Retail Profit is the first income in a MLM Marketing Plan. It ranges from 20% to 30%.
Let take for example: a product cost at $198.00, customer price (C.P) and you, as distributor buys at $165.00, which is at a distributor price (D.P)
When you sell that particular product to a customer at $198.00, you make a profit of $33.00 ( which is 20% profit )
A MLM company may have a wide range of product line, and the percentage of retail profit defers from one product to another.
Some distributors likes to sell. They make their profit from selling.
Tips:-
To join a MLM company, one will have to pay a Membership fee. Most MLM companies requires a membership fee. A new prospect may initially sell the products to earn the profit. From the profit earned, they sign up as a distributor under you.
If the membership fee is $50.00, then he/she will have to make 2 sales of the above product.
Authored by kevinn on 19th June 2009
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