I wrote this article some time ago, on a different blog, but have reproduced it today to show a fine example of the English malady of always wanting to make life a little more complex than it really is. Read the second paragraph first to see where I stand on the subject.
Now here’s an interesting topic. One where reason goes out of the window and people either hate it or love it. But many, both those who hate it, and those who love it, don’t actually understand it.
First of all I must nail my colours to the mast. I do not indulge in Network Marketing as such. I do not have the time or inclination. However, I may cheat a little from time to time by joining a scheme so I can buy product wholesale – but am often found out and thrown out!
On the whole Network Marketing doesn’t work in Britain, especially in England.
It has been going for nearly a hundred years. It works well in Japan where it began, and in America where the Americans understand what it is about.
Network Marketing is also known as Multi-Level Marketing and Networking. In the US it is also considered a no-brainer. More of this later.
Network Marketing is not Pyramid Selling. Pyramid Selling is rightly banned in the UK. It works by the factory selling the product to its top agents. They put their mark-up on it, and sell it to the next one in the chain. Another markup is added and it passes it down, and so on. Finally the one at the bottom gets landed with an over expensive article that is very hard to sell.
I agree, Pyramid Selling should be illegal, but when one comes to think of it, the way it runs is very similar to the High Street. The Factory sells to distributors, the distributors sell to wholesalers and the wholesalers sell to shops, who end up with a product which is a little difficult to sell! But I digress.
Network Marketing is different in that everybody in the chain buys the product directly from the company (factory) at the same price and the company pays agents extra to run the business.
The general idea is that you sell goods and build up a team to also sell goods.
However, it should be treated as a very long term affair, with the idea of working at it part time for at least a decade before going into it full time. The other idea is that you do one thing at a time, copy the person who introduced you to the idea, and keep it very very simple.
The English Malady: Unfortunately, the very make-up of the British doesn’t allow for that. We are not happy doing simple things so we try to make it as complicated as we can. In addition, we think it is a ‘get rich scheme’ and because of that, either don’t get involved or, if we do, we buy lots of stock – because we hate someone making money out of us, and want to get the maximum discount – and brow beat all our friends to join. Often, we deservedly lose them (friends).
Buying lots of stock for the maximum discount: The best way to describe this folly is, you come in, you have no downline or agents to sell for you so you buy a garage load of product. How do you propose to shift your stock with no agents (downline) to help you? How are you going to prove to your proposed downline that you are a successful Network Marketeer? Exactly! Have I made my point?
The Americans have a good name for the business. They term it as a ‘no-brainer’. In other words, it is simple, so keep it simple – one doesn’t need too many brains to build up a business.
If you want to get involved, buy the goods and use them for a few months. Get to know all about them and then, and only then, make a decision whether to go ahead. If you have no faith in the product how are you going to encourage others with the product?
Don’t necessarily join through the person who tries to recruit you. Once you join you cannot shift your position – you are stuck with them as your upline. Find someone who you can get on with, and who is an excellent teacher. You can write to the head office and ask for the address of their nearest meeting to you. Go to it before you sign up under anyone. Learn about the system, talk to others in the break and sign up under someone who has a proven success record. Ask to see proof.
I have often found that teachers make good Network Marketeers.
People involved in selling to the general public do much better than people involved in selling ‘business to business’, however having selling knowledge in any sphere is a decided disadvantage. Impatient people and ‘get rich quick’ people often fail very early on. Timid people have a lot to overcome.
Running a network marketing operation is exactly the same as running your own business. You have to build up business acumen, keep expenses down, make marketing decisions, and train your people. If you feel you would find it difficult to succeed generally, in business, then you will probably find it as difficult in network marketing.
I am reasonably sympathetic to network marketeers. I treat the people the same as I treat those with religions other than mine, including homosexuality, and politicians of any faith. I tolerate and may even make friends with them, but only so long as they don’t try to force their religion down my throat. No pun intended!
My advice is, leave networking marketing alone, but if you want to go ahead, feel free to talk it through with someone like me on the sidelines who knows about it.