In the 21st century, in the era of Internet and Google, information is on the tip of common people. Any person can check the difference between two same products provided by 2 different brands, any person can check users’ views from all across the world from one single touch on their smart phone. We are on the verge of an era where competition is the most advantageous for customers in terms of quality as well as in pricing.
So if any business wants permanent customers or positive reviews for products they are offering or they don’t want to be held up in bad publicity for the products and/or services they are providing, there is only one option “Quality”.
There is no way you can deceive people for long time for bad quality of your product.
Importance of Quality in MLM Business:
MLM Industry is now recognized by Government. Ministry of consumer affairs have provided guidelines for it as well which is giving everyone equal opportunity in spite of size of MLM companies. General consumer understands very well how high margin package price MLM Companies are providing in their offerings. So time has changed, now people knows and understand “Cheap Quality products” when they see one.
So if any MLM Company wants to grow big and to do big business in India, They must have “Best Product Quality and best service Quality”. Otherwise MLM Companies will always struggle to grow and continue to being shut down because now MLM Companies cannot deceive people with bad quality and services.
Problems regarding quality products in MLM Business and reason for the problem:
Let’s go from basics. As we discussed earlier in our previous article, How online education is changing MLM industry, there are 2 basic needs of any MLM company :
- Enough profit of a company
- High distribution for attractive business plan
To fulfill both of these needs, companies needed to purchase low price physical products. Because if anyone wants to purchase a good quality product in low price, they have to purchase these products in bulk quantity. But many MLM Companies, who are just about to start up may don’t have that much money to purchase in bulk so they purchase low quality physical products in low quantity and sell it in over price or in market rate of similar high quality product. So actual value proposition is very low than selling price of product of MLM Companies.
How concept of Online education product works? And how this product is for everyone?
The concept of virtual product is simple: Develop the quality content or services of decided quality parameters with the necessary investment once and once developed, sale it in nominal price to general users. For an Example: Microsoft invests billions of dollars in development of Windows 8 or 10 or any other operating system and then sells it in nominal price of 100 $ to 150$ to single users.
Once the company recovers primary investment, then they start earning profit with zero product cost and without doing any compromise in quality of the product. So end customer gets a very high value product in very nominal price.
Online education product is a product based on virtual product concept in which the courses of which education is being provided will be online. Right now in MLM Industry, this is the only product which is being served on ‘Product as a service model’. Let’s understand product as a service model. MLM Companies or their service providers invests their own large amount of money to develop a decided quality content one time as a product and then they provide it via their portal and/or app as a service to general users in nominal price so that users won’t need to pay the high price for quality content and quality won’t be compromised with the criteria of the targeted market can afford it or not.
MLM Company just have to invest one time for setup and after the setup, MLM Company can sell its access to as many people as it wants and don’t need to pay extra for each sale. From some initial sales, MLM Company will recover their investment and after that, profit margin for MLM Company in every single sale is 100%.
So user is getting Quality product. More quality than the payment. MLM Company is getting much more profit than they get in physical products. Associates are getting high incentives because it’s a virtual product and so company is doing more profit and can afford to distribute more incentives into associates.
So this product is win-win for both MLM companies and their customers.
Is there any other product that can do this?
Now the biggest question: Is this product is for everyone? Yes, this product is for everyone, person from every age group, person from any professional background.
This product is useful for housewives and senior citizens as well.
So we can say, this product is for everyone and MLM companies can target much larger market segment with this product.
How it’s providing quality and user satisfaction?
As we know, Online education product is based on concept of virtual product, in which there is no need to produce product again and again. Service provider of the product invest money once in developing product with High quality parameters in mind. Once the product is developed, it can be provided to as many users as they want to. But the quality of the product will be same for every user, it will be the same as it was on the time of development of product.
So each and every user can take advantage of high quality of product. They can use it on their terms, according to their convenience.
Still if you are wondering you can make your users happy by providing them online education product, or you want to start providing new age Online education product to your users instead of old age physical products or other products, please feel free to contact us from HERE.