Building your network marketing business to last is a challenge because the vast majority of every kind of business fails. Same for MLM distributors. The barriers to owning a network marketing business are low, so virtually anyone can start their own business. To be successful, you need to either start with a big network of people who know you, like you and trust you, or you must build that network. It’s important to pick a plan that pays well for real production. It’s a big plus to understand marketing, because you will need to continually build your network. And if you are like most people who don’t start with that strong network in place, you must build it from the get-go.
There is a lot involved to become successful in MLM, just like in any other business. And yet, so many people these days are hyping the “multiple streams of income” approach in MLMs. You can look long and hard and still never find anyone who is successful in 2 network marketing businesses at the same time. Heck, it’s tough to find a person who has actually built full-time income in ONE business. That’s why it’s amazing people think they can build FIVE business at a time, as some of them claim? It’s probably pretty simple: they’re full of it. They’re hoping that if they promote 5 businesses to you, maybe you’ll see one you like and join. Most people who do this just disappear quickly. What works is to pick the best one you can find and build that business. Multiple streams of MLM income is an idea whose time will never come.
A lot of people start in network marketing with the idea that they want to get in position to make a lot of money. They hear stories of people earning 7 figures a month. And it certainly has happened. However, the key is to understand the numbers. Not long ago, a report was compiled of the financial statements of 7 well-known, publicly-traded MLM companies. This report showed that what these companies pay out to the distributor base ranged from a low of 25% of gross income to a high of about 42% of gross income. Think about this. You’ll always have just a portion of profits to the distributor base. Let’s call it 40%. If you have a heavy hitter at that company making $1 million a month, what does that mean? You can certainly conclude that a lot of other reps aren’t getting much return for their work. The truth is, the LESS that heavy hitter is paid, the MORE that the part-timers get paid. And those folks account for 95% of everybody in MLM, and they are the ones who have the dream. People get so excited when someone gets a huge paycheck. However, it may mean you actually have LESS chance to earn a good check.
These ideas and many others are discussed by Michael Dlouhy in the free ebook “Success In 10 Steps.” I compiled a list of MLM keywords recently and discovered something interesting. Reading the search results, 75% (!) of the top 20 MLM-related search terms had to do with “leads!” If ever there was evidence of the #1 focus of network marketers, that was it for me. Obviously it makes sense. To win the network marketing game a steady stream of targeted, interested people to talk to. Now you see why people put such a high value on this ebook over the years. It’s generic, so you can actually use it as part of your own lead generation system. Very workable plan.
By: James B Byrd
Posts Tagged ‘Mlm Distributors’
Network Marketing Business – Building Your Network Marketing Business to Last
December 30th, 2009Network Marketing Goals – Your Road Map to Success
December 13th, 2009
What are network-marketing goals?
Network marketing goals are the road map for your future network marketing success, your destination. There is not one network-marketing distributor who wants or expects to wake up and realize he/she has spent $20,000 this year in advertising and product to build his network-marketing business with nothing to show for it.
Every year people spend thousands on advertising and product without realizing an acceptable profit. Ninety-five percent of MLM distributors fail in their new business within the first year.. Does this have to happen? No. Do you get into the car without a route in mind when you are headed to the grocery store? Are you just going to drive aimlessly, or do you make sure you know where the store you need is located? Does your road map have directions or are you riding with your husband /boyfriend? Men don’t generally want to stop and ask directions (all women know this).
Setting Network Marketing Opportunity Goals:
Set short-term network marketing opportunity goals, which can be 3 months to 1 year. Long-term network marketing opportunity goals are normally 2 to 10 years. These time frames can be adjusted and you want to keep flexibility in your plan.
Examples of a network marketing opportunity short-term and long-term goal:
Short-term Goal: I would like to add one new person every month to my business each month.
Long-Term Goal: I would like to achieve ‘master distributor’ level and have built an organization of 2000 people within two years
Break network marketing opportunity goals down into steps:
Research network-marketing opportunities for the “right” one. Take the time to step back and look at your opportunity from an unemotional, purely business perspective.
Research the network marketing industry
Research various network marketing companies
Sign up for your network-marketing opportunity
Set up a schedule to properly train for success in your network-marketing opportunity
Set up network-marketing goals for yourself beginning with the smallest to largest
Implement a plan to move towards your ultimate goal
Aim Your Network Marketing Goals High
What good are setting network-marketing goals if they aren’t stretching your ability? Along with that comes the task of setting realistic goals. What if you are a high school student who has struggled to pull a B or C in Science? Do you think it’s the most achievable goal to become a nuclear scientist? Set a realistic network-marketing goal for you to experience success.
Don’t expect 10K per month in June if you began your network-marketing opportunity in April. Plan to talk to five prospects and make one sale within your first week. You need some network-marketing success quickly and more successes at various points along the way so that you remain motivated.
Now that you are experiencing success, set larger, achievable goals for your 3 to 6 month period in your network-marketing business. For example, your goal may be to have 5 retail clients and 3 business associates signed up within 4 months of beginning your network-marketing business.
Once this goal is achieved, look at your company and set your next goals accordingly. Use a time line in your network-marketing goal setting exercise, but realize there will be obstacles you must over come. The three people you were sure needed your product didn’t buy anything, and the two people who were searching for a network-marketing opportunity didn’t think your business was for them. The new network-marketing distributor you recruited will not implement a plan for themselves. You will have obstacles to overcome. This is the time you turn to your team and their experience to help you keep your spirits up and let you know this happens to everyone if they are in business long enough.
This is a minor setback unless all your eggs were in one basket. If so, you’ll have to start all over. In the case of the high school student, his obstacle is his grades in one of the main disciplines involved as a nuclear scientist…science.
Staying Motivated!
This is hard when there is negative feedback from friends, family and co-workers. You were excited about your network-marketing business. Whether it was intentional or not, you have just had your bubble burst. Family members are normally trying to protect you from getting hurt,and in the process, they step on your dream.
How To Remain Motivated In Your Network-Marketing Opportunity
Talk to your supporters; avoid the rest with news of your network-marketing business opportunity for now.
Keep the goal in sight, always thinking of the final outcome.
Break it down into smaller pieces so that you have little victories along the way.
Celebrate the little victories.
By: Brenda Bunney