7 biggest differences between Social Retail and Multi-Level Marketing - Pure Lifestyle Experience

Multi-Level Marketing (MLM) is a fairly well-known term and there are supporters and opponents, but not many people know the concept of Social Retail. That is a pity because in many cases Social Retail and MLM are seen as the same and that is of course not the case. There are indeed very large differences.

 We therefore want to explain clearly the biggest differences between both types of organization. We ourselves are active in Social Retail and we think it is important that our (prospective) customers and team members also understand the difference with an MLM.

Multi-Level Marketing

 Social Retail

It’s all about the distributor

The users are almost always distributors. There are hardly any “regular” customers.

The compensation plan is therefore fully geared to recruitment

It’s all about “real” customers. It is a “customer model”

In our company for example, the statistics show that on average there are 20 customers for 1 social marketer

The compensation plan is therefore tailored to the development of your customer base

The products are often too expensive for ordinary customers

The compensation plan must be able to pay distributors with a small number of users

The prices of the products are attractive for customer

There is a customer service, promos, loyalty programs, …

The website mixes information about products and business and there will regularly be direct invitations to become distributors

The website is a real online shop, type e-commerce.

The visitor of the website is treated as an authentic customer and finds info on products

Word of mouth that also regularly creates an uncomfortable feeling (for both the distributor and the recipient of the message)

The purpose of each conversation is to provide a way to make money (because the goal is to attract distributors)

Word of mouth in a natural way

The goal is to recommend a brand, a product, that you love yourself

There is only one way to participate and that is to become a distributor, to attract other distributors and to teach them to have new distributors join the team

There are 3 ways to get in.

Customers:

The people who consume the products and nothing more

Promoters:

People who generate customers by promoting the products in their online shop

Team developers:

People who develop a team of social marketers, promoters and help them to build their own team or to promote their online shop

Most MLM companies have 1 or a few “top” products

There is a small focus on the range of products

A wide range of products (80 – 100 -…)

Product innovation is the heart of the company

Usually there is very little control over the way of production and the composition of the products

The products are usually made by third parties and therefore there is no control over the costs and that is why the products are so expensive

Production is 100% controlled because that is fundamental. It is a customer model and therefore one must be able to keep costs under control, one must be able to keep promos, play with the margins,…. This is only possible if one has full control over production

 

 to all your questionsThese are the 7 biggest differences between MLM and social retail, because as already mentioned, there are a lot of people who see both company structures as one and the same. Hopefully they have been able to clarify here that this is certainly not the case.

Which type should you choose? That is a question that you will have to answer for yourself, but we have chosen Social Retail because we want to help people realize their dreams, but we also want to help people who are just looking for healthy, natural and qualitative Products.

Do you have more questions? Is something unclear? Would you like some more info? Do you want to view our extensive range of products and understand how they can help you with weight control, care of your skin, hair or body?

Just send us a message and we will give you an answer to all your questions without any obligation.

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