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What is multi-level marketing software?

Over 10 million people run or participate in MLM campaigns in the US alone, with worldwide numbers reaching over 20 million. The popularity of these companies, which rely on distributors to increase profits by selling to their friends and family, has necessitated a software niche that caters to the specific needs of the network. Multi-level marketing software helps those who run direct marketing businesses track shipments, inventory, and accounting, while simultaneously running social, website, and email marketing campaigns.

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  1. Benefits of multi-level marketing software

MLM software caters specifically to network and direct marketers in multi-level organisations. In the MLM model, individuals technically run their own businesses and distribute products directly to consumers. As a side benefit, many of these businesses thrive through recruitment of friends and family into new distributor roles, where they increase the profits of the product company by increasing overall product sales. Salespeople who are recruited by a single distributor are considered on that distributor’s downline, and the product sales from each of a distributor’s salespeople can factor into that distributor’s total sales number.

MLM organisations have historically come under close scrutiny from government business and health agencies. Due to these legal troubles, network marketing organisations walk a fine line when making health-related marketing claims or commission calculations. These government regulations opened the market for multi-level marketing software developer, where distributors can organise, track, and calculate shipping, sales, and commission in line with legal requirements. This software is designed for those who work as distributors, salespeople, and executives of MLM companies.

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  1. Common features of MLM software.

3.1 Direct sales and order management

The FTC requires network marketing businesses to gain the majority of profits through the sale of products directly to consumers. These regulations require direct marketers to keep careful records of products bought and sold and inventory on hand. MLM software products provide ordering, invoicing, and payment records. Some software programs also include detailed product records for customer and distributor reference.

Sales and order management includes everything from invoicing and billing through tracking and inventory management. You can find these tools in many accounting, shipping, or logistics solutions, but an MLM platform will bring many of these capabilities together, because they are integral to product distribution for a direct sales company. Specialised multilevel marketing software should give you full branding capabilities for your sales documents, like custom icons and letterhead. You’ll save time with templates that can be used over and over, instead of building invoices from scratch each time.

3.2 Accounting

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The primary purpose of UX development is to improve the overall user experience when they engage with an eCommerce app. Simply put, it builds the foundation for your future app.

3.3 Marketing

The sales landscape has changed dramatically over the last decade, and MLM companies have felt the pinch in their door-to-door and neighbour-to-neighbour sales. As many buyers move to the internet, direct marketing has followed. The best MLM software will provide access to social media and e-commerce sites with full branding and email marketing capabilities built in.

Like any business, direct sales depends on marketing to attract new customers, but also to build a distributor network. Building the brand image that inspires new product evangelists to join takes a dedicated marketing plan. Some of the features you should look for in your multilevel marketing tools include:

Social sharing: the ability to post and monitor social accounts directly in the product.

Website management: add blog posts, build landing pages, on-site SEO management.

Email marketing: on-site lead capture forms, contact forms, newsletter design, spam avoidance.

Marketing automation: drip campaigns, automatic email responses for subscriptions and on-site triggers.

3.4 CRM(Customer relationship management)

a. Customer relationship management (CRM) software can cost a lot on its own, but when included in a larger MLM suite, the return value can vastly outweigh the investment. A CRM tracks all of the contacts for a business and will organise and file pertinent customer and salesperson information gained at each point of contact. MLM software with built-in CRM will also track complicated salesperson and distributor downline networks, sharing much of that data with the accounting portions of the platform.

b.  MLM software with built-in customer relationship management (CRM) tools will help you keep track of sales contacts, distributors, customers, and vendors. A CRM will store your contact lists in one place and let you share those contacts with your network. Good CRMs act as more than an address book, however, as they often include task and notification features, so you can follow-up with your contacts in a timely manner.

c. Another advantage of integrated CRM and marketing/sales tools is that you can send follow-up reminders automatically for time-based events like reordering. What if you didn’t have to email or call each of your distributors individually, but instead could send out a monthly or quarterly reorder reminder? The time you save there could be put directly back into building your business.

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4. How to compare MLM software?

MLM software buyers should look for the features listed above in an MLM product suite, but there’s more to a software product than its core features. You should also make sure the product you choose matches your existing workflows, offers integration with other systems you use, and provides a pleasant user experience with regular updates.

Here are a few more specific factors to look for during your research and comparison process:

4.1 Social media integration

Many distributors and sales professionals find social media increases market penetration as well as generate demand for the product and the brand.

Online catalogues and e-commerce: Depending on the size of your network and the complexity of your product catalogue, you’ll want to look into online catalogues and e-commerce features that help potential customers and salespeople research your products without a large time investment on your part.

4.2 Granulated user controls

These allow your downline distributors to access important areas within the software, while you keep sensitive information under wraps.

4.3 Legal consultation

 If you’re building your own MLM company, you may want to look into legal consultation to ensure that your product and services comply with local and federal regulations. Some MLM software builds regulatory safeguards right into the accounting modules.

Choosing the best MLM software solution

MLM software isn’t as saturated of a market as some other technology verticals, but choosing the best MLM software developer can still be difficult. Make sure your decision process includes your company’s pricing structure, so you can fully support your downline distributors. You should also take advantage of any free trials to test the ease-of-use and integrations related to your marketing, lead capture, and website design.

Still need help deciding which MLM software  will help grow your network marketing business? Use our MLM product selection tool to compare solutions based on your needs, or call one of our Technology Advisors for a free consultation.

6. How much does it cost to develop MLM software?

As with any software development project, the cost of developing MLM software will vary depending on a number of factors, including the size and complexity of the project, the experience of the development team, and the location of the team. That said, it’s safe to say that developing MLM software can be a significant investment for any business.

To get an idea of what kind of budget you might need to develop MLM software, consider some rough estimates below:

– For a small project (up to about 10 features), you can expect to pay around $50,000 – $100,000.

– For a medium-sized project (11-20 features), you can expect to pay around $100,000 – $250,000.

– For a large project (21+ features), you can expect to pay around $250,000 – $1 million+.

7. Do you want to develop MLM software? I can help

If you’re thinking about developing your own MLM software, you’re in luck. I can help you get started on the right track.

MLM software is essential for any business that wants to offer a multi-level marketing opportunity to its customers or members. By definition, MLM software is a system that enables businesses to run their MLM operations more efficiently and with greater accuracy.

There are many benefits of using MLM software for your business. Perhaps the most obvious benefit is that it can automate much of the work associated with running an MLM operation. This includes tasks such as tracking downline members, calculating commissions, and managing customer data.

Another big benefit of using MLM software is that it can help you keep better track of your finances. When all of your financial information is stored in one place, it’s much easier to stay on top of things and make sure that your books are in order. This can save you a lot of time and money in the long run.

Finally, MLM software can also help you attract more customers or members to your business. By offering an easy-to-use system that helps people keep track of their downline members and calculate their commissions, you’ll make it more likely that people will want to join your business. And when more people join your business, you’ll be able to sell more products or services and make more money!

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 MLM software provides a way for businesses to manage their Multi-Level Marketing programs more effectively. By automating many of the tasks associated with MLM, businesses can save time and money. In addition, MLM software can provide valuable insights into how your business is performing and where improvements can be made. If you are considering starting an MLM program, or if you already have one in place, it is worth investigating what impact MLM software could have on your business.

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