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How Network Marketing Companies Can Help with 5 Amazing Use Cases

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Network marketing use case

Network marketing is a business model that involves selling products and services by independent contractors, called “distributors,” to other independent contractors, called “subscribers.” This article explains what network marketing is and how it can help your business with five amazing use cases.

  1. Introduction: What is Network Marketing?
  2. Benefits of network marketing for businesses
  3. 5 Amazing Use Cases of network marketing
  4. Conclusion

Introduction: What is Network Marketing?

Network marketing is a business model that has been around since the late 1940s but has seen a resurgence in recent years. It allows people to work for themselves and earn income by selling goods or services to customers.

The network marketing business model is often called multi-level marketing (MLM). This is because the company recruits multiple levels of distributors, each recruiting their groups of distributors. The company then sells products to both the distributor and their recruits.

Benefits of network marketing for businesses

Network marketing is one of many emerging trends that help companies to cultivate customers. Network marketing is a type of business structure that often uses MLM. With this kind of structure, manufacturers can create & develop a vast network of consumers who can become affiliates and trust each other to sell the product. Many benefits can be reaped from Network marketing. Listed below are the top 5:

  1. Regarding the network marketing structure, the sky is the limit: Network marketing allows corporations to grow exponentially due to how they can tie up with distributors. This is because the structure can extend to numerous people in the organization and connect with other distributors or sub-distributors.
  2. Freedom from advertising: Companies don’t need to rely on advertising to market their goods because that’s what our distribution network does. It uses credible marketing to reach customers in their own homes! In case your company has a strong distribution network, you can leverage this to distribute other company products and third-party products that they sell.
  3. Saves capital and is cost-effective: Distributors also don’t have to deal with the expenses of adding a warehouse, staff members, and so on. This saves the companies much capital, which they can put towards other parts of their business.
  4. Exponential earnings: This structure ensures that a distributor will earn an unlimited income from their dealings with the corporation.
  5. Build a robust online presence: Network marketing companies with a solid online presence can help build a highly visible brand and reach out to potential customers. With the right tools and strategies, they can achieve their business goals.
Tips to be successful in Network Marketing

Five amazing use cases of network marketing

The use cases of network marketing are diverse. But they all have the same goal in mind – to help people improve their lives and businesses.

1. Tupperware 

Network marketing use case Tupperware
Image source: Forbes

I’m sure many people know about this well-known MLM organization. In 1938, the brand was founded in the United States, and it became known for its whole product category – plastic food storage containers. In addition to the branding & popularization power of plastics, it utilizes distribution methods through Scotch tape or Hoover vacuums.

2. Avon

How Network Marketing Companies Can Help with 5 Amazing Use Cases
Image source: Success Miracle

Avon, Inc. has tried to reinvent itself multiple times over the last few decades with mixed results. They are one of the world’s largest MLMs and had gross revenue of $3.63 billion in 2020. In 2015, they were purchased by their fellow cosmetics company Natura & Co., which owns The Body Shop. Avon sells a wide range of products in each of the beauty, fashion & home categories, with multiple product offerings in each category.

Avon was founded in 1886 by David H. McConnell. Headquartered in the US, it operates in the following geographies: North America, Asia Pacific, Latin America, Western Europe, and the Middle East and Africa. Avon is the second biggest direct-selling company globally after Amway.

3. Herbalife

Network marketing use case Herbalife
Image source: TIME

Herbalife is an MLM company that has helped many people worldwide to eat better and live healthier lives. It is a network marketing company founded in the US in 1980 that sells dietary supplements. The Herbalife company features a wide range of products at competitive prices. They also provide their services with these products, saving their customers a lot of time and effort.

Also read: What is Network Marketing and How Does it Work?

4. Amway

Network marketing use case Amway
Image source: India Today

There are 3 million Amway representatives worldwide, and the company made over $8.5 billion in 2020. Since the company was founded in 1959, it has seen exponential growth and has been a force to be reckoned with in the business world. Amway is a company that offers products for personal care and household items and is home to over 200 health and beauty products, almost covering every category related to both of these needs. Richard DeVos owns it, and they offer cleaning supplies, beauty products, vitamins, personal care items, and nutrition bars. They also have a line of home goods, such as kitchenware and electronics, sold to consumers.

5. Vestige

Network marketing use case Vestige
Image source: Vestigeclub

Vestige Marketing Private Ltd., known for its MLM model, was established in 2004. They have seen fantastic growth since then and are expanding their presence daily. Vestige is one of the leading network marketing-based companies in India, providing products and services related to personal care & healthcare. Vestige offers a diverse range of over 200 products for consumers in their economy’s healthcare and daily lifestyle segments. They are all provided at low cost with unique free product lineups, making this online retailer an affordable option.

Conclusion

In this article, we have discussed how network marketing companies can add value to your business. Network Marketing is a marketing technique that is unique to itself. Network marketing is booming right now due to its natural demand. Some suggest that it might soon evolve and become a bit more complicated. However, for the time being, we can safely witness its success and happy growth in the future.

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