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Articles - Network Marketing

I Am NOT a Corporation! But I'll Take the Profits!

Author: Joe Bingham

What do you think are the keys to earning BIG BUCKS on the Internet?

First, let's break this down into two categories. Category #1 entails offering an extensive line of products, extensive services, departmentalizing your web design, accounting, billing, shipping, receiving, marketing, sales, inventory, personnel management, staffing, administration...

Whoa! What is this? I am not a corporation! I'm one person with a PC in my bedroom, screaming kids, barking dogs, a skeptical spouse, a regular job, and two hours between the kid's bed time and mine to try and make a difference in all our lives.

So, what's category #2?

Category #2 is affiliate programs or MLM.

Ok great, but what are the keys there? Actually, they are almost the opposite of the keys to success for the category #1 business. There are 3 main points, and each intertwines logically with the other. Here they are.

LOW INVESTMENT

Part of the magic of network marketing over the Internet is how little it takes to get started. In fact, it's a mistake to have a large initial investment. The vast majority of MLM programs  cost no more than $50 to join. In real world terms, starting a business for ONLY $50 is unheard of! On the Internet, however, it's a reality. Many programs pay commissions of 40-50% on referrals as well, making a return on your investment incredibly fast.

So why dump a large investment into a program BEFORE you can see how well it will work for you when you can start much more easily with little to lose? Besides, the BIG Bucks do not come from ONE sale, but multiple sales generated by a large network in your downline, and that large downline is much more likely to develop if the initial cost to joining your program is a small one.

GEOMETRIC PROGRESSION

The real key to success in network marketing is through a successful downline. If you are a great recruiter yourself, you will do better than someone who isn't, but even still, there is real POWER in the mathematics of geometric progression in a network. Ideally, each person you recruit joins others in the next level under you, and they in turn create the next level beyond that. The numbers per level grow exponentially so long as each member that joins also refers others. Again, low investment is one key that will ensure all referrals will in turn gain referrals themselves.

The POWER for creating wealth lies in the numbers, not in anything you do individually --- EXCEPT being a good sponsor that helps develop successful downline members. Remember, working for them only benefits you. Their success is your success.

PROMOTION

This is the one key shared by all businesses on and offline alike. You have to advertise. It does not matter how good your program is if no one knows it's there.

This is where you place your investment and money, not in the initial purchase. With a good program, however, you should never have to put outside money into it after your first promotional efforts. You still keep your initial investment low by using profits from sales to buy the next round of advertising, or by using free advertising methods.

If a program cannot fund itself after initial promotional efforts, you must first evaluate the kind of promotion you invested in, and if you deem that to be sound, you must then evaluate the program itself. Don't just keep pumping money into a program that does not make enough sales to pay for itself. If it's not making it, cut your losses and move on. Find one that does.

Unless you are a corporation, the Internet is NOT a place for a large investment. Invest a little and shoot for a lot.

The only other aspect to consider is the product or products you are selling. Investing in programs that offer something of REAL value WILL achieve better results. Don't buy into a program based on how well you like the payout unless that's all you're intending to sell. If you're out to sell something of value both you AND your downline will find the job much easier to do.

There's still going to be an element of work involved no matter what anyone tells you. However, the Internet and network marketing through an MLM do offer those of you with a PC in your bedroom, screaming kids, barking dogs, a skeptical spouse, a regular job, and two hours between the kid's bed time and your own, a way to make a difference in all your lives... if you work hard, work smart, and DO IT!

 

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