A major, controversial issue for new network marketing companies is the future of these companies. Many network marketers like to join a company when it is a new, or start-up, company because they believe that they will enjoy bigger paychecks if they join early. However, these companies have three possible futures, and network marketers, with a little investigation, should be able to easily predict which future awaits any given company. 1. Out of business. Statistically speaking, about 90% of network marketing companies end up filing bankruptcy, and the dreams and hard work of early network marketers disappear with them. Companies bound for bankruptcy are easy to spot: usually, company leaders have no experience in the network marketing industry and its requirements for success. It is very simple to investigate nowadays anyone using the internet search engines; network marketers can simply go to http://www.google.com, and search the names of the founders and leaders of these companies. If they are unable to find any information about them then it is easy to conclude that those leaders are experimenting with their time and money. Seeking independent third party opinions is a must. 2. Transform to direct sales. Many of these companies start with a multilevel marketing plan because they lack the budget for national marketing. Those companies have the intention from the beginning to transform their structure from network marketing to direct sales after building their customer bases. Distributors are left, again, with their dreams in the air. These companies are also easily identified: their leadership has no network marketing experience and therefore no loyalty for the network marketing industry. While they actually state their intentions very obviously in their policies and procedures, naive network marketers usually join without thoroughly investigating the proclaimed opportunity they are joining. Those intentions are easily spotted simply by reading and analyzing cautiously the company policies and procedures. Most of the time, it is easy to spot obvious statements such as, “the company has the right to eliminate the compensation plan anytime.” 3. Prosperous, long-lasting companies. New companies can become worldwide companies. You can predict such a future for a company again by checking on the leadership and the founders of the company. Founders of such companies usually have extensive experience in the industry; they have been distributors themselves for most of their lives and are known to have a high level of integrity. Many of them are well known trainers in the industry. Obviously, the policies and procedures are very simple and straight forward without any hidden or suspicious statements. Joining a new network marketing company may not be the ideal, but with some basic investigation of the leaders and by reading and analyzing the company policies and procedures before joining, network marketers can avoid years of failure and frustration.
Copyright © 2006 Nabil Khoury
By: Nabil Khoury
Posts Tagged ‘Multilevel Marketing’
New Network Marketing Companies: You Can Predict the Future
November 23rd, 2009Multi Level Or Network Marketing – Statistic Or Success?
November 7th, 2009
Probably the first time you went to your Multilevel Marketing meeting you were inspired, you were charged up. The presenter probably told you that this wasn’t really selling, just relationship marketing. Just get two people who get two people and so on and before long, you will be making $$$$$$ per month. Just visit with your FNR group (friends, neighbors, relatives) then make a list of your warm market (about 150-200 people), people that you know and see on a regular basis; the butcher, the baker, and the candlestick maker. Simple, just takes a little work. Oh yeah, you have a replicated website to send prospects to and you will be charged $$$ per month for that.
Well after about two months you are a member of the NFL Club (No Friends Left). Your sponsor says you may need to buy some leads. Or buy genealogy lists, people who have been in network marketing. This will improve your chances of getting leads. Just make about 100 calls a day.
Well after about two months you may have signed up a few people but chances are you are spending more money than you have made. Again this is the result of most people including myself at one time.
Multilevel Marketing or Network Marketing continues to get a bad eye because of these reasons. But it is a business that can give you that extra income from your home. Home based business opportunities give a person the chance to work extra from home and earn the needed money to pay the bills. While $10,000.00 a month income sounds great, most anyone would be satisfied with just a few hundred dollars a month to make a car payment. But if you can make that much, you can make much more. It’s just all in the know how!
And what is that know how? I would never be able to explain it all here in this article. What if you had people coming to you to find out about your product or service? What if you never had to get on the phone and call people to get them in your business. What if you were never subjected to rejection (one of the key reason some people fail). That’s the position where you have to be.
Do you see yourself as successful? Can you see the day when you can be making the big bucks from home? Do you even think it’s possible? If you can’t visualize those goals, you will never reach them. But for those people who get in the right mindset, there are tactics and strategies that the top internet marketers use to explode their business that are available to everyone who has the desire to reach their limits.
One of the most important things these top earners do is change. I’m sure you have heard of the definition of insanity, doing the same thing over and over again expecting different results. Well when something these guys are doing doesn’t work, they change in a heartbeat! They don’t go for perfection, only progress.
Take a hard look at your progress, does the definition of insanity fit you. What are you doing different today in your business that you were not doing last week? Examine yourself closely. You can become a top earner!! Do you want to be a statistic or a success?
By: Mac Caldwell