network marketing guide

There are literally hundreds of Network Marketing / MLM companies to choose from, and therefore selecting the right one for you can look a somewhat daunting task. And I say the “right one for you” as it is a very individual thing, and a network that you do brilliantly with someone else may struggle in and vice versa. There is no one network that is simply better than all the rest for everyone, even if some people claim their one is!

A Solid Company

There is little point in developing a business with a Network Marketing company that doesn’t last very long, you have the hard work of starting all over again and you can’t be sure how many of your customers and team will follow you if your chosen venture has just closed down!

Whilst new networks can be tempting, ground floor opportunity and all that, the failure rate is high, sadly many, however good their intentions may have been, don’t make if past the second year. So unless there are really reasons why the new start-up MLM you are looking at should be any different it is wise to avoid anything less than two years old.

Whatever country you are in search for a network that is established and committed to your country, too often distributors are left stranded when a network decides to close its operation in their region. This is less important with the service or internet based companies of course, but the cost of staff, warehousing, office space for product based firms means you want one that is at least making a profit in your country.

Talk to other people in the company and those that have left, how do they feel about the company? are people actually making money? is the help and support there?

Networking Commitment

This one can be more important than any, particularly when companies have a rough patch, and all usually do at some point, even if they are lucky and it is just a few million less profits than the previous year!

You need to find out and understand how committed the company you are looking to join believes in MLM. Have the owners / corporate staff got Network Marketing experience? I’m a firm believer that to run a network that relates properly to the people in it, you need to have built a networking business as a distributor yourself at some stage, how else can you comprehend and respond positively to what the distributors are experiencing.

Does it make sense for the company to be networking? or is it just a way of them gathering names and customers and ditching the network afterwards!? Could the company do better selling its products by another distribution method? If the answer is yes, at some stage they will realise it too.

Something that has altered over recent years is the companies who have entered the networking arena yet who sell by other methods too, but have found success and discovered that by using various complimentary routes to market they can grow faster and still support the networkers who join them. It use to be a case of if a network company sells direct as well you avoid it, look at what happened to DKFL. Yet multiple retail methods can work now if done right, Tiscali is a shining example of this. Whilst they do market direct too, it has made them a respected household name and as a consequence helped their distributors to find customers.

International Business

If some of this sounds too negative I apologise. I personally do believe in the power of Network Marketing to earn people extra money as well as have the potential to generate life changing incomes. However, I’m also a networking realist and in this article want to give a genuine view of the reality of MLM.

Which leads me nicely to the reason to select a company that offers you the chance to develop a team in more than a couple of countries as opposed to those who don’t, even if you yourself intend only to build in your home country. In my experience, when big recruiters and team builders join your network instead of another one they need to see the big picture and want to see that there is the opportunity to build international, in the end they may never do it but they have to see that the option is there. And if your company doesn’t have this possibility, then they may well decide not to join.

The Products

There are two clear views in networking, one is that the products don’t really matter as long as they are not dreadful, and the other is that the product or service is the most important factor. The truth is somewhere in between. There has got to be a market for the products, they have got to be of higher quality than those available in the customers’ local shops or be at a lower price. They should be consumable, easy to sell and something that potential customers will see the benefit of purchasing from home, whether it be convenience, personal service and / or enjoyment (e.g. party plan).

Over the decades many products and services have been distributed via MLM but the core proven products types have been perfume and skin care, health and nutrition, jewellery, and housewares. More recently both telephone / internet services and lottery entry have joined this list of successful product areas. It is also worth noting that the companies that pioneered these in the UK, Telco and Final Frontier did not survive and it has been the one that followed like Tiscali, TelecomPlus and Virtual World Direct that have found the long term success.

Outside of the established and new core areas it is hard to name anything that has really worked, toilet rolls, farming, food, computers, websites, holidays, credit cards have all been attempted but apart from Watkins which has done well with gourmet food in USA the others seem to have failed in my view.

The product or service does matter in as much as it needs to be able to be sold via Network Marketing and be repeatably attractive to end consumers, but joining a network purely because you like the products for your own use can be a big mistake, you need to look at the wider market. I buy products from a number of MLM companies as a customer because the quality tends to be higher than I could get elsewhere, however I wouldn’t sign up with them all.

Show Me The Money!

Ok, now the most important factor for the majority of people when considering joining a MLM company, the money you can earn. Comparing compensation plans is not always easy, the percentages quoted for both retail and team bonuses often are after tax or based on some points system that may mean that what you see is not what you get. You should always check what the actual amount you would get in real money terms for selling an item and how much money you would really earn on a sale made by someone in your team, also ask what you would receive for retail volume of a breakway managers and how you qualify for that payment. Check any currency variations too. Find out if there are minimum orders (unusual for retail, but quite common for team bonuses) you need to achieve.

Once you have all the facts you can then properly look at the income potential of the Network Marketing business you are looking at. Take into account average orders that those already in the business are doing, obviously you and your team may do less or more than them but it will give you an idea. High percentages can sometimes mean overpriced products and therefore low average orders. For example 50% commission on average distributor orders of £50 a month (i.e. £25) is a lot less than 20% on £500 average (£100 commission).

The hardest thing to find out about is how much people in the business are actually earning at the higher levels, which can show you what the long term potential of the pay plan could be if you are as successful as them.

Making The Decision

Take your time about which MLM you wish to join, you will be putting time and effort into the business, probably sponsoring others and developing a team. It is worth taking a proper look before making your decision.

The term ‘network marketing’ immediately brings to mind two popular names - I’m sure you can think of them. These brands follow a marketing policy of direct sales, where the distributor is in direct contact with the consumer, eliminating the need of middlemen. Network marketing is also known as multi-level marketing or direct sales.

The way network marketing has been projected by the companies and over-eager network marketers has created a negative image about the business. This is no get-rich-quick business, nor is it an easy moneymaking scheme as projected by most distributors to lure new members. Network marketing is serious business that takes time to develop.

Network marketing is a business opportunity for distributors to:

Develop their own network of member-distributors

Generate more business and earn handsome commission incomes

Anyone trying to fool you into joining his or her group by making false pronouncements should ideally be left alone. It is best to join a network group that seriously is interested in promoting the company’s business and watching the interest of fellow member-distributors. Your network marketing business is bound to steadily grow under such a committed group.

To make sure that your business takes the upward curve, here are 7 tips for Network Marketing Success. These tips have been tried and tested by various network marketers with huge success.

It will be in your best interest to join a reputed company that has been around for long. Product-based companies have a better standing. Make sure of the product-quality so that you can have repeat orders. Look at the company’s growth chart of the past few years, and you will know how it has been faring. Ask for professional information on the board of directors and look at their career growth. The compensation package that the company offers is worth discussing with senior distributors or company officials.

You will hear from every network marketer about the power of duplication. Successful network marketers have always followed a certain sales pitch that has been duplicated repeatedly. Multi-level marketing companies have a typical distribution system that needs to be followed to ensure success in networking business.

Your direct ascendants, known as the ‘upline’ in network marketing parlance, need to be supportive and helpful in developing your business. When your prospective upline takes you for the first time to attend a business meeting, take the opportunity to learn about the entire group that you intend joining. Join them only if they are dynamic, successful, and have a helping attitude.

Do not join full-time after leaving your job. It is best to start as a part-timer and take a decision only when you have a substantial income from your network marketing business.

Join only if you also have the attitude to work hard and help your ‘downlines’ as your business progresses. If you do not take the lead in training your downlines, it will be sheer wastage of time, money and effort, as they will not be able to do business. Support them whenever they need your help. The initial period is very crucial for if they are supported and trained well, they will jump onto the right track, otherwise they may lose interest in the business.

If you have a website, follow up your leads through autoresponders, so that you are in touch with your prospects. A key to success in network marketing is efficient and effective follow up.

Be prepared to have a team consisting of an accountant, chartered accountant etc. to help you with legal requirements associated with your big earnings.

Go through the tips again before you take the final plunge, for network marketing is a great opportunity for people who follow the right pattern and the right advice.

However, the most important question is: Is network marketing really a lucrative business? Well, why don’t you read the following facts about network marketing and answer that for yourself?

*In 2000, the network marketing industry raked in US$62 billion.

*As of 2000, the number of network marketers all over the world reached 31 million. The number is said to be approaching the 35 million mark. Of the said figure, at least 10 million can be found in the United States.

*Network marketing attracts people from all walks of life and of all races and ages. In fact, 5% of network marketers in the United States are senior citizens, while the physically challenged comprise 8% of the market.

*Network marketing models are being used in direct selling — an industry which is approximately worth US$80-100 billion.

*Even “Fortune 500″ companies take advantage of the successful network marketing business methods. Coca-Cola, Colgate-Palmolive, and Citigroup are just some of those giant corporations that have been reaping the benefits of network marketing.

*Warren Buffet, who is ranked second in this year’s “Forbes List of World Billionaires,” believes in the power of network marketing. In fact, last year the biggest addition to his roster of businesses was actually a network marketing company — Pampered Chef.

Now that you know that network marketing is indeed a lucrative business, the next question that you would most probably ask is: How can you rake in great earnings from network marketing?

First and foremost, you need to be adequately and properly acquainted with the endeavor that you are getting into. Here are the three basic P’s of network marketing:

*PEOPLE

Network marketing is all about people. Obviously, you can’t build and maintain a network without people joining in, right?

Develop and enhance your socialization skills. Be interested in various kinds of people. Talk to them. Get to know them really well. Then decide which ones you should carry one step farther and lead to the world of network marketing. Find and get the right connections, and together, savor the sweet flavors of success.

*PRODUCTS

Are the products of your prospective business easy to promote and sell? Take note that consumable products are the ones that can provide you with the highest income potentials.

Know your products fully. Consider important factors such as pricing, functionality, and durability. What are the strong points of your products? Ask yourself if you would actually agree to purchase them if they were offered to you.

*PLAN/PROGRAM

Does the business you want to get into have a clear-cut plan or program? This includes compensation plan, promotion methods, and trainings. Does the company provide adequate support to its marketers?

Make sure that you know all about your business plan or program. Otherwise, you will have difficulty convincing other people to also get involved in it.

Meanwhile, here are the five P’s of successful network marketers. If you wish to join the network marketing business and eventually succeed, you must be:

*PATIENT

Network marketing is not a get-rich-quick scheme. Network marketing does not offer you the chance to be a millionaire overnight. Understand that you need to be very patient and to work really hard. Remember that success comes to the right people at the right time.

*PERSISTENT/PERSEVERING

Always keep your flame burning. Never flicker. Keep the excitement of your “first day.” Be determined from start to finish. If after a few trials you don’t succeed, don’t lose hope. Never accept defeat. Instead, be challenged and strive to reach your goal. Soon, you will see that your efforts are paying off and your earnings are multiplying… slowly but surely!

*PERSUASIVE

You cannot succeed in the world of network marketing if you don’t know how to convince other people — whether to get into the program or to purchase your products. Make sure, however, that you actually believe in what you are saying. You cannot convince other people into believing or doing something if you yourself are not convinced about it.

*PROACTIVE

The fast-paced world of network marketing has no room for a passive, shy person. You need to possess the right energy and confidence to succeed in this endeavor. You have to be quick-witted to be able to always see an opportunity in any situation. Promote yourself and your business on all appropriate occasions.

*PASSIONATE

Love what you do and everything will follow. Your passion for your job will surely be evident in the way you perform, in the way you talk to others about it.

Truly, network marketing is a lucrative business. It is up to you, however, to make this money-spinner work for you. With the right attitude, right knowledge, and right skills, you can certainly rake in more earnings from network marketing!

Now I know you’re wondering why I, a network marketer, would tell you not to do network marketing. Well, the fact is it’s not a trick subject line…and I know that sounds a bit crazy, so let me explain…

So here’s what happens. Most often people will join a network marketing opportunity, and get all set and postured up to “do” network marketing. I don’t believe in “doing” network marketing. What you really need to do is separate the two and do both “networking” and “marketing”.

When you learn to separate the two, you then “become” a Network Marketer.

It’s simple. When you join up with almost any network marketing opportunity, what will happen is the person that brings you in will tell you to get a pen and paper and make a list of everyone you know, or ever knew since birth. All the way down to the nurse who helped deliver you. Now guess what…I will ask you to make a list of people too. This is called your warm list. Your warm list CAN very well make you a fortune. But what you should do is get that list and start “networking”.

See, this is where the separation comes in. You need to network… You have a list of people that you know, and you should let them know about what you’re doing. But tell me what’s going to happen when those people feel like you’re “marketing” TO them. They’re going to run away as quickly as possible, because frankly nobody likes to be marketed TO. NOBODY!

At least not blatantly! But what happens when you network? What happens when you see an old friend on the street and begin to talk to them? They ask you how the heck you’re doing and what you’ve been up to right. They want to know…they’re asking you.

So you tell them what you’re doing very proudly. “I’ve started a home business!” It’s as simple as that.

You’re not scaring them off by pushing something down there throat. But when you network, what’s the crucial thing that you do? You keep in touch, and follow up. At that point you can give more information about your opportunity.

The important thing is that you realize that “doing” Network Marketing...and becoming a true Network Marketer who knows how to separate the 2 elements are two totally different things.

This this article, we are going to discuss the 2 main reasons why network marketers fail.

Many self made millionaires created in the network marketing industry. There are many individuals who start this business and then drop out. Income possibilities motivate individuals to start recruiting immediately, thinking this is a good way to get rich quick. A list is started with a warm, viable market and even though this makes sense, being rejected by that market can be very disheartening. Most people give up right there.

What does this mean? It means that an initial contact may have been made with a family member and when that family member rejected the network marketer’s ideas, than the would be marketer just dropped out of being in a network of marketers. Unfortunately time was not considered as was the investment that would have had to be made. The goals were not long term in mind and the “bumpy road” to success was not taken into account. Had it been otherwise, than another successful network marketer could have been added to the list of self made millionaires.

Many people get the sense that network marketers fall under the category of a “pyramid scheme.” Unfortunately the negative press has affected many recognized companies as well as the general public. And there have been many pyramid marketers who have sullied the name of reputable companies, thereby leaving people with the negative impression that network marketers are like any pyramid scheme.

There is no getting around it. There is a lot of effort involved in making network markets successful. If you can get two and they can get two and so on down the line, than you can make lots of money. Network marketing involves a huge amount of networking and marketing. If not vested in this, than disenchantment will quickly set in. There is work involved and if anyone representing a business tells you otherwise, than they are misrepresenting the truth. Nothing is for free. Especially when launching this new business venture does one need to realize that “blood, sweat, and tears” will be involved.

The cost of advertising will need to be considered in the marketing plan. This is a huge cost as this is a normal business and not something you hope drop by the wayside. In order for the community to become aware of what is being sold, than advertising a product in a marketable fashion will need to have the capital invested into it. Avoiding mistakes that failed network marketers have made will help in increasing your chance of success.

Nine out of 10 people who fill out a network marketing application will fail to build a viable business. Among that number will be people who do not take action and people who build a business yet experience a true business collapse.

The oft-quoted statistic allegedly from the Small Business Administration(SBA) that 9 out of 10 of all businesses fail within 10 years by comparison is not true.

According Brian Headd?s article from Small Business Economics 21:51-61, 2003: Redefining Business Success: Distinguishing between Closure and Failure, 66% of conventional businesses survive 2 years or more, 50% survive four years or more and 40% survive six years or more. Traditional small businesses do far better than the 90% failure rate quoted by people in the network marketing industry.

What is the difference? Is the network marketing model itself faulty? Many familiar sales models use the same business model as network marketing. Real estate sales are a prime example. Many top sales people across the automotive, pharmaceutical, travel and other industries have as their main responsibility to recruit and train sales people and in return are paid commissions based on the performance of their teams. It is not the model.

What is it then? Why do so many people fail in network marketing?

Working with people over the past 5 years and in speaking with other successful network marketers during the same time, I have been able to come up with 5 reasons:

1) The cost of entry is too low: The typical start up costs can range from 0 to $1500 dollars. Imagine the person who decides to open a traditional business and has to invest tens of thousands of dollars to do so. How might that person differ from the person who can put their business start up on a credit card? The person seeking to open a conventional business where the investment is high will develop a business plan. That plan will include a skills assessment, expected expenditures and projected revenues. If the prospective business owner realizes they have a skill deficit that is material to their business success, they will either set to work learning that skill before opening their business or they will provide funding and a plan to acquire that skill while they are in the planning stages and before they open for business. Now imagine the person who can simply put their start up costs on their credit card. For the majority of network marketers there is no planning beyond the initial start up. Most never ask of their sponsors or themselves what they may need to be successful other than the initial start op costs. They never ask what skills they lack. There are on-going business costs in addition to the start up costs and those costs can range from $100 to $500 dollars per month. Many do not make provision for on-going expenses. On-going business expenses tend to be regarded as expenses akin to the cable bill rather than investments in their business. The low start up, then, can be a stumbling block to success in business.

2) Lack of appropriate training: Unfortunately many companies and teams do not offer training beyond corporate events. In order to be successful network marketers must master a simple formula, the Inviting Formula, and they must use that formula 30 to 60 times per month. Without this formula many new and seasoned network marketers will invite the wrong prospects to review their information and find themselves disappointed by the results. The Inviting Formula is simple to learn and implement. Why is there so little training available in network marketing? I believe the reason can be found in the very reasons why people get started in network marketing. Take the wage earner who wants to fire his boss. He never wants anyone to tell him what to do again; he hates his boss and wants to be free. Take the corporate executive and the entrepreneur both of whom are tired of managing people and are looking to build a fleet of independent business owners that they never have to manage. Put both groups of people together in what is fundamentally a people business and what do you get? People who find that they have to do what they were trying to get away from in order to be successful and become free! YIKES!

3) Too many people are looking for the big income score and fail to appreciate the smaller sums of income they earn along the way. Most people get started in network marketing because of the big income claims. They want the six figures. If they don?t get ?em they quit. Here is a statistic that will knock your socks off. Anyone grossing $30,000 per year or more with their respective company is among the top 3% of income earners for their company. Here is another fact. The income earned through network marketing is tax-advantaged income. Income earned through a job is not. Anyone earning an additional $30,000 dollars per year in tax-advantaged income who fails to make significant strides in improving their wealth will never improve their wealth with $100,000 per year. Finally, the road to earning and keeping six figures and beyond is a 5 to 10 year process and there is no way around it. It is a process that requires growth and change in the areas of personal finance, emotional maturity, spiritual maturity, and personal association.

4) Low EQ, failed expectations, too much hype in the industry: Looks like I jumbled 3 different ideas into one point but they are actually all related. There is a lot of hype in the industry. Joe Smith the waiter to went from 0 to six figures in a year. Of course Joe Smith and his company forgot to mention that all of Joe?s family were involved in the industry of network marketing, that all were successful, and that Joe was working as a waiter just to figure out what his options were. That skills are required is just one of the ?inconvenient truths? of network marketing. The hype leads invariably to failed expectations. If people understand at the start that network marketing is really a business that requires a skill set fewer people would get started and more people would be successful. The organizations created would move from vertical sales organizations to consumer-based organizations as more people seek to become product users rather than business owners. Network marketing itself is an industry that attracts too many people who desire instant gratification. Daniel Goldman described the Emotional Quotient or EQ in his book Emotional Intelligence. He found that the greatest determinant of long term success was one?s ability to delay gratification.

5) Money In, Money Out: Many people treat Network Marketing as a Money in, Money out proposition. Imagine a black box. On one side of the box is the word ?IN? in bold letters. On the other side is the word ?OUT? in bold letters. It would be easy to think that just because you put money in, you should get money out. Investments rarely work out that way. See the trouble is that ?black box?. Something goes on in that black box that transforms inputs into outputs and therein lies the rub. As an illustration, I was on the phone with a prospect the other day. He said, ?I have been scammed so many times, what I need is a person who will work with me, show me the ropes, train me?are you that person?? My response was, ?yes, we have a training program that begins with our training manual. We have weekly calls and I will be meeting with you a couple of times per week and giving you assignments each time we meet. You won?t progress unless you do the assignments and attend the training calls?are you that person?? Stone cold silence. He never did answer my question. With my first company, I received motivational materials at a cost of $60 dollars per month but no training. In my second program there was training galore that I didn?t take advantage of. I thought my team?s system would build my business for me. When I realized that it wouldn?t, I had a choice, quit or continue. In order to continue I had to ask myself some questions, among them, What skill or skills do I lack? There are 2 skills required in network marketing A) the skill of inviting which has embedded in it the stills of listening, sorting and sifting and B) The skill of training which requires the skills of boundary setting and the skill of setting expectations. I lacked the skill of inviting. I learned my profession through experimentation, direct observation and practicing. I applied those same strategies to learning the skill of inviting and I went from sporadic checks to consistently earning multiple 4 figures per month.

The Twelve Power Secrets for Network Marketing Success

By Rod Nichols

My first book, Successful Network Marketing for the 21st Century was an industry best seller for several years and helped tens of thousands of network marketers build successful businesses. However, I always felt there were some key knowledge missing from that book and so, over the last three years, I’ve been working on a new book and today I’m happy to announce that The Twelve Power Secrets for Network Marketing Success has been released through Unlimited Publishing. This is the best book I’ve written on network marketing, as it is packed with millions of dollars worth of ideas for building a large and lucrative network marketing business. In the following article, I’d like to give you a great overview of the book. The information in this article alone could help a fledgling or struggling network marketer turn their business into a money maker, so imagine what the book could do. Please enjoy the article, put the information to work and do as I have and build a lifetime stream of residual income, so that you can have both financial and time freedom.

Here are the twelve power secrets for network marketing success:

Power Secret One: Select the Right Company

During my nearly 29 years of network marketing, I’ve selected the wrong company a number of times. Not that the company was bad, although there were a few that were, but rather they weren’t a good fit for me. Even if a company is growing rapidly, has an amazing product, solid compensation plan, and great marketing materials, it doesn’t mean that it’s right for everyone. The questions you have to ask are: Does the company have the same values as mine? Are they marketing in a way that is suitable to my personality? Do they offer a product or service that I can get passionate about? Is the compensation plan suited to my abilities, time commitment, and talents? Once you answer these and other questions, you will have a better feel for whether a company is right for you and although selecting the right company doesn’t guarantee success, it does drastically increase the odds. The key is to do your due diligence and make a good selection.

Power Secret Two: Pick the Right Sponsor

One of the biggest mistakes I see made in network marketing is picking the wrong sponsor. Typically one of two things happens. Either a person gets sponsored by a friend, family member, or associate, who doesn’t know anything more about building a successful network marketing business than they do. The second option usually happens after a bad experience with the first option and so they begin researching to find a big hitter to sponsor them. The problem with being sponsored by a big hitter is that they don’t always have time to work closely with new people. After all they probably have thousands of people in their network, all needing some level of attention. The key here is to be sponsored by someone who is serious about building a big business and is willing to dedicate the time to help you succeed. It’s also important that your sponsor have similar values and be someone you would enjoy working with very closely. Again, picking the right sponsor doesn’t guarantee success, but it sure helps.

Power Secret Three: Develop Purpose, Goals, and Objectives

Over the years I’ve trained and coached tens of thousands of network marketers and have found that most don’t really know why they are in business. It’s critical to long-term success to have a solid “why” or purpose for being in business. It might be to have more time freedom to enjoy your family or to secure your financial future, so you can give your time to ministry or charity work. It might be to become the largest contributor to a charity or ministry. Whatever your purpose, it needs to be vibrant enough to keep you going during the tough times. Once you have a solid purpose, then you must determine what needs to happen in order to achieve that purpose – these are called goals and are the stepping stones or road signs along the way toward your purpose. Goals need to be written and reviewed daily. Often goals are too big to determine what to do on a daily basis, so you should break them down into manageable activities called objectives. Start each day by reviewing your purpose, goals, and objectives, then start working on the highest priority objectives and you will quickly reach your goals and achieve your purpose.

Power Secret Four: Right Attitudes and Beliefs

Many people fail in network marketing because they don’t have the right attitude. They treat their business like a hobby, working at it whenever time allows, rather than treating it like a business and scheduling regular time for business activities. I’ve also encountered many people in network marketing businesses, who show signs that they believe that what they are doing isn’t quite on the up and up, which makes it difficult for them to talk with people. It’s critical to success in network marketing to build belief in three areas: First, is believing in the network marketing industry (if you are struggling in this area, order my book The Ideal Business, by visiting my web site at www.RodNichols.com and clicking on Store). Second, is believing in your company and the products/services. Third, is believing in yourself as a network marketing business owner. If your belief is not strong in all three areas, success will elude you.

Power Secret Five: Treat it Like a Business, Not a Hobby

What does this mean? Most people who enter the network marketing industry have never run a business, so they don’t know what it means to treat it like a business. The keys are to first have the right attitude and second the right actions. Network marketing is one of the very few businesses that can be built while still employed at something else. The great part is that you keep your current income, while building another stream, which eventually will replace the first source. However, in order to do that, you must do the things that successful business people do. You must be consistent and persistent with your business and work on the most productive activities every day. Finally, you need to make a long-term commitment to your business. I have to laugh when someone says they’ll give it a try for six months or so. I’ve owned businesses, both network marketing and traditional, for many years and I’ve yet to find one that would produce a full-time income within six months, while building it on a part-time basis. Yes, some people earn big time income in network marketing within their first six months, but it’s because they put in a more than full-time effort or already had a massive circle of influence. For the average person, like me and probably you, it’s going to take some time and effort to build your business, but if you do it right for the next few years, you’ll never have to worry about money again.

Power Secret Six: Have a M.A.P.

If you were going to drive your car from Seattle, WA to Orlando, FL, would you just jump on the nearest highway and start driving, in hopes that some day soon you’d reach Orlando? No, that would be ludicrous and yet, that’s how most people build a network marketing business. It’s a journey and you need a M.A.P., which stands for Marketing Action Plan. This plan will guide you from where you are right now to where you want to go in life. It should include your purpose, goals, objectives, marketing strategies, and a daily plan to implement those strategies. That way, you are always on track toward your goals and purpose.

Power Secret Seven: Become a Master Prospector

If you were wandering through a field and stumbled across a goldmine, you would immediately buy the lot, purchase digging equipment, and begin to mine the gold. Well, you have stumbled across a goldmine and it’s in your network marketing business. The key is to prospect for the gold nuggets among your friends, family, co-workers, neighbors, congregation members, people out on the internet, and people you meet out in public. There is a direct relationship between the quantity/quality of prospecting and the amount of money you make, so become a master prospector and watch your income sky rocket.

Power Secret Eight: Treat Different People Differently

If you are treating everyone exactly the same, then you’re missing the boat with 75% of them. There are four basic personalities and although we operate at times in all four, every person functions primarily in one of the four. By understanding the characteristics of each personality, you can better communicate and present to prospects, plus train and support those in your network. Understanding and recognizing the different personalities will increase your sponsoring and retention ratios.

Power Secret Nine: Become a Master Presenter

There is an old saying that says “facts tell and stories sell.” If you want to become a successful network marketer, you must become an excellent story teller. At first, you will tell the stories of successful people in your upline and later you’ll share your own success story. People love to hear stories and will better retain the information you’re presenting. Effective story telling is one part of becoming a master presenter and by becoming one, you will move yourself into the ranks of the top performers in your company.

Power Secret Ten: Become a Savvy Internet Marketer

The basis of network marketing is building networks of people who buy and sell products/services. What better place to build a network of people than on a natural worldwide network called the internet? According to Internet World Stats, which you can view at www.internetworldstats.com/stats.htm, as of 2006 there were a little over one billion people on the internet worldwide and that’s up from 101 million in 1998. As you can see, the internet is growing rapidly and is the place to build a network marketing business. However, it’s easy to get lost or overwhelmed on and by the internet, so the key is to learn how to be a savvy internet network marketer. First, you want to have an effective lead capturing web site with autoresponders that follow-up on your prospects. Second, you’ll need an effective database or contact management system that helps you remember to follow-up personally with qualified prospects. Third, you want to have an excellent online presentation system including web site based presentations in flash or video and live webinars. Fourth, you’ll need to have a pass-coded training web site that takes your new associates through some basic training. From there you’ll want to learn about funded business proposals (check out my new funded business proposal system www.the2percentplan.com/plus), pay-per-click advertising, and social marketing. Becoming a savvy internet marketer will add a number of effective business building weapons to your arsenal and help you build a large and lucrative business.

Power Secret Eleven: Develop Leaders

When I joined the industry in 1979, I was taught that if a person could fog a mirror I should attempt to sponsor them. Well, it’s one thing to sponsor a bunch of people and it’s something completely different to develop leaders. Leaders will duplicate, causing expansion of your network without any effort on your part. Leaders will attract other leaders and potential leaders, so learn how to identify and sponsor leaders, plus how to train and develop them. Once you’ve developed several organizations that have at least one leader, you will have a solid base for building a long-term walk-away residual income.

Power Secret Twelve: The Ultimate Power Secret

This is actually the most important of the power secrets. You can effectively use the other eleven and without the ultimate power secret you will still only enjoy marginal results. This is the difference between a double A battery and 220volts of electricity. In fact, the ultimate secret is the real power behind every success. Think about your computer. You could have the latest, greatest, and most powerful computer made by man, but if you don’t plug it into the wall and power it up, the computer is useless. Once you plug into the ultimate power source, amazing things will begin to happen – leaders will be attracted to you and your business, your marketing campaigns produce better results, and you suddenly know exactly what to say to a prospect. This is the culmination of all the power secrets for network marketing success.

Everything you need for massive network marketing success is contained in these twelve power secrets. However, failure or success is truly in your hands and is dependent on what you do with this knowledge. Obviously, I couldn’t include all of the information in each power secret or this would have been a very, very long article, so if you’re serious about building a large and lucrative network marketing business, you might want to pick up a copy of my new book by visiting www.RodNichols.com (store). However, even with all the information, it’s still up to you. Knowledge is power, but only when put into action, so the question is whether you are ready for success or not? If you are, then put this knowledge into action and in a few months to a few years you’ll enjoy the fruits of your labor – financial and time freedom.

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.

Over the past 10 years the network marketing industry has gone through some major changes. Before the internet mlm leaders and trainers were using methods that at the time were considered effective and efficient. Many of these mlm training methods are still being used and it is making it difficult for new home business owners to create a successful business working from home.

Internet Network Marketing Is The Future!

The internet has changed everything! A simple google search can give people instant access to positive reviews, company information, and any negative information about the home business opportunity. A company can instantly become famous or go under based on information posted on the internet.

Network Marketing Distributors now have instant access to tools, marketing systems, team leaders, training, reviews, and above all, interested prospects.

The competition is heavy and people searching for a home business network marketing opportunity can become frustrated with all the latest greatest sales hype out there.

How can you rise above the hype, lies and poor training and become a successful network marketer?

It’s simple… Join the New Direction Network Marketing generation and start marketing yourself instead of your company or product.

Remember, as a network marketer you have no control or ownership of the company you represent. You do not own your up line or your down line. You are basically a 100% commissioned sales rep.

If you are one of the many network marketers that is currently being trained with old outdated methods such as cold calling leads, the 3 foot rule, harassing friends and family or name list building, it is time to take matters into your own hands and start taking advantage of the free network marketing training programs out on the internet.

You are your business!

While you search for free internet MLM training websites you must first understand that the most important aspect to your home business is YOU. You need to start by marketing YOU to your prospects. After all, it is a well known fact among top network marketing leaders that people join because of YOU, not the company or the product. People join YOU, because you offer them a solution to their problem. They join YOU because they believe YOU can help them become successful.

When you can understand this very simple principle and begin marketing yourself to prospects you are on your way to being successful and recruiting more distributors to your MLM. If you continue to push your company and product and build no value into yourself it will continue to be a uphill climb.

Working from home in the network marketing industry is one of the fastest growing areas as more people are searching for a replacement or supplement to their current job. It is very competitive and in order to be successful you must stand out. Stop pushing the company sales pitch, learn how to generate your own leads, and above all, start marketing yourself to interested prospects.

Focus the next several months on researching all the free mlm training programs available on the internet. Upgrade your knowledge base and start marketing yourself as a problem solver and you will see an increase in your down line sign ups. Learn the new techniques and become an expert at something. Experts write articles, create blogs, put up YouTube videos and than teach others how to do it. There has never been a better time in history to start a home business in network marketing. What you make of it is totally up to you!

Nobody starts a Network Marketing business with the intention of failing, but unfortunately many Network Marketers do just that.  What makes a Network Marketer successful?  There is no “right’ answer, but there are definitely important strategies that successful Network Marketers use.  Put these 6 strategies to work in your Network Marketing business, and you’re sure to be on track to achieving success.

1.  Get Your Mind in the Game.  Successful Network Marketers have a clear focus–achieving success in their business.  They have an abundance mindset and they know that everything they want and need in life is available to them if they’re open to receive it.  Successful Network Marketers also know that they have to constantly be learning.  They’ve usually read (and applied) more than most other Network Marketers out there.

2.  Take Action.  Consistent, daily action is key to Network Marketing success.  A solid network marketing business is not built in one day, one week, or even one month.  It takes time, and you have to continuously put in the effort in order to reap the rewards.  Successful Network Marketers are more like marathon runners than sprinters.  They work at a consistent, steady pace over the long haul rather than the short but fast bursts that sprinters run.  The result is a more solid and successful business.

3.  Set Goals and Make a Plan.  Nobody is successful in Network Marketing without a vision of where they want to go and what they want to achieve–a real reason behind all the hard work.  Goals are the stepping stones, or the ladder, to reaching those dreams.  It is vital to set goals and have a plan to achieve those goals in order to achieve Network Marketing success.

4.  Choose a Good Company.  Although the company you choose is not the sole factor in becoming a successful Network Marketer, it is certainly part of building a good reputation.  Although there is no one-size-fits all Network Marketing company out there, there are good companies and bad companies.  Do your homework and make sure you align yourself with a company with integrity that will help you as you work to build a successful Network Marketing business.

5.  Have a Continuous Stream of Leads.  One of the biggest roadblocks for Network Marketers is running out of leads.  Often they run out of warm market prospects and hit a brick wall.  Finding a continuous stream of leads is vital to your Network Marketing success.  Without prospects, you can’t build an organization, and without an organization, you can’t achieve the residual income available in Network Marketing.

6.  Teach Your Downline to Duplicate You.  The powerful concept of being able to leverage your efforts with the efforts of others is one thing that makes Network Marketing a brilliant way to do business.  But if you don’t teach your downline how to duplicate what you are doing, you won’t have anything to leverage.  It’s vital to make sure you train your organization to do what you do in order to participate in the exponential growth that Network Marketing offers.