Networking marketing is a current day advertising model that has been a viable business model since the early 1980s. MLM gives the everyday working class a chance to fire their boss by becoming an owner of their own home based business. And so you know my own home based business Infinity Downline is believed by many marketers out there to be Multilevel marketing but in many ways is very different than most MLM companies.
Agencies that have made the decision to employ network marketing to merchandise their products are traditionally very different than other non MLM companies. How are they different you might be wondering? MLM based companies pass a long a percentage of the profit made from the selling of their merchandise to the people who actually go with their highly promoted products. Non Mlm business companies absolutely do not.
All Networking organizations have what is known as a compensation plan that spells out specifically how they will pay commission to the people who use their merchandise. Built into all compensation plans is a method for distributors to receive compensations for not only what products or services they buy, but to also earn money off the sale of the companies products to other people as well. Why does this take place?
To explain this simply, if I buy the companies product then I am paid a commission. If I then pass along the info to you about it and you buy the companies product we both then get paid. What I am paid is because of the fact that the sale would not have been made if I hadn’t told you about their product to begin with. It goes even further.
If your friend then starts spreading the word and informs one of their own friends about the great product they bought, lets call that friend Joe and Joes decides he like the product and buys it too then you earn and your friend each will be paid commission for that sale because you both have responsibility that lead Joe in his decision to purchase the product to begin with. You see if you had never brought in your friend, Joe would have not have been introduced, so you each are responsible for Joes subsequent purchase.
Quite a few individuals refer to all networking organizations as pyramid schemes. But actually these days their are tough legal guidelines that regulate all networking market practices. That term was brought about due to some unlawful companies marketing with out a valid product and only paying commissions based on recruiting fees.
Really why the term Pyramid Scheme developed, is because of the graphical depiction that most MLM comp plans look like. For example consider what your downline looks like as you begin building your organization, the levels below you are wider because there are more people in them. For example, if you bring in 2 people who bring in 2 people each, the 3rd level would have 4 people on it. . Like a pyramid, a single point at the top, and each level down from it grows wider and wider.
When your new referrals and their new referrals follow in your footsteps you will be rewarded for their hard work as well. J. Paul Getty a very prominent capitalist from many decades ago made the famous quote that basically stated he would rather earn money from just a single percent of one hundred people, than from one hundred percent of just his own efforts a lone.
To be accurate though Multilevel marketing programs usually don’t limit the numbers of people you can personally refer into the company, however the levels below you that your downline can go is limited in most multilevel marketing companies. Another thing to know is that in most mlm comp plans each level down will earn you a different percentage of commission. That is because there is only so much profit can can be made on a sale and that limits the amount of people who can receive a percentage of it.
In my own company Infinity Downline as I stated earlier in this article, is the fact that it is looked to be just an Multi-level marketing company by the majority of people who do not know better but honestly it has a far removed from the typical mlm comp plan instead. Let me give you a few examples.
1- The creators and proprietors do not take any of the proceeds from membership sales. ( They make a tidy income selling the members additional products and services )
2- Commissions are paid 100% to you no matter what level it comes from
3- There isn’t a number that the amount of levels you can be paid on where it finally stops. It may be 5 levels that it goes down, but then again, it may be 5000 or even more.
4- This is specifically why it is called Infinity Downline.
Multilevel marketing for sure levels out the marketing game and with a helpful fully committed downline organization, hefty profitable downlines for all can be built and individuals and whole teams included can receive hefty incomes. Many individuals in Network marketing have received huge envious paychecks from their mlm business.