Tweet

Network Marketing Is A Pay To Play Business

Guest post by: Andy Acciaioli

Article Overview: We spend a lot of time and energy recruiting prospects who are not financially prepared to “pay to play” your network marketing business. This diverts your attention from sponsoring those who are prepared to spend the necessary network marketing business expense to get their business up and running.

Network Marketing Is A Pay To Play Business

Suppose you decide to open a convenience store. You find a location, sign a lease and usually pay the first and last month's rent plus a damage deposit upfront. Then you make the necessary alterations on the building's interior and exterior. The racks and furnishings must be purchased along with the latest model point-of-sale cash register. Inventory to stock your shelves must be purchased. Help wanted ads have to be placed in order to hire employees. Well, you get the picture. You've spent a ton of money without seeing your first sale. At this stage of the game, your business is a potential, far from a thriving enterprise. Why is it, when we talk to new prospects and they question us about the costs involved with our network marketing business are we like shrinking violets?

Better you inform your prospect of all costs upfront rather than trying to skirt or tip toe around the issue. If anything, I usually approximate a slightly higher cost and if there is an auto-ship plan built into my network marketing company, I state that upfront. Prospects that are unwilling to participate in auto-ship will usually be the first to drop out of your business (meaning you have spent a great deal of your time and energy on him/her when you could have spent it on finding better qualified recruits).

Let's face it: why is our network marketing business any less a business than one he or she would set-up themselves? How could they possibly expect to start and run our (or any) business without there being certain ongoing expenses?

Most network marketing businesses have extremely low costs. Perhaps this is why we attract so many people who are willing to call it quits at the slightest "bump in the road". Maybe if our initial costs were high - as is a traditional business - we would attract fewer people into our businesses BUT the ones who did join us would stick with their business as they have more to lose should they decide to quit.

The business that we offer prospects is a system. A system with potential. In order to play, they have to pay.

Related Articles
  Are You A Basement Network Marketing Conglomerate CEO?
  Succeed With Network Marketing
  Primerica Term Life Insurance Business: What You Need to Know
  Day One. All Over Again.
  Make A Fortune With Your Network Marketing Downline! ~SECRET TO WEALTH ONLINE
  Network Marketing Business Opportunities - A World Of Choices
  Network Marketing Business Canada: A Place to Start a Business
  Only Coffee Ice Cream Available.
  Get Rich in Network Marketing on the Internet by Learning to Leverage Your Time
  2 Popular Ways To Earn Residual Income Online
  THE FOUR KEYS TO NETWORKING CONFIDENCE & SUCCESS
  Network Marketing Tips That Even Big Foot Will Tell You Doesn't Work! ~Omari Taylor
  Network Marketing Explained
  The Dinosaurs Dead The Dinosaurs Dead Has Network Marketing MLM Died
  Network Marketing Tools You Need to Be Successful! Fast Success Guaranteed!
  Build A Home Based Business With Network Marketing
  How To Choose Best Network Marketing Company!~ ONLINE SUCCESS SECRET
  How to Get Results in Your Network Marketing Business Opportunity! ~HAVE SUCCESS TODAY
  Article #13 Hoping the Next Business Opportunity Would Be “The One” to Make You Rich?
  The Key to Rapid Growth in Network Marketing or MLM is Duplication

Article Tags: home based business cost, home based business expense, mlm cost, mlm expense, network marketing business cost, network marketing business expense, work at home cost, work at home expense



Related Forum Posts
Network Marketing Business - Hello all, Recently, I had join a Network Marketing Business on a part-time basis. Does anyone here who has some knowledge on this type of business? I want to learn as fast as I can from all the gurus here
Why do people hate Network Marketing / MLM? - I've been looking at a number of different opportunities and end up meeting a lot of Network Marketing / Multi-Level Marketing people. Some of the offers look interesting but everyone I talk to about it says to avoid these guys like the plague - what's the deal? Why do people hate network marketers and MLM people so much? Is it not legit?
Re: MLM Marketing, youtube, and buzzirk mobile. - I have experience with MLM too. My initial reaction to the business was "snake-oil salesman" but once I got to understand the "overall business model" I am now an advocate to it. MLM (Multi-Level Marketing) is also known as Network Marketing. I realized an MLM business is no different than any other business. One needs to focus on both words "Network" and "Marketing" and give both equal respect. Some people focus heavily on the Networking part but forget "Marketing". I've started to use Building on a Budget and Magnetic Sponsoring concepts in my NM business and have found that people don't get involved so much because of the product but more because of what you bring to the table as far as marketing systems and support. I have both products listed in my signature. you don't have to buy it as the link to the free videos itself provides you a good understanding of what is required to position yourself as my above paragraph. If you do plan on purchasing it I can tell you that the measly $40 will open your eyes BUT your upline will not be too happy (atleast in the short term) beacuse the system is not duplicateable. I wrote this post as a polar post to Bulmer's reply as I have exhausted the friends and family networking and realized i never really focused on marketing. My leads now are more qualified and open to hearing about my opportunity than the other way around. my 2 cents if you plan on growing an MLM or Networking Marketing business.
Willing to Fail Your Way to Success - Entrepreneurs in my opinion, must be willing to fail. (This is that risk-taking factor quoted in the other post). If you aren't willing to fail then you don't take risks and if you don't take risks you do I like to call (I am qouting an awesome book called Play to Win!) 'Playing Not to Lose' instead of 'Playing to Win'. When you Play to Win you must risks. Risks are how you build a business and innovate.
10 best franchises to get involved - My advice is: 1) Go to the library and start reading business books (accounting, finance, etc.) 2) Go to your local community college and enroll in night classes 3) Join the local Chamber of Commerce 4) Network / Network / Network -- through the above sources. Once you have spent two years doing the above, then look for a 55 - 60 year old business person that is looking to reduce their time in the business. Then you can work on a sweetheart financing option.


Share this article with your friends. Fund someone's dream.

Leave a comment below or share on the left and you'll help support entrepreneurs in Africa through our partnership with Kiva. Over $50,000 raised and counting - Please keep sharing! Learn more.

Newsletter

Get advice & tips from famous business
owners, new articles by entrepreneur
experts, my latest website updates, &
special sneak peaks at what's to come!

Name:
Email:

Popular Articles

Basic Operating Question (BOQ) for Empowerment

What To Do With a Troublemaker?

How to sell a business

Suggestions

Email us your ideas on how to make our
website more valuable! Thank you Sharon
from Toronto Salsa Lessons / Classes for
your suggestions to make the newsletter
look like the website and profile younger
entrepreneurs like Jennifer Lopez.