Network Marketing, MLM, Direct Sales, or a Combination of the Best

CONGRATULATIONS for making it this far! The people who look at these business models are open minded, and have a strong desire for more in their life.

Many of you have heard the terms Network Marketing, MLM, or Direct Sales mentioned, and discussed somewhere. Though these words have been floating around for some time, they carry a lot of mixed messages, and are often wrongly interchanged. So that we may all be on the same page here, let's define them.

Network Marketing:

* a company makes a product or provides a service, looks after the research and development, the finance, the management, and then joins forces with a group of independent distributors who market the products for the company, each one in business for him or herself ... and then get paid commission checks

* a way to distribute goods and services

* a way to educate people on products, goods, and services

* a phenomenal opportunity for you to do personal development

* a group of distributors receiving training and support, and who in turn get others to join them in business and do the same

* being the head of your own organization

* a way for the company who manufactures the products to eliminate the need for wholesalers, jobers, brokers, and all those middlemen

* a way to leverage time and efforts

* an inexpensive way to start a business.

In summary there is no big mystery to Network Marketing. It is just another form of sales and distribution.

Like every other business model, Network Marketing has a history. The industry of Network marketing is just over 50 years young. Yet in its brief history, it has made tremendous advancements.

There are great companies, and there are poor ones, just like in any other industry. You may not be aware that companies such as Colgate-Palmolive and the Gillette Company have Network Marketing subsidiaries. In recent years Sprint generated an enormous amount of new customers, and created much wealth using this business model.

Like franchises, Network Marketing has in the past been criticized due to ignorance. However, now that Network Marketing is gaining worldwide acceptance as a business model, more and more products are being offered through this distribution channel.

When checking out a Network Marketing company, do your homework:

* What is the pay plan, what is their pay structure and how often do they pay out commissions?
* How many products do you need to move in order to be profitable?
* How many people do you need to bring into business with you to succeed?
* What kind of training and support can you expect?
* Do they use technology effectively so you can go global?
* What does the future growth of the company look like?
* Is it an opportunity backed by a product or a product backed by an opportunity?

These are only a few questions to get you going. However I do want to elaborate a little on the last point: Opportunity first or Product first?

My first experience, in the home business industry was with a network marketing company. I loved the products and still do to this day! The scientific research done by this company was second to none. The philosophy of health and wellness aligned with my belief system. I received very valuable personal development. I don't have anything negative to say about the company and its products. However, I experienced struggle in this business. I am the first to admit I was solely responsible for my lack of financial results. I did however learn a very valuable business lesson. This health company had fabulous products backed by an opportunity. The products came first, then the financial opportunity. Even though this plan was not multi level and that it relied solely on the amount of product volume that was generated, it meant every week, every month, thousands of dollars of products needed to go through my organization in order for my associates and I to see commission checks over a $100.00. This was a plan were one needed to have thousands of people in their organization in order to reap a 5-figure income per month. This was a plan that could take many years to build.

Multi Level Marketing

In this model many of the same aspects of Network Marketing exist yet there are significant subtleties. The major difference being that you get paid on levels versus strictly the amount of volume that goes through your organization. The percentages of the commissions paid out, vary depending on the level that the product sales were generated on.

Direct Sales:

Sell one product make one commission. When the same customer buys more products you make further commissions. The types of products distributed through this channel vary widely. The industry of direct sales is vast and encompasses a variety of commission pay out scales. It also uses many of the franchising and networking concepts. Go to your local Barnes and Nobles or Chapters book store and you will find shelves filled with information on the subject. The Internet has hundreds of thousands of sites devoted to this industry. In my opinion, John Milton Fogg is a great author on these types of distribution models. He consistently searches for the truth and works to get rid of false and misleading information. He recognizes that the positive facts of the models are sufficient enough that there is no need to embellish and lie.

"Direct selling provides an unparalleled opportunity for millions of people to take responsibility for their own economic wellness, create long-term financial stability and even realize significant wealth, even while enriching the lives of untold numbers of others." Paul Zane Pilzer

As you check out opportunities, you will be able to find what resonates with you. There is one factor that is common to all of these various business models and that is YOU! Are you ready to step out of the box, look at something different and take action towards your desired goals of happiness, peace of mind, getting the financial picture in place, time freedom and so on. Those who succeed have stopped blaming, complaining and justifying their lack of results. They move forward and use every obstacle as a learning opportunity.

I must say that frequently due to past negative experience, people are hesitant. They may have previously gotten started with a company and it has not worked out for them. They step back into their previous mold and do not want to look at anything else. That is unfortunate, as if often takes a couple of starts to learn which business model is best suited to you and to learn the basic skills that you will need to achieve your desired level of success. What works for one person may not work for another because of your individual belief system. Rather than pulling back, keep looking for the company that resonates well with you, your values, and your goals. There are many great companies out there and all you need is ONE such opportunity to achieve your success.

Today, thanks to my husband who was willing to take one more look, after we had not experienced success with our first venture, he and I are now working with a plan that uses Network Marketing concepts combined with a Direct Sales pay plan. This cutting edge, business model uses the technology of your home computer, your telephone and a conference bridge, to its maximum. Many countries are at your fingertips, all from the comforts of home. The benefits of leverage exist here.

Recommended book titles:

It's Time For Network Marketing - edited by John Milton Fogg

How to Sell Network Marketing without Fear, Anxiety or Losing your Friends! - Michael Oliver

The Next Millionaires - Paul Zane Pilzer

The Greatest Networker in the World - John Milton Fogg

The Business School - Robert Kiyosaki

The Perfect Business - Robert Kiyosaki

The New Professionals - Charles W. King

If you are serious about changing your life, take time to check out the Network Marketing Industry, it is the most incredible form of Free Enterprise and Wealth Creation!

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