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What is Direct Selling / Network Marketing / Multi-level Marketing ( MLM )

“Direct selling means marketing, distribution,and sale of goods or providing of services as a part of network of direct selling other than under a pyramid scheme,” the guidelines said.


Direct Selling is an alternate form of distributing products and services. Instead of using traditional distribution channel ( manufacturer – distributor – wholesaler – retailer – consumer ), Direct Selling companies sell their products and services directly to consumers. That is why it is called ‘Direct Selling’.

When these consumers or customers like their products and services, naturally they start sharing it with others. Direct Selling companies pay you when people buy their products and services from your recommendation.

But the awesomeness doesn’t stop there, you are given an option to build a team of distributors ( generally consisting of happy consumers recommended by you and those you recommend and those they recommend and so on … ). Contrary to common misconception, you are not paid to recruit people, you are paid depending on the total sales volume generated by your entire team. Instead of spending money on traditional advertisements & other marketing methods, Direct Selling companies rewards their consumers turned distributors for their word of mouth advertisement effort.

Unfortunately, most people are unaware of the clear definition of this industry, and frequently confuse it with pyramid schemes recruiting people to earn money.

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