Network marketing or multilevel marketing is a business model that involves the recruitment of like-minded individuals into an organization. Newly recruited associates will then be required to buy products from the network marketing company and build their own network of associates. This in turn enables the original introducers to earn a commission every time their downline/associates bring in more associates into the organization. Network marketing is a legitimate business opportunity, which allows a company to sell its wares through multi-level sales. Here is a brief breakdown of the steps you need to go through to set up a network business.
The first step in establishing a network business is deciding on what type of product you want to sell. After all, if your heart is not fully committed or appreciative of the product you want to sell, then you will find it very hard trying to convince other people to buy into it. Different multilevel companies will sell different products. Look for a product that you are somewhat familiar with and would enjoy working with.
Next, you should identify a network business marketing company. You can find plenty of listing online, or even in magazines. Try to contact a sponsor who has been in the business for long period and has a good understanding of the company. Make sure to find out pertinent details about the company, such as its business model, pay plan, and how long it has been operating.
The last thing you want to happen is to develop a long downline, only for the company to close down. It is also advisable to select a network company with a good pay plan. A multilevel company that offers 20-30% on level will enable you to start profiting immediately from your sales. It should also be in a position to send you new stock each month, to keep your sales going.
Once you have identified and signed up with a network business marketing company, you should start building your network of associates, commonly known in the business as a downline. You can either do your marketing face-to-face or over the internet. If you prefer the face-to-face approach you can either act as an advisor or a bridge.
An advisor is a person who persuades the prospect or customer to buy the network company’s products, while a bridge is a traffic middleman who introduces the pool of prospects to the advisor. If you are good at persuading people and developing contacts, then the face-to-face method would probably suit you best.
On the other hand, you could also use the internet to market your network business. A simple way to go about this is to implement an email marketing campaign or online sales ads. These resources should be able to educate your prospects on the products offered by your multilevel marketing company and how they can be rewarded for joining it. Interested prospects can then fill out a form online, and make payments for the products.
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It is vital that you select a sponsor who has a well established track record in the network business and is able to mentor you for success.