Tired of MLM Failure? Want to know why most people fail?
| by Kimberly OBannon | August 22, 2008
These are the top 5 reasons that most people fail with a Multi-level marketing company.
1. The individual participating in the MLM business opportunity does not take personal responsibility for their success.
How can you honestly join an opportunity, do nothing, drop out, and then say that it was a scam? True that there are definitely bad companies out there, but I would argue that the vast majority of us who participate in these programs enter with the best of intentions and then quickly get discouraged and drop out...even when the company itself is legitimate. The main thing is that those who are consistent and persistent are the ones who bring home large monthly checks.
2. That leads into the next biggest reason why people fail at MLM. If you take responsibility for your actions, you are not given any clear direction from the company on How to Market your Business.
We join a company and then ask “What do I do Now”? Then we are told the same old things which don’t work. For instance, the marketing plan for most of MLM businesses is “make a list of friends, family and neighbors” and call to invite them to a special hotel meeting, 3 way call, house party etc. And then don’t forget the “don’t tell the prospect what it is that you are selling…keep it a secret”. Oh yeah, like by now not everyone knows what type of business you are in when you don’t tell them what the meeting is about. This type of marketing just gets you into the NFL club…No Friends Left. I know I lost one of my best friends this way.
3. The price point to join the MLM business is so high that most “average Joes” can’t afford it.
So you have decided to go for the latest MLM business and you find it costs you two months salary. But, you reluctantly pay since you know your Just Over Broke (JOB) will never get you to your dream lifestyle. Besides, you’re told “just use other people’s money” in other words, a credit card since you will make so much money the first month that you’ll pay off the card and never pay interest. What really happens is that you end up paying the debt off long after you have quit the MLM business.
4. A garage full of 900 case of the latest “wonder juice” that you can’t use or sell.
Too many MLM businesses require a large upfront inventory purchase, which just ends up collecting dust or makes a great TV stand. This requires direct selling skills which most of us do not possess. We end up feeling like use a car salesman. I don’t know about you, but a “car salesman” is not what I aspire to be.
5. There are too many complicate steps to follow and levels to achieve before any real money is made.
Once you have purchased all the products that you can’t use, then you realize that it will take 1000’s of people in your downline and at a 1.00 per bottle of your “wonder juice” and it will only take you 14 months to make back your original investment. Oh yes, that will get you your dream house and car in oh about .…never.
What do you do then to make money in a MLM company? Find a company that doesn’t require meetings, cold calling, or inventory but does offer a simple duplicatiable marketing plan, that is inexpensive to get into, but allows for quick results monetarily. In essence, say hello to the cross roads where the Ease and Automation of Internet Marketing combines with the leverage and residual income aspects of Network Marketing.”
1. The individual participating in the MLM business opportunity does not take personal responsibility for their success.
How can you honestly join an opportunity, do nothing, drop out, and then say that it was a scam? True that there are definitely bad companies out there, but I would argue that the vast majority of us who participate in these programs enter with the best of intentions and then quickly get discouraged and drop out...even when the company itself is legitimate. The main thing is that those who are consistent and persistent are the ones who bring home large monthly checks.
2. That leads into the next biggest reason why people fail at MLM. If you take responsibility for your actions, you are not given any clear direction from the company on How to Market your Business.
We join a company and then ask “What do I do Now”? Then we are told the same old things which don’t work. For instance, the marketing plan for most of MLM businesses is “make a list of friends, family and neighbors” and call to invite them to a special hotel meeting, 3 way call, house party etc. And then don’t forget the “don’t tell the prospect what it is that you are selling…keep it a secret”. Oh yeah, like by now not everyone knows what type of business you are in when you don’t tell them what the meeting is about. This type of marketing just gets you into the NFL club…No Friends Left. I know I lost one of my best friends this way.
3. The price point to join the MLM business is so high that most “average Joes” can’t afford it.
So you have decided to go for the latest MLM business and you find it costs you two months salary. But, you reluctantly pay since you know your Just Over Broke (JOB) will never get you to your dream lifestyle. Besides, you’re told “just use other people’s money” in other words, a credit card since you will make so much money the first month that you’ll pay off the card and never pay interest. What really happens is that you end up paying the debt off long after you have quit the MLM business.
4. A garage full of 900 case of the latest “wonder juice” that you can’t use or sell.
Too many MLM businesses require a large upfront inventory purchase, which just ends up collecting dust or makes a great TV stand. This requires direct selling skills which most of us do not possess. We end up feeling like use a car salesman. I don’t know about you, but a “car salesman” is not what I aspire to be.
5. There are too many complicate steps to follow and levels to achieve before any real money is made.
Once you have purchased all the products that you can’t use, then you realize that it will take 1000’s of people in your downline and at a 1.00 per bottle of your “wonder juice” and it will only take you 14 months to make back your original investment. Oh yes, that will get you your dream house and car in oh about .…never.
What do you do then to make money in a MLM company? Find a company that doesn’t require meetings, cold calling, or inventory but does offer a simple duplicatiable marketing plan, that is inexpensive to get into, but allows for quick results monetarily. In essence, say hello to the cross roads where the Ease and Automation of Internet Marketing combines with the leverage and residual income aspects of Network Marketing.”
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