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What Is Multilevel Marketing (MLM)?
The term marketing (MLM) refers to a strategy used by some direct sales companies to sell products and services. MLM encourages existing members to promote and sell their offerings to other individuals and bring on new recruits into the business. Distributors are paid a percentage of their recruits’ sales. New recruits become the distributor’s network or downline and are, in turn, encouraged to make sales to earn money.
KEY TAKEAWAYS
Multilevel marketing is a legitimate business strategy used by some direct sales companies to sell products and services.
Existing members are encouraged to promote and sell their offerings to other individuals and bring on new recruits into the business.
Participants are paid a percentage of their recruits’ sales.
Members at all levels receive some form of commission, which means the more layers there are, the more money people can earn.
The FTC investigates MLM programs to ensure they don’t operate as pyramid schemes, which are illegal.
In this video we are going to create a MLM website with WordPress