MLM stands for Multi Level Marketing. The word itself tells you that there are various levels of people involved here. When you join into the network, you are becoming part of someoneís downline. For you, these people who are present already and are at levels above you are part of your upline. Then, as your enterprise kicks forth and you manage to bring new people into the venture, they become your downline. For them, you are the upline! So, for you, you are at the center of the MLM network ñ the people above you are your upline and the people below you are your downline.
But remember one very important thing ñ the upline and downline do not stretch indefinitely. All MLM programs are commission based. Whenever a person in the network makes a sale, the commission is earned by members in the upline. There are some levels of members that will earn commissions. Suppose you make a sale. In that case, a commission of that sale will be earned by the members in your upline. But to how many levels? Not all. The commission may be applicable to about three to five levels of members above you, which will depend on the policy of the MLM company. So only these members are in your upline. The members who are higher than these are not in your upline.
It works in a similar manner for downlines. You may get commissions for the sales made by three to five levels of people below you, but not lower than that.
Of course, different MLM companies have different rules. Hence the limitation on the upline and downline will also differ. This should actually be one of the most important criteria for selecting your MLM opportunity ñ choose one that has more levels of upline and downline.
Now, your greatest attention when you are in an MLM opportunity is to move upward in your own upline. How do you do that? You cannot physically dislodge the members that are already in higher positions. But when you increase the size of your downline, you automatically gain a higher status. From a Gold Level member, you might become a Platinum Level member. When that happens, even the commissions that you earn will increase.
Again, it is not a single personís effort. Everyone works together to raise your position. The beauty of MLM is that it is a mutually benefiting business. When people work at bringing new members into the fold, they are helping their upline to progress also. That means, you need to be as cooperative with your downline as possible. It is they who basically hold the reins that can propel you upward in the network.