Tuesday, November 27, 2012

Network Marketing, MLM, My Personal Experience


Why Would a Security Recruiter Write About Network Marketing? 
  
I’m approached frequently by individuals who have business proposals.  As a lifetime entrepreneur, I’m always interested in considering business ideas and I’m always interested in learning about other’s business models.  I find these types of discussions to be stimulating.
One of the business models that comes my way frequently is network marketing or as some call it, MLM or multi-level marketing.  Over the years, I’ve formed my own opinion about network marketing models but recently, I’ve become acquainted with a network marketing insider, a gentleman who has built compensation and marketing plans for network marketing companies for two decades.
 
A Real MLM Example I Just Found
 
In my Facebook feed today, I was greeted with the following message (company name removed)
 
  • $100 Referral Commission to INFINITY
  • $100 Monthly Residuals to INFINITY
  • 10% Matching Bonus's To INFINITY
  • JOIN OUR XXXXXXXX TEAMBUILD TODAY!!
I went to this company’s website and reviewed the compensation plan.  A new associate can join as a Basic Member or a Premium Member.  Here is what the website shows: (company name removed)
 
Everyone pays a one time $100 Membership Fee to join XXXXXXX, plus a Monthly Membership Fee of either $49.95 (total $149.95 first month) for our Basic Level Membership or $169.95 (total $269.95) for our Premier Level Membership.
 
My Network Marketing Insider Explained To Me
 
John explained to me that nearly every network marketing company charges a fee on the front-end that ranges from $100 to $500 for the privilege of doing business with the company.  John went further to explain that the next step is a monthly fee.  The company in the example above calls it a Membership Fee.  This monthly fee is frequently called Auto Ship.  Whatever this fee is called, it is the fee that one has to pay monthly to stay eligible to earn commissions.
 
John explained more and told me that 90% of individuals who invest into network marketing models never get their initial investment back.  He also explained that for most network marketing companies, 90% of the company’s revenue comes from the initial start-up fees and the monthly auto ship fees.  Only 10% of these companies’ revenues actually come from selling the product or service that the company is built around.
 
Although I never knew the exact percentages, these kinds of business models have never appealed to me.
 
Who Is John And Where Is He Today?
 
John is an expert in network marketing by way of 20+ years of experience in the industry.  John experienced significant success in network marketing around telecommunications deregulation in the 1990s and as a result, was retired in his early 40s. 
 
That retirement ended a couple of years ago when two retired and very successful oil and gas traders introduced John to a business opportunity that was unfolding around the state-by-state deregulation of electricity and natural gas utilities.
 
This deregulation is multiple times larger than the deregulation of telecom back in the 1990s.
 
A New Network Marketing Company Is Born
 

Once John reviewed the business idea the oil and gas traders had, he was asked to build this new company’s compensation and marketing model.  At first, John wasn’t interested in building another network marketing company but the oil and gas traders quickly changed his mind when they explained that the idea behind their new company was renewable green energy combined with utility deregulation.
 
Harness the Power and Eliminate Anything That Isn’t Good
 
John was asked to harness the power of network marketing while building a compensation and marketing model that eliminated everything that has ever been perceived to be negative or has been proven to be negative about network marketing. 
 
A Revolutionary Network Marketing Model Is Born
 
John built a network marketing model that has:
No cost of entry…Zero…Nothing…$0.00
No monthly fees of any kind
No risk for anyone who gets involved

This model offers nothing but opportunity and nobody has to get stepped on in order for someone else to make money.

Forbes Magazine ™ named this company to its 2011 Companies To Watch List.  No company of this kind has ever been added to the list before.

This business model is built around the deregulation of electricity and natural gas.  John’s company is currently operating in 7 states with a half dozen new states coming on-line in the next 9 or so months.

In order to get involved in John’s company, an individual only has to become a customer of John’s company.  Once an individual becomes either an electricity or natural gas customer of John’s company, they can receive referral fees for simply letting their friends, family and/or acquaintances know about John’s company.  When the acquaintances sign on, the referrer gets paid.

What Does John’s Company Offer?

John’s company offers competitive rates for electricity and natural gas but more importantly, John’s company offers green renewable alternatives to the fossil fuel that currently drives most of the energy in the United States.

What’s In It for Someone Who Join John’s Company?
 
Anyone who becomes a customer of John’s green electricity or clean natural gas will be consuming energy that is clean when it is produced.  Consumption of this clean, renewable, green energy will lead to a cleaner environment for the US.

Anyone who lets their acquaintances know that they’re now consuming green renewable energy in their home and/or business will be paid referral bonuses when their acquaintances make the same choice.

Not only will the referring party get a referral bonus when their acquaintance signs on with John’s company, the referring party will receive a residual income every time their acquaintances pay their electric or natural gas bills.  This residual income goes on and on and on and doesn’t stop.

When an acquaintance who signs on with John’s company refers their acquaintances to John’s company, the acquaintances are eligible to receive the same referral fees and residual income checks as the original referrer.  This benefit goes on for 6 levels of depth.

An individual might make a half dozen or maybe a dozen referrals and earn a $25 or maybe $50 per month residual check.  Someone else might appreciate their $50 check and wonder how they can earn a $100 or $500 or $3000 or larger check every month.  It takes work but increasing one’s residual income is entirely possible and there’s never an investment.

Remember, all this talk about referral fees and residual income came to John’s company’s customers without any investment now or later.  John has harnessed the power of network marketing for his company but he has built a model where everybody can win and nobody ever gets hurt.

Our Economy Is Struggling but John’s Company Offers a Cure

 John’s company has created income opportunities for anybody who can simply share a green renewable energy plan with their family and friends.  It’s that simple.

As John’s company acquires more customers who choose green renewable energy, American jobs are being created, our environment is becoming cleaner and individuals are prospering through the company’s generous referral and residual income program.

Would You Like To Learn More About Part-Time or Full-Time Opportunitites in Just 10 Minutes? 

Call Jeff Snyder at 719.650.5891

Jeff Snyder’s SecurityRecruiter.com Security Recruiter Blog

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