What is the difference between MLM and Affiliate Marketing?
You are probably looking for an answer to this question if you are new to making money online or you have just heard about them.
Both affiliate marketing and MLM (Multi-Level Marketing) provide a way to make money online. Knowing the difference between the two will help you choose the one that suits you best.
What is Affiliate marketing?
There are three parties involved in affiliate marketing. The three parties include the customers, the merchant and the affiliate.
The work of the affiliate is to send customers to the merchant to be able to earn a commission.
The affiliate gets a commission from every sale made to the customers that he sends to the merchant.
The percentage awarded to the affiliate varies. It depends on the agreement between the merchant and the affiliate.
There is no limit to the number of sales that an affiliate can make. This means that there is no limit to the amount of money that an affiliate can make.
There are many ways to set up an affiliate marketing business. One of the most popular ways is creating a website and reviewing the products offered by a merchant.
Most people who want to make purchases online look for more information about products.
If you offer valuable information to them on your website, you can convince them to buy from a particular merchant.
There are other affiliate marketers who promote products through the social media and other platforms.
Affiliate marketing can be done from anywhere in the world. You will be able to work directly with the company/merchant whose product or services you are promoting.
There are so may affiliate marketing opportunities. You can easily drop one affiliate for another whenever you think that things are not going the way you want.
What is MLM?
MLM or Multi-Level Marketing involves building a team to promote a product or service. It is also referred to as network marketing.
Everyone in Your MLM network will attempt to sell the same type of product. In most cases, people are recruited by others who are already in a given network.
MLM has been compared several times to a pyramid scheme.
MLM companies choose the service or product that they want to promote. They then build a network of elope who will help them promote the product or services and earn a commission.
It is difficult to make good money from Multi-Level marketing. This is mainly because you will be at the bottom when you start.
The people who make good money are those who have already recruited many people.
When you are at the bottom of the pyramid, you will be sharing a huge chunk of your commissions with those who are at the top of the pyramid.
Affiliate Marketing Vs. Multi-level marketing
When you choose affiliate marketing, you have the freedom to decide what you want to promote. In MLM, you can only sell what the company that you are involved with is selling.
Although it’s possible to join more MLM companies to have a variety of products to promote, it’s a lot more difficult to make money from MLM than in affiliate marketing.
Affiliate marketing also gives you better control over your business.