Network marketing has been on the rise in recent times. Virtually any product or service that can be bought and sold is marketed through the MLM business model. Although the industry often touts itself as the solution to financial prosperity for all, the truth is that many MLMs don’t last long, and many distributors have seen their dreams of financial freedom fade due to the failure of the MLM company. They had. put all your hopes on.
While it is true that many MLM companies fail, the fact is that there are also many network marketing companies that have stood the test of time.
This article examines the 7 critical cardinal factors necessary for a successful network marketing company. My observation and research confirm that most successful MLM companies have all 7 ingredients in their business operations, while those that failed lack some or all of the critical requirements.
It is important that you review your MLM opportunity for these structural and cardinal requirements before investing a lot of excitement and time in the company..
# 1. A good MLM should have a great replicated site with a lead capture page designed specifically for your network marketing company.
This is one of the non-negotiable ingredients of all successful MLM businesses. In the new competitive marketplace, if your business opportunity does not provide a replicated site that has a lead capture page with an effective autoresponder service, it may not be around for long. Gone are the days when dealers had to find and buy these tools. This must be part of what the company offers up front or you may not have the opportunity to compete in the future.
# 2. A good MLM should have a free report or brochure designed for your network marketing business opportunity.
This report or brochure should explain the features and benefits of joining your MLM opportunity. You should focus on the support and resources available for recruiting new distributors; Explain that the company’s Product and Compensation Plan Report / Brochure should include testimonials from successful people in the company.
# 3. The system of a good MLM company must have AN EMAIL TRACKING SYSTEM
The truth is, most people don’t act immediately after choosing to review their opportunity or report. Most people must see a marketing message at least 7 times before taking any action. Therefore, a good MLM company should have an autoresponder email tracking system that your leads are continually marketing to you. These emails should be done in a professional manner and contain a strongly worded sales copy.
The company’s lead capture page will direct them to the autoresponder which will then start sending carefully worded follow-up emails on a scheduled basis without you having to do anything. This has become a staple of all successful network marketing companies in recent times.
# 4. A good company should have a continuous feedback system that uses fear of losing.
Research shows that more people buy out of fear of losing than out of profit prospects. The Good Company System Invoke prospects with the fear that they will lose commission on a new prospect forever if they don’t upgrade. It also shows them that there are negative financial consequences if they don’t take action now. This concept of Fear Of Loss should be an integral part of the email tracking system.
# 5. Your company must have a good product or service that people really want.
While people join MLM because they dream of making money, the Product still has to be good to sustain the business in the long run. It must have a useful purpose that satisfies a genuine demand and it must be able to be sold even if there is no compensation plan attached.
In fact, if your MLM does not have this particular ingredient, there is a 100% chance that the government will determine that it is a pyramid scheme. The product itself should be good value for money and distributors should be able to enjoy it even if they are not yet making a significant income.
# 6. A good MLM company must provide strong support to its distributors.
Many people have the enthusiasm to make money from MLM, but they lack the proper training. A good company should be able to offer training and support on a regular basis.
Many people who join network marketing these days are inexperienced and come up with unrealistic expectations of financial wealth. They need to be trained and redirected on how to make this happen for their uplines and for the company.
The most successful MLMs now have a solid training site and have very active leaders involved in training.
# 7. A good company must have an excellent compensation package
Many people are looking to earn extra income fast. A good MLM should provide opportunities for both great leaders and small distributors to make money quickly. Compensation should not only be simple to calculate for an ordinary person, it should also be easily achievable.
In these days of massive promotions by many MLMs in the explosive internet market, people need to see and touch some compensation quickly before staying with any company for more than 2 months. If your company’s compensation plan does not have a significant fast start bonus, distributors will most likely not be attracted to it in the long run and will fail. People are no longer buying in a future of more than 3 months before they start to see money.