It began on a warm and clear Saturday night in San Diego, CA. I attended a pretty big social event, OK it was a party and there were some prominent celebrities from the TV and radio industries. As I walked around the huge outdoor patio and visited the many food stations, I couldn’t help but approach a group of 5 people in lively conversation by the pool. As I got closer I could hear things like Pyramid, Scam, Downline, Upline and other words that reminded me of network marketing. As it floated by, you could feel the heat. I mean, they were really getting into it. One person felt that it was the only true wealth creation vehicle left in America. Another thought it was an “absolute joke”. It never ceases to amaze me the extreme polar views on the subject of network marketing and MLM. Some of my acquaintances are so passionate about it, while others treat it with disdain. Now, well-known celebrities like Donald Trump, Robert Kiyosaki, and Robert Allen endorse and participate in network marketing. For some, it is a dream come true. To others, they feel like 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 some product developers, middle managers, consultants, and people who really want something to succeed in a big way. They write 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 payment plan, and launch the company. If that’s all you have to do, then…
Why do so many fail in the first 3-5 years?
The reason most don’t make it is because they are flawed from the start. Let me ask you, what should be the end result of creating a network marketing business?
Reply from a representative and a possible representative:
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residual income
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security for your family
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Great products that make a difference
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Personal development
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The ability to help others create a new life for themselves.
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freedom of time
Here is the real problem. The products. Yes, the products. What do I mean? If you join a company that has products that people don’t use every day according to their lifestyle, the company MUST fail. Let’s discuss some topics!
nutrition companies
We all hear the statistics about 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? Almost everyone does.
Juice companies and super drinks
Besides the fact that recent government regulations have put an end to health claims on these super drinks, they’re not convenient to drink on a regular basis and many of them just don’t taste very good.
Gyms and training MLM’s
Geez, do I really have to explain this? Unless it’s January through March, your registration rate will continue to plummet. Not to mention, you’ve taken out a large group of people. People who wouldn’t exercise for any amount of money.
Here’s the bottom line: If you don’t offer products that people would use even if they weren’t trying to make money from them, you won’t create residual income. You’ll create a revolving door of reps going in the front and out the back. Has anyone ever NOT called you back after reviewing the information or had you already started with your company?
During a recession you have to be smart. The products you have to work with are products that are on your face constantly. Since technology has changed the way people do business, it might make sense to use that technology as your product. If it had products that people were addicted to, even better.
Are you starting to get it? I’m sure you are.
Take yourself out of the equation and let technology products do ALL the work for you. It can be difficult for you if you are very ego-driven, but you also have to be smart, right?
Residual income is not about sponsorship,
It’s about SATISFIED CUSTOMERS.
Eliminate the ego and focus on logic. Be logical in your choice of products to promote and you may find success beyond your wildest dreams…