Do MLMs Really Work?

Back when I started my journey into the Network Marketing profession. ?I attended a meeting at a well known and highly profitable Multi-level marketing company. ?I listened for an hour as the speakers of the evening gave their pitch. ?I bought in to it and decided to sign up. ?That night, I met my recruiter’s sponsors and found that they had been in the business for over ten years and were barely managing to stay afloat in the business. ? ?This gave me cause for pause. ?I thought, “I believe in the model, but I don’t know if I want to follow people who are still struggling in the business for over 10 years.” Ultimately, I didn’t have faith in the leaders of that team to teach me how to make the business work so I left that company. ?Did that MLM really work? ?Yes, it is a multi-billion dollar company. ?But those distributors didn’t work the business.

Now that I am actively involved in an MLM and am recruiting people into my business, many people ask ?me “do MLM’s really work?”

I understand that there is a great deal of skepticism out there around the network marketing profession. ?And a lot of it is due to the unprofessional behavior that many network marketers have become infamous for. People call MLM a pyramid scheme because of their association with some unscrupulous schemers that were out there. But to understand why MLMs really work you have to understand what an MLM is.

 

 

 

When you turn on your television, or radio, or these days even watch a youtube video, you are bombarded with sales pitches from multiple businesses. These businesses have products to sell and they try to get them in front of as many people as they can. This is how companies like Coke, Walmart, and Levis distribute their product… Through direct sales messages. These companies spend billions of dollars in advertising via the different media channels that are available to them, including internet marketing and Multi-Level Marketing.

Multi-level marketing is just another form of advertising the goods and services of a particular company. The only difference is that Multi-level marketing companies choose to spend their ?advertising dollars on the word-of-mouth advertising of its independent distributors. ?So instead of spending billions of dollars on TV ads, MLM companies provide people like yourself to earn a substantial income by sharing and promoting its products and services directly through your personal social networks.

Now in all honesty, there are a couple?of the problems that I have seen in some MLM companies

1. ?All too often they are promoted as get rich quick schemes by overly eager distributors.
2. The products are sometimes over-priced for the market
3. In too many companies, the companies sales are not dependent on direct sales to the public but to the distributors of the products

First of all, let me be clear, MLM is direct sales. Period. ?And the profit potential in MLM?is greater than in any other profession – hands down. ?But it requires hard work and time to develop your skill, but, ?As Tom Hopkins said, “Sales is the highest paid hard work – and the lowest paid easy work.” ?MLM is?sales and not everyone is cut out for it.

Second. ?When considering to join a MLM company. ?Take a look at their products and the prices. ?Are the quality and prices of the product comparable to what is available in the marketplace? ?If not, do not join that company.

And lastly, ?when you consider joining an Network Marketing company, determine by speaking with your recruiters whether or not you are required to purchase more product than you believe you will ever be able to sell. ?Remember, you are in direct sales, and if you can’t move product, then you are going to be stuck with a dream and a garage full of soap, or whatever product the MLM distributes. ?You should look for companies that don’t require you to be recruiter in order to earn income. ?Your income should come from sales of the products to the public and not from the purchase of products by your downline. Obviously the more distributors that you have on your team the better, but your team members should be able to move product through direct sales to the public in general.

I consider myself to be relatively ethical. ?I want to be able to sleep at night and to be able to look at myself in the mirror and say that I am actually helping people by sharing my business opportunity. ?That’s why I like the companies that I am involved in. ?They allow me to help other people build substantial incomes for themselves without necessarily ?burdening them the requirement to become a ?recruiter. ?In fact, I like being able to tell my customers that if they follow my training they will be in profit mode within a month or less.

So, in answer to the question, “Do MLM’s really work?”, the answer is yes… ?But only if you work it!

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