Talk:Multi-level marketing

POV fork merger discussion

Direct selling is basically just a WP:POVFORK of this article. In fact, both articles explicitly state that they are the same thing. —CodeHydro 01:48, 30 August 2010 (UTC)

Actually, per Retailing By Patrick M. Dunne, Robert F. Lusch direct selling and multi-level marketing are two different things--direct selling is the distribution method while multi-level marketing is one of several compensation plans used in direct selling. Sadly the number of sources that confuse the two far outnumbers the sources that correct the misunderstanding.--BruceGrubb (talk) 04:25, 30 August 2010 (UTC)

Well both articles will have to clarify that information, though we'd need an example of a case of direct selling that is not multi-level marketing, otherwise the distinction is merely hypothetical and too liable to POV forking to be worth a second article. —CodeHydro 12:20, 30 August 2010 (UTC)

Hmm, here what I found: Of the companies under the Direct Selling Association, 99.6 percent of sales involved some form of multi-level marketing compensation in 2009, according to the DSA website. The distinction really seem negligible, but I'll let others have their opinion. —CodeHydro 12:37, 30 August 2010 (UTC)

Amway back in the 1970's said that there was a multi-level form of direct selling ("Person to person" sales plans... "dream" opportunity or business nightmare? LIFE Feb 27, 1970). "Why Direct Selling No Longer Works" gives an insight to the ultimate decline of direct selling--the long tail method makes such a business model ineffective to moving products to consumers at the lowest price possible.--BruceGrubb (talk) 09:28, 2 September 2010 (UTC)

Agreement. They are one in the same. One is just newspeak for the other. Plenty of sources available. What more do we need to merge these two? Micahmedia (talk) 03:30, 3 September 2010 (UTC)

Nonetheless, I must say that there are very very few Direct Selling companies that do make single-level marketing sales. Perhaps adding a section in the direct selling that describes both single and multi level marking, with clear indication that direct selling involved multi level marking in the vast majority of cases, may be an easier solution than merging... just to give the 0.4% of single-level sales a voice without directly associating them with the negative connotations of pyramiding. What do you guys think? —CodeHydro 21:36, 3 September 2010 (UTC)

Unless anything is found saying this that is both recent and reliable I say eliminate the direct marketing article.--BruceGrubb (talk) 17:11, 17 September 2010 (UTC)

I do quite a bit of work with the direct selling industry, and I can tell you that combining the "direct selling" and "multi-level marketing" (MLM) pages would be a mistake. Direct selling is a sales channel (or product distribution method), comparable to traditional retail outlets, internet shopping, and the like. MLM is a compensation system, more analogous to bonuses, commissions, profit-sharing, etc. While many direct selling companies employ an MLM compensation system, not all do. The two terms are simply not synomymous. —Preceding unsigned comment added by DCFlyer23 (talk • contribs) 18:36, 17 September 2010 (UTC)

Sadly we need a realible source that tells us this. So far the majority effectively say they are the same thing.--BruceGrubb (talk) 07:25, 22 September 2010 (UTC)

MLM you must: pay to join, you can never make more money than the person 'above' you and products are not sold to the general public eg no advertising through media, need to buy 'through' someone or have membership.

Direct Selling companies do not usually do any of these and generally work in with larger companies that use it as a suplement to the rest of their marketing/advertising eg launch a new product through media advertising, then making use of a direct sales company to follow up.