Network marketing on the Internet: 5 MLM companies + instructions for cooperation

Network marketing on the Internet: a business concept + 6 myths + 8 pros and 4 cons + 5 popular MLM companies + 5 options for choosing a network company + 5 signs of fraud + tips for beginners + instructions on how to become a distributor (using Oriflame as an example) + 8 attraction tools partners + recommendations to entrepreneurs.

Almost any entrepreneurial activity with the popularization of the World Wide Web has been transformed into an Internet business. Methods for promoting goods, ordering methods, product delivery - everything is now oriented towards the virtual space.

So, many companies began to work according to the MLM scheme. Network marketing on the Internet opens up new opportunities for their owners and is rapidly developing.

Today we will talk about how it works, why it is needed, how to open such a business, and evaluate the prospects.

Network internet marketing concept

Network marketing (CM) is a form of trading activity when sales agents establish interaction with buyers. Those. the supply of goods, the provision of information products from the manufacturer to the consumer on the basis of a multi-level structure can be called network internet marketing.

For the first time, this business tactic was applied in the 27th year of the 20th century by the American Carl Rehnborg. Today, such well-known companies as Mary Kay, Faberlic, Avon Oriflame, Neways, Amway and others follow his example.

Network marketing is growing at the same pace as software, telecommunications, and the Internet. In total, network companies reach a turnover of 210 billion dollars a year. Japan is considered the leader in the development of network marketing.

The Internet has given rise to a new wave of popularity for this type of business. However, network marketing is still controversial. Many people who are close to the poverty line were able to achieve material independence with his help. Others "look like a wolf" at the concept of network business, mistaking it for financial pyramids, fraud.

If the latter tried to delve into the essence of the network business, their opinion would change ...

By promoting goods / services on the Internet through multi-level marketing, you deprive yourself of intermediaries who usually inflate the final cost of the product.

Also, network marketing is characterized by the absence of. And this eliminates the need to spend on the implementation of an advertising campaign on the Internet, since the products are distributed through recommendations from person to person.

The mission of MLM is to simplify, reduce the cost and speed up the promotion process.

Network marketing gives everyone the opportunity to build their own business on the Internet, while creating an extensive network of consumers. Anyone who develops a multi-level structure receives % of the total turnover for their activities. This is how you get passive income.

Myths revolving around online network marketing

Before we look at the principle of Internet network marketing, let's dispel the myths that skeptics have come up with:

However, supporters of network business on the Internet also come up with a lot of fables:

Multi-level marketing is the best kind of business, which is the future.

Not a single dozen of the largest MLM companies on the Internet / in real life have been able to achieve a leading position in their half-century of operation.

The traditional concept of product distribution is still not inferior to the network one. Therefore, the statement that MLM is the business of the future is wrong. Although, a single sale of goods on the Internet is a truly progressive commercial activity.

Network marketing is the key to wealth and success.

Do not believe that on the Internet, network companies will necessarily become a source of financial independence. If this statement were 100% true, everyone would have retrained as networkers long ago.

In practice, only a few succeed. It all depends on how you take advantage of the opportunities offered by network marketing on the Internet;

MLM is an opportunity to run your own business.

If you are joining a multi-level company, it is a mistake to assume that network marketing will allow you to work exclusively for yourself.

First of all, you earn profit from it. And from this profit, she allocates you a reward corresponding to your labor contribution. But this is only if you join an MLM company, and do not act as its founder.

How does network marketing work on the Internet?

First-time network marketing people think that their earnings are affected by the number of customers, but the key factor here is the number of distributors that we managed to attract. With their work and income, they will bring you a certain percentage of earnings.

An MLM company operates without stores. The sale of manufactured goods occurs due to the fact that each networker attracts new buyers and sales agents. Thus, a network is being built, why on the Internet such a marketing scheme is called network.

Considering network marketing from the perspective of a person who decided to open it on the Internet, for him it will be a distinctive feature, but an increase in the cost of forming a mentoring system.

Those. the entrepreneur needs to direct part of the money for vocational training. There will be expenses for promotional materials that will be used by distribution partners.

From the point of view of buyers, there are advantages. On the Internet, network marketing gives them a guarantee of quality, reasonable prices, the possibility of obtaining exclusive products, etc.

However, it is worth dwelling on the advantages and disadvantages of MLM in more detail. Those Internet users who seriously decide to engage in network marketing should know its positive and negative sides.

1) Advantages of network marketing on the Internet.

1. Training, advanced training. In network companies that value their reputation and care about the amount of profit, courses are necessarily provided, seminars are held. Therefore, their employees are always competent, which has a good effect on earnings;
2. Free chart. Distributors can work as long as they want (2, 5, 10 hours). If the deal you made is effective, you can rest. However, there are less lucky days when you have to sweat.

The Direct Selling Association, which operates in the United States, conducted a study, the results of which revealed that 90% of workers in the field of network marketing work literally 30 hours a week. The remaining 10% of respondents - even less (10 hours).

The dependence of the amount of earnings on your contribution. If the salary of a clerk depends on the "uncle" for whom he works, then with network marketing everything is different. There is no restriction here.

A diligent, creative and quick-witted person is able to win over customers on the Internet, is not afraid of a large amount of work. This means that his earnings will only grow.

Creative work. Network marketing is certainly interesting and does not force you to sit in the office for routine paperwork. You won't be bored either online or offline with MLM.

Moreover, the sale of goods can take place offline 24/7 and without your participation. For this, social networks, blogs, websites, multi-profile advertising on the Internet, and other tools are used.

Expanded geographic space. Traditional multi-level marketing will not give you as many opportunities as online MLM. You can use the World Wide Web to establish contacts with customers, attract new distributors to the network from all over the world and without a personal meeting.

To communicate with partners, you can use video conferencing, chat, Skype. At the same time, such tools are available on the Internet to everyone and for free.

3. Friendly team, atmosphere of solidarity and mutual assistance. Since in network marketing the team is united by one goal, everyone interacts with each other. A young distributor can count on the support of more experienced colleagues.

Opportunity to choose business partners, the pace of professional growth.

Public recognition of the achievements of each distributor.

2) Cons of network Internet marketing.

1. income instability. Working on the Internet, you can actually receive both unlimited earnings and face lack of money. Network marketing is changeable, and in order to minimize such risks, you need to constantly increase your customer base.

Rapid fatigue, neuro-emotional stress. Many sales agents have a hard time constantly working with people, continuous communication. Usually, distributors are treated negatively, perceiving them as sales representatives trying to sell some nonsense.

Because of this, one has to face a moral burden. Some distributors cannot stand the pressure of customers and for this reason leave the network business. But thanks to the Internet, this factor is gradually being erased. You need to be emotionally and stress resistant.

Responsibility for subordinates. Those who are not familiar with the responsibility for their own actions should not even try to work in network marketing.

This type of business on the Internet inevitably leads to responsibility for others. If you undertook to teach someone, one way or another you will have to be responsible for the actions of your protégés.

2. The need for cash deposits. When engaging you in network marketing over the Internet, sales agents can promise that . In reality, you will have costs, for example, for the purchase of catalogs, etc.

Let's summarize. SM on the Internet is an activity that is beyond the capacity of people who are deprived of purposefulness, patience, communication skills, the gift of persuasion, and organizational skills.

How to start online business on the Internet?

If you have the idea to become a distributor, you need to choose a large MLM company with a good reputation and turnover. There are quite a lot of them on the Internet and in real life.

These companies specialize in the sale of cosmetic products. If you do not intend to work with this category of goods, you can choose other companies. However, the listed companies are proven, and in any case will help you gain experience, understand the basics of network marketing on the Internet.

In order not to make a mistake with the choice, pay attention directly to life of the organization. If it has already taken place and has been operating on the market for more than 4-5 years, it can be trusted.

No less important the degree of demand for the product. Food, cosmetics, etc. are quickly consumed, therefore, they have regular consumption. The products of the company you choose must be useful for consumers, then they will buy it on the Internet.

In addition to the above two factors, the following are also taken into account:

• Functionality, representative usability, its presentability.
• Availability of training, corporate assistance. A normal MLM company professionally builds a training system, motivates its employees to attend advanced training courses and trainings.
• Validity of the marketing plan, its type. Often used stepwise.

Here are the signs of a scammer:

• large entry fee (starting from $100);
• lack of goods, or unjustified its market value;
• the dependence of the amount of earnings not on the turnover, but on the number of buyers you brought;
• the promise of making quick money;
• lack of confirmation of purchase and sale transactions, receipt of funds, etc. in documentary form (contracts, receipts, waybills).

Each MLM organization operates in accordance with the laws of its country. Therefore, in Russia, Ukraine and a number of other states, a person can become a sales agent only upon the onset of civil capacity. Those. an individual must be at least 18 years of age at the time of employment.

Basically, the relationship and the level of salary are not announced in the collective / labor contract, but are formed on a contractual basis. This deprives the distributor of the social package and other guarantees that rely on wage workers. The conditions fulfilled on the Internet by a distributor within the framework of network marketing are determined by the regulatory documents of the company.

The main requirement for becoming a sales agent is the sale of a certain amount of goods or for a specific amount.

For example, to become an Amway employee, a person must:

But Bing Han International hires on different conditions:

1. First, you contact the office of an MLM company or find its official website on the Internet to register.
2. Then you should be trained / consulted by 2, 3 ... experienced specialists, buy or sell 1 unit of goods.
3. In conclusion, you will need to attend 5 trainings.

After you've been hired and mastered the strategy of network marketing on the Internet, you need to earn your first money. To start, you have to start looking for 2-3 people who will purchase products from you.

If you intend to start seriously, along with finding clients, look for partners who will be interested in MLM. With their involvement, you will increase your income, because the network will expand, and with each of its branches you are entitled to some kind of reward.

Theory is theory, but it’s much easier to understand the principles of network marketing on the Internet using a practical example, right? Then, let's not put it off!

How to become a distributor in a network company (on the example of Oriflame)?

Many people who have made the decision to work in network marketing, rather than for hire, start their activities at Oriflame. But only those individuals who demonstrate personal development, gain experience and knowledge, and are ready for time and financial costs achieve success.

To have a diligent team of distributors, Oriflame provides each employee with the following benefits:

The working system of a network company has been tested for decades. Today, an Oriflame employee does not need to run around acquaintances and friends with a catalog under his arm, persuading them to write out any cosmetic product. All network marketing work can be done online. Moreover, there will be additional or basic income, it depends on you.

As in any other form of network marketing, it is important to build your team at the beginning of the activity. You need to use the Internet to attract new people who will help you increase sales of products (you will learn about ways to attract new people in the next section).

Invited users receive not only, but also their advantages. For example, the possibility of purchasing goods at a 20 percent discount. The recruited team of people chooses by what principle it works in network marketing - via the Internet or offline.

Anyone can become an Oriflame distributor, but at the same time, he must have the following qualities:

• diligence;
• focus on success;
• perseverance;
• sociability;
• faith in one's own strengths;
• purposefulness;
• Internet access.

Network business in Oriflame is available to women on maternity leave, retired citizens, students, housewives.

1. What do you need to work in the network company Oriflame?

You can conduct a network business on the Internet according to a free schedule. This method of work is convenient and gives more opportunities to increase income. Such employment will allow you to reach a monthly salary of 1 thousand dollars. And this is not the limit.

In the network system of the company there is no boss who would cut your salary or deduct money from it for any needs. Therefore, only your personal activity on the Internet affects the amount of profit.

Start with registration. Follow this link https://www.oriflame.ru/business-opportunity/become-consultant. You will see a registration form that you need to fill out:

Activate your account with an email.

A letter will again be sent to the post office, where you will be notified of the personal number assigned to you and the sponsor to which you are attached.

The sponsor is your personal mentor. He will coordinate your actions, help you succeed. If necessary, you can contact him for advice.

You can get immediate income from sales. To do this, you need to show people an electronic catalog on the Internet and motivate them to buy cosmetic products. You can create this log by going to the " Sales support».


Give it a name and click on the Save button.

The profile displays all the necessary information to conduct a network business with Oriflame:

• turnover,
• Order history,
• receiving awards and achievements.

If you are going to register a new consultant, this will need to be done through this tab.

After clicking on the appropriate button, an online questionnaire will open in front of you, similar to the one you previously filled out. Here you need to enter the data of the invited person, indicate his mail so that he / she will receive a letter to it.

Further actions are now small. The person who received the newsletter must activate the registration using the access parameters that were sent to his email inbox:

Thus, working with Oriflame on the Internet, you make a profit from the sale of cosmetic products. Since distributors are offered lower prices, your income is the difference between the catalog price and the consultant price.

It is possible to build such a structure even from a small number of consultants invited by you. When you yourself master this key point in marketing, you can teach this to your wards, who in turn will teach the people they attract.

As a result, a strong network system will be formed that will bring you additional income.

You also get the following benefits:

2. How much money do employees of the network business in Oriflame receive?

To receive money earned in a network company via the Internet, you will need to register as an individual entrepreneur.

Since Oriflame works transparently, salaries are charged to employees by bank transfer. Therefore, in order to withdraw money from the accounts, you must be an entrepreneur and pay taxes in the future.

Let's calculate the costs:

• Registration on the website of the network company will cost you 149 rubles. This amount will be included in your first order. Sometimes promotions are held, due to which the registration fee can be reduced to 10 rubles.

Registration in the Oriflame network business does not oblige you to place an order, distribute goods. You do everything as you wish. The company's consultant is an independent distributor, which implies freedom of action, independence.

• For registration of an individual entrepreneur, you will need to pay a state duty of 800 rubles.

If you sum up all the expenses, you get 949 rubles.

Of course, you will also have to pay for all orders. However, the money for it will be returned by your own customers upon receipt of the products.

Now about income. In the status of a novice consultant, only on direct sales on the Internet, you can receive an average of 5-15 thousand rubles. If you assemble a team, the reward will be formed by the network company depending on the amount of orders of your partners and will vary within 3-22%.

For example, a partner has a turnover of 12 thousand rubles. or 450 BB (points). According to the premium table, this is 6%. You are entitled to the difference: 22% -6% = 16%. Now you need to calculate how much it will be 16% of 12 thousand rubles. - it turns out 1920 rubles.

You are entitled to such income from one person under the above conditions. And if there will be, say, 10 partners with such success? Network income will be 19.2 thousand rubles!

8 Ways to Attract New Business Partners to Internet Network Marketing

You should not lure people on the Internet to network marketing by inventing new fables. It is also inappropriate to lure the assortment and quality of goods. The assortment is expanding, the quality is improving - such a picture is ubiquitous, it is already considered the norm, and not an advantage, so this argument is no longer relevant.

It is best to show a potential partner the prospects and opportunities that he will receive by working in network marketing via the Internet. Tell him about the advantages and disadvantages (that is why we have listed them in this article), show the convenience of work.

On the Internet, to attract future employees of an MLM company, the following are involved:

• Sites. Your resource is the most optimal and reliable option. It makes sense to create it if you have the ability to fill it with content. Articles should not only cover questions about network marketing on the Internet, but also be set up for SEO promotion.
• Thematic forums- an effective method of finding companions. It is necessary to communicate on sites dedicated to the topic of making money on the Internet.
• Groups and accounts in social networks. On these sites, you have the opportunity to post information about your MLM company in other communities and created by yourself.
• Postal mailings. Relying only on this method is impractical. Many will ignore your emails, marking them as spam. Therefore, treat it as just an additional tool.
• Boxes and similar services. CPA for a fee will help you find new distributors in your network marketing structure. They have a large number of users who want to find a job.
• Contextual banner ads. On third-party sites on the Internet, you can buy contextual ads or banners, which, thanks to their colorful design and competent slogan, will help you find caring people.
• Youtube channels. In the 21st century, people are losing the habit of reading, and video hosting sites are gaining more and more popularity, where you can both have fun and earn money. This is a convenient and effective way to attract new customers, train existing sales agents.
• Resources for finding vacancies, etc. On web platforms where people are looking for a part-time job or main source of income, those who are interested in your ad are guaranteed to appear.

You can attract customers and new distributors from the Internet without personal communication only when you have already taken place as an employee of network marketing, have created a certain team, having previously selected the target audience interested in how to improve their financial situation.

At the initial stage, communication is necessary. Moreover: you will teach your new partners what you yourself managed to learn.

8 Tips for Online Network Marketing Beginners

1. If you want to succeed much faster than expected, don't sit back. It is necessary to improve, read the relevant literature, and not be ashamed to learn from the experience of experienced networkers.
2. Do not neglect a thorough study of the product, its properties. You need to be fully prepared when a customer asks you about product features. Otherwise, you will not see sales. And do not try to lie in order to “shrink off” more!
3. It is necessary to strive not only to conduct trade, but also to develop your own network on the Internet. This is perhaps one of the most important rules of successful network marketing.
4. Promote products on the Internet and search for partners using as many available tools and methods as possible.
5. Feel the fine line between attraction and imposition. If you see that this or that Internet user does not show interest in you, stop spoiling his nerves and yourself.
6. Be patient, bring everything to the end, even when meeting with failures. Do not think that if your friend could not achieve good results in network marketing with the help of the Internet, then the same situation will develop with you.
7. Plan your time right. After all, a free schedule gives freedom of action. Apply the “important first, then urgent” formula. Rational planning of time is the key to the success of any activity, including network marketing.
8. Learn original approaches, be bright, extraordinary and charismatic. People who have these qualities are drawn to them. This is felt even on the Internet, where personal acquaintance is not provided. So you will increase your rating, increase sales, for which you will be pleasantly rewarded.

How to create your network business on the Internet?

We figured out how to become a distributor and the next steps. But what about those who want to open their own network marketing on the Internet?

Firstly, such people should already have a company that sells goods of their own production or products of another brand. In any case, there should be no complaints about the quality of the goods. Their cost also plays an important role.

Are you okay with the quality and range of products? Then you can enlist the support of competent distributors, create your own network.

Be sure to create a system of deductions for your distributors so that it is beneficial not only for you, but also for them. You must take care of a good system of training and incentives for newcomers to the ranks of networkers. After all, the level of profit depends on their ability to attract customers and employees to your network company.

By this point, it is important for you, as a “leader”, to try to develop leadership qualities. It's good when you have what to sell and to whom, you have staff. However, if you are not a motivator, your online network marketing will stall.

Only with leadership abilities is it possible to generate a branched and strong structure.

It, in turn, should be diluted with unique technologies, its own methods of work and promotion, since the process of network marketing itself is a dynamic trend. Now it can develop, and tomorrow it can slow down and completely die out.

If you manage to spin this "money machine", it will soon bring you dividends. This will help you create a website on the Internet.

It is possible to open a network company and develop it even with a small budget. You can conduct such a business via the Internet without interruption from the main business activity.

How to get started with online network marketing?

You will learn about a competent start and the Magnet method from the video:

Network marketing on the Internet will give you unlimited financial prospects, if you focus on building a strong team, you will earn a good reputation.

A well-designed training system, continuous support for new members, regular corporate events, taking steps to increase sales - all this will help you improve the quality of your life.