Posts Tagged → marketing
Are You Fooling Yourself About Network Marketing and MLM?
The Real Problem with Network Marketing and Multi-Level Marketing ( MLM )
HINT: It’s not the business model itself
It never ceases to amaze me the extreme polar views on the topic of network marketing and MLM. Some people are passionate about it in the extreme, and there are even top celebrity authors like Robert Allen, Mark Victor Hansen, and Robert Kiyosaki doing it and advocating it. Yet, in many circles, you might as well declare yourself a leper as admit to being in network marketing.
So, what is the problem with MLM and network marketing?
Maybe it’s the pyramid structure? But you can’t really take issue with the tiered compensation structure—almost every large sales organization in the world has that. Salespeople get commission, and sales managers get overrides or bonuses on top of that, and sales directors on top of that, and VPs on top of that. Or maybe it’s the fact that you have to pay to participate in it? But that can’t be it—that’s a standard franchising model. And I assure you, the franchise fee of most traditional franchises dwarf the sign-up cost of any MLM program by comparison. Continue reading →