Tuesday, August 17, 2010

Can someone prove to me that Network Marketing or MLM does not work?

People that bash Network Marketing don't seem to know what they are talking about. They or someone they know failed at it so they conclude that it doesn't work. So because you don't know how to do something that means it can't be done or that its bad. Right? Sounds close minded to me. What other things in life have you given up on? The first and second time I looked into MLM I didn't get the result I wanted and I too quit. But, then I accidentally ran into one that worked for me. I was introduced to the products first then they mentioned I could make money selling them. I said no thanks but I'll try the products. They were great so I became a customer. I referred the products the same way you would refer a restaurant or a movie. Then out of nowhere I got a check it paid for half of my product that I was more than happy to buy as a consumer. That got my attention from there I did some serious research on MLM. To conclude that it works and it's up to you to find a good company.

Can someone prove to me that Network Marketing or MLM does not work?
I am glad to see that there are like minded people here. It is great for me to see that you have joined because of the product or service that your MLM/NWM company offers. I could not begin to tell you the way that you should do your business or which company best suits you. The answer only lies within each individual person. Many of us give up on things in life because we do not find the how. It is easy to find the why but, finding the how takes much work. I can say this to those who are having troubles or have a negative feeling about MLM or NWM.....There are many ways to build a business outside of the traditional ways in which many fail or quit upon. If you wish to build a business, it is very important to learn about your target market and how to position yourself in front of those who seek what you offer. In my opinion the best way to do business is to provide a solution to others needs, whether it be through a product, service, or the opportunity. If you are not making substantial income from the opportunity I would suggest that you don't lead with the opportunity. If you are making great money and choose to lead with the opportunity then I would hope that you can back it up with mentorship to lead others to do the same. MLM and NWM are big business. I would suggest that anyone could make a income from it should they be open minded. Even big names like Trump and Kiyosaki have found a way to make an income without fully participating in MLM/NWM. There are also many small names (average people) both negative and positive who generate an income outside of an MLM/NWM company. I would recommend due diligence before starting any business venture.








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Reply:MLMs can be good business and you can make lots of $$ in a MLM. However, in most MLMs only the top eschelon of sales make a substantial amount of money..





In such MLMs as "Quixtar" (the former Amway).. much of the money that top eschelon makes is by selling marketing materials.. not by selling products or having their "down lines" selling products. In fact, I believe that MLMs like Quixtar can require a "lifestyle" choice.. treating the company and its sales efforts almost like a religion. Therefore, iIt is a personal choice.. ok for some.. but for many you do not make a lot of money.
Reply:I am in a MLM. It works for me. I'm not filthy rich, but I do pretty well. You cant expect to be a part of the MLM, sit and make money, That just doesnt work in my book. It takes alot of work. Just like advertising. If you dont advertise, how is anyone suppose to know your there? It does work, you just have to wanna work at it. I'm happy to hear your making money.
Reply:No, I can't prove MLM does not work.... because I have MLM success all narrowed down to 4 things.





1. My MLM Prospecting: I use SiteBuildIt to create my websites. There is nothing better. http://www.prospecting.simplyseen.com





2. For getting MLM Referrals: An online/offline support tool for getting referrals for network marketers from all companies. (Take a free trial and you will see what I mean) http://www.referrals.simplyseen.com





3. My MLM Autoresponders: Follow Up is handled by AWeber. And the campaign sharing facility allows my sequence of follow up messages to be copied from my account straight into my new downline's account so that I can get him/her in full swing in quick time. http://www.followup.simplyseen.com





4. My MLM Training: All handled in the Renegade Network Marketer. http://www.simplyseen.com
Reply:MLM can work, but the people who try to pull you in to most MLM schemes tell you it's so easy. They say all you have to do is refer some of your friends, who will refer their friends, and eventually you'll have this network built up underneath you that pays you thousands of dollars every month. Not true. To make money at MLM you have to invest a lot of time (and in some cases, a lot of money) to get to the point where you see a return on your investment. Another part of the problem is some people think "pyramid scheme" and want no part of it once they find out it's MLM. The people who do well at MLM are salespeople in the sense that they believe in the product they're selling, they're enthusiastic about sharing it with others, and they're motivated to put forth the effort that it takes to make it work. Most people just aren't.
Reply:Everybody that answered so far did exactly the opposite of what you asked. They are trying to prove it does work. You asked to prove that it doesn't work. Here are some of the main reasons:





1) 40% to 75% of the Retail Price paid by the end consumer goes to paying the MLM. That means that most products can be purchased for a significant savings outside the MLM scheme. Since price is a significant justification for where you purchase an item, MLM's tend to sell to other people inside the MLM or to unsufficisticated shoppers





2) MLM is a prymaid, no matter how you want to name it. As a prymaid, it quickly runs out of people to sell products to. By it's very design, you STEP on the very people that must be in place to make you successful.





A prymaid scheme is illegal in the USA. MLM's have to play by certain rules to appear as if they aren't a prymaid. But, they often fail at this. as your own example proves. That is, purchasing your own products does not count as sales in the legal sense. You have to sell 30% of your inventory to people that get intrinsic value from the sale (i.e. people that don't make any money off it... they just get the product).





People can earn a little extra cash doing MLM's, like Mary Kay. But, to base your entire income off it takes an incredible amount of work at the perril of your normal skilled job of which you got your education. Most people discover that the effort put into the MLM doesn't pay back nearly as much as the effort they put into their choosen career path. For example, an Engineer may make $130K plus benefits meaning the company is really paying him $175K a year for that $130K gross pay. As an MLM, he might make $3,000 a month or so..... but with the effort needed to do this, his real revenue stream is sacrificed.... when the bottom falls out of their financial picture.... they will always return back to the Career job.... as it pays off much better.


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