What is Network Marketing?

If you Google search the definition of network marketing here is what comes up in the number one spot.

Network marketing, or multi level marketing, or mlm as it is known, is a business in which a distributor network is used to build the business. Usually such businesses are also MLM in nature in that payouts also occur at more than one level.

Network Marketing is sometimes also used incorrectly to indicate that the business uses a network of product suppliers in order to offer a broader selection of products. It is usually used this way to differentiate themselves as a way to suggest that their program is superior to other such programs.

Now if you have a network marketing business of your own or you are researching this industry it is most important to understand that network marketing offers several advantages to the average person that they could not get if they tried to start a business of their own and do it all by themselves.

Here are a few of the advantages of starting a network marketing business of your own.

1. Low start up cost. If you were to go out and start a franchise you could expect to spend thousands or maybe even millions of dollars to start. You can join most network marketing companies for under $100.

2. Real products. This means that you can make money selling products which is known as retailing. This allows you to put your business in an immediate profit mode.

3. Duplication. This is a very powerful concept that allows you to build a downline of distributors from whom you can make money on their sales as well. Unlike affiliate marketing which can be 2 tier in nature, network marketing pays you on the efforts of distributors several levels deep.

4. No territories. One of the best thing about network marketing is you can build a business virtually anywhere in the world that your company is open for business. The internet has made that even easier to do.

5. Training and support materials. You will have everything you need to be successful. Training brochures, conference calls for training and business meetings, websites, and other advertising materials.

This is a quick overview of network marketing as a business. This is a way to start a business of your own and make a lot of money someday if you build it up large enough.

Scott Ames