Affiliate Network Marketing offers the best of both worlds: affiliate marketing commissions combined with the income leverage potential of a multi-level compensation package.
So, not only do you earn from new customers you’ve secured from your own marketing efforts, but you also earn from the successes of customers whom those affiliates have introduced. This multi-tier remuneration continues through the number of tiers that the company’s compensation plans allows.
At each tier or ‘level’ you gain the benefits of the multiplication effect with which everyone considering network marketing is not doubt fully aware. The typical example goes like this: you find 5 customers for the company, and they find 5 as well, and already on your second tier you have 5 x 5 = 25 new customers – plus your own 5 = 20 customers on whose purchases you’re earning commissions.
This kind of compensation normally continues like that for several generations or tiers.
As will most affiliate network marketing companies, this multi-tier remuneration plan can mean that the commission per sale is not as high as it might be if you earned only on your own successes. So, that is something you’ll need to look at before deciding which particular company’s programme to join.
Usually there are several criteria one should take into account, as a package, when deciding which company’s products you want to spend time on promoting.
This is the tier at which you yourself do your own marketing. Is there any limit to how many people you can refer and get paid on? The wider the better, because this is the level at which you are totally responsible for your own results.
From Tier 2 you are relying on the effectiveness of other affiliates to leverage your income growth. Thst is why you need to be able to go wide so that if some customers later drop out it will not have such a major effect on your income.
The deeper you are eligible for remneration, the greater the potential for multiplication and acceleration of your income growth.
With any network marketing company, the big killer for affiliates is having to do work that many people don’t like doing, or simply don’t know how to do. For duplication to take place, everyone must be able to do the work.
Also, it must be the kind of work that most people like doing. Network marketing is for those who persevere over the long haul. If the work is not sustainable for any reason, then it becomes harder and harder to keep doing.
Some companies have gone out of their way to make the work dead-easy for every affiliate. Some companies even send out follow-up letters on your behalf to your prospects who have visited the company’s presentation as a result of your marketing efforts. They leave you to focus on andvertisng, promoting and recommending, while the company takes on the role of running a marketing support system in an automated way. I’m actually an affiliate of one such company, and it’s awesome to have such support.