MLMs or Multi-level Marketing Companies are usually confused with pyramid schemes. This happens when the focus is shifted to acquiring new recruits. They should focus more on promoting a high-quality product instead. Pyramid schemes make money through the sale of “starter packs” and “business kits.” As a result, people end up buying products they really don’t need.
One possible reason why MLMs got such a bad rep is due to the high failure rate. Many recruits fail because they don’t have the basic understanding of what to do. Multi-level Marketing may prove complex for beginners to handle. However, it’s not entirely the fault of the recruits. There’s also the chance that their sponsors left them on their own. In order to succeed, the sponsors should work together with the recruits.
There are but few of the confusions between multi-level marketing and pyramid schemes. The following should go into both of these in detail.
Multi-Level Marketing or MLMs
For starters, multi-level marketing is a great opener. Anyone can become a business owner with just a few bucks. As long as you can afford the starter packs the MLM company offers, you’re on your way to becoming successful. This is probably the easiest way to own a business. You can start a business by other means. The downside is you will need loads of money. MLM provides you with an option that is affordable and easy. As a result, this accomplishment will make you feel more confident. The much-needed momentum will help kick start your new career as a business owner. Hopefully, this momentum keeps going.
In order to truly succeed in business, however, you’re still going to need lots of money in the long run. Just because you’ve started in network marketing does not mean you’re instantly rich. It’s like going to the gym. A gym membership does not mean you’ll have muscles or abs right away. You still need to train and sweat it all out. Depending on how you perform, you’ll won’t earn as much as you’d expect at first. But be patient and you will be rewarded handsomely.
Once you’ve started in an MLM company, you will have the chance to work with other people. As long as you’re eager to help people, many will help you as well. Network marketing functions better when everyone is productive. As a result, you will have the desire to collaborate with others and others will be more than willing to assist you. This is important since one of the many ways to earn more in MLMs is when you have a huge and productive network.
There are plenty of reasons why multi-level marketing is bad or why pyramid schemes exist. Most of the time, people are just misinformed or the information is presented to them in a misleading manner.
One reason is the fairytale success story. Some promoter present network marketing as a way to get rich fast without lifting a finger. That does sound promising and most recruits will buy into it. Is it true? Yes, it is possible. But can everyone do it? Without the proper knowledge and application, many will fail.
This misinformation leads to disastrous results. Many people believe the success stories and will carelessly join the network. After all, who does not want to get rich? Without doing anything, to boot. Most are either too naive to believe this or are looking for shortcuts to become a millionaire. Not that it’s not possible to get rich from MLM. This is definitely possible if a person has the patience, knowledge, and discipline. But when they realize it requires hard work and their dreams do not happen in a day, they get frustrated and quit. This is where the bulk of the complaints about MLM come from, which is unfair.
Another aspect that most people fail to realize is that MLM is really about promoting a product. This certain product provides value to the clients. There is a lucrative opportunity in the market, most people just weren’t looking. Being able to provide value to customers via a service or a product is the core of a business. Instead, they focus on the “dream” and the shortcuts when that’s not where the money is. Seeing that they love shortcuts, their laziness gets the better of them. This makes the business model and the many people, sponsors or recruits, involved look bad.
How to Succeed in MLM and avoid Pyramid Schemes
Now that you know the difference between MLMs and pyramid schemes, how can you become successful as a business?
In order to succeed in any business, learn how to build a network. This is not easy and will require time, persistence, and resources. Multi-level Marketing will help you get rich but it won’t do so in less than a month. People need to realize this and they must change this way of mindset. You will definitely earn a lot if you are willing to work for it. There’s no question that MLM can help you make money and achieve your dreams as long as you do it right.
Another way to become successful in MLM is to learn marketing. As if the acronym was not a dead give away already, learning how to promote the product is key in multi-level marketing. You will feel good about helping other people. Additionally, your clients will see the value you provide and will refer you to their friends. Before you know it, you will gain a loyal following and it becomes more about service than money.
For you to build a network and learn marketing, you will need an expert in multi-level marketing. Luckily, Rick Billings can help you with that. He will guide you how to become a successful self-employed home business entrepreneur. Why believe success story fairy tales when you can learn actual and realistic approach to multi-level marketing that can help you achieve the lifestyle that you’ve always dreamed of? Check out the video below to know more how Rick can help you:
For more advanced tips and information on multi-level marketing, feel free to contact us anytime!
To Your Success,