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The internet has created a world of opportunities for people to make money online.

There are many different ways to do this and some methods are more reliable and lucrative than others. 

Two of the most popular methods are Multi-Level Marketing (MLM) and affiliate marketing.

With MLM, you have a company that sells a product or service and are compensated based on how much product you sell.

Meanwhile, with affiliate marketing, you are promoting someone else’s product or service, and are compensated based on sales.

Both are excellent ways to help you earn extra income online, but which one do you think is better?

MLM vs Affiliate Marketing: How Are They Different?

When people think of MLM and affiliate marketing, they often think of the same thing – a company selling a product to consumers by getting other people to buy the product as well.

But there are actually a lot of differences between the two methods. 

In this section, I will try to compare the two methods to help you decide which one is better for you, and why. 

What is MLM?


MLM has exploded in popularity over the past several decades.

MLM, or Multi-Level Marketing, is a business model that allows independent distributors to sell products and services through a network of other distributors.

These networks can be built online or in person.

The idea behind MLM is that by recruiting new members into the network, distributors can increase their income by earning commissions on the sales of their recruits. 

This can be a great way to make money online while building a residual income stream.

However, since it is based on recruitment rather than product sales, they can be difficult to sustain and often result in high rates of participant turnover.

Pros and Cons of MLM


  • MLMs provide a way for participants to own their own businesses.
  • MLMs constantly provide lots of trainings
  • It can be a good source of extra income.
  • They offer a way for people to work from home. 
  • MLMs are a great opportunity to network with other people. 


  • Some MLMs are pyramid schemes that scam participants out of their money.
  • Most MLMs require a significant investment up front for little return potential.
  • It can be difficult to make sales, especially if you don’t have a lot of contacts or aren’t very good at selling. 

Is MLM the same as a pyramid scheme?

The main difference between MLM and pyramid schemes is that MLM companies sell products or services, while pyramid schemes do not.

With MLM, participants can make money by selling products to customers and by recruiting new members to sell products.

Pyramid schemes, on the other hand, pay participants mainly for recruiting new members into the scheme.

They are illegal in many countries because they are often scams designed to take advantage of people.

MLM is not illegal, and most people who participate in it do so honestly.

However, there are some MLM schemes that are pyramid-like in nature, and these can be risky for participants.

Are MLM and direct selling the same?

Many people use the terms MLM and direct selling interchangeably, but there are some subtle differences between the two models.

Direct sellers usually earn a commission for every product they sell, while MLM participants can earn money from the sales of products they sell as well as those sold by people they recruit into the program. 

Direct selling is often seen as a more traditional way to sell products, while MLMs are often associated with pyramid schemes.

Watch the video below to learn more about MLM

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What is Affiliate Marketing?

affiliate marketer

Affiliate marketing is one of the easiest ways to make money online.

It’s a simple process where you promote someone else’s products or services and earn a commission for every sale that you make.

Plus, you don’t need to create your own products or services, and there’s no need to deal with customers or shipping.

All you have to do is promote the products or services of a company and send traffic to their websites.

You can find a variety of affiliate programs to join and promote the products or services of other businesses through your own website or blog.

Whenever someone clicks your affiliate link and makes a purchase, you earn a commission.


Pros and Cons of Affiliate Marketing


  • Affiliates don’t need their own products or services to get started.
  • It’s a low-cost way to start a business.
  • There is no limit to the amount of money an affiliate can make. 
  • Affiliate marketing can be done from anywhere in the world. 
  • It’s a great way to earn passive income.


  • It can be difficult to find good affiliate programs that fit your niche.
  • It can be difficult to generate traffic and sales with affiliate marketing alone.
  • The competition is high, so it can be difficult to stand out from the crowd.

How much commission do affiliate marketers make?

Affiliate marketing is a type of performance-based marketing in which a business rewards affiliates for each visitor or customer brought by the affiliate’s own marketing efforts.

CJ Affiliate, Rakuten Marketing, and ShareASale are some of the most popular affiliate networks.

Affiliates typically earn a commission based on the number of people they refer to a company’s site.

Commission rates often vary depending on the type of product or service being sold. 

Some programs offer a flat commission rate, while others offer a percentage of the total sale. 

Many products offer a commission rate of around 3-5%. However, some high-ticket items can pay out commissions as high as 75%. 

To put it simply, if you can generate more sales for the company, you’ll get higher commissions.

Is affiliate marketing easy?

Some people seem to think that affiliate marketing is easy and that all you have to do is put a few links on your website and you will start making money.

However, this is not always the case.

Affiliate marketing is a very competitive field and it takes a lot of hard work and dedication to be successful.

You need to be able to create quality content that will attract the attention of your readers and make them want to click on your links.

If you are willing to put in the hard work, then affiliate marketing can be a very profitable venture for you.

Is there any limit on affiliate marketing?

There is no limit to what you can achieve in affiliate marketing.

You can make as much money as you want, as long as you are putting in the work.

In fact, many affiliate marketers have become successful in this industry.

Affiliate marketing takes time and effort to be successful, but if you are dedicated, you can make a lot of money.

The main difference between MLM vs Affiliate Marketing

The key difference between MLM and Affiliate Marketing is that MLM relies heavily on recruiting new members and selling products in order to generate income, while affiliate marketing does not.

With affiliate marketing, affiliates are paid based on the sales they generate for the company, regardless of how many people they recruit into the program.

Affiliate marketing is also more passive since you can make money without doing much work once your website is up and running.

This makes affiliate marketing a more sustainable and less risky business model than MLM.

Although MLM can be more lucrative than affiliate marketing, it is also more difficult since it takes a lot of time and effort to build a successful MLM business.

Which one should you choose?

If you want to earn money while you sleep, we highly recommend getting into affiliate marketing.

With affiliate marketing, you can make money online, and it’s a lot less stressful than MLMs since you don’t need to recruit people into the program.

You simply find a good product to promote, and then you start making money.

With MLM, you are not only responsible for promoting the product, but you also have to recruit people into your team – this can be difficult and time-consuming.

It can also be expensive because you have to buy into the company in order to become a distributor.

Affiliate marketing is a much better option because it is simple and low-cost.

How do you get started with affiliate marketing?

If you’re looking to break into affiliate marketing, there are a number of great online courses that can help guide you.

One of the best is the “Master Affiliate Marketing to $10K” course offered by the person behind the Master Sales Funnels blog, Justin Coleman.

The course itself offers a wealth of information on how to get started in this business, starting from the basics to advanced techniques.

It is designed for both beginners and experienced marketers alike and provides all the tips and tools that you need to be successful.

Plus, it’s not just like any other online course out there since it comes with lots of bonuses to help you succeed.

If you want to learn more about our online course click here.

Affiliate Marketing Course
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