Almost all of us have this kind of experience. One day someone or some people from my social circle (Friends, Relatives etc.) approached me to show some unique business opportunities. I became somewhat interested and go with them. And the rest is History.
Well, it was the time when I have just completed by Bachelor Degree. And I was looking for a job to start with. So I got somewhat interested in it. So I joined the company with a nominal fee.
But the things started to get worse just after one month. My direct leader was pushing me hard to make more sales as well as making to join others in the team. I was doing as per my convenience. But still it was neither enough for me, nor for them.
I quit it just after 3 months of joining the team. This was my first experience with joining the Multi Level Marketing Industry.
Well, it may not be the only experience I had. Many newcomers in the Multilevel Marketing Industry might have the same kind of experience.
Yeah….the concept is unique. At least it was look like that in the first impression. But the main thing is that, I did not have the slightest idea about this industry.
This is why I am going to share you some truths about the Network Marketing Industry that you may not know.
You are probably going to lose your money in MLM
They (Network Marketers) say that you can get rich overnight by joining the MLM Network. Is it so? Then most of the people would have join a MLM company to get rich.
The fact is that 99% of the people who have joined/joining/ going to join a Network Marketing Company is going to lose their Money. Forget about getting rich.
And this claim is not imaginary one. It was revealed in the Book ‘Multi Level Marketing Unmasked’ by Dr. Jon Taylor in USA. Mr. Jon. Taylor has done extensive research on MLM business is USA and found that more than 99% people who have joined the industry, has lost their money.
Did you ever heard of Amway or Herbalife Company. These two are among the world leaders in the Multi Level Marketing industry. And 89% of their distributors cannot make any profit.
Not all the Products are great in Quality
Network Marketers always say that their product is unique and exclusive, whether it is skincare-cosmetics or health and beauty supplements.
Well this may be true with some of the companies or their specific brands. But most of the MLM products are not the good in the quality. Otherwise big retailer outlets wouldn’t have ignored them.
Many of their products are overpriced. If you compare their products price with other generally available items, you will notice that there is a huge difference with the pricing.
You can check the website behindmlm.com and see their daily updates about exposing MLM related products and tactics.
Pyramid Schemes and Donation/Gift MLM Plans are Most Deceptive
Pyramid Schemes are very deceptive. Most of them offer wealth gain by recruiting new people on the team. And they don’t urge you to sell any product.
Gift Plan or Donation Plan in MLM work like this. There is no product to sell. Only you need to make people join in the network and get profits. This is considered the worst scheme in Network Marketing Industry. Many first world countries have banned this type of schemes.
Easiest way to sell products by approaching Friends and Family
They (MLM Leaders) say that you can easily get some new recruits or sell your products by approaching your friends and family members. It may be true. But you can make them feel embarrassed.
I remember when I first joined the MLM industry. After making a few approaches to my social circle to sell my products or making some recruits, they’ve started to avoid me. And now if anyone from my circle tries to pitch me for the same, I also avoid him/her.
It is Not like your own business
In MLM you are selling the products of a company. You are basically a sales representative working for the company without getting any salary. Yes, you are responsible for your own income. But does it make you the owner of the products or the business?
You will be getting a miniscule amount as commission after generating a sale. You are not going to get the actual profit. All the commissions are calculated with their automated business management system called MLM Software.
The fact is that the people who are on the top of the network get most of the profits and off course the company itself.
Everyone can do it
Yeah…They say that anyone can join a MLM business and work like professionals. But you need to remember that it is also a type of sale or marketing. You can make 100s of people join in your team. Not all of them are sales minded.
Not everyone can make sales. There must certain qualities which are important in here like charming, self-driven, confidence, enthusiasm and resiliency. These kinds of people are excellent for the Multi Level Marketing.
The people who discourage you not all of them are your Enemy
MLM leaders say that the people who discourage you in the MLM business are jealous of you or your haters. Do you think it is true?
Most of them may not have the idea about MLM. But previously who ever experienced MLM business and got nothing from it, they will certainly tell you to stay away from it. It is their experience that is prompting them to make you aware.
All MLMs are Not Scam
Some types of deceptive procedures are there in the MLM industry. But not all of the MLM business can be regarded as fake or scam.
If you are joining a MLM company as a representative and selling their products for commission, there is nothing illegal or unethical in here. The whole world around us is dependent on buying and selling. It’s called business.
So, being a part of a genuine business does not make you bad or fake. You can get some extra pocket money utilizing your spare time in the Network Marketing business.
Don’t expect to get a six figure payment at the end of the month. Be realistic in your approach. Like all other profession, MLM is also needs dedication and seriousness to make something out of it.