Network Marketing (not your Mother’s MLM)
July 1st, 2010 § Leave a Comment
Call it what you want: multi-level marketing, direct marketing or network marketing – this is one place where growth is exploding. According to the Direct Selling Association (http://www.dsa.org/) Direct selling is defined as “the sale of a consumer product or service, person-to-person, away from a fixed retail location, marketed through independent sales representatives who are sometimes also referred to as consultants, distributors or other titles.”
You may wonder what draws a person to direct sales. For many it is the flexible schedules, the ability to earn extra income without having to work in a corporate environment and owning their own company with a limited investment in merchandise and no R&D or manufacturing to consider.
As our economy continues the roller coaster of job security, many people have returned to purchasing from friends and family versus a large company. The products available include everything (cosmetics, kitchen gadgets, clothing, accessories, and yes – most insurance is a form of direct selling).
So what do you look for to succeed in network marketing? The same thing you look for to succeed in any business. First do your research. Understand the products you are looking at, the company you are doing business with and what the marketing opportunity is.
Once you decide to jump in the water, know your plan. You will need both an operating expense plan (what are your expenses, how long before you must make money, what is your profit versus revenue goals) and a marketing plan (who are your customers? Who is your competition? Where will you find more customers?).
The next part is easy: network. There has never been more opportunity to network with other business owners or groups as there is today. Leverage LinkedIn, Twitter, Facebook and local business groups to increase your circle of contacts. Ask for referrals and in turn, be ready to offer referrals as well.
Remember, all strong businesses are built by smart business owners. If you are being asked to invest money in a company that is not investing money and training in you, you might be looking at the wrong product to offer.
For more information on starting your own business with direct sales of products and services, I encourage you to visit the Direct Selling Association (http://www.dsa.org/).
