Almost everybody knows Franchising, it is a concept where you buy another firm’s business model. Let’s take McDonald’s for an example. McDonald’s is a franchise concept where people by the concept for an startup cost ($995,900 – $1,842,700) and then you duplicate the concept of McDonald’s.
Now you know a small part of what franchising is, Network Marketing is a kind of franchising, only it comes with a price anyone can afford.
First I’d like to tell you, that the majority of new job in the US comes from small business with under 25 employees and networking is already accepted as the human communications technique of the future.
It is a great way to get quality products and service to the public at prices they can afford and as a maximum profit benefit to everyone, not just the people at the top.
Some of the best Fortune 500 companies recognized this early and made fortunes by embracing this philosophy. Like Tupperware who is the largest plastic house-ware in the world and Mary Kay Cosmetics, a million dollar company, that started in someone’s home…
Already a lot of independent marketers has helped some of the most important communications companies in the world.
Network Marketing is not made up by bosses, workers and salary, it is made by individuals like you and me, people who are there own bosses. Network marketing companies do not succeed unless their distributors succeed.
In Network Marketing it is possible to make 15,000 dollars or more a month working from home. Network Marketing is an opportunity for every individual to create a business of their own with very low cost and very high potential returns, developing a network of distributors who personally get their company’s services or products directly to their consumers.
Now you might think: what’s the difference of Direct sales or Multi Level Marketing (MLM) and Conventional Marketing?
In Direct sales you earn commissions from direct selling of your product or services and bonuses are earned by the volume of your down-line (the people you recruit into the program).
In Conventional Marketing services and products are moved through a very complicated ladder of middle men. Workers, wholesalers and retailers are in this case of services agents and contractors, who all earn profits and mark up the cost of an item before it ever reach the consumer.
So what will normally become a network middle man, now becomes a network of distributors and all the profit now comes to you and your network, instead of going to the workers, wholesalers or retailers.
Now you have a most powerful means of earning income with no limits to the potential money you can make, by sharing something you believe in.
Let me ask you this: How many times have you recommended a good movie, a book or a restaurant?
Have any of these companies reimbursed you for recommending their products or services? Of course not. In Network Marketing you get paid for your “word of mouth advertising”. Other companies are paying hundred thousand of dollars and even more on advertising. If they want to make a TV commercial it can cost from a 1,000 $ to over 500,000 $ depending on the method they use.
Research proves that consumers, except for the “word of mouth”, that it is the personal contact that does it and most people will listen to a friend’s advise about a product or service, more than they will listen to a 50 million dollar company.
All you need to do is find a service or product you believe in. One offered exclusively by a network marketing company and find someone, a sponsor who is dedicated to your success, because in Network Marketing if you succeed,the person who sponsored you will also succeed.
However you should be aware of the danger called pyramid scheme. It is a potential danger, because the doubling concept does apply to both network marketing compensation plan and pyramid schemes alike. However, here the similarity ends.
In FACT Network Marketing is in almost every other way the total opposite of a pyramid scheme.
The pyramid scheme only appeals to greed and offers little substance in return. It provides no legitimate product or service or one that no one would normally buy if there were no pyramid scheme involved. There are usually no retail or wholesale profit markets.
In Network Marketing the products are usually unique. Once you sold a product continuing effort must be devoted to servicing the consumers’ needs.
It also requires time and effort to train and manage others to do this. That is what lies behind the compensation plan and bonuses are earned by up-line distributors, because they train and manage as well as recruit other distributors into the concept/program.
So what should you look for in Network Marketing company?
Start with, looking for a valid service or product you believe in and of course a great compensation plan, by great, I mean one that pays a retail profit and provide bonuses for developing the down-line organization. Then you look for the company’s proven experience in Networking. It also have to provide top quality promotional and support material (DVDs, brochures etc.) to help you get started.
As I mentioned earlier, you will also need a sponsor who will work with you and make sure you have any opportunity to succeed..
So now what are you waiting for? Anyone can do this, you don’t have to be a sales person, if you can just share the enthusiasms about a product or a company and help other people do the same. If you can just interest a small handful of people in a new product or company, you truly believe in, you have the beginning of a successful network and a promising new carrier.