MLM – What is Multi Level Marketing (MLM)

So first of all, MLM stands for Multilevel Marketing. And what that means is that there are several levels of people that are selling within the corporation or within the group or the team. At the top, you have a sponsor. And actually, that sponsor probably has a sponsor. So there’s the upline, which are people that are above that sponsor, and there’s downline, which are people that are below that sponsor. And people below that sponsor have people below them. So that’s why it’s called multilevel marketing.

And there are many different structures of multilevel marketing. There are many different levels of multilevel marketing. Most companies will go two, three, four, or five deep. Some will go as far as 10 deep.

And the way you get to earn commissions is you get commissions off of every product that all the people sell in your downline. And sometimes, you have to earn the right to get those commissions by you, yourself, actually going out and bringing in more people indirectly under you. So you have to build your first line too.

So there are several ways in which you can earn money within multilevel marketing set up. The first one is by, through the use and the sales of your products and services. The other is by recruiting other people. That’s actually frowned upon. 

 

When they say you earn money by recruiting people, you shouldn’t receive money by actually recruiting people, where you receive money is from the people that you recruit when they sell the product, you would earn a commission, often their products.

 

It’s sometimes called network marketing because you’re built to a huge network of people. And it’s sometimes called peer-to-peer marketing, is another one too. 

 

Peer-to-peer set up because you have people that are working directly with you, directly for you.

 

And so, their peers doing the exact same job as you selling products and services, and because of their sales, you’re getting a commission

So that’s basically what multilevel marketing is. So if you like what you heard or you want more information go to topessentialservices.com. Thank you.