MLM - 6 Things to Be Very Watchful Of in Network Marketing


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Millions of people are drawn into the clutches of Multi-Level Marketing (MLM), otherwise known as Network Marketing for one reason - to make more money. More correctly they are promised the opportunity of making more money. The reality is that they will not make money. In fact, what they will find will be exactly the reverse. They will spend money trying to make MLM work.

I expect most of the people who will vehemently oppose my views will be those who have some experience in MLM but not a lot. They are still operating on high-energy, lots of hope and are generally the most defensive on “the business. " If you know somebody like this then you might like to run this article by them. It could save them weeks, months or even years of frustration and disappointment, not to mention saving them money.

For most people, MLM will be a disaster. Here are the six reasons why most people will fail:

Reason #1 - Most people DO NOT and WILL NOT make more money than they will spend. Only 0.3% of people who join a MLM or Network Marketing Program will succeed. You can read “succeed" as “make more money than they spend" on the business. That leaves a whopping 99.7% failure rate - much higher than conventional business.

Reason #2 - MLM's can and DO destroy relationships and often it is a marriage that suffers. In MLM it is always one partner who is the keenest. This develops a rift where the “business" becomes all-important to the exclusion of almost everything else. That includes spouses and partners.

Reason #3 - Many of the MLM business practices are deceitful and operate on very questionable ethics. You will be taught how to invite all your friends over for a dinner party, assemble them in a room and then. . . Captain Network jumps out of the corner cupboard. “Hi there!" You will also be taught how to pester all your friends with your expensive products if they refuse to join your down-line (people below you in the business). There can also be secret commissions and bonuses that are available only to the “big-pins" (leaders).

Reason #4 - Too many outright lies, half-truths and deliberately misleading statements are made by the big-pins on stage (and off). Most of the leaders will talk the talk but they rarely walk the talk. One such activity is selling to customers. That is considered a lowly task. Big-pins prefer to do the “glamour" work - meetings and sponsoring.

Reason #5 - The biggest WEAPON that the up-line (those above you) will use to KEEP YOU IN LINE will be to play the guilt trip over LOYALTY to the group. You are made to feel bad if you don't do all the right things, say all the right things and wave the business flag at every opportunity. This disciplining usually takes the form of “counseling. "

Reason #6 - Some MLM's and some legs (lines of sponsorship) of certain MLM's have hidden agendas that are sprung onto you when you reach a “locked in" level in the business. That is when you can be pressured into joining something like the big-pin's religious organization. Words such as “the only people who succeed in this business are the ones who accept God into their life" - or words to such effect are often used.

These are the six things to be watchful of if you are considering joining a MLM. If you go in fore-warned then you will be fore-armed. If you doubt that any of these comments are true just ask anybody who has had anything to do with MLM. Sure, some people make money and lots of it but everybody else loses money. Eventually, most will wake up to the reality. However, often this will be after years of devotion and a barren bank account.

About the author: Gary Simpson is the author of eight books covering a diverse range of subjects such as self esteem, affirmations, self defense, finance and much more. His articles appear all over the web. Gary's email address is Click here to go to his Motivation & Self Esteem for Success website where you can receive his "Zenspirational Thoughts" plus an immediate FREE copy of his highly acclaimed, life-changing e-book "The Power of Choice . "


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