Types Of Network Marketing Companies!

I am always a curious person by nature. As long as something has arose my curiosity, I will tend to do research. After reading the Rich Dad’s series by Robert Kiyosaki, I have realized that building a network marketing business is one of the ways to achieve financial freedom. Thus, I decide to learn more and research about such business.

Based on my personal opinion, there are 2 general categories of network marketing company namely online and offline. What do I mean by online or offline company? Well, it is actually based on how the products or services are delivered.

A company whose products or service need physical delivery is what I defined as offline. Examples of products are health food, cosmetics and consumable items that required to be delivered physically.

A company whose products or service that can be delivered purely over the Internet is what I deemed as online. Examples of products are online video seminars and online education course. Examples of services are domain name registration and web hosting services.

Since there are two general categories of network marketing company, what are the advantages of online company over offline company?

Firstly, I feel that an online company has a lower cost of reproducing the products or service. For example, an online video seminar cost almost nothing to reproduce. Whereas there is definitely cost to reproduce health food.

What does this mean to me as a business owner as defined in the cashflow quadrant by Robert Kiyosaki? This means that the online company has a higher profit margin with each products or service sold.

If the company keeps the profit to itself, then the company will be much stronger financially as compared to an offline network company since it is earning more money from each sale. A financially strong company is a more stable company. As a business owner, I will definitely like to build a network marketing business with a company with strong financial background.

If the company decides to split the profit with the distributor, then I will benefit as a business owner. That means I will earn more commissions through each sale.

Secondly, I feel that an online network marketing company has no boundaries in terms of countries. This means that I can market the products or service to anyone who is using the Internet. I am not restricted to local market. I can reach out to other people from other countries.

Also, the Internet population is still growing at an amazing rate. This means there is a great potential to grow my network marketing business further. Compare to an offline network marketing company, I can only do it locally.

Thirdly, I notice that online multilevel marketing company usually provide me an online system that is operating 24 hours a day, 7 days a week. That means my mlm business is running even if I am asleep or away on leave. This is usually not true for a offline network marketing company.

Next, I can work anywhere as long as there is Internet. This is because the online mlm business is purely online. So I can enjoy mobility of work. I will not be restricted to work in a physical location. I can be working oversea as well. This may not be possible with an offline mlm business. This is because there will be an issue of shipping products or providing services oversea.

Then, I do not need to worry about the delivery of products or service to my customers since it is an online mlm business. This means that I have more free time compared to doing an offline mlm business. I can use the free time to focus on building relationships with my customers and business partners.

Lastly, I can do the online multilevel marketing business in an offline mode as well. That is I can physically call and approach people to do sales. Also, I can persuade people to join me as business partners in the online multilevel business.

Please note that the list of advantages purely based on my personal opinion. Though there are obvious advantages of online network marketing business over offline network marketing business, I feel that the main disadvantage is how to choose a legitimate online business. This is where the understanding of the laws is important. I realized from the Rich Dad’s series by Robert Kiyosaki that it is important to be aware of laws that may affect wealth creation.

If I do a search on the Internet, there is a big list of online network marketing companies that I can join as a distributor to start a business. But which one is real? Which one a fraud? Extra care is needed to select an online network marketing company compared to an offline network marketing company. The best is that I can physically visit the physical office of the online network marketing company and check it out. Also, I will verify the company registration with governing authority.

* DISCLAIMER *
The author, publisher and distributors particularly disclaim any liability, loss, or risk taken by individuals who directly or indirectly act on the information contained herein. All readers must accept full responsibility for their use of this material.

Max Ng helps people who desire success to learn from his mistakes and realizations by sharing his personal struggle for success at http://www.richdadsecrets4me.com . He is the author of “Your Greatest Gift! Why Waste It?” at http://www.yourgreatestgift.com
 
 
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