Understanding How and Why"Network Marketing"Works

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  • Author Max Seale
  • Published July 8, 2010
  • Word count 792

The concept of internet marketing is simple,and consists of two primary principles. First,a company relies on independent representatives,or distributors,to sell its products and services directly to to consumers.

That's why it's called direct selling.The company is spared the expenses typically associated with the middleman in business. In direct selling,you don't need retail space or massive and costly advertising campaigns. The independent representatives,using a variety of marketing vehicles,dynamically advanced products and services to the point of purchase.

Second; the representatives are granted the opportunity to build their own independent sales organization and network of marketers or better know as a down-line.The representatives receive a percentage of the cash revenues generated monthly by the network. Some levels of the network pay a higher commission than others. I will discuss compensation plans in another article. This is an example of a down-line,you have one person named Pete,Pete recruits Jane and Bobby,Jane recruits John and Keith and Bobby recruits Jim and Frank,now John,Keith,Jim and Frank each recruit two or more people, all of these people are in Pete's down-line and Pete would be considered a part of Jane and Bobby's up-line,Jane is a part of John and Keith's up-line, if you draw a diagram of this on a sheet of paper you might see how it forms a pyramid and some people may refer to network marketing as a pyramid scheme;but pyramid schemes are illegal.

People who refer to network marketing being a scam or pyramid scheme and sometimes make negative comments about different internet marketing companies are often referred to as "crybabies",these are ex-internet marketers who probably gave up before they succeeded. They tend to blame everything thats wrong with network marketing and probably the problems of the world! Stay away from their websites,they try to steer everyone away from success; because they have failed at it!

The logic behind internet marketing is simple,but the implementation is complex. The distributors depend on the internet marketing company to provide desirable,quality products and services and to create the supporting systems such as operations,marketing,sales,customer service,and personal development.The company depends on it distributors to learn follow the systems and then teach the systems to other distributors whom they sponsor in their down-line. The ultimate failure or success of a internet marketing company depends on the effectiveness of it's systems and the ability of it people to teach band follow them. For all of this to work,the parties must be committed,enthusiastic,and cooperative,not to mention fair and honest.

Internet marketing companies build the machine that makes it possible for internet marketers to succeed.For a small investment,people can wok from home and get all the tools and support they need directly from the company or the company who sponsors them.It woks because people are given every chance to succeed without a lot of investment and a lot of skills.

Even in a strong economy,many people need supplemental income.Most people live paycheck to paycheck,That is if they have a J.O.B (Just Over Broke). Most people can't afford the nice things they want,or send their kids to college,and since there is seldom opportunity to make extra money in a job people resort to network marketing. The risk is low,and the potential return is great,as a result there will always be the need for network and internet marketing. I refer to internet marketing because network marketing is accomplished by using the power of the internet.

People are looking for for freedom from wok and jobs they don't enjoy,and for money,and they can find both in network marketing.The combination is to tempting to pass up. Where else can you find a concept that gives you more of what you want just for helping them distribute their products and services?

Time seems to be the factor that Americans value most,and internet marketing can give them more of it by allowing them to work from home.They don't have to commute,and they don't have to get dressed!

The desire for more time may encourage more of America's dissatisfied workers to start their own internet marketing business.

The products and services are attractive,and they attract people to the profession.Network marketers are ground breakers. They are often responsible for introducing new products and services.Once a internet marketer has a positive experience with a network marketed product,then they're hooked.They want to tell everyone about their experience,and in the process create their own business

See my other articles on "What Network Marketing Is"

Max Seale

Internet Marketing Success Coach

My name is Max Seale, I am a network marketer and have been doing it for quite sometime now.I have become very successful with extensive training and education,there was a time period I went through that took a lot of trial and error, and there was a huge learning curve also.During this time I went into serious debt;but,with that has came great rewards.I can help others create success for themselves http://maxseale.com

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