Understanding the MLM Situation and Opportunities

Multi-level Marketing is, in fact, a Distribution Revolution. The evolution of multi-level marketing has fostered a business paradigm shift that has changed remarkably the traditional ways through which a product was marketed and distributed to the end users. Multi-level marketing has eliminated the need for requiring additional warehouses, wholesalers, and retailers and advertising budgets making it as one of the lowest cost marketing methods. Hence this new mode of marketing has freed up a lot of money that was previously being eaten up by huge advertising budgets and these funds can now be utilized by developing better and innovative products.

Scope of Multi-Level Marketing

The multi-level marketing technique incorporates multiple levels of marketing spreading to masses of potential customers and this is what actually all companies desire that is to reach to a maximum number of prospects. Especially with the advent of internet marketing, the scope of MLM or Network Marketing has reached the apex. Companies in various industries like the health care products, beauty and skin care lines, cosmetics, and various others cannot actually survive in the long run without actually implementing Multi-level marketing strategies especially amid the course of their business.

Highlighting the scope of Multi-Level Marketing, Michael L. Sheffield, the CEO of Sheffield Research Network, a Direct selling and MLM consulting firm, in his Direct Sales Journal, issue of Feb / Mar 1999, wrote an article titled “Comp Plan Conversion: Direct Sales to MLM Compensation Plans” in which he maintained that MLM has introduced a paradigm shift in the traditional direct selling business and with the internet revolution the success of MLM companies has raised many folds. He further cited the statement produced by Neil Offen, president of the Direct Selling Association that MLM had gone from 25 percent of Direct Selling Association membership in 1990 to 77.3 percent in 1999.

Multi-level Marketing Opportunities

Multi-level Marketing is a career of uncountable opportunities and growth prospects in the economy. Today multi-level marketing is not only viewed as one of the most cost-effective and efficient sources of marketing and distributing your products and enhance your sales, profits and business leads but also it is considered to be a source of employment generation in the economy. As more and more people are moving towards e-marketing and re-selling, MLM is creating a buddle of employment opportunities and is considered to be a source of residual income for a number of people around the world including students, unemployed, and the women especially the housewives. Not only has this, MLM offers a variety of benefits to the companies to achieve maximum profits.