The 6 Reasons Why Network Marketing is growing Around the World


Many people would love to have their own business. After all, half of all millionaires own their own business. The motivation to “do your own thing” is very strong in many people but the risks can be off putting. Working for yourself is common place in the developed world.

But there is a world of difference between being self-employed and having a business that will survive without your personal effort.

There is a way of minimising risk and maximising the potential for reward by partnering with a Multi-Level or Network Marketing business. If you have the desire to do your own thing but lack the resources to start a conventional business, then Network Marketing might be for you.

We’re Sue and Nigel Booth and we decided to start doing this blog because of the common misconceptions about what Network Marketing is, and what it isn’t.

The challenges people face in becoming successful in network marketing are common to everyone. Our experience may help you, and we promise we will tell you the upside and the downside. BUT we know there is more up than down, if you understand the game and learn how to play it. Hopefully we can explain it to you in ways that will give you the confidence to look deeper, and seriously, at what is on offer.

So let’s start with the reason why it is a growing business method and what if offers to someone wanting to do their own thing.

How We Got Here

A little history always helps to understand how we arrived where we are now. Network Marketing is now the favoured name for what started out being called Multi-Level marketing. But in simple terms it is just a distribution method. It first came into being in 1945 used by Carl Rehnborg who started California Vitamins.

What is revolutionary about it is it offers an income opportunity to ordinary people wanting to create a business of their own by distributing a product, and it creates a customer base that self-duplicates for the company because the distributors find new people to take up the opportunity. Out of this came Amway in 1959 and the rest is fairly well known. Over the last 70 years the Multi Level Industry has become a global business method, embraced by entrepreneurs from all cultures.

The latest 2014 data from the World Federation of Direct Sales Associations , shows the industry is now globally valued at $182bn, and growing at 6.4% per year. Some 90 million people are selling products using network marketing methods and making money doing it. So, why is there such growth and why are so many companies now using this method?

1.   The Economy

Perhaps it should be called depression. The 2008 crash created massive uncertainty, and in almost all advanced countries real incomes went down and unemployment rose. What is clear is that there is no certainty of employment, and wages for most people are not enough to support a decent lifestyle.

debt illustration

Personal debt in the UK is a mind boggling £1.436 TRILLION at the end of May 2015. This is UP from £1.407 trillion at the same time in 2014 (Source: The Money Charity) People are worried about their long term security and many are seeking new ways to create an income. Network Marketing is an obvious choice.

Real incomes have been falling! What is clear is that people are worried about how they will pay down their debt and Network Marketing offers a flexible way to increase income whilst paying the bills from the day job’s income. It’s also a way of hedging an income against the potential for redundancy.
Home Ownership

Recent news is indicating that buying a home is nigh on impossible for people under the age of 40, meaning that if you don’t own a home already the likelihood is you never will. Having an additional income and the extra protection of an income generated by a Network Marketing business can provide the security and extra money you need to buy somewhere.

Network Marketing can produce really substantial incomes if done in the right way. We’ll show you how.

2.   Population


The UK has a population of over 64 million people and climbing. It is expected to reach 70 million by 2027. (Source: Office of National Statistics) and the wider population is growing more quickly than people are becoming distributors, so the opportunity is widening. As for the rest of the world it is just the same almost everywhere. If anything ASIA offers even greater potential. They are hungry for success, growth and they are natural entrepreneurs.

People are working longer than they ever have. The retirement age has been raised and anyone imagining they can live on just a state pension without lots of savings, would quickly find it impossible.

Many older people want something part time to keep them busy and produce a top up to their pension income.

The Richest, Biggest Market Ever

Between 1946 and 1964 there was a boom in births. The so called, Baby Boomer generation is retiring right now. It is healthy has money to spend and is prepared to try to stay that way. It is a perfect market for the Network Marketing companies who sell supplements and many of these people also want to make some more income to help out the children they have who can’t get on the property ladder.

Many of those Baby Boomers have children who get exposed to the potential fo network marketing business through their parents. The trend is very definitely for younger people to enter the industry to add to their income and create independence. For those of us who have been in this business for a while we know how liberating the potential is.

Working for someone isn’t going to make you rich


Most people understand that working for someone really means exchanging their time for money. If you don’t work you don’t earn. A successful network marketing business pays whether you work or not, much like a royalty or a pension plan. More on this when we look at the way the numbers work in another post.

The only way to increase income is to increase your skills and therefore your value to an employer, or create your own income and set it at a level in line with your lifestyle expectations. If you are anything like us working for someone can be really tiring, especially of you think you are undervalued and overworked.

A Mintel survey showed that 65% of people go to work to get paid. We took the view that working just to get paid wasn’t good enough, we wanted independence and choice, so we chose a career in network marketing.

3.   Technology , The Internet and Social Media

social media tree

Never has it been easier to communicate ideas with people. The World Wide Web has changed the game.

Facebook has changed it again. You can set up a business page on Facebook in a heartbeat, the potential to use this as a method to build a business across the world is massive. We’re going to show you how in another post.

And the Smart phone is doing it again. More than 50% of surfing is now done on a smart phone, showing people how to take advantage of opportunity has never been easier. Educating people about how to gain the skills to make things happen has never been easier either.

The World is Your Oyster

Oyster word

Now you can reach people you don’t know easily and cheaply anywhere on the planet. This means you don’t have to use the old fashioned way of sharing your business idea with all your friends and family, which used to put a lot of people off the idea. We’re going to cover how to do this in a future post.

4.   Companies Love Network Marketing because Distribution is Cheaper


A company choosing to use a network distribution method saves money by not paying the middle man. This results in a typical saving of around 50% of what it would pay using a traditional distribution method. This saving is often put partly towards product development and partly into profits.

Also the company spreads its risk across many, many sellers of its products meaning it can directly test product relevance and demand through the network. This makes for easier communication and product innovation.

5.   Media

thumbs up gesture

A further impact of the internet is it is very easy to find the get rich quick scammers, but and more importantly, there is a lot more positive press about Network Marketing and there has ever been. Thanks in part to better regulation and an influx of professional people choosing to use Network Marketing as a first career option.

There has been huge amounts of material written about Network Marketing industry in the last few years. Many very successful business people and political leaders have endorsed the principles of a direct sales business which is what Network Marketing actually is. There is a lot of professionally written self-help material written to help people coming into Network Marketing to gain the skills needed to make a successful business.

6.   Growth trends


As the industry matures it’s becoming more and more considered as a career option because of the flexibility it provides in terms of the time you can work, where you work and with whom. Over 90,000,000 people around the world have chosen it, and with the emergence of the Far East as the driver of the world economy this trend is set to continue. The fastest growing Network Marketing countries are China Malaysia.


Network marketing offers huge advantages over going into conventional business, you need a small amount of money and the risk is very low. Actually the real risk lies in it being such low risk because it makes the fear of losing the investment pretty low too.

Perhaps the simple test is whether you feel like you have more to give and more to receive. If what you do now is not going to deliver on all the dreams you have, there is no time like the present to look harder.

We are always going to give you the positive aspects about Network Marketing. So comments are welcome.