Overcome Misconceptions about MLM Products and MLM Companies
Multi-Level-Marketing (or MLM) companies are not successful because they are serving a 3 billion dollar market. MLM companies are not successful because they spent 10 million dollars in product testing or marketing. They are not successful because they have an amazing new double cross matrix or a triple bonus compensation plan. No, it is none of these.
It is about the problem they solve!
In a “perfect world” we would see a specific problem that millions of people have, discover and patent a safe and inexpensive solution and sell it directly to the millions. We can’t do this because this isn’t a “perfect world” we live in. However, if we look at network marketing we can get pretty close with a few companies. Let me explain.
Most people that are in network marketing are initially attracted to the idea of the “perfect world” but they tend to jump in on cool or trendy product companies. When analyzing a company associate opportunity, the first question should be, “What is the problem they are solving?”
This saves a lot of hassle and eliminates most network marketing companies which don’t really solve any problem. The next question should be, “What is their specific solution and can I buy it anywhere else?” If you can buy it somewhere else (online, Wal-mart, grocery store or other MLM company), why bother? The “healthy energy drink” market is a classic example of this. You can go into just about any gas station or 7-11 and find a healthy energy boosting drink of some sort. There is no urgency to buy it through an MLM. Even if they are making fantastic profits, they won’t last.
The final set of questions to ask are, “Will I use this product everyday and need and want to reorder every month?” and “Is the monthly cost less that $100/mo?”
The first question seems to be obvious but there are some very cool products out there which are MLM which you would buy only once. Avoid these. They don’t make consistent profits. Also, when you answer the question yourself you can get a better feel for whether millions of other people would. Part of this question is the cost. If the cost is less than $100 per month ($75 per month, for instance), the amount seems reasonable and can be added in to most budgets. If it is over $100 per month (for instance $149 per month seems to be popular) it will stick out on a monthly bank statement like a car payment. Most people need to spend a car payment amount on an actual car and not on a super juice, vitamins, lotion or make-up!
Remember, part of overcoming the misconceptions about MLM products and MLM companies is to realize that people are really joining you, not just the company sales team! A successful MLM leader (you) will have done this company analysis and be ready to present it to anyone who is interested in joining your opportunity.
What does this mean? When you present the opportunity you are not giving them the standard company slideshow. You are showing them your analysis and your opinion.
That is what sets you apart as a leader!
That is a part of what made you successful and will make them successful too.
In summary quit following everyone to trendy MLM products or companies which don’t have specific, unique and reasonably priced solutions to real problems.
A MLM Product Myth – “These Products Sell Themselves”
How many of us have heard this myth? “These products practically sell themselves.” I am still looking for those incredible network marketing company products which have somehow “sold themselves” to unsuspecting customers. It is not wrong to want to sell these products, if they actually existed.
Are “self-selling MLM products” a myth?
Take a moment, step back and think about this. If these products did “sell themselves,” why would they need an army of network marketing associates to sell them? The truth is that they wouldn’t. The manufacturer would just set the product on a shelf in a store and stand back and wait for the money to come in.
I will admit that there are great products sold by network marketing companies. Some of them would sell well if the money spent on network marketing associate commissions was re-directed to traditional advertising and promotion. The bottom line is that one way or another the product has to be advertised and presented to the buyer.
Why does anyone repeat this statement if it is a myth?
This statement plays to two basic human faults: greed and laziness. Greed arises in the idea of making millions of dollars in a particular network marketing company and lazy in the promise that it will be effortless.
There are millions of dollars made in the sale of information products that promise “easy money.” The lure of internet marketing riches is a prime example. It is not difficult to see that preying on either of these faults earns others more money.
The fact is that a long-term successful network marketing company takes hard work. It is not for the greedy or the lazy.
Are some MLM products easier to sell?
For network marketing associates it helps if the product quickly solves a problem that most people have. This would help the products come up more naturally in day-to-day conversation. The problem that the products solved would be an easy testimony for the network marketing associate and it would be easy to offer “social proof” or reports from other previous buyers. These testimonies from others make it easier for new buyers to try the product. They are less worried about getting scammed and reasonably assured that they will soon have the same quick results.
Some products claim to solve an “end of life” problem. They claim to have the “anti-aging power of super anti-oxidants” or some long-forgotten ancient herb capable of rejuvenation. The results they claim may be possible but it is difficult to see “measurable results“ in a timely manner. This type of product needs salesmanship and marketing and certainly don’t sell itself.
The other factor which makes products easier to sell is “continual need.” The best products need to be used or consumed daily and re-ordered monthly to continue to see the problem solved.
In summary there are no products which “sell themselves.” This is salesman “hype.” However, there are some products which sell easier. These products are products which solve a problem fairly quickly and need to be used and re-ordered monthly. Don’t bother with “long life” promising products. These require too much salesmanship to sell.
MLM Product Training – Your Company Could Be Your Worst Enemy
Most mlm product training given to distributors is nothing but a highlight of the features of the products, and a profiling of the company’s enviable cutting-edge scientific prowess. No more no less!
Take distributors in a nutritional supplements program for example.
The product handler for the mlm company training picks one out of the company’s product range and gives a brilliant lecture on the ingredients in the vitamin supplement.
He enumerates the twenty-eight amino acids that are used in each of the capsules; the trace elements; the micro- and macro-nutrients and the chelation process that facilitates maximum absorption when finally taken into the system.
He takes the mlm product training audience on the journey into history, to the very year that each of the nutrients used in the formulation became part of our food chain and why they are safe for human consumption. He informs them that the local population whose diet consisted of these nutrients even lived above three hundred years.
Think he’s done? Think again!
From there he brings the audience to the year that the founder of the company was born and how he suffered from esophagus of the bronchi; and how, after taking just one vitamin supplement, the disease condition vanished (or maybe he was the one that vani……!)
When it comes to mlm product training, the truth is……..
The Features And Efficacy Of Your MLM Product Is Not Necessary
Even product testimonials are not! The key is to understand that information about the product is secondary to the need for the product!
People are not interested in amino acids, trace elements, micro-nutrients, macro-nutrients, minerals and chelation etc…
They are interested in good health. If you must deliver it to them through your vitamin supplements, then your mlm company training must de-emphasize product information and start emphasizing more on health education.
Your mlm product is just a means to an end and not the end itself. So rather than focusing on “the means” (the product) why not acquire in-depth knowledge of “the end” (good health).
How do you do this?
Choose a particular product in your range and identify a particular problem it can effectively address. Then carry out research on that problem and try to learn as much as you can about it. That should be the main thrust of your mlm product training.
Assuming your company has a fiber supplement in its range. What health problem do you know of that fiber can help alleviate or eradicate? Let’s say you identify constipation.
Then google constipation on the internet and you will see as much information as you will ever need on the subject. Learn as much as to make you knowledgeable on this health issue so as to talk authoritatively on constipation.
With this kind of mlm product training you will sell more of your products and also teach the same technique to your downline; and when they begin to duplicate you, your team will be made up of knowledgeable health information experts who know what they are talking about.
While others are busy learning about the features and the botanical names of plants used in formulating your company’s products, you and your team of self-made experts will be the ones raking in sales from your health awareness seminars.
From the foregoing there is no doubt you are beginning to see the missing ingredient in a result-oriented mlm product training: sound knowledge of the NEED which your product intends to address. Armed with such knowledge, you will be the next guy that will break the record in product sales in your company.