Most people have heard the term MLM (Multi-Level Marketing) and usually at the end of that the word, “scheme” is added – giving a whole business model a bad name. Well…let’s change your negative perception and tell you how Aunt Joan earned that pink Cadillac from Mary Kay Cosmetics!
Many established successful businesses in this country have this business model. MLM is a marketing strategy in which the sales force is compensated for sales they personally generate, and also given commission on the sales of others they recruit, creating a downline of distributors and multiple levels of compensation.
Traditionally with MLM, a product is sold directly to consumers by means of relationship referrals and word of mouth marketing. But now in the 21st century direct selling also includes web sites, blogs and other online advertising and sales avenues. Sounds legit right – so why the bad press?
It all sounds good on paper, yet there is an endless debate over whether companies structured as MLM or direct selling are legitimate business opportunities or not.
Criticism has focused on unappealing products, high start-up costs, an emphasis on recruitment over sales, exploiting personal relationships for recruiting and complex compensation plans. Sheeeeesh!
However, the vast majority of people join and thrive because they believe in the products and the companies that stand behind them.
MLM companies empower people to establish their own businesses. This is very attractive to many entrepreneurs who do not want a boss but want the pre-established structure and support in place.
Most MLM organizations provide infrastructure and great training as well as top shelf rewards and most importantly, you get to work your job around your life instead of vice versa.
MLM and direct selling programs also offer very low barriers into entrepreneurship. you can start your own business for hundreds of dollars rather than tens of thousands of dollars. Most provide training, sales materials, support, and more than ample encouragement along the way. They do everything possible to help you succeed. Your success is their success.
So, the next time you meet someone who runs a “home business” or “MLM” give them credit for taking their career and life into their own hands and becoming an entrepreneur.
The way most MLM or network marketing companies operate is fairly simple. Instead of bringing their product to market in the traditional means through brick and mortar stores, they use their own satisfied customers as a salesforce to advertise and sell their products directly to the consumer.
The parent company does not have to pay for expensive TV, Radio, or Print advertising. Advertising is word of mouth or internet driven. The savings in advertising costs and the added mark up in price retailers normally put on the products are instead paid as commission to the sales force.
These savings from advertising, shipping and the difference in retail price from what the retailers would charge are paid to the entrepenuers who have built sales organizations as commisssions.
The the more products you and your sales organization sell, the larger your commission check. Many successful network marketers easily earn 5 figures a months. Some 6 figures per month. The elite top earner can earn 7 figures a month !!!
You earn commissions on the products you sell and you also earn commissions on every sale the people you recruit make, as well as the people they recruited and so on for multiple levels of sales. Even if you are not that good at sales, some of your recruits or people they recruited may be a dynamo that can build your downline sales organization to top tier levels.
Click on this link for detailed information on our >>> compensation plan
I believe that the entire MLM industry is poised for explosive growth and can be a significant solutions to the impending crisis many will face with inadequate retirement savings.
That may sound like a bold statement, but it’s not.
With the average 50 year-old estimated to have less than $50,000 in retirement savings, there is an obvious need to find alternative ways to either save more or generate supplemental income starting now, and throughout retirement. Baby boomers are tired of feeling guilty about their past savings habits and are interested in moving towards possible solutions.
As far as the retirement saving crisis is concerned, more and more people are coming to terms with the fact that they probably aren’t going to be able to save enough money to just sit around and slowly deplete their nest egg from age 65 to 100.
Another growing reality that benefits MLM and related businesses is the increasing number of baby boomers who are disenchanted with their current careers. They’re worn-out from the corporate grind and don’t feel the connection between their job and the people it impacts outside their office walls or company grounds.
Baby Boomers are shifting their focus from accumulating a giant nest egg to a desire to be part of something bigger and better… to have a positive effect on others… and working in retirement. Facets of life that can be fulfilled with specific types of products and service available through some MLM companies such as ours that offer proven healthy, beneficial products.
Combine the lack of adequate retirement savings with eye-opening statistics like AARP’s estimate that half of all baby boomers (76 million) are interested in starting a business and the makings of a massive trend are in place.