As well as marketing the products Cody Whitehair Youth Jersey , an Associate may decide to promote the business opportunity, finding new team members for the company. When an existing Associate personally introduces someone new to the business, they become the new Associate’s Sponsor or mentor. That new person will also be an Independent Distributor for the company and will be assigned to their Sponsor’s team. Both of them will receive a commission based on the customers that the new Associate introduces to the products. For some people the number of potential customers that are personally known to them may be limited, hence there are vast benefits to developing a team of Distributors to promote the products alongside them Leonard Floyd Youth Jersey , reaching more potential consumers and opening new sales avenues.
This process can then duplicate for any Associate. Distributors are able to build a customer base of thier own and receive commissions on the orders placed by any new and repeat personal customers, as well as the customers of the Associates in their organisation. The original Sponsor will receive commissions from any sales generated within their team. The structure and commissions will vary from company to company and pay plan to pay plan, but the principle is the same.
The Network Marketing business model offers Individuals the opportunity to earn money like an Entrepreneur. What I mean by this is that income is not determined by the number of days personally worked. Payment is made based on the quantity of products sold by the individual’s team. The money they earn is determined by the productivity of everyone in their organisation. Therefore, if you are able to mentor your downline to be more productive then you will make more income! You have true leverage in your business when your team members are fully trained and are able to find new customers and Distributors without your own involvement. This requires a sound understanding of your products and strong leadership ability Eddie Jackson Youth Jersey , but the pay-offs are more than worth it!
In retail distribution, the product is manufactured and is purchased by the wholesaler. The wholesaler distributes the products to various retailers, who sell the product to the customer.
As a customer consumer, you will typically pay around 2 to 3 times more for a product than the wholesaler paid the manufacturer for them. Say for example a product cost ?10 to manufacture Tarik Cohen Youth Jersey , the wholesaler may then pay ?15 for each unit and the retailer then purchases them for ?20 from the wholesaler. The retailer will then sell the item to you for ?45 to offset their expenses for staffing, utilities, advertising, etc. and still make a profit. Therefore you are paying ?45 for an item that the manufacturer sells for ?15 Jordan Howard Youth Jersey , because everyone in the distribution chain must make a profit on your purchase.