Three Network Marketing Mistakes That Destroy Down-line Growth

Jim Lynn

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I was really shocked to learn. . .

That Network Marketing (NWM) Distributors are absolutely being misled when it comes to building their business. I am speaking of 90% or more of all NWM Distributors.

The first time I realized the magnitude of this problem was while flying around the country for a well-known NWM company to present marketing seminars. My audiences were dyed in the wool believers of their products and NWM business opportunity.

There was just one thing wrong: Few of them (and there were thousands) ever made more than a few dollars from their business.

These Distributors had worked hard to make their business grow, and were frustrated over why it hadn't. Their sponsors and com- panies told them that to build their business, they should share company products with prospects, and that is what they did. Only thing is. . . It wasn't working!

This is why they came to hear me speak. They were looking for answers.

I shared three misconceptions that plague our industry with my audiences; and told them why many top producers aware of the problem, are simply unwilling to speak out about them.

Those three misconceptions are. . .

1. Sharing Products:

The first misconception operates on the premise of sharing products with prospects to create new Distributors. The fallacy of this method is that while it is a great way to introduce con- sumers to products, it does little to create business-to-business relationships.

People need more motivation than great products to convince them to begin a business. Besides, products are everywhere. Any idea who stands to gain the most from this misconception? That's right, the companies who make the products!

2. Sponsoring Leaders:

The second misconception operates on the premise of spon- soring leaders and self-starters to build the business under us. This kind of marketing works once in awhile, but overlooks 90% of the population who, themselves, rely on leadership for guidance. Just look at your own down-line.

3. Compensation Plans:

The third misconception operates on the premise that the Com- pensation Plan will attract people to begin a business. But “Comp. Plans" are a dime a dozen, there are literally hundreds.

Why should people be attracted to your Comp. Plan over another? Besides, Comp Plans can do nothing to start a business, that's our job.

Truth is, if any of these misconceptions actually worked, the NWM industry would be permeated with millionaires and success stories. . . It is not!


If there is any one thing that does permeate the minds of NWM Distributors, it is frustration over lack of down-line growth and sales.

It's not the industry. The NWM principle is solid and easy to use. But without the knowledge of knowing what to do, knowing how to do it, and having the right tools to do it with. . .90% of all NWM Distributors are sadly destined to quit their business in frustration.

Sure, Distributors may continue to buy products now and then, but inwardly, many have given up all hope of ever reaching their dream.

So you can imagine the look of surprise and delight on the faces of Distributors in my audience when I told them these things, and shared seven, proven “Rules of The Road" necessary when building a downline organization.

Permission is granted by the author to reproduce this article in its entirety, without making amendments to the title, body or credit line.

Jim Lynn is the author of Real World Secrets Behind America's Most Successful (And Profitable) People Who Network, an ebook found at


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