Thursday, March 6, 2008

A Few Key Differences Between Network and Affiliate Marketing

Many people search the internet looking for their perfect work from home business opportunity. Thousands of generic business related keywords are used by individuals around the world while performing this task. The resulting search listings inevitably produce a huge selection of both affiliate and network marketing programs. In this article we are not trying to ascertain which of the two is better but instead highlight the key differences between them. If you surveyed 100 people and asked them which of these two sectors they were most interested in, you would probably come up with about a 50-50 split. First of all, in network marketing you can build a down line of distributors and get paid on their efforts several levels deep. Each compensation plan for the various MLM companies will be different. It is therefore very important to be aware of how you get paid with the company that you join. But it is not improbable to see your commission checks, earning percentages on products sold several levels beneath you. With affiliate marketing, you get paid on your personal sales. In other words, you can earn money on frontline affiliates that you personally enroll. You will never earn any commissions on your down line beyond the first level of your personally enrolled members. There are still many people making tremendous amounts of money with affiliate marketing, but they do not have the potentially large down line groups that an affiliate in a network marketing business might have. Secondly, most affiliate marketing programs are free to join, while network marketing businesses often require a joining fee to get started and in some cases an ongoing monthly or yearly admin fee as well. Again, there s nothing wrong with this, it is simply a difference in business models. The amount of people who start and fail in each of these sectors is fairly equal regardless of the fact that one is free to join. The internet has greatly improved the odds for success in network marketing and as people develop more skills the success rate in affiliate marketing is beginning to climb as well. If there still is a problem with network marketing it is because most people cannot sell or recruit. People who join an affiliate program know right up front that they are going to be selling products and that s what they re expected to do. Many affiliate marketers never recruit anyone. Therefore, they need not worry about the multi-level affiliate programs. These are true business people who make their money selling products online. The emphasis of network marketing is still on building a distributorship, so people spend more time trying to recruit people than they actually do selling products. This should give you a few ideas of the differences between these two industry sectors. Which way you decide to take your business is now totally up to you. Gavin Evans is a full time internet marketer living in the market town of Cowbridge in South Wales, UK. Gavin is also a leading associate for the brand new global skill games business, uVme. To find out about the network marketing affiliate program sector visit

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