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FHow precious is your MLM reputation?

How precious is your MLM reputation?
by Ivan Lim

How often have you heard people say that they have 'burnt out their warm market'? Could this be prevented from the start? If you are already in this situation, how do you recover from it?

An acquaintance of mine is a typical example. He evaluates programs based o­n how much and how fast HE can earn, but he fails to base his decision o­n how much and how fast his downlines can earn. o­ne of his latest businesses promoted a health fruit drink.

As the business was pretty new, it had a slight edge over the hundreds of other health related programs (in terms of timing). A while back I asked whether he believed in the product, he said 'No, but this is new, I can sign up quite a few people in the beginning and make some quick bucks, hopefully it will last a few years.'

In the first 2 months, he signed up close to 15 people. Most of them were like him, no faith in the product, but they joined because my friend promised to build their downlines for them. Unfortunately they did not have the 'recruitment' skills of my friend.

2 months later, my friend's recruitment rate dropped, and he also stopped working the business. So all those people were left hanging with nothing but promises of a profitable no-work-involved business, as well as monthly bills of $100 to $200 worth of fruit juice.

The main problem started with what was in my friend's heart, he knew from the beginning the business did not have long term potential, but he still made promises to his people because he could make money off them quick. This is a surefire way to burn your warm market - lie to them in order to make a profit.

Not many people understand the principal of MLM - your income is not determined by how successful you are, but how successful your downlines are. If you work an MLM business that o­nly you can make money, you are much better off getting a job.

The most attractive aspect of an MLM business is RESIDUAL INCOME, and that will o­nly be possible if you have a thriving organization where the individuals at the lower levels are happy.

People like my friend tend to start a new MLM business every year or so, and they wonder why they cannot build a solid network. Learn this well, if you want to pick MLM as a source of income, pick a program where your downlines can make money without a big monthly output (hopefully none), it also has to be a business that makes sense.

Earn $20,000 a month without having to lift a finger, talk to anyone or invest a single cent does NOT make sense. Telling your friends about it has a negative effect o­n your reputation.

Follow these simple rules in picking an MLM business:

1. Find a business that you believe has a product (or service) that benefits customers

2. The product cannot be priced much higher than comparable products in the market. Ideally your product is one of a kind.

3. Only do it if you intend to support your downlines for the next 3 to 5 years. Personally I aim for 10 years.

4. Make your decisions base on how your downlines can benefit, not yourself. Think like an employer, not an employee. Your income will automatically skyrocket when your downlines start making money.

May your MLM journey be full of pleasant surprises and everlasting friendships.

(c) 2003 by Ivan Lim


Ivan Lim has been a full time marketer for 3 years. With his programming background, he builds websites to help his group reach maximum exposure o­n the net. He also devotes his time in helping people find fair deals in the MLM industry.


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