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Direct sales cosmetics companies. Network marketing - what is it, the pros and cons of working in MLM companies

Top 100 direct selling news 2017– the most significant rating for network companies. This event is awaited by many companies around the world - why?

The annual DSN Global 100 ranking is compiled by Direct Selling News magazine. A reputation for positive industry reporting has made DSN magazine a trusted journalistic resource for the direct selling industry. Since 2004, the magazine has focused on the positive stories of direct selling companies, including the opportunities provided to millions of independent entrepreneurs, products and services that have helped change the lives of consumers, and the philanthropy of industry members who have consistently reached out to those in need.

Top 100 dsn 2017 is a list of the most profitable direct sales generation companies in the world for 2017.

This indicator is very important and shows the stability of the company, their growth and development.

You can also get acquainted with the best system for building an MLM business in the CIS and EUROPE

A system for building large structures in the MLM business. Information from practitioners! Click to find out...

2017 DSN Rank
MLM company
CompanyG100 2017 Revenue (FY2016)
1 Amway$8.80 billion
2 Avon$5.70 billion
3 Herbalife$4.50 billion
4 Vorwerk$4.20 billion
5 Mary Kay$3.50 billion
6 Infinitus$3.41 billion
7 Perfect$3.06 billion
8 Quanjian$2.89 billion
9 Natura$2.26 billion
10 Tupperware$2.210 billion
11 Nu Skin$2.208 billion
12 Primerica$1.52 billion
13 JoyMain$1.49 billion
14 Jeunesse$1.41 billion
15 Oriflame$1.38 billion
16 New Era$1.16 billion
17 Telecom Plus$1.12 billion
18 Belcorp$1.09 billion
19 Ambit Energy$1.08 billion
20 USANA$1.01 billion
21 Pola$1.004 billion
22 Young Living$1.00 billion
23 SUN HOPE$940 million
24 DXN$927.0 million
25 WorldVentures$926.6 million
26 Isagenix$924.3 million
27 Yanbal$924.0 million
28 Team Beachbody$863 million
29 Market America$798 million
30 A C N$750 million
31 Stream$735 million
32 Tiens/Tianshi$695 million
33 It Works!$686 million
34 Team National$659 million
35 Yandi$644 million
36 Miki$597 million
37 AdvoCare$586 million
38 Arbonne$541 million
39 Plexus Worldwide$532 million
40 Rolmex$515 million
41 PM International$460 million
42 Scentsy$456 million
43 LegalShield$450 million
44 Le-Vel$449 million
45 Omnilife$375.93 million
46 YOFOTO$375.92 million
47 Fordays$365 million
48 Faberlic$356 million
49 Kang Ting$348 million
50 Nature's Sunshine$341 million
51 4Life Research$328 million
52 AnRan$321 million
53 Naturally Plus$300 million
54 NHT Global$288 million
55 LR Health & Beauty Systems GmbH$286 million
56 Merro$283 million
57 Menard Cosmetics$267 million
58 Family Heritage Life$265 million
59 Viridian+$263 million
60 Pro-Health$257 million
61 Noevir$249 million
62 Hy Cite Enterprises$233 million
63 Resgreen$232 million
64 KK Assuran$229 million
65 Take Shape For Life$222.4 million
66 CUTCO$222.0 million
67 Southwestern Advantage$218 million
68 LifeVantage$207 million
69 Kangmei$206 million
70 Pure Romance$203 million
71 Alphay International$200 million
72 Princess House$195 million
73 Mannatech$180 million
74 Charle$173 million
75 BearCere' Ju$170 million
76 Youngevity$163 million
77 Seacret$161 million
78 Kasley Ju$154.4 million
78 Longrich$154.4 million
80 Giffarine Skyline Unity$154.0 million
81 Marketing Personal$153 million
82 ARIIX$151 million
83 World Global Network$146 million
84 Naris Cosmetics$144 million
85 FuXion Biotech$135 million
86 New Image Group$124 million
87 Ideality$115 million
88 Golden Sun$103 million
89 Zurvita$100 million
90 Diana Co.$98 million
91 Vestige Marketing$97 million
92 Global Ventures Partners$92.1 million
93 Koyo-Sha$91.8 million
94 Total Life Changes$88 million
95 Immunotec$82.2 million
96 Jimon$77 million
97 Nefful$75 million
98 Captain Tortue$71 million
99 Shinsei$69.4 million
100 Vision International People Group$69.0 million

What is network marketing, what are its pros and cons? Which MLM business companies are popular in 2018? How to make your first money in a network business?

Hello, friends! With you is Alexander Berezhnov, an entrepreneur and one of the authors of the website HeatherBober.ru.

Today, the network marketing industry is gaining a new wave of popularity, and the development of the Internet plays a significant role in this.

However, this concept still causes controversy in society. Some call network marketing almost the only opportunity to open your own business without investment, others are sure that this is all a financial pyramid, a scam and deception.

Some time ago I was involved in network marketing myself and I know firsthand what it is. In this article, I decided to dot all the i’s and cover this topic from all sides, including taking into account my experience in this industry.

After studying this article, you will firmly decide for yourself whether it is worth doing MLM business, what the pros and cons are, and you will also find out which companies are better to start with and why.

So, let's begin!

1. What is network marketing (MLM) and what is its essence?

I'll start with a definition and then expand on it and give examples.

For example, the production cost of ORBIT chewing gum ranges from 20 to 50 kopecks per package of 10 pads. However, while the chewing gum is on the shelf in the store, its cost increases by several thousand percent! It's all because of the intermediaries - large and small wholesalers who sell chewing gum to each other.

But it doesn’t end there, because, as you know: advertising is the engine of trade and intermediaries spend a lot of money on advertising.

Fact

In large companies, up to 50% of the final cost of a product consists of advertising and promotion costs.

Thus, we buy Orbit packaging for 20-50 rubles. Yes, this price, of course, includes the trade markup of the manufacturer itself, but the intermediaries also want to eat. So it turns out that the end consumer suffers, who overpays exorbitantly.

About a hundred years ago, people began to think about the problem of unreasonable markups by resellers and intermediaries.

Network Marketing Idea

Make the process of promoting goods (services) more convenient, cheaper and faster. Remove intermediaries and expensive media advertising from the promotion scheme.

This can be done if people themselves tell each other about the product of the network company, and their motivation will be the percentage they receive from sales of the MLM company's products.

But you just can’t earn much from interest. Therefore, multi-level marketing allows you to build your own business by creating a wide network of product consumers.

It is assumed that a person who has developed his network structure will receive a percentage of the entire turnover of his structure. This is how he can create tens of thousands of dollars a month for himself.

To learn how you can create such an income in MLM, be sure to watch the video below. This is a cartoon about Pablo and Bruno - ordinary guys who chose different ways to gain financial freedom, and both wanted to become millionaires. Let's see what they came up with.

Network marketing was designed to solve the following problems:

  1. Reduce the cost of goods for the end consumer. This can be achieved by eliminating expensive standard advertising on radio, TV and the Internet.
  2. Speed ​​up the process of delivering goods to the end consumer. This is achieved through well-thought-out logistics (a network of our own warehouses in different cities and countries).
  3. Eliminate counterfeit goods. In the process of resale of goods, substitutions and falsification of large quantities are possible. An MLM company works directly with the end consumer, so the likelihood of product counterfeiting tends to zero.
  4. Motivate company employees with money and business opportunities. In multi-level marketing there is an opportunity to make good money and build your business from scratch.

2. How network marketing works

First, I’ll tell you about the general principles of this industry.

The manufacturing company has its own factories for the production of goods.

She sells these products without stores; the products are distributed thanks to a built-in recommendation system. In everyday language this system is called “word of mouth”.

A large number of people like this principle and are happy to buy products from the company.

Nowadays, all orders of an MLM company can be placed via the Internet, and paper catalogs, which were popular some time ago, are fading into the background with the development of information technology.

The client uses the products and can start building a business with a direct sales company. To do this, he needs to find several people who will constantly buy products and attract new partners to the business to develop the network. That is why this type of marketing is called network marketing.

Having its own warehouses and delivery services, the network company delivers products to the warehouse, and then these products are distributed to offices that the company’s partners (distributors) have personally opened for themselves. Sometimes the company delivers the order directly to the client’s home, which is very convenient.

Now I will talk about the features and principles of multi-level marketing for the manufacturer of goods (company), for the end consumer (client) and for the person who decided to open his own business (entrepreneur) using the capabilities of mlm.

From an MLM company's point of view

A distinctive feature of promoting goods online is the reduction in advertising costs for your products. The company cares more about promotional materials for its distribution partners (sometimes called independent entrepreneurs) and building a system of professional training (mentoring).

It is on the high-quality transfer of the MLM idea from person to person that the business of the enterprise ultimately depends.

From a consumer point of view

It is convenient for the client to receive products with a quality guarantee; he likes affordable prices, samples, and catalogs. Direct selling companies often have exclusive products and accessories that cannot be found in regular stores.

From the point of view of the distributor (entrepreneur)

People who want to start their own business without investment can succeed here. After all, the entire system has already been built, the market has been formed, most large companies are already well-known among the population. In addition, the powerful system of training and mentoring in network marketing companies makes the opportunity to build your own business more than real.

3. MLM business industry - history and development trends

Network marketing originated in the West in the USA.

In 1945, American entrepreneurs Lee S. Mytinger and William S. Casselberry opened their own business, becoming national distributors of Nutrilite Products. The basis of their activities was the principle of recommendation (network) marketing.

Further, in the late 1950s, two companies were created in the United States: Shaklee and Amway. In Russia and the CIS countries, people are widely familiar with Amway products and the features of its business. The company itself was created in 1959 by Rich DeVos and Jay Van Endel, and was originally called American Way Corporation.

The industry developed especially rapidly in the 1980s - 1990s. The range of products grew and by the mid-1990s, mlm-manufacturers offered their customers literally everything: from cosmetics and detergents to automotive products, household appliances, long-distance communication services and computers.

Today, the network marketing industry has undergone great changes and almost all mlm companies have gone online in one way or another.

In 1996, it was created in Russia Direct Selling Association(rdsa.ru), which contributes to the development of the industry, its self-regulation and maintaining the reputation of the network business at a high level.

According to the Association for 2015-2016 in Russia, multi-level sales are involved in one way or another 6% of the total population(distributors), and these are millions of people, not counting consumers.

The Internet space has allowed the industry to develop at a rapid pace. And this is quite logical.

Example

You can now build your business in a network marketing company not only through face-to-face meetings at home or in a rented office, but also via the Internet, using the capabilities of Skype, electronic mail and social networks. Advanced entrepreneurs create their own websites.

This is exactly how “networkers,” as distributors of multi-level companies’ products are usually called, are now actively processing the online space in order to expand the number of participants in their group (branch).

However, the development of digital technologies has also given rise to another side of this industry - the emergence of fraudulent companies and financial pyramids, which, under the guise of investment funds or simply respectable mlm firms, drag honest people into illegal and immoral schemes.

Below in the course of the article, I will also touch on the issue of fraud and tell you what not to do and how to distinguish a reliable network company from a scam.

4. Why do many people today associate network marketing with a pyramid?

In continuation of the previous paragraph, as promised, I will reveal the “pyramid question”.

The association with pyramids, deception and fraud among people arises rather out of inexperience.

I’ll say right away that there is the concept of “classical marketing” and “network marketing”, although it is very conditional. Let me tell you how they differ for completeness.

1. Classic marketing

These are all the ways and means of promoting goods that we are used to seeing around us - advertising on TV, radio, outdoor advertising, and so on.

Selling goods in stores is also a standard way of promotion. As a result, all this can be attributed to the concept of “classical marketing”.

2. Network marketing

This is simply an unusual way of distributing goods for the majority of people. As you know, it is also called multi-level marketing.

In this promotion concept, there are no retail stores that are familiar to many, there is no standard advertising in crowded places, and the products themselves, as a rule, are of higher quality in comparison with our familiar analogues.

The model of distribution of goods, which is unusual for many, instills fear in those who have heard about various kinds of deceptions or have already fallen into financial pyramids.

Dear readers, remember!

Network marketing has nothing to do with a pyramid scheme, fraud or illegal activity.

Associations with the pyramid arise because in both a pyramid and an MLM you need to attract people in order to make money.

Only in the first case do you receive money for the “heads”, that is, your earnings depend depending on the number of people involved who invested money in the pyramid, and in the second, the income depends on the turnover that the clients you attract will make.

That is, if we are talking about normal multi-level marketing, you can sign up at least 1000 people into your structure, but if they don’t buy anything, then your income will be zero.

In a pyramid, everything is the other way around, where everyone involved is required to make a contribution, usually quite significant (from 500 to 5000 dollars) and you are guaranteed to receive a percentage of his money, but your client will not receive the real goods. He pays only for the opportunity to make money by attracting new “victims”.

Below, in the answers to frequently asked questions, I clearly outlined the criteria with which you can distinguish a good mlm company from a financial pyramid.

5. Network marketing on the Internet without investment - myth or reality?

There is no myth here and there cannot be. Building your own network business via the Internet is a new trend that is gaining momentum every day.

How to find a client for your MLM structure via the Internet - 5 proven ways to attract:

  1. Social media. One of the most popular methods. You can create a group (community) here on the topic of making money and self-development. The people who join will be your potential clients. You can also “spam”, that is, send messages to everyone, but then you risk getting your account blocked by the administration of the social network.
  2. Thematic forums. On forums about earnings and personal growth, you can also find future partners in your multi-level structure.
  3. Contextual advertising. You can create a website and set up contextual advertising on it, thereby attracting targeted visitors. There is already an article on our website. However, this method can be quite expensive for such a purpose.
  4. SEO - promotion. By analogy with the previous method. You can make your own Internet resource and write articles on it containing keywords related to success, earnings and network marketing. Gradually, these articles will be promoted through the subscription form located on the site, and you will receive people loyal to your activities.
  5. Lead generation. This method consists of creating a flow of contacts (applications) of potential clients whom you will attract using various advertising tools. You can learn more about what advertising is and what types of advertising exist from. You can process applications from potential clients (leads) and attract them to your multi-level marketing company.

You can use these and other ways to attract potential participants from the Internet to your network structure.

6. Pros and cons of network marketing - an overview of the main advantages and disadvantages

Network marketing, like any phenomenon, has a number of advantages and disadvantages.

This is why there are people who vehemently campaign for mlm, and there are those who are afraid of “networking”. To make the picture clearer, I have compiled a corresponding table that reflects almost all aspects of the SM:

Pros and cons of network marketing:

Comparison criterion pros (+) criterion Minuses (-) criterion
1 Opportunity to open your own businessAn MLM business can be opened with virtually no investment and create passive income over time Many beginning distributors abandon their business in SM, as it grows slowly and they often hear refusals
2 Doing business via the InternetThe unlimited possibilities of the World Wide Web provide practically limitless opportunities for the growth of your businessNot all people will agree to cooperate with you and do business with your company, since reaching an interested audience through cold contacts is small
3 Buying quality goods at an affordable priceIn online companies you can buy really high-quality goods; often their analogues on the open market are either unavailable or are much more expensive.Sometimes the products of multi-level marketing companies are unreasonably expensive, even if they are of high quality.
4 Party, teamFor many people in this industry, the very atmosphere of running an MLM business is a way of life and they feel “like a fish in water” here.For most people, spending time at various seminars, trainings and events of such companies is tiring and does not suit their nature and psychological type.
5 Skill development, personal growthGood skills in interpersonal communication, planning, leadership and management can be acquired through the processThere are not many people constantly striving for development; most prefer much more understandable ways of earning money, for example, regular hired work
6 ReputationIt is believed that people with leadership and well-developed communication skills will certainly achieve success hereIn society, the reputation of network marketing has been significantly damaged, so finding like-minded people, much less turning them into your clients or business partners, is not easy.

If you have not yet decided whether to engage in SM, then the criteria described in this table will help you once again understand whether it is for you or not.

7. Rating of network companies in Russia - list of TOP-5 market leaders for 2017-2018.

The most interesting thing is that the first two companies Avon and Oriflame occupy 31% and 30% in this ranking, respectively. This means that these companies are by far the leaders among our citizens in the MLM industry.

As you can see, Mary Kay and Faberlic occupy almost the same market share, and Amway is somewhere in the middle.

In any case, I am sure that you have heard, if not about all of these companies, then about most of them.

I consider them reliable and it is these companies that I advise you to work with if you decide to start an online business.

8. FAQ - answers to frequently asked questions

These questions are often asked to me, and here I present them with answers as the most popular.

Question 1: Should a beginner start his own network marketing business?

Yes, it’s worth it, but only if you are willing to wait a long time for results (from 6 months to 3 years) and have a cash reserve that will “feed” you during a cash-strapped period. I also advise you to analyze your strengths and weaknesses, objectively assessing your capabilities.

But if you get tired of communicating with people and have a hard time with rejection, then it’s better not to rush into this pool headlong.

Question 2. How to make your first money in network marketing?

To do this, find 2-3 clients and simply sell them your company’s products, having first registered as a partner.

Then you will feel the “taste” of your first money. Perhaps it will be a very small amount: from 100 to 1000 rubles, but this will already be your money earned in direct sales.

If you want to get a more serious amount, then find 3-5 people who plan to build a business with you. Help them find 3-5 more people for each and in a few weeks your income will grow to several thousand rubles per month and will increase as your “branch” grows.

Question 3. What and how can you attract people to network marketing today?

Today, as always, you can attract people to network marketing with the idea of ​​earning prospects, creating passive income and a free (flexible) work schedule.

The quality of products and the range of direct sales companies is constantly growing, so to say that our products are of high quality is no longer so appropriate.

But if you show the ease of working with the company’s website and the possibilities of doing business via the Internet, this will definitely not leave your potential partners indifferent.

Question 4. How to distinguish network marketing from a financial pyramid?

It is no secret that some fraudulent companies discredit the honor of decent MLM enterprises and disguise themselves as them.

How can you spot scammers? There are some characteristic signs of dishonest companies:

Here they are:

  1. Unreasonably high entry fee. As a rule, it is from 100 to 5000 dollars. It is from this money that the remuneration to the “distributor” is paid.
  2. The product as such either does not exist at all or has no market value outside this organization.
  3. There is no documentary evidence of the receipt of money and other appropriate documents (invoice, agreement, checks, etc.);
  4. You are told that you will receive money from number of attracted participants , and not from the turnover of the structure.
  5. The main point in the organization’s work is the emphasis on make money quickly , and the product (if it exists) is needed only as a cover in the activities of the pyramid.

If you notice at least one of them in the company where you are invited, it is worth thoroughly studying it for deception and the legality of its activities.

Alexander Kaptsov

Reading time: 11 minutes

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The first network companies entered the Russian market back in 1993. Then there were no more than a dozen of them. Over time, the business expanded by attracting new people, and today the list of network companies includes about 500 organizations. For many people, network marketing has become the main type of income. Some are attracted here by the flexible work schedule, others by regular communication with people, others are pleased by the opportunity for rapid career growth, and, of course, monetary rewards. Currently, over 5 million distributors operate throughout Russia, having a fairly extensive network of 20 million clients.

7 main criteria by which network companies are evaluated

Determining the direction of your involvement in the network marketing field is not an easy task.

Therefore, first of all, you should pay attention to the main parameters by which network companies are usually assessed.

  1. Product Offered. It must be safe for human health and affordable. Its use should produce results.
  2. Company age. It is best to enter into an agreement with an organization that has existed on the market for at least 5-6 years. Firstly, not a single one will last that long, and secondly, as statistics show, approximately 80% of network companies cease their activities before the end of the first 5 years.
  3. Marketing plan. It is advisable to compare it with the plans of other companies, paying special attention to network compensation payments.
  4. Distributor training. It should be free, accessible and professional.
  5. Company fame. To build an international business, a company must have a structure in at least 3 countries.
  6. Legality of the company. The presence of legal status in the country where the distributor intends to operate and an official website on the Internet indicate that it is possible to cooperate with the company.
  7. Strong leadership team. The success of the entire team largely depends on the personal qualities and capabilities of leaders.

Independent rating of chain companies by sales volumes for 2015

No. Company name A country Sales volume in Russia (%) Worldwide sales volume
1 Amway USA 8,1 $10.7 billion
2 Avon Products USA 28,8 $8.9 billion
3 USA 3,0 $5.0 billion
4 Mary Kay Inc USA 4,9 $4.0 billion
5 Vorwerk & Co. KG Germany No data $3.8 billion
6 Natura Cosmeticos SA Brazil No data $3.2 billion

Brief introduction to network companies

This international corporation, headquartered in Michigan (USA), has been successfully operating in the sales market for more than 55 years. Amway branches are located in 80 countries, including Russia (since March 2005).

Consumers are offered over 450 types of health products that are of high quality.

What are the features of the company?

  • Purchasing products to Amway at wholesale prices, the distributor sells it at retail with a thirty percent premium. His income is made up of these percentages.
  • For large volumes For personal purchases, the participant receives an additional reward.
  • Inviting to the team new distributors or consumers of products, the distributor receives a reward in the form of a reduction in interest on the cost of goods.

Having achieved significant success in sales, a person can live on the interest transferred by Amway to his personal account.

Avon's history goes back over 120 years. Over 5 million distributors cooperate with it in more than 100 countries. The company's first representative office appeared in Russia in 1995.

Avon products are more focused on the female audience, offering lovely ladies perfumes, cosmetics, jewelry and various accessories.

Distinctive features of the company's work

  • Cooperation as a VIP client. Free registration and the opportunity to purchase products with a 30% discount. At the first order and further, the participant receives gifts.
  • Cooperation as a Coordinator. When attracting new representatives, the coordinator, in addition to the already existing 30% discount, also receives 12% of the income from the sales of his group. There are bonuses and incentive programs for coordinators.

Despite the fact that the company is only 35 years old, its products are widely distributed in 92 countries. The products are aimed at people who want to lose weight and cleanse the body. Offers Herbalife and natural cosmetics.

  • To work as a Distributor You must purchase the International Distributor Kit.
  • When selling retail goods purchased at a wholesale price, the distributor receives a 25% income.
  • There is a supervisor above the distributor. His commission and monthly remuneration for services is 5%. In addition, its retail income is 50% and wholesale income is up to 25%.

Mary Kay

Mary Kay has been around for almost 50 years, and all this time it has been very popular among women. The principle of its consultants, “Try before you buy,” is still relevant today. This is one of the best-selling brands whose products are designed for facial skin care and makeup application.

The company has branches in 36 countries, on 5 continents. In 1993, the first Mary Kay products went on sale in Russia.

Features of working in the company

  • For work Women at least 18 years old are invited to join the company.
  • To become a Consultant for beauty, you need to purchase a Consultant Starter Kit. Consultants receive income from the sale of products during their presentation at master classes, when re-ordering goods and recruiting new employees to work as a team.
  • You can become a Direct Client to purchase products at a significant discount of up to 40%, receive gifts and a monthly magazine, participate in competitions and receive free professional training in makeup techniques and business basics.

132 years have passed since the founding of the German company Vorwerk. Its activities began with the production of carpets and weaving equipment. Today the company offers kitchen equipment and floor care equipment, which are sold in 58 countries. Vorwerk products appeared on the Russian market in 2005.

What's special about the company's work?

  • For beginners Those wishing to participate in the work of the company are offered free training, including a theoretical part and basic training. Advanced training courses are conducted.
  • Consultant He plans his own working hours, receiving a certain percentage of sales.

To organize an online business online, you need to work on the Internet from home. What business is best to open online for optimal earnings online with minimal investment? Naturally, the best entry into online business is, oddly enough, network companies and network marketing. Network marketing companies in Russia appear regularly and disappear rapidly. To avoid falling for scammers on the Internet, and, in particular, scammers in network marketing, it is necessary to choose a network company with experience and a reasonable business plan. Of course, it’s easier to send all the “obsessive” ones and work for someone stupidly performing mechanical actions. But you can turn on your mind, choose the best network company with an affordable franchise, and provide yourself, your children, and your parents with a decent life just working from home on the Internet.
What do you need to know to work remotely on the network at home if you intend to work on the Internet and looking for a ready-made business with minimal investment?

“There are many network companies, but you have one life” - the words of a great woman, Tamila Polezhaeva.

When choosing the network marketing industry, it is very important to choose a network company with the most convenient marketing plan for you. It is important that the company's capabilities meet your needs. Now I will briefly describe the pros and cons of the most famous network companies - competitors and starting a business with them. Where you can open a business in Russia - the most affordable franchise and remote work online from home.
So, there are many companies on the market (cosmetics, tourism, legal). I want to say right away that the founder of network marketing was the Mary Kay company, which began its existence back in the 19th century! But, this company is engaged in offline promotion (meetings, master classes), entering the company is quite difficult - you need to purchase a starter set of expensive cosmetics for a good amount.
Avon, Faberlic, Oriflame, NL and Amway are actively promoting on the Internet. Let's take a look at these network marketing companies in Russia.

What business to open

Avon

To register with this company as a coordinator (that is, to get the opportunity to invite people and build your business, you need to send paper copies of documents to the company, which delays the registration process for a long time. The pluses are a small purchase amount - only 1,600 rubles, cosmetics are inexpensive. The company promises a good bonus - 125,000 rubles. But it is paid only if the coordinator recruits 5 active consultants to the first line of each directory, and this continues throughout the year. At the same time, there is a certain plan for group turnover, if not fulfilled, the coordinator is dequalified bonus... The company promises a discount on the catalog price. If a consultant buys cosmetics only for himself, his discount is 15%, if he fulfills the plan (each catalog has 5 active members for 1600 rubles) - the discount reaches 32%. It is easy to guess that if the coordinator does not fulfill the plan for recruits, then he finishes the order for inactive consultants. I want to get bonuses and very big discounts... The company thereby does not encourage the construction of structures in depth. When recruiting, the coordinator is happy to inform you that in order to receive income, you do not have to create an individual entrepreneur; the money drips onto the consultant’s card. At the same time, it is forgotten to clarify that for such a procedure the company retains 20% of the consultant’s profit in the first stages, and then the retention increases to 40%. The company does not have large-scale events and conferences that would make the internet buzz about them. There is also no way to generate passive income. The plan for recruiting to the first line is endless. If the plan is not followed, Avon may terminate the contract with the consultant, transferring its structure to another coordinator. International sponsorship is not available.

Faberlic

This company has been on the market for only 20 years. This is a Russian company, which the consultants are very proud of. The marketing plan and the picture of the career ladder are painfully reminiscent of the marketing plan of the Oriflame company. But the devil is in the details. The company pays bonuses when a consultant achieves certain Director ranks. Bonuses in rubles - for achieving the title of Director, 55 thousand rubles are paid. Mandatory turnover – 50 points. In this case, 1 point costs 80 rubles. In total, the mandatory purchase for payroll is 4,000 rubles. The director's turnover is more than 400,000 rubles. The company EXISTS a plan for recruiting priority in the first line. At any Director level there must be a gap. If a consultant has 2 grown directors in the first line, then in order to receive income from these structures, it is necessary to have an additional growing group with a turnover of 1000 points (80,000 rubles). At any level there is a break. If the SUPER-Director does not have a personal group, then in this directory he will not receive a salary. That is the company did not provide the opportunity for passive income for its consultants. Also, if the recruitment plan is not fulfilled, the company reserved the right to unilaterally terminate the contract with the consultant. Travel abroad is not included. Entrance to the company is free and without a passport.

NL

Russian company - IP registered in Russia. Company product - Energy Diet– quite expensive cans of food. I am not happy with the recruiting method in this company - newcomers are taught to recruit existing consultants of other network companies, in particular Oriflame. I was also alarmed by the turnover required to accrue income - 21,000 rubles per period. The very narrow focus of products and the high price per unit of goods make business development quite problematic.

Amway

This network company deals mainly with household chemicals and washing powders. The downside is that there is an entrance fee that you have to pay for the right to work in the company. The product is quite expensive and does not last long. Eat mandatory trade turnover - 200 points, at the moment this amount is more than 10,000 rubles. Since the goods take a long time to be consumed, to ensure a minimum personal turnover, you need to constantly find new buyers. Product presentation also takes place offline (i.e. You need to wash clothes and remove stains at the client’s home;). The Amway business is not widespread on the Internet; you can mostly see selling pages. The products are high quality, but I wouldn’t choose Amway for business

Oriflame

This network company is 50 years on the market, 20 years on the Russian market. Survived 3 crises and always increased its momentum. Assortment – ​​1800 items for every taste and budget. In addition to decorative cosmetics and skin care products, there is an excellent Wellness series - products for health.
To calculate salaries (volume discounts), the consultant must learn how to make a turnover equal to 150 points (about 6,000 rubles). The consultant's initial discount is 20% of the catalog price. When a consultant makes 150 points to his number, the system automatically calculates and shows the income from his structure, and in the next catalog 12% of the consultant’s personal order is returned to the account. Thus, a partner who came to build a business makes 150 points and his total discount is 32%. The company has own production – 5 factories and 1 leather research institute, constantly publishes scientific publications, has its own patented formulas. The company has milestones - titles, upon reaching which the company pays dollar bonuses. For the title Director - you will receive $1000, for the title Golden Director - $2000. At the moment, bonuses of up to $1 million are provided. Director's turnover is 250,000 rubles. The company does not have a first-line recruitment plan. The consultant may not recruit at all, but buy for himself personally and have a maximum discount. In the company's projects, building structures in depth is encouraged, which gives all team members a chance to grow quickly. When a consultant achieves the title of “Golden Director” (that is, 2 director teams have grown under you) - income becomes passive, and you can not recruit at all, but do personal turnover and receive your 5% of the team’s turnover. Basically, everyone moves on and continues to build up structures, because “appetite comes with eating,” plus the company arranges motivating trips abroad (conferences) from certain levels. Once a year, the company holds a conference for managers and directors - even newcomers can attend if they meet the conditions for their growth. The second conference is for Gold Directors and above, the third is for Diamond Directors and above, and the fourth is for the Top Leadership Team of the company. The Director's Banquet is held annually in Moscow- the largest corporate event in the country, which brings together all the directors and their companions. Network marketing stars and show business stars perform at the Banquet. From the “Director” level, an Autobonus is available - a monthly payment from 3,000 to 9,000 rubles. to buy a car. Income is accrued to the consultant to his personal number and is paid in full when the consultant opens an individual entrepreneur (calculations according to the simplified taxation system). Upon reaching the “Director” level, Registration costs 149 rubles (if the consultant collects an order for 100 points within 21 days from the date of registration, this money is returned to his account and can be used as a discount on the next purchase. To register, you need a series and passport number. You can work in 62 countries around the world. International sponsorship is provided, that is, you can have a team in Russia, Ukraine, Poland, etc. Oriflame is the only best network company in Russia where you can pass on your ready-made business by inheritance - this is an ideal network job when choosing which business to open to work from home. The best choice to open a business online. They really have something to be proud of. And now is a good time to

Having studied the company’s website, I only see a hotline number, a list of service centers and an email. In fact, there is not enough information to make a serious decision in favor of long-term cooperation.

Where is the information about trade turnover, production, form of activity, assortment? Well, okay, the company was founded in 2007 in Barnaul.

To receive a marketing plan, I had to register on the company’s website. It turns out that the company is developing in 32 countries. You can see a photo of the CEO. On the website for checking counterparties, it turned out that the general director registered 4 companies, which are LLCs with an authorized capital of 20,000 rubles and total revenue for 2016 of 383 million rubles. Oriflame, in Russia alone, for the same year, had revenue of 15 billion 940 million rubles.

There is not a single fact that the tianDe company has at least one plant, research center or factory, institute. All production is in China with ISO certification. That is, the products are clearly at a premium - everyone needs a profit.

It says at the top - the first 20 bb are not eligible for the 35% discount. We enter an order for 20 bb (1277 rubles) - no discount is issued, we enter an order for 130 bb (5900 rubles) - the amount for free delivery - the discount is 29.6%. If the order is reduced to 50bb, then the discount will decrease to 21.3%. Where is the 35% on products?

Delivery is only from pick-up points, which are only in 15 cities. Not enough, compared with the thousands of open source software that Ori has, even in the most remote corners of our country... If your city is not on the list of Tiande pickup points, you will have to pick up the goods at the post office, paying an additional 500 rubles, and you will have to wait from 4 to 15 days for delivery of the goods .

Now about the marketing plan.

Firstly, the cost of a point for a consultant and the cost of a point to be paid are different. And the difference is quite big – about 50%. They pay, as in NL, only on half of the sales volume.

High margins on a product kill the idea of ​​network marketing, which should ensure the availability of a quality product.

Secondly, the company’s “unique non-separating marketing plan” is unique due to the total pooling of all volumes. Their entire MP is Ori’s marketing plan up to the level of Director in Ori, for example. And then, imagine that at the Senior Director level the discount would be 23%, at the Gold Director level - 24%, and so on up to the Diamond President.

But if you do not have an inter-percentage difference with your leader, you will not be paid anything from your group, only a bonus from 5 generations. And if this branch accounts for 75% of the volume of your structure, then you will not receive this bonus either. It is NOT PROFITABLE to develop leaders in this company.

The marketing plan is finite, that is, if you have collected all the qualifications, you will have to come up with new ones until you get to 100%, but this is no longer possible, that’s all uniqueness.

Thirdly, the company has only five levels of bonuses, everything else is cut off, and you constantly have to work on breaking away from your branches. There is no passive income in this company.

Fourthly, the Auto Program ends in 2018, the only brand you can count on is Volkswagen. The car is leased under specific conditions (increase 10,000 – 40,000 points per year). The company's auto program is given under rather harsh conditions, a large number of points, I think. But for me, the most important thing in the network is the opportunity to build passive income. The rest will come later...

They didn’t go into the wilds about travel either - the company has just begun to develop this area. One thing is good - of all the companies listed here, representatives of Tiande have never tried to entice our girls and boys to join them - this speaks of clean working methods.

I hope that they will rework their unique Marketing plan, because a network business is a business of mutual assistance, where it is profitable to grow and train leaders.

Network companies of Russia

Despite the colossal income gained from the network business, in Russia only 7 percent of the population is included in it, who are mainly engaged in open sales, that is, they form the turnover of network companies. Nevertheless, significant dynamics are visible. Every year, new network companies appear in Russia, which are growing much faster than companies performing traditional sales. Undoubtedly, in terms of mass production, the leaders in this business are mainly countries such as India, China, Brazil, and Japan. In Russia there is still a lot of free space on the Internet.
A very delicate point in the network business is the absence of any legislative framework in our country, while in America and Japan, for example, there is a whole section in the laws on network marketing. Such conditions only lead to fertile ground for fraudulent actions, which, unfortunately, still occur today. It’s good that we have at least a special association that somehow checks network companies in Russia, raising the intended trust in these companies and network marketing in general. In the database provided by the association there are only 16 organizations that may deserve some trust. When freshly minted companies emerge in the fashion network business, you cannot be one hundred percent sure that they will be able to survive among a significant number of competitors. In any case, one of them will go bankrupt, and there is nothing terrible or shameful in this, because this is a business - nothing personal...

Remote work on the network at home

Those people who decide to work in a company must understand that they may have to invest personal funds, there will undoubtedly be a lot of contact with people, researching products and, of course, prepare psychologically to the fact that clients will be all very diverse, and it is strictly forbidden to perceive any disagreement at your own subjective expense. Many people have achieved significant heights in this difficult network business - as an example, you can look at similar Russian network companies such as Avon, Oriflame, Mary Kay, Amway and Faberlic. Among their top leaders are diamond directors with cars and apartments, and a huge team of successful distributors around the world.
Often, network companies in Russia provide their employees with unlimited freedom of action, the potential to carve out days off and earn as much as they want. Such a positive fact has its own certain nuances, since, on the one hand, it looks like everything is wonderful, and you definitely your own boss, and on the other hand, at the initial stage there is no stability, today you can make good money, but tomorrow nothing, but this is only a matter of time. Undoubtedly, if there is a goal and desire, and the essential thing is knowledge of your product or service, then everything will definitely work out. Successful network companies in Russia have certain established and established tactics for professional online business organization that can build a stable business to ensure return on equity. Newcomers need to tune in to a leisurely, but promising outcome, since you won’t earn significant money right away, especially in large companies where there is competition that has captured about 70-80% of the entire sales market. Only by gaining experience and understanding all the subtleties and nuances of a network business is it possible to achieve a decent and stable income.

If you are interested in improving your standard of living, join the team!

Question for those who are already registered in any network company:

If everything is fine with you, why are you searching for “Network marketing companies in Russia”? If you came to this page, it turns out that you are unhappy with your company and are looking for something else?
Or you came to leave your coordinates here in order to lure people from other companies to you. This behavior is definitely incorrect and discredits your entire company. Such comments are deleted.

I express my deep gratitude to E. Penkin’s blog for shaping and completing part of the article. I completely agree with Evgeniy - there should be no competition or poaching within network marketing. There should be competition between traditional and online businesses. Leave all the “tomatoes” in your pockets and go work for your companies using clean methods.

o.z. Director of the company.
Hobbies: photography, design, web design, vector psychology and esotericism.
Marital status: beloved wife and mother)
Life Motto: It's never too late to leave the crowd. Follow your dream and move towards your goal!

Updated: February 17, 2018 by:

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  • Greetings! My heart has been hurting for many years. I have also been taking cardamom for many years. Recently it happened that I started taking it three times a day. It has a lot of side effects, you can even die from them.
    When I came to Aklon, I bought the drugs, Viorgon 01 and 10. Today is the second month that I have been taking them. The attacks stopped. I believe that these are truly miracle drugs. The first time I saw these bubbles, I looked at them skeptically, wondering what could be wrong with them?
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    Now, thanks to Viorgon 17, I don’t notice magnetic storms. The pressure is normal and the nodes on the right leg have completely resolved, and on the left half. The veins don't hurt. Yes, it's two years, but I don't regret the money spent. I drink all the time. I don’t even want to remember how I lived without him.

    Hello everyone! In March 2017, I left my review on taking Viorgons for prostate cancer. More than a year has passed. My tests are normal. PSA dropped to 0.93 (with a normal range of 0 to 4 units) and when cancer was found, PSA rose to 98 units. I thought I wouldn't make it out. But then these miracle drops turned up for me. Liver tests have also been normal for a long time. I take number 14 Viorgon prostate, for prevention, I also added vitamin B17. Also, I continue taking Viorgon 08 (pancreas). Since the production of trypsin (an enzyme that destroys the protein shell of cancer cells, so that T lymphocytes can recognize and destroy the cancer cell) depends on this gland. I take the remaining Viorgons one by one for 2-3 months to support other organs and systems.

    I am 58 years old. There was pain in the knees and ankle joint of the right leg. Limped. Doctors diagnosed arthrosis. I took Viorgons according to aquaformula 01 and 21, 6 and 26. At first the pain intensified, I reduced the dosage from 15 to 5 drops per half liter of water. They said it was an exacerbation and we had to endure it. I endured it. The pain went away, and along with it the lameness.
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    After a single inhalation of Viorgon 28, the long-term cough with sputum completely stopped. The lungs are clear, there is no wheezing, and the sputum is full of leukocytes.
    Before this, I drank Viorgons 28 and 09, against the background of a large number of other flurevits. No effect. I added inhalation 01 to 28, sputum, if released, is liquid. Now I take it according to the following regimen: in the morning 28+01, in the evening 28+09. No allergies. I do inhalations so that the drugs immediately enter the bloodstream. Literally like intravenous injection. Not only to heal the lungs, but also for other organs.
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    Mom is 73 years old and has cataracts. On the recommendation of a friend’s doctor, they began to instill Vioftans 02 and 03. They continued dripping for about two months. Vision began to improve. We also ordered viaftans. We are waiting for the parcel. Thanks to Tamara for the tip. And Yamsky for their miracle drops.

    Marketing plan

    Colleague, We are happy to greet you!

    We hope you are interested in the opportunity to start working for a new network marketing company. After all, building a network business with AKLON is incomparably faster and easier than in the whole list of other companies represented in the ratings of MLM companies in Russia and the world. And incomes are much higher and more stable.

    Payments to the MLM network up to 60% of turnover.The "development bonus" is credited in real time.

    You will like the terms of cooperation of the TOP network marketing company AKLON:

    1. AKLON - young MLM company, created in 2015 with the support Russian Academy of Sciences. At the same time, the products are gaining popularity so rapidly that it is possible to create a structure with an income of tens and hundreds of thousands of rubles within a few months;
    2. No need to sell. The partner does not have to endlessly convince anyone how much better MLM products are than similar ones that can be purchased in other companies or stores.
    3. The product has no analogues. There is simply nothing to compare it with. But the rating of MLM products among consumers convinces any skeptic.
    4. turnover is not reset with the beginning of a new month. The achieved status, and with it the percentage level, are fixed forever.
    5. The company, in accordance with the network marketing plan, pays partners up to 60% of turnover, which allows you to receive decent payouts.
    6. AKLON supports each Partner with a “Development Bonus” in real time. Funds are credited to your account immediately after registering a new Partner in your MLM structure.
    7. "Turnover Bonus" and "Leadership Bonus" are paid monthly until 5th of the month, following the reporting one.

    This is a good, successful and best network business.

    The AKLON marketing plan involves two types of participation:

    Consumer Partner

    To become a Consumer, complete a simple and free application.

    Without investing You will get the following opportunities in MLM:

    To become a Partner, you must also purchase a “Business Pack” worth RUR 5,500
    Of which, RUB 4,800 is a one-time purchase of products and RUB 700 is the registration fee.

    Thus, You will get the following features And:

    1 Purchase the Company's products at the Affiliate price with a 33% discount on the entire product line
    2 Build your owny MLM structure Build your own MLM structure
    3

    Receive "Development Bonus" payments:

    RUR 250/$4 from each affiliate registration

    in levels 1-2-3

    Receive "Development Bonus" payments:

    RUR 500/$8 from each affiliate registration

    at levels 1-2-3 - “Development Bonus”;

    RUB 250/$4 from each affiliate registration

    at 4-5-6-7 levels - "Development Bonus"

    4

    up to 21% from the turnover of the structure in three levels

    Receive "Turnover Bonus" payments

    up to 35% from the turnover of the structure in seven levels

    5 -

    Receive "Leadership Bonus" payments

    up to 45% from the turnover of the structure

    6 - Receive the "Abundance Bonus"
    7 -

    Receive awards “For Consistency of Success”

    The purchase of a “Business Pack” (a one-time payment in the amount of RUB 700 and a purchase of products in the amount of RUB 4,800) transfers the Consumer to the status of a Partner, expanding the opportunities for making a profit from network marketing - all types of turnover bonuses and premiums become available.

    "Development Bonus"

    For registering Partners at levels 1-2-3-4-5-6-7 of your MLM structure, AKLON in “real time” credits to your account:

    • RUR 500/$8 - for registration in 1-2-3 levels with any number of partners in the first line;
    • RUB 250/$4 for registration at level 4, with 5 or more partners in the first line;
    • RUB 250/$4 for registration at level 5, with 7 or more partners in the first line;
    • RUB 250/$4 for registration at level 6, with 9 or more partners in the first line;
    • RUB 250/$4 for registration at level 7, with 11 or more partners in the first line.

    "Turnover Bonus"

    “Turnover bonus” is an accrual in the form of fixed percentages of the amount of purchases of all participants in your structure (Consumers and Partners) for a depth of 7 generations of network marketing in the following amounts:

    Levels of your structure

    from the back of the structure, if you are a Consumer

    Fixed interest payments

    from the back of the structure, if you are a Partner

    1 10% 10%
    2 7% 7%
    3 4% 4%
    4 - 4%
    5 - 4%
    6 - 3%
    7 - 3%

    "Leadership Bonus"

    The “Leadership Bonus” is equal to the difference between your percentage rate and the rate of your first generation partner, based on the volume of group turnover (GP) of which the bonus is calculated, multiplied by the GP of this participant for the reporting month.
    At the beginning of your activity, the growth of the Rate is affected only by the Cumulative Group Volume (CVO); these achievements assign guaranteed Rates to you to receive the “Leadership Bonus”.
    After achieving the “Director” Status, you are assigned a Rate of 15%, and now, to assess the size of the monthly “Leadership Bonus”, the results of the monthly turnover of your MLM structure, expressed in monthly Group Turnover (GO), are taken into account. 1 point = 2 rubles.

    MLM status

    Bid, %

    NGO, points

    GO, points

    Consultant 6 25 000
    Manager 9 100 000
    Top manager 12 300 000
    Director 15 750 000
    Director 1st rank 18
    100 000
    Director 2nd rank 21
    300 000
    Director 3rd rank 24
    750 000
    Director 4th rank 27
    1 650 000
    Director 5th rank 30
    3 300 000
    Director 6th rank 33 6 000 000
    Director 7th rank 36 10 000 000
    Director 8 rank 39 16 000 000
    Director 9th rank 42 24 000 000
    Director rank 10 45 34 000 000

    "Abundance Bonus"

    “Abundance Bonus” is a special savings fund, the funds of which are spent on paying for the purchase and rental of housing, the purchase, rental and operation of a car, tours and travel of all MLM Partners with a status of at least “Director of the 3rd rank”.
    The “Abundance Bonus” fund receives funds from the turnover of seven generations of the Partner’s personal structure in the amount of 1,000 rubles for every 50,000 turnover points.

    Council Award "For Sustainability of Success"

    Every time a Partner with the status of “Director” maintains the achieved result of seven generations of GO, specified in the conditions for receiving the “Leadership Bonus”, during the “Period of Stability”, the company rewards this network marketing participant with a special memorable gift and a valuable prize.
    For reaching a new level, the participant also receives a special distinctive sign as confirmation of universal recognition of his professionalism and success.

    The “stability period” for different Statuses in MLM is different and amounts to:

    1. For Directors 1, 2, 3 ranks - one month.
    2. For Directors 4, 5, 6 ranks - three months.
    3. For Directors of 7, 8, 9, 10 ranks - six months.

    In addition to the distinctive sign for the different ranks achieved, valuable gifts, paid trips, ceremonial banquets, and special prizes are attached by decision of the AKLON Council. The Award “For Consistency of Success” is awarded only once, upon the first achievement of a new Status.

    Advantages of the network marketing company AKLON:

    1. AKLON — fast growing MLM company, representing unique innovative products created on the basis of the latest developments in the field of bio- and nanotechnologies with the support Russian Academy of Sciences;
    2. You can become a Partner of an MLM company without investing your own funds;
    3. With the beginning of the development of your structure, you you will immediately start earning income;
    4. Remuneration for the "Development Bonus" is paid in real time.
    5. The company's products are unique. These are not just another “completely different” washing powders, dietary supplements, vitamins or perfumes. Millions of people around the world have already been convinced of the effectiveness of the basic product, which in translation means “Liquid that regulates life.” The action of Flurevits is based on their unique ability to stimulate restoration and repair in organs and tissues changed as a result of any pathology or aging, as well as to activate cellular sources of regeneration.
    6. Once you start, you will see that the MLM business strives for self-expansion, that is, it builds itself.
    7. Created by MLM partner structure turnover is not reset with the beginning of a new month. The achieved status, and with it the percentage level, are fixed forever.

    And the most important thing. Our products really help people!

    Marketing plan of the company "ACLON"

    International marketing plan of the company "ACLON"