|Translate this page
Home / Business / Home Business
7 Poor reasons to get involved in MLM
Network marketing, or "MLM" can be a great way to earn everything from a small additional income to a generous full time living.
However, many people join mlm type opportunities without really knowing what they are getting themselves in to. This is probably one of the biggest reasons for the fact that some people have very low thoughts about this type of business.
Mlm works if you do it right. Period. That said, here are seven really poor reasons for enrolling in a network marketing opportunity:
1) Earning "easy money"
I know - the mlm-companies are very good a promoting their business as a simple 1-2-3 process that anyone can do and become an instant millionaire. Especially online it has almost become a standard to use super long and totally over hyped sales letters.
This is the equivalent of claiming that anyone who can open a can of beans can be a master chef.
Don't get me wrong, I do think most people CAN make it in mlm if they put their minds to it. But you must be prepared to learn many new things and you WILL have to work for it. Make no mistake about that!
2) Expecting that "spill over" will do all the work
Many mlm opportunities are built on what's called a "forced matrix". For example, in a 3x9 matrix, when you have sponsored your three first new members, the fourth will be placed under the first person you sponsored. This person has thus gained one person in HIS downline, without any effort on his part.
Now, some companies would have you believe that their top recruiters are so effective that the spill over from their marketing will automatically make you, who are joining at the very bottom right now, an instant success.
This is simply a pipe dream - it will never happen. Yes, you probably will get a few people spilled over into your downline, but nowhere near enough to guarantee your success. The sheer width of the matrix on your level, means that there is an enormous amount of representatives that will have to shear any amount of spill over.
And who says the top recruiters are as active as they once where anyway? Worst case scenario, they are now working on something else entirely, because their income in this particular opportunity is already secured.
3) Thinking that a product is so great it will sell itself
This is a classic mistake, because most mlm systems simply aren't really about the product. This fact is difficult to swallow, I know.
As a greenhorn I remember joining this lottery syndicate-mlm, thinking that "everybody" would want better chances at winning the lottery - right? The disappointment was huge when I discovered the truth - some people even made fun of any attempt to mention this great new thing I had discovered.
Likewise, in mlm, it will not matter if you are selling a breakthrough product that contains every mineral and vitamin under the sun - if you do not understand what network marketing is really all about.
4) Doing an old friend a favour
We have all been there - an old friend you haven't met for years who suddenly calls you and want to set up a meeting about something he will tell you more about when you meet...
I'm not saying that this couldn't be a potentially good business. But calling all your friends is a very ineffective way to do mlm, and you should never join any opportunity only to do someone else a favour. Because in the end this is about you, your money and your career.
5) Earning a lot of money in a short period of time
Most mlm testimonials always seem to go something like this:
- In my first month I made $800 and now, in my third month, I have been able to quit my job and...etc.
While not outright lies, testimonials like these are usually collected from individuals who, through luck or skill, managed to join this particular opportunity from the very beginning. They are simply at the top of the pyramid and they often know exactly what they are doing - the're the mlm experts.
Like most offerings, mlm opportunities have a life cycle that grows rapidly in the beginning. During this phase of explosive growth it can be very easy to sponsor dozens of new people per day, with relatively little effort. After all, this is something entirely new and one well placed ad can do wonders.
However, if you join after this initial explosion, it is much more difficult to see quick results and it requires more effort to attract new people into the business. Patience, knowledge and the right strategy is required to succeed here.
6) Big name X endorses this program
This is somewhat related to the previous point. Mr. Big Hitter have made thousands of dollars with this opportunity already and he is not shy about telling anyone how EASY it was. And he's probably not lying either. It was easy - for him.
Because, like noted above, he probably got involved in this opportunity long before it was launched to the general public, because he already knows all the right people.
He (or she), also know their stuff, and have the resources (large email lists, advanced Internet marketing tools etc.) to quickly and efficiently let the word out to a large number of people.
If you are relatively new to this game, it is a very bad idea indeed to assume that you instantly could pull off feats worthy of a network marketing guru. Would you compare your golfing abilities to those of Tiger Woods?
I didn't think so.
7) Thinking this will be a free business to run
I'm not talking about the membership fee of your mlm opportunity here, because that is a given. But many people falsely believe that they can market entirely for free using the Internet.
While it's true that there are some effective low cost Internet marketing techniques you can use, you should never fool yourself into believing that Internet marketing will be a no cost affair. Moreover, the online competition is usually quite fierce.
To summarize; Mlm can offer an exciting new way to earn money. But your motivation for joining a mlm business shouldn't be based on one of the misconceptions mentioned above.
Treat your business like a business, and you will be okey.
Article keywords: mlm, network marketing, multilevel marketing, work at home
Article Source: http://www.articles3k.com
This Article has focused on the don'ts of mlm. In his free email course Bjorn Hakans goes into detail about what really makes network marketing tick. See the details at Mlm secrets
- 1). How To Make Money With Your Own Virtual Assistant Business By : Liz Folger
So you want to start your own virtual assistant business. Great! I assume you want to start your own VA business not only to own your own business, but also to make money. More and more businesses are outsourcing and paying VA’s, and there is no reason why you can’t be one of them.
You’ve got your business name, all the office equipment you need, and you’ve got the determination to make your business a success.
- 2). 5 Easy Steps to Determine Your Financial Status So You Can Break Free of Your Job Sooner By : Laurie Hayes
It doesn't have to be unpleasant or messy, but it does have to be done. You may be well on your way to building a full-time home-based business or may just be tossing the idea around right now, but having a clear understanding of your current and future financial commitments will play a MAJOR role in your strategic plan for business success.
Home-based business owners don't normally wake up one day and say, "Yep.
- 3). Take A Little Time To Market Your Work At Home Business By : Larry McCullough
"I am new to online marketing and I do not know what to do to get started."
I got a confession to make, Neither did I when I first started marketing online.
And I am willing to bet most if not all successful marketers on line today did not have a clue either when they first started.
But you know what, The only thing that separates a person new to marketing from a expert is time.
- 4). Heart condition Blessed me into a lucrative Home Based Business By : Frank Zavorski
Last spring I was diagnosed with a heart disease which would eventually affect my employment. I found a business in January but was slowed down due to my heart. I received a pacemaker/ defibulator last month. After a week to recover I started to work the business. Never in my life have I experienced so many people encouraging me to succeed, all across the country.
- 5). Making Enduring Earnings From A Home Business By : Chet Holcomb
I can't think of anyone that wouldn't like to make enduring earnings from a home business with little effort. The keys to success in a home business that operated 24/7 even while you sleep is called enduring income and you can make it work for you.
Enduring earnings, in a nutshell means that once you have started the process you can collect money, possibly forever.
- 6). Vending Machine Sales – It All Depends On Location And Machine By : Peter Crump
The vending machine sales that you might realize from your vending machine business are hard to predict. The sales depend on the machines that you use and where you place them. You do need to have a business licence or a seller’s permit in order to have sales through vending machines. However, it doesn’t matter how many machines you operate as part of your business – one permit will cover them all.
- 7). So, You Want To Be A Work From Home Mom? By : Nicole Dean
What exactly are the options for a mom to make money at home?
Unfortunately, there are scams everywhere – some you may have heard of sound too good to be true – and they usually are. Oftentimes, women lose a lot of money before they even find a legitimate opportunity, let alone one that they love.
Below, you’ll find a list of popular work from home options.
- 8). Make Money At Home The Easy Way! By : Nati Roberts
Who among you can live without money? Isn’t it impossible? Does it make a difference if you have a single cent or a bundle of green money in your pocket? Indeed, it does make a difference.
Parents cannot buy the needs of their children, cannot send them to school and cannot give them what they want. The only solution is money…
Even if you are already surrounded with all the things that you need, if you do not have money, you cannot do anything else.
- 9). Simple Strategies to Ease Your Work-From-Home Job Search By : Susan Hill-Break Time Virtual Services
Finding legitimate work from home opportunities can be a challenging task for the work at home wannabe. The process itself can be fairly complex and finding that perfect job is not as easy as it may seem. When you’ve spent hours, days, and months searching for a legitimate opportunity, only to get taken in by false claims, where can you go for help?
Here are some basic tips to help you in your work from home job search that will help decrease your frustration and ease the pain.
- 10). How To Avoid Conflict With Partner While Working From Home? By : Lama_Kalla
24 February 2006
Lama Kalla © 2006
Conflict with Partner is one of the major obstacles facing business owners both men and women. Business owners tend to spend countless hours to get their business off the ground and start making profits. Having an angry partner will only cause more anxiety, stress and leave them with an additional obstacle to overcome.