Is Shopify an MLM pyramid scheme??

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Is Shopify a pyramid scheme??

Is Shopify an MLM scheme??

Let’s understand the answer to this question in a very simple way.

Topics Covered in this Article

What is MLM

so MLM aka Multi-Level-marketing system?
in the MLM you have to make a chain of people to recruit people to sell the product or services and every person works as a salesperson and earns a commission on the product sold by him and all who are working under him.

MLM Tree — image Copyright – sketch bubble

Let’s understand the MLM in the below points:

The company will appoint one salesperson called Jackson to sell its products
Jackson will sell the products as well as he has to recruit 2 or 3 or 4 or people under him. (as per company policy)
Jackson recruits 4 people under him
and 4 people will again recruit 4 people under each person,
so a total of 16 people will be working under those 4 people.
and 20 people will be working under Jackson,
this process will keep following to recruit 4 people under each person,
and every upper-level person will earn some sales commission from each product sold by every person.
so this is how it works and I think this system has nothing to do with the Online Shopping platform.
it’s a multi-level distribution system to sell the products directly without setting up a Dealer network.
The Big company of MLM is Amway.

Now Let’s understand what is Shopify

shopify partner subheader — Shopify online store platform

Shopify is a leading cloud-based self-hosted e-commerce platform that allows companies to create and manage their online websites on this platform.
All your website content, pages, images, videos, product images everything will be hosted on the Shopify
Shopify provides a lot of useful tools or you can Apps for integration with other platforms like social media, delivery partners, etc
Shopify provides a lot of useful features to help you to build and customize your online stores
YOu can easily make changes in the Shopify store website theme templates, a drag-and-drop website page builder
Shopify provides more than 7,000+ secure and trusted third-party apps and plugins for integration free and paid.
As its an online platform, it has built-in features for managing the product inventory, product modification, discounts, offers, online payment configuration and tracking the deliveries of the orders.
The best part is, you can use the Shopify website to sell directly your products to the social media platforms like FB, Twitter, and other marketplaces like Etsy, Amazon, and eBay.
Shopify also offers a range of other services and tools, including Shopify Payments (its own payment processing system), Shopify POS (a point-of-sale system for brick-and-mortar stores), and Shopify Capital (a financing program for eligible businesses).
Shopify company is a market leader in the self-hosted e-commerce platform business.
Shopify has a large community of developers who are available 24×7 for any kind of technical help or enhancement of your store.
Shopify has pricing plans for every kind of business from individuals to small or mid-level organizations to Large organizations that can set up their stores and sell the products on a large scale.
Shopify charges on a monthly basis, so it’s not a burden to pay the money in a single shot for 1 year or longer time.
Millions of stores are running successfully on Shopify in 175 countries of the world.

I hope you understood the difference between MLM and Shopify and got the answer of

Is Shopify an MLM? Of course not..!!

Check out Shopify’s free trial and other features.

shopify banner image — Affiliate Disclosure: This article has sponsored content, which means if you click on any links and buy that, we may earn a commission, but it will not affect your actual price.

Shopify mlm app

can we set mlm in shopify store, Yes. You can set up an MLM business using the Shopify store.

There are MLM apps in the Shopify app store, you can add them

Is dropshipping a pyramid scheme

Dropshipping is a business model in which you can set up an e-commerce store and can start selling products across the world.

You don’t need to set up the physical inventory of the products, no manufacturing unit is required and no delivery fulfillment service is required.

First, you connect with Dropshipping product suppliers and get their products listed on your online store.

You promote your brand, and products and generate sales and then you can place those orders on the Dropshipping service providers and make their payment.

Dropshipping suppliers now will deliver the product to the customer from their warehouse.

You can automate this entire process by using one of the best dropshipping services provide company eighter Zendrop or CJDrophopping.

Piyramid business modern is different, it’s similar to MLM where every person has to add tow or three or four members under each and so on.

So is dropshipping a pyramid scheme, the answer is NO. Both are different business model.

Shopify mlm App

in the MLM business model, it supports direct selling of the products through human chain not through retail or wholesale dealership model.

You can start your MLM business on the Shopify, just create online store and use Shopify MLM Apps from the app store, here is the list of Best shopify affiliate app.

MLM Affiliate Marketing developed by Shoutout developers team. This app is completely free to use. You can set up a large affiliates network, add unlimited affiliate marketers, generate orders, referral links, coupons, free of cost. You can setup a deep chart structure to join the unlimited members underneath each other.
UpPromote Affiliate & Referral developed by the Secomapp team, it has free and paid both versions. you can create different affiliate programs with different commission rates, easy link tracking, email templates, MLM chart management using this app.
You can explore the Shopify MLM apps in the app store and add them based on their rating, user reviews, pricing and free trial version – https://apps.shopify.com/

FAQ what Is Shopify MLM

Is Shopify a pyramid scheme?

No, MLM and Shopify both are different kinds of business models. Shopify provides the eCommerce platform where MLM is a product distribution business model.

Is Shopify an mlm?

No, not at all. Shopify is a platform and MLM is a business model to sell the product through a multi-level marketing business model called MLM.

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