Monday, January 25, 2010

Is a 2-Tier Program associate or MLM?

If you introduce somebody to the business as a seller you can make cash either at once for referring them or indirectly as commissions for sales that they make. Depending on the amount of levels in the program, you can also make money when one of your referred sellers introduces a new seller to the program. Sounds pretty clear, right? Time to add another layer of complexity. Sadly , the dictionary definition of MLM with which we are working doesn't tell the entire story.

what's MLM really? A lot of the negative reputation that both offline and online MLM programs have earned can be assigned to the indisputable fact that most need a fee to take part in the program. The charge might be one off or ( more usually ) continuing, but to take part in the program you have to pay this fee irrespective of whether you earn any money. Since the enormous majority of folks that participate in these programs never see a profit, somebody following this kind of promoting can and usually does essentially lose cash in the attempt. The other 995 become "wasted" as they don't contribute in any way to the affiliate's takings. However, many of those "wasted" visitors, would see enough worth in these products to enroll as affiliates themselves and sell the products to their own contacts and web visitors. For the affiliate, MLAPs provide a method to maximise the value of their "wasted traffic" using the viral power of "word of mouth" promoting, without the risks related to MLM programs. What has become clearer though , is that MLAPs became a critical option for both merchants and affiliates , to extend their chunk of the ever-growing size of E-Commerce. So what's it? A 2-tier program is basically a multi-level affiliate marketing programme. So when examining income online opportunities, don't get wrapped up in the hype of the amount of levels a program offers. Read more on the subject of article spinning

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