Direct Marketing -  Network Marketing

The fundamental difference between Direct Marketing and Network Marketing is really quite simple: Direct Marketing is you doing all the work alone and Network Marketing is leveraging a team of people to do the same work, but now they also work for you.

Imagine you have a service to market and you would like to make an extra $500 to $1,000 per month. Assume you get an average of $100 in commission per service plan sold. Using the conventional method of Direct Marketing, you would have to sell between five to ten service plans personally to make your $500 to $1000 in commissions.

With Network Marketing on the other hand, you build a team to help leverage your income. Like a department store manager hires more staff to move product faster, to ultimately make more money. Assume you get a minimum $25 in bonus commissions for every service plan each of your team members sell, you could be making the same amount of money as you were if personally Direct Marketing with as little as four marketers doing what you did in the Direct Marketing example. Imagine the time freedom you could gain for yourself by building a team to help you do some of the sales work instead of just you doing it all alone.

You are presently marketing something today and you probably don't even realize it. Every time you have a conversation with someone - suggest a book, movie, restaurant - you're marketing your ideas and opinion leading others to follow your direction. This is called word-of-mouth or Network Marketing. Why not get paid for something you're already doing? You paid to see the movie. The people you recommended the movie to also paid to see it, right? And the people they recommended it to... and so on. Now, did you get paid for referring this movie? No. Did anyone you recommended it to get paid for recommending this movie to others? No. The only ones who got paid were the people who put on the movie.

Wouldn't it be great if you got paid too? That's why Network Marketing is so effective and such a lucrative business strategy. You and everyone you refer and everyone they refer gets paid.

Residual Income - What is Residual Income? It's income that you receive, month after month, due to a one-time effort, kind of like if you were receiving royalties from a song, a movie or a book you wrote and each time someone listened, watched or read your material you got paid.

Let me ask you, if you were going to do a one-time job, and you had two choices for getting paid, which of the following would you choose?

A) $1000 per month for one year.
B) $300 per month for the rest of your life

In reality I like to earn both. In this example, "A" is your up front commission for a one time sale and "B" is the Residual Income benefit portion of your commission paid to you month after month and year after year for as long as the buyer keeps buying the service. If you are a qualified affiliate (most programs have their own qualification prerequisites), you can refer someone one time, then earn commissions on that referral every month indefinitely, for as long as they keep it. That's the real power behind successful Network Marketing programs.

Have you ever tried to push a stalled car? It takes a lot of continuous effort to get it moving, but not nearly as much to keep it moving. Network Marketing is very similar. Once you've pushed it over the crest, it starts to gain momentum on its own, so much so, it's very difficult to stop, if not impossible. It is possible in to move your group through this period and into a sustained growth phase such that your sales organization continues to grow, regardless of what you do.

To accomplish this you have to hit the ground running once you've made your decision to take advantage of the opportunity Network Marketing has to offer. You have to push, give it all you've got until you crest that hill and your group starts to experience sustained growth on its own. It requires selling your products and referring as many people as possible until you find the ones who will duplicate your efforts and become leaders. Network Marketing is all about leadership. Once you find those who will inspire and lead in your organization, the momentum will become impossible to stop.

Now you should have a good grasp on the true benefits and the awesome power of Direct Marketing, Network Marketing and Residual income. Take advantage of all three systems combined into one simple turn key opportunity. Contact the person who referred you to this web page to get more detailed information about your company's specific compensation plan.

Important: The information set forth herein is not intended to be of a legal nature. You are advised to speak with your professional accountant / business lawyer for legal directives.