Why Such A High Failure Rate For MLM’ers?

Network Marketing

Yep, that’s right. Multilevel Marketing Companies, or MLM’s use Network Marketing to *market* their products, which means they get and sponsor people who have never owned a business before to tell other people about the product. And since having other representatives sponsored is one of the *income streams*, these people market BOTH the business opportunity and products to the same group of people.

That’s a little like advertising a Dog Training program and if they show any interest, try to sell them Home Siding. The two markets are VERY different and should be marketed differently, but most MLM companies and up lines explain that all you have to do to be successful in this business is tell everyone you know, everyone you meet, casual encounters at the grocery store or gas station about your “opportunity”.

Well, if you have spent any time in MLM , you know this often just leads to frustration. Family members start to avoid you, friends don’t take your calls.

Try to see it from their point of view.

You tell them all they have to do is “plug-in to your system” and they too can have a profitable business. Only, where is YOURS?!?! The typical new recruit is slammed by their up line with a list of things to do that make no sense in the real world of marketing and business.

There is a better way, but you have to get out of your own way first. And that means listen to what your up line has to say, but use your head too. If what they are telling you isn’t working, try something else.

And frankly, focus your efforts. If you are trying to sell the product, sell the product. Once you have established some trust with your customer and they can see the product really does what it says it will do, you can offer them a chance to also make some money selling it. Customers who “convert” in this way make the best representatives (or advocates) of the product.

But this should come later.

After they have used the product, seen the results, explained the product to friends and family (without the business opportunity lurking in the background of every conversation) and are really excited about it, then they can “focus” their efforts. But don’t be surprised if you offer the opportunity and most say no. These are normal real people with real lives who haven’t thought about owning their own business, or becoming an independent marketing contractor (which is what an network marketer is after all), they just wanted a solution to their problem. (Remember that most MLM companies offer health related products).

Offer your “business opportunity” to small business owners, people looking to work from home or start their own business. These are the people that are already doing research and grooming themselves for the “business owner mentality” and lifestyle. Look at these two words… Network Marketing. Does anything in those two words suggest “market two DIFFERENT concepts to the same person”? I don’t think so.

There is a high failure rate with network marketing because everyone is taught the same thing. It’s almost like a cult or religion. Personal Empowerment, Personal Development, Belief is the key. Trust me, if I am trying to drive a screw into a board and it isn’t working, getting a bigger hammer *might* get the job done but it takes a lot of extra effort and will probably just ruin the material I am working with. Getting a screw gun would be the better choice since that is what it was *designed* to do. If what you are doing isn’t working, don’t go get a bigger hammer (visualization boards, more tapes on empowering yourself, creating an Alpha personality that people respond to, etc ), get a different tool for the job. It’s called Focus .

Let me ask you this. If you went to your butcher for some steaks, and he tried to sell you snow tires, would you go back? If you called your Dentist and asked for an appointment to get a tooth looked at and when you got into the chair he proceeded to try and sell you Investment Bonds, would you go back? Nope. Neither would I. When we went into the Butcher’s or the Dentist, we had a certain result in mind. Being *sold* something else is off-putting at best, and damaging to their credibility at worst. They would quickly go out of business. So why on earth would you attempt the same thing just because you are representing a company/product/service that uses the Network Marketing business model to sell their products/services?

If you are smart, you won’t. It doesn’t work. What you need to do instead is focus your efforts. Sell to someone who is looking for what you have to offer. And don’t try to cross-sell them. If they are looking for a health product that will relieve their joint pain, don’t try to sell them a business opportunity. If they are looking to work from home or start their own business, sell them that, not a pill for joint pain. See what I mean? It’s two completely different markets.

So, get out of your own way. You can be very successful in network marketing, especially if you find a company that offers good bonuses, unlimited level payouts and products that really work. But don’t be a Lemming and do what your up line tells you to, just because they tell you to. Use your head. Remember that their up line trained them, and their up line trained them and so on. Find a company that offers real training, not just a list of things you should do like: 1) Make a list of your warm-market 2) Call all 100 people and let your excitement infect them 3) Listen, ask questions and then pitch them 4) Train your down line to do the same thing 5) Repeat.

That’s not a recipe for success. That’s a recipe to get yourself uninvited to the family Christmas party.

Just my two cents worth.

Cenay ‘

PS: Obviously, I have an MLM company in mind. One that meets all my criteria AND does something I have never seen any other company do. They donate 5% of all product sells to Childrens , Incorporated to help feed starving children in the United States! That’s 5% of their money, money I helped create with my sales. I can live with that. Want to know more about the company I choose? Nussentials - Building Wealth And Stamping Out Hunger .