MLM as a route to market
Multi-Level Marketing, also known as Network Marketing, is one of the most powerful and simple business plans. Within a very short time, you can build a network of self-funding, self-motivated and self-employed salespeople who will move vast quantity of your product. It is a cash upfront business with very little risk.
Top Network Marketing and Multi-Level Marketing companies such as Amway and Herbalife achieve annual wholesale sales of over $10 Billion. Yes, you read correctly... TEN BILLION DOLLARS PER YEAR!
And how did these companies start? They started by having a product and then recruiting and training their first agent. Everything from that point on is organic and funded with cash.
If you are thinking of using MLM or Network Marketing as a route to market then you need to take it very seriously. You are embarking on what could be a Billion Dollar business and you need to view it in that light.
Direct Selling leverages word of mouth advertising!
Direct Selling differs from Multi-Level Marketing in that the structure is flatter and is hierarchical in nature. You would have a national sales manager with a number of regional sales managers under them. Each regional sales manager would recruit and train team leaders who in turn recruit and train salespeople. When a sale is made, the upline leadership receives a portion of the sale in the form of a commission.
Avon is an example of a successful direct selling company. Their people are highly trained and well managed. Last year Avon did in excess of $11 Billion in wholesale revenue.
Party Plan selling is a blast!
An example of a Party Plan company is Tupperware. The representative gets a number of people into a room for a Tupperware party. They demonstrate the products to these people and then take orders. If done correctly, every party yields a large number of sales and, as a result, generates exceptional commission.
If you have a product that requres a demonstration then party plan selling is an excellent option.