This Florida based company markets its products through an MLM system. Multi-level marketing is an alternative method of marketing that is different from the more traditional method of marketing where promotion and advertising is done through single point agencies. Advantage Nutraceuticals chose to take the MLM route to market its products because of a variety of advantages this system holds, that favor young companies that want to focus their customer development and promote to a specific target audience.

Traditional marketing involves taking a product and handing it over to a distributor that effectively has access and control over and to a further network of partner distributors over a given geography. The distributor also has access to storage and is in touch with retailers. The process of moving products across from manufacturing to the retails shelf takes stages where the product is stored at specific areas until called for by the retail establishment as space becomes available. A product has to fight for space amongst competing products and thus has to pay for being accessible via retail points of sale.

The traditional method of marketing also makes use of a structured system of promotion; where the company that owns a product must have an agency create advertising content that is suitable to the product and have these created in various formats. The product owner then has to take the product and buy space with various media broadcasting and print media companies, to have the advertising made available to the masses in general. Depending on the effectiveness of the marketing, the campaign may create a certain amount of demand, which drives a certain number of people to but the product from the point of sale (retail store). This process in itself is an expensive proposition, and for a new company, the fact is that entering the market is even more expensive because competitors will aggressively battle for a consumers mind space.

Going via the MLM route, companies like Advantage Nutraceuticals take advantage of the fact, that its sellers are also consumers of the product. The cost involved with penetrating a market space is done with completely, and the regular cost of promotion that is included in the product price is handed out to customers for selling products. The way the system works at Advantage Nutraceuticals is for a consumer to buy a package of products and either use these or choose to sell these (or both).

With consumers driven with the incentive of recovering the cost of purchasing products (which would have benefitted them, and which they may have purchased off a retail shelf); the drive to introduce the products to new customers (and thus to new potential distributors) is raised. Through this method, the product is distributed directly through a channel of consumer/distributors, helping the company to save tremendously, and thus provide added revenue benefits to its customers/ distributors, in the form of revenues. Advantage Nutraceuticals though recently found itself confronted by legal issues raised by the FDA in the promotion communication of its products, which the FDA stated should be licensed as drugs, since they were promoted as providing effective relief against specific diseases.

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