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Home  /  Network Marketing  /  What is MLM or What is Multi Level Marketing [Article II]

What is MLM or What is Multi Level Marketing [Article II]

Vineet Gupta July 23, 2015 16 Comments
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Welcome Back šŸ™‚

This Article is in continuation to the last one, i.e. – What is MLM or What is Multi Level Marketing. Where I shared about how MLM / Multi Level Marketing business model is beneficial for both Companies & Customers. If you have not yet read the previous article on What is Multi Level Marketing, you can read it here.

In this article I will share about how MLM / Multi Level Marketing business model works.

What is Multi Level Marketing Business Model like?

In MLM / Multi Level Marketing when a person purchases the product from an Independent Representation (IR) of the company, on purchase that person gets the Distribution Rights for the products. And when he further promotes the products, or you can say when the sale for the company happens because of that person, company shares some part of the profit with him.

MLM / Multi Level Marketing business model have various Incomes, like when you introduce a person you get certain amount. Generally this is termed as ā€œDirect Bonusā€. Then on further product promotion to few more people you get some amount.

Thereafter when the people who gets in your Team / in your organization, when they further promotes the product of the company, that person also makes money because of whom product for the company got sold & because that person is in your Team / Organization, company even shares the profit with You as well, this is called Team Income.

And once you have a Big Team, you can expect some crazy money on regular bases. That’s the power of MLM / Multi Level Marketing Business.

Following images depicts how a MLM / Multi Level Marketing business model looks like:

What is Multi Level Marketing structure

As shown in the above structure, that’s how the placements are made in the MLM / Multi Level Marketing business model. Now if you are thinking about making chains, members, pyramids, etc. Then what will you say about this:

It’s the graphical representation & whatever structure you make on paper it will look like this.

What is Multi Level Marketing?

The most important thing about MLM / Multi Level Marketing business model is that you can have hundreds & thousands of people or even more working for you, with you. Without you paying them salary & you get the benefit of their Time, Effort & Skill. And that’s the way to make Big time Money, when you have people working with you.

Important: Read this article to know more about MLM / Multi Level Marketing.

To Conclude

MLM / Multi Level Marketing is a simply way of promoting the products of a company. Company don’t had to spend on advertisements & a person because of whom the product gets sold company simply pay him & people associated with him, as per the predefined business model.

What isĀ Multi Level MarketingĀ & its business model has been defined the best business model by Top Economist & Financial Advisor – Mr.Robert Kiyosaki, for a Common Man for achieving Financial Freedom.

I hope by now you understand What is Multi Level Marketing. So here is a proven Success FormulaĀ for you to Succeed in Multi Level Marketing –Ā Success Mantra

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Tags: mlm, Multi Level Marketing, What is MLM, What is Multi Level Marketing
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About Author

Vineet Gupta

Vineet Gupta is an internet marketing professional. He loves to research and learn about the latest developments Google does in their search algorithms. For 8 years he has been helping businesses in brand building and improving sales and revenue. In his free time, he likes to play with his Dog, watch Cricket and listen to Luis Fonsi. You can connect with him on Instagram.

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16 Comments

  1. A.Rao Reply
    July 7, 2013 at 3:50 pm

    Mr.Vineet I was waiting for your this 2nd blog update on MLM. And I found both the articles very informative.

    Thanks Dear for updating all of us. You are a true mentor for us.

    • Vineet Gupta Reply
      July 11, 2013 at 2:13 pm

      hmm, Thanks you Mr.Rao for following my blog updates šŸ™‚

      I believe in adding value to the community, just trying to help other fellow network marketing’s in the industry šŸ™‚

  2. taranpreet Reply
    July 8, 2013 at 12:09 pm

    MLM is a good way to make money but sometimes close minded people don’t understand.
    but who cares, i believe in that & i know its potential n its HUGE ..

    • Vineet Gupta Reply
      July 11, 2013 at 2:15 pm

      haha that’s the right attitude Taranpreet šŸ˜‰

  3. Manish Reply
    July 25, 2013 at 2:06 pm

    Hi Vineet ,

    Great article mate , i know basics of MLM but the way you have explained is outstanding.

    • Vineet Gupta Reply
      July 25, 2013 at 7:30 pm

      Thanks Manish for taking time & giving nice comments šŸ™‚

  4. http://www.ask.com Reply
    August 22, 2014 at 11:52 pm

    Yes! Finally something about profit lance review.

  5. ultrapink Reply
    August 23, 2014 at 9:31 am

    I love this article, very straight forward, infact I had to send the link to my frnds who still ask me questions abt MLM. Good work

  6. Superocean Reply
    October 12, 2014 at 3:16 am

    This info is worth everyone’s attention. Where can I find out more?

  7. alex Reply
    July 24, 2015 at 9:33 pm

    ok i was searching for this thanks for the information

    • Vineet Gupta Reply
      July 25, 2015 at 12:15 pm

      You are welcome Alex šŸ™‚

  8. Mahesh Dobhal Reply
    July 27, 2015 at 1:13 pm

    Thanks Vineet. Hope it will help me to enhance my MLM skills to the next level. Thanks !!

    • Vineet Gupta Reply
      July 27, 2015 at 7:52 pm

      You are Welcome Mahesh.

      Every small thin you’ll learn helps you, but only if you IMPLEMENT & EXECUTE it šŸ™‚

  9. Win Htun Reply
    September 14, 2016 at 9:25 pm

    MLM model can work properly if people who start to introduce his or her products have a good intention.

    If not, this model does not work – can make people dive into a depth of default.

    Please correct me if i m wrong to comment.

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