Ignite:

To understand why Ignite uses network marketing to sell Stream Energy products, you first need to understand what network marketing is.

Network marketing (sometimes referred to as multi-level marketing, relationship marketing or direct selling) is a unique marketing strategy whereby a company works in partnership with independent sales agents who sell the company’s products and services directly to the consumer.

Rather than employ traditional means of advertising (such as TV, radio or print advertising), network marketing companies use a business model that relies on exponential growth. How this model works is very simple – network marketing companies pay commissions and bonuses to their sales agents for gathering customers of the company’s products. Sales agents are also compensated for recruiting other sales agents into the company, who are then compensated for gathering more customers – and so on and so on.

This model of exponential growth has proven time and again very effective, creating a win-win-win for network marketing companies, independent sales agents and their customers.

Network marketing companies enjoy strong customer loyalty, because their customers are generally the family and friends of the company’s sales agents. Having a personal relationship with the sales agents, such customers know exactly who to contact at all times if they need assistance or have a question. And as the sales agents have a relationship with their customers, they have a vested interest in ensuring their customers receive the best possible service and support.

 

Originally posted by Ty Tribble on February 28, 2006 in MLM Site.

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