The Network Marketing Business – Is It All It’s Cracked Up To Be?
For struggling individuals and stay at home parents, Network Marketing is an attractive industry. I mean with all the crap that’s floating around the web, Network Marketing comes off as some sort of ridiculous get rich quick scheme. Most people figure it’s their ticket to financial freedom and quitting their day job.
The truth is that that’s just not the case for 95% of people who get started in this industry. Sure, my figures aren’t concrete; but I’d say it’s more like 99%. It sucks quite frankly, as it’s not as easy as people make it out to be. Can you enroll 2 people who enroll 2 people who enroll 2 people down 30 levels and strike it rich in a few months? Probably not…
Can you just join a company, tell your close friends about it and expect a life changing income? No, you just can’t and it’s not going to happen unless you take the necessary actions. Unfortunately, the necessary actions which I’ll go into in a minute aren’t easy; they also aren’t “comfortable” or doable for most people.
Most Networkers won’t tell you this, but the chances are you won’t find success quickly in Network Marketing… And I’m the guy who’s supposed to tell you you’ll strike it rich in 30 days. Unless you’re a genius, have tens of thousands of dollars to spend on marketing or know a crap load of people, it’s not going to happen. Almost everyone who’s ever joined a Network Marketing company under me has quit within 6 months.
The reason being is that it didn’t quite pan out how they wanted. Calling up a few friends and doing a home meeting isn’t going to build a 5, 6 or even 7+ figure business. It’s going to require a lot of time, perseverance, dedication and patience. It also requires goals which are what I wanted to talk about in this post. Most people never have goals in this industry. In fact most people never have goals in life period.
I hear the same old story time and time again… “I want to start a Network Marketing business, recruit some people and become financially independent so I can quit my day job”. That sounds great, it really does. But the thing is that it’s not going to get you anywhere. Most Networkers will join a company, recruit maybe 1-6 people from their warm market and be stagnant for a few months.
Only to discover that when they come back to their computer nothing has happened, their team remains less than 10 and they don’t know what else to do. That’s 1 scenario which I see way too often. Then the other is after people burn through their warm market and see no duplication, they come online and learn about marketing. Which is the right thing to do, at which point they get overwhelmed by all the marketing strategies out there and drop out all together. Or they start blogging, doing all these different marketing strategies only to struggle some more.
…That’s the very honest truth, and the most negative spin I could put on the Network Marketing industry.
It’s all true, but I was just talking about the beginning. I’m trying to convey that you’re probably going to go through a struggle in the first few months. You’ll struggle to sponsor your warm market, and then you’ll struggle with marketing. Traffic generation will probably be a huge struggle. Then you’ll struggle some more converting that traffic into leads, then converting those leads into reps. Once you’re able to recruit at will, things will become a little easier. You just have to work on duplication.
You’re going to have to overcome a ton of challenges and once you do, there’ll be nothing stopping you from reaching your goals. As I was saying you need solid goals. You can’t just say you want to be financially independent. You need concrete goals and plans you can follow to attain them. It’s quite simple really:
You need to work out the exact income you want to make and the lifestyle you want to live. Then join a company that you believe has the potential to get you there. Next you just have to work out how many people you need to sponsor in order for your goals to become a reality.
Say 500 reps… Once you work that out, it’s just a matter of figuring out how well your presentations convert. Let’s say you have a video presentation that converts 1 in 30 leads you send to it. That means you need 15,000 leads. Next you just work out how well your capture pages convert. Maybe 5% of visitors opt in from really generic traffic.
If I didn’t just mess up my maths, that means you need to generate 300,000 visitors to accomplish your dreams. I know that’s a lot of traffic, but perfectly attainable over the period of several months. If you’re using article marketing and each article you submit to a directory brings in 1000 visitors. You only have to write and submit 300 articles, now how difficult is that?
I just wanted to give an example of creating concrete goals you can work towards in your everyday life. In the beginning it’ll be tough and those figures might not be realistic, it will also be hard to work out those numbers. But that’s what you need to do if you want to be successful in the Network Marketing industry. You’re also going to have to master persuasion and prospecting. You need a great sales funnel.
If you have a great sales funnel with a high converting company presentation, and you actually follow up with people by phone, it’s going to be easy. Of course you’ll have to grind it out in the beginning by writing content, making videos and all that marketing stuff. You’ll also have to prove yourself to people until you can show them you’re making a ton of money. But when you break through the barrier of a full time income, recruiting won’t be hard. People will be begging to join your downline.
Then all you have to focus on is putting systems in place to recruit enough people for you to reach your goals. Then more systems to help your downline reach their goals. What’s important to remember is that you won’t get rich overnight. Even once you’ve mastered recruiting, you’ll only keep making money as long as you recruit. As the residual income thing is total bullshit. If you’re basing your goals on residual income, you’re going to fail.
If your company pays $20/month per active rep and you need 500 to reach your goal. Then you need to work your ass off until you hit 500 active, then work out the average drop out rate and figure out how to replace them each month with new reps. Although I’ve made Network Marketing riches seem like a total dream, it’s not as long as you’re ready to overcome a ton of challenges, work hard and endure a crap load of frustration for 3-12 months. Once you’ve got passed that initial phase of grinding and frustration, the rest is easy!
P.S. Like my stuff? Put your name and email address in the form below for more Network Marketing tips, tricks and secrets.
P.P.S. Leave me your thoughts, comments and questions in the box below!