Network Marketing What Is It – The Beginners Definition

Dec 12, 2018Sheffield Blog

What You Need to Know About Network Marketing

What is a network marketing company? The concept started in 1945 when distributors noticed they could earn commissions from other people’s efforts. The network marketing business model is popular with women who dream of earning a large income while working from home. Before you start your network marketing career, here are some things you should know.

Pay is Based on Commission

Don’t expect to make money right away with networking marketing. You have to make a few sales to generate an income. Direct sellers and network marketing professionals on commission which means they get paid if they sell something.

This isn’t a bad opportunity since you can make as much as you want. If you love sales and entrepreneurship, and you’re driven then you may be able to succeed. Keep in mind that the network marketing industry includes brands and products that don’t have a great reputation.

If you invite the right people to your parties, you’ll be able to make sales. But your income can vary from week to week. You may even get referrals from those who are interested in joining your network marketing opportunity.

Start Out Part-Time

Since you’re not making money, in the beginning, it’s important that you start out as part-time. Eighty percent of people who get into network marketing or direct sales start working part-time, according to MLMattorney.com. Only 3% of those people earn $35,000 as part of their annual income. These individuals work hard to succeed at their businesses as they work full-time jobs.

Not as Easy as it Looks

It’s not as easy as it looks. There are some direct sale marketers who make it look easy on social media. They’re the types who love to share photos of their beach vacations and Cadillacs. They’re willing to help the individuals who ask, “Network marketing what is it?” But, in fact, it takes a lot of hard work and effort to make money.

Recruiters will make the job look as glamorous as possible to get as many referrals as they can. Network marketing is mostly about generating sales. If you have experience in sales and the right personality, then you can succeed in network marketing. Some enjoy having a passive income while they sleep.

Starting a Business

Getting into network marketing is like starting a business. The majority of time may be spent on hosting parties and making sales, but you also have to find other people to sell underneath you. Not only are you starting your own business, but you’re helping them build their businesses.

As stated before, it’s a lot more work than you think. You have to be there to address their concerns or questions. You may even have to train them. This could quickly turn into a full-time job which includes ordering sales kits and meeting with customers. You may need to hire a virtual assistant to help you.

Recruiting more members on your team could lead to more competition which leads to oversaturation in the industry.

Other Professions Pay More

Most direct sellers earn big commissions, but very sellers make money in the beginning. It can also lead to very little network marketing opportunities. Average sales for most network marketing products is extremely low because of this. You may want to get a salaried sales position or a high-commission sales position which can lead to a huge earning potential and more career opportunities.

Network marketing is a great career move if you love sales and socializing. You need the energy and dedication it takes to achieve your goals. Before you quit your job, you should consider other sales professions that could pay more.