You may have read one of my other blog posts where I shared with you how I was super successful in the Direct Sales industry, but I really wasn’t making any money and the potential really wasn’t even there for me to make it big. 

Now I want you to stick around as I have another free download for you that will be a real eye opener.  But first I want to introduce you to Network Marketing.

To be honest, all of those years I was involved in the Direct Sales industry I hadn’t really even heard of Network Marketing.

Network Marketing companies differ in a few small, but important, ways from Direct Sales companies. Typically the product is still front and center. But, it is something that you can only get by becoming a member of that company, regardless if you are going to sell it or not. In fact, a majority of the people purchasing from a Network Marketing company is far higher than the actual number of people doing it as a business. 

Most of the these companies also focus in the health and wellness arena, meaning that the products are consumable and a lot of these companies offer some sort of customizable subscription program as well.

Now the other important difference between a direct sales company and a network marketing company has to do with the compensation plan. This was the part that was a MAJOR eye opener for me. Typical, direct sales companies require you to personally sell so much every single month in order to get paid your full commission check.  I’ve seen this number start at around $500 in monthly sales to well over $1000 a month in personal sales. This means you have to sell each and every month in order to earn that paycheck.

In network marketing, companies typically give you a payout just for doing YOUR own personal order…that’s it!!!!!! So you enroll because you love the products, and now you get paid just to use them. If you have a slow month, go on vacation, or heaven forbid you get really sick or injured, you are still going to get paid as long as you did your own personal order.  No pressure to hit those large sales markers as required in the direct sales industry. Can you see why I found this so appealing?!?! And, it doesn’t stop there.

In the previous blog post I talked about how direct sales companies typically only pay a % of what your team does. Now I know some companies are slowly changing, as they have to in order to compete with the onset of new network marketing companies. However, in network marketing companies you get paid that same amount, but then also bonuses for certain outcomes each month. But it gets better!!

In Direct Sales companies you get nothing for recruiting a new customer or consultant.  In network marketing, there is usually some type of bonus just for bringing in a new customer and even more bonuses for getting them on the monthly shopping program. Combine all this together and you’ll see why Direct Sales companies are great, and offer a fantastic opportunity to get a discount and also make a few hundred extra dollars a month, maybe more if you work your tail off, but why Network Marketing is a much better gig overall.

Now get this statistic….1 in every 5 people working their business will gross over 6 figures a year!! 1 in 5….now that’s potential. The one company I was successful with, only 5 people in the whole company earned over 6 -figures….FIVE.  You can easily see that when my eyes were opened and why I instantly switched.

If you a numbers cruncher like me, then I want you to look at the example in the next download (see below) I have created that paints the picture for you a little clearer. You’ll see the tremendous difference between the two based on the same activity. So if you are looking for an opportunity or you have hustled in a Direct Sales company and just feel like you aren’t getting anywhere, then maybe you need to look a little more at a Network Marketing company.

So check out the download and then check out my next blog post as we have now seen why Network Marketing is a great fit, but now you have to find the right team to join, as this is super important to be successful.  In Direct sales companies it isn’t as important because a lot of the training and materials come directly from the company, but in network marketing, most of those things come from within the team you are working with. You’ll want to take all of this valuable information and make the best decision that will bring you the biggest gains.  

July 19, 2019

Direct Sales vs. Network Marketing