The Truthful Facts Behind MLM
People that choose the path of making money outside of the job usually become intrigued with MLM and what it promises to give them. What is MLM? Multi Level Marketing is what MLM stands for. It is a particular business model that many people confuse with illegal pyramids schemes. This is because every time you sell something you earn a commission and the person who hired you earns a commission. Essentially, you make a commission when someone you hire makes a sale, just like the person above you made a commission when you sold a product. It is important that you are careful, however, especially when promises of cash flow come your way. Be careful when doing MLM - here are some not so popular truths that you need to hear.}
In MLM people want you to work as a part of their team. They make it seem like this is the only way for a person to start a company. Their claims are not true. Creating a business with a personal product is so much better. This is better for you financially. You work for yourself instead of someone else. You are the product owner. The commission is yours. However, with MLM they will make you work with quotas. You will be required to dish out money for membership fees and registration. Basically, this is not worth the trouble.
Anyone who is an actual MLMer wants others to think that MLM is better than it actually is. But it is really fear that drives this industry. Recruiters use fear tactics by making people think that MLM is the only way to earn living as a result of the bad economy. They use this to drive the desire to earn independently and then feed off of a person's insecurity to keep them earning and meeting quotas. This type of behavior is not good for the industry as a whole.
The sales process you'll be forced to use to sell products and hire people is similar.
How many times have you seen a MLM opportunity pointing out that you can make money easily by selling stuff to people you know? More importantly, how many times have you seen the same old spiel about how thrilled those people will be to immediately join up to the program under you? The marketing spiel always makes it seem like you'll be able to get everyone you know to sell your products to all their friends very easily. In reality, expecting the people you know to become your recruited sales force, so you can earn more commissions, is a great way to alienate those people. You might be lucky enough to sell one or two items and you may even recruit a couple of people, but the likelihood of you recruiting enough people who will continue selling those high-priced products so you can earn commissions from their work is extremely unrealistic. MLM has long been associated with being related to schemes, scams and other unsavory business practices. Unfortunately, the MLM marketing hype is so very clever about attracting newbies who all hope to become instant millionaires with no work involved that it becomes easier to see how this broken industry continues to survive. Sadly, those people who do get sucked into MLM often lose a lot of money - and a lot of friends - before coming to the conclusion that all online business must be the same type of scam. Take note of this article and don't become one of those people.