What is Network Marketing?

 Network Marketing Definition

Network marketing is a type of business model that involves establishing a network of independent distributors or sales representatives who act as independent contractors. The network marketing model is based on a multi-level system where the independent distributors or representatives earn commission from their own sales, as well as from the sales of other people they recruit. 

Network Marketing Explained:

Network marketing, also known as multi-level marketing, is a business model in which independent distributors sell products or services to customers, earning a commission on the sales they make and also earning a commission on the sales of the other distributors they recruit. Distributors typically form sales networks and recruit other distributors, who are then trained and encouraged to build their own networks. This creates a pyramid-like structure of distributors, with the top-level distributors earning the most money.

Network Marketing Types

1. Single Level Network Marketing: This type of network marketing involves the sale of products or services by a single independent distributor. The distributor is typically responsible for recruiting and training their own sales team and earns commissions from their sales. 

2. Multi-Level Network Marketing: This type of network marketing involves selling products or services by multiple independent distributors, each of whom recruits and trains their own sales team. Distributors earn commissions from their sales and also receive a portion of the sales commissions earned by the distributors they recruit. 

3. Party Plan Network Marketing: This type of network marketing involves selling products or services at home parties. Distributors host parties in their homes and demonstrate products or services to guests. They then take orders from the guests and earn commissions from their sales. 

4. Social Selling Network Marketing: This type of network marketing involves selling products or services through a distributor’s social media accounts or websites. Distributors earn commissions from the sales of their followers or website visitors.

Network Marketing Companies

1. Amway

2. Herbalife

3. Nu Skin

4. Avon

5. Mary Kay

6. Isagenix

7. Primerica

8. Jeunesse Global

9. Monat Global

10. USANA Health Sciences