Multi-level marketing (MLM) companies encourage existing distributors to recruit new distributors who are paid based on sales. Amway is the largest MLM company, selling $8.8 billion in products in 2018 across 100 countries. It offers over 450 products like nutrition, beauty, and home care items. Oriflame is a Swedish MLM company operating in 62 countries with $1.6 billion in annual revenue, selling skincare, cosmetics, and perfume products through over 3 million distributors. Avon is the second largest MLM, with $5.7 billion in revenue in 2016 and over 6.4 million representatives mainly selling women's products in 100 countries.
AI-Powered Personalization: Principles, Use Cases, and Its Impact on CRO
Marketing Managementt
1.
2. MULTI - LEVEL MARKETING
COMPANIES
SUBMITTED TO:- SUBMITTED BY:-
DR. SUBODH NALWAYA PRIYAL AGRAWAL
ASSOCIATE PROFESSOR (K16918)
COMMERCE & MANAGEMENT DEPARTMENT BBA (HONORS)
2ND YEAR/4TH SEM
3. INTRODUCTION
It is also referred to as Network Marketing or Direct Sales.
Multilevel Marketing, or MLM, is a system for selling goods
or services through a network of distributors.
Multilevel marketing (MLM) is a strategy some
direct sales companies use to encourage existing distributors
to recruit new distributors who are paid a percentage of their
recruits' sales. The recruits are the distributor's "downline."
Distributors also make money through direct sales of
products to customers. Amway, which sells health, beauty,
and home care products, is an example of a well-known
direct sales company that uses multilevel marketing.
4.
5. Amway is still by far one of the biggest direct selling companies in
the world. The US-based company sold products worth $8.8 billion
in the year 2018.
The company is present across 6 continents, in 100 countries,
17,000 employees, 1000 scientists, and engineers for Research &
Development. It is the #1 Multi-level Marketing company in the
world.
Amway offers well over 450 high-quality products for categories
like Nutrition, Beauty, Home Care, and Energy + Sport.
The brand name Nutrilite offers Some of the most popular
products. Nutrilite is the trademark of Amway.
There are over 3 million people who are earning money by
becoming an affiliate for Amway. There are no other MLM
companies that have paid bonuses and cash incentives consistently
for 60 years to its affiliates like Amway.
Moreover, Amway also offers skill-building support to new direct
sellers. It has got a great community of mentors and learning
resources.
AMWAY
6. ORIFLAME
Oriflame Holding is a Swedish Network
Marketing company established in the year 1967
by Jonas Brothers and Robert Jochnick.
This Company is located in 62 countries with
7500 employees and 100+ researchers working
for it. The company’s revenue in 2017 was
approximately $1.6 billion.
Most of the sales for the MLM companies like
Oriflame come from Skincare 29%, cosmetics
19%, and perfume 18% products.
The company sells its products in 60 markets
through a network of over 3 million independent
distributors.
7. AVON
Avon Inc. is the worlds’ 5th largest beauty
company and 2nd largest Multi-level Marketing
company after Amway. In the year 2016, the
company revenue stood around $5.7 billion.
David McConnell founded Headquartered in
London Avon way back in 1886. Avon has over
25,000 employees spread across 100 countries
with Brazil as its largest market.
Avon products are more women-oriented with
Popular brands like ANEW, Avon Color, Skin So
Soft, etc.
The company has over 6.4 million representatives
mainly women who sell products on their behalf.
To become a representative you have to pay a
nominal fee upfront and join the company.
8. YOUNG LIVING
Young Living is a network marketing company
based in Utah was founded by Donald Gary
Young in 1993. Currently, the company is worth
around $1.5 billion.
The main products that the company sells are
essential oils. There are dietary essential oils for
adding flavor to your food and massage oils that
can be applied to your body.
Apart from essential oils it also sells nutritional
supplements like NingXia Red, Slique, etc.
Young Living employs thousands of independent
distributors who can sell directly to customers
and earn commissions.
9. TUPPERWARE
Tupperware is an American iconic plastic
container making company which was founded in
the year 1948 by Earl Tupper in Massachusetts.
Since then Tupperware manufactures and
distributes its products in more than 100
countries under the parent company Tupperware
Brands.
The company has over 14,000 employees and
revenue of $2.3 billion in the year 2017.
Tupperware markets its products with the help of
2 million direct salespeople on contract in 100
countries.
Some of their popular brands are Tupperware,
Avroy Shlain, Fuller Cosmetics, NaturCare, etc.