MLM is not an Employee/Employer Relationship

As a network marketer, you do not work for the company; you work with the company. The business relationship is a tangible and dynamic partnership where the company provides: the products and packaging, research and development, capitalization, financial management, legal and regulatory compliance, data processing, administration, order taking, purchasing and production, quality control, product satisfaction guarantees, warehousing, shipping, creation and production of marketing materials, and so on. So even though you are in business for yourself—you are not in business by yourself.

i am a Networker But I’m Not a Salesperson

If you can push ‘play” on a tape/CD recorder, refer others to a website or 1-800#, you can succeed in this business. Previously, network marketing tended to work best for aggressive, sales oriented entrepreneurs. Today new technology offers the every day non-sales type person a realistic promise of financial freedom. Through new systems and technology, the average man or woman—not just the super salespeople—can enjoy the fruits of entrepreneurship while avoiding many of its hardships.

Network Marketing the System Do the Work

Advancements in technology have streamlined the way network marketers do business. This new technology takes away the need for extraordinary sales people, which in turn levels the playing field for ordinary people looking for an above average opportunity. The system simplifies, standardizes, and automates the most difficult aspects of the business. No longer do distributors need to stockpile inventory and keep track of all the paperwork. Most companies have you simply direct customers to a toll-free 800 number or company website. The company fulfills the order, credits the distributor for the sale, and generates a computerized commission check and detailed report at the end of the month. What makes network-marketing work is the division of labor between distributor and parent company. A good company takes care of everything except sponsoring. Network Marketing has evolved so that the distributor functions mainly as a human contact through which the company’s communications or information stream is channeled. Someone who doesn’t have strong communication skills, strong selling skills, or strong management skills can still prosper. The idea is “you do what you do best, and the company will do the 4rest”. Voice mail, fax machines, electronic mail, Internet, videotapes, satellite links, and conference calls have made communication rather simple and effective, which allows each distributor to focus on learning and growing the business. Ironically, some of the same technologies that have allowed traditional business to cut millions of jobs are also allowing an innovative marketing method to offer hope and opportunity to people from all walks of life. Network Marketing uses this technology to support people, rather than replace them. As computers take over more and more of the work that people used to do, they free us up to focus on those things that people do best—to dream, plan, strategize, solve problems and interact with other people.

next in Multi-level Marketing

In line with global economic trends, Multi-level Marketing (MLM) companies have shifted their focus from the West towards Asia and Emerging Markets. Asia’s MLM market is estimated to be the world’s largest. With Green and “healthy-lifestyle” products poised to become the next big thing in MLM, do the best days of Asian MLM lie ahead?

Multi-level marketing (MLM), otherwise known as network marketing, evolved to reach out to customers who were either beyond the reach of conventional bricks and mortar retailers or who needed to be convinced face-to-face by someone they trusted to buy pricey, high involvement products. The world’s most successful MLM firms have been equally successful at two things. The first is creating products that people want to buy through network sales rather than other channels. The second is perfecting a process for recruiting, training and motivating sales representatives. From Avon to Tupperware, and Tahitian Noni Juice to Diamond Filtration, the reach of multi-level marketing has been astounding.  A well-established industry in OECD countries like the United States, United Kingdom and Australia, the industry has evolved and is becoming increasingly hard to ignore. In 2010, sales figures

Multi-Level Marketing in Asia and Emerging Markets  Encouraged by the success of multi-level marketing in OECD countries, MLM firms have shifted their focus to Asia in recent years. Their efforts have paid off. Asia registered USD 37 billion in MLM product sales in 2007, and is now the world’s biggest region for multi-level marketing3. Trailing behind are North America (USD 32 billion including Canada), Europe, Africa and the Middle East (USD 27 billion), Central America, Southern America and the Caribbean (USD 17 billion), and Australia and the Pacific (USD1.4 billion).

NETWORK MARKETING A SMART CHOICE FOR TODAY’S ENTREPRENUER

What Exactly is Network Marketing?

Network Marketing (also known as multi-level marketing-MLM) is an efficient method of distributing aproduct or service to the end consumer, through word of mouth, or friend -to-friend referrals. Network Marketing is a marketing method where each person is an independent distributor with his or her own business, not a company employee. It is an effective and powerful marketing system, and a perfect vehicle for home based business and the decentralization of business, which is rapidly approaching. There are approximately 10 million distributors currently in the United States, who sell between $15 to $20 billion dollars in products and services annually. Yet, while more and more people are enjoying its benefits, most are still very unfamiliar with it.

A Brief History of Network Marketing

Who actually pioneered this business? When did network marketing actually start? In 1945, Carl Rehnborg was known to be the first person to introduce a compensation plan to market his nutritional products. His company was originally called the California Vitamin Company, but later renamed as Nutrilite Products Inc. Using a multi-tired plan, it allowed any Nutrilite distributor to get a 3 percent commission from a downline on top of the regular commissions from his own sales. With this system, Nutrilite achieved stunning success compared to the old “direct-selling” method. In 1959, two good friends- Rich DeVos and Jay Van Andel- started a new company called Amway Corporation selling biodegradable all-purpose cleaner. By using a network marketing compensation plan, the tiny enterprise achieved remarkable success with a sales force all over the United States. Dr. Forrest Shaklee did the same with nutritional products in 1959 with Shaklee products. Over the years, network marketing has evolved and diversified into a wide range of products and services as more companies have adopted this marketing method.

Network Marketing is not an Employee/Employer Relationship

As a network marketer, you do not work for the company; you work with the company. The business relationship is a tangible and dynamic partnership where the company provides: the products and  packaging, research and development, capitalization, financial management, legal and regulatory compliance, data processing, administration, order taking, purchasing and production, quality control, product satisfaction guarantees, warehousing, shipping, creation and production of marketing materials, and so on. So even though you are in business for yourself—you are not in business by yourself.