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This article is part 2 of 5 in a short series, which has been put together to show you how build massive amounts of leverage into your Network Marketing campaign, regardless of whether you are building your Network Marketing business Online, or using traditional techniques. As any successful Entrepreneur will tell you, the key to achieving financial freedom in any business is by leveraging your personal time and efforts, putting systems or people to work for you.

In this second article you will learn how Network Marketing can enable you to do just that, putting people and systems to work, rather than investing vast sums of money and having that money work for you.

Network Marketing is a business, which is designed to enable you to capitalise on leverage. Firstly, as your team grows you will be paid on the efforts of everyone in your downline and secondly there will generally be tools and systems in place, which you can use to build your business. Network Marketing companies usually provide marketing tools and resources to help you and you should make sure that your upline has a prospecting and sponsoring process, or system that you can employ to build your business.

So, this explains how you can benefit from building a Network Marketing business, but how will your customers and business partners benefit? If you are not sure, or are not able to explain it, then why would anyone even consider partnering you? That might sound harsh, but unfortunately it is also very true!

With this in mind, do you know why companies choose to distribute products through direct sales, rather than using the conventional wholesale / retail route? Do you know why the products are generally a higher quality, as well as better value, and why the company is able to pay Associates a high commission rate on sales? If not, why not? and what can you do about it today to move your business forward?

It is impossible to answer all of these questions in one short article, but I will give you a short overview from the customer’s perspective:

A customer purchasing from a retailer will typically pay 2 to 3 times more for a product than the wholesaler paid the manufacturer for it. Say for example a product costs £10 to manufacture. The wholesaler may then pay £15 for each unit and the retailer probably purchases them for around £20 to £25 from the wholesaler. The retailer will then have to sell the product to the customer for £45, to offset their expenses for rent, staffing, utilities, advertising, etc. and still make a profit. Therefore, the customer pays £45 for a product that the manufacturer actually sells for £15, because everyone in the distribution chain must make a profit on the purchase.

If you buy from a direct sales company then you purchase directly from the manufacturer, or wholesaler. Therefore you will either pay far less for your products, or you will get a much higher quality product for the same amount of money. For proof, just look at how much cheaper companies such as Amazon and Play.com sell products for, compared to the high street shops. Here you are purchasing from the wholesaler, so imagine the additional impact of purchasing directly from the manufacturer!

By purchasing direct, your customers can cut out the middlemen and receive products that represent better value for money. Explain this to your potential customers, so that they can understand the direct sales industry, rather than being sceptical or apprehensive to purchase through you.

In part 3 of this series you will learn a powerful prospecting process for promoting your business using the old-school word-of-mouth marketing tactics. This will enable you to understand how to take your Network Marketing business online in part 4, as well as the benefits of doing so.

You can read part 3 in the series now by clicking on this link => Network Marketing Prospecting

For answers to ALL of the questions in this article, register for your FREE training pack here => MLM Summit Training