finding ex mlm agents!

clone_war85

22 Jul 09, 17:04

Hi all,

With regards to all the negative feedback on mlm, I intensively did a research on this way of marketing and how it was abused over the years.

I have to admit mlm is a double edged sword. Use it correctly, you can achieve high income levels in short time, use it wrongly, all your friends and relatives will avoid you.

Have you ever thought that insurance is also a form of mlm? They recruit people, these people sell to their friends and relatives and then promote up. Some of the agents buy the plans themselves when they are agents, hence they promote. Isn't this similar to buying a plan to promote yourself like other mlm companies. Sincerely speaking, I think there is nothing wrong with mlm, as long as the product is worth the value and authentic. Just like an insurance plan, you won't doubt the plan at all even if your cousin phone you up to buy a insurance plan. You know it's not a scam (sadly insurance companies are not that good now after the fall of AIG). So mlm is just a way of marketing just like advertising, cold calling or even set up shops and pull people along the streets(california fitness sales marketing). It is just a way of marketing like facebook that uses your personal connections. Even though network marketing is a form of marketing, I sincerely disagree if a company only use network marketing to market it's product. It should be only the initiator of the company marketing techniques that allow a huge bunch of people to use the product and feedback it works. All in all, I am trying to conclude that network marketing is just a form of marketing for a company and shouldn't be the only way , however most probably should be the 1st way to kick start the company. In addition, it boils down to the products sold. Must be feasible , authentic.

Nextt issue I want to address. Have you thought what kind of products are suitable for mlm? Investment, insurance , health? I did a research, basically any form of investment products that is mlm may fall into the ponzi scheme as long as the returns are too much. Meaning any mlm schemes that enable you to get cash over your investments are likely to fall under the ponzi trap. Only those that sell pure products are good , just like insurance(nevertheless insurance is abit investment, i talking about just pure insurance). So I found out that health products , or products that every person need to use in his life are suitable for mlm. Hence the reason why alot of mlm companies are health products.

All in all, mlm must be used ethically and correctly before the wrong perception of it can be changed. No trickery to pull in customers and just benefits are presented. Furthermore the cold market must be an alternative source to pull in customers , as your personal market will dry up one day. And that depends on what the company does, eg many branches located at high traffic areas, product demostration on the spot, company future directions on using mlm and whether the product really works!

Deino

24 Jul 09, 13:41

As long as greedy people exists, MLM will always be exploited with lousy and super overpriced products....so for as long as forever, MLM will never have a good name for itself...

Xcelon82

28 Jul 09, 22:22

For those Pro mlmer, this video by Tim Sales on utube is enough to counter most people's objection.

http://www.youtube.com/watch?v=qiUg5Ycdo94

There are a few video besides that so watch those as well.

Why most greedy people choose to exploit mlm is because this method of distribution is still one of the fastest and effective way to market hence the abuse.

the_fallen

29 Sep 09, 19:47

nice video link.

thanks.

excloc1

2 Oct 09, 06:45

Hi clone_war85

I assume that you are working in an MLM company . I agree with most of what you say regarding MLM as just a way of marketing. It is in fact just another channel which company can try to structure the less tangible "word of mouth" marketing into.

However I want to remind you that for a product not to be "excessively overly priced" and yet allow MLM distributors to achieve "high income levels in short time" is just not plain possible.

However almost all of MLM companies will price their products excessively high or risk not being able to recruit any distributor at all. cause for the whole system to work, the company have to pay multi-layers of commission and the comission amount for a certain level must be substantial enough to "lure" or motivate the greed in people to join as an distrubutor.

On top of the commission structure, the company has to account for fixed cost like rental, logistics,admin, operations, utilities cost as well as most important of all the company own profit margin. Suppose the total commission payout to all levels is 30%(be careful in calculating as some companies will use points system or currency trick to portray higher commission payout) and for a reasonable established MLM company, the fixed cost is about 5-10% of the product price. The company will take about 30-60% for its own profit.

if you doubt what I say picture this. You have found a "good" product and started an MLM company to market this product. You are bearing the risk of paying upfront for all the products in your warehouse. You are bearing all the fixed cost per month for you admin staff salary and electrical bills which can come up to hundred of thousands. WOULD YOU PAY YOURSELF LESS THAN WHAT YOU PAY YOUR DISTRIBUTORS?

if an MLM company tell you that the boss is a good man and he believes in helping people instead of excessive profits so he only keep keep a small portion of the profit and YOU believe them, my only advice is you might need more life experiences.

To know if a product is priced too high, check for its counterpart in the open market. A retail store is a good guage as shelf space is valuable and the product plus its pricing must be reflective of market demand. Most MLM company would choose products not available for retail so that there is no basis for comparision. health products are especially popular cause they can argue that health is priceless and thus wellness products are worth whatever they are priced.

If your company products are not available for retail, check out online auction sites like ebay. practically, non-perishables put on auction can be transacted from 30% to 80% of its original retail price. Find the HIGHEST "transacted" price for a smiliar product on auction sites and mulitply it be 2-3 times. This price will be roughly be a fair value of what consumers are willing to pay for in an open market environment.

MLM Training

2 Oct 09, 16:54

In reply to excloc1.

Have you been in MLM? Your response sounds like a typical outsider looking in without really knowing whats going on.

Traditional companies have massive marketing and advertising cost that in MLM is paid to the disptributors instead. ALSO in MLM you save all the middle-men and cost and profits that they take. For example: A product goes from producer to exporter to importer to wholesales to retailer and THEN to customer. In all the links of that chain there are cost for transport warehousing, repackaging, SALESPERSONS etc etc

In MLM the product goes efficiently from producer directly to consumer.

AND the problem with your statement : "To know if a product is priced too high, check for its counterpart in the open market." is that you wont find counterparts in retail in many situations. Retail is for people who want to buy the cheapest stuff and the cheapest will not have the same quality or in the case of wellness products it simply are not going to work.

F.ex take an ACAI product - ( juice etc.) there are many brands in retail stores but none of them has given me any noticable effect. With the leading MLM acai juice brand i feel a difference in 2 days. better sleep more energy etc.

If you dont believe me, try for yourself. Try out the leading MLM brand in wellness company. I've done it several times myself and ive never found anything in the retail stores to be effective enough that I feel any significant difference.

But my feeling is that you are probably not willing to do a serious test. You are probably going to stick to your assumptions and opinions no matter what.

the_fallen

2 Oct 09, 18:15

Originally posted by clone_war85:

Hi all,

With regards to all the negative feedback on mlm, I intensively did a research on this way of marketing and how it was abused over the years.

I have to admit mlm is a double edged sword. Use it correctly, you can achieve high income levels in short time, use it wrongly, all your friends and relatives will avoid you.

Have you ever thought that insurance is also a form of mlm? They recruit people, these people sell to their friends and relatives and then promote up. Some of the agents buy the plans themselves when they are agents, hence they promote. Isn't this similar to buying a plan to promote yourself like other mlm companies. Sincerely speaking, I think there is nothing wrong with mlm, as long as the product is worth the value and authentic. Just like an insurance plan, you won't doubt the plan at all even if your cousin phone you up to buy a insurance plan. You know it's not a scam (sadly insurance companies are not that good now after the fall of AIG). So mlm is just a way of marketing just like advertising, cold calling or even set up shops and pull people along the streets(california fitness sales marketing). It is just a way of marketing like facebook that uses your personal connections. Even though network marketing is a form of marketing, I sincerely disagree if a company only use network marketing to market it's product. It should be only the initiator of the company marketing techniques that allow a huge bunch of people to use the product and feedback it works. All in all, I am trying to conclude that network marketing is just a form of marketing for a company and shouldn't be the only way , however most probably should be the 1st way to kick start the company. In addition, it boils down to the products sold. Must be feasible , authentic.

Nextt issue I want to address. Have you thought what kind of products are suitable for mlm? Investment, insurance , health? I did a research, basically any form of investment products that is mlm may fall into the ponzi scheme as long as the returns are too much. Meaning any mlm schemes that enable you to get cash over your investments are likely to fall under the ponzi trap. Only those that sell pure products are good , just like insurance(nevertheless insurance is abit investment, i talking about just pure insurance). So I found out that health products , or products that every person need to use in his life are suitable for mlm. Hence the reason why alot of mlm companies are health products.

All in all, mlm must be used ethically and correctly before the wrong perception of it can be changed. No trickery to pull in customers and just benefits are presented. Furthermore the cold market must be an alternative source to pull in customers , as your personal market will dry up one day. And that depends on what the company does, eg many branches located at high traffic areas, product demostration on the spot, company future directions on using mlm and whether the product really works!

erm...pardon me for asking..

your objective of starting this thread is??

>> discussion of mlm and the problems??

or

>> looking for ex-mlm agents to start new companies / talent scouting like what others have done???

if it's the latter, got any good lobang, can tell me, i'm always interested and welcome new ideas and concepts.

Ezyomiyah

4 Oct 09, 00:25

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Clone war

22 Oct 09, 11:31

on any issues, you can email me at [email protected]