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The Ten Steps To MLM Success, Step Ten

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We’ve gone through nine of the ten steps to MLM success. Some of the steps are inspiring; others, perhaps a kick in the pants. One or two might have even made you tilt your head, roll your eyes, and say, “Duh! Really?”

This last step, however brief, isn’t usually obvious to new network marketers. And that is because when they view an opportunity presentation, the narrator strongly implies that they only ever have to sponsor three or four or five people, and get each of those to sponsor a few people.

Unfortunately, nothing could be further from the truth. You might have earned the company’s Platinum level, but then the next month three of your personally-sponsored distributors drop out, leaving you with three people too few to earn the Platinum bonus.

The sad truth is, for reasons we’ve brushed over earlier in this series on the ten steps to MLM success, most people eventually drop out of the MLM company they join. That will probably include, at some point, the first few people you sponsor into the business. Not necessarily, but statistics are on my side when I make that claim.

That is why I include this step in the list: Repeat steps seven through nine. In other words, share the product and opportunity, follow up and follow through, and help your new business partners sponsor a few people. If you stop with your first few and never sponsor anyone else, you will probably never make that long-term residual income that lured you into network marketing in the first place.

If no one ever told you that before, you may feel very discouraged. And rightly so! The opportunity videos make building a business seem easy. You may even feel like throwing in the towel.

Let me give you a few encouraging words. First, I do know of one couple who only ever sponsored twelve people, and those twelve ended up building them a huge organization, making this couple leaders in their company and very wealthy. Most of the people they sponsored stuck with them long-term because this couple were excellent leaders.

Second, thanks to the Internet, you never have to run out of a warm market. You can indeed work only ten hours a week – sometimes even fewer – if you learn a few basic skills in Internet marketing. And I will be teaching you such skills on this blog as we go along, so no worries! Some people sponsor dozens, even hundreds of people every year because they have harnessed the power of the Internet.

Instead of being discouraged by the last of the ten steps to MLM success, be relieved to know the truth, and feel confident that you can learn to do what it takes to succeed in MLM.

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The Ten Steps To MLM Success, Step Nine

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You could say that all the ten steps to MLM success are important. But the step we’re going to look at in this post, the ninth step, is one that a lot of network marketers mess up. That step is: Help the people you sponsor to sponsor some people.

Greedy

I am sorry to say that a lot of people get into the MLM industry because they want to make as much money as they can, as fast as they can. So they focus on hard-selling people on the opportunity. This might get more people to sign up, and get them making more quick-start bonuses than other distributors, but it won’t get them a large residual income.

Why not? First of all, most of the people they sponsor will inevitably leave, because they really didn’t want to join. Second of all, this greedy distributor has eyes only for instant cash. He isn’t going to want to try to help the people he sponsored.

Ignorance

I recently heard that most of the top business-builders in the industry have a hard time explaining their formula for success. Likely as not, they are extroverted people with a gift for entrepreneurship, and just do what comes naturally without taking much thought about it.

Then there are newbies who end up with a friend or family who signs up before they have any clue about what it takes to build a successful business. The person may have signed up because of their close relationship, and didn’t have to think a lot about it. But that’s not how it will be most of the time.

Wrong strategies

There are several online systems available that are supposed to help you to build your network marketing business. But they don’t really help you with this ninth of the ten steps to MLM success. Instead, they make you waste several hundred dollars a year to do affiliate marketing. Oh, and, by the way, some of these people that get on your list in our system might end up becoming business partners with you – but it’s a snowball’s chance in the Sahara desert compared to you leveraging the relationships you already have.

So, how do you sponsor new people?

There are several ways to go about it. One is the old-fashioned way: talk belly-to-belly and show interested people the opportunity video. Or throw a few home parties and focus on the product, asking those who order if they are interested in getting their product for free.

You can blog and set up a list, through which you then develop a relationship with your subscribers by providing them with helpful content and gently talking about your product or opportunity every so often.

Even more powerful and effective is using Facebook correctly. An awesome resource to help you do so is Rocket Sponsoring, my FREE e-book you get by filling out the form in the sidebar.

When you learn the effective ways of sponsoring new partners, then you can transfer that knowledge to them, and be there as much as you can to support their initial efforts. That is how to help the people you sponsor to sponsor some people.

Of all the ten steps to MLM success, this is the one that can be most slippery. Of course, not for you anymore. Because now you know, right?

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The Ten Steps To MLM Success, Step Eight

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In the last of the ten steps to MLM success, we looked at an obvious necessity to building your business, but one that nevertheless some would-be millionaires ignore. That is, share the product and the opportunity.

But sharing isn’t enough. Once you share it, you need to follow through with the prospect. So step nine of the ten steps to MLM success is to follow through and follow up.

Follow through

To follow through actually comes before the sharing step. It means that if you set an appointment with someone, you keep it. If you have written down someone’s name to lend the opportunity DVD to, you make sure you do so when their time comes. In other words, follow through on your business-building plan. Don’t chicken out.

Follow up

When you follow up, you don’t leave people hanging. You do your best to close the sale, as it were. When you share a link to an online video with a friend, you call them after a reasonable interval and ask what they thought about it. When you have someone contact you through your blog saying that they’re interested in your business, you call them as soon as possible. If you share the opportunity with someone in person and they tell you they’ll be ready with a decision in three days, call them exactly three days later.

Following through and following up can be the scariest part of the business for a beginner at network marketing – even if the person calls or e-mails you, saying they’ve seen the opportunity video and want to join with you.

But if you miss this eighth step of the ten steps to MLM success, you will miss out, period. To build an active organization, you have to ask people to make a decision about the product or business.

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The Ten Steps To MLM Success, Step Seven

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Be persistent. Of all the ten steps to MLM success, I would call that step the second most important one. The most important step is, well, the most important step. If you don’t do it, you will fail. No matter if you stay with the company and faithfully keep your monthly autoship for the next ten years.

It’s going to sound like a no-brainer, but it is the number one reason people drop out of network marketing before seeing much of a profit, so pay attention. Here goes:

Share the product and the opportunity.

“Duh, of course you have to share the product and opportunity if you want to make any money.”

I know that sounds intuitive, but people see the opportunity video, sign up with a company, and then…do nothing.

Why distributors do nothing

One reason people fail with this greatest of the ten steps to MLM success is that the company has a “spill” clause. That is, the people in your upline might eventually sponsor so many people that a few of them will “spill” into your downline. And as long as you’re making the monthly qualifying purchase, you get paid up to a certain amount of the commission from the organization that results from that spill.




Granted, that commission usually maxes out at around $500. After that, you have to go out and sponsor people personally if you want a bigger piece of the company pie. But some people sign up only wanting an extra $500 a month. And so they sign up and sit, hoping for spill.

Which is one reason not to join a company that allows for “spill” commissions.

Another more common reason that people sign up to be distributors of a company and then do nothing is they want to try the products for themselves, see what the company is about, before they start to share it. If they ultimately find they don’t like either the products or the company, they may, for all practical purposes, leave the organization, without actually leaving the organization.

This is not a nice thing to do. If you should find yourself in a company that you don’t like, call the corporate office and ask them to remove you from the matrix.

An even bigger problem than either of the first two combined is that the new distributor doesn’t know how to share the product or opportunity.

Offline business building

In the future, I am going to provide a lot of ideas on how you can build your MLM business online. For the moment, let me throw out some simple ways a new distributor might approach people with her business opportunity or products.

**1. The casual DVD pass.

Hand friends and family members the official company DVD – if there is one – and say, “I just found a new way to make some extra money, and I was wondering if you’d mind taking fifteen minutes to take a look at it and let me know if you know of anyone who might be interested.”

**2. Have a party.

If your company sells any kind of food product, invite a bunch of people to a party featuring those products. However, let them know up front that you are going to be mixing business with pleasure and take fifteen minutes of the party to share the new income opportunity you have discovered. Fewer people may show up, but no one will go home mad at you because they felt deceived as to why you threw the party in the first place.

**3. Do a small talk invitation.

When you engage in small talk with a new acquaintance, find out whether he likes his job and if he’s happy with the amount of free time he has. If no to either question, say, “I’m working with a successful business person [that’s your sponsor] who helps people exceed their day job incomes in just a few hours a week. If you’re interested, I’ve got a video we can watch together.”

When the person inevitably begins to ask questions, politely insist that the video will answer all his questions, and ask what time would be good for him to watch it with you.

Share the product and opportunity offline as much as you can in an organic, genuine way – without ever using pressure – and the seventh of the ten steps to MLM success might actually be fun!

One guy who is the top income earner in his company makes millions of dollar every year. Want to know why? He tries to talk to three people every single day about the opportunity. That’s close to a thousand people every year! Assuming that three percent of all the people he talks to end up signing up in his organization, he sponsors about thirty-three people a year.

I believe his conversion rate is considerably higher than the industry three percent average, however.

One online network marketer sponsors about 1200 people a year, and most of them are people she meets through online social media. Break that down – she  sponsors a hundred people every month! Why?

She shares the product and opportunity in an indirect way by getting people to sign up to her newsletter and visit her blog.

Now that I think about it, I wonder if I shouldn’t put this step of the ten steps to MLM success – share the product and opportunity – above the “get a dream” step. Because if you don’t talk about it, you will most certainly fail.



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The Ten Steps To MLM Success, Step Six

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The ten steps to MLM success vary depending on which industry leader you talk to. But most of such lists include the one I have placed sixth: Be a product of a product.

Should you care about the product?

Before I say one more thing about this step to success, I want to address the fact that a few leaders in network marketing believe that success has nothing to do with the product. You can join a company that sells product you couldn’t care less about, and still become a millionaire.

True enough. But is that ethical? Is that right? I don’t think so.

Now, I can see how you could succeed with a company whose product revolves around practicality rather than passion. For example, being able to create cards online and send them from the website is a cool idea. But no one’s going to get excited about the “results” of the product.

And those who build an energy business sell people on the concept that, “You’re going to use it anyway, so why not use it from my company?”

When it comes to the wellness companies, though, you had better care whether the products really work. Whether they are really “safe,” or “non-toxic.”

Now that we’ve got that settled, let’s look a little bit closer at why you should “be a product of the product.”

It’s not deep. When you use the product every day, you can develop your own story about it. You develop reasons why your prospects should choose your company’s product over another.

If you need to lose weight and your company has a weight loss program, then do the program. If a particular juice is supposed to be an energy booster, take it to see if it does. Whatever.

This sixth in the ten steps to MLM success is, I admit, not at all exciting. And the fact is, some people do extremely well without any particular testimony about the company product. But many others do as well because of their own story. So I vote to leave it in my list. 😉

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The Ten Steps To MLM Success, Step Five

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Of all the ten steps to MLM success, the one that I have arbitrarily listed in spot number five is the one that will make you or break you. It is the reason the MLM industry has such an abysmal drop-out rate.

You might be able to guess it: Be persistent.

What is persistence? Persistence is continuing to take action even when obstacles arise. Persistence is keeping the vision in front of you, and believing that if you just work consistently for a long enough period of time, your efforts will pay off.

To be persistent is to be a “tough guy”: When the going gets tough, the tough get going.

The truth about business start-ups

Most businesses, network marketing included, don’t break a profit for three to five years. I have personally found that to be true. I started my online marketing efforts in 2009, and it wasn’t until 2012 that I started breaking a profit most months – and that not a large one.

And the thing about network marketing is that many people join because they get excited about the income potential, but when they discover how much work and time it takes to get that income, they give up. What with a day job and families, they don’t need another thing to stress over.

Persistence pays off.

To help you do better than most at adhering to this fifth of the ten steps to MLM success, may I offer you a few bits of inspiration.

First one: Several years ago, I met a Shaklee distributor who was making six figures. Want to know how long it took her to get there?

Ten years.

There is a millionaire woman in a completely different company who started out extremely shy, and for six months did nothing with her business. But she had a dream that burned inside her, and realized that she was going to have to act if she was going to see the vision come to fruition.

She began, then persisted, despite how difficult it was for her at the first. From what I recall, it didn’t take her long to grow a four-, then five-figure monthly income. I believe she is up to six figures monthly now.

In yet another well-established company, I heard of a man who was making five figures a month after about two years of working.

How did all these people accomplish what they have? Persistence.

By the way, I can’t speak for the Shaklee lady, but the others most certainly did not join when the company was young. You can make tons of money as an MLM newbie, no matter how old the company is.

Conclusion

Determine today to be persistent. Remember, this of all the ten steps of MLM success will make the difference between you becoming a drop-out statistic or a millionaire.

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The Ten Steps To MLM Success, Step Four

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Continuing this series about the ten steps to MLM success, I want to touch on the step that can be tricky to follow if you are trying to build your business while working a day job. It can even be tricky if you’re not working a day job.

That step is: Be consistent.

How can you work consistently on your business when you have a family and every day brings on new challenges? Or if you have a job that sucks away all your energy until you have none left by six p.m.?

If you have done the first step of the ten steps to MLM success – if you have figured out your dream, and developed a burning desire to achieve it – you will figure out how to be consistent, regardless of the circumstances.

The best tool for consistence

If you struggle with working on your business consistently, you need a written schedule. If you are a self-disciplined person who does well at achieving goals, you need a written schedule.

How to create a schedule

First, determine a realistic number of hours you can work the business each week. Five is a minimum; ten is more reasonable if you’re aiming for a four-figure checks within your first three years.

Next, spread those hours out over the week. Finally, give each hour a task, or group of tasks.

Your tasks should include time for the following:

  1. Home parties, if you plan to give them;
  2. Online marketing: blogging, social media, forum participation, publishing videos to YouTube, and so on – list each Internet Marketing task individually on your schedule;
  3. Calling and e-mailing prospects and members of your downline;
  4. Reading material to improve your marketing skills (whether you’re a newbie or not); and
  5. Participating in the company’s weekly conference calls, and/or listening to archived calls/webinars/etc.

How to stick to your schedule

This last point related to the fourth of the ten steps to MLM success is where the rubber meets the road. You can write schedules until you’re blue in the face, but they won’t do a thing for you if you don’t follow them.

If you have a family, explain that you cannot be disturbed during your MLM business hours. If you are married and don’t have children, or are going to work on your business after the kids are in bed, ask your spouse to be very stern in helping you to adhere to your schedule.

If you’re single, you may have to resort to bribing yourself to get your daily work done.

No matter your marital status, you would do well to keep one day, or at least half a day, free. When you are tempted to blow off your work any of the other days, remind yourself that you will have to make up the time on your day off if you don’t buckle down and get to it.

Conclusion

“Be consistent” is not the sexiest of the ten steps to MLM success. But if you are serious about growing a large residual income check, you need to make it as important as the others.

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The Ten Steps To MLM Success, Step Three

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The ten steps to MLM success vary depending on the source. In my version, the third step is ubiquitous among all lists: educate yourself.

Know the company compensation plan.

Not every company has the same compensation plan. For example, every MLM company claims to have an unlimited income potential, but the fact is, most don’t. Most only allow you to build an organization so many levels deep. When you fill all those levels, that’s it.

Now, that maximum is still nothing to sneeze at. But it doesn’t represent “unlimited” income potential. So know the compensation plan. If a distributor’s income is eventually limited, don’t misrepresent that.

On the other hand, you may belong to one of the few companies, like mine, that do allow for a truly unlimited income. Make sure you understand how that works – the minimum number of active, personally-sponsored distributors you need to have to qualify for each income level, as well as how much personal volume you need to move each month to qualify.

Know the product line or service.

One of the biggest parts to this third in the ten steps to MLM success is knowing the answer to such questions as these: What makes your company’s products unique? Does your energy company provide a “green” choice for customers?

Use the products every day so that you can testify as to their effectiveness. HINT: if the products do nothing for you, maybe you need to find another company!

Learn effective marketing techniques.

Most companies don’t train you on how to market beyond telling you to “share the plan” with a hundred people. This is not marketing; this is annoying people who often don’t care about either the products or the business opportunity.

Many sponsors do nothing to help their downline to market, because they’re ignorant about effective methods themselves. They may tell you to buy and call leads, give you a script, and wish you luck.

So you really need to educate yourself in the area of marketing. Research about how to use Internet Marketing to build your business. Even better, sign up with a sponsor who will give you a guide and additional resources to help you do just that.

As you consider this component of the ten steps to MLM success, don’t ignore your warm market! If you lack people skills, learn them. Read Dale Carnegie’s classic, How To Win Friends And Influence People. Join your local Toastmasters group so you learn to get comfortable talking to strangers. Most of all, learn to have genuine conversations with people, and to avoid arm-twisting. If you really love the products and/or business, they’ll come up in conversation without you having to manufacture anything – and you’ll talk about them in a genuine and enthusiastic way that just might get the other person interested in your business endeavors.

Conclusion

Your company likely has archived conference call, podcasts, and/or webinars that you can access from your back office. They also likely have weekly training calls.

Absorb all this information, plus work on learning proper marketing methods. Like all of the ten steps to MLM success, this third steps will take you far – if you do it.

See you for step four!

If you enjoyed this article, please share it with your online social networks. Thanks!

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The Ten Steps To MLM Success, Step Two

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The first of the ten steps to MLM success is to have a dream, and get a burning desire to fulfill it. Let’s dive right into the second step. That is: be committed.

In the first post in this series, I explained why not having a strong purpose for doing the business would doom you to failure. Another major reason so many people fail in network marketing is lack of commitment. Their lack of commitment may be, of course, as simple as that the company they joined is not a good fit for them. If you don’t care about the products or the company doesn’t have the greatest reputation, why should you commit?

On the other hand, many people who do like the products and have no beef with the company nevertheless fail to commit. Likely as not, when it comes down to doing the work of building an organization, it stresses them out. And who needs more stress? Or, they lose the residual income vision very quickly, and can’t see why they should keep spending $200 a month when they don’t start making any money for several months.

Whatever the reason, many would-be millionaires give up that potential because they don’t follow the second of the ten steps to MLM success – be committed.

So that begs the question: what do you commit to when you begin an MLM business?

Commit to qualifying for commissions.

Sometimes the hardest part for newbie network marketers is to shell out that extra $100 to $200 a month without seeing anything in return. But the company has set itself up as an MLM so that distributors would be able to help other distributors build a residual income.

This only happens if everyone cooperates and does their part to make the qualifying purchases every month.

Commit to do the work.

At the very least, you should carve five hours out of your week and dedicate them to building your business. Ten to fifteen will get you even faster results. Whether you want to throw home parties, sit down one-on-on with people, or use Internet Marketing to build your business, none of that can happen unless you make time for it.

Commit to company training.

This part of the ten steps to MLM success is easily blown off. But it is important. Any MLM company worth its salt is going to provide some kind of training – whether product or business-building – at least once a month. These days, the companies that are serious about helping their distributors archive conference calls and webinars in the back office (or even post them publicly on YouTube or as podcasts on publicly viewable websites).

They’re doing that to help you. They want to help you to understand the power of the products, or to help you sponsor more people. So commit to spending an hour or so each week engaging in whatever training the company puts out for its distributors.

Commit to one company –  at least for a while.

A big part of the second step of the ten steps to MLM success is committing to one company. If you’re a new network marketer, there is no better way to get overwhelmed than to sign up with two or three different MLM companies. First of all, how on earth do you expect to afford to meet the qualifying purchases for all the companies every month? Most people join MLM because they want extra money, not because they have a bunch of money burning in their pocket!

It doesn’t matter if the companies do not compete with each other in the marketplace (for example, if one is a cosmetics company and the other an energy company). They will be competing for your time.

Find a company whose product or service makes a real difference in your life. Commit to that company until you are making a solid and regular four figure income per month. At that point, you could branch out and join another company…if you want.

But a better idea would be to join a company whose compensation plan allows you to build an infinite number of matrixes, don’t you think?LINK

Conclusion

Be committed. Make the monthly qualifying purchase, set up a work schedule, participate in the company training, stick with one company. Follow this step of the ten steps to MLM success, and dramatically reduce your risk of becoming a drop-out statistic.

If you liked this article, please share it with your online social networks. Thanks!

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The Ten Steps To MLM Success, Step One

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What are the ten steps to MLM success? It depends on who you ask, but most of the lists aren’t all the different from each other. Generally, they tell you to use the product, get training, and sponsor people. Many, however, omit the very first step which I believe is critical.

Today, I am going to elaborate on that step, and for the next nine days I am going to take you through each of the ten steps to MLM success (my version) in detail so that you can start to really absorb what growing a network marketing business is all about. But the first step may be the one you need to spend the most time on:

Get a dream, and a burning desire to achieve it.

There are three or four big reasons that people fail in MLM. One of those reasons is that they join because they see the income potential and get all excited.

Period. End of story. They don’t have a real reason to do the business. They completely miss the first step in the ten steps to MLM success.

Consider this: would you spend an extra ten to fifteen hours of work – after getting home from your day job, or while trying to take care of small children – if you didn’t have a serious reason to do so? Of course not!

And maybe you’re one of those people right now. Maybe you watched an opportunity video and got dollar signs in your eyes, but beyond that have no idea why you’re adding more work to your day. If so, take heart! The best day to develop that burning desire is the day before you signed up with the company.

The second best day is today. Keep reading, and by the end of this article the gears in your mind will be churning out possibilities!

It can’t be about just the money

Having money is not evil. Wanting more money is not evil. The problem comes in when money has you. When that happens, the wanting becomes your priority – above your spiritual life, above relationships, even above your own fulfillment.

Your “burning desire” should not be to get filthy, stinking rich. It needs to go beyond that, or when the going gets tough, you’ll quit. Ask yourself this question, “What do I want the money for?”

Or, maybe as we look at this first of the ten steps to MLM success, we need to, at first, phrase the question like this: “What do I want the money for?”

It’s great if you see that your husband hates his job and you want to help him change his circumstances. But wanting to build an MLM business to earn enough money so that he can quit his job is not going to be a strong enough desire. When it comes down to it, that’s your husband’s problem, not yours.

What is it that you really want to do, which requires more money than you have, or think you can obtain within the next several years? What thing is “burning” within you to get accomplished?

  • Set up a large fund for needy children
  • Pay cash for a hospital in a developing nation
  • Travel to every single continent in the world, and teach people (either by book, blog, or video) what you learn
  • Put your kids through college
  • Put yourself through college
  • Pay off all your debts
  • Quit a job that is killing your morale (such as a debt collector)
  • Quit your day job so that you have time to volunteer in work you love

You get the picture. You need to get a dream, a dream that is your own, and then a burning desire to achieve it.

Get this first step of the ten steps to MLM success down, and immediately you will be doing better than 80% of the people who start an MLM business. Step two coming up next!

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