Why Is Duplication So Important In MLM Network Marketing?

Perhaps you have heard of the awesome money making potential of network marketing, or MLM, and you are thinking about joining a program. In this article you will learn the reason for that potential, and how the process of duplication is the key to making it a reality.

To clear up some confusion, be aware that MLM and network marketing are terms that are used interchangeably. They are two different ways of saying the same thing. Network marketing is the newer of the phrases, and it references the teamwork aspect of this method of making money. (You network with others.) The actual pay plan is what is referred to in MLM, which is short for multi-level marketing.

It is interesting how many people mistakenly believe that these types of companies are not legal, simply because their payment structure is similar to pyramid schemes. The big difference is network marketing companies sell actual products and services, so that makes them absolutely legal.

Those are completely different kinds of enterprises. It does not make sense to dislike the concept of network marketing because pyramid schemes also are in existence. That would be similar to never wanting to ride in a motorized vehicle because most bank robbers use cars to help them get away. It’s just silly

There is so much potential to earn a great living with the right network marketing company because you work with others, as a team. There can be several levels of people that you can make money from when they buy or sell products. When you buy or sell anything, there are people in the levels above you that are benefited.

Success is achieved when you refer other people to join under you, and then you teach them how to refer others, which they do. And, they teach their referrals how to refer others, etc. This process is known as duplication and it is very powerful if you can keep it going.

When there is a lot of duplication over the course of time, the creation of wealth is a distinct possibility. If you can not create duplication, it might still be possible to make some money, although not nearly as much.

Let’s look at a hypothetical example. Say that the minimum monthly purchase is $50. You will always make the most commissions on your first level, direct referrals. So, imagine it is $10, per $50 sale. Levels 2 through 6 might pay, $5, $4, $3, $2, and $1.

Duplication is so powerful that if you have a ton of it, you might make a lot of money, even if you only counted the sixth level — which is only a dollar profit. On the other hand, if you are great at referring and terrible at teaching others how to refer, then even without duplication, you could make some residual income, just from the $10 first level payments alone. However, it would not be anything like what duplication would bring you.

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