Network Marketing with Magnetic Sponsoring and The Renegade

By Kevin Thomas

MLM or multi level marketing is a form of marketing where a network of people is used to sell a product. Sellers are compensated for their sales as well from the sales of people that they recruit to sell the product. This marketing strategy is very effective because it involves recruiting a network of people who will do the marketing and selling for the company and get paid only if they are successful in selling the product.

How MLM Works

The manufacturer in an MLM setup hires a distributor who will recruit sales people. The distributor finds appropriate sales people through their network and gives them the sales tools necessary to sell the product. Sales people are independent contractors who use their own network of people to market and sell the product. In the online world, it is done though web promotion as well as social media networking. Whenever they make a sale through their network, the distributor records it and give the sales people a commission for every sale. The commission can be a percentage of the cost of the product or a fixed rate for every sale.

Typically, sales people use websites, blogs, forums, E-book marketing, email marketing and other methods to sell products online. The more exposure they give to a product, the more people they will get to buy the product.

Everything in multi-level-marketing can be tracked online and typically sales people get a check at the end of every month. Some distributors set rules like a minimum monthly balance before they pay the sales people. Commissions for these sales typically range from 4%-15%. Some programs pay more but programs that involve selling expensive products normally have a low commission.

MLM And Pyramid Schemes

Multi-level-marketing is often confused with Pyramid Schemes. However, this is not true. Pyramid schemes are illegal and normally require people to stock up on products and meet minimum quotas every month in order to be a part of the network. Multi-level-marketing is different from pyramid schemes and perfectly legal.

MLM is a great way for companies to market their products effectively for a low budget. The key is to find a good distributor who has a good network of sales people. It is also a great way for good sales people to make money. While some people make a good supplemental income, there are many people who make a handsome living by being part of a multi-level-marketing network.

Has The Internet Killed MLM

There is great discussion going on right now within the network marketing industry on weather or not the internet has killed MLM. I really don’t believe that MLM will ever go away, but the internet has caused huge attrition rates because of online negative activity taking place by way of online ads, negative promotions and rumors being spread across the internet. But all in all MLM when done correctly can provide an extra stream of income for those willing to take the time and put in the work.

Kevin Thomas is a traditional business entrepreneur who has owned and operated a building maintenance franchise for over 20 years. After finishing college and a 3 year tour in the United States Army Kevin decided that corporate America was not for him. It was at this point that his entrepreneurial journey began. With nothing more than a dream and stubbornness to succeeded he took it upon himself to figure out how to run a traditional bricks and mortar business, and after many tough years of trail and error his dream soon become a reality.Kevin is now teaching people how to develop businesses online at his blog Network Marketing Industries with the new model of attraction marketing.

Areas of Strength & Interest

• Relationship building and social skills
• Business and financial knowledge
• Internet web building strategies
• Inspiration and motivational tips
• Internet network marketing and MLM