The benefits of MLM
The MLM involves low investment, minimal risk and almost infinite earnings potential. So why everyone isn't doing it? And why is it so difficult to explain to others the benefits and business opportunities and make them take a part?
Stop for a moment and think:
Suppose you were offered to work for a company for duration of 30 days. You have two options to get paid:
1. Payment of Php10,000.00 daily for 30 days (the total of Php 300,000.00).
2. Payment of one cent (Php 0.01) that doubles its value each day, for a month.
What would you choose?
Let’s analyze which option will bring you the most money:
Amazing, isn’t it? It is an exponential growth.
Network marketing is building your business based on this mathematical calculation.
So what actually are we talking about?
Network Marketing (MLM = Multi-Level Marketing) is an improved marketing method, and you are about to understand the reason why; besides marketing company’s product, a reseller has an opportunity to build his own marketing network. He receives company’s support as well. In fact, distributor builds his own business without investing in resources and without any risk taking.
At first the business requires reseller’s presence. However, with a time he becomes a type of 'business owner' that beneficiates from the economic leverage of the network he has built.
Through MLM anyone can reach financial freedom, since the resource needed to succeed is not a financial capital but a human capital. Everyone knows people who know other people and the whole business are based on personal networking.
How does it work?
On the contrary to the traditional marketing method, that attracts attention in any way possible, Word-of-mouth marketing has been recognized as one of the most valuable form of marketing. It is based on person-to person relationships. And, it works on the basis of network marketing.
This is a situation where everyone wins. Client, who already buys the product, gets a chance to make money. That way the company reduces marketing cost but remains with the best advertising method- word of mouth. The resources saved by the company are invested in distributors that result in bonuses additionally to the current benefits. Hence, the customers are enjoying from a quality product as well.
How do you make money?
People who engaged in MLM are not regular marketers. They build businesses based on social networks. The power of these networks is that they are expanding all the time. The principle is very simple: Find number of people who will join you to build a business, provide them support, guidance, training and help them to unite people to do the same thing. This is a reproduction.
Suppose you have joined a network marketing company today. Let's see what your earning potential is:
Suppose that every month only one person joins you. That person invites another person next month and so on.
In the first month only one person joins your business. Therefore, you have the total of two people. In the second month each of you joins another person. It now makes company of four people. In the third month the business grows to 8 people.
After 5 months you will have 32 people in your network. However, personally, you added only 2 people to your company. After just one year you will have a chain of 4096 distributors. For example, even if we take an extreme case, where 90% of the members of the organization will retire from it, you stay with 410 distributors whose loyalty and reliability is very high.
What if every month you add three people instead of one? And imagine, if you add five people to the network?
Growth potential is enormous and your network can only grow and flourish.
A few facts to think about...
Nobody within your network is working for you. You are not responsible for their income or for the people within the whole network. Each of them is an independent worker just like you.
The key to build a successful network is replication of the same exact process. MLM is a system that has everything set up for you. You don’t need to develop any training programs or “reinvent the wheel”. The only thing you need is to learn leaders’ theory of business in order to manage the network and apply to the network you are building.
People who are "below you" in the network can make more money than you. Think about it, in traditional business world there is no chance the common worker will earn more than the CEO. It sounds incredible yet surreal. But in network marketing there is an equal opportunity for anyone.
In network marketing the leaders will ensure the success of the group, in contrast to the traditional business leaders, who are hiding information in fear for their work place. Network marketing leaders care about the success of all the members within the organization. It is the only way to move forward and make profits.
Pyramid scheme???
The majority of the people don’t know a thing about MLM or they get confused and compare it to pyramid scheme.
Is it the same? It is so not!
The only similarity of the two methods is that in both cases you add people to the network. And that's it.
Pyramid scheme is illegal. Its purpose is to create something out of nothing. In the pyramid scheme the product is worthless. There are high entry fee and the money goes to the apex of the pyramid and stays there. Most of the members remain deceived because of the clear pyramid hierarchy. Cash flow is always moving only upwards. The higher person’s position in the pyramid, the more money he gets from the people underneath.
In Network Marketing the money is not paid based on the amount of people the distributor signed. He receives commission based on selling a quality product. The position in the hierarchical ladder of the organization doesn’t matter. New distributor can have higher income than the distributor who signed him into the network.
Ignorance is depriving people from enormous financial potential!
Anyhow, is it so bright in the end?
Allegedly, the business involves low investment, minimal risk and almost infinite earnings potential. Therefore, why everyone isn’t doing it? And why is it so difficult to explain to others the benefits and business opportunities and make them take a part?
Yet again, the answer is ignorance, but this isn’t the only reason. Many don’t believe that they can become rich and when they get offered an opportunity to take control of their lives, get wealthy and live their dreams, they just don’t believe it could happen to them. They simply reject the offer.
Not everyone succeeds. The reason isn’t because of the method, product or company, but the person himself. To be a successful network marketer, distributor has to go through development and growth. This way can ensure a fair enrichment, but not an instant one. People think that within two months they will become millionaires and do not have the patience to wait and go through the process.
To summarize
Network Marketing is a business that gives an equal opportunity to succeed for everyone. Business combines low risk and investment, and high potential in return. It provides financial education, knowledge and leverage. Business generates passive income and simultaneously increases the free time.
Today, the situation isn’t simple. The future is uncertain almost in all areas. Any sensible person must consider his steps and choose the way that would allow him and his family a good life and economic well-being at this moment and in the future. Network marketing allows anyone to reach this goal and doesn’t require any special talent besides faith and perseverance.