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Which is More Effective? Multi-Level Marketing or Affiliate Marketing?

By Christa Destefano

You will notice many individuals use affiliate marketing and multilevel marketing interchangeably when in fact they are totally different.

Quite a few Multi-level marketing (or MLMs) have been around for a long time; take Herbalife , they have been in existence for more than 30 years. With MLMs, the name helps to make clear how it functions. Every person who joins the company is a "marketer". As a marketer, your ultimate goal is to simply bring in others to join your organization as part of your team. Your commission is affected by just how many people you bring into your team and how many people those people can bring in.

In the interest of this example, I'll stick to Herbalife. This company is a health and nutrition company, so they market health and nutrition items. As a marketer, you are seeking other people to market health and nutrition products along with you, but the other way you are making money is to market the health and nutrition items themselves. In any event, whether your selling the business opportunity or the products, it'll certainly take time, money and energy to be successful with this kind of work at home opportunity. I'm not saying this to deter you, I perform this style of work myself along with projects I do from home, and I really enjoy it.

In summary, being a part of an MLM is essentially franchising you're able to do from your own home. Instead of investing in a Dunkin Donuts franchise and buying a building, stocking inventory, hiring employees, etc; you're buying into a business that doesn't need you to have a physical presence.

With Affiliate Marketing, you're not selling any items directly, nor are you enrolling or developing a team. You are just getting paid a flat fee to advertise someone else's products and services. It's a one shot deal. If you have an advertisement on your website for The App Code and a person clicks your link and buys the item, you will receive payment. If the one who clicked on your link and bought the product also chose to be an affiliate marketer, you probably won't be paid for that (if you do, it again will be a single payment.)

It is the significant difference concerning affiliate marketing and multi-level marketing. Affiliate marketing involves one-time payments, multi-level marketing is made up of building relationships and reoccurring earnings. Both are completely unique and I recommend using both to generate an income producing machine at home!

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