend not so much on the number of your customers who purchase products, but on the income of the distributors you attract.

For every earnings of the distributor you refer, you receive a specified percentage of income.

This is why those at the top of the pyramid and the most widespread network of attracted distributors make good money in MLM companies.

Despite its cosmopolitanism, network marketing depends on the laws of the country in which a company office opens.

For example, if we talk about Russia and Ukraine, then the network companies are prohibited from:

• to attract to work as consultants persons who are under 18 years of age;
• promise specific wages, because there is no formal employment contract with distributors;
• sell dangerous and unlicensed products, etc.

If you want to become a distributor of a network company, then it is quite simple to do this.:

1. You agree to negotiate cooperation with another distributor, or you independently go to the office of the company in which you want to work.
2. Fill out the contract form.
3. Get trained (often just talking with an experienced counselor).
4. Purchase catalogs or product samples.
5. You start selling goods and services to customers and attract new distributors to cooperation.

Remember that if you come to work in an MLM company, you will become a freelancer who is not covered by social guarantees, sick leave, vacation pay.

Even after many years of work, you cannot count on a pension from the state, because you did not pay contributions to Social Insurance, etc.

In addition, you have no guarantees that after a while the MLM company with which you have worked for a long time will not close its representative office in your country and you will not be left without work.

Network Marketing - Pros and Cons

If we consider network marketing as a way to make money, then it is worth knowing not only about its advantages, but also remembering the disadvantages.

This will help you make an informed decision when you decide to make MLM your main profession.

This information will not be superfluous for those who consider network marketing as an official salary.

Pros of network marketing

Those who seriously deal with it include the main advantages of network marketing:

The ability to learn.

If we are talking about serious network companies, then they, taking care of the reputation of their corporation and the size of their own earnings, therefore constantly raise the qualifications of their employees.

Seminars, courses, meetings with mentors, etc. are organized for them.

Sometimes training is carried out at the expense of the students themselves, but there are also pleasant exceptions to the rules.

Free schedule.

You do not have to sit in the office at the time specified by your boss, because the boss is you.

You can devote to work both 3 and 10 hours a day.

It all depends on its effectiveness: if you made a profitable deal, then you can reward yourself with rest, but there are also bad days when you have to work for a long time, but, alas, to no avail.

In any case, you create your own work schedule.

Unlimited earnings.

Ideally, this is true: no one sets a maximum income limit for you.

If you are a smart, creative person, capable of non-standard approach to winning a client and ready to work hard, then your earnings will be quite decent and will grow as your qualifications improve.

Financial independence.

When you start doing network marketing, you actually get one that you can strengthen and expand.

If you sell quality products and fulfill all obligations to customers, then your customer base will grow, and, accordingly, your profits will grow.

Moreover, the amount of earnings will not depend on the whim of the boss, but solely on yourself.

Close-knit team.

Those who have worked in an MLM company at least once can confirm how easy it is to start working here: no undercover games for you, rejection of a newcomer and frauds from old people.

More experienced employees will always help you, because the level of your earnings affects their income and status in the company.

Interesting job.

Of course, if you have all the data to do network marketing, you will find an interesting and creative job.

MLM is not a boring sitting in the office, you don't have to imitate an activity in order to hold out until the evening. You will definitely not get bored.

Cons of network marketing

Network marketing also has some disadvantages, although quantitatively they do not reach the advantages:

Unstable earnings.

If you work in an organization with a specific salary, then you know for sure that you will receive the exact amount of money at the end of the month.

In network marketing, a completely different situation is observed: lack of money can replace good periods.

To make money consistently, you need to have a large customer base and constantly expand it.

Material investments.

By getting involved in network marketing, you will be convinced that this is a business without investment.

In reality, this is not the case, because for your money you will have to buy product catalogs, as well as testers, to demonstrate to the client.

Some MLM companies require their distributors to wear corporate colors or wear some form elements - this will also have to be bought at their own expense.

Emotional stress.

You know as well as I how people treat distributors of products: at best, as annoying flies that you need to get rid of as soon as possible, at worst - as swindlers who are trying to sell some nasty stuff.

You need to be ready for this and treat the reaction of people in a philosophical way.

And also accept the fact that you will be very tired from constant communication with people.

It should also be remembered that network marketing is not a business for everyone.

If you find it difficult to leave your comfort zone, to talk to strangers, if you are tongue-tied, do not possess the gift of persuasion, and in general communication is not your strong point, if you are ready to give up at the first failure, then you better do something else.

You are unlikely to have a long-term relationship with MLM.

Network marketing is an opportunity to make money, but not for everyone

I am not a supporter of demonizing network marketing, but I know that I definitely would not make money in this way.

But among my friends there are those who work in MLM companies.

Someone takes their work more seriously and, in general, makes good money, someone uses network marketing as an opportunity to purchase cosmetics at discounts, which they themselves use.

But I don’t know the sad stories when scammers under the guise of network marketing lured money from gullible people who wanted to become distributors, although the network is full of such stories.

Common myths surrounding network marketing

I know that network marketing is surrounded by various myths.

I chose the 5 most common and asked my friend Alexander to confirm or deny them.

Alexander has been cooperating with AMWAY for a long time.

He started working in network marketing more than 10 years ago, when it was still possible to form his own network.

Despite the fact that most distributors' earnings depend on the number of attracted sellers, Sasha chose a different path and started making money on the sales of, in general, good goods.

The main source of attracting new customers from my friend is, or rather, social networks.

Claims that even in the worst months, he earns at least $ 70.

Considering that he has a main job, then such a source of additional income is very good.

Network Marketing Myths:

You can make a lot of money here.

“Perhaps so, - says Sasha, - but I have never met people.”

To get rich in an MLM company, you need to be at its origins.

This is not a serious job for students.

If you are going to feel this way about network marketing, then in this business you have nothing to do.

This is serious work that requires a lot of dedication.

Horror, not work - running around with bags of goods and pestering people.

You really will have to "stick" to people, because without a conversation you will not be able to sell the goods or attract a distributor.

But it is not necessary to go from door to door with bags, now there are plenty of other ways to attract customers and retailers.

There are only scammers in network marketing.

To avoid becoming a victim of scammers, do not contact frivolous companies that you do not know anything about or those about which there are bad reviews.

Serious gamblers don't cheat on their clients.

You can't earn anything in MLM.

You can, and I proved it to you on the example of Sasha.

I think that my friend would earn much more if he did not have a main job, but devoted all his time to network marketing.

Usually, the myths that you won't earn anything in MLM are spread by those who did not work well with this business.

But if someone has failed, this does not mean that you will face the same.

How distributors communicate with people who tend to believe

the above myths, the expert from this video will tell you:

How to make money in network marketing?

Despite the fact that there are many myths and omissions hovering around network marketing, you can make money with this type of activity, and you can do it very well.

If you feel the strength to do this kind of work, if you know that you are ideally suited for this business, take action.

10 useful tips for those looking to make money doing network marketing:

1. Start working in a well-promoted serious company, which will not require you to invest a large sum in the business: Oriflame, Amway, Mary Kay, Ayvon, etc.
   You won't be able to make a lot of money here at first, but you will learn the basics of business.
2. Strive for development: attend all kinds of trainings, read a lot, learn from the experience of older colleagues, etc.
3. Carefully study the product you are selling so that you can answer any customer question.
4. Create your own network, and not only strive to sell more goods.
5. Use a variety of methods to promote your product: face-to-face, online, through advertisements in free newspapers, etc.
6. Don't lie to the customer by trying to sell as many goods and services as possible.
   If you distribute quality products, then you don't have to lie.
7. Look neat, speak competently and beautifully.
8. Don't push yourself if you feel that the consumer is not interested in what you are offering them - it angers, not encourages.
9. Prepare to work almost for free at first, so don't be in a rush to quit your day job until network marketing is making some really good money.
10. Do not back down in the face of failure.
    If one of your acquaintances did not succeed in making money in network marketing, this does not mean that you will not succeed either.

Knowing what is network marketing, you can always do an interesting and profitable business that does not require special education.

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What is network marketing - a path to success or a mythical way to make money? Historical facts about MLM + pros and cons + TOP-5 companies in the Russian Federation.

What is network marketing?

Most people agree that these are some kind of fraudulent schemes that only allow a lucky few people to make money.

Such thoughts are related to the main problem of MLM - these are extremely high promises to customers.

Today, by reading this article, you will learn what the essence of network marketing operations is all about.

And, of course, you will get an answer to the question: is it possible to get real income using such an entrepreneurship scheme.

What is Network Marketing: A Historical Background

Network marketing (MLM) in its current form was not a separate business development model. It appeared as a manifestation of the need to sell a product.

Who was the first to discover such a scheme and become the founder of the network business?

The founder of the first network sales scheme is Karl Rehnborg.

If the thought occurred to you that this person had been building his policy for decades before starting a business, this is not the case.

All complicated things started with a banal approach.

Karl Rehnborg grew alfalfa on his plot. At that moment, an idea came to his bright mind:

"But what if all the nutrients from alfalfa can be converted into an edible form for humans, so that its intake can increase the vitamin tone of the body?"

Undoubtedly, Karl had a good purpose.

Later he opened his own line of healthy food and began to offer it to friends and colleagues at work, explaining all the usefulness of the new product.

It is interesting that out of the kindness of his soul (there are no other reasons for this) Karl distributed goods just like that, without demanding any money in return.

What do you think, has there been an effect from promoting free, useful products?

No. Nobody believed Karl. Everyone was very embarrassed that a person could simply give away a useful, worthwhile product.

Karl Rehnborg came to an unexpected conclusion: if a food supplement is sold at the average market price, and not just distributed to friends, there will be demand.

And got right to the point!

Karl began to use this business scheme, giving birth to one of the main tenets of MLM - mutual assistance and support of the team.

Renborg's friends started buying his wares. It no longer seemed to them that it was a cheap deception for one simple reason - it ceased to be cheap.

Then Karl began to look for new ways to expand the network of buyers. And again I came to the correct conclusion!

They consisted of a percentage of the sale of the nutritional supplement. Now, do you know how a standard network company works? This is how it all began.

The result of the work of Karl Renborg:

• 1934 Karl founds California Vitamins, expanding the range of products it markets.

In 1934, Rehnborg renamed the company to Nutrilite Products.

The principle of operation remains the same.

A whole network of distributors of products, the so-called partners, was formed.

Each partner attracted new employees by offering a percentage of product sales and dividends for quality organizational performance.

Karl Renborg is known all over the world as the “father of the network business”.

After a short historical sketch, it's time to turn to the realities of the modern MLM business.

What is modern network marketing: terms and definitions

Network marketing Is one of the types of retail sales of products based on direct, direct interaction between sellers and consumers.

A feature of network marketing is the ability of each client to become a distributor.

It would be most correct to compare a network business with a multi-level dealership. MLM also consists of several levels.

It is not for nothing that such organizations are often called financial pyramids!

Let's figure out the main components.

The first stage of the pyramid: manufacturer - distributor

The first stage of the MLM scheme is that the manufacturing company provides its products to a partner.

A partner is an individual who enters into a cooperation agreement with a supplier.

On the territory of the CIS, this agreement is not included in the labor format, i.e. does not provide you with social guarantees, has a special form of taxation.

The terms of the agreement have similar clauses in any area of ​​network business:

• mandatory use of the manufacturer's products by a partner;
• attracting new partners to the organization;
• work according to a clear scheme defined by the organizers;
• unquestioning adherence to the moral principles and policies of the company;
• minimum monthly sales.

Subject to the fulfillment of each clause of the contract, according to MLM, you get access to unlimited earnings.

Second stage: partners of the second order

The whole essence of the MLM activity scheme begins from the second order.

Each partner who was invited by a participant of a higher level (level 1) performs all the same functions as his curator.

The only difference is that part of the sales income remains in the pocket of the superior curator.

As a result, each participant seeks to form his own structure, since this brings real income in the form of dividends from his own sales and the activities of his “subordinates”.

P.S. The word "subordinates" is deliberately put in quotation marks: there is no concept of line management in the structure of network marketing.

All relationships between colleagues at various levels are based on mutual assistance - it is simply beneficial for all partners.

Stage Three: Entry-Level Partners

Lower-level partners differ from founders only in that they have less income. At the same time, functional responsibilities, as a unit of MLM, are unchanged.

Work at the first or second level presupposes the manifestation of maximum activity not in the sale of products, but in the promotion and formation of its own structure.

The subtotal should be summed up:

The scheme of interaction of network sales involves the development of the structures of each employee.

The explanation of this process is very simple - each subsequent distributor receives a percentage of sales + dividends from the entire network organized by him, as a percentage of the profits of "new" participants.

Network Marketing - Is It That Simple?

The concept of network business and MLM structures has negative associations, especially in the CIS, where people have been taught by the bitter experience of pyramid schemes.

This section provides the reader with a comprehensive overview of how network marketing works - an unbiased assessment of income opportunities.

The positives of network marketing

Lack of a linear management system.

You work for yourself, which is very similar to entrepreneurship.

Close-knit team.

Each partner is interested in supporting "junior colleagues", as it brings him financial benefits.

There is always someone who can help organize your networking activities in the right direction.

Curatorship is the backbone of a network business.

Possibility of continuous growth.

Another positive thing about MLM.

It all depends only on your abilities, including earnings.

A very powerful experience in interacting with people.

It is a useful skill for everyday life and the development of your own entrepreneurial project.

Networked business can be viewed as a platform for the further implementation of your own.

Flexible schedule.

Representatives of MLM structures can devote to work from 10 to 30 hours a week, thereby combining it with work or study.

You must understand that online business cannot replace your primary source of income.

At least in the early stages of activity.

Negative sides of network marketing

Possible destabilization of the network structure at any moment.

This process may be triggered by the activities of individual partners, which will not meet the company's standards.

You should consider the possibility of collapse of the entire structure, as the long experience of MLM participants proves this is possible.

Uncertain payment standards.

An example is the American company Starcom, whose representatives promised high payments to each participant.

As a result, partners took loans, mortgaged property, and the company paid less than 25% of the announced amount.

It is not difficult to guess what kind of material damage the clients received.

The opportunity to get into a financial pyramid.

Imagine a situation in which you invested in an MLM structure by purchasing an initial package of products.

Several months pass, the structure of clients is expanding, they also make deposits, purchase products.

Another month passes, you have not yet been able to cover even your own expenses, since the product is not in demand.

The company is closing ...

In this situation, approximately 50% of participants are left without profit.

They were unable to sell the product, but made significant investments.

If you have never dealt with entrepreneurship, it will be very difficult to “resist” in the MLM mode of operation.

The specificity of the activity lies in the constant moral tension, since you are responsible for your sales and the entire organized structure.

After analyzing the pros and cons of network marketing, you can assess the degree of risk of such a business activity as quite high.

A feature of the network scheme is constant responsibility for their work + training and control of partners of a lower level.

You already know what network marketing is and you can independently assess the development prospects in this direction.

If you are confident in your organizational talent, as well as the abilities of a manager and financier, it is time to move on to choosing an employer.

Network Marketing: Choosing an Employer

Your network income and confidence in stability depend on the right choice of employer.

First, you need to consider the possible options for the business space in Russia.

Top 5 Russian MLM market

Network company name	Market share of MLM (%)	Description of activities
	~30	Sale of cosmetics, pricing policy - acceptable for the middle class. Get ready to meet with a huge female team, and find your place in it. Networking activities in "AVON" are more suitable for girls.
	~30	Marketing sphere - cosmetics, souvenirs, healthy food. One of the leaders in the Swedish MLM market. The advantages include increased loyalty to your employees. Working in this network company will allow you to have a small but stable income.
	8	Stability is the most appropriate word to describe AMVAY's business. The field of marketing - from household utensils to dietary supplements. Unlike the companies mentioned above, it provides an equal chance of development, regardless of the gender of the employee. This fact is a derivative of the wide range of products offered.
	5	A company that only accepts women. Specialization - cosmetics, beauty products. One of the most experienced network organizations, but not yet widespread in the Russian market.
	4.5	A major manufacturer of natural cosmetics. On the Russian market, it is one of the most progressive companies with a strong base for network marketing.

The main criterion for choosing an MLM company is experience in the market. The explanation is very simple: you will get the expected result, verified by others.

Working for “newcomers” to the MLM market is dangerous, because you cannot be 100% convinced of the veracity of all obligations.

You can learn about the many benefits of network marketing in the video:

What is network marketing? After reading the article, you are already in a position to independently determine the meaning of this term.

Network marketing evokes a subjective attitude in every reader.

Only one thing can be said with 100% certainty - making money working in the MLM system is possible and cannot be argued with.

A completely different question - will you be able to do it?

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Network marketing on the Internet: business concept + 6 myths + 8 pros and 4 cons + 5 popular MLM companies + 5 parameters for choosing a network company + 5 signs of fraud + tips for newbies + instructions on how to become a distributor (using Oriflame as an example) + 8 attraction tools partners + recommendations for entrepreneurs.

Almost any entrepreneurial activity with the popularization of the World Wide Web has transformed into an Internet business. Methods for promoting goods, methods of ordering, delivery of products - everything is now focused on the virtual space.

So, a lot of companies started working on the MLM scheme. Network Marketing on the Internet opens up new opportunities for their owners and develops rapidly.

Today we will talk about how it works, why it is needed, how to open such a business, and assess the prospects.

Network internet marketing concept

Network marketing (CM) is a form of trading activity, when sales agents establish interaction with customers. Those. the supply of goods, the provision of information products from the manufacturer to the consumer on the basis of a multi-level structure can be called network internet marketing.

For the first time this business tactic was applied in the 27th year of the XX century by the American Karl Renborg. Today, such well-known companies as Mary Kay, Faberlic, Avon Oriflame, Neways, Amway, and others follow his example.

Network marketing is growing at the same rate as software, telecommunications, and the Internet. In total, network companies achieve a cash turnover of $ 210 billion per year. Japan is considered the leader in the development of network marketing.

The Internet has given rise to a new wave of popularity for this type of business. However, network marketing is still controversial. Many people at the poverty line have been able to achieve material independence with its help. Others "look like a wolf" at the concept of network business, taking it for financial pyramids, deception.

If the latter tried to grasp the essence of the network business, their opinion would change ...

By promoting products / services on the Internet through multilevel marketing, you deprive yourself of intermediaries, who usually inflate the final cost of the product.

Also, network marketing is characterized by the absence. And this eliminates the need for expenses for the implementation of an advertising campaign on the Internet, since products are distributed through recommendations from person to person.

MLM mission is to simplify, reduce the cost and speed up the promotion process.

Network marketing gives everyone the opportunity to build their own business on the Internet, while creating an extensive network of consumers. Anyone who develops a multi-level structure receives% of the total turnover for his activities. This is how passive income is obtained.

Myths revolving around online network marketing

Before we look at how internet marketing works, let's dispel the myths that skeptics have come up with:

However, supporters of networked business on the Internet also come up with many fables:

Multilevel marketing is the best type of business with the future.

Not a single dozen of the largest MLM companies on the Internet / real life have been able to achieve leading positions in half a century of their work.

The traditional concept of product distribution is still not inferior to the network one. Therefore, the statement that MLM is the business of the future is wrong. Although, separately taken the sale of goods on the Internet is really a progressive commercial activity.

Network Marketing is the key to wealth and success.

Do not believe that online network companies will necessarily become a source of financial independence. If this statement were 100% true, everyone would have retrained as networkers long ago.

In practice, only a few manage to achieve success. It all depends on how you take advantage of the online marketing perspectives;

MLM is an opportunity to run your own business.

If you are joining a multi-level company, it is a mistake to believe that network marketing will allow you to work exclusively for yourself.

First of all, you earn a profit for her. And she already from this profit allocates you a remuneration corresponding to your labor contribution. But this is only when you join an MLM company, and do not act as its founder.

How does network marketing work on the Internet?

People starting network marketing for the first time think that the number of consumers influences their earnings, however the key factor here is the number of distributors that we managed to attract... With their work and income, they will bring you a certain percentage of your earnings.

An MLM company operates without stores. The sale of manufactured goods occurs due to the fact that each networker attracts new buyers and sales agents. Thus, a network is being built, why on the Internet such a marketing scheme is called network.

Considering network marketing from the perspective of a person who decided to open it on the Internet, for him a distinctive feature will be, but an increase in the cost of forming a mentoring system.

Those. an entrepreneur needs to spend part of the money on vocational training. You will need to spend on promotional materials that will be used by distribution partners.

From the point of view of buyers, there are advantages. On the Internet, network marketing gives them a guarantee of quality, provides reasonable prices, the opportunity to obtain exclusive products, etc.

However, it is worth dwelling on the advantages and disadvantages of MLM in more detail. Those Internet users who seriously decide to engage in network marketing should know its positive and negative sides.

1) The benefits of network marketing on the internet.

1. Training, professional development. In network companies that value their reputation and care about the amount of profit, courses and seminars are required. Therefore, their employees are always competent, which has a good effect on earnings;
2. Free schedule. Distributors can work as long as they want (2, 5, 10 hours). If the deal you have made is effective, you can take a break. However, there are less fortunate days when you have to sweat.

The Direct Selling Association in the United States conducted research that found that 90% of network marketing workers devote literally 30 hours a week to work. The remaining 10% of respondents - even less (10 hours).

Dependence of the amount of earnings on your contribution. If a clerk's salary depends on the "uncle" for whom he works, then with network marketing everything is different. There is no limitation here.

A diligent, creative and grasping person is able to win over clients on the Internet, he is not afraid of a large amount of work. This means that his earnings will only grow.

Creative work. Network marketing is certainly fun and doesn't force you to sit in the office with the chore of paperwork. Neither the Internet nor offline with MLM you will have to get bored.

Moreover, the sale of goods can take place offline 24/7 and without your participation. For this, social networks, blogs, websites, multidisciplinary advertising on the Internet and other tools are used.

Expanded geographic space. Traditional MLM won't give you as many opportunities as MLM on the internet. You can use the World Wide Web to establish contacts with customers, attract new distributors to the network from all over the world and without a personal meeting.

To communicate with partners, you can use video conferencing, chat, Skype. At the same time, such a toolkit is available on the Internet to everyone and free of charge.

3. Friendly team, atmosphere of solidarity and mutual assistance... Since in network marketing the team is united by one goal, everyone interacts with each other. A young distributor can count on the support of more experienced colleagues.

Choice of business partners, professional growth rates.

Public recognition of the achievements of each distributor.

2) Cons of network marketing online.

1. Income volatility. Working on the Internet, you can actually receive both unlimited earnings and face a lack of money. Network marketing is changeable, and in order to minimize such risks, you need to constantly increase your customer base.

Rapid fatigue, neuro-emotional stress. Many sales agents find it difficult to constantly work with people, continuous communication. Usually, distributors are viewed negatively, seeing them as sales representatives trying to "sell" some kind of nonsense.

Because of this, one has to face a moral burden. Some distributors cannot withstand the pressure of customers and for this reason they leave the network business. But thanks to the Internet, this factor is gradually being erased. You need to be emotionally and stress-resistant.

Responsibility for the wards. Those who are not familiar with the responsibility for their own actions should not even try to work in network marketing.

This type of online business inevitably leads to responsibility for others. If you undertake to teach someone, one way or another you will have to be responsible for the actions of your protégés.

2. The need for cash deposits. By bringing you online network marketing, sales agents can promise that. In reality, you will have costs, for example, purchasing catalogs, etc.

Let's summarize. SM on the Internet is an activity that is beyond the reach of people who are devoid of purposefulness, patience, sociability, the gift of persuasion, and organizational skills.

How to start a network business on the Internet?

If you have an idea to become a distributor, you need to choose a large MLM company with a good reputation and turnover. There are quite a few of them on the Internet and in real life.

The listed companies specialize in the sale of cosmetic products. If you do not intend to work with this category of goods, you can choose other companies. However, the listed companies are proven, and in any case, they will help you gain experience, delve into the basics of network marketing on the Internet.

In order not to be mistaken with the choice, pay attention directly to lifetime of the organization... If it has already taken place and has been operating on the market for more than 4-5 years, you can trust it.

No less significant degree of demand for goods... Food, cosmetics, etc. are quickly consumed, therefore, they are regularly consumed. The products of the company that you choose must be useful to consumers, then they will be bought on the Internet.

In addition to the two factors mentioned, the following are also taken into account:

• Functionality, usability of the representative, its presentability.
• Availability of training, corporate assistance. A normal MLM company professionally builds a training system, motivates its employees to attend advanced training courses, trainings.
• The validity of the marketing plan, its type. Often a stepped one is used.

And here are the signs of scammers:

• large size of the entry fee (starting from $ 100);
• lack of goods, or the unjustification of its market value;
• the dependence of the amount of earnings not on the turnover, but on the number of buyers you brought;
• the promise of quick earnings;
• lack of confirmation of purchase and sale transactions, receipt of funds, etc. in documentary form (contracts, receipts, invoices).

Each MLM organization operates in accordance with the laws of its country. Therefore, in Russia, Ukraine and a number of other states, a person can become a sales agent only upon the onset of civil legal capacity. Those. an individual must be at least 18 years old at the time of employment.

Basically, the relationship and the level of salary are not disclosed in the collective / labor contract, but are formed on a contractual basis. This deprives the distributor of the benefits package and other guarantees that the employee is entitled to. The conditions fulfilled on the Internet by a distributor in the framework of network marketing are determined by the regulatory documents of the company.

The main requirement for those wishing to become a sales agent is the sale of a certain amount of goods or for a specific amount.

For example, to become an Amway employee, a person must:

But Bing Han International hires on different terms:

1. First, you go to the office of an MLM company or find its official website on the Internet to register.
2. Then you should undergo training / consultations with 2, 3 ... experienced specialists, buy or sell 1 unit of goods.
3. In conclusion, you will need to attend 5 trainings.

After, when you are hired and master the strategy of network marketing on the Internet, you need to make your first money. To start, you have to search for 2-3 people who will purchase your products.

If you intend to start seriously, along with the search for clients, look for partners who will be interested in MLM. With their involvement, you will increase your income, because the network will expand, and from each of its branches you are entitled to some kind of reward.

Theory is theory, but it's much easier to understand the principles of network marketing on the Internet using a practical example, right? Then, let's not put it on the back burner!

How to become a distributor in a network company (for example Oriflame)?

Many people who have made the decision to work in network marketing rather than self-employment start at Oriflame. But only those individuals who demonstrate personal development, gain experience and knowledge, are ready for time and financial expenses, achieve success.

In order to have a diligent team of distributors, Oriflame provides each employee with the following benefits:

The working system of a networked company has been tested for decades. Today, an Oriflame employee does not need to run around friends and acquaintances with a catalog under his arm, persuading them to prescribe any cosmetic product. All network marketing work can be done on the internet. Moreover, the income will be additional or basic, it depends on you.

As with any other type of network marketing, it is important to build your team at the beginning of the activity. It is necessary to attract new people using the Internet who will help you in increasing product sales (you will learn about ways to attract new people in the next section).

The invited users get not only, but also their advantages. For example, the ability to purchase goods at a 20 percent discount. The recruited team of people chooses for themselves what principle they use in network marketing - via the Internet or offline.

Anyone can become a distributor of Oriflame, but at the same time he must have the following qualities:

• hard work;
• focus on success;
• perseverance;
• sociability;
• self-confidence;
• purposefulness;
• Internet access.

Network business in Oriflame is available to women on maternity leave, retired citizens, students, housewives.

1. What do you need to work in a network company Oriflame?

You can conduct a network business on the Internet according to a free schedule. This method of work is convenient and provides more opportunities for increasing income. Such employment will allow you to reach a monthly salary of $ 1,000. And this is not the limit.

In the company's network system, there is no bosses who would cut your salary or deduct money from it for any needs. Therefore, only your personal activity on the Internet affects the amount of profit.

Start by registering. Follow this link https://www.oriflame.ru/business-opportunity/become-consultant... A registration form will open in front of you, which must be filled out:

Activate your account by email.

A letter will again arrive in the mail, where you will be notified of the personal number assigned to you and the sponsor to which you are attached.

The sponsor is your personal mentor. He will coordinate your actions, help you achieve success. If necessary, you can contact him for advice.

You can get immediate income from sales. To do this, you need to show people an electronic catalog on the Internet and motivate them to buy cosmetic products. You can create this magazine by going to the " Sales support».


Give it a name and click on the "Save" button.

The profile displays all the necessary information for running a network business with Oriflame:

• turnover,
• History of orders,
• receiving awards and achievements.

If you are going to register a new consultant, this will need to be done through this tab.

After clicking on the appropriate button, an online questionnaire will open in front of you, similar to the one you previously filled out. Here you need to enter the details of the invited person, indicate his mail, so that he / she will receive a letter to it.

Further actions are now small. The person who received the newsletter must activate the registration using the access parameters that were sent to him by email:

Thus, working with Oriflame on the Internet, you make a profit from the sale of cosmetic products. Since distributors are offered lower prices, your income is the difference between the catalog cost and the consultant price.

It is possible to build such a structure even from a small number of consultants invited by you. Once you master this key point in marketing yourself, you can teach it to your mentees, who in turn will teach the people attracted by them.

The result will be a strong network system that will generate additional income for you.

Also, the following benefits appear before you:

2. How much money do network business workers get in Oriflame?

To receive the money earned in a network company via the Internet, you will need to register as an individual entrepreneur.

Since Oriflame works transparently, salary to employees is charged by bank transfer. Therefore, in order to withdraw money from the account, you must be an entrepreneur and pay taxes in the future.

Let's calculate the costs:

• Registration on the website of the network company will cost you 149 rubles. This amount will be included in your first order. Sometimes promotions are held, due to which the registration fee can drop to 10 rubles.

Registration in the Oriflame online business does not oblige you to place an order or distribute a product. You do everything as you wish. The company's consultant is an independent distributor, which means freedom of action and independence.

• For registration of an individual entrepreneur, you will need to pay a state fee of 800 rubles.

If you add up all the costs, you get 949 rubles.

Of course, you will also have to pay for all orders. However, the money for it will be returned by your own customers upon receipt of the products.

Now about income. In the status of a novice consultant, only on direct sales on the Internet you can receive an average of 5-15 thousand rubles. If you assemble a team, the remuneration will be formed by the network company depending on the amount of orders from your partners and will vary within 3-22%.

For example, a partner has a turnover of 12 thousand rubles. or 450 BB (points). According to the bonus table, this is 6%. You are entitled to a difference: 22% -6% = 16%. Now you need to calculate how much will be 16% of 12 thousand rubles. - it turns out 1920 rubles.

You are entitled to such income from one person under the aforementioned conditions. And if there are, say, 10 partners with similar success? Network income will be 19.2 thousand rubles!

8 Ways to Attract New Business Partners to Online Marketing

You shouldn't lure people on the Internet to network marketing by coming up with new fables. It is also inappropriate to lure with the assortment and quality of goods. The assortment is expanding, the quality is improving - such a picture is ubiquitous, it is already considered the norm, and not an advantage, so this argument is no longer relevant.

It is best to show a potential partner the prospects and opportunities that he will receive while working in network marketing over the Internet. Tell him about the advantages and disadvantages (that is why we have listed them in this article), show the convenience of work.

On the Internet, to attract future employees of an MLM company, the following are involved:

• Websites. Your resource is the most optimal and reliable option. It makes sense to create it if you have the ability to fill with content. Articles should not only cover questions about network marketing on the Internet, but also be set up for SEO promotion.
• Thematic forums- An effective method of finding companions. It is necessary to conduct communication on sites dedicated to the topic of making money on the Internet.
• Groups and accounts in social networks. On these sites, you have the opportunity to post information about your MLM company in other people's communities and created with your own hands.
• Mailing lists. Relying only on this method is impractical. Many will ignore your emails, marking them as spam. Therefore, treat it as just an additional tool.
• Axles and similar services. CPA for a fee will help you find new distributors in your network marketing structure. A large number of users who want to find a job are registered on them.
• Contextual, banner advertising. On third-party sites on the Internet, you can buy contextual ads or banners, which, thanks to their colorful design and a competent slogan, will help you find caring people.
• Youtube channels. In the 21st century, people are losing the habit of reading, video hosting sites are gaining more and more popularity, where you can have fun and earn money. This is a convenient and effective way to attract new customers, train existing sales agents.
• Resources for finding vacancies, etc. On web platforms where people are looking for a part-time job or main source of income, those who are interested in your ad are guaranteed to appear.

Clients and new distributors from the Internet can be attracted without personal communication only when you have already taken place as a network marketing employee, created a certain team, having previously selected the target audience interested in how to improve your financial situation.

At the initial stage, communication must be conducted. Moreover, you will teach your new partners what you yourself have learned.

8 tips for newbies to conduct online network marketing

1. If you want to succeed much faster than expected, don't sit back. It is necessary to improve, read the relevant literature, not be ashamed to adopt the experience of experienced networkers.
2. Do not neglect a thorough study of the product, its properties. You must be fully prepared when a customer asks you about product specifications. Otherwise, you will not see sales. And do not try to lie in order to "shake off" more!
3. It is necessary to strive not only to conduct trade, but also to develop your own network on the Internet. This is perhaps one of the most important rules of successful network marketing.
4. Promote products online and search for partners using as many of the available tools and techniques as possible.
5. Feel the fine line between attraction and imposition. If you see that this or that Internet user does not show interest in you, stop spoiling his nerves and yourself.
6. Be patient, see it through to the end, even when faced with setbacks. Do not think that if your acquaintance with the help of the Internet could not achieve good results in network marketing, then the same situation will develop with you.
7. Plan your time correctly. After all, a free schedule gives freedom of action. Use the “important first, then urgent” formula. Rational time planning is the key to the success of any activity, including network marketing.
8. Learn original approaches, be bright, extraordinary and charismatic. People are drawn to the owners of such qualities. This can be felt even on the Internet, where personal acquaintance is not provided. So you will increase your rating, increase sales, for which you will be pleasantly rewarded.

How to create your own networked business on the Internet?

We figured out how to become a distributor and the next steps. But what about those who want to open their own network marketing on the Internet?

First, such people should already have a company that sells goods of their own production or products of another brand. In any case, there should be no complaints about the quality of the goods. Their cost also plays an important role.

Are you okay with the quality and range of products? Then you can enlist the support of competent distributors, create your own network.

Be sure to create a royalty system for your distributors so that it is beneficial not only to you, but also to them. You must provide a good training and incentive system for newcomers to the network. Indeed, the level of profit depends on their ability to attract customers and employees to your network company.

At this point, it is important for you, as a "leader", to try to develop leadership qualities. It's good when you have what to sell and to whom, and you have staff. However, if you are not a motivator, your network marketing on the internet will stall.

Only with leadership skills is it possible to generate a branched and strong structure.

It, in turn, should be diluted with unique technologies, its own methods of work and promotion, since the process of network marketing itself is a dynamic flow. Now it can develop, but tomorrow it will slow down and completely fade away.

If you manage to spin this "money machine", it will soon bring you dividends. The creation of a website on the Internet will help you achieve this.

Opening a network company and developing it is an opportunity even with a small budget. You can conduct such a business via the Internet without interrupting your main business activity.

How to start doing network marketing on the Internet?

You will learn about a competent start and the "Magnet" method from the video:

Online network marketing will give you unlimited financial prospects, if you focus on building a strong team, you will earn a good reputation.

A properly designed training system, continuous support for new members, regular corporate events, and measures to increase sales - all this will help you improve the quality of your life.