Network Marketing, 'MLM', and Multi Level Marketing are all terms that refer to the same type of business model. This industry has had more than it's share of scumbag crooks and con artists that have used and abused the concept. However, if you do your homework and get involved with a legitimate network marketing organization, this business model has exceptional income potential.
Network Marketing can produce outstanding results if you know a few simple concepts, the understanding of which is critical to your success.
Network Marketing, MLM, and Multilevel Marketing are unlike franchises or conventional businesses in that they take advantage of all three of the important, yet misunderstood principles of:
1) Leverage (of Time and Money)
2) Residual Income
3) Geometric Growth Through Duplication
Unfortunately these principles are not well understood by many of the people that undertake network marketing. And that's just one of many reasons why so many fail at network marketing. There are lots of other reasons, and it would take volumes to cover them all. But this is one of the more common ones. Because if you don't comprehend and believe in these principles, it's impossible to help others fully understand and appreciate them.
First, lets look at LEVERAGE:
Every successful person or business takes advantage of leverage. There are only 24 hours in a day and no matter how talented you are or how much you get paid per hour, if you don't take advantage of leverage you're limited by the number of hours in a day. As a side note, I have heard of cases where an occasional lawyer was billing more than 24 hours per day...but, I guess that's another story. By learning to leverage your time, you can also benefit from a percentage of other people's efforts, and dramatically increase your income while creating more free time for yourself.
The unique and wonderful thing about the Network Marketing business model is that everyone has the same opportunity to become the 'owner' of his or her own business - with a fraction of the investment of time and money of a franchise or traditional business.
In network marketing the people at the top definitely have a vested interest in helping others on their team succeed.
Would you rather receive 100% of one person's efforts, or 5% of the efforts of 100 people?
Obviously 100% of one is always only ONE. But 5% of 100 is FIVE.
Not only will the total result with leverage almost always be amplified, but your income is not dependent on only one person. If your income is produced by the activities of many, it is much more dependable. Even if something unexpected or negative happens to one or more of those people, it only has a minor effect on the TOTAL production.
It's great to get paid while you're sleeping or away on vacation. That's one of the many advantages of leveraging your time.
Now, lets consider RESIDUAL INCOME:
When someone mentions residual income many people automatically think of actors or musicians.
Residual income is recurring income that you continue to receive long after the work you've done to produce it has ended. There are lots of ways to produce residual income. However, many people don't understand it, and still others have never thought about or been exposed to it.
A very simple example of residual income is interest earned on money in the bank or investments. You continue to receive this income without having to invest any more time to produce it.
Suppose you had the choice of doing a job and earning $1,000 once, or getting paid $50/month for the rest of your life...which would you choose? If you chose the $50/month you obviously "get" the concept of residual income.
Clearly, $50/month will surpass a single payment of $1,000 relatively quickly. And if it lasts for a few years, or better yet - the rest of your life - it will really be a blessing.
Residual income is certainly not about "getting rich quickly", even though with the right opportunity it's possible to produce a substantial residual income stream in a relatively short time.
Most people who fail at network marketing either choose the wrong network organization or just give up too soon and quit because they expect overnight results. It is important to recognize that the real beauty of residual income is on the back end, not the front, and that once you build it you have the financial security and time flexibility to do just about anything you desire for the rest of your life!
Last, but not least, lets address GEOMETRIC GROWTH (DUPLICATION):
The classic illustration of geometric growth is the frequently used penny-a-day example.If you save one penny on the first day, and double it every successive day, (day two you have 2 pennies and day three you have 4 pennies, and so on) how much will you have at the end of 30 days?
The answer, to the astonishment of many, is $5,368,708! Amazing, but true.
That's a simple and dramatic illustration of how networking can work. If I can teach you, I've doubled myself. If we each teach someone else, we've doubled again. As this duplication or geometric growth process goes on and on, it can produce some amazing results in a relatively short period of time, just like the penny example above.
So there you have it, understand and apply these three principles
1) Leverage (of Time and Money)
2) Residual Income
3) Geometric Growth Through Duplication
and, given sufficient time and effort, you should enjoy a successful and financially rewarding network marketing experience.
----------------------------------------------------------------
This article is freely available for reprint provided that the resource box at the end of the article is left intact and the article is published complete and unaltered. If you are using this article on a website or e-book, please make sure that the link in the resource box is live or clickable.
----------------------------------------------------------------
Kirk Bannerman operates a successful home based business and coaches others seeking to start their own home based business.
Visit his website at Legitimate Home Based Business for more details.
The purpose of this guide is to provide a step-by-step... Read More
There are still real money making opportunities mlm style available... Read More
When someone asked me, 'John, what is the #1 reason... Read More
If I walk down the street today, telling people about... Read More
If you've never had the experience you're very lucky....You just... Read More
There are many people out in the MLM industry that... Read More
It is sad many people look at previous mlm experiences... Read More
This article is primarily directed toward people who work at... Read More
That is a sound of music to my ears. Why?... Read More
An internet mlm business is very different from an offline... Read More
Let me tell you this... if you always jump from... Read More
Today I sat down and watched "The Incredibles" with my... Read More
Looking at MLM companies, you will find some of the... Read More
Back in the early days of developing my home based... Read More
Truth on mlmWhen you think about it the truth on... Read More
It seems home based opportunities are a bit more common... Read More
Commonly held wisdom tells us that it is a very... Read More
A good MLM training newsletter is worth a million dollars... Read More
Finding ways to get your home business noticed has always... Read More
There are many advantages of MLM business. One of them... Read More
So you have been sold the dream. Your friend has... Read More
...is the one that will work best for you.With that... Read More
By Combining 3 Free Online Tools you will learn to... Read More
Consulting in MLM has gotten to be a big business... Read More
Does this sound familiar...?You have taken ALL of the company... Read More
While it is true that heavily branded websites like amazon.com... Read More
Many people love to build their internet mlm business from... Read More
With email filters, blockers, and simply tons of unsolicited email,... Read More
There are certain traits that you look for in a... Read More
Commandment 8KindnessJust as courtesy is contagious, kindness often begets kindness.... Read More
When you join a MLM opportunity they give you usually... Read More
Man.That project is finally finished! And what would it be... Read More
Network Marketing ? The Evaluation for Success.There are some serious... Read More
Richard Bolles, created the hugely popular What Color is Your... Read More
Network marketing online is a great way to do business... Read More
When I build my internet mlm business, many of my... Read More
The One on One MLM Presentation is key to Success... Read More
A MLM home business affiliate program is how individuals gain... Read More
There are many Leadership factors involved in building an mlm... Read More
Have you got yourself into a home business opportunity but... Read More
It happens everyday.Network Marketers go out, and get shot down.... Read More
Distributors are paid through compensation plans. These plans consist of... Read More
Here's the bottom line: you can't learn to swim sitting... Read More
If you've never had the experience you're very lucky....You just... Read More
What is a CORE?It is the VERY Heart of something.... Read More
All your life, you've heard:"Bite your tongue." "Turn your cheek."... Read More
The purpose of this guide is to provide a step-by-step... Read More
There can be so many reasons why we choose to... Read More
You've done it. You've signed up with a network marketing... Read More
Network Marketing is awesome! It's a powerful 75-billion-dollar-a-year industry, practiced... Read More
We've all seen them before ? businesses that promise great... Read More
Finding ways to get your home business noticed has always... Read More
If you have ever had a hard time getting a... Read More
Hi All,This could be the most important email you'l ever... Read More
MLM Leads are a great way to not only create... Read More
Did you know you can get free newspaper and television... Read More
Just completed this for the December Noni Pearls Magazine, thought... Read More
Take it or leave it but all big MLM earners... Read More
In recent years people are increasingly looking for extra source... Read More
There are over 700 million computers in use in the... Read More
This article is primarily directed toward people who work at... Read More
An internet mlm business is very different from an offline... Read More
These are time tested tactics that will set you apart... Read More
There are three Rules of Network Marketing Leadership for MLM... Read More
The MLM Rule of Life.Here is a sad rule of... Read More
What stops most people in MLM and Network Marketing? After... Read More
Network Marketing |