The difference between Multilevel Marketing (MLM) and Social Retail.

Multilevel Marketing and MLM is a bad word in the small business world.?The thought of it makes people cringe; MLM has had a black eye in the world of would-be entrepreneurs for a long time and for good reason.?We have all probably known someone in the past involved in an MLM, and I think most of us would agree that it is cult like.?People that are friends or family suddenly cannot have a normal conversation, everything resolves around this great new product/company they have found, and all their focus is now on recruiting said friends and family to become a member as well.?

So why does MLM have such a bad reputation??Are the products really that bad??The products are not the problem.?Because the products do not matter, recruiting matters.??This is how the money is made.?You recruit me, and I recruit five people, and those people recruit five people, and you are making money on all of them.?How??Because it costs hundreds of dollars to join, sometimes thousands, and you must keep purchasing the products.?It’s a company with no substance.?It is a legal Pyramid scheme.

Every year companies spend a very large portion of their budgets on marketing, whether that be TV, Radio, Print, Internet; billions each year are spent in these arena’s.??Aside from the cult aspect of MLM, the networking portion is actually pretty brilliant.?Instead of spending money on marketing, let Individual marketers do the marketing for you, and compensate them generously.?If you could take a legitimate company with legitimate products, and apply the networking aspect of MLM could that work?

Well, a few years ago someone thought so.?They took a legitimate company with real products and took that marketing aspect of MLM and married it to this legitimate company.?The goal was not to make money from the marketers like in MLM.?The goal stayed the same to sell their products in the marketplace, and instead of spending huge amounts on marketing, they would partner with individuals who would sell their products for a percentage of each sale.?They married legitimacy with Multi Level Marketing and the result was Social Retail was born.

This concept did not require the individual marketers to spend large amount of money to sign up.?They were not required to purchase the products.?They made money by selling the products, by recruiting others to do the same, and made a percentage of their sales.?Again, no money was made by them for just recruiting someone.?All commissions all led to the same place, the selling of the company’s products.?All compensation roads by company and marketers alike led to the same place, the selling of the company’s products.?

In today’s world social retail is largely done through social media, and of course face to face, but social media has provided the greatest vehicle for social engagement in history and has made selling by far easier than it has ever been in the past. Everyone is connected to hundreds, even thousands of people indirectly though their contacts on social media.?There has never been a better time to be involved in Social Retail then today.?

If you are looking for financial independence, freedom to spend more time with your family, your friends, and are tired of making money for someone else social retail may be the very thing you have been looking for.?You do not need to make a large investment to start, you do not need to quit your current job to start.?You can make money by spending time on social media which you are likely already doing each day.?It is not complicated.?It does take some work, all good things do, but the payoff can be tremendous.?