As people get older and start noticing wrinkles, achy joints, and less energy, many are inclined to go searching for a product that can help smooth their skin, oil their bones, and give them a much-needed boost … [Read more...] about Should You Become a Modere Consultant?
Multilevel Marketing (MLM)
Welcome to our page about multilevel marketing!
Here we explain what MLM is, how it works, and list some of the pros and cons. We also provide links to other related content you may find helpful.
What Is Multilevel Marketing?
Multilevel marketing (AKA MLM, network marketing) is a business model where you earn commissions selling products and recruiting others who sell products.
It's a form of direct sales because MLM companies sell their products directly to consumers, through a network of independent distributors. Effectively bypassing the traditional retail sales model.
This provides everyday folks with the "opportunity" to start a home based business for a relatively low cost, promoting these products and building a team of distributors under them.
How Does It Work?
To get started in network marketing, you first need to select a company you want to work with, and after joining, you can earn commissions promoting the company's products.
You can also build a team of distributors under you, who go into your downline, and in doing so, earn commissions based on their sales activity too.
Each company is different. Different products, different compensation plans and different styles of leadership. So exactly what you sell and how much you earn (etc) depends on the company. As well as how much effort you put in.
Is MLM Legit?
The simple answer is yes, MLM is legitimate. It is a legal and legitimate business model in the eyes of the law.
The longer answer is, it depends on the company itself.
Some companies operate in a similar manner to a pyramid scheme. Where the main focus is on recruiting people, who recruit people. Versus focussing on selling a high value, marketable product to consumers. And in this case, that company would not be legitimate and is not operating an ethical, sustainable business.
Sometimes it can be hard to tell the difference, but one common theme is always how much emphasis the company and it's distributors place on selling quality products, above mass recruiting. You can learn more about pyramid schemes here.
Who's It For?
Anyone can be successful with network marketing, but most people aren't. It seems to be one of those business models where 95% of people (or more) end up failing.
The most successful network marketers are those who know how to build a large team. And typically those who enjoy meeting new people, giving presentations, speaking at events and face to face selling. It's basically a sales job, so it suites people interested in sales.
Pros
- There is potential to create passive income over time if you build a large enough sales team under you.
- There is typically lots of self development training and events where you can meet like minded people.
- Allows you to be a key part of a company you're really passionate about.
Cons
- Most MLM companies require you to "qualify" to earn commissions, by purchasing or selling a set amount of product each month.
- The real money is made by recruiting, which is where the fine line between legit MLM company and pyramid scheme becomes blurred.
- As a network marketer, you're building your entire business around one company, which means you're putting all your eggs into one basket.
Top 10 MLM Company Reviews
- Team National
- SeneGence International
- Paparazzi Accessories
- Monat
- Norwex
- Neora
- myEcon
- HempWorx
- It Works!
- Vasayo
Top MLM Articles
- Affiliate Marketing vs Network Marketing: Which Is Best?
- Can You Make Money With MLM (without recruiting)?
We hope you found this page helpful. Scroll down to check out our latest reviews and content if you want more content!
Should You Become a Justine Consultant?
We all know that consultants from MLM companies have arguably one of the worst reputations out there. If you’re like me, you’ve probably wondered how anyone could get sucked into one of those things. But … [Read more...] about Should You Become a Justine Consultant?
Should You Become a PartyLite Consultant?
So, maybe you’ve come across PartyLite by accident while candle shopping, or maybe you’ve been invited to become a consultant by someone who was already involved. Either way, you’re considering whether or … [Read more...] about Should You Become a PartyLite Consultant?
How to Become a Scentsy Consultant [3 Steps]
Becoming a Scentsy consultant is a simple process, and in this article I'm going to show you how it's done (in just 3 steps). Let's start by discussing the business opportunity itself, so you know how it … [Read more...] about How to Become a Scentsy Consultant [3 Steps]
Can You Make Real Money Selling Norwex?
Norwex is a network marketing company that sells eco-friendly cleaning and personal care products. And the people who sell these products are referred to as Norwex consultants. Most people who become Norwex … [Read more...] about Can You Make Real Money Selling Norwex?
Can You Make Money Selling Paparazzi Jewelry?
There are many ways to create a successful business, so it makes sense to sell jewelry you love, and to surround yourself with others who share the same passion as you. Sounds like a win win, but can you … [Read more...] about Can You Make Money Selling Paparazzi Jewelry?
Prosperity Income Network Review (Earn $20K Commissions?)
I came across Prosperity Income Network (PIP) today. It's a new MLM business opportunity promoted by a well known marketer, Mack Mills, who says you can earn $350 to $20,000 commissions "within weeks" of … [Read more...] about Prosperity Income Network Review (Earn $20K Commissions?)