Affiliate Marketing vs MLM

Since you found this site, I’m going to take a good guess and say that you’ve either just heard about affiliate marketing and want to know how it compares to multi-level marketing.

Well I’m going to tell you about both in a minute and help you decide which one is right for you. I’ve been involved in both types of marketing so I know how they work.

Nowadays though, I’m only involved in affiliate marketing and work from home full time.

What Is Affiliate Marketing?

affiliate-marketingAffiliate marketing involves three parties – the merchant or store, the affiliate and a customer. Affiliate marketing is where the affiliate sends the customer to the merchant and is awarded an agreed percentage of the sale (commission) when the customer makes a purchase.

This can happen infinite amount of times and there are a number of different ways you can set up the process. One common way is to create a website and offer value in the form of reviews or content the visitor may be interested in.

There is no team building and you can do this from anywhere in the world.

What is Multi-Level Marketing?

MLM diagramMulti-Level Marketing (MLM) is also called network marketing because it involves getting other people to build a team in order to promote a product. The more levels you build (downlines) helps you sell more products and you’re awarded higher bonuses as your team grows.

In this set up, there is usually someone at the top (where it’s much more rewarding) and if you haven’t personally signed anyone up, then you’re at the bottom where the rewards would be very little.

People often refer to MLM as pyramid schemes although that really refers to companies that don’t have a legitimate product but rather use their revenue (from registrations) to reward top tier members.

Affiliate Marketing vs. Multi-Level Marketing

With affiliate marketing you can decide what you want to sell while with MLM you can only sell whatever the product(s) from the company you’re involved with. Of course, you can always join more than one MLM companies but it would just dilute your efforts of recruiting prospects.

In affiliate marketing, you’re in control of every aspect of your business and your income does not depend on how many people you recruit but rather the volume of your sales.

My experience with MLM didn’t go so well as I had a hard time recruiting people and I mostly “bothered” my friends, colleagues and other family members. It came to a point where people started avoiding me or giving excuses.

When I found affiliate marketing, I was very excited at how easy it was to get going (no registration fees) and start profiting. I’ve been doing affiliate marketing ever since.

What’s Here?

Here are some of the things you’ll find on this site:

What Next?

Check out some articles and bookmark this site. Soon you’ll be earning money with affiliate programs just like I do.