First let’s look at the top network marketing companies in the world.

Amway includes Nutrilite which covers under 1% of the nutritional industry as well as Artistry cosmetics and skincare products. Amway ,which also has loyalty inducing household products, is worth $8.4 Billion. Avon is the oldest network marketing company has at least 3% of the entire worldwide sales in the cosmetics industry and today its total sales is $10.3 Billion. Avon and Amway are the oldest companies in the mlm industry.Herbalife has 5 % of the weight loss industry and is worth $2.3 Billion. These companies are dinosaurs and like the dinosaurs will soon become extinct. This is bold statement so read on to find out why.

How old are they?

When they started there wasn’t any fax machines, videos, dvd’s, cd’s, mp3 players, computers or internet access. Avon first began over 100 years since 1886 and more than fifty years ago The Amway Corporation began in 1959. Herbalife has existed since 1980.

There is a problem with these companies although they have an unlimited width they do have a limited depth.You can only earn up to a particular level and then you will find that your down-line stops your incomes if they at the same or higher level then what you are. This is also called the Stairstep Breakaway Plan where sometime someone below will eventually breakaway from you.

stairstep breakaway

Today there are newer companies that are just recruiting people from these companies. Why? These new companies have a binary compensation plan, so they have a limited width, however, they have an unlimited depth. You can earn from people that come from thousands of levels in depth. The great thing about these plans is that you can also potentially receive spillover that is people being placed below you.

Why network marketing? 

Network Marketing is the fast and most effective way to get a product to a consumer. Today things have changed for companies that want to advertise their companies. They are sending out email, direct mail, television commercial, radio commercials, websites, mobile advertising, newspaper advertising and magazines. We as consumers are getting good at tuning out so many different advertising. With network marketing we are able to go direct to the consumer like no other business can by leveraging the power of the relationship. This is the same type of dynamic that has allowed giants like Google, Facebook,YouTube and Instagram to grow very quickly.

Warren Buffet

Take a person like Warren Buffet who is one of the wealthiest people in the world.If he wants to invest in a company he buys the company and not the stock. His largest purchase in 2003 was a network marketing company. At that time he had already purchased two other network marketing companies. He said at the time when he made this purchase that it was the best investment he had ever made.

What drives a network marketing company? 

What Drives a Network Marketing Company?

The driving force behind a network marketing company is the demand to create additional sources of income. Look at the period from 1982 to 2007, during these 25 years there was the greatest economic boom. The number of millionaires in USA grew from 500,000 to 9.2 million, whereas the number of billionaires grew from fifteen to over a thousand. In the recent years we have seen millions of homes have foreclosed. We have also seen major banks fail and millions of people have lost their jobs. It is a time of crises like this that creates major opportunity for some people. So now it is the best of times for network marketing. Today consumers are more conservative and resourceful in looking for additional income. This shift is so significant that it’s going to stay with us for years. We as consumers have gone from the era of access to frugality. We might as well call it the Era of Network Marketing. You cannot afford to be in any company that is not the very best network marketing company.

What is the best product?
People mistakenly believe that the best way to create success is to invent something that is brand new. Although there may be companies that do exist that have invented something new that has become very big it is however very rare like for instance cell-phones. In the book ‘Blueprint to a Billion’ the author says that in order to become a billion dollar company the thing is not to actually invent a brand new product. He says the thing to do is to do something a little bit different in an existing industry that is already very large.

You have to understand the baby-boomers as to what they are spending money on. You may have noticed that they are spending their money on healthcare. This is because of the baby boomers that are retiring at a rate of 10,000 per day. For most businesses this is very bad news. After the age of 46 what do most people tend to spend their money on is to a certain extent health care and the other which is to a great extent and that is going on a vacation. This trend will continue forever.

Competitive Advantage over Nutrition companies

Nutrition is the biggest segment of the network marketing industry. I’m sure that other nutrition companies have a reason why they sell their products at the prices that they do. They tend to have requirements that you have to purchase about a $100 in order for you to stay qualified every single month. Whereas with the company I am associated with you pay no just once and no more. So this is so perfectly timed in the market place that is causing people from Melaleuca, Mona Vie, Herbalife, Avon, Amway, Nu Skin, Mary Kay, Shaklee, Agel, Tahitan Noni, TVI Express, YTB, Sunrider, Mannatech, Boltron, Usana, Forever Living, IFA, Sportron, Questnet, Freelife, Worldventures and many others to leave those businesses to be part of mine.