A glossary of network marketing terms
Distributor
This is the person who is running a network marketing business, seeking to give others the opportunity & selling the product to customers.
This term varies a lot with each company. Distributors can also be referred to as consultant, member etc…
Personal Volume
Amount of Volume of products bought by an individual or distributor. Because many direct sales companies work in multiple countries with various currencies, policies are set in terms of volume purchased instead of monetary amounts.
Spillover
In Binary Compensation Plans this rfers to when a distirbutor has more than 2 in the front line. Since Binary Plans exepct only 2 in the front line, spill over refers to moving more distributors into the the frontline of memebers in one’s downline
Sponsor
The individual who recruits a given distributor into a network marketing company.
The sponsor is the first node of a distributor’s upline, and then that sponsor’s sponsor is the second node.
Upline
The network of sponsors that previously that sponsored a given distributor.
A given distributor has a sponsor who also had a sponsor – this chain is the upline.
Wholesale Customer
Most companies will provide benefits for routine customers of a distributor.
There are various benefits like easier orders, auto-shipped orders, or better pricing.
There are different methods for becoming a Wholesale Customer including membership fees, registering with the company or setting up autoship.
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