How Network Marketing Works

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What is network marketing and how does it work

If you still don't know what is network marketing and how does it work, I'm here to explain it to you: in all likelihood, you will realize that you already know this sales method, better known for the companies that practice it than for its definition.

Well, network marketing is a system that provides the direct sales of products to consumers, who can be invited to become themselves sellers, or be encouraged to recruit new ones. This way they will get a bonus on purchases made and one percentage on those who will make the new recruits, introduced by them in the "tour". Network marketing is also called Multi-Level Marketing (MLM) precisely because of its characteristic of involving buyers who can also become resellers, multiplying exponentially.



CAUTION: network marketing, often associated with occasional forms of work, is a type of business subject to disputes. This is because, in a short time, it can lead to the exhaustion of the "new levers" within the system, which will no longer generate profit for anyone, leading to failure of the strategy and of those who initially made a profit. That resolution makes it a unsustainable business and, even worse, a form of fraud. This is to tell you that I take no responsibility for your choices of adhering to such a market technique, on the contrary I would like to warn you of any scams and bad faith characters.

Therefore, how network marketing works? A first supplier sells a good or a service to a circle of people who, spurred on by a reward, will try to introduce others into the system, expanding the perimeter and, in their hopes, also the gains deriving from percentages on purchases.



This business scheme is said chain of Sant'Antonio, very similar to that pyramidal and it can become illegal if it does not abide by the rules and laws that regulate it in every different nation in the world. In city, for example, it is forbidden to operate to those companies that fear network marketing as a possibility of gain, to be obtained exclusively through the recruitment of other people in the system. It is also forbidden to request a cash consideration to the new recruiter, again by the company promoting the business, in the absence of a real and tangible service that the latter can provide to those who are hired in the scheme.

That said, there are also businesses and companies that, after building a reliable reputation and staying within the rules, have managed to support themselves with network marketing: I'll tell you about it in a later chapter of the guide.

The widespread diffusion of Internet and SOCIAL MEDIA has given a significant boost to this sales system: on the ad sites and on the groups within the social channels, ads of sellers who recruit "staff" are swarming. At this point, as you may have already guessed, the imperative is only one: maximum alert, as the danger of scam is around the corner. In this regard, read my guides on how to report a scam site and how to prevent online scams.

On the other hand, companies born with a structure based on network marketing, today find themselves having also developed systems of E-commerce, which offer many more advantages and safety to the end customer. In this regard, read my guides on how an e-commerce works and how to do online marketing.


If you are looking for a method to earn, know that there are no miraculous systems: get involved and read my guides on how to find work and how to earn money on the Internet seriously. Test yourself: you may not know it yet, but the digital world can offer you many opportunities in line with your skills, safer than network marketing. That said, if you really want to deepen this system, continue reading, but I repeat that I do not recommend it and that I do not take responsibility for any bad experiences you may have in relation to this type of business. Understood?


How to make money with network marketing

You have, rightly, many doubts about it, however you are wondering how to make money with network marketing, a little out of curiosity, a little to consider a request for a hiring as a salesman that an acquaintance of yours made you.

Well, the first, fundamental step to take is make sure of the real seriousness of the company who works through network marketing: only this will allow you to carry on your business for some time under his wing.

So, do one search on Google, Trustpilot and other sites to check a site's reputation to find as much information as possible and leverage the social networks, the blog and also listen to people for truthful feedback and opinions about the company. Also, rely on the fact that it is quite valid, as it is universally known.

If you can be sure of the seriousness of the company, ask for a contract in which the items relating to your duties and, above all, to the way in which you will perceive the earnings are explained. There sale of the goods that the firm will propose you to promote should represent the largest part of your profits.


Then, if possible, participate in a period of coaching with an experienced and prolific salesman, to learn about sales techniques that fall, however and always, within the scope of the law. So, if you think fit, join its network and try to make the first contacts with people potentially interested in the products marketed by the company.

You can start with family and friends, but limiting yourself to them would be counterproductive: the spirit is to involve as many people as possible. If your contract provides, you can invite them to try the sales experience. If they accept, you should be able to receive a small commission on the salary - make sure it's one legal and invoiced transaction. Aim, however, to earn with direct sales, so as not to quickly run out of the business that allows you to take home some profits.


Having said that, if it seems too complicated and expensive (from all points of view) the working methodology associated with network marketing, try setting up your own business in the field digital. On the subject, you can read my guides on how to start an online business, how to make money with Facebook, how to make money with Instagram; or turn to sites to earn serious money.

Network marketing companies

At this point, you'd like to know which are some of the best known companies based on network marketing, to try to work with to round up. You are satisfied: among other things, in all probability, you will find that you already know them or have heard of them.

How Herbalife Network Marketing Works

Herbalife is a company that operates worldwide, based in California, dealing with dietary foods, supplements and skin care products. Historically the company has always based its business on independent distributors who could profit from direct sales as well as from the commissions awarded to them for the new recruited resellers. So, you may be wondering, how Herbalife network marketing works.

Although Herbalife, thanks to the advent of the Internet, today has a e-commerce company site which allows the direct purchase of its products, has not abandoned the old trading system based on independent distributors.

If you also want to become one of them, connected to the official website of Herbalife city and click on the item Herbalife opportunity, then on the page that opens, read the information on the activity of the independent distributor and on the kit that you will have available for your work, then click on the button Subscribe and fill out the form with the requested data.

Know that, once you have become a distributor, you will also be able to download theapp Herbalife (Android / iOS / iPadOS) to manage your trade orders.

In any case, I advise you to keep your feet firmly on the ground and I warn you that in the past the company has been the subject of an investigation by the Federal Trade Commission American, for having caused huge economic losses to its sellers, given the careless business model.

How Avon Network Marketing Works

Avon is an American company that deals with the production and direct sale of cosmetics, make-up products, fragrances and jewelry. Read on to find out how Avon network marketing works.

Avon was born as a direct and catalog sales company: over time, however, it has added to this activity that within stores and online. As happens for most network marketing companies, the advent of the online market has allowed them to break away, in part, from a somewhat stale and ambiguous commercial system, in favor ofE-commerce.

However, if you want to become Avon consultant (the famous presenters of some time ago, so to speak) today it is still possible, but with a different and updated formula, which will put you in a position to get your own free web space which you will manage as a showcase of Avon products, selling them for dropshipping and, therefore, receiving revenue from the difference between the wholesale and retail cost. To learn more, also read my guides on dropshipping sites, on how to dropship on Amazon and on how to dropship on eBay.

To get started, connect to the official Avon website and scroll down there home page all the way down, then click the button Become a consultant. On the page that opens, read the information provided by the company for opening an online shop managed by you, where you can sell Avon products throughout the city and fill in the application form with your personal data.

After becoming a consultant, you can also download theapp Avon ON (Android / iOS / iPadOS) which will allow you to manage your orders and business, as well as create promotional posts on social channels.

How does Kobold network marketing work

What many know how Elf, is none other than the flagship household appliance of the German company Vorwerk and it is a vacuum cleaner. Probably a Kobold agent has also rang your door and then you are wondering about how Kobold network marketing works.

The Vorwerk company began to be successful when it switched to the production of electric brooms and vacuum cleaners, selling them door to door. Today, the business system based on representatives who promote and try to sell products in the area has also been joined by theE-commerce.

If you want to become a City Kobold agent, connected to the official website of the company and click on the item Work with us. On the page that opens, read the information on the activity: you can take advantage of a free training course for professional Kobold agents, then start selling by obtaining bonuses and commissions, during a first "running-in" period, and then have only a percentage of the products sold. After reading what the job consists of, click on the button Become a Kobold agent and fill in the module with the requested data.

Once you have assumed the role of agent, you will be able to download the app MyOrder by Vorwerk (Android) with all the list prices and catalogs available and where you can monitor your commercial orders.

How Network Marketing Works


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