Many of my clients get their first taste of business ownership in multi-level marketing companies. Unfortunately, this type of business model often gets a bad rap because so many aspiring entrepreneurs have absolutely no idea how to succeed in multi-level marketing and fail miserably. You can absolutely succeed in a multi-level marketing (MLM) business and do so pretty quickly as long as you have the 4 P’s of Profit in place, which I often discuss in my training programs for aspiring entrepreneurs and small business owners.
Succeed in Multi-Level Marketing with the 4 P’s of Profit
- Passion – This is the number one reason why multi-level marketers fail. You sign up because you see the glitz and the glam of the promised wealthy lifestyle rather than actually being passionate about the products and services you offer. You have to have passion to start any business, multi-level marketing included. The bottom line is entrepreneurship is difficult and especially in the very beginning while you’re building your business. There is no magic bullet that will make you rich quick but there are proven steps that you can implement to help you succeed in multi-level marketing faster. Make sure that whatever venture you are embarking on is driven by your passion for the products and services you offer or no amount of education nor processes will help you succeed.
- Purpose – You have to have a why, whether this is a personal mission or a business mission. Your passion is the what you do but your purpose is the why you do it. What do you hope to accomplish as a result of your hard work. What is the end game? What is your vision? What impact do you want to have? Starting a business without a clear purpose in mind, even an already set-up business such as multi-level marketing, will leave you drowning in mindless activity. It’s like getting in a car without knowing where you want to go. If you don’t have a clue where you’re going, how can you plan for gas, driving time, budget needed, rest stops, etc.? You will succeed in multi-level marketing if you have a purpose to focus you.
- Partners – These are the people who will support you and your business. This is everyone including your upline, downline, immediate family and best friends (who by the way are not always your customers), business consultants and coaches like myself, accountants, attorneys and other service providers. This also includes your customers who not only buy your products and services but also clue you in on their needs and interests so you can serve them better. You cannot succeed in multi-level marketing without a solid team around you.
- Processes – These are the tried and true, proven best practices, automated tools and duplicable activities that you strategically and intentionally implement to build and sustain your business. The more efficient your operations, the easier and faster you will earn money. I also sometimes refer to this P as “Productivity” because with adequate processes in place, you will be more productive.
Incorporate the 4 P’s of Profit into your marketing plan and you absolutely will be successful in multi-level marketing. For more information about how to succeed in multi-level marketing businesses, check out my book, Why YOU SUCK at Network Marketing. You will find out how to avoid many of the pitfalls most multi-level marketers make that keep them broke and broken.
Have you found success in network marketing? If so, tell us how you did it in the comments below and, if you found this post helpful, please share it to your networks.
Network marketing, also referred to as multi-level marketing (MLM), is a type of business model that provides
individuals opportunities to earn an income on a flexible, part-time, work-from-home basis. These opportunities often require an initial investment and provide a comprehensive training program complete with promises of riches untold.
Network marketing programs often receive a bad rap. This is usually because disgruntled former network marketers made no money and often lost a great deal of money in the pursuit of profit. Unfortunately, their failed attempts at earning from this alternative income stream was unfairly blamed on network marketing itself. But the truth is that network marketing is a great way to earn a little extra or even a full-time income. If you failed at this business opportunity it is much more likely because YOU SUCK at network marketing. Here is why…
5 Reasons you SUCK at Network Marketing
- You lack passion. We are constantly being barraged by messages of how important it is to follow your passion and purpose and yet hardly anyone follows this advice when it comes to their career and business choices. You absolutely can not make any money selling something that you could care less about. You must be excited about the products and services you market. If you are a person who never wears makeup, you wouldn’t do very well entering a network marketing program like Mary Kay. Similarly, if you love to travel, you would be an excellent fit for a network marketing program like Paycation.
- You try to sell. You’re probably thinking what’s the point of network marketing if not to sell, right? Network marketing is not about selling. It’s about building relationships. The word “network” means to connect and interact with other people to exchange information and develop contacts. Marketing is the method of communication used to make those connections. This means that network marketing is the exchanging of information about products, services, and opportunities by connecting and interacting with your contacts. This is not selling. This is SHARING! Most people make the buying decision based on their needs. Your job is to connect with them in a way that identifies those needs and then share only those features and benefits of your network marketing program that speaks directly to those needs. When you reframe this concept in your mind, network marketing becomes a breeze.
- You bore the heck out of people. Your presentation is just underwhelming. This is due in part to a lack of passion but may be because of a lack of knowledge. Your inability to awe could also stem from being too scripted. Network marketing programs do love their scripts and network marketers are taught to memorize them like sheep. Unfortunately, that memorization often leaves you sounding like an idiot robot. Again, you must be both passionate and knowledgeable about the products and services you promote through network marketing. The best method to become less boring is to actually use the programs you market. By using the programs, you will develop your own user stories rather than needing to rely on scripts. We are much more passionate about personal experiences and sharing stories are a great way to build relationships in an authentic way.
- You cheapen the product with lies. Network marketing can be difficult and overwhelming for someone who has never owned a business nor sold anything. It is really easy to over deliver on product expectations when you’re eager to sell someone. Your naiveté of marketing, lack of product knowledge, and desire to quickly earn back your investment, can sometimes lead to inadvertently misleading your prospects. Most network marketing programs offer exceptional training programs that do cover the basics of the sales and marketing process. Build up your product knowledge and use your programs so you can actually know what you’re talking about.
- You beg and plead like a poor pauper. This is really unfortunate. For all of the reasons you already suck at network marketing mentioned above, you may find yourself in a state of desperation to make a sale. At this point, many network marketers resort to begging friends, family, coworkers and even random passersby on the street to take a look at their opportunity. You become the proverbial thorn in everyone’s side and even your closest friends take to the hills when they see you coming. If you are a serial network marketer, this scenario is even more dire as you become the friend who is always pitching his or her latest get-rich-quick scheme. Even if you make the occasional sale, these are usually out of pity for you and result in massive chargebacks to your commission because of high buyer’s remorse. Avoid this scenario at all costs.
Are you struggling with your network marketing program? Grab my latest title, Why YOU SUCK at Network Marketing, to gain more insight. You can also book a FREE strategy session to discuss turning it around.