Introduction

MLM stands for Multi-Level Marketing. It is also commonly referred to as Network Marketing, Relationship Marketing, One-on-One Marketing, Face-to-Face Marketing and Dual Marketing. MLM or Network Marketing is a method of marketing products and services through independent representatives who refer customers to the Multi-Level Company they represent Any company can choose to use Multi-Level-Marketing to reach its customer base and any product or service can be sold this way. Network Marketing started in the USA.

Network Marketing is based on the concept of 'networking'. We all have a circle of people we know through the circumstances of our daily lives and each of these people will have their own circle of acquaintances, colleagues, family and friends. Network Marketing involves tapping into these networks not only to sell product but also to offer the business opportunity to potential new distributors who then start the process of developing their own networks for selling and recruiting.

This is network marketing which allows its distributors not only to network outwards in order to sell the product but also to benefit from their downline's downline, either to a limited depth or ad infinitum. However, the two terms tend to be used easily indiscriminately. Network marketing businesses close down every year but still more product-based businesses are turning to network marketing as a means of getting their products out to their customers and cutting out the wholesalers and retailers. A lot will depend on you, but a lot will also depend on the business acumen, personalities and perhaps sheer luck of the people you're signing up to do business with.

Email is a very cheap method of getting messages out in front of people and has been taken up by many representatives of those MLM companies. This means that they spend very little on marketing which leaves them to enjoy a larger share of the commission than they might otherwise.