What is Network Marketing or Referral Marketing is:
What is network marketing
A process in which individuals help other individuals achieve separate goals…
Networking is just an organized approach to a basic human instinct for survival. “I’ll help you, if you help me.”
A specific type of networking in which an entrepreneur or small, independent businessperson has the merchandising rights to a product or service, and may sponsor (or recruit) others into the association, sharing with them the proceeds from the business generated.
Why Network Marketing (a.k.a. home-based business)?
Network marketing is a 50 year old industry that does about $100 billion annually in 125 different countries. It's an exploding industry - estimated 50,000 new distributors entering the industry every week! Network marketing is growing so rapidly in the U.S. [and worldwide] due to several factors:
Network marketing is quickly becoming the best type of home based business for the following reasons:
Many economic experts are predicting that network marketing will be the franchising of the 21st century. Franchising currently does over $700 billion a year! Don't you want to be a part of the wave of the future? Back in the 1950's many people said that franchising was a scam or scheme. They wouldn't touch it with a ten-foot pole.
Today, people pay as much as $1 million upfront fees just for the rights to a premier franchise. Yet, the potential income from a single premier franchise is much lower than a premier network marketing business. Many people passed on McDonald's franchises for $1,000 back in the 50's? If you pass on network marketing now, you're doing the same thing! Do your due diligence and you will realize that network marketing [with RMP INFOTEC] is a goldmine
Our Business is like a Franchise
What is a Franchise
A good franchise will offer
A proven business format with the initial
and continuing support that you will need.
You will pay an initial
fee to set up using the brand and the proven business format,
What is Franchising?
The term 'franchising' has been used to describe many different forms of business relationships, including licensing, distributor and agency arrangements. The more popular use of the term has arisen from the development of what is called 'business format'
Business format franchising is the granting of a license by one person (the franchisor) to another (the franchisee), which entitles the franchisee to trade under the trade mark/trade name of the franchisor and to make use of an entire package, comprising all the elements necessary to establish
a previously untrained
person in the business and to run it with continual assistance on a
some companies choose to grow, not by developing in the conventional way,
but by granting a license to others to sell their product or service.
There are clear advantages to this:
You don't have to come up with a new idea, someone else has had it and tested it, too!
Larger, well-established franchise operations will often have national advertising campaigns and a solid trading name
Good franchisors will offer comprehensive training programmes in sales and indeed all business skills.
Good franchisors can also help secure funding for your investment as well as e.g. discounted bulk-buy supplies for outlets when you are in operation.
If aware that you are running a franchise, customers will also understand that you will be offering the best possible value for money and service - although you run your 'own show',
you are part of a much larger organisation .
Who is in Control?
However, the franchisor retains control over the way in which products and services are marketed and sold, and controls the quality and standards of the business.
What are the Cost
usually based on a percentage of annual turnover or mark-ups on supplies.
the franchisor has an obligation to support the franchise network,
notably with training, product development, advertising, promotional activities and with a specialist range of management services.
IS YOUR NET WORKING?
"Networking is making links from people we know to people they know, in an organized way for a specific purpose while remaining committed to doing our part, expecting nothing in return".
The power of word of mouth:
Pitfalls in Networking:
What should not be done:
Networking is not:
Feeling line Ranger Mentality:
The correct statements are:
NO MORE KEEPING SCORE
IS YOUR NETWORKING:
Imaging a circus trapeze artist, he would make sure that his safety net was in place, solid strong and working - The risk is too great.
The net allows - the artist to take chances,, learn new routings, practice without getting hurt and build confidence.
Even though you are not a trapeze artist you also take risks. Whatever profession you are in, you taking risks all the time. When you have big dreams and goals, you are taking even bigger risks. Just like circus artist, you should have a strong solid net working for you.
The Question is: "Is Your Net Working"
SOME FACTS ABOUT NETWORK MARKETING
Network Marketing is not Pyramid Selling, Pyramid Selling is illegal. If illegal practices were taking place in network marketing companies, they are promptly shut down by the authorities all over the world. In Pyramid Selling the people who start first will automatically make more money that those coming after them. This is not the case with Network Marketing, where people joining later can out-earn those earlier. It is a true reward for effort system, giving higher financial rewards to those who do more work, have more skills, and use their talent to assist others to be successful.
Network Marketing is very closely aligned with Franchising where you follow a proven system of success. It has all the benefits of franchising without the cost and has a far higher success rate than starting your own business (Peoples Franchising). In most Network Marketing Systems the company produces the marketing and support material you need, you are not employing staff so there are no wages, business overheads are a fraction of the cost of those experienced in most small businesses.
Network Marketing has the most potential of any business in the world yet it is least understood partly because it is a relatively recent business phenomenon having been around less than 40 years. The industry is evolving into a sophisticated marketing machine.
RMP INFOTEC is a classic example of the enormous growth which can be produced by Network Marketing a product which has worldwide demand and sufficient profitability to enable good returns to the people forming the network.
RMP INFOTEC pays to its Network Marketers about 70% of revenue generated by the entire Network. The reason why RMP INFOTEC can do this is quite simple - now that their software development costs are recouped PRODUCT AND ITS DELIVERY COSTS NOTHING.
How much easier it would be for Amway, Herbalife and almost all other Multi Level Marketing if the product sold by their network did not have to be produced in a factory, then stored in a warehouse and then delivered by courier, post or distributor. No doubt if those costs could be avoided a much more generous portion of revenue could go to those doing what is so necessary to every marketing business - making sales.`