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Opportunity In Network Marketing

The Truth about Network Marketing

When people hear a product is being promoted via network marketing there are often a few reactions ranging from caution to outright indignation.  So is network marketing itself a scam, a deception or does it have something legitimate to offer? In this post I will be looking at a few common responses and asking if they are founded in truth.

Is network marketing the same as pyramid selling?

No.  Pyramid selling involves no exchange of goods or services for money paid out. In other words it is where money is given to join a pyramid scheme on the basis that money will be in turn given by those subsequently recruited and so on.  This practice primarily benefits those at the beginning of the scheme before the whole thing collapses. On the other hand network marketing, also sometimes known as direct selling or even relationship marketing, is where goods or services are sold direct in a more face to face and personal environment, as opposed to being sold from a fixed retail outlet such as a high street shop. More recently there is a greater use being made of the internet for network marketing, but this still involves a personal contact, as opposed to simply Googling for a product and then going to a website and buying. Networking companies pay their distributors on the sales they make and on the sales of the people they in turn introduce to the company.

Is network marketing legal and ethical?

Yes. Network marketing companies are set up as businesses and trade as such.  Just as some corporate businesses are better run than others, so it is with network marketing businesses.  And just as with any business venture it’s important to do some serious research before joining, but don’t get caught by articles on the internet describing a company as a scam. Articles with the word scam can get a lot of hits but that is not necessarily true. On the other hand pyramid selling and pyramid schemes are most definitely not ethical and are illegal in many countries including the UK.

Is network marketing a get rich quick scheme?

No.  Network marketing requires hard and focused work persistently done over time in order to reap the really big rewards, but the rewards are definitely there.  Choose a unique, quality product and an ethical well managed company with a good training team to give yourself the best possible start.  Like anything else it takes time to learn new skills in a new environment, but once learned and put into practice you have proficiency for life relevant to pretty much any network marketing company you choose to join.

Can anyone have a successful business with network marketing, even the ‘little man’?

Yes and No.

Yes –  because it is an opportunity where it is not necessary to have a large start up capital, a college education or significant well connected contacts to begin a network marketing business.  In fact network marketing is possibly the last bastion for the ‘little’ man to self start into a significant business and make a healthy income in a relatively short period of time

No  – because not everyone has the self motivation, capacity for hard work, persistence to keep going and the mind set to take the knocks.  However these are all skills that can be learnt and applied, and a good network marketing company will have quality training and support to get the new recruit started fast and well, it is in their interest to do that.

 

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