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Not All Network Marketing Are Pyramid Scheme

Discussion in 'General Business' started by tundelogzy, Jan 17, 2008.

  1. #1
    Hello There,

    If you mention "MLM" or network marketing to most people, their immediate reaction is along the lines of, "Oh, that's just some kind of pyramid scheme."

    Ask the same person to explain what network marketing actually IS, and they're stumped, other than the words, "Pyramid Scheme," or "Scam".

    I have been seeing some negative attitudes towards Network Marketing. It leaves me asking questions to myself. is it that some people was given false expectations? Are we getting involved for the wrong reasons? Do we get in with the wrong mindset? I believe that if we do the right preperations and understand the power of network marketing our attitude towards mlm would change.
    Most people who have had issues with network marketing have expected over night success. Which, of course, almost never happens.

    Research is the key to finding the perfect network marketing company for your lifestyle. What is good for the goose may not be good for the gander, so trust your own gut and don't rely soley on what you've heard.

    As with any home business, network marketing is only as successful as you make it.
     
    tundelogzy, Jan 17, 2008 IP
  2. ringtonegeezer

    ringtonegeezer Peon

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    #2
    The perfect one is in my signature.
     
    ringtonegeezer, Jan 17, 2008 IP
  3. KGL

    KGL Peon

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    #3
    Yes they are.

    MLM destroys relationships.

    The first people you MLM'ers go for are either family or friends.

    Promise them the world and the only person that wins is you.
     
    KGL, Jan 17, 2008 IP
    Jim4767 likes this.
  4. PRC

    PRC Well-Known Member

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    #4
    In that case, stick to people you don't know.

    If you are in the UK, I can recommend www.chooseyourfuture.co.uk
     
    PRC, Jan 18, 2008 IP
  5. Jim4767

    Jim4767 Prominent Member

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    #5
    MLM puts lots of unproductive "middlemen" into the marketing mix. They add basically nothing of value, but the price goes up with each "level" in the chain getting their cut for adding little if anything.

    The polar opposite of MLM is, to illustrate, the farmer selling his fresh-picked produce at his roadside stand. One level (the farmer) is giving the freshest, highest-quality product, straight from the field or orchard. Because there are no extra middlemen, each needing a profit, the price for the best, freshest product stays low.
     
    Jim4767, Jan 18, 2008 IP
  6. affiliatesheree

    affiliatesheree Peon

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    #6
    Oh don't even get me started.

    Network marketing is a legitimate business model that has been used to create many wealthy people. I'll tell you exactly what the problem is right now. It's not the network marketing companies (well, there are straight up scams and you can tell when there's no product just something like "home business coaching" or some other such bullshit).

    The problem is that MLMs are made up of people. Whenever you gather a huge group of people, there's bound to be slimeballs lurking about. It's these jackasses that recruit people that have never owned a home based business before and they offer no support or training.

    My sponsor did that to me when I first came in. Luckily, I already knew what to do because of affiliate marketing but still. He also had this girl I know working as his slave. He told her for 7 months straight to post all of his ads for him. She was generating 1000's of leads for him and watching his downline get huge. Meanwhile, he kept promising that as soon as he got where he wanted to be, he would start putting people under her. Can you imagine?

    The bottom line is this, you better askl your potential sponsor a lot of questions about how he or she is going to help you get the ball rolling. Find out specifically what training is involved and go with your gut. You can tell when someone is no good usually.

    It's losers like the guy I was talking about that give MLMs their stigma.

    MLMs are not all scams. I spent 12 years tending bar while other people raised my son. I am a single mom and because of network marketing, I get to stay home full-time. How is that a scam?

    Sheree
     
    affiliatesheree, Jan 18, 2008 IP
  7. Jim4767

    Jim4767 Prominent Member

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    #7
    That's the truth. Those at the top of the food chain can easily become millionaires. Others farther "downline" rarely make much money. I know plenty of downline people, and I can't think of a single one of them who makes enough to support a family on his/her MLM job alone. But the savvy entrepreneurs at the top, who got in early, are often raking in fortunes.

    So what? It's a lousy business model no matter what the folks at the top are making. MLM takes products that might need two, three, at the most four, levels to market them from producer to consumer. Then it adds several more unproductive levels, each adding no value to the product, and each level causing a rise in the price to the consumer. Again, it's a lousy business model.
     
    Jim4767, Jan 18, 2008 IP
  8. affiliatesheree

    affiliatesheree Peon

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    #8
    That's not what I said. I do it for a living full-time and I'm a single mother. What about that? How is it a lousy business model? It's just that you have to learn how to market and keep up with strategies and trends.

    People always think they don't have to work to be successful, I see it all the time. I had no specialized skills and training when I got started. You've just got to be resourceful in your leads generation.

    Here is why it works for me:
    • I never buy leads or pay for advertising. I generate my own leads that seek me out through several different ways.
    • I don't promote my business directly
    • I don't promote my products directly
    • I do"me marketing" and let my prospects come to me if they like what I'm about. That way, there's no need to beg and plead, they've already decided they want to work with you
    • I give my people vigorous training and I don't keep secrets from them
    • I don't bug friends and family
    • I go out of my way to help people without strings attached
    It is a great business model if you're willing to learn a system and take action. All the time I hear "it doesn't work" from people who sit there and expect their business to build itself like magic.

    Tell me, if you had a brick and mortar business, would you have to put a lot of effort into growing it?

    Enough said,

    Sheree
     
    affiliatesheree, Jan 19, 2008 IP
  9. affiliatesheree

    affiliatesheree Peon

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    #9
    Yeah, I'll bet. Don't the terms "instant success" and "guaranteed downline" scare you?
     
    affiliatesheree, Jan 19, 2008 IP
  10. MavenofMarketing

    MavenofMarketing Peon

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    #10
    I've worked with several MLM companies on their corporate side and while it does work for some people, it fails a lot more than it helps. The company promises the moon and stars and rarely provides the kind of support someone needs. They focus on numbers and recruitment and not in quality. Many of the uplines end up working harder than if they had a full-time job in a cube farm only to lose members because of company issues. I honestly think the only ones who make real money were the ones there in the beginning.
     
    MavenofMarketing, Jan 19, 2008 IP
  11. KGL

    KGL Peon

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    #11
    Exactly. Well said, Jim.

    @Sheree - They did a good job brainwashing you.

    You will never see millions like the people above you, the suits, they will, in one way or another, hold you back. And you will never see it, because you are working so hard for them.

    Just the other night my family and I were eating at Panera Bread, and I overheard the manager talking about how his wife owns a Mary Kay business.

    I LMAO! She doesn't own ANYTHING!

    MLM is the same as working for McDonalds, Wal-Mart, etc.

    You are selling another persons product, period.

    Look what happened to Noni Juice.

    How long before you get tired of jumping from product to product?
    Avon, Mary Kay, Monavie, etc., etc.
     
    KGL, Jan 19, 2008 IP
  12. tundelogzy

    tundelogzy Peon

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    #12
    The people that really gives network marketing problems are the ones that comes in without understanding what they are getting involved in.
     
    tundelogzy, Jan 23, 2008 IP
  13. tundelogzy

    tundelogzy Peon

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    #13
    Most of the time in MLM, the people above you do not succeed unless you are successful and that is a great motivator for some people to help you. If you are left on your own then I suggest you just try REALLY hard to understand the concepts on your own or just leave that company for a better company
     
    tundelogzy, Jan 24, 2008 IP
  14. affiliatesheree

    affiliatesheree Peon

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    #14
    How am I brainwashed? As it turns out, m y upline was a bunch of rubbish who didn't do what they claimed they were going to do and let me out on my own. I had to learn everything myself.

    Like tundelosky said, you've got to know what you're getting into and if there isn't a motivator, you have to either figure it out with research or go somewhere else.

    As far as selling someone else's products, that's what affiliate marketers do as well and that, just like network marketing, is a recognized and respected business model.

    So KGL, we can see that it's not for you. That's fine. Maybe you got burnt or whatever, obviously you feel very strongly about the subject. That doesn't mean that it's a scam or that there aren't other people out there making a living doing network marketing. I was a bartender for 12 years and I thank God that I found something else.

    What's wrong with what I do? It allows me to stay at home and raise my own child instead of working at a bar every night and never being around to help my son with his homework. There's nothing wrong with that, now is there?

    Sheree
     
    affiliatesheree, Jan 24, 2008 IP
  15. tundelogzy

    tundelogzy Peon

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    #15
    MLM should be tired of the bad names.what am saying is,be sure you understand the system on how it works before going into it.
    Not understanding what you going into brings in lots of disappointment.
    i understood my present program before i joined it.and am getting the best out of it.
     
    tundelogzy, Jan 25, 2008 IP
  16. KGL

    KGL Peon

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    #16
    I never said it was a scam.

    If one did survey, I wonder how many people would say that?
     
    KGL, Jan 26, 2008 IP
  17. tundelogzy

    tundelogzy Peon

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    #17
    Like me i come from this side of the world where online business is a big problem to start in the sense that most of the payment processors don`t allow us.
    it this MLM that really helped me to be part of online business even though i wanted to start internet marketing.
    MLM is really good for those thta really understand the business they are venturing to.
    Network marketing pushed kiyosaki up to greater financial freedom and he even recommended it and many others who had made success in it.make a name in your discipline and you become a leader there.
     
    tundelogzy, Jan 30, 2008 IP
  18. PRC

    PRC Well-Known Member

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    #18
    With every line of business there are positive and negatives to it. If you put the work in and keep active, you will suceed in MLM, the same as you would in any business.

    It does not matter what time you start in any MLM business it is up to you to make it grow. Regardless of whether you are in at the very beginning or in it 10 years after it has started, everyone has the potential to succeed and create a residual income that keeps growing every month.

    I can do nothing but recommend without a shadow of a doubt the Telecom Plus business opportunity if you are based in the UK. It is commonly known as the Utility Warehouse. You can watch the video about the business over at www.chooseyourfuture.co.uk and also on that page you can check out the website you would receive for free if you sign up as a distributor.

    The company allows you to offer the ultimate consumable that is used by everyone on a daily basis, so if you actually put any work into the business you cannot fail.
     
    PRC, Jan 31, 2008 IP