Is Network Marketing A Distribution Option For Me?


Spring on Lake Ontario,
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network marketing: marketing solutions

IS NETWORK MARKETING FOR YOU?

How do you decide if you should use network marketing to distribute your goods or services? Or, how do you decide if this industry is where you should build a business, as a source of either full-time or part-time income? What are the benefits?

Direct selling or network marketing is an industry that needs some clarification. In these blog posts, we aim to assist the reader in making these decisions by providing factual, unbiased information.

HOW DO I KNOW IF IT IS LEGAL?

The place to start is to familiarize yourself with the legal requirements to be a legitmate company in this industry as set out by government regulations, and watch-dogged by the Direct Sellers Association.

All living systems need to evolve to survive. Corporations and industries are living structures. Network marketing, then, is a living structure which also needs to evolve to survive.

One of the forerunners of the network marketing industry, Amway (or Quixtar), is an example of a company realizing the need to transform. This company buffered the legal challenges to the validity of the network marketing industry in 1979, and successfully won their court battle.

A GOVERNMENT REGULATED INDUSTRY

This resulted in the creation of a legitimate network marketing industry that is now 30 years old, and the passing of government regulations to monitor this new industry, modeled after Amway’s distribution system. But the folklore around the industry had already had a negative impact, and much of that misinformation still exists today. The tactics of shyster companies were attributed to the legitimate companies, damaging the reputation of the entire industry.

Amway, in recent years has taken on many initiatives to polish this tarnished image, including changing the name it used to conduct business in North America, from Amway to Quixtar.  But this name change also seemed like a bit of a deceptive move, or if not deceptive, at least confusing. However, in 2008, Amway (Quixtar) launched a massive advertising campaign to clarify and openly position itself with impressive, expensive, prime-time television ads, and a forthright admission…“…also doing business in North America as Quixtar… and now you know.”

This was a huge shift for a company whose independent leaders had promoted a marketing strategy based on, ” do not tell anyone  – (and now remember,these people are essentially your friends!) -  who you represent until you had them trapped in your living room” . At this point, of course, they would be too embarrassed to leave, so now, according to the reasoning of those, ‘marketing geniuses’ , who came up with this approach, you could now get them excited about your business opportunity and  message of “hope”  and “possibility”! It was difficult for observers to differentiate the tactics used by some of the leaders, who are independent of the company, from the actual goals, objectives, philosophies, and intentions of the company.

AN INDUSTRY THAT NEVER ADVERTISED -  IS NOW DOING IT!

This new, open advertising approach by Amway is but one example of how a company, a forerunner in an industry historically adverse to using traditional marketing approaches, is demonstrating it will capitalize on methods successfully used in traditional marketing, and still retain the unique networking character that defines the industry. It also, for the first time in the network marketing industry, put a public face on a company in this industry – an industry that seemed like it operated in clandestine ways in back alleys, after all, it lacked storefronts and shunned any form of advertising! In a culture so driven by advertising, this seemed to suggest there must be something to hide.

PHYSICAL BUSINESS OUTLETS

Another tenet of the industry was that, in no way, could distributors sell through the normal retail chains.  Recently, Amway is putting physical outlets and business centers into Australia.

TAKING WHAT WORKS

Instead of sticking to the old ideas that evolved from the conception of the industry in the 1930’s to 50’s, the period when this industry was sprouting roots, it seems the doors may now be opening to combine the best of traditional retail business, the Internet, and the advantages of a home-based business; creating an approach that provides options for individuals to chose to work in the context best-suited to their needs.

Does it matter if the product is exchanged in living rooms, kiosks or mall outlets, as long as the company is moving product and meeting a need, for the company, the customer, the distributor; while at the same time providing a unique and affordable way for anyone to own their own business?

Is it working from home that makes this industry unique, or is it something else? Is it the pay plan, the mentoring, the entrepreneurship?  Let us know what you think. Should the industry evolve to meet the changing face of this century?  If so, how should it change?  We would love to hear from you.

This industry -  which has been heavily laden with, “can’t do it that way” , admonitions, may finally be opening to innovation and, if and when that happens, the industry will explode.

BLESS BLESS
JUDY BERG

Organizational Behaviour Consultant
author:
Imagine Your Soul Abundant: Attracting Success, Fulfillment and True Happiness
More about: www, soulabundant.com
Judy Berg, and her husband Jim, have more than 13 years experience with one network marketing company.
They were introduced to the company through their financial planner to gain access to tax advantages afforded home-based businesses, allowing them to offset the high level of tax they were paying on their executive salaried positions. Jim was VP of Canada’s largest technical institute and Judy, a regional Director in the Canadian federal government. In the current economy, they are strong advocates for diversifying income streams as a safety net, and believe a solid network marketing company could provide one of those streams.

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2 Responses to “Is Network Marketing A Distribution Option For Me?”

  1. David VanAmburg Says:

    Excellent introduction, Judy. Thanks. I'll have a detailed response as soon as possible.

  2. Thinking Big Works Says:

    Scrapebox Proxies…

    I found a great……

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