Multilevel marketing, which is also called MLM, has become a very popular kind of business in our world today.
Right from the day it came into existence, several individuals have taken an interest in it and many of them were able to create success stories of their involvement in the MLM marketing.
It has proved itself to be one of the best and easiest ways to make money. It is a kind of business that can be done online and offline; depending on the kind of product or service that you are advertising or distributing.
Through this written piece, you will be able to learn about the important things you need to understand before you ever attempt to make money through MLM marketing.
What is MLM marketing?
MLM marketing, as the name implies, means multi level marketing. It is called multi level because the involved distributor will have the chance to earn money on several levels depending on the number of downlines he/she has.
It is also called multi level because a distributor will have the opportunity to ascend to different levels of seniority and financial affluence as time goes on. The goods and services distributions are done through a network of distributors.
How does MLM marketing work?
MLM marketing starts with recruitment. You are recruited by an existing distributor and you immediately fall under him as a downline.
Your upline earns a certain percentage of money from all your distribution activities. Moreover, your upline also has another upline who earns money from the distribution services of your upline. This way, a large chain of a network is created.
Your own earnings will be limited to the amount you are able to make from the sales you carry out.
When you too recruit someone into the program, you become an upline for the person and the person becomes your downline.
As the person distributes the concerned goods and services in the program, you will be given some percentage out of the amount of money that the other person makes and you will also make more money from the sales you make.
If you are able to recruit more people, the amount of money you make will also increase. This is one of the most important things to consider to make money through MLM marketing.
How do you get trained?
The person in your immediate upline is responsible for training you in MLM marketing. The upline had been around for quite a while and thereby, already knows the business.
The upline is therefore expected to give you all the necessary training that will help you make more sales, that is, the upline helps you to increase your business volume.
Training you is even in the interest of the upline because the better the upline trains you, you generate more sales and your upline earns more.
Some MLM programs also offer royalty percentages once the upline reaches a certain level of sales performance.
For instance, the MLM association Amway offers its distributions commission in the range of 6%, 9%, 12%, 15%, 18%, 21% and once an upline crosses the 21% mark; the upline from then on is paid a royalty percentage of 4% till the last day the upline continues with the business.
Advantages of MLM marketing
MLM marketing has quite a number of advantages. One of the most important is the fact that there is rarely any limit to the amount of money you are able to make through the program.
If you can recruit the whole world to become your downline, it means you will be able to make money from the sales activities carried out by each and every one of them. You will also have the opportunity to make money from the sales that you personally carry out.
In case you stop making sales, the sales activities of your downline will ensure that you are consistently paid.
If your downline recruits more people, it will help to increase the amount of money you will be able to make.
Some MLM marketing programs do have special rewards and compensations for distributors who had been able to reach a particular level in the MLM marketing. All these make it possible for you to really make money through MLM marketing.
Disadvantages of MLM marketing
MLM marketing is very popular today. This has also made it possible for some questionable characters to invade the business…
They set up MLM marketing programs that are only designed to swindle innocent people out of their hard earned money. The rate at which fraud and deceit are encroaching into MLM marketing, it is turning it into somewhat “dangerous waters” to wade in.
Before you can meaningfully make money through MLM marketing, you need to be able to make sales. You also need to recruit as many people as possible. If you fail in this regard, your dream of making it may be far from being achieved.
If you are unfortunate enough to choose a MLM program that is offering an unwanted product, you may never succeed at all in your bid to make money through MLM marketing.
Factors to consider before you take a leap
Before you take a leap into MLM marketing, you will do well to consider the factors that will be highlighted below
- Investigate the product to be distributed: Make sure that you have a full understanding of the product that the MLM program is distributing. Find out how marketable the program is.
Any unmarketable goods or services will only make things difficult for you. You will end up working your tail off without being able to make meaningful sales or recruitment.
- How well is your uplink doing: One of the best ways to find out how successful you too will end up becoming in the MLM marketing of your choice is to find out how well your uplines are doing.
Does it look like they had been able to truly make money through MLM marketing? If this is so, there’s a great chance of you too being able to make it through the MLM marketing program.
- How clean the MLM program is: Another point to consider is the reliability of the MLM program. You need to find out if the program is real or not. If it sounds like a white elephant project, you will do well to avoid it. If it sounds too good to be true, you will do well to consider it as not being true at all.
All one can say now is that you have been adequately informed on how to make money through MLM marketing.
The ball is now in your court. You will do well to consider all the tips and advice that has been made available through the write up above.
Careful and consistent attention to the details will go a long way to ensure your success in MLM marketing.
Any stories on MLM? Share them with the rest of us…