What is the Importance of Product Mix in Multi-level Marketing?

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A product is a thing that is designed to sell. A product may be of two types; item and service. Every product incurred cost and each of them is sold at a price. Therefore the price for a product may vary on the basis of the quality of products and the pricing strategy you follow.

Here in this blog, you are going to see how the product mix in MLM differs from traditional businesses. The difference is only in the area they focused on. 

Before diving into the subject, I need to ask you something.

Hey, do you know what are the requirements needed for a good product?

Let’s make it clear,

Requirements Needed for a Good Product Mix

Requirements for a good product

The product mix is really an element in the marketing mix. There are mainly 4 types of requirements needed for a good product. They are as follows;


A good product should need a name. This name will be the brand name of your product. The brand name should be unique and easily understandable by common people. A brand name helps the customers to identify your products from the variety of products. 


A relevant product is a key to the success of any business. Also, a good product is relevant to immediate use when it is purchased. This product needs to perform the functions for which it is designed.


The customers should realise the purpose and value of that particular product. That is why communication is super important.

You should communicate the purpose of the product through various advertisement campaigns and other relevant promotional activities.


Market trends are not stable in nature, it fluctuates every time. Therefore, you need to design a product that is adaptable to future trends.

If you are looking for the best start in your MLM business, you need to design the best quality products at a feasible rate. 

How to Design a Product?

Design Products

You have to design a good quality product if you are expecting to earn profits for the long term. Therefore, you need to know how to design a product. The following steps are more valuable and you need to focus while designing a product.

  1. Discussing and brainstorming strategies for the introduction of a new product among the team;
  2. Defining the consumer’s desires and methods for focusing them;
  3. Creating stringent product specifications
  4. Iteratively dividing the product implementation process;
  5. Testing and updating the produced solution based on real-world usage and the desired user experience.

These are the general steps to design a product.

What is the Product Life Cycle?

Product's Life Cycle

Product Life Cycle simply means the life period of a product. Every product goes through four stages. These four stages are known as the Product Life Cycle. The following are the stages in the Product Life Cycle.

It’s similar to a product journey, or, to use a more common marketing example, the customer journey.


This is the beginning stage of a product. Here you just started to enter the market. So, the customers are not aware of your product. In this step, you will face competition from other companies. Moreover, your promotion cost will be high at this stage.

To minimize the cost you have to clearly define the audience, then only you need to conduct promotional activities. Otherwise, you will face higher costs for your products.


Here in this stage, your brand becomes familiar to customers. They will start to differentiate your products from your competitors. Your product will grow in this stage.


This is the stage where your sales are at a peak. You will get more profit than other stages but the growth rate is always lower than other stages.

An interesting fact is that once you reach maturity, your product has no further growth. However, the company can formulate and implement strategies to avoid reversals from the market.

Product Mix; A Comparison Between Traditional and MLM Business

Product Mix

The methods and strategies that are used in the product mix are always the same, but the difference between MLM and traditional business relies on the focused area.

These two types of companies are identical and offer products and services from different areas. 

In the case of the traditional model of business, they focus on multiple areas. Meanwhile, MLM focuses only on several fields like health, beauty, lifestyle and financial counselling.

Whether you run a traditional business or MLM, you have to focus on your products. Because they are super important for the growth of the business.

You have to thoroughly examine the quality of products. If you did not take reasonable measures to increase the quality of your products, you are not going to sell any of your products.

How can you increase the quality of products?

I know you have a confusion about increasing the quality of products.

Let me tell you.

Best 6 Ways to Increase Quality of the Products

Quality of Products

Increasing the quality of the product mix is super important for you to sustain for a longer period and maximize profits. 

Businesses that want to increase product quality must include quality practices in their daily operations.

The following way will help you to increase the quality of your product.

Recognize What is Quality?

Quality is achieved by manufacturers or service providers generating items whose attributes meet a set of numerically defined requirements.

Sometimes the quality is determined on the basis of the satisfaction level of the customers. 

The best way for the business is to use the combination of these two methods.

Structuring Product Strategy

To stay away from the competition, you have to formulate a unique strategy for your product. As a businessman, you are responsible to find the best suitable way to market your product.

Formulation of a Quality Management System  

By implementing a QMS, you will be able to audit your processes independently as well as with a certification authority. Because a quality management system is built on the 7 rigorous quality principles, your clients will not have to audit your company themselves. 

ISO 9001 is an internationally recognised standard for quality assurance, which is critical if you want to improve the quality of your products.

Practise Quality As a Culture

Implementing a Quality Management System is a crucial factor, not only for implementing it but also for practising it. It should become your company culture.

Moreover, these quality ideals must be strongly ingrained throughout the entire organisation.

Market Testing

Before launching your products in the market, you need to test your product. By doing this you can find errors. It is a chance to minimize errors. 

For conducting market testing, you can give samples of your products in the market. You can assess the merits and demerits of your products.

Keep Your Quality

Every day, there are more and more manufacturers and service providers popping up. It might be difficult to stand out in a highly competitive workplace. 

If customers are not like your products, you should thoroughly examine why they don’t like your products.

This knowledge can help you make better judgments on how to design your product from the ground up.

Factors Affecting Product Mix

Product Mix

Mainly four factors will affect your product. 

It’s interesting, right?

Age, brand identity, area of operation and financial position are the factors that affect a product.

Let’s look at that,


The first factor that affects the product mix is age. A new company has only a few products in its lineup. On the other hand, a company that manufactures for a number of years has a large number of products in its lineup.

Operational Area

Some areas of operation have a greater scope of innovation and manufacture a wide variety of products. In the smartphone industry, they enjoy such scope. 

 On the other hand, some industries are in a highly competitive market and some others are not.

For example, in India Government controls the activities regarding the railway. No other participants can not enter this field. It is an example of a Monopoly competition.

But some industries are in a highly competitive market. Mobile industries, electronics etc are examples.

Financial Stability

More items will be available in the product mix of a company that is doing well financially. The product line or product offerings of a failing company would be reduced.

Brand Recognition 

Even the biggest brands may readily add new product lines or commodities. As an example, there were speculations that Apple was working on an automobile.

Behind every product, there are a lot of operations and processes happening. You must carefully watch each and every area of operation and with that understanding, you have to manufacture products.

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