There are significant differences between the multi tiered network marketing compensation plan and the affiliate marketing model. These two models are very important and you must understand the way it works in order to make the most money out of it.
Copyright (c) 2008 Soaring Eagle Companies LLC
There are significant differences between the multi tiered network marketing compensation plan and the affiliate marketing model.
These two models are very important and you must understand the way it works in order to make the most money out of it.
Let's talk about multi tiered paid structure first.
Multi Level Marketing is a method of receiving compensation through different tiers of overriding commissions. The advantage of using multi tier compensation is that you get to leverage on thousands and thousands of downlines. Your direct downlines will be taking good care of the rest of the network if you play your cards right. But of course, it isn't as straightforward as it seems. Building a structure like this takes a lot of time.
On the other hand, affiliate marketing and joint venture promotions are very straight forward and you can get paid a huge commission - about 40% to 80% if you were to give sales to someone else. A 'super affiliate' is able to generate thousands of commissions by himself. You can build a list of thousands of subscribers and with a single email blast; you can get the word out to all these people and make thousands of dollars in a couple of days.
Let's look at the disadvantages of each structure now.
The problem with the multi level structure is that if all the downlines are not generating sales, you will be the one doing all the work - you might even need to do extra work and give 'spillover' for your downlines. On the other side of the coin, you do not get to leverage on your own team of affiliates if you are in affiliate marketing.
So the best way to get the best of both worlds is to combine the two models and create the ultimate Internet network marketing synergy!
Firstly, you can promote an online MLM program. People still get the benefits of making money from a multi tiered structure. But when you (as an upline) start training your affiliates to build a mailing list, everyone will be your joint venture or JV partner. When one releases a product, everyone else will come running and they will promote your product as an affiliate! And because everybody are in the same network, the loyalty is stronger as everyone is more willing to help one another because they are in the same company.
Using this method, even 'sidelines' in a network will be able to benefit each other and promote each other's info products - cross network. Making money in MLM has never been more fun!
Recipe for Trouble:Documentation (or Lack Thereof)
We all like to trust people and we would like really be much better of if people always did what they said they would do. But we all know that this is not always the case. If you are a business owner, you can find yourself in deep trouble if you do not document.
Recipe for Trouble: IT
Depending on how dependent your company is on computers, IT (or information technology) can be your biggest ally or the biggest thorn in your side. While people tend to refer to IT for anything that involves computers, information technology can encompass a very large variety of business needs from servers to websites. There is no one-size-fits-all IT professional any more than there is a one size fits all employee of any type.
Water is Water Right? Wrong!
We all know that we should probably be drinking more water. We have all heard the health benefits staying hydrated. But we get busy and we forget to drink. So we stop by the drinking fountain and take a quick sip or hit the office water cooler and we think we are getting the hydration we need. But hydration is not even enough. We also need the proper trace minerals.
