MLM, or Multi Level Marketing, is nothing new to mankind; possibly this form of marketing goes way back a few centuries. However, with the advent of the internet, MLM has taken the marketing world by storm. There have been many success stories in the MLM industry and there have been many hundred more stories of failure. These statistics will therefore explain how there is more bad news about MLM programs than there is positive talk. The fact, of the matter however is that, most of the marketing world believes that not everyone can profit from an MLM campaign. There has to be an end loser or many end losers; this notion of MLM is changing at a fast pace.

Understanding MLM

MLM is a technique of distributing profit and promoting a product or service. There are many levels of marketing and the compensation depends on which level of the pyramid you are on. Naturally, the people at the top earn the most. However, you can get to the top too; by starting your own pyramid. The objective of the whole program is to get as many people to market the product or service as possible. A product that is sold through MLM is usually a product that can be resold many times. There are however, some products that can be used by the MLM participant too. These products are typically consumer products, such as, body care products.

One thing about MLM selling is that the products will only be available through agents the company calls ‘Affiliates’. MLM products will not be available off the shelf. At least that is the norm, to protect the investment of the participants. When one affiliate buys into the program and goes out to market the product, he gets a commission on every sale. Then, if he refers another person who also buys into the program and decides to market it, he too gets a commission. Additionally, the person who introduced him to the program also gets a commission on every sale his affiliates make. This is not the end of the matter.

There are multilevel affiliates; when the second participant refers another participant, that affiliate is the third level. Then when the third level affiliate refers another affiliate, he is the fourth level affiliate of the first participant and the third level affiliate of the second participant. So, the levels begin to grow with each participant getting a small profit from every sale made by his down line of affiliates. This is the crux of MLM.

There can be no limit to MLM levels, however there are some MLM companies that seal the level at about 15. So if an affiliate gets another person on his down line at number 16 the first affiliate is not entitled to any earnings from sales made or affiliates joining. This is necessary to ensure the profitability and sustenance of the program.

Anyone who has dabbled in MLM will, at some time or the other feel that they would have been able to achieve a lot more had there been some MLM software to assist them. In today’s day and age when everything is being automated even MLM could do with a bit of automated technology now and then. It is important to carefully check any MLM software before buying the package. Remember that these programs want to exploit one trait of many MLM entrepreneurs – automation. There is no true fully automated earning process. So if an MLM software is promising to take away all or most of your MLM work, it is lying.

Some great minds came together and decided to create MLM software that is capable of taking a load off the network marketing individual’s shoulders. Building a down line and maintaining it in a manner that is profitable for everyone and at the same time maintaining the earnings and payouts is no easy feat. However there is MLM software available that takes the grind out of MLM leaving the marketer with a lot of time to concentrate on his or her MLM campaign.

With the correct MLM software such as the MLM builder, internet marketers can provide your referrals their first lead to build their down line within a matter of hours of them signing up. This is the power of prospecting that MLM software gives. Apart from keeping a tab on new recruits, payments, commissions, dates and appointments and even searching for prospective MLM affiliates software generally makes internet marketing much more easier that it would be without it. What we mentioned above is an example of an integrated MLM software package. However, there is other stand-alone MLM software that can be used for free from the net. These are marketing software such as email senders, article submitters, link building software and automated search engines.

Once you have your MLM program in place you just need to get organized and this is what MLM software aims to do. You get your product up and running on a simple web site that you need to build with MLM site builder software, then you need to get people to visit your site and convince them to stay. Your site needs to have some attraction like offering something for free in return for the visitor to enter his or her email address. This is called opt-in mailing. You can use this for your future marketing plans. These email addresses are entered into an email broadcaster, just another kind of MLM software.

There are many free MLM software packages on the net that can make any MLM programs easier to run and more profitable. When they are tried and tested by you and you are convinced of the efficiency of the package perhaps a premium MLM software package will one day take its place.