The failure rate in network marketing is a real shame. So many people come to the industry with dreams and aspirations of freedom only to give up just a few months into the deal.
These people will have spent a chuck of cash to get into the business opportunity and most likely have also spent money on products that are destined to sit in the garage collecting dust...don't let this happen to you.
Why Do People Give Up On Their Network Marketing Business?
This is a really easy question to answer -- because they are not making any money. The other reason is that they are probably losing money as welll!
Contrary to popular belief, the network marketing industry is not a get rich quick scheme...it takes a certain amount of time to start making any real money. You hear of stories where someone sponsored a superstar and gets rich, but in reality this hardly ever happens.
Actually, hoping to sponsor an MLM heavy hitter will damage your long term chances of success in MLM. Rather than having a lottery mindset, building your busy slow and steady over a longer time frame will bring better results.
The #1 Reason People Fail In MLM
The number 1 reason people fail in MLM is because of a limited budget; they just don't have to capital to market their business aggressively enough. Depending on the network marketing company, the person may be paying quite a bit for auto-ship. It's not uncommon for people to have little or nothing left after meeting this requirement.
This situation eats away at peoples confidence to make the business work. With the cost of running a mlm business mounting and no signs of success showing, most people decide to get out before they lose too much.
The period of time from starting a business to the point of it becoming profitable is sometimes referred to as the dip. Starting a business is easy but sticking through until you come out the other side of the dip and see profits takes patients, determination and focus. The average CEO takes about 25 years to work up to that position...sometimes it pays to stick at one thing for a length of time.
Making It Through The MLM Dip
If people are failing in network marketing due to a lack of marketing budget, what can they do about it? Many network marketers that are building their business on the internet are getting through this dip by making a profit while they attract targeted leads to their business. The easiest way to do this is to sell an inexpensive information product related to your home business or your product.
This has 2 major benefits;
1. Selling inexpensive information products gives you much needed cash flow into your business.
2. These people have invested in education and so they are much more qualified than any other lead that you can buy or approach.
Creating Your Offer
You don't have to write an encyclopedia on your topic; a simple, well written 30 to 40 page report will do the job just nicely. If you have already written some articles you can just bundle them together so that they make sense and use that as your report.
If writing is not your thing then you can always outsource the task. There are some excellent outsourcing companies on the internet and you will find that for a reasonable price you can get a good quality report written.
If all of that seems like a bit too much trouble you can always promote someone else's report as an affiliate. Obviously you will only have half the profit margin but many people are operating this way and it can be a good way to get started with information marketing. Usually when you sell an information product like this the purchasers information is passed on to you and they become your exclusive lead.
Having Your Cake And Eating It Too
As mentioned in earlier, lack of cash flow is one of the major reasons for failure in network marketing. The other major reason for the high failure rate in MLM is lack of qualified leads. This simple method of attraction prospects through good content and offering them an inexpensive report solves both of these problems.
Most of the top network marketers are building their businesses this way.
It's sad to think that as high as 97% of network marketers never get through the dip and realize their dream of financial freedom. It doesn't have to be that way. If you would like to know more about getting through the MLM dip and how to avoid MLM failure, I got just the story for you... - 15790
These people will have spent a chuck of cash to get into the business opportunity and most likely have also spent money on products that are destined to sit in the garage collecting dust...don't let this happen to you.
Why Do People Give Up On Their Network Marketing Business?
This is a really easy question to answer -- because they are not making any money. The other reason is that they are probably losing money as welll!
Contrary to popular belief, the network marketing industry is not a get rich quick scheme...it takes a certain amount of time to start making any real money. You hear of stories where someone sponsored a superstar and gets rich, but in reality this hardly ever happens.
Actually, hoping to sponsor an MLM heavy hitter will damage your long term chances of success in MLM. Rather than having a lottery mindset, building your busy slow and steady over a longer time frame will bring better results.
The #1 Reason People Fail In MLM
The number 1 reason people fail in MLM is because of a limited budget; they just don't have to capital to market their business aggressively enough. Depending on the network marketing company, the person may be paying quite a bit for auto-ship. It's not uncommon for people to have little or nothing left after meeting this requirement.
This situation eats away at peoples confidence to make the business work. With the cost of running a mlm business mounting and no signs of success showing, most people decide to get out before they lose too much.
The period of time from starting a business to the point of it becoming profitable is sometimes referred to as the dip. Starting a business is easy but sticking through until you come out the other side of the dip and see profits takes patients, determination and focus. The average CEO takes about 25 years to work up to that position...sometimes it pays to stick at one thing for a length of time.
Making It Through The MLM Dip
If people are failing in network marketing due to a lack of marketing budget, what can they do about it? Many network marketers that are building their business on the internet are getting through this dip by making a profit while they attract targeted leads to their business. The easiest way to do this is to sell an inexpensive information product related to your home business or your product.
This has 2 major benefits;
1. Selling inexpensive information products gives you much needed cash flow into your business.
2. These people have invested in education and so they are much more qualified than any other lead that you can buy or approach.
Creating Your Offer
You don't have to write an encyclopedia on your topic; a simple, well written 30 to 40 page report will do the job just nicely. If you have already written some articles you can just bundle them together so that they make sense and use that as your report.
If writing is not your thing then you can always outsource the task. There are some excellent outsourcing companies on the internet and you will find that for a reasonable price you can get a good quality report written.
If all of that seems like a bit too much trouble you can always promote someone else's report as an affiliate. Obviously you will only have half the profit margin but many people are operating this way and it can be a good way to get started with information marketing. Usually when you sell an information product like this the purchasers information is passed on to you and they become your exclusive lead.
Having Your Cake And Eating It Too
As mentioned in earlier, lack of cash flow is one of the major reasons for failure in network marketing. The other major reason for the high failure rate in MLM is lack of qualified leads. This simple method of attraction prospects through good content and offering them an inexpensive report solves both of these problems.
Most of the top network marketers are building their businesses this way.
It's sad to think that as high as 97% of network marketers never get through the dip and realize their dream of financial freedom. It doesn't have to be that way. If you would like to know more about getting through the MLM dip and how to avoid MLM failure, I got just the story for you... - 15790
About the Author:
Steve Anderson has been helping struggling network marketers make there way through the MLM dip by teaching them how to apply attraction marketing to their business. Steve credits much of his success to his mentor, Ann Sieg and her Renegade Network Marketer System.