The 5 criteria and conditions of a successful network marketing and multilevel marketing business

The description of the 5 criteria of a successful network marketing, as written below, is the result of the analysis of 200 network marketing companies from within, by a network marketing expert, who has built a marketing business in successful network.

The main question is:

Why do some companies do it and why don’t some companies do it?

The general answer is:

A: Due to greed and ego, most network marketing companies fail.

B: Business models drive behavior in the field.

When the business model is not set up correctly and is right for a network marketing company, it is doomed to fail.

The 5 criteria and conditions of success that a successful network or multilevel marketing company must have:

1. The Company’s Management must be upright and experienced in Network Marketing.

The first question is: Did they build a successful downline?

Most of them don’t have that experience. They don’t even know how to spell MLM or Network Marketing!

When yes, then they respect you and you have no more than 5 pages on policies and procedures.

Company management check

To know the integrity of the company’s management,

A. Do a Google search and just type your name and see what is written, also under how many companies have already failed. Check the listings in business records with the name of the business owners and directors and / or managers. You can also do a Google search on the business owner along with the word scam.

B. Go to eBay and see how many of these products are selling on eBay. When products are sold on eBay, there is absolutely no credibility.

You are not going to have a good marketing position when you offer the products at retail price X, and on eBay you can find the same product for half the price X.

C. Does the company charge you for a website ready to build and receive orders?

Does the company charge you for any training?

When the company charges you for those two simple things; company management lacks integrity and the company will have excessive overheads, which will affect sales and profits.

Your company’s personal website and training must be free.

2. Policies and procedures

Policies and procedures do not have to be more than 5 pages. The more pages there are in the policies and procedures, the greater the overhead for a company that will almost certainly have an effect on product prices, and more – the company wants to steal your paycheck. There are many examples that when an independent distributor earns a large bonus check such as $ 35,000 per month, the company attempts to terminate this distributor or does not renew the contract on the anniversary of the renewal.

The high overhead company intends or makes changes to the compensation plan, which most of the time results in less profit for the independent distributor (Network Marketer).

The red flag should be set at:

Termination: Can the company fire you every time for any or no reason?

Renewals: The company will not be able to renew its contract on the day of its anniversary, at any time and without any reason.

The latter happens very often when a distributor makes more than $ 40,000 per month. There are many examples and proofs of this.

3. The moment of the company and the moment of a product in the Industry.

You never want to be at the beginning of a company !!

Many make a big splash to be the first in the pre-launch phase. Many of them don’t invent a product, but sell the names and email addresses for big bucks.

If the company and the product are good enough, they will still be there in 2 years from the start.

The fact is, most businesses fail in their first 2 years.

4. The product must be consumable and outstanding and of remarkable quality.

When a product is not consumable, when it lasts forever, then there must always be new sales with new customers. This is a huge job.

But when you have an outstanding quality consumable product, the satisfied consumer wants the product again all the time.

Product check

1. The most important thing is that there has to be a product that can be physically touched and that you buy or sell. When there is no such tangible physical product; When you pay for air, a position or something that you cannot touch with both hands; rinse, forget it. Is a gotcha.

2. If you can pay for your product (to your upline) only by money order or wire transfer, then do the opposite. The safest is paying by credit card. Most importantly, you need to enter a checkout page, with the product listing, product number, and transaction number, along with price, name, address, and contact information such as email address. seller / company email.

3. The product must be consumable and not last forever.

4. The product must be reasonably priced. Ask yourself: would you buy the product if you didn’t have a compensation plan attached to it? When the answer is yes, then the price of the product is right for you.

Then you have to check if the price is reasonable for your clients. When it’s okay with them, you can start selling the product. But when the price is very high and the Business Model offers a 30% discount on the price by registering as an independent distributor, then know that people only join your business to have the product for less. But they will never build the business.

The minimum difference between the wholesale price and the retail price must be 25%.

Know that in all normal businesses the product sells for double the wholesale price. Retailer = (2 X) Wholesaler.

In Network Marketing things are slightly different because the independent distributor does not have to worry about research, manufacturing, documentation and brochures, setup and administration costs, etc. So a difference between the wholesale price and the retail price of 25% or more is fine.

5. Check if you have competition with your product or if you have a unique exclusive product. The first thing to check is whether the product is sold on eBay. The easiest way to check is to go to the eBay website and give the company name first. This way it is easier to find the products, because many listings have other titles and make it more difficult to find them.

When you discover that the products you sell at retail price X, and on eBay, the same product has a very low price, the company, its business model and the product have no credibility. The company has the wrong business model and has priced products too high due to high overhead costs. This high cost overhead will also lead to much more than 5 pages in policies and procedures of the company that links the independent distributor.

4. Compensation plan.

A. You need a compensation plan that pays the person who works part time well.

B. People at the bottom of the compensation plan have to earn more from product sales or by consuming these products. Otherwise, the compensation plan is not good for a Network Marketing.

Especially when high percentages are paid to the top tier, or large immediate downlines are established in a very short time; This is a sign that deals are taking place at the higher levels. The rest of the downline is unaware of these agreements and does not earn a penny from setting up a network marketing business with that particular company.

Overall: The best compensation plan is the highest paying compensation plan, with the fewest people in your downline, for the average part-time network marketer or distributor.

You have to look at what the average man with a part-time job earns in a compensation plan.

The superstar space commander bonuses that only 3% of people earn, they are not interested.

Analyze a compensation plan

Analysis of a compensation plan can be done by doing math and simply calculating the numbers with just a calculator:

The general calculation to do is:

How much volume do you need in a month to make $ 10,000 and split it with the people / distributors that should be in your downline?

5. Lead generation / Lead generation / Duplicate system

Network marketers need prospects for their business. Most of them buy a list of leads and prospects.

After they find out that those leads are unresponsive and therefore worthless.

If your upline tells you to buy leads or make a list of names; run to the other side.

This cannot be duplicated!

You have to understand that the only thing you have to promote is you! People join people. They don’t join companies. Network marketing is not a sales business. It is a business relationship.

You need a proven duplicating capable system. This means that the system is duplicated when it goes out. (And after you quit, you get residual income.)

This is where our free support advice and mentoring with a proven duplicatable system comes in (for over 26 years);

All the people who download the Free Report as an e-book are those who want to do business with you.

Therefore, it is extremely important that you have access to such a proven mirroring system.

You can get this system on your own by registering at the bottom of the site:

It is your decision with your vision to have what you want from life, which will attract this and it will come true. Your thinking, vision and decision for success.

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