Wednesday, 11 December 2013

Network Marketing Explained: Part 2

If you have read my previous post on network marketing (if you haven't, read here) you would have gained an understanding of it. I thought it wouldn't be enough to just to talk about something that I haven't witnessed or experienced so I decided to write from my experience.  

You may not realise but there are companies that actually use network marketing as well as marketing their products using traditional forms of advertising. One such company is Telecommunications group, Talk Talk. Talk Talk actually outsource promotions companies to help them expand their customer base.  

I happened to work for one such company. It was a direct sales company using a network marketing structure to achieve goals internally and for Talk Talk themselves. The company had it's own set of rules as far as training went. These rules were the foundations of the company in order for an individual to reach to the head of the company and eventually run their own business. The aim was to get as many people across the country to sign up to Talk Talk as possible.   The way the company managed to do this was by using a particular system combining excellent sales techniques and psychology. They used some of the best motivational techniques around to get the best from the employees or future business owners. They also managed to successfully incorporate a network structure based on performance. If I'm honest you would have been surprised by some of the techniques that were used and how susceptible people can be to a good offer.  

The advantage that my colleagues and I had over other methods of marketing were that we had the chance to get to the customer on a more personal level. We could tailor a package that would suit the customer,  that  otherwise might have probably ignored other methods of Talk Talk's marketing.  

The measure of success in this organisation was how many offices that my manager got his apprentices to run, be their own manager and repeat the business model. From starting with one London office the manager managed to promote another manager in most of the major cities in the country. He promoted managers to Birmingham,  Newcastle, Liverpool and a few others. More offices means more teams of people trying to become managers of their own offices selling Talk Talk, which means more contracts being sold so it's more money and custom for Talk Talk. It also means that more people become involved in the organisation with a view to become a manager in the long term.

Looking forward I believe that more organisations will use the successful examples of companies like the one I worked for. The rate at which the new custom to companies comes in, is really fast. I'll assume that Talk Talk get more custom this way than from referrals by television or any other methods of advertising, especially as around 10,000 people a month sign up to Talk Talk.

As for the individual, it is a great opportunity to make alot of money. The performance aspect of it means a harder work rate. The prospect of becoming a manager at the end of the program as long as making money whilst you learn how to become one is the main incentive.

Thanks for reading this post. For constructive feedback and criticism follow me on Twitter @Allenbusiness or on Google+ / LinkedIn...Anthony Allen.