Distributor of a good network marketing company. About Network Marketing - Myths and Reality

MLM ( Multi Level Marketing) Or network marketing is a product sales method from a company that has manufactured it directly to the final buyer. To promote and sell goods, as well as the dissemination of information about them, the manufacturer attracts the consumers themselves (agents, distributors), which in return are offered various types of remuneration. In turn, consumers who have become sales agents also attract new participants, which ensures the permanent growth of the network.

Network marketing from the position of the manufacturer

Competently built MLM business is able to quickly capture the market and build a stable network. The basis for the success of the promotion and combat competition The creators of this marketing scheme are called a decrease in the final cost of the consumer. Thus, the cost of production may differ from the final price in the store by 2-3 times. This margin is formed as a result of the formation of the complex structure of the traditional sales channel, which includes dealers, shops and their service personnel, the availability of service centers and much more. Completing them, the network business reduces the market price, without losing their own profit.

In addition, network companies have no problem of building and monitoring the management system, as well as the recruitment of qualified personnel and its motivation. Training in the right skills in the field of sales, attracting new employees and encourage them to achieve high results transferred to the agents themselves.

Another important dignity is to protect products from counterfeiting and maintaining the desired level of quality of goods. This is ensured by prohibiting the manufacturer for the sale of network products in ordinary stores or from mobile street counters. Thus, even if the fake party will be produced, it is unlikely to be implemented, not attracting attention.

Initially, the network marketing was also laid the goal to ensure a faster delivery of the goods to the final consumer, however, taking into account the realities of the modern market, this side of the network business has become less pronounced.

Network marketing from the position of the distributor

Entering the MLM business, the ordinary consumer receives three possible options for cooperation:

1. Attracting new sales agents (network expansion) and obtaining bonus remuneration;
2. Purchase of goods for yourself on a personal discount and without extra charge agent;
3. Sale of products to receive profits from charges (the difference between the value of goods according to personal discounts and the final price for which the goods will be implemented).

The work process itself consists of the following steps:

• Concluding a contract with the company;
• Purchase of a starting kit of goods and promotional products;
• Search for buyers and new distributors;
• Presentation and sales at home, in the rental office, with a personal meeting in public places;
• Obtaining commission or bonuses from the company.

Relationships of the main company with distributors in network marketing are built on a specific marketing plan, which determines which rules and calculation schemes will be paid a remuneration. In practice, four main types of marketing plan are distinguished:

• Classic or linear - All invited new network participants (not buyers, and new distributors) are the main (first) line from which bonuses are accrued. From agents invited by the first line distributors, the initial agent bonuses are not relying.
• Binary - It is based on the fact that you can attract only two new agents to the network, each of which also invites only a pair of distributors. As a result, balanced (ideally) branches called "legs" are formed. Such a marketing plan allows you to speed up the promotion process, but the profit can only be obtained when the branches form the income in the agreement agreed (50x50, 60x40, 70x30).
• Stage - The agent receives remuneration for all participants of the structure formed by him. After achieving a certain level, the founder of the branch receives access to elite bonuses and premiums.
• Matrix - The payment of bonuses is carried out only when attracting a certain number of distributors in the first line and further constructing a given number of levels.

Also in practice, combined methods can be used, which is determined by the strategy of a particular company.

Account registration system agents

An important component of building an effective MLM business is an accounting system that allows you to control the relationship between sponsors and distributors, track sales and purchases, as well as to calculate bonus deductions. Initially, when most companies used a linear marketing plan, to implement this task it was enough to use typical spreadsheets.

With the advent of more complex structures, it was necessary to create specialized automated systems (Ritos, B2B-MLM, OKSOFT, easy access mlm), allowing to work with download to a million network participants. Large companies with solid starting investments are often developing their own programs.

The difference between MLM companies from financial pyramids

Network marketing is based on the construction of a pyramid, in which each superior receives income from the system participants located at the lower levels. This principle uses fraudulent organizations that have received the name financial pyramids. The fundamental difference between them and network marketing is the focusing of MLM policies on the sale of products that have real value, and not at attracting investments from new participants.

To distinguish network marketing from the financial pyramid, you must pay attention to the following signs:

• The company offers a quality product having value outside the company and in demand (household chemicals, dishes, household appliances, clothing, vitamin supplements).
• You are given the opportunity to receive income only from the sale of goods, without recruiting new agents.
• The company concludes an agreement with each agent, decorated in accordance with the law.
• The cash fee is payment for the starting package of products, and not an investment for participating in the project.

What is network marketing online

Adapting to modern ways to promote goods to the market, network marketing companies very quickly mastered the Internet space, which is primarily used as a way to search for new distributors and product buyers, as well as as a means of remote network management. For this, the following channels are applied:

• Social networks. Here, such activities may be implemented as an active mailing of proposals on the possibility of making money in MLM business, selling goods, publishing advertisements in thematic and popular groups, interaction and work on motivation with already attracted distributors.
• Landing . This type of sites allows both to sell network marketing products, as well as register with presentation meetings for future distributors, seminars and sales trainings.
• Portals for registered Distributors (online shopping). Provide the possibility of remote order formation and tracking availability at the main stock.

Thus, the essence of MLM on the Internet remains the same as in Offline business, but a weighty plus appears - the target audience is significantly expanding and the scheme of interaction with it is simplified.

How much can you earn in network marketing

The policy of MLM companies is based on adoption in the structure of all applicants who have revealed interest, regardless of age, status, education and experience. However, choosing network marketing for earnings that it actually understands a few, and therefore a very large number of disappointed participants who do not have adequate qualities and are not interested, believe that it is impossible to earn in this area.

By signing a contract with a network marketing company, to the question of earnings you will undoubtedly respond that the income level depends only on you. This calculation is quite abstract, because your time and strength are limited resources. To start the network career is very difficult and your sponsor (higher distributor) is unlikely to tell you that according to statistics, only 5% of new newcomers who came to the network seeks a stable income of $ 200 per month, only 1% reaches a level of $ 500 and only 0.5% has a chance. receive 1000 dollars, a few years of painstaking work.

There is an opinionIt is possible to obtain an acceptable income in young MLM companies, since the chance to be on the top more. But the truth is that the company's founders are most important, as well as the most first distributors who are not more engaged in sales, but the formation of the network, the construction of corporate culture, conducting trainings and seminars. The rest of the participants in this business is constantly updated. So, every five years in large MLM structures can be changed to 90% of distributors.

This means that if you are not a manufacturer, ready to build your business on a network marketing model and there is no similar entrepreneur, who is ready to take you to assistants, the difference is when you start the work of the network for you. If your goal is not millions, but several thousand dollars of stable income, the chances of achieving the desired are quite real.

Network Marketing and Legislation

Since network marketing is a fertile sphere for the development of fraud in many countries around the world, the activities of such companies are governed by legislation. So, in the USA in MLM business, it is forbidden to establish sales plans for agents and call specific figures of possible earnings. Also, if you wish to get out of the business, the distributor has the right to return unrealized goods, receiving at least 90% of its initial cost.

Not applicable to Western countries, domestic network marketing is not only not controlled by the state, but does not even have a corresponding definition in legislation. This huge minus complicates work and distributors, and manufacturers who wish to sell in MLM scheme. In the Russian Federation, the next format of legalization is most often used:

• The manufacturer is registered as a common enterprise (LLC, JSC, CJSC). At the same time, since the network can grow unlimited registration of the IP is not allowed.
• Distributors are recorded as agents (with tax payments by the manufacturer) or as separate IP (with independent tax payments).

Considering the question of what network marketing and how it works can be noted positive, and negative sides. It is not an ideal product promotion mechanism for the manufacturer, but at the same time demonstrates quite high indicators and really protects unique products from fake. As in any business, it requires the participants in the system of applying considerable effort and entrepreneurial smelting, which allows to stand out among competing distributors and partners.

Traditionally, on the first Sunday of December, the Network Day is celebrated in Russia - the holiday of all who are involved in network marketing and direct sales. On this occasion, we decided to recall the most famous MLM companies and understand whether multi-level marketing is a serious competitor retail.

Unlable link

Multilevel Marketing, MLM) is one of the direct sales methods. Under it, the sale of goods is carried out through the network of independent agents, each of which can not only sell the company's products, but also attract partners for this. At the same time, its income will be folded from their own revenue and the percentage of the proceeds of people hired by him. Another name of the system is Network Marketing, which is translated as "Network Marketing".

Profit from direct sales for distributors is rather low. Most of the revenue they give companies and standing above distributors. The main profit comes from sales of supreme distributors.

MLM companies are often confused with "financial pyramids" of type "MMM" or "Hawter Invest". Indeed, the "Pyramids" took the principle of network marketing as a basis.
Participants standing at their origins get money due to the contributions of "Newbies". But, unlike network companies, "Pyramids" do not offer specific goods, and in essence traded air. The life cycle of "Financial Pyramids" is usually no more than several years - they exist only as long as new depositors appear. While major MLM companies are successfully working for decades, bring small, but stable revenues of the lower links, and billions of those who are at the origins.

Perevoprohodetsar Karl Renborg.

The history of the creation of MLM companies is associated with the name of the owner of Karl Renborg. In 1927, he opened a small firm for the sale of food supplements of its own production. At first, Renborg sold the products acquaintances, and they, in turn, shared enthusiastic reviews with their friends.

And those who wish were found. In 1934, Karl Renborg founded California Vitamins, which was later renamed Nutrilite Products. Very rapidly, the company reached a turn of several million dollars, without spending neither the cents for advertising - only at the expense of direct sales.

To this day, nutritional supplements and cosmetics remain the most popular goods selling through MLM marketing.

Amway.

Amway (American Way of Life) was established in 1959 by Nutrilite Products by Richard Devos and Jeide Van Endel. They decided to somewhat change the principles of work that used Nutrilite. First, Amway began to sell different groups of goods. In addition to the bodies, there are many products of household chemicals and cosmetic products in the assortment. Now the company offers over 3000 items. Secondly, Devos and Van Endela introduced a multi-level marketing plan for employees and began to pay remuneration not only with personally attracted distributors, but also for sales of agents of all levels. This led to the rapid growth of Amway.

Now the company's turnover is over 8 billion dollars, and it takes the 25th place among the largest private companies in the United States according to Forbes. True, the history of Amway is not cloudless. More than once she became a member of the scandals. So, one of the former top distributors of the company, Eric Shaibeler, who is personally familiar with the founders of Amway, in the book "Traders deception" accused the corporation in fraud and called the totalitarian sect. This is not the first accusation of "Amveivers" in sectarianism. Training methods used in the company, have repeatedly criticized.

Avon Products.

The long-lived among MLM companies originates in 1886 with a small firm called California Perfume. She was created by American David Macconnell. Initially, in the range of firms there were only 5 items of simple spirits with floral flavors. Now Avon offers hundreds of cosmetics, perfumes, jewelry and accessories. The company's turnover is about 10 billion dollars a year, and the number of distributors around the world is calculated by millions of people.

Why not macconnela consider a pioneer in creating MLM enterprises - a story silent. Perhaps the fact is that the company though used the principle of direct sales from the beginning of its existence, but not immediately came to a multi-level scheme. But Avon has entered the story of the fact that the first of the cosmetic giants by refusing testing products on animals.

Mary Kay.

Another American corporation. Created in 1963 Mary Kay Esche and named after the founder. Offers hygiene products, cosmetics and perfumery of the average price segment. At the 6th place in the world among the companies dealing with direct sales according to the 2012 data.

"Fishka" Mary Kay is that its consultants do not simply sell products, but act as "beauty consultants." That is, there are basic teaching skin care. The second feature is that the territories are not enshrined at a specific consultant: they can hire their agents anywhere in the world.

Like Avon, Mary Kay refused to test its products on animals in the early 90s, but in 2010 resumed it. For which he was tough criticism from the "Green".

Oriflame.

The Swedish cosmetic concert Oriflame was founded in 1967 Brothers Jonas and Robert Afi Yoknik. In the early years, only one product line was sold, now the range includes about 1000 items of cosmetics and perfumery. Annual turnover is about 2 billion dollars, the number of consultants in the world - over 3 million people.

Oriflame positions itself as an eco-friendly company and even catalogs print on paper, which is made from artificially planted forests. Therefore, Greenpisovs are not very attacking the company. But she fell into the field of view of the tax authorities. In August of this year, the Russian representative office of Oriflame and non-payment of taxes a few million rubles.

Faberlic.

The first Russian MLM company was established in 1997 by Entrepreneurs Alexander Davankov and Alexei Nechaev. The initial name is "Russian Line", the Faberlic brand is registered in 2001. Currently, the company operates in 20 countries of the world, including Poland, Germany, Romania and Hungary.

Its know-how, the company considers "oxygen cosmetics" - means of care for face and body based on perfluorocarbons. Faberlic turnover is now over $ 250 million per year.

Kirby.

The company for the production and sale of vacuum cleaners this year is celebrating the 100th anniversary. It was founded in 1914 and wears the name of the developer of the first models of Jim Kirby vacuum cleaners. The "chip" of the company - in a certain period, it sells only one model of vacuum cleaners. After the model is obsolete, it is removed from production and begin to sell a new one.

Kirby is the most scandalous representative of the MLM diaspora. Every year, dozens of complaints about incorrect operations of the company's distributors come to the Agency for Consumer Rights. Allegedly, they use hard psychological pressure to force the client to give money for expensive technique (for reference - the price of Kirby's vacuum cleaner begins from 100 thousand rubles). Russian forums also die messages: "Kirby vacuum cleaners - deception, scam, divorce!". Nevertheless, the company continues to work in Russia and in 70 countries of the world.

Herbalife.

Created in 1980 in the United States, offers products to reduce weight, healthy nutrition and skin care. The former head of Disney Michael O. Johnson, and scientific developers in the field of skin care - Paolo Dzhacomoni, who worked before Estee Lauder and L'Oreal.

Herbalife is the first American MLM company that opened a representative office in Russia. This happened in the early 90s and coincided with the appearance of a huge number of financial pyramids in Russia. Therefore, so far many mistakenly calculate herbalife to their number.

Disputes about the MLM business is good or bad, do not stop so far. Some superozing multi-level structures, seeing opportunities in them for rapid earnings, others condemn the principle of building the pyramids. Do not converge in opinion and business analysts. Some prophesy that soon the direct sales system will displace the traditional retail, others believe that retail and e-sale will kill MLM with time. However, network marketing is no longer one decade and is not going to go to the bottom.

Alyona Yarkka almost got into the network
Illustrations Dmitry Shevchuk

If you do not want to become victims of fraudsters, then you need to know exactly what MLM business is actually. Because here it is too easy to get into the trap of the financial pyramid, and eventually stay without money.

In this article, we will analyze how to distinguish this MLM business from financial pyramids. And is it possible to actually make money in MLM?

And for a start, let's wonder what the essence of MLM business is, and why it does not like "in the people" so much.

What is MLM business simple words

The name "MLM Business" comes from English MLM - "Multi-Level-Marketing" (literally "multi-level marketing"). Other names of the same phenomenon - network business, network marketing and new "fashionable" name - Network Marketing.

Indicates this one of the options for organizing marketing - the company's distribution schemes. Classic business is when there is a store where people come to buy our goods. Network business is when many people take our goods and distribute it among their friends.

That is, in MLM we do not hire employees on a salary, do not rent shops. Our task is to score as many volunteers as possible, which will distribute our products themselves, getting a percentage of sales for this.

In addition, these our volunteers will recruit their own volunteers. And then they will already receive a percentage not only from their sales, but also from sales of all their "recruits".

Who invented MLM?

MLM as a type of marketing invented, of course, in America. The first organizers of network companies realized that people are much more willingly buying certain categories of products when they recommend their acquaintances. These are such products like floor washing products, shampoos, cosmetics (pay attention - almost all this products "for women").

And good turned out, in principle, the thing. Network companies were usually cheaper, because there were no costs for renting premises and salary to employees. And in quality they often exceeded analogs from shops. Thus, networks were able to bypass the most severe competition in the market of household goods.

But here is the question. Why doesn't this most MLM and network businesses like this very much MLM and network business?

Why don't you like MLM

If you do not believe that MLM does not like - see the ads they give in newspapers and on sites. They will never write directly - they say, pick up people in the network business, come to the meeting then and then.

No, there will always be hidden and disguised as the "opening of the branch of the largest world company" and under "Assistant to the head of the business, everything will teach, s / n from 50 thousand per month." Why are such secrets and savages? And the fact that if you directly write that you recruit in MLM - no one will come to you. Because they do not like MLM \u003d)

And that is, there are two main reasons.

Cause # 1 - destruction of the foundations of relationships

Have you ever thought about why we (people) at all someone recommend someone? Why should we tell a colleague on work, where do delicious sushi do? Why do we advise to a friend, what better to buy a car? After all, we are, in fact, does not concern.

But nevertheless, we really want to take away at least from the other end of the city, if someone needs our recommendation, and at least forced to force it to listen to us. What is the reason for this behavior?

Perhaps you think that this is because you are such a kind and glorious person who just seeks to help you all as much as possible. But actually it is not. We are ready to recommend, because in this way we dominate those who recommend that we are recommended.

Do you think - we possess some knowledge. Who does not have a man in front of us (whether knowledge where you can eat sushi and not to choose, or knowledge about what car is better in characteristics). And sharing this knowledge, we show that we are better. Yes, yes, we are better and higher, and smarter than a person who does not have this knowledge.

And the higher the result will receive a person on our recommendation - the stronger our dominance will be. Accordingly, we absolutely sincerely try to recommend only the best. And the one who asks our advice, all this subconsciously feels, and therefore believes our recommendation.

In this principle, MLM would have to be founded, but then the money spoils the money. When our familiar networking is recommended by something, we always have a suspicion that it makes it exclusively for his cash benefit. Even if the product really likes the product, and he would recommend it for free. But the unpleasant precipitate remains.

Thus, MLM interferes with the fundamental arch of the unlapped laws of human relations (it is also called the "social contract"). And it destroys friendly, friendly and even family relationships. And for this, people do not like him.

Cause # 2 - Strained Zombies

If you ever met with a real "network", then of course you know what I'm talking about.

The basis of MLM marketing is strong training and strong motivation of network participants. People by their nature are very lazy and frightening creatures. Make them something to sell unfamiliar and unfamiliar people - the task is not simple.

And therefore, every new recruit passes enhanced training, where the emphasis is placed on motivation. They are "washed" the brains promises of huge revenues. They are told that they are chosen, and everyone else they only envy. And they also tell them very convincingly that their product is almost the most brilliant invention from the time of the light bulb.

And people gradually "blows the roof." You can see what it is - one to know the whole truth (that the best job is a network business, and the best cream is oriflame), and no one believes, and shakes from you, as from the plague?

As a result, with networks it becomes very difficult to communicate. All about what they say is about the network business and about their product. All they do is trying to drag each one counter in their structure, on the "light side."

And again, this leads to a split in friendly and family relations. That is why they do not like MLM. In the presentation of people - to get to MLM, it is like getting into some kind of sect. And the "trap" will begin to rewrite his apartment on some ordinary "Herbalife's Witnesses".

But there is, of course, and positive parties. If you do not lose your head, MLM business can become an excellent development option for you. And you will save friends, and you will find new.

How much can you earn in MLM?

Networks love such a joke:

A man arrives in the city, and sees that on one side of the street all houses are large beautiful, well-groomed. Next to the houses are expensive cars, and all people go fun and happy. And on the other side of the street at home small, dirty, dilapidated. All people in the hoops feed on rats.

It comes up to one of these dirty houses and asks the passerby - why opposite the houses are so beautiful, and there are so bad.

Passer is responsible - "A, there in front of the networks live, which MLM is engaged."

The man asks - "What are you?"

Passer - "And we do not believe them!"

Anecdote cheerful. But, unfortunately, as in any other form of business, most people employed in MLM do not have a smooth account of any income. A very small percentage of networks have income comparable with a regular salary of a qualified specialist. And only the tenths and hundredths of the percentage of the percentage of all MLOs make a truly big money.

How to develop in MLM?

Yes, you can earn in MLM, and even a lot. But only if you really work. And for earnings will be engaged in the main recruitment of people in your structure, and not sales of the product itself.

If you want to develop in network marketing - you need to spend a huge number of personal meetings every day. And you still have to suggest familiar to those who organized parties at home, and brought their acquaintances - for which we could spend the "improvised" presentation of our product and business.

And most likely you will leave for several years to build a major and faithful structure with which you can have big income. Therefore, please do not share the promises of rapid earnings. As everywhere - here you have to work.

And most networks over time understand what MLM is not the option to which they would like to devote all of their lives. Therefore, they go to other types of entrepreneurship. But they retain the skills that they received during work in MLM.

And today we divorced projects that are masked under MLM, but in fact they are something much more bad.

How to distinguish MLM from the financial pyramid

If you have not noticed yet, today there has been a huge offer on the Internet to participate in some super innovative projects. As a rule, we are talking about decisions that turn over the whole world into some kind of area. In the field of housing, in the field of transport, in the field of internet or in the field of telecommunications.

The only problem is a brilliant decision still under development, and it is impossible to use it yet. Either possible, but it is so uncomfortable, curved and weak, which loses even with free analogues.

And you are invited to either buy a share in this project, or buy a product, and pay for it every month. And people do it, and with great joy. Question - Why? And then that they can attract new participants who will also pay every month, and you will receive some percentage from their payments.

Almost as in MLM, but with one difference - there is no specific product that you could use. That is, you pay not for the product, but for the opportunity to receive money from those who are below you in structure.

And such an organization is possible due to the "virtuality" of the proposed product. It does not need to pass, keep. It can not be used at all. The main thing is to attract all new participants "for yourself."

How financial pyramids rushing

All these projects end equally. Once people who can be involved in the pyramid simply end. And then the participants of the "lower layer" cease to pay their monthly contributions. And why do they pay someone if nobody pays for them (because there is no one below)?

Then cease to pay the penultimate layer, because they do not pay the last. And so on, while the pyramid does not burn until the top of the top.

Some pyramids appear and disappear in a couple of weeks. Some of the years. But the main thing is that the end of them is always the same. And if you are invited to participate in some "network business", where there is no product, or it is very complex (too innovative, so that a simple mortal can understand his idea) - most likely you are lured into the financial pyramid.

Here are some more indirect signs of the financial pyramid:

• Promises that you will not need to sell anything and recruit anyone.
• Mandatory monthly payments.
• Impossibility to personally check the quality of the goods (or poor quality of the goods).

In general, it is the quality of the goods - this is what the real MLM is distinguished first. Recommendations, it is certainly good. And your girlfriend is possible once you will buy something if you advise her. But so that she pay you the second time - here it is already necessary for the product to really like it.

Therefore, pay attention to indirect signs, and do not fall into fraudsters. And then they are on the Internet as fish in muddy water feel. Is it possible to actually engage in this network business via the Internet?

Is it possible to engage in network business via the Internet?

Here it is the Golden Dream of any Network. No need to go to any personal meetings, no one needs to recruit. Sit at home, scatter links to your product on social networks and sites - collect cream.

But personally it seems to me (and this is only my personal opinion) that the network business in its original understanding cannot exist on the Internet. That is, two main reasons:

1. MLM Business is business recommendations. We recommend the product with our personal acquaintances, and they are their familiar, and those - their friends. So the structure is collected. And if we recommend the product to all in a row, it is already becoming an ordinary advertisement.
2. MLM business keeps on a high-quality physical product. That is, it can be fascinated, try. And you will definitely need to give the buyer the opportunity to "swell" before purchase. Accordingly, the personal meetings are not going anywhere.

And if you really do not want anyone to go to personal meetings, but work via the Internet, then go better by affiliate programs. This is the same as MLM, but only you just give advertisement of some kind of product, and get commissions from sales.

That is, MLM through the Internet is possible. And it is called "Earnings on Affiliate Programs." Look at my article, and much will become clear to you.

By the way, there are multi-level affiliate programs. That is, there can also be earned with the attraction of new partners, and not with personal sales. Look at my video about how I earn on affiliaters (opens in a new tab).

Conclusion

I in no way want, after reading the article, you have the impression that I am against MLM business. In fact, I am a big supporter that people begin to take responsibility for their own income, and tried to provide themselves with their efforts, and not hoping "to uncle."

And for the start of the entrepreneurial career network marketing is a very good option. You will have experience, bring the first cones, learn to resist the pressure of the public. The main thing is to everything comes with your head, and look at things objectively.

Otherwise, the likelihood is high, that you will be disappointed in the usual MLM, and instead of using the surveyed skills for the opening already completely in our case - will be mistaken in financial pyramids and financial bubbles.

Do not forget to download my book. There I show you the fastest way from scratch to the first million on the Internet (squeezing from personal experience for 10 years \u003d)

See you later!

Your Dmitry Novoselov

I brought statistics on search queries on the Internet using the Yandex Wordstat service. Much water has flown under the bridge since that time. How interesting things are four years later, in April 2016?

This time I changed a bit of the rating conditions. Last time I analyzed the popularity of companies in the interest of people to them from the point of view of cooperation. Therefore, I studied mainly search queries on the key phrase "", if it was about Faberlic statistics.

This year I decided to analyze the search statistics on more high-frequency requests and used the company name in the query only.

For those who do not quite understand that Shows the Yandex Wordstat service, I will explain a little.

For example, you are interested in how many people are scored in Yandex requests with the word Faberlik. You dial the necessary keyword in statistics in the statistics bar and get the number of hits with this word. In the picture we see that over the past 30 days in Yandex, there were 947,453 requests containing Faberlik. Yandex statistics service takes into account all requests with the word Faberlik: and "How to become a Faberlik consultant", and the "catalog of Faberlik", and "", and many others.

Thus, it turns out, the higher the numbers in the statistics on a keyword or phrase, the more people are interested in this phrase on the Internet. Accordingly, it can be concluded that the more people on the Internet are interested in a network company, it is more popular among the population. Of course, for better analysis, it would be good to have data on trade, dynamics, assortment of goods, know the average check, the number of consultants and consumers. But unfortunately, network marketing companies in Russia do not publish such data. Therefore, we will operate only by those numbers that are available to us. In addition, these figures are quite realistic reflect the recognition of the brand and nationwide love.

As a result of statistical studies, these results appeared:

The table presents only companies that scored more than 100 thousand search queries in Yandex. Pay attention to the essential gap of the top three.

And now we compare how the statistics on the key phrase "Registration in the company" have changed.

In this table, I was primarily interested in the ratio of numbers between companies, but dynamics. She is impressive. If in 2012 only 824 people were interested in registration in Faberlik, then in 2016 already 3643 people. Groost 324%. And this is almost all the leadership companies ranking. In this way, we can conclude: more and more people use the Internet for purchases and obtain the necessary information.

Before I tell me how I came into network marketing, you just have to see this humorous video about MLM presentation, you will ride the floor, keeping the belly 🙂

How to recruit me in Network Marketing

The call from a friend ran away unexpectedly. After graduating from the institute, we communicated not so part and happened as usually when we came to our native city to parents. The megapolis in which we lived at this moment was very large and rhythm of life there is such that there is simply no time to visit visitors.

But despite the surprise of the call, I did not have any left suspicion. Sasha asked how it was business and offered to meet. The purpose of the meeting was not voiced, but she did not interest me, my consciousness independently did everything you need - we'll get together, drink the beer, chat about life, politics, women (everything as usual).

It's good that I didn't stick with me with me, I was waiting for a surprise on the spot.

In the odnushka, a crowd of people unfamiliar to me (man 10) gathered the meeting place. Several were divided into suites. Since I was slightly late, the celebration was already going without me. Only instead of a fun feast there was a serious presentation from washing powders and miraculous drugs for washing.

It turned out that there is a recruitment of volunteers in network marketing. What I didn't know this, but for the main part of late. As a result, I was prepared by the fate to listen to the presentation individually in the kitchen. In principle, I liked everything, according to theory I had to become rich in 2 years.

As you could guess, it was about Amway. Later, I learned that 99% of my acquaintances already know about her and no one to go to my business. I was one such "dark" that in my 25 years did not know what network marketing is.

The wife was against, but I hooked the idea and I started.

The result of the first experience

In short, my plans for the conquest of the universe were not destined to come true. Honestly worked about 100 acquaintances, as recommended sponsors. The result - part of the acquaintances stopped taking the phone, several people signed up to behind.

There can be few products, there is no complaints, we used a lot of what, but I'm not a specialist, my wife said that it is normal, the price tag is about the same as on similar cosmetics in the store.

Educational events attended everything, but besides the "Hurray" -Motivation there was nothing sensible - the same, without specific recipes and techniques of efficient work.

Conclusions: Despite the assurances of the sponsors, it turned out that Amway had already fully exhausted the Russian market and took everything that could - the influx of new people is equal to the outflow of old. In chocolate only those who came for a maximum of 5 years ago (before the official opening).

Second experience

Despite his failure, I did not blame anyone - this is a business, there is no guarantee and everyone decides to take it for him or not.

I didn't want to take more about the like that, since the sale of cosmetics and powders is not mine. But accidentally stumbled upon the ISIF project. Liked:

• his niche is an education in the field of finance (the topic that I was interested)
• people imagined him did not pull anywhere and it was interesting to just communicate with them
• the project was new compared to the Amway
• use of modern technologies (Internet)

It so happened that no one was pulling me there, I myself wanted. It turned out well - it was really my project. For a year and a half per check in 1900 dollars I came out.

But not everything is so smooth and with new projects. Financial education does not have such a wide consumer audience as cosmetics, and the company as a whole could not reach the frequency of turnover - the project closed.

In network marketing there are no restrictions by age or by the floor, nor by religion. That is, everyone can succeed to theoretically. Moreover, the speed of your development will not greatly influence education diplomas, but may have a significant impact of your skills related to sales, human marketing, marketing, psychology and other areas related to business.

In this regard, special attention in teaching this profession is worth paying to the personal growth and art of communications. Technical skills go to the background. The harm will not bring, but the defining level of success will be unlikely.

Why come to network marketing?

Most often, people come to network marketing for money, but remain, as a rule, for other reasons. This is a surroundings, it is an opportunity to travel, this is free time, it is a sense of self-sufficiency and permanent growth in a personal plan. Gradually money goes to the background, although they are an indispensable attribute of any business.

Everyone who was able to reach the first income from MLM is aware of how nicer to get passive than from employment (even with a higher salary). No bosses, no duties, there is no binding to time and place of residence.

Naturally, each new distributor has its own motives for which it starts a business, but over time, everyone has several common elements. First of all, this desire to help excel the other, those who believed and went to this industry after you.

What costs are needed for starting in network marketing?

If you look at the network marketing as a business, namely, it is worth looking at it, then you can start creating your business for the sulking pennies. No need to open the office and rent warehouses, you do not need to pay the salary, couriers and loaders.

All that is required of you is to conclude an agreement with one of the companies and pay a mandatory starting fee for the right to use the trademark for servicing your accounts, etc. (In the big business it is called franchising). In different companies, the amount can range from several dollars to several hundred, but in any case you can start much cheaper than in any traditional form of business.

Costs can be divided into the following groups:

1. Purchase products for personal use
2. Buying products for resale - these funds must return in an enlarged size, as the final customers pay more procurement cost. At the initial stage, this is the main income in business, which should cover most of the costs.
3. Training costs - here include educational materials for independent training (books, discs) and the cost of visiting training activities (seminars, trainings)

When will I earn the first money?

Unfortunately, network marketing is not work and salary here. You will get the first money when the first volume of goods or services will be received by the Client on your recommendation. Someone will take this for several minutes, someone has several months (there have been cases that it was also required for several years, but it is rather an exception).

To speed up that moment when you start earning, start developing your skills. Sales - for personal promotion, presentations, to attract new distributors, learning - to effectively build a structure in depth.

As soon as your level of development becomes in demand, the market will immediately respond to an increase in your income.

In the formation of the income distributor in this industry, a human factor is played, which cannot be estimated in exact numbers, you can only give general forecasts based on other people's experience. These predictions can be very far from the reality of each, separately brought, humans.

Hi-tech

With the onset of the Internet era, new opportunities appeared for business development. Now, the Internet allows you to significantly speed up the construction of the structure. Although, despite many advantages in modern technologies, there is a lot of minuses.

The main problem preventing promoting network marketing on the Internet. It concerns confidence. In the traditional model, most partners coming to the team are friends and acquaintances. On the Internet, by default, there is no trust relationship, as the deception may hide behind each sentence.

In addition, building structure through the Internet is very difficult scaled, so most have a limited resource and dozens and hundreds of thousands of advertisers simultaneously cannot accommodate. The introduction of the Internet model in the network business leads to a rapid increase in competition and the hopping price increases for promotion.

If you need a consultation on this type of business - do not hesitate to ask.

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