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May 17, 2003 8:04 pm re: re: re: re: re: MLM / EMM / Network Marketing
Scott Allen
> Cathy Hudson wrote:
>I do not agree with what you have said here.

Hmm... I agree with almost everything you said, Cathy.

CH>I feel that you should look for a program with solid products or services that have a high demand.

That's another way of saying what I said in points 2, 4, and 5. (2) If there's a lot of competition, then there won't be a high demand for that particular product. (4) I would certainly define "solid products or services" as those that "offer real value and satisfaction to the end consumer". (5) large market = high demand.

CH> You should also look for a comp plan that does not favor the first person who joins and gives generously to the people who are working to build their business, and therefore the program.

Agreed, although I didn't say it. Still, it's true that the people who get in earlier can (and will) make more money, on average, than those that get in later.

CH>You also need to have a way of training your business partners that allows them to duplicate with their business partners and offers total support to everyone who wants to work with you.

Agreed. Although I must say that the training is generally only as good as the person delivering it. My wife definitely didn't get the kind of help she really needed in getting started with Avon, in spite of a wealth of materials and a supposedly well-refined training program from corporate.

CH> When I hear someone saying 'get in at the top, and preferably in pre-launch', it makes me think they aren't thinking of the people who are joining later and who may not make any money because the program isn't going to last that long. If you already feel the program is going to fold, why bother to join at all?

Couldn't agree with you more. I still would rather get in early.

CH> As for saturation, if you have a good program, there's not going to be saturation. With the number of people online already and more coming on every day, I don't see any program being saturated. I see many failing because they don't offer the things the person working that program needs.

This is the one I don't agree with you on. The statistics just don't support it. The formula for saturation is quite simple -- if the growth rate in distributors/dealers is higher than the growth rate in the potential market, it will saturate. The current population growth rate in the world is 1.4% per year. The current growth rate of the U.S. gross domestic product is about 1.6% per year. What company around is going to be satisfied with 1.5% per year annual growth? If they're growing any faster than that, they're going to saturate the market -- eventually. That's not an opinion - that's simple mathematics.

CH>To me Network Marketing is based on relationships and you have to take the time to build a good relationship with the people who are going to be working with you. If everyone joined the first time you talked to them, that would be great, but it's not the case. It takes time to get to know someone and show them the value in what you offer and also show them that you are going to be there to help and support them.

ABSOLUTELY! And all too many network marketers don't understand this and are giving the rest of us a bad name. I don't even tell people about it until I know them well enough to know they might be a good fit for it, or unless they ask me about it.

CH>I prefer to work with friends and help them build something solid for their future.

Again, I agree. But especially because I'm going to work with friends, I owe it to them, not just myself, to make sure that it's the right kind of opportunity, AND to make sure that I tell them the truth - full disclosure. And the "information" I've been given by friends about certain network marketing opportunities is simply misleading (like the "most businesses fail" myth). I won't do that to my friends, so I feel the need to make sure I'm fully informed about both the pros and the cons of the opportunity before sharing it with my friends.

Again, I really don't think we're in disagreement.

- Scott -

Private Reply to Scott Allen (new win)





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