So how does someone make money in Network Marketing?

Let’s use a networking business opportunity based on a consumable product/service that helps people stay connected and feel valued as an example. But truthfully, whether a product is consumable, or durable — such as consumer electronics, educational or environmental products — or a service such as financial instruments or telecommunications — the principles of building a network marketing organization that earns money all work pretty much the same way.

And… to put you in this picture, let’s say you represent this product line through your own Network Marketing home-based business.

Step One: USE THE PRODUCT YOURSELF

Become your own best customer. With a product that gets the results you want and represents real value, this should be easy to do… agree?

Once you have learned how to use this product yourself — and let’s say you pay $30 per month for the products at your wholesale cost. You now simply go find two other people who are interested in getting the same benefits you’ve gotten and sell them your products.

Step Two: RECOMMEND THE PRODUCTS

You now have two retail customers — and by the way, these are probably not strangers you need to sell on some difficult “cold call”; these are people you already know. They’re two of  your friends, co-workers, neighbors or family members to whom you’ve recommended the products because you know they will like them and benefit from them. You do that just the way you recommend a good movie or restaurant.

Perhaps you recommended your products to six or even a dozen people before you found those two who were excited enough to try them. In Network Marketing, the more people to whom you recommend the products, the more people you will have buying them from you.

And please, consider one more very important thing — Every legitimate Network Marketing product comes with a 30-Day-Money-Back SATISFACTION GUARANTEE. And this clearly works in your favor as well as your customers. If they are not satisfied you can give them their money back, confident that your company will repay you. When was the last time your local supermarket or drugstore made that guarantee?

So, you have two retail customers who do the same thing you do: they purchase $30 worth of of wholesale product monthly. As long as the products perform and your customer is satisfied… and good products will continue to do so… you’ve established a business base of $90 in sales volume per month and have received profit from the two customers.

Now it’s time for the third step, which is simply to teach other people to do what you have already done yourself.

Step Three: SPONSOR

In this step you go out and find three people like you who are interested in earning extra money from a part-time business that can generate lasting residual income.

Once again, there is no need to talk to strangers. Have these “opportunity” conversations with the people you already know. And working online makes it extremely easy to expand the number of people you know. And much as you did in recommending the products, you may have to talk with a number of people before three of them say “Yes” and want to go into business with you.

Once you find three people interested in building their own home business, you simply teach them to do what you already know how to do: Buy and use $30 worth of product monthly; and through word-of-mouth, personal recommendations to people you already know, have two retail customers who do the same. This will be as easy for them to accomplish as it was for you.

In Network Marketing this process of enrolling new business associates into your organization is called “sponsoring”. And now you have the simple, yet powerful, One-Two-Three Step formula for doing this business successfully.

1) USE the products

2) RECOMMEND the products to others

3) SPONSOR entrepreneurs into your NWM organization who do the same thing

And remember, when you bring someone into your business, he or she is also the President and CEO of his or her own business, just as you are. It’s really an inspired breakthrough in the free enterprise system!

Now… back to the business building process.

With your three new business partners doing the same thing as you have done, you now have a total monthly sales volume of $360 — your $90 plus $90 in sales volume for each of the three of them. Again, you simply teach them to do what you have just learned how to do; and that is, show them how they can generate a monthly sales volume of $360 each.

When your three partners have each reached a sales volume of $360 per month, which you have been showing them how to do, you (and your Network Marketing Organization) are producing a total volume of $1,170 (their $360 in sales each, which equals $1,080, plus your $90). Now you’ll teach them how to do that, too.

Remember, all you’re ever doing is teaching your partners how to do what you already know how to do. Because this business is built on your simple duplicatable effort, that’s all you will ever have to do in Network Marketing.

The next level of your organization’s sales volume totals $3600 a month, and once again, after you’ve achieved that, you teach your people how to do the exact same thing.

Incidentally, $3,600 in monthly sales volume will propel you into the leadership ranks of most network marketing company’s compensation plans. What that means to you is that you’re now being paid a higher commission on your sales as well as qualifying to earn bonuses, such as coaching bonuses, car allowances, travel benefits, and additional incentive income.

The next volume level you and your group achieve would be $10,890. And the next… well… you get the drift. Can you see where this is going???

But really… what does all this volume mean to you in terms of your personal income?

Most Network Marketing company’s compensation plans pay commissions of between five and ten percent of your and your groups wholesale monthly sales volume. With a monthly sales performance of $50,000 in wholesale sales, that would mean you could be earning between $2,500 and $5,000 per month, or from $30,000 to $60,000 annually. And that’s not counting bonuses.

Not bad at all for a part-time effort — an effort based solely on each individual involved doing something anybody can do… simply consuming $30  of valuable products each month and finding just two other people to do the same thing.

Consider these two questions for a moment:

Can you imagine having such a great product to offer, yet only sharing it with two people… ever?? That’s the total number of people to whom you’ve recommended the product in this example.

Can you imagine having a product that gets such great results for you that you have seen radical and obvious changes in your life — and no one notices?? No one ever thinks to ask what you’re doing??

Honestly, to have no more than two people know about your products, you would have to work very hard at keeping them a secret!

And with an opportunity to earn an annual income of $30,000 to $60,000 or more from a part-time, home-based business, where all someone has to do is learn something simple, do it him- or herself, then show just three other people how to do the exact same thing — well, just try keeping that a secret!

NWM Partnership with Mary K