The pandemic situation has severely hit economies everywhere. Many companies were forced to downsize and let go of employees. This has forced the unemployment rates to an all-tiACme high. People everywhere are going through severe economic crises. MLM businesses have surfaced as an unlikely savior during these testing times. Forced to stay at home and unemployed, many people have turned to multi-level marketing companies to earn their livelihood. These companies provide the option for people to work for themselves, without much startup cost, and work from home in the middle of the pandemic. Let’s have a look at how MLM gives opportunities to the unemployed in the pandemic.
MLM in the pandemic
MLM has traditionally thrived during economic slowdowns. People are more likely to seek out alternate sources of income during times of economic uncertainty. The pandemic could have been damaging for an industry that thrived on mega events and one-to-one marketing. But the MLM industry has reinvented itself to deal with the setbacks of the pandemic. The COVID-19 pandemic has served as an incentive for the digital transformation which has been long coming in the business. The transition from offline to online has happened in every level of multi level marketing companies during the pandemic. The strengthening of the digital capabilities of the industry will have huge short-term and long-term benefits.
Making the most of the latest technological advances, marketers made their digital events global and virtual meetings more frequent. Over the years, MLM companies have developed a wide network of distributors which has helped deliver products to the doorsteps of customers even during the pandemic.
As the ways and norms of doing work changed, many new challenges also came up. New ways had to be found to keep in contact with members and boost their motivation. Network marketing is a team business and the performance of each member affects the income of everyone. But it is hard to create a solid team when members can’t see each other face-to-face. Extra effort was put into virtual team-building activities. MLM companies have made good use of online tools and platforms to develop team strength during the pandemic. Also, the implementation of MLM software made it easier for companies to manage their network.
Over a hundred and twenty million new recruits stepped into MLM business in 2020, the peak pandemic year. This was a 4.3% increase from the previous year.
Top MLM products in the pandemic
Health, wellness, cosmetics, personal care, home care, clothing, accessories, etc have always been the top MLM products. You can see that the top MLM companies such as Amway, Avon, Herbalife, Mary Kay, etc belong to these categories. The pandemic situation has elevated the health-consciousness of the general public. There has also been a stay-at-home self-care trend on the rise attracting people to more personal care products and cosmetics. People spending more time at home has also boosted the sales of household goods and durables.
The health and wellness sector was the most popular among MLM products with sales of over 64 billion dollars. Personal care products and cosmetics came in second with over 46 billion dollars in sales. Household goods and durables, and clothes and accessories were the next popular products.
Top MLM markets like the USA, Germany, and Korea all experienced growth in sales compared to the previous year. But China, the country with the second largest MLM market, suffered a dip in sales. This could be attributed to the severe effects of the COVID-19 pandemic in the country.
Onboarding new members to the company is an integral part of any MLM business. The details of the company, products, sales tactics, etc, and much more are discussed during these sessions. Earlier, workforce onboarding was done as a combination of training sessions, mega events, and one-on-one mentoring. But it is impossible to replicate all of this during a pandemic situation. MLM companies have taken a more centralized approach to workforce onboarding now. All the processes have shifted online through learning platforms or MLM software.
Online learning has enabled companies to take a more personalized approach to employee training. Text, audio, and video content are used to pass information to trainees. It is also important to provide human support to trainees as centralized training material can sometimes be too inflexible and they will also need to clear doubts and maintain motivation. MLM companies have also made the most of the latest technologies to keep teams connected.
Multi Level Marketing and Unemployment
There has been a shortage of skilled workers globally in the last few years. The pandemic situation has only increased the unemployment crisis. Creating enough jobs for the ever-increasing global population is one of the biggest challenges of the 21st century. Most jobs created today require the latest skills that many do not possess. Entrepreneurship is one of the most plausible solutions to the unemployment crisis. And the best way to step into entrepreneurship in today’s situation is through network marketing.
The pandemic period registered steady growth in the number of new MLM members. Many inactive members have also come back to the business. Those unemployed during the pandemic are using the network marketing to earn a livelihood and those who suffered pay cuts have a supplementary income. Stepping into the world of MLM will provide people with improved self-esteem, communication skills, business understanding, entrepreneurial skills, money management, and selling experience. These are 21st-century skills vital for your career growth in the modern employment landscape.
Even though the pandemic has prevailed for nearly two years, it is not a permanent situation. Things will be back to normal soon. But it has changed some things forever. This business will continue to flourish even after the pandemic restrictions are long gone. The return of one-on-one meetings, group training sessions, and mega events will certainly boost the business. Recruitments will become more dynamic as there are no restrictions on meetings and gatherings. The newly found work from home compatibility and digitization of the business will attract many more of the new generation to the business. With MLM software to manage members from any part of the world, the business has a bright future ahead. Visit infinitemlmsoftware.com to check out network marketing software with all the latest features.