Network Marketing is an online marketing strategy where representatives of an online business recruit other representatives and make commissions from their colleagues and on their sales. This system creates a downline or network of affiliated distributors who recruit more affiliates, building multiple leveraged income levels in the business. But there are many things you should consider before deciding to take this route. 

For example:

• What is Network Marketing? Network marketing is one of the most misunderstood and least profitable home-based business models. 

The reason for this is that many network marketers fall into the trap of hype and deceit. 

They hype up the business opportunity such as making money “fast” or “quick” or using “secret techniques.” 

They excite their downlines and downline recruits by telling them these tactics or talking about them, so others join. 

The truth is, it’s a dirty business model, and the only way to stay out of it is to be aware of the common questions you should ask about this type of opportunity.

• What is Network Marketing? Network marketing is multi-level marketing without the MLM elements. 

A person does not have to enroll in a formal, monthly, or annual company; the only prerequisite is recruiting new sales to create a residual income. 

As the marketer, you build the downline by getting your sales made regularly, getting referrals, and making sure everyone will be a team player. 

The system makes it easy to recruit potential partners by focusing on real-life experiences and hard work instead of slick sales pages.

• What is Network Marketing and How Much Money Can I Make? The answer depends on how much time and effort you’re willing to put into building the downline. 

While multi-level marketers make big money, it also takes a lot of time and effort to get your sales numbers high enough that you can afford to hold a conference call.

• What is Network Marketing and What are the Costs? It is not uncommon to find multi-level marketing companies with flashy websites, high-quality products and services, and warm testimonials in today’s day and age. 

These so-called business models can be very appealing, but when it comes down to the bottom line, it can cost someone quite a bit of money to make money in this business model. 

Even though it can be lucrative for those who understand the system and the risks involved, the upfront costs can be prohibitive for many new business owners.

• What is Network Marketing, and How Much Does it Cost? Direct sales businesses are typically established businesses that have been in existence for several years. 

Because of this, network marketing schemes can often have a higher cost of entry than other direct sales business models. 

If you plan to promote your own business or join an existing network, you may want to research the cost of doing so. 

Many schemes will require a purchase of merchandise at a retail store, membership fee, or other such requirements.

• What is Network Marketing, and What Are the Risks? A common question among newcomers to the multi-level marketing scene is whether or not they are being scammed. 

One of the biggest problems with network marketing scams is that no one is coming out of the program on top. 

People are simply moving from one “level” of the scheme to another to continue making money. 

This is why scam reports are so standard on the internet.

In closing, if you are considering a career in this industry, I encourage you to learn as much as you can about it. 

As always, it is up to you to protect yourself, your family, and your business by educating yourself about the positives and negatives associated with the business and about the various options out there. 

While the industry has its share of cons, the opportunities provided by multi-level marketing and how it works make it a very viable option for many of us who are looking for a way to make money on the internet. So give it a try, I’m sure you’ll be surprised!