The Reason Why Your MLM Business Isn't Working

[jerry1952]

More than ever, there is boom in people looking to start up their own online internet business. According to Google, at any given time, there are over 25 MILLION searches being done for online businesses. For the entrepreneur who owns an MLM (Multi-Level Marketing) business, it is the perfect time to expand and take your business to the next level. Unfortunately, over 95% of the people who have MLM businesses never break even, much less turn around any kind of profit. About 2% do see some small profits of a couple of hundred dollars per month, but that is a far cry from what they were expecting.

So, how does that remaining 3% manage to capture 97% of the revenues, and create significant cash returns on their time and investment?

If you are finding yourself in that 95% group, you’ve probably been following all the training and instructions that your upline sponsor and the company have given and provided you.

- You’ve paid for and received your own replicated website.
- You’ve placed ads in a bunch of classified ad sites
- You’ve bought lists and more lists of “qualified leads” only to see little or no sign up traffic
- You’ve spent money with Google Pay Per Click, and have watched that dwindle away.
- You’ve been on the phone chasing and pitching people, without any real success, but you have seen your phone bill increase.
- You may have even subscribed to one or two “traffic building” companies who promised you 5 -25,000 visitors to your site, but still you have no leads or sign ups.

Sound familiar? Don’t beat yourself up. Five years ago, these methods may have been effective, but with today’s internet user, and their level of sophistication, these practices are totally OUTDATED and USELESS.

The KEY to building a successful MLM downline is effective TARGETING. Up to now, you are hunting for leads. You are on small voice in a mob of millions who are also vying for, begging for, and screaming at your prospect, to have them join. Your goal must be to separate yourself from that mob, and instead of being the hunter, you need to become the HUNTED. Imagine how dramatically your business would grow, if you were able to generate 50 – 100 QUALIFIED leads on a DAILY BASIS. By “qualified,” I mean people who are actively seeking YOU out, with their credit card in hand, and READY to buy what you RECOMMEND.

Realize what I just said: ‘RECOMMEND.” No one wants to buy a Business Opportunity. That solves no need in your prospects life. Business Opportunities, in your prospect’s mind, equal work and money spent. Do YOU have that as YOUR goal and need? Your prospect is seeking a proven and workable formula for creating wealth, free time, security, etc. If they are presently struggling in their own business, they want and need answers to how to turn their business around, so they can realize their goals.

DON’T SELL THEM A BUSINESS OPPORTUNITY!! Trying to do that only drowns you back into that screaming mob of millions of other people who are trying to take money out of your prospect’s wallet. Instead, brand yourself as an expert in your field by presenting solutions to your prospect’s problems. When your prospect realizes that you are offering solutions to their problems, they will follow your RECOMMENDATIONS, which will lead to sales.

American Diamond used this strategy. They invested thousands of dollars in infomercials, but they NEVER tried to sell the viewer a single diamond. Instead, they presented a half hour show on how to properly rate and assess a diamond’s quality and value. At the end of their infomercial, they offered to send out a free book that discussed and taught this information. The mailed out thousands of these books. Guess who those recipients wound up purchasing their diamonds from, after they received that book? The bottom line to this is that American Diamond has become one of the largest retailers in the Midwest. What they did was they separated themselves from all the other jewelry stores, and became a CONSULTANT and a RECOGNIZED EXPERT for their customers.

Show a person how to solve their problem and they will follow you anywhere. It’s really as simple as that. Become the trusted expert, and people will continue to do business with you, PLUS they will refer people to you!

What a concept, huh?

See you at the top!

[AbbyP]

jerry1952 - wow, you so hit the nail on the head with this post. Although I don't do much MLM anymore, the single most important thing I learned that turned my many MLM failures into a success was very similar to what you just shared.

The twist in my approach was that I focused on exactly the kind of person I wanted to attract to my business/team and slanted everything I did to connecting just with them.

Instead of selling the opportunity or using the crappy tools the company offered, I put up a site that focused on a specific problem that the company's product helped me solve personally. In this case it was a nutritional company that had a good weight loss product.

I focused on just how this product helped new mothers who had gained weight during pregnancy get the weight off easily.

IOW, I was looking for a more specific type of person looking to lose weight who was part of a group I had something in common with. Neither the little site I had, nor the reports I gave out for opting in or through the auto responder focused on pitching the product until there was a bit of a relationship being built.

Then, instead of just pummeling them with my recommendation, I made them "raise their hand" and show they were truly interested in receiving my recommendation. How, you ask? I had them call me. MLM is all about relationships and I found the phone to be better than just email at helping me build the right realationships with the right people I wanted on my team.

I could share my passion and emthusiasm about the product with those who called more easily and it nearly always resulted in a new customer after a call. Then, as I built my customer base, I started sharing with just my customer group the different ways I had learned to use the product. This really helped me retain a strong customer base.

After a customer reordered for the 2nd time (when I knew they should be starting to see some meaningful results) then I focused more on asking them to let me know how they were doing, what questions they had, obstacles they were facing, etc. to encourage communication.

Only after they had reordered that 2nd time did I then also start sharing how I was finding it so easy to make extra money with the opportunity side of the business. IOW, I started searching within my customer base for those who were interested in extra income.

Yes this was a slower approach than the typical shotgun approach most in MLMers take, but guess what? Out of those who "raised their hand" again to learn more about the money making side of things...I had nearly a 90% recruit rate from that group. Better yet, I had people who liked and trusted me, who I had somethng in common with, who had already shown sincere interest in taking the next step. The result was a tight knit group of very loyal and motivated teammates (who were already loyal customers).

Unfortunately, the company I was working with went belly up and the whole thing left a bad taste in my mouth about MLM (again). Even still, I believe this was the right way to build a team and the results proved much better than anything else I had tried or bought into previously.

We also did a lot of things in groups with people who were just getting started on the opportunity side of the business. This helped removed fear and get people some success quickly so they didn't get discouraged and quit. Most everything I've shared here I learned from Kim Klavin's information/approach.

Abby

World of a difference between starting your "Own" online business and selling products/services for some other company to make that company rich..

I for one have never agreed and will never agree with MLM and it is not your own business. Your own business means selling your own products/services and keeping all the profits and not paying commissions out (unless you have affiliates).

I personally view MLM as such... If I wanted to work for another company and sell their products and services and get paid peanuts to do so then I just might as well keep a drab 9 - 5 job in the real world because in reality there is very little difference...

James

[ofir]

if you were able to generate 50 – 100 QUALIFIED leads on a DAILY BASIS. By “qualified,” I mean people who are actively seeking YOU out, with their credit card in hand, and READY to buy what you RECOMMEND.

If we all were able to , we all had succeed.

[williamcook]

Hi there...

I too found all of Mike Dillard's stuff to be extremely helpful. The number one course I recommend is Magnetic Sponsoring...it is the best and it will change the way you run your business.

William Cook