December 14, 2008

If sales, not recruiting, is the true focus of all MLM companies, why is advancement tied to recruiting?

Filed under Small Business by Sharon

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Comments on If sales, not recruiting, is the true focus of all MLM companies, why is advancement tied to recruiting? »

December 17, 2008

Timeless Mom @ 1:20 am

MLM’s are about many people ordering/selling product to make the comp. plan payout. Its not about super sales skills, its about communication skills and getting people to either buy something or sign up. Sales are a one time profit so that’s temporary income versus recruiting people that do their own business creating the residual income and big paychecks.
The more people in an organization the more product moves for those eligible to get that paycheck, and those are small percentages for an elite group of pro’s at the top in MLM.
Sales quotas that keep increasing are unrealistic for the average distributor, true? And so is recruiting 6-8 people per distributor when the average is 2.8. MLM with levels and percentages is antiquated, but network marketing is still powerful because it gives people leverage that they can’t get otherwise, with everyone doing a little bit which compounds.
I have above average sales because I learned more about web marketing but I’d never show my numbers to someone, its MY business…that’s like a franchise owner showing you his books.
But I understand your point, people lie and exaggerate which is unfortunate. I work a plan that has the same minimal requirements for everyone, once you earn the first cycle of checks it never goes higher and its a binary(two by two) plan.
Good luck to you I hope my “two” cents has helped.

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