Multi Level Marketing Vs Pyramid
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Multi level Marketing is not a very viable concept, even theoretically, nor is it a very profitable means of distribution for all parties involved in Multi level Marketing. This non-viability is basically caused by a heightened expectation of easy money.
Inspite of offering excellent products, some of the Multi level Marketing efforts have been miserable failures
Reasons for failure
The driving mechanisms are intrinsically unstable, and therefore tend to over saturate the market with no one noticing. Multi level Marketing can never equalize into profitability the way companies in the real world can. This is the reason that the organization as a whole cannot, be profitable.
It is usually the unfortunate distributor at the bottom who is the loser. Of course money can be made with Multi level Marketing. But the money being made is not always legitimate and sometimes made via a sophisticated con scheme.
Mistake #1
The first mistake practically everyone makes in this industry is trying to sell. We are in the teaching and mentoring business. If we are doing this right, we are building relationships, not trying to get people into our deals. People can feel the difference when youre talking to them and trying to sell them. They dont like it. Neither do you! You dont like to be sold, and you dont like the feeling you get when youre trying to sell something. It just doesnt sit right deep down inside. So stop it! Build relationships, and success will follow. That is key!
Mistake #2
Not checking the background of your company leadership to make sure that they have MLM experience, with integrity, is another mistake. Why does this matter, you ask? Well, do you want to build this once, build it big, and build it for your childrens children? Then you better make sure that the people running it know what theyre doing and respect the guys and gals in the field who are building it. The best way to do this is to read your companys policies and procedures. Some of the things you will find there will make you scream! When you read them, youll realize who you are really building the business for . . . and its not you! Please, please, read the policies and procedures!
Mistake #3
Not knowing how many people it takes to earn the income you want is a huge blunder. Do you want to make $10,000 every month? Okay, then how many people in your organization does it take, on the back end, to make your goal? How doable is that? Are you having trouble just keeping 10, 20, or 30?
In most comp plans to make $10,000 a month, you need anywhere from 1,600 to 5,000 people, depending on how your plan is set up. How doable is that when you cant even keep 30? I know of a comp plan out there that requires less than 400 people to make $10,000 monthly. How much easier do you think it is to keep people in that plan . . . pretty easy, Id say. So make sure you know the numbers, then crunch them to see how doable it is for you.
Mistake #4
The final mistake that many MLM distributors make is going after their friends and families. Unfortunately, a large majority of companies out there employ this “technique” as their primary source of lead generation. Ouch! Let me just tell you from personal experience that your “warm market” is the coldest out there! If youre in a company where this is the primary source of lead generation, you are in for a hard time, my friend! This technique does not work. The best leads are the ones you generate yourself, and if your company, team, or upline doesnt have a system in place to do that, its going to be very tough.
These are just a few of the mistakes many people make in a MLM business, but with some basic skills and a good system in place, these mistakes are avoidable. If you are having difficulties, take a good look at these mistakes and see if youre not making one of them in your own MLM business.
Multi Level Marketing Prospects – How To Avoid Failure
The Truth About MLM
Heres the truth about multi level marketing prospects. They dont want to be sold on a business opportunity. Get this and youll cut down your frustration levels no end. Its a mistake made by the majority of distributors.
Your prospect doesnt want to know how great your company is or how life changing your products are; they want to know “whats in it for me.” If this fact hits a raw nerve within your psyche then so be it.
Again, just put yourself in the shoes of your prospect and ask yourself “is this the way I would like to be introduced to an opportunity.” In most cases the answer would be a profound no.
How To Attract The Right Prospects
Attracting people who are actively seeking a business opportunity is the key. Effective lead generation methods are the ones where your multi level marketing prospect is drawn to your opportunity.
The MLM business should be a fun and rewarding one so learn the real truth about networking before you even think about talking selling another prospect.
Applications of MLM
Cosmetics
Plastic products
Health care
Software solutions
MARKETING DIRECT SALES
The three major categories of marketing are retailing, mail order or direct mail, and direct sales, all of which can be structured to provide MLM selling.
Retailing
The most common form of marketing.
You go to a store and buy something at retail. In turn the retailer gets products from one of three sources; a wholesaler or a distributor, a sales representative who takes orders for the manufacturer or directly from the manufacturer
Mail Order/Direct Mail
first is that it attempts to send its messages directly to consumers, without the use of intervening media. This involves unsolicited commercial communication with consumers or businesses.
The second characteristic is that it