Ascertaining How Network Marketing Online Has Fundamentally ...

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David Wood

The origins of network marketing are rooted in the multi-level marketing system. With the growth of technology many MLM owners have moved from personal contact to Internet only communications. This has caused both success and headaches to appear. In the end, the fundamentals are still the main method for growing a business, both online and off. The methods may have changed but the basics have not. Learning how network marketing online has fundamentally changed the way we do business is important to use the technology effectively.

Originally, Amway build its empire through personal relationship marketing. The high quality products were shared by business owners who had taken a stake in the company by buying a membership to sell the products. Selling these to people they knew, the new owners were also able to recruit anyone who was interested in joining the group of owners. This put the products in front of more people than traditional marketing could have accomplished.

Several companies including Amway and Tupperware grew by allowing people to take ownership in the products and hosting home parties to market them. Also, through recruiting via personal relationship, the networks grew. However, this was often limited to close friends and relatives. Using these close friends as first tier contacts, they were able to continue to grow by allowing each level to join the business as an owner, which produced more sales and continued to grow both the company and each owners? revenue.

As the Internet became a primary means for communication, the personal level of MLM began to fall away. The use of websites and social networks became the easiest way to develop contact lists for sales. Building a network quickly took a back seat to the fast pace of Internet marketing. While this has proven to be successful for some, others simply failed to generate any revenue and the idea of MLM has started to waiver.

People are eager to sign up on sites with the hopes of becoming the next millionaire. Usually, the expectations are for quick returns with little effort. Though the promises are often too good to be true, the desperation is seen and many people grasp at the nearest idea to make quick money in a competitive environment.

Using the improved tools to generate a large list of potential contacts can help build a company. With social media, word about a company travels quickly. Whether the news is good or bad, the message gets out quickly. A good review can set a company up for success, but bad news can just as easily demonize a product or company causing a drop is sales in the same amount of time.

The trick to making the company successful is going back to the basics. Personal relationships that were built with the old, non-electronic methods are still the most valuable and productive ways to generate a successful and lasting business. Using the new communications tools, social networks, and web presence with the old methods of building the personal connection can generate a strong network quickly. With the strong personal references, the clientele will stick around and pass the word.

The basic strategy of using personal relationships to build a network continues to be the best method for company growth. The personal contact builds trusting relationships. Even though network marketing online has changed how business is done, the main principals have remained the same.

The benefits of network marketing are fairly well known in the business world. Now that network marketing online is available, the advantages are even greater.

Tags: business, home based business, network marketing, network marketing online

Leon Edward is the blog owner and webmaster of? http://www.HomeBusinessIT.com where you'll find?internet business ideas and home business management info , legitimate home internet business reviewed , home business management and marketing information where you can even get step by step??affiliate marketing training to start your own affiliate marketing online business

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