It began on a warm, clear Saturday night in San Diego, CA. I attended a fairly large social event, OK it was a party and there were some prominent celebrities from the television and radio industries. As I circulated through the huge outdoor patio and visited the many food stations, I couldn’t help but wander over to a group of 5 people in an animated conversation by the pool. As I got closer I could hear things like Pyramid, Scam, Downline, Upline, and other words that brought network marketing to mind. As I just floated nearby you could feel the heat. I mean, they were really getting into it. One person felt that it was the only true wealth creating vehicle left in America. Another thought it was an “absolute joke”. It never ceases to amaze me the extreme polar views on the topic of network marketing and MLM. Some of my acquaintances are so passionate about it, while others treat it with disdain. Now, well know celebrities like Donald Trump, Robert Kiyosaki, and Robert Allen endorse and take part in network marketing. For some, it’s a dream come true. For others, they feel like they’re the CEO of a leper colony.
What is the real truth about creating a residual income?
On the surface, network marketing appears to be no different than any other business. You have a team of owners and managers at the top along with a few product developers, middle management, consultants, and people who really want something to succeed in a very big way. They write up a long term business plan and put all the pieces of their puzzle together in hopes of creating the next MLM giant. They find credible product producers (hopefully), design the pay plan, and launch the company. If that’s all you have to do, then…
Why do so many fail within the first 3-5 years?
The reason most don’t make it is because they are flawed from the beginning. Let me ask you, what should be the end result of creating a network marketing company?
Answer from a rep and a prospective rep:
- Residual Income
- Security for your family
- Great products that make a difference
- Personal Development
- The ability to help others create a new life for themselves
- Time Freedom
Here’s the real problem. The products. Yep, the products. What do I mean? If you join a company that has products that people don’t use everyday according to their lifestyles, the company MUST fail. Let’s discuss a few issues!
Nutrition Companies
We all hear the statistics about the baby boomers and the healthcare industry becoming the next billion dollar industry but let me ask you something. Do you EVER forget to take the products? Most everyone does.
Juice And Super Drink Companies
Besides the fact that the recent government regulations have put a stop to health claims on these super drinks, they’re not convenient to take on a regular basis and many of them just don’t taste very good.
Fitness Clubs And Work Out MLM’s
Geez, do I really have to explain this one? Unless it’s January-March you’re signup rate with continue to plummet. Not to mention, you’ve eliminated a huge group of people. People who wouldn’t work out for any amount of money.
Here’s the bottom line: If you are not offering products that people would use even if they weren’t trying to make money with them, you will not create residual income. You will create a revolving door of reps coming in the front and going out the back. Have you ever had someone NOT return your call after they looked over the information, or had already started with your company?
During a recession you have to be smart. The products you should work with are products that are in your face constantly. As technology has changed the way people do business, it might make sense to use that technology as your product. If you had products that people were addicted to, even better.
Are you starting to get it? I’m sure you are.
Remove yourself from the equation and let the technology products do ALL the work for you. It may be difficult for you if you’re heavily ego driven but you also have to be smart, right?
Residual Income Is Not About Sponsoring,
It’s About SATISFIED CUSTOMERS.
Eliminate the ego and focus on logic. Be logical in you choice of products to promote and you can find success beyond your wildest dreams…
