Network Marketing

The Simplified Guide for Newbies and Veterans Alike

If you don’t know what Network Marketing is, it is a 50-year-old industry and has the highest residual income potential of many business models. Network Marketing is just a way for businesses to distribute their products.

Network marketing is unique because it performs well on things like person-to-person communication, establishing, building and nurturing relationship and is residual income at its best.

Rather than using the traditional supply chain, Network Marketing companies use a network of independent marketers to move the products directly from manufacturers to the customers.

Any business methodology that is not in sync with the “norm” will always be considered a scam. Network marketing, however, is not a scam but a great way to produce residual income.

The independent marketers earn a percentage of the profit on all sales they make. While it’s possible and highly recommended to earn an income by selling to customers directly, the real power of Network Marketing is that you are allowed to build a downline of other independent marketers below you, and earn a percentage of their combined sales.

Success Factors

  1. Company track record
  2. Financial strength
  3. Management team experience
  4. Unique products or services.
  5. Competitive pricing
  6. A practical, realistic personal production requirement.
  7. High reorder rate from customers and builders
  8. Minimal start-up costs
  9. Fair compensation plan.
  10. A solid marketing plan.
  11. Timing
  12. Complete and comprehensive training & support
  13. Low to no risk

Is There a Downside?

  1. Rejection, especially from spouse, relatives and close friends.
  2. Fear of prospecting, e.g., the 500 pound phone.
  3. What are you doing with that? You’ve got a good job!
  4. What will our friends say?
  5. Depression.
  6. Don’t buy into hype. Be realistic. Tell the truth!
  7. Criteria for success is different.
  8. Playing “not to lose” instead of “a no matter what” attitude.
  9. Changing the “system.”

What Methods Work Successfully in Finding Prospects?

  1. One-on-one meeting
  2. Two-on-one meeting
  3. “Group” meeting
  4. Telephone and conference call presentations
  5. Hotel meetings

How to Prospect and Approach Properly

The process of finding people to join your network is fun, but oftentimes, people who are too eager to find on as soon as possible end up driving away their prospects, and end up creating a negative reputation among the people they know as someone who only approaches you to promote a business. Here are some tips to naturally entice people into your network and build a strong and long lasting business relationship with them. Now go out there and start growing!

  • Don’t overexpose it … keep it short and simple … K.I.S.S.!
  • Make notes before you make a call. If it’s worth doing, it’s worth doing right. Always have a script in front of you!
  • Arouse curiosity. Be enthusiastic. “It’s not the words you say. It’s the music that you play.”
  • Always carry your calendar and your contact list and cell phone. Minimum 150 current names and numbers.
  • Ask questions! The person who asks the questions controls the conversation.
  • NEVER give into someone’s curiosity. If you give them a 5-minute presentation and (by mistake!) they get in, you have taught them to do the same.
  • Present to husbands and wives together, unless it is absolutely impossible.
  • Call to confirm the appointment. Call the night before AND the day of. Say, “Did we say 7:30 or 7:45?” or “Is that 1234 Main St. or 1235 Main Street?” Be on time. Be on time. Be on time!

Final Words

Ultimately, it’s all down to the situation handed to you when going out there and expanding your network. These 6 things will finally make you the ultimate network-grower!

  1. The only way you will really learn how to approach is by going out and doing it.
  2. In response to objections: feel, felt, found. “I understand how you feel. I felt the same way when I first heard of this. But now I found…”
  3. Don’t give up after the first time someone says “no”. Remember, things change in people’s lives.
  4. Always give an alternate choice of “yes” or “yes.” 5. Every no brings you that much closer to your next customer or builder. 6. Always ask for referrals.

Leave a Reply