What Is Network Marketing?

If you have been on the internet for more than a day, you have heard of network marketing. Network marketing involves one person selling the product of another person for a percentage of the sale and then signing up others to do the same thing underneath you. A common example in the real world would be Avon or Mary Kay. These are termed direct sales but they are all from the same family.

Internet Network Marketing

The great thing about network marketing on the internet is you do not have to; go door to door as in the above examples; stock the product; deal with customer service; or guarantee the product and you can sell or recruit 24/7. It is the best of both worlds: percentage based selling with very little downside.

Tips:

There are many programs on the internet to choose from and many of them pay very well. Your job will be to market the product through your website, Email, Ezine, or pre-made company site. In doing this there are a few things you should keep in mind.
- Choose products that you are interested in. You are going to be selling this and recruiting others to do the same you will need some passion for the product to do that effectively. For instance if you have never picked up a needle in your life you probably will not have much luck with a network marketing system built around sewing products.

- Try it before your customers buy it. When considering a new network marketing campaign it is a good practice to put the product through its paces before you endorse it. Buy the product and use it. One woman I knew purchased a cellulite cream from the company she was working with then used it on one leg for ten days. When she was asked about the product, she simply showed them a real life before and after.

Besides being able to honestly endorse the product, you will also be privy to how their customer service works. This is important even though you are not the one providing the service.

- Check out the company's statistics, numbers such as; years in business, what kind of sales do they have, and most important the compensation plan. A good plan will have compensation set somewhere between 40-60%, any less than that and it may not be worth your time.

Recruiting Your Team

Another advantage of network marketing is making a certain commission from the items your team mates, or downline, make. When recruiting people to join your downline, be kind yet persistent. No one likes a hard sell and in fact, you may turn off many people if you keep badgering them to join.

Talking about the opportunity, inviting them to a party to watch you in action, or even a simple follow up phone call the next week will show your prospect that you care about the business and would value their contribution as a team member.

There are other tips and tricks to this potentially profitable business model. This is a sample to get you started on your way. Do your homework; choose a network marketing company that is right for you and success will be right around the corner.

 posted by Chris Simpson