Is MLM a scam? Aren't ALL MLM companies a scam? Its unfortunate that a few bad MLM companies have given the entire industry a bad name. I actually had a really bad taste in my mouth when it came to MLM for a long time, until I discovered that it wasn't usually the company's fault that I wasn't succeeding.
Don't get me wrong, there are plenty of pyramid schemes and MLM scams out there that are trying to rob you out of your hard-earned money, but if you do a little research you'll see that most companies that utilize an MLM compensation or Forced Matrix pay plan are actually legitimate businesses, and it is up to YOU to make them work.
Given the MLM company has a good flagship product that it is promoting, the problem usually lies with the advice that the member is given either through the company, or that member's sponsor. Of course, the company is going to want you to promote their product. And if you don't have any experience in network/internet marketing, it sounds like that's obviously the only way to make money with an MLM program. So what's wrong with it? Well, the company tells the members to promote, promote, sell, sell and the user does JUST that. They end up making multiple sales, get a few dollars per sale, but then the members in their down-line start leaving and suddenly there are holes in their matrix that have to constantly be filled to keep gaining a monthly commission.
Constantly filling in the holes of members that leave can be a very repetitive and frustrating experience that usually causes the member (we'll call her Jane) to leave, be extremely angry with the company, and name it a SCAM because the company cannot live up to its claims. So the company got some promotion out of you, got some sales out of you, so really, they're happy and that's why they continue to tell their members to promote, promote, sell, sell. But, you say, isn't that what you're SUPPOSED to do in an MLM company, is promote their product to as many people as possible and rake in whatever sales you may get?
Absolutely NOT. If you focus on the company's product, and promote their product, SELL it, and then move on, you will end up like Jane up there. Burned out, Time wasted, More gray hairs, and certainly no success in whatever MLM company you are involved with.
So how do you make money? Focus on building a TEAM. When you get people to sign up, focus on mentoring them and teaching them HOW to build their own team. That way, you are not getting people that use the product for a little while and then leave. You will be filling your down-line with people that can use the product, promote their business, and build a team that will ultimately contribute to YOUR down-line. If you do this, the member's monthly costs will be covered shortly, and they will have no reason to leave because they are getting a free product (monthly costs covered), and they are making money. With that, you no longer have to worry about constantly filling the holes in your matrix because you will have a stable, constantly growing down-line.
So the bottom line is, build professional relationships and be a TRUE mentor. Don't just promote the product and leave your down-line hanging. Focus on the people, not the product. Network marketing is a relationships business, not a sales business. Remember that and you will be able to make a lot of money with any legitimate MLM program that has a good product.
About the Author
Need a mentor? My MLM Business has a great product, and as a member of my team, I will personally guide you every step of the way until you are earning a monthly income. For more information, visit:
www.FreedomPlusTeam.com
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