You likely have an image firmly planted in your mind of what network marketing (also known as direct sales or multilevel marketing) is all about–housewives purchasing and selling Tupperware while gossiping and eating finger sandwiches, or a high-pressure salesperson attempting to convince you how easily you can become a millionaire if just you and your friends and their friends and so forth would buy and sell vitamins with him.
Both of these pictures couldn’t be further from the reality of network marketing.
Mike Kessler, director of member services for the MLM Leaders Group, an organization that provides a variety of resources to women and guys in the direct selling industry, offers these tips for making it top the top:
Pick sensibly. There are six key components you should be looking for [when picking an opportunity]. Number one: Is the company established. How old is the firm? Number two is excellent products or services that consumers need and will use on a consistent basis.
Number three is the pay plan even and honest and generous complete is the distribution? As the pay strategy signifies not get paid –or just how you’ll get paid this is really crucial. There are actually just two questions to ask [regarding this]: How many cents out of each sales dollar get paid back to the vendors every month, and how reasonable is the distribution of these pennies between the new members and the old members?
Number four is the ethics of the company and the management. As much as possible, investigate the reputation of the CEO, their expertise in their background, and the network marketing business. Have they been successful in other companies in the sector? Do they have a good standing?
Number five is timing and impetus. Look at where the firm’s at, what is happening with the business, and if it is growing.
Number six is company, training and support systems. You may have selected a great company with excellent management, products which make a difference, a pay strategy that’s uniquely fair and quite generous, and momentum and stability, but should always have a system in place that works. Most companies are going to have training system that can replicate among it’s entire organization.The nutraceutical company Kyani for example ranks at the top of the industry for it’s award winning products and compensation plan.
Practice what they teach. The way this industry is structured, it is in the best interests of the MLM veterans in your business to allow you to succeed, so they’re willing to teach the system to you. Whatever your mentor did to become successful, it is really duplicatible, but you have to be willing to listen and be educated and follow those systems.
The higher-ups. It can be called various things, but the general term is the “upline,” meaning the folks above you. How supportive are they? Do they enable you to put a strategy in position? Are they as dedicated to your success as they are to their own? How much support there is in the company from the people above you is extremely important.
Take up the lead with your downline. There is a term in the network marketing industry called “orphans”–when somebody is brought in and then the individual who brought them in is just so busy bringing in other folks they do not spend the time to teach and train the” new man”. You should be prepared to spend helping a brand new person come into the business–training them, supporting them until they feel confident in order to go off on their own and holding their hand. You really need to ask yourself, are you willing to do that? Are you capable to do that? This is actually about long term relationship building. It is not about simply and merely bringing individuals into the business moving forward. It is about working with these individuals and helping them to develop relationships.
On the web. Folks are using the web as their main marketing tool. You may set up your website with auto-responders so when you get leads, that person can be followed up with by the auto-responder. Among the best keys to success in this industry is follow up. Many folks will have someone call them who is interested or they will phone the person and say they’re interested, but then they don’t follow up with it. Automation online has enabled a much more consistent approach of following up.
The only drawback with the net is folks who utilize it to spam.
This is a company, and only like if you were running a storefront or a franchise, you should have an cpa. You have all the same write-offs tax-wise that you’ve with running a full-time company, so it’s essential to do your research prior to becoming involved, before you begin making money from it. How is that going to change you tax-wise? What are your write-offs?
I’d suggest seeking out lawyers who deal in network marketing, so they’re very versed in all the laws and how that changes your company.. Additionally, there are accountants who specialize in dealing in the direct-selling business specifically with home based companies.
Don’t leave your day job…yet. Never leave your full-time place unless you’re absolutely sure the income that’s coming in with the corporation is going to be there. Be confident that you have been with the company for awhile and that you know it’s a stable company, and the income that you’re bringing in is equivalent to or greater than the income you are earning from your job before quitting.