It is amazing that people have such extreme polar views when it comes to MLM and Network Marketing. Successful people are passionate about their business in the extreme while those less successful declare the whole idea a failure. Very well known people such as Robert Kyosaki and Robert Allen are involved in it and advocate it. While in other circles, you just don’t want to admit that you’re involved with a MLM network marketing business.
What causes such different opinions about MLM network marketing?
Could it be the compensation plan? Those at the top seem to receive greater income than those at the bottom. But isn’t that true in conventional business as well? The lowly salesman makes a commission on what he sells but his sales manager makes overrides on what he sales and the VP of sales makes overrides on all the sales managers, etc. That’s just the American way.
Could it be that it costs you money to play? Well, you don’t expect to get something for nothing do you? Any business you choose to become involved with is going to cost you money or effort of both no matter whether it’s a stand alone business, a franchise, or a MLM network marketing business. Every opportunity has a cost associated with it. In most cases however, the cost of getting involved with a MLM network marketing opportunity is much smaller than the cost of getting involved with a brick and mortar stand alone business.
Ponzi schemes and pyramid schemes are two things that seem to come to mind when people think about MLM and network marketing. Unfortunately the big scams like Bernie Madoff really bring a bad karma to the party. It is unfortunate that these major failures reflect on the MLM network marketing arena. There are far fewer ponzi and pyramid schemes than legitimate MLM network marketing opportunities. However the schemes seem to get all the news coverage and successful businesses don’t.
There are however, many successful MLM network marketing companies. They have provided valuable services and products to the marketplace while providing millions of people opportunities to make income. Companies such as Amway, Meleleuca, Prepaid Legal and others have succeded in supplying billions of dollars in goods and services to millions of satisfied customers.
Network Marketing and MLM is a business model. The business model works. The cost of entry is usually low for the potential return on investment. The problem with the people who are attracted to an MLM opportunity is that they usually have no experience running a business, have no sales skills, have no marketing know how, and no personnel management skills. They expect the opportunity they buy into to provide everything they will need to be successful in their new venture. Nothing could be further from reality. Very few of the opportunities out there provide that kind of support.
Newbies to MLM network marketing are frequently misled by sponsors who either don’t know or willingly deceive potential recruits. The newbies are often sold on the idea that company will supply everything you need to be successful. Once on board, they discover that there is little to no support for them from the company. Most often their sponsor is so busy recruiting others that he has no time for them. As a result, they fail and tell everyone they know that MLM network marketing is a looser.
Another major problem with MLM is people who are so hell bent and determined that their opportunity is for everyone on the planet. They go after new recruits as if their life depended on it. The over sell the opportunity using inaccurate or even deceptive descriptions either unintentionally or out of ignorance. So, they’re doing a tremendous injustice to the people they are approaching.
I’m not saying that all network marketers fall into this bucket but enough carry on business this way to give the industry a bad rap.
“Is Network Marketing a god send or an evil program designed to suck the life out of you?” Only you can decide what the correct answer is.
Investing in a new business is a major commitment. You will need those skills of business management, marketing and sales to succeed. If you don’t have them, go get them before you launch. The MLM network marketing marketplace is a great place to participate. With determination and perseverance, you can succeed.
MLM network marketing has a bright future.