ZamZuu is an emerging company that appears to be a major player in the e-commerce arena with it's continual profits as a "discount online store" of sorts. Some questions have been risen regarding ZamZuu's success though. Many people unfamiliar with network marketing think ZamZuu could be a scam. Is it?

NETWORK MARKETING

Zamzuu attracts some negativity because it is a network marketing company (also known as Multi-Level-Marketing or an MLM). Network Marketing is referred to as a "pyramid scheme" by some individuals because it's members can profit from people they recruit into the business. There's one huge difference between the two though. A network marketing company, such as ZamZuu, has a product or service for sale, whereas an illegal pyramid scheme does not.

ZamZuu is not the only company to operate using this business model (some big names include Amway, Avon, and Tupperware). They choose to market this way because they see the value in referral marketing.

What is referral marketing? There was a recent survey done that inquired about the consumer's motive on why they bought (or didn't' buy) a particular product. The results revealed the importance of word-of-mouth endorsements and recommendations. It was the #1 contributor in the consumers' decision on why those chose to purchase a particular good or service. What can a company do to encourage this powerful, free tool?

Network marketing companies like ZamZuu, choose to spend very little, if any, on advertising in the traditional sense. Because of this, they can keep their prices lower than the competition and be able to pay distributors to market for them. They pay more to members who recruit additional distributors for a simple reason. If there wasn't an incentive to recruit additional members, the company would eventually go out of business.

You may find it interesting that Warren Buffet, Donald Trump, and Robert Kiyosaki have all endorsed this network marketing model.

I believe the people that call ZamZuu a scam, just because it's a network marketing company, are uninformed on the facts. Let's take a look at the actual company.

ZAMZUU

Zamzuu was created to take advantage of the popularity of shopping online. Customers can shop at over 700 stores through Zamzuu. Some big name retailers in their system include Curcuit City, Target, and Wal-Mart. Shoppers benefit by receiving commissions and cash-back for shopping through the ZamZuu website. This gives them incentive to login to a distributor's Zamzuu page and shop there instead of curcuitcity.com, for instance, where they would receive no additional perks.

If you are looking to make some extra money you could also become a merchant. An initial fee of $249 is required to set up your customized retail store followed by a $49.95 monthly cost for maintaining your website. Once you start to build your business you can receive up to 50- 60% commissions and gain health and life insurance!

HOW TO GROW YOUR ZAMZUU BUSINESS

If you are interested in this opportunity, it would be wise to examine ways to market online effectively. Once you learn and implement these marketing techniques you will have the advantage over 95% of your competitors and be able to explode your business! Your friends and family members may shop from your site from time to time, but no matter how popular you may be, you will see limited results. With the Internet you can access a much broader audience and make some real cash with your ZamZuu opportunity!!