Is there any hope for MLMs anymore? With Vemma going down the drain and Empower Network no longer really around, and the Jeddi Hippie that first got me into Empower Network, no longer doing MLM but his own business of teaching others how to get leads in Facebook, its hard to have hope for MLM anymore.
This blog will be going over why lots of MLM’s fail and what can you do about it.
MLM stands for Multi-level marketing or in other words its a direct selling company that relies on affiliates to distribute the product or service at commission, but it also provides compensation incentives to earn income at multiple levels, usually you get to earn bonus from people you recruit.
Most MLM, the bulk of the high incomes are earned when you recruit enough people into the company because that will always generate the most amount of product sales you are responsible for, since 10 people going out selling products will always bring more return than 1 person.
Its in the companies best interest to pay bonus for recruiting people because that’s how these direct selling companies expand exponentially.
When you build incentives for people to build residual income, that’s the ticket to all the motivation in the world, lets face it residual income is the nicest thing in the world. You can take a 2 month break and that money will continue to come in. You can continue to raise your earning every month and your income perpetually goes up.
When I think of all the top achievers of the game of life, they continually invest in mentors and further their education. This develops and foster self-confidence and beliefs that turn into greater returns over time.
Same thing is important in the MLM industry, people join these business opportunities without the proper skills and wonder why 95% of them fail.
In my opinion its more difficult to make it it for most people, because unlike being an employee where there is a boss that keeps you accountable, now when you join a MLM no one keeps you accountable, its up to you to keep your business going and there in lies the problem.
The same reason why people want to join a MLM which is to become your own boss, the same reason why people fail in this game.
Is MLM still viable?
So can you still make it in MLM? Yes
There are new MLM’s starting up all the time as well as old MLM’s like AdvoCare and Avon still going strong, seeing substantial increases in revenue every year.
One thing to note is it may be smart to not join brand new MLM’s because you never know how long any of these companies are going to last.
But one thing is for certain, it is important to do your due diligence.