Network Marketing success can be ellusive -this is due to the negative image of the industry
Network marketing is still one of the most effective ways to create asset based income. All too many people have the association of being approached by an old school mate from 20 years ago who mysteriously phones up out of the blue and wants to 'run something by you' or wants to 'bounce a project off you' only to find out that it is an MLM.
This business model has been endorsed by leading financial gurus such as Robert Kiyosaki and the economist Paul Zane Pilzer. One of the major benefits which makes it accessible to more people is that the capital requirements are negligible and in most instances involves redirecting your 'anyway money' into building an income producing asset. Have a look at Robert Kiyosaki discussing wealth creation strategies and why he favours a network marketing model.
Other advantages include minimal overheads (no salaries, payroll taxes, rent on premises etc), minimal administration and in many instances a business which will spread internationally.
Make no mistake, like anything worthwhile in life, it takes effort - there is no such thing as a free lunch. The rewards can be significant. It is no coincidence that the people who succeed in the industry are generally very motivated and ambitious.
Dr Bill Quain has done much to educate the public about the benefits of prosumerism. He states that the consumer mentality is a result of consumers being easy targets for stores to manipulate our spending habits. What they do is to entice us to spend with the with scores of proven strategies. These include easy credit, clever advertising and creative store displays and product placement.
In contrast to this, Dr Quain feels that with the advent of the Internet, it is easier than ever for consumers to spend money. This is why we should start thinking like producers rather than consumers. Through this paradigm shift, we are able to leverage the power of the internet to create more income through the power of
prosumerism
When it comes to the idea of understanding the BIG picture of network marketing, I found
this video
to be very informative to understanding the broad stroke concepts
Contrary to popular belief, the business model is not a
pyramid scheme
which is strictly illegal. The amount of money you earn is not dependent on your position and it is quite possible that a person who joins your organization after you can make significantly more than you. It all depends how much effort you are prepared to put in.
Network Marketing is a viable business model that generates significant income for millions of people worldwide. However, it tends to attract more than its share of get-rich-quick artists. The other major problem is that there are no selection criteria for getting in.If you can afford a kit, you're in. Far too many people get in thinking (or they are led to believe) that just by getting in, they are assured of cashflowing into their bank account as their 'downline explodes.'And, of course, there are hundreds of scammy lead-selling companies that sell the same lists of a million leads "for your downline." Hello? Think about that one. These don't even deserve a second thought, yet they prey on the weak with remarkable success -- but only the lead-selling companies make money.
The Internet certainly has changed the landscape with the business model. In the end, Independent Business owners (IBO's) are on their own when it comes to driving traffic to their Web sites, and if they do, little comes from it. Most of these sites are little more than a blatant sales pitch - a page that sells the opportunity and the products, and a page that asks for a name, an address, and a phone number.
Unfortunately, there's nothing online that annoys surfers more than a blatant sales pitch, especially if it turns out to be an "MLM opportunity."
I believe that there is a workable model for network marketing but not necessarily within the confines of how it has been carried out over the last 20 years. For a brilliant overview on the current state of network marketing, read the free report
The 7 Great Lies of Network Marketing
and for an in depth look at a workable alternative to the traditional model read
The Renegade Network Marketer
For an incredibly lucid perspective on network marketing listen to Paul Zane Pilzer on his audio Nightingale Conant series "The Fountain of Wealth." (Click on the play button below)