When it comes to affiliate marketing vs networking marketing, there are a few fundamental differences between the two of them.
These differences could help one to decide, which will best suit their needs when wanting to build a business.
Not everyone may be privy to affiliate marketing.The same can be said for network marketing.
Does it make it hard for you to decide which one to go for?
Don’t worry, after reading this post, you will have gained a better idea of what they are about. If you ever have to make a decision, it will then be much easier.
Let’s get the ball rolling.
What exactly is Networking Marketing ?
This is simply a business structure, or a method of selling a product or service to people, that you are connected with. Other terms commonly associated with network marketing are MLM(Multi-Level Marketing), and “direct sales”
How does Network Marketing work ?
The company teams up or partners with the members, who will expand the brand awareness of the company by marketing their products or services to family, friends or anyone who may benefit from using them.
The members earn an income for any sales generated and in turn will work to expand their network size. As the member’s network grows, so too does the company grow and everyone wins at the end of the day.
A good network marketing company will offer a good service and have a well laid out compensation plan.
Is Networking MARKETING huge?
An industry with over 180 Billion Dollars, network marketing is only growing from strength to strength. On a daily basis, almost $200 000 million is paid out in commissions.
So, there is definitely money to be made. The only thing is that network marketing must be done properly. All the tools and training that is given by the company, is exactly what the member needs to follow. It is when they deviate from this path, that the model does not exactly work out….
Let me explain.
There have been a lot of perceptions created by the manner in which network marketers go about marketing the product or service to the rest of the world.
It is normal, that once you join one of these companies, that you are all excited and ready to promote this product to everyone you meet. Sometimes, people may get too carried away with all this excitement, that they may “misrepresent” the product and find it to be a”stumbling block” within the business.
By this I mean, they may use words such as “cure” or “guaranteed to work” and as a result if the product does not deliver, this reduces the credibility of the company in the buyers eyes.
During the recruiting of new members, existing members may tell people that “once you join, its easy to make money” or “you don’t have to worry anymore”
Once people sign up under this notion and find that it is “not really a piece of cake,” that’s when the huge dropout starts.
Does Network Marketing Work?
Yes, I have seen people earn megabucks after putting in a substantial amount of time and hard work into it.
It works, just follow the company marketing plan and give it time.
What is the Story of Affiliate Marketing ?
Affiliate marketing works online. Its the process of earning commissions via the sales of products or services through one’s website.
Here’s how it works …
Very simply put, you’ve got a niche website(lets say for arguments sake its about baseball).
You register with an affiliate company, say with Amazon for instance. Then you build content around baseball, and decide to write on limited edition baseball shirts.
You search and find some awesome stuff on Amazon and decide to promote it on your site. You then embed the affiliate link from Amazon into your site.
Once visitors decide to buy any of these items, they will click on your link and will be lead straight to complete the transaction at Amazon.
Amazon pays you out your commission. That’s it!
That’s how Affiliate Marketing works!
Common Aspects Between Affiliate Marketing and Network Marketing
Here are some of the common things that these two share
- Both are Commission Based
- Both pay out earnings which are Relative to the Efforts that you put in
- Both require TIME
- Support is readily available within the Industry°°
°°The last point would obviously depend on which company you choose. There are mediocre ones and then there are top notch companies within both industries.
Make sure you do your research before signing up with ANYONE!!OKay!
Good, got it! Great! Let’s check out the differences now
Affiliate Marketing vs Networking Marketing, The Core Differences…
Affiliate Marketing Network Marketing
Been on both sides of the fence.
I have personally had my experience with networking marketing programs. The first one I started off with was back in 2001. It was a company called Skybiz. I am not sure if any of you have heard of these guys.
Basically, they jumped on the bandwagon of selling websites to people. At that time, I had absolutely zero knowledge of a website or even how it worked. I thought it would be a great opportunity to help out my family and friends. Get them on the internet with having their own website.
It all seemed so wonderful and dreamy, if you know what I mean.
So, the product was, the “websites” along with some “training”, which teaches you how to build them up. I cannot recall the price for these products, but it was expensive. Not only that, I had to recruit members and get them to my downline.
This is what Skybiz really punted for us to do.
As the commissions were higher as you recruit members, so the focus was not ultimately on using the product.
Do you see where this is going?
Exactly….a Typical Pyramid scheme.
I lost lots of money but more than that, lots of relationships with family and friends were severed as a result of them loosing money too. To say it left a bitter taste in our mouths, is a huge understatement.
To be fair, not all network marketing models are scams. I learnt a valuable lesson from this experience. Thereafter, I carefully studied any opportunity that came along. And along came an opportunity that was legit.
You all have heard of Amway by now. It’s the company that I signed up with, 2 and a half years after Skybiz. The initial start up fee was pricey and I felt the products to be expensive. Not to say they did not work. Oh no! They are fantastic. My wife and I are particularly fond of their “Dish Scrubs.” They work wonders on your pots and pans, you should try it out!!
Anyway, I went for the seminars and they were inspiring and motivating and I actually sold a few products.
So I made some money. I did not manage to recruit members though. I guess you could say, at that time, I did not put in my best effort. My friend on the other hand took the business on, and made a success of it.
He built it up to an awesome passive income potential. Yes it took him years to do it, but I admire him for sticking with it.
So network marketing may not be for everyone, as was the case for me. But it does NOT mean it does NOT work…
Affiliate Marketing is for Me!
Though network marketing was not my cup of tea, almost 10 years later I found what I really love to do, and that is affiliate marketing.
I will not lie to you, I have not learnt everything as yet, but its the one thing that I look forward to doing. I like the fact that I can write about things that I am passionate about and build my own business around it.
I don’t have to go to seminars and physically recruit people. Sure, there are webinars, training and lessons to follow through, but they are all online. And I love that, everything is within the comfort of my home.
How difficult was it to build a website and start the business?
Initially, the idea seemed scary and intimidating but it was not bad at all. In fact, just about anyone can start their own website AND its FREE!
What about the domain name?
This is simply what the name of your website is. As I mentioned, you can start with all of this for free, by using a subdomain, then later on you can decide to buy your very own domain name. Trust me , it not expensive at all!
If you really want your own domain name ,read this, “Why do I need a domain name of my own?”
Regarding starting up the business, that’s the best part. You don’t have to do anything on your own. You follow step by step online lessons and training and you simply can’t go wrong. If you are in a jam, you’ve got an entire community (of over 200 000 people at the click of a button) at the platform where I learnt, to guide you and help you through the process.
So there you have it. The lowdown of these TWO great money making generators. Which one would you choose? Have you already started with any one of them? If so, how’s it going?
Before I leave you, I would like to tell you something very IMPORTANT. If you just leave with this one message, then my job is done. Here it is
“It takes HARD WORK, TIME AND DEDICATION.” to see any business through, whether its affiliate or network marketing or even setting up your own hot dog stand.
At the end of the day, your hard labor will reap the fruits, that much I can guarantee you!!
You have been a star for joining me today.
I appreciate it.