Network Marketing » Business Models

Network Marketing Tip–3 Characteristics Needed to Become a Big Fish in Network Marketing

admin — Sat, 07 Nov 2009 03:10:06 +0000

Everyone wants to achieve massive success in the network marketing industry, but few are willing to take the risk and the sacrifice it really takes. The key is to become the Big Fish and not the person chasing the little fish begging them to join your deal. The Big Fish are the ones that offer the solutions that will enhance the businesses of others. Why? Because what you give away you always get to keep. It’s called servanthood marketing.

If you were to do a search on Google for the top network marketers or MLM gurus like Joe Schroeder, Big Al, or Yanick Silver, you will find that they offer solutions first for FREE allowing a prospect to literally sell themselves, but more importantly they offer advice first and foremost. Remember this key concept: To get more get value, you have to give more give value. Do you want to become the a Big Fish in network marketing? Someone who is chased down by people who are wanting to do business with you and know more about you? If so, here are 3 key characteristics needed to become a Big Fish in networking and to attract the right kind of people into your business:

1. Become the resource–Be a guide for other people. Forget about your goals and focus on other people’s goals. Become a walking reward for 10,000 people; a walking living tool that others can lean on when advice is needed. A resource is always willing to sacrifice time and energy to help the next person.

2. Be a Leader–The Big Fish are considered natural born leaders. A network marketer who becomes the resource naturally becomes a leader. How awesome would it be if you had others looking up to you because you cared about their success first. A leader motivates and teaches mindset before business models. Being a leader is ultimately being a servant.

3. Love people use money–If you’re running around looking at every single person as if they were a dollar sign trying to entice them to sign the application to join your deal, then failure will soon be your ultimate destiny. The key to becoming a Big Fish is to truly sincerely love people first and as a result you become attractive, and an invitation for money unfolds. Money is only a resource, however all network marketers have goals and desires which is why Big Fish are kings at taking them into consideration first and foremost.

Network marketing is not all about selling. It’s about sharing, giving, and caring about other people’s goals and desires. When you actually sit down and think about this concept, it becomes reality. You can only make income and gain influence to the degree that your awareness will allow you to keep. In other words, when you make other people’s goals your goals, your life will change drastically.

By: Ontarian Hawkins

Small Business And The Network Marketing Model: Why Now Is The Time To Build A Home-Based Business

admin — Thu, 29 Oct 2009 05:54:56 +0000

Now is a great time to start a home based business! I know, I know! The economy is in the toilet, banks are failing, people are losing their jobs – how can now be a great time to get started building a small business?

Regardless of what you might think, I am not crazy! Yes, things are hard right now, but the opportunity is wide open for a savvy entrepreneur to make great things happen. Consumers are still spending money, even in the midst of a recession. They are just more selective of what they purchase and from whom. Why shouldn’t they purchase from you?

Of all the business models available to market your product or services, the network marketing system is the most viable. Network marketing has, over the years, been given a bad name, but it is making a strong comeback with solid companies featuring quality products and services, exemplary owners with incredible talent and wisdom, and excellent compensation plans. With consumers now making many of their purchases online, the network marketer has many different ways available to market.

One of the beautiful things about network marketing is residual income. Residual income is income that continues to build long after you have done the work. When you work a 9-5 job, or own a traditional business that has to be open 8 to 10 hours a day to make money, if you don’t show up for work or open your doors for business, you don’t earn an income. As a network marketer builds a business, she will earn directly from selling her product or service, but then will continue to earn commissions based on that past sale. So if she decides to take the day or week off from working her established business, her business will continue to produce income for her.

Here is what Robert Kiyosaki, the author of Rich Dad, Poor Dad, has to say about network marketing in his book, The Business School…

            “If I had to do it all over again, rather than build an old-style type business, I would have started building a network marketing business.”

            “The richest people in the world build networks. Everyone else is trained to look for work.”

            “Network marketing gives millions of people throughout the world the opportunity to take control of their lives and their financial future.”

Donald Trump also has plenty to say about network marketing…

            “Network marketing has proven itself to be a viable and rewarding source of income, and the challenges could be just right for you. There have been some remarkable examples of success, and those successes have been earned through diligence, enthusiasm and the right product combined with timing.”

Another advantage of building a network marketing business is that the company you decide to represent will teach you the business skills necessary to be successful. You can learn while you build your business! You will work with a team that will guide and direct you, and give you the time to make the mental, emotional and physical changes required to be successful in business. Also, it generally doesn’t cost an arm and a leg to get started. A traditional business can cost tens of thousands of dollars to get started, and you are on your own. With anywhere from $100 to $500, you can start a new home-based business and get it moving toward success.

Now, I never said it would be easy to do this, but if you are willing to work hard, be teachable, and step out of your comfort zone, you will never have to fear the economy, the possibility of losing your “secure” job, or losing your retirement and investments again. Wall Street won’t have as great an impact on this type of business as it does on traditional business or jobs. Network marketing as your small business may be just what you need to build your future.

By: Wendy Johnston

Affiliate Network Marketing: A Basic Explanation

admin — Mon, 28 Sep 2009 04:17:53 +0000

Affiliate network marketing is a relatively new business model that has been employed by many companies. As of today, more and more companies are engaging in the said business model, let’s take a look why this is so.

So what exactly is affiliate network marketing? In a nutshell, we can define it as a combination of two business models, as the name implies- network marketing and affiliate marketing.

Network marketing is also referred to as multilevel marketing or more popularly known as MLM. In network marketing, services and products are distributed to the final consumers through a network of independently contracted distributors or agents (also known as consultants). These distributors are then financially rewarded in two ways: a) from commissions and overrides from sales generation and b) for their contribution to the building up of the network by getting new ‘recruits’ to be downline distributors. The network marketing business model works because of the price differential that is generated from the distributor to the consumer. If the recruits of the one you recruited generate sales, you get a percentage of the price differential for the sales, and so on.

Network marketing is usually associated with pyramid or ponzi scams. This is because the main structure of the two models can be quite similar at first glance. However, if one takes a closer look at the models, there is one big and defining difference between them. The main difference between a legal network marketing firm and a pyramid scam is that the first one offers real products and services, the latter only promises opportunities and generates money from the cost of entry of the recruited members. A pyramid scam re-channels the incoming funds from the fees that newly recruited ‘members’ pays for entering the scheme and does not generate any kind of profits from other endeavors. The masterminds of the scam benefits while leaving most, if not all, of the downlines in financial burdens.

Affiliate marketing is similar to the business model of network marketing. Instead of directly distributing products to customers and consumers, affiliate marketing makes use of a pool of marketers to indirectly refer the products to the public and find good leads. The affiliates act as middlemen in the whole process of selling the products. They are then compensated based on their contribution in referring customers and clients to the company. A study that was made by a private research group a few years back and it revealed that 13% of all retail transactions were made possible by affiliates.

There are many companies that employ an affiliate network marketing strategy in reaching their clients. One can see this as an opportunity to be able to make real money out of the scheme. The main factor that would determine one’s chance in surviving this kind of endeavor is the kind of network that he already has. A solidly-knitted social network with wide connection is the key determinant of success. One should also be aggressive and creative in marketing products and services.

With the Internet’s explosive growth, it allows people to connect to the world! Your social network no longer limits yourself to the small town or city you are staying in. There is real money to be made in affiliate network marketing, and we can realize this potential if we know how to play the game.

By: Jaz Lai

The Best Network Marketing Secret – Revealed

admin — Sat, 19 Sep 2009 00:05:17 +0000

Although many people scoff at network marketing as a pyramid scheme, it is one of the best business models available to entrepreneurs today. The problem is that most people who start out in the business don’t know how to market properly and/or they expect unrealistic results “right away” with little to no effort on their part. Therefore, they quit and go back to their job telling everyone around them “what a scam network marketing is,” just to justify their own failure.

Why Most Network Marketing Prospects Fail

96% of people who enter into network marketing ultimately fail. That’s right, only four percent actually succeed and stick with it.

Why is this? This network marketing virus is caused by business leaders who place ads that have phrases in them like, “It’s easy, anyone can do it,” “make thousands from your own home in three weeks,” “100k in six months, guaranteed,” etc.

Network marketers place these ads because they want their marketing to produce the most calls and leads. Yes these ads do pull a lot of calls, however they are the wrong type of people at the other end of the phone.

People who respond to these ads do not have what it takes to make it as an entrepreneur. They are looking for the next get rich quick scheme to give them monumental success in a very short period of time without really learning the business and applying themselves.

These prospects may seem really eager and determined at first, but that will quickly fade as they realize that network marketing is no joke. Most prospects come in with such high emotions that they get crushed and depressed when things don’t work out for the short term.

To be the best in network marketing you need to be calm and collected no matter what happens with your business. Otherwise you will be an emotional roller coaster as the ups and downs of this business will ride you into insanity.

What the Best Network Marketing Gurus Know

Ever wonder why only such a small percentage of the network marketing population makes over six figures a year? It is because they know a few things others don’t. If you want to become wealthy you need to know what it takes to be the best:

* Clear, specific goals

* Persistence

* An unwavering belief that you will succeed

* Dedication (time and resources)

* Willingness to learn

* Positive Thinking

* Excellent marketing and business strategies

The Best Network Marketing Secret

If you want to learn the best network marketing business building technique you need to first understand why someone would be attracted to join your opportunity. I know it may be hard to believe, (because of the generic training tapes your company gave you about how great their product is) but people do not join your organization for the opportunity or the product.

There are a ton of network marketing opportunities and products that are all great and offer many advantages and benefits, so why bore prospects with the same crap everyone else is. Remember you are going after quality when you are looking for prospects, not quantity. So only market to people who already understand the network marketing model and believe in it.

Put yourself in their shoes. If they already understand the network marketing business model wouldn’t they be looking for the best opportunity that offered them something more than an up-line who wants to make money off of them? This is the secret – you need to offer them an opportunity to join the best team in network marketing (your up-line, your down-line, and you).

Make it clear to them the goals of your team and that you are looking for other distinguished leaders to join and help grow the team. Finally, offer them ways to become the best by offering great educational business resources. This way they can continue to improve on their network marketing skills without having to go out and find the information themselves.

If you follow those steps you should be able to build an efficient and effective network marketing business. Remember to be the best you need to be persistent, learn from failure, and never stop educating yourself on how to improve in the business.

By: Mike Dillard

Understanding Network Marketing: Why it Works and Why it Won’t

admin — Wed, 19 Aug 2009 15:46:05 +0000

To say that the network marketing industry has been a success would be an understatement indeed. Today, this business involves millions of people, with many programs and companies expanding in different countries around the world.

It has become such a top dollar earner that many of the authors, coaches and gurus we know today advocate it. But can people such as Robert Kiyosaki and Robert Allen be wrong? Here are reasons why network marketing works and why it won’t:

What is network marketing?

Network marketing is another term for multi-level marketing (MLM). It is a business model that involves the distribution of products and/or services from the main company through its network of distributors or retailers.

This network then promotes these products and services through direct selling to its end users, the consumers.

Distributors are considered independent of the parent company and thus are not salaried employees or personnel. In network marketing, they are allowed to build their own little business unit by recruiting other members who will serve as their ‘downlines’. These members, in turn, also recruit other members or downlines.

Why it works

When implemented correctly, network marketing can mean an excellent business and source of income for many. It also offers huge potential for unlimited income, provided set standards are in place and that all members of the downline perform.

The concept regarding income generation through network marketing is actually simple: all members (uplines and downlines alike) earn a commission out of the sale of the program’s products or services. They could also earn commissions through the earnings generated by their downlines.

In many business models, a commission may also be paid to the upline for recruiting a downline. This makes it a strong incentive for many distributors to increase the number of downlines they have.

Compensation plans used in network marketing vary, depending on the company. It could be one of the following: unilevel, binary, stair-step, breakaway and matrix.

The road towards successful network marketing

Network marketing is about building strong, reliable referrals and soft selling. What differentiates it from similar forms of business models is that it actually has a good product or service to sell over a long period.

Network marketers rely on the consumer appeal of this product in order for it to generate income. Some of the most successful products have been those that catered to specialized needs or offered an alternative to what is already readily available in the market.

Most of these products are also produced or manufactured by the network marketing parent company itself. Without a product that has a mass appeal or at least a ready niche, no network marketing business will survive.

The trouble with network marketing

Network marketing per se is an excellent business model. The problem is that there are many individuals who take a few aspects of the business, twist it and use it for their own dubious plans. By simply changing a few things in the practice of network marketing, it turns into pyramiding, a structure that is not only illegal, it is also doomed at the start.

The key here is for both newbies and experienced marketers to ensure that network marketing is not stained by wrong practices. It is a business that has been proven to work and has in fact helped millions of people around the world improve their lives and that of others. It really is up to insiders in the industry to preserve the business and make it work.

By: Larry Rivera