According to a USA Today/Gallup Poll taken in July 2009, almost 25% of working Americans have considered becoming self-employed, and many of these people will look to MLM companies as they take the step toward independence and greater prosperity.
There are thousands of MLM companies selling anything and everything to the American public. For those looking to earn their incomes through MLM, it will be necessary to compare multiple MLM companies to find the one with the best products AND commission opportunities.
Many MLM companies have flashy Web sites and fancy market-speak but offer little more than traditional pyramid schemes or outright scams. Sometimes the squeaky wheels get the grease, and MLM companies with their (often) meaningless bells and whistles are no exception. The point of MLM is to attract as many customers AND distributors as possible, and some MLM companies will do anything to reel people in, even if it isn’t ethical.
An MLM company sales pitch is only as good as the product being pitched. If there is no substance to the product, you, as the seller, will lack confidence, and it will be difficult to sell the product and bring on new distributors. If this happens, you will not succeed with the MLM company.
According to Forester Research, in 2009 alone, U.S. online retail sales were projected to rise 11% to more than $156 billion. This statistic is interesting because it speaks to the legitimacy of some MLM companies. MLM companies offering a real, useful product are part of this statistic. It’s an important consideration to keep in mind as you’re looking for your next income opportunity.
Tips for Considering a MLM Company
• Investment. If the company is asking for thousands of dollars to join their ranks, think carefully about the investment. MLM companies usually offer training, support, and products for the money. Read the fine print on the company agreement.
• Commission. If you’re interested in MLM, be sure you receive a commission for EVERY level of the marketing ladder. You should see a commission for all your sales, everyone you bring on board as a distributor, and a portion of the sales they make on behalf of the MLM company.
• Reputation. Some MLM companies have better reputations than others do. If the company you are considering is mired in legal battles or has recalled its product, your sales will lag.
• Products. Never align yourself with an MLM company that doesn’t have useful, reasonably-priced products. If the company isn’t straightforward about what they sell or lies about a product’s efficacy, you don’t want to work with them.
• Distribution. Your reputation as a marketer can be damaged if the MLM company you choose can’t get products to customers in a timely manner or if they have problems with accounting. Ask the MLM company about their distribution channels and technology infrastructure.
• Support. The most successful MLM companies help their distributors be successful. This means the company you choose should be prepared to share their “insider secrets” such as: search engine optimization, leveraging Web technologies, growing your network, and managing an independent business as a representative of the company.
As you research MLM companies, patterns will emerge to help you differentiate legitimate opportunities with reputable companies from scams and schemes. No company can guarantee sales, but they can provide products your customers want and a viable business model that new distributors want to join. Trust your gut when it comes to choosing an MLM company that makes sense for you.
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