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Archive for October, 2010

MLM Compensation Myths Demystified

There are some common misconceptions regarding compensation plans both for the distributor and the company that need to be explained further.

I will only be a serious builder once I find the best company plan.

There are people who do not work hard enough in their business that they blame the plan for their failure. They blame the plan the management or even call them a scam. If you decide to leave a company for a better plan make sure you leave strictly based on business reasons and not to justify your failure!

The compensation plan is not important; all I need to do is recruit people.

A good plan will make or break a company. When distributors understand the company’s plan clearly and find that it works fairly for every distributor who works hard and income is generated accordingly the down lines would not fall out and leave easily. In fact when a leader of a whole group of down lines works trains and motivates well he would sustain the distributors’ enthusiasm right from the start till he achieves success too. As a rule the team survives only if the down line builder has exemplary qualities for them to emulate and together they would all be able to make money.

Other considerations like payout maintenance and even the joining fee play a part in the company’s survival. If a company has quite a high maintenance and their distributors are not making money they will drop out even faster.

I must explain the entire plan to the prospect so that he understands.

A new person would probably understand only half of your plan initially. He would get very confused so it is up to you not to try to make him understand everything about the business immediately .When he feels pushed he might not sign up even.

Keep the plan simple and explain in terms of benefits instead of features.

If you are starting your own network marketing company outlining the benefits and writing in terms of potential earnings is more advisable because most people want don’t want to think too much.

If I want to start my own network marketing company all I need is a good plan only.

Ultimately the success of a network marketing company depends on many factors. The most important factor is who is managing the company. Even a company that is making the most money will still fall apart if it is not backed by a solid management team. Yes a good leader and a few more persevering down line leaders who can help support newbies and train support and motivate them too.

Other factors also include having a viable product. A good product ensures repeat sales and cash flow for both the company and the distributors. The plan should be designed to complement and synergize with all the other elements. At any time each element should not be designed at the expense of the other.

If the company has a high payout to the distributors everyone will join the company.

If everyone in the company is enjoying extremely high commissions you must observe the product more carefully .An expensive product does not necessarily mean that it is a product of quality or reliability If a product’s markup is too high it may be good for the distributors in the short term and distributors sometimes find the products too unreasonably expensive even for own consumption or use. Then when they themselves are not consumers or users how can they convince their customers to do so? Customers can sense the sincerity of distributors in their sales promotion and this does not auger well for the sales in the long term. In this way high retail markup will hurt the consumers and devalue the product.

A product must rely on good repeat sales and reasonable markup at the retail level or else the company will not survive long. In their eagerness to make money fast most companies simply grab any product and give it an exorbitant markup so that many builders would grab the opportunity to make fast bucks without any thought of its long term survivability.

About the writer:nbsp;nbsp;Downline.com is the MLM Downline Building Resource center. Learn how to build and manage your MLM business at the Downline Resource Center. Copyright 2009 Downline.com. All Rights Reserved Worldwide.Reprint Rights: You may reprint this article as long as you leave all of the links active do not edit the article in any way and give the author name credit.

MLM Business Is Not Just About You

One thing that really annoys me about MLM and mind you Im very very passionate about MLM is that people who spend too much time in seminars and conventions talking on and on about themselves.

This usually happens during pin recognitions. When someone achieves a new Diamond pin they go up on stage and tell people things about themselves how hard they have struggled and how people should change their attitude if they want to succeed in network marketing.

Of course there is nothing wrong in and of itself when someone gives a personal testimony about their struggles regarding the heartaches and the lessons learned but the problem surfaces when people go on and on about their speeches without respecting the time schedule and when they start causing others to nod off or grow restless they still dont know when to quit.

Sometimes they will keep on talking even after people start hinting them to get off when they play interval music and it gets louder and louder.

You may be a great MLM leader but if you do not respect protocol or other peoples time and patience then you are no different from a selfish child grabbing stealing the limelight from other people who deserve it as much as you do.

After all you are not the only one talking on stage right? What if there are 10 or 20 others who want to share for only 2 minutes each? If everyone shares an extra minute or 2 it could literally drag on for hours and people will not be able to leave for home early!

I guess to give them some credit they have slogged long and hard to get up to that pin level. Enduring the rejection of others and watching downlines drop off one at a time is quite a lot of heartache especially if you are the one who brought them up and they still leave in the end twice as painful if they join another company and they start line pinching but still it doesnt justify a lack of respect towards the clock.

I always believe that you have to have a very clear intention when you share something with someone on stage. It is not about showing people how good you are. On the other hand when you share something that will give other people value even if you do not whisper your achievements or blow your horn one bit people will still respect you by virtue of the nuggets of wisdom you have shared.

About the writer:nbsp;nbsp;Jaz Lai is a network marketing lead generation expert. Download your free video on how to use the internet to Double or Triple your organization within the next 30 days. Available for the next 24 hours only click below for instant access : http://www.HowToNetworkMarketing.com

MLM Businesses And Affiliate Sales Programs What Is The Difference

MLM Businesses And Affiliate Sales Programs What Is The Difference

MLM businesses and affiliate sales programs are both programs that if handled correctly enable you to earn extra cash from home. Don’t belittle the amount of money these working from home opportunities offer. Once you understand the way they are run and how the commissions are earned you are on your way to earn some extra cash from home.

Mlm businesses are generally known as multilevel marketing MLM or network marketing. Mlm businesses are basically a marketing strategy that compensates distributors of direct selling companies not only for sales of goods and services they personally generate but also for the recruitment as well as sales of other distributors they introduced to the company. The products and services are usually marketed directly to consumers and potential business partners by means of relationship referrals and word of mouth marketing. Some of the top MLM distributors I know have earned in excess of 10 million in their mlm businesses in about 10 years.

Affiliate sales programs or better known as affiliate marketing is an internetbased marketing practice in which a business rewards one or more affiliates for each visitor or customer brought about by the affiliate’s marketing efforts. Commissions are paid for any sales the affiliate makes. Some of the best affiliates in the market generate thousands of dollars every single month just by their own efforts. These best affiliates would have a huge mailing list. Once they have a product or service to offer all they do is send an email broadcast to their list and bingo! A single email blast would have reached the thousands of people on their list most of whom trust them and any product or service they recommend and they are able to earn extra cash from home. Earnings range from 56000 in 28 days to 70000 in just one clickbank account this guy has 10 such accounts.

So if it is so easy to earn extra cash from home with mlm businesses and affiliate sales programs then why are people still going to work at their jobs?

The reason is simple. Although it is easy to earn money working at home there are however some disadvantages.

With the mlm businesses your commissions normally grow according to the size of your organisation. As mlm businesses require you to recruit more downlines into your organisation in order to enjoy residual income opportunities this is one of the downfalls of mlm distributors. Where are you going to find prospects after prospects to approach regarding your working from home opportunities? How many of your distributors are strong enough to actually face rejection after rejection? Even if you manage to get your prospects to join you as your downline you still need your downlines to work and generate sales failing which you will not earn any commissions. The main advantage of mlm businesses is to be able to leverage on the efforts of your downlines which will not happen if your downlines find it hard to build their organisation.

On the other hand if you are in the affiliate sales programs you are generally working on your own and do not have a team of affiliates to leverage on in order to enjoy residual income opportunities.

How then can you achieve a winwin situation where you can get the best of both worlds? Is there a way to create the ultimate internet mlm marketing synergy?

Well to do that you can look for online mlm businesses. Start building your mlm businesses online and train your downlines or affiliates in online prospecting which requires you to generate web traffic with your lead capture page in order to build a mailing list. Once you have mastered this art you will find that it will be so much easier to move your mlm businesses in a mode similar to the affiliate sales programs. Best of all everyone will be working more as a team and helping one another to succeed.

About the writer:  Patrick Koh TL is the owner of easyleadsgenerator.com. Easy Leads Generator helps the distributors in “MLM Businesses” attract an endless stream of prospects and turn them into paying customers. If you are keen to succeed in network marketing today” you must learn the secrets and strategies from some of the best online marketers in the industry.