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Affiliate Marketing or Network Marketing? Key Distinctions
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[QUOTE="ambitions, post: 326517, member: 104528"] In the realm of online marketing, affiliate marketing and network marketing are often confused, but they have clear differences: [B]1. Business Model:[/B] [LIST] [*][B]Affiliate Marketing:[/B] Affiliates promote products for a commission, operating independently. [*][B]Network Marketing:[/B] Distributors sell products, recruit others, and earn from both their sales and their recruits' efforts, forming a network. [/LIST] [B]2. Compensation Structure:[/B] [LIST] [*][B]Affiliate Marketing:[/B] Affiliates earn commissions based on sales or actions, without recruiting others. [*][B]Network Marketing:[/B] Distributors earn from their sales, recruit bonuses, and commissions from their team's sales. [/LIST] [B]3. Control and Independence:[/B] [LIST] [*][B]Affiliate Marketing:[/B] Affiliates work independently, choosing products and marketing methods. [*][B]Network Marketing:[/B] Distributors are tied to a specific company, subject to company policies. [/LIST] [B]4. Risk and Investment:[/B] [LIST] [*][B]Affiliate Marketing:[/B] Low upfront costs, primarily focused on marketing efforts. [*][B]Network Marketing:[/B] Requires initial product purchases and potential ongoing inventory costs. [/LIST] In a nutshell, affiliate marketing offers more independence and lower risk, while network marketing involves building a team and carries higher initial investments. The choice depends on your goals and comfort with each model's unique features. [/QUOTE]
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