The 5 biggest misunderstandings/misconceptions about MLM & How to Overcome Them

•1. Anyone can do this –

This is a great saying and a wonderful idea. This is the great ideal that democracy is built upon. We all have a voice and we can stand up and be heard. WE CAN BE WHATEVER WE WANT TO BE!

While this in theory is true in practice it takes a lot of different factors coming together at the right time for it to actually work.

Don’t get me wrong, with the right attitude, commitment, willingness to learn and determination (aka stubbornness) anyone CAN do this business.

The problem is not everyone has these qualities at the time you might be standing in front of them showing them your offer or when they receive your wonderful presentation online or through an email.

M/L/M is one of, if not the only business plan that allows the masses to jump in and start a business with little knowledge and little investment money. This is both a godsend and a curse.

By allowing people to start a job they are not committed to and not ready to put a lot of work and effort to achieve success we are setting them up for failure. And if you look at the stats, this is exactly what happens. 95% of all those that start in Network Marketing go nowhere and eventually quit.

They quit feeling lied to and swindled. They were never told the hard truth that this is a business and if you jump in without the proper skills and mindset then you probably will fail.

This is not to say that the necessary skills are not something that can be learned and applied. The key it to find a mentor, an upline, that is willing to teach you the RIGHT way.

Success in this business is not guaranteed anymore than in any other business. If you look at those that have been successful, they have learned and earned a skill set that allows them to achieve. Some people have developed these skills in their previous job or in school while there are others who learn from their experiences, some failures and some successes.

So to say everyone can do this is both true and false. Everyone that wants to do this and is willing to learn what they need, to apply their learned skills and to be committed to the action plan will succeed. It might take more than the 30 or 90 days that get promised by so many. If you are honest and upfront with prospects and they are HONEST WITH THEMSELVES then the answer to “Will I be successful?” can be seen early on in the process.

•2. Everyone is a prospect / All you have to do is sign up your friends and family

No matter how good your product or how good your business plan not everyone will want it.

I am reminded of an ad campaign I remember hearing where they guaranteed to save someone money and he was saying “No, I come from a long line of people who like to spend extra money. I don’t want your offer”.

This seems so strange, but it is true. No matter how great the offer there will always be somebody who likes something different. Does everyone love Coke, or do some people prefer Pepsi. If Coke was on sale for ½ the price there is still a large number of people that will buy the Pepsi.

No one wants to be told what they have to do or buy, even friends and family. But the stance of many MLMers is that if I just explain it one more time or if I just let them know it is ME selling it and I like it than they should and WILL buy it.

This will not only alienate you and make you a very lonely person but it will not earn you any long term money. People buy products because they want them. Not because they need them. Not because someone sold them on the product but because they came to the conclusion that they needed the product.

So why would you hunt people down like they are deer in the headlights and bombard them with the “this product is so good you can’t live without it” routine just to be rejected 99% of the time. Even if the product is something they need, most people turn up the defenses when they are being sold and don’t even hear what you have to say, no matter how important it is.

The better way to do this is to let people know what you have. Let them know you have this business and this product and ask them for a referral. IF they come back to you and ask about the product then they are coming to you and now you are the EXPERT and not the pushy salesman.

Wanting to sell the business and sponsor new distributors? It works the same way. Don’t force feed your opportunity to anyone who happens to get within 3 feet of you. Advertise yourself and put it out there that you are the expert. You don’t have to know everything, you just have to know a little more than the average person and you have become the expert.

The internet has lots of different possibilities for getting your message out to large numbers of people. From Facebook and Google ads to Blogs and Writing articles there is something for everyone and every skill level to use.

The best part is, now the prospect is coming to you. You don’t have to SELL anything. You just have to be that expert and be willing to help those that come to you. Be willing to train them and you are now building a strong team of motivated people.

What could be better?

•3. Your business builds itself / The money makes itself

If you have been in MLM for awhile or have been approached by people trying to sign you up you have probably heard something along these lines. “Our product is so good it sells itself” or “You don’t need any business skills, this business builds itself.”

If these statements were true, why do they need you?

Well, you probably guessed it, products and businesses don’t sell themselves. Try buying a truckload of your favorite MLM’s product and stack it in your driveway. Just see how fast it “sells itself”.

Business takes work. It takes marketing and to sell something you need to do sales and be a salesman. There are ways of doing this without being pushy and alienating your friends , family and everyone you meet. (see Misconceptions #1 & 2 above)

Finding the right method to build your business and make money is what you need to be doing, not sitting back and waiting for the money to find you.

Education and learning the skills that are necessary is part of your job. Duplication is great, but we are all different and what works for me may not work for you. I might love writing articles and so that method works for me. What will work for you depends on the skills you bring to the table or the skills you are willing to learn because they fit in with your interests.

Find a mentor and upline that is willing to help you develop your skills. One who will tell you upfront that this is net-WORK marketing and not net-SIT and HOPE marketing.

•4. It’s just a pyramid scheme

This is an easy one.

The true test to see if something is a pyramid scheme is to see how the money is really made. A pyramid will only be selling an opportunity. There is no product sold and the way you make money is to sell the opportunity. Pyramid schemes are illegal.

The big difference between MLM and a pyramid scheme is in the business' operations. The purpose of a pyramid scheme is to get your money. Your job is to recruit other people. The entire purpose of MLM is to sell product. With MLM the more product you sell the more money you will make and by recruiting others into your downline or team you will be able to sell more product.

Are you offered money for recruiting new people or do you make your money through product sold? What is the focus of the company and their sales products/brochures?

If the answers to these questions lead you to the conclusion that selling product is not a part of the plan then run away, this could be a pyramid.

If the answers show you that the product is the way to make money then you are dealing with MLM and an honest, proven business plan.

•5. You don’t need to sell, just share

Again this is one of those MLM half truths. When selling or salesmen are brought up, most people will have a negative reaction. So if I was going to try and get you to be a part of my marketing team why would I want to lead with something that is going to scare you away?

Sharing sounds so much easier and friendlier than selling, however; if you are in Network Marketing you have to make sales. To make money you have to sell product. It is just that simple. To make really good money you and a bunch of people who you have helped start a business have to sell lots of product.

Now the half truth part of share not sell is that you do share you product and its values to people. But you should be upfront with them that this is a product you sell and not just a recommendation you are sharing about a restaurant or movie. You get no monetary bonus for sharing your opinion about a movie even if your friend ends up going.

You do however have a vested interest in this person buying the great product you are recommending (sharing). It comes across differently and if the person you are talking with doesn’t know upfront that you sell this product they will feel ambushed when they find out you do. You will fall into the same boat with all those dreaded used car salesmen.

Be upfront with what you do. Ask for referrals. Don’t force the conversation to your product but let it flow naturally and if a topic develops where your expertise fits in – perfect, share away. Gain trust and recommend the smallest package. Sell but don’t be a salesman. Leave them wanting more and have them come asking you. That way you become the expert and not the salesman.