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In 2006, I found myself moving towards Network Marketing as my preferred business model for a home based business. A lot of people have heard the term “Network Marketing”, but not many may know what Network Marketing actually is, so I’d like to spend the next few minutes to explain in my own words what Network Marketing is. Network Marketing is a business model, a system of doing business in which products and services are delivered directly to the target market from the manufacturer, without the chain of multiple distribution systems found in many other businesses. A Network Marketer is an agent or distributor for a company who sell their products or services via the Network Marketing system of business. This distributor is a self employed ‘contractor’, contracted with selling the products or services for the company they are aligned with. Usually, these distributors work from home, as there is no need to keep an office or warehouse, because normally the company delivers the products or services directly from the company warehouse to the customer directly, or the distributor who then delivers them to the customer. As I mentioned above, Network Marketing is a business model, not an industry, as many people often say or hear. In fact, there are many companies across many industries or sectors. I’ll list a few below: Nutrition/Wellness/Weight Loss Products
Personal care Products Pet care Products Homeware Products Car Detailing Products Website Services –IT Services Legal Services Travel Services Telecommunication Services Personal Development Products and Services Why
I chose network marketing
In my opinion Network Marketing is the only way the average person can earn what is called residual income. Now, what do I mean by residual income? Basically, there are two types of income Reciprocal and Residual (or Recurring). Residual income is income that is generated by working once and then being paid for that effort on a recurring basis. For example a singer who has a song played on the radio is paid a recurring income every time the song is played. Meanwhile, reciprocal income is income only earned when as the work is done. This is the usual way any business pays their employees. Network Marketers are paid a commission on the total revenue we help bring into our respective companies. This revenue comes from sales we make directly, and also revenue members of our sales teams bring in as well. In Network Marketing, we can make Retail sales as well as Distributorship (Business building) sales. So basically, we are paid a commission for each sale we help bring into the company. And, we are paid this commission for as long as those products are bought. The main advantage of Residual income is the "Time" freedom. The freedom to spend the majority of your day doing what you would like to. Most people attracted to Network Marketing are attracted by the "Time" freedom. Imagine being able to take a holiday every few months and not have to worry about being not paid while you are away from work. Network Marketing allows that to happen. Another big advantage of Network Marketing is that most Network Marketing companies have operations in many countries, allowing the distributors the opportunity to build their businesses in all the countries the company has a presence. Copyright ©  |
