MLM – Multi-Level-Marketing – has been around for years.
We all know someone who’s in it, and have probably been invited to enough “parties”, been involuntarily tagged on Facebook, or pressured in person, and have developed a real hatred to the industry.
Ask the average person what is MLM and they’ll say “It’s a pyramid scheme”. If they don’t know what it is, explain how it works, and they’ll still turn around and say the same thing.
I have many friends and clients in the mlm industry. Some do great. Some do poorly. Some bounce from one MLM to another.
I want to set the record straight and give you the cold hard truth about multi-level-marketing.
For starters, because of how poorly most are at promoting MLM, it unfairly gets a bad rap. But don’t hate the industry because most of those trying to make a living in it suck at it.
With only marginal differences, the odds of “making it big” with MLM are the same as making it big with any other business – VERY LOW.
Only a small percentages of businesses succeed, and only a small percentage of MLM’s succeed. The stats are surprisingly close. And the reason for success or failure is the same – making it in the business world is hard work.
Now, just for the record, I don’t have any problem with MLM. None at all. Let me ask you this: If you were to start a burger business, would you want to start from scratch, or use a proven growth system like, say, McDonalds?
When you’re starting in MLM, you’re doing exactly that. You’re buying a system, a franchise, hopefully a proven one, and you’re going to follow the steps, A-B-C, to get to a set result. So to be very clear, an MLM isn’t that far off from any other business. If you own a confectionery store, you’re buying products from a vendor, who buys from a manufacturer, who gets its raw sources from their vendors, etc. Every business relies on people higher up, who all share in the business. We’re all in this together.
But here’s where MLM really differs from most other businesses… there’s very low, or absolutely zero, start-up cost. Anyone can get into it. There’s basically no barrier of entry – and if anyone can do it, the competition is insane and it dilutes the products.
Oh, and just to be very clear here: you’re odds of “making it” are cut down to ZERO if your product sucks. The key to any successful MLM is having a product that people actually want and will continue to buy. If the business only grows as long as you keep signing people up, it’s going to fail. If people, long after you’ve signed them up, keep coming back for more product, then your odds are substantially increased.
Okay, so I’m going to bring this back to the entire point of this article and my main view point…
Assuming you have a great product or service, it takes an incredible amount of work to get a business going. And if you’re going to put in the amount of effort that it truly takes to make it, why not just build a real business that you can turn around and sell for lucrative profits? Or have it produce for you so much more than you can ever dream of?
If takes an immense amount of work to get both an MLM or any other business going, so why not build a business that can be leveraged so much better, and that doesn’t force you to put out so much of your profits to your up-line?
If you have what it takes to build a successful MLM business, odds are you can build a successful business in a different industry as well- and I feel there’s far greater upside potential outside the MLM industry.
So I’m not against MLM, but if you’ve got what it takes to make it, I feel there are better places to make it in.
Just my two cents 🙂
To your success,
PS – IF you are in the MLM industry, and want to grow it, let me know and I’ll let you know what we’ve done with several clients to really GROW. And no, I’m not talking about spamming your Facebook friends and annoyingly tagging everyone you know in the post! Shoot me an email at email@example.com to chat 🙂