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When you invest in a Network Marketing business you are investing in a business that can bring you long standing rewards. But with many “wannabes” out there, how do you identify the winners from the flops?

Following is a list of the fifteen most important questions that you want to ask before you commit to your Network Marketing Company.

1. Is the company in a growing market?
   

   Would you invest in a company that sells obsolete VHS Players? Or would you rather invest in a company that sells hot items that are here to last? Investing in an item that is part of a trend will ensure that your business grows and remains active for many years to come. But what are these trends? In his book The Wellness Revolution, Paul Zane Pilzer – economist, advisor to two Presidents of the United States and former vice president of CitiBank – claims that “$1.5 trillion, of the U.S. economy today is devoted to the healthcare business, what he refers to as the Sickness Industry. However, by the year 2010, an additional $1 trillion of the economy will be devoted to products and services that keep us healthy, make us look or feel better, slow down the effects of aging, and prevent diseases from developing altogether.” (The Wellness Revolution)

2. Are the products good? Are they effective? Do they have recognition? And, are they something that you would want to buy on and on?
   

   Repeat sales guarantee that you will get paid over and over again. However, you will only get repeat sales if the products are effective and people want to continue to buy them.

3. Are the products consumable? Or are they a one time sale?
   

   Consumable products mean repeat business. When the product is gone, people buy again. This is what you need to generate residual income. That is money that trickles in month after month for an effort that you did only once.

4. What is the company’s track record in sales and commissions?
   • Is the company publicly traded?
   • How are its finances?
   • Are they growing?
   • How is the company seen in the financial world?

   Today it is difficult to know if a company is serious or if it is simply a good idea that a couple of people put together over the weekend. Knowing that the company you select is publicly traded brings you the confidence that they are being monitored by many people including the FCC. It also tells you that it is a company that has been around for a while and therefore less likely to disappear from one day to the next. However, just being publicly traded is no guarantee that the company is successful. You may also want to check their ranking in the list of “hottest growing companies” published by Forbes and Business Week. Forbes and Business Week rate companies on how long they have been in business, their growth and their debts over time. Only the best are considered for this list.

5. Does the company operate in different countries? And what is their plan for expansion?
   

   A network company that has presence in many countries may give you access to a wider market, increased sales and a higher income potential. Check with your Network Marketing company if you are allowed to grow your business in any of the countries in which they are present. Or, if you are limited to operate within a specific territorial boundary.

6. Is there a team of people that are willing to help you start?
   

   Network Marketing is about people working together to help each other succeed. A good team understands that your success is their success. They will help you earn money as you learn, plan your life around your new business, and develop the skills that you require to succeed and meet your goals. However, shy away from those people and companies that promise to do the business for you. That does not work. The reason Network Marketing is successful is because you leverage on the power of many where “many people are each doing a little of the work” instead of “only a one or a few people doing all of the work.” In the words of J. Paul Getty – “I prefer to earn 1% of the effort of 100 people rather than 100% of my own effort.” This is what Network Marketing is all about.

7. Does the company have high quality marketing materials available?
   

   The products may be great, the benefits outstanding. However, how do you get them in front of the people in the first place? Even our closest friends become skeptics when we provide them with information printed on a dirty sheet of paper. Therefore, a good network marketing company will have high quality materials available for you to purchase at a reasonable cost that you can use to promote your product and business.

8. Will the company ever sell in stores and therefore compete with you?
   

   Imagine investing years of your life creating a network of people that use your product, only to find that the company you represent has just put a store in the corner Mall that offers the same products you do at a discount. When you join a Network Marketing company you form a partnership. You and the company are now partners.You agree to use the products and share the benefits with others and they in turn agree to support you and reward you for this effort. In this win-win scenario, the company saves a lot of money it would otherwise have to pay upfront for publicity and distribution. You create the market. You create the customer base. Therefore you are compensated. Unfortunately there has been the rare case of companies that have used Network Marketing as a means to create a need, a market and customer base. Once the consumer market has been created they chose to sell a similar and competing product in stores. This directly affects the earning potential of their associates who were mislead into believing that they were involved in a true partnership. Make sure that the company you select will ONLY sell direct (factory to customer) and will ONLY promote through associates or independent distributors (that means you).

9. How does the compensation plan work? Is it easy to understand? Do you get paid over total volume or are you limited to levels?
   

   In Network Marketing, you grow your business by inviting people to buy products and recommend the products. These people in turn invite other people whom invite other people and so on and so forth. Each of these “generations” of people inviting other people is known as a “level” in your organization. Although the concept is similar, the number of people you need to invite to get paid and how you get paid is different for each company. And it is important for you to understand the difference before you commit. For example, some require you to invite 6, 8 or more people in your first level. Others require you to invite only 2. Some will pay you over everything that everyone that joins your network purchases from the company, others will limit your commissions to a certain number of levels deep. Some will pay you a fixed rate while others will change the rate depending on the level. Finally, some will allow your down-liners with outstanding performance to “jump” above you in the organization, while others will always respect your position in the network. A good book to read if you want to know about all of the compensation plans is Understanding Multi-Level Commissions by Rawlings.

10. Does the company pay weekly or monthly? And do they roll your unpaid points over to the next payment period or do you loose them?
    

    Ask your company whether they pay by week or by month and, what happens to the points that were not paid on a given period. Some companies will pay you weekly while others will pay you on a monthly basis or until you reach a minimum level. They pay you against an accumulation of points which are a measure of sales generated by your network. Each company has their own rules to describe how they pay you, how you accumulate points and how you can trade them for cash or prizes. These rules may allow unused points to “rollover” indefinitely giving you the opportunity to collect on them sooner or later or cancel them out at the start of each period, thereby forcing you to start from scratch.

11. Is there a limit to your earning potential?
    

    Although not everyone in Network Marketing turns millionaire, Network Marketing is the industry that has generated the greatest number of self-made millionaires. Why? Because it offers unlimited earning potential by capitalizing on the work of others. And because there is no limit on the size that your organization can reach. Make sure that the network company you select does not put a limit on this earning potential.

12. How much money do you have to invest to start?
    

    As in any business, to start your own Network Marketing business, you will have to make an investment. The question is how high? Unlike franchises that may require you to invest somewhere between $50 thousand and $1.5 Million dollars, investing in your own Network Marketing business may require you to invest something between $250 to $1000 dollars. What do you get for this money? Typically it will include a Business Development Kit that is offered to you cost and product worth equal or more the value of your investment. It is important that you try the products and experience the benefits. As you will only be effective in building a long and successful business if you are convinced that the products work and others see the benefits through you. Important Note. The initial investment and what you get for it may help you identify a legitimate business from a SCAM. Network Marketing is a legitimate business. However there are people out there that have developed similar structures which are a SCAM. And you must beware of them. One clear indication of whether a Network Marketing company is legit is the amount they require for your initial investment and what you get for it. Pyramids and illegal structures will either make you pay high initiation fees, or have you pay for things that have little or no actual value. Anytime you are asked for substantial a lot of money to receive little or no value check them out. This could be a scam.

13. Do you have to stock up on inventory?
    

    Network Marketing is about getting the product to the customers, not about establishing a dealership or store through you. Most modern Network Marketing companies will stock up for you. If you are required to stock up or keep inventory you may want to continue your search.

14. Do you have to take orders and deliver, or is this something the company does directly for you?
    

    In the early days of direct sales, you had to find the customer, promote, take the order, purchase and deliver. (Do you remember the door-to-door encyclopedia salesman?) Now a days, there are plenty of Network Marketing companies that will do all of this for you. They will take the order directly from the customer – via phone or internet, process the order, and deliver the product directly to them without you having to intervene. All you have to do is try the product, feel the benefit of the product, and share the product with others. And very important – get paid.

15. Can you start with only a few hours a week? Or, do you have to quit your current job?
    

    One of the benefits of starting your own Network Marketing Business is the flexibility. You can start and develop your own Network Marketing business with only 5 to 10 hours per week. You choose the time and you choose the place.

On closing,

Network Marketing is a journey, not an event.

It is an opportunity for anyone and everyone to create a legitimate and expanding business that can provide time and financial freedom. This opportunity is not limited by age, gender or educational background. All it requires is for you to be interested, committed to your project, willing to work with others and to help others succeed.

In his book Sticking to it – the art of adherence, Lee J. Colan indicates that “success does not depend upon the brilliance of your plan, but on the consistency of your actions.”

Adherence the ability to be consistent in your actions is the result of

Focus X Competence X Passion

Thereby – Focus, be Passionate, Learn and you will succeed.

Good luck on your search, and welcome to the Network Marketing Business.

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Social Marketing is known in the Internet industry as Social Media Marketing. It can use the principles of Attraction Marketing to help you re-learn what you’ve always known how to do as Network Marketers: socialize.

Maybe you stopped doing this when you became a Network Marketing salesperson. Maybe, instead of really listening and talking with people, you began to think about how you could arrange the conversation to talk about your business and generate Network Marketing leads. We’ve all done it! It’s not pretty is it?

Wikipedia says that “Social Marketing’s primary aim is to do “social good”. It also says that Social Marketing has two parents: a social parent and a marketing parent. It sounds good to me! It’s social, and it’s marketing. This is now a smart, acceptable way to generate Network Marketing leads.

I think we could all use a big dose of self-esteem. The important thing to realize is that when people get to know you as a person, not a salesperson, they are attracted to the person you are, not the sales person you were trained to be. I’m going to get somewhere with this…please read on.

My Analysis of the Old-School Network Marketing Lead Situation. This is why I think most people stop socializing normally and started having an ulterior motive when talking with “warm bodies” (I’m including myself in this analysis): We’ve been shown some methods of obtaining Network Marketing leads that, over the years, we have accepted as normal for the Network Marketing industry and have fallen into habits that may not be as effective as they used to be; if they ever were.

Please notice how nicely I said that. I’m talking about cold calling, chasing prospects over the phone, in person or by email; the old school methods of prospecting for your Network Marketing business, or mlm.

Don’t you agree that after awhile, that gets kind of old? I mean, you want to be known as something other than “that person who sells that stuff”, don’t you? I don’t want people to think that they can’t have a normal conversation with me without hearing about why they need what I offer. So, I looked for another method to grow my Network Marketing business.

If you are good at prospecting and have perfected the art of talking with strangers, then let’s not try to fix what’s not broken. I’m not here to say that what you have been doing as a Network Marketer is bad…it was just bad for me. And, I have seen it done badly; many times. But wouldn’t it be great to add another method of obtaining Network Marketing leads that allows you to sit back and watch your ship come in…..with your Network Marketing leads on it?

The first thing I found in my search was a free eBook. It got me thinking…so there is a better way to do this. What a relief! I could feel the stress of my situation draining away. It felt really good to hear that other people were feeling the same way about their Network Marketing lead situation.

The second thing I did was join a training course geared toward beginner Internet Network Marketers. If I was going to be social and market at the same time, I wanted to know the rules of the game. No one wants to look like a newbie! If I was going to have to be a newbie, I wanted to be a well trained newbie!

So, this is where your “Social Marketing Ship” comes in. All you need to do is get a feel for the problem….read the free eBook. That’s where it all started for me. Then, think about some Internet Network Marketing training. I started for free until I was ready to make a full time commitment and learn more advanced methods of obtaining Network Marketing leads. Then, start by signing up for different Social Media sites like MySpace, FaceBook, and StumbleUpon, and begin to naturally make friends. Hopefully, you will be interested in learning about your new friends and not just about your own agenda. We all need friends; and you’ll have the ability to attract them as a Network Marketing lead if you are being you and not a salesperson.

Step 1. Create a profile with as much information about you as possible; including a good picture. Do include links and information about your business, as well as personal facts about you. For example, I found a friend who loves vampire movies just like I do. Who would have guessed?

Step 2. Personally invite people with hand-written messages; not copy and paste. I made a mistake early on of not using personal messages….big mistake. I got a lot of people asking “and, just how do I know you?” Well, they didn’t. I skipped that part in my training and just thought I would plow ahead!

Step 3. Socialize normally, as you would with friends. Be welcoming and accepting of others. Please do not spam your friends by sending out unsolicited information about your Network Marketing business. People view unsolicited emails on Social Marketing sites the same way they view telemarketers….invasive and annoying.

Step 4. Build a relationship the same way you do with any friend; with trust and mutual respect for one another. You will begin to see that people are attracted to you and may become Network Marketing leads for your business, or know someone who could be. It really does work this way if you don’t fall into your old Network Marketing habits, where the only agenda is yours.

The last thing I want to point out is that this is a learning process that takes place when you begin to study something new. Does it take a little time? Sure it does; but it’s worth it not to repel friends and family, or rely on trips to the store, or Networking luncheons to recruit more Network Marketing leads. I personally do not enjoy those Networking groups and their luncheons. Maybe because, as a busy work-at-home mom, I just don’t have time for them.

I want to continue to enjoy Network Marketing leads that come to me because they want to do business with me; not because I hounded them until they said yes. Those leads hardly ever work out anyway! I like it much better when these highly qualified leads come to me. Social Marketing can supply an endless stream of highly qualified leads for you, as well. Take the time to learn how to do it right and build a reputation for yourself on the Internet that will bring you more leads than you can possibly follow up with. It’s the future of Network Marketing. Please join me in Internet Network Marketing training.

Network Marketing Leaders are showing how to have a team of network marketing leaders. The network marketing leadership is leading by example by doing all the things that people new to the industry need to be aware of when looking for a new business opportunity. When a network marketer leader can show you how to succeed in network marketing it can take years off your learning curve, make you money faster and keep you in the business.

When people get the right kind of info and are willing to go through the process of learning how to run a business the rewards can be great for everybody involved. Here are some of the things people are seeing from top business builders. Remember, not all network marketing leaders think outside the box.

1. Leaders in network marketing are leading by example by teaching marketing systems because you cannot talk to enough people face to face to build a stable home based business. If you can have a way to find people that are truly interested in your business they want you to know that it really does take more than just getting in 2 and they get 2 and then you can sit back and let the money roll in.

Proper relationship building is essential but only with the ones that are interested in knowing more. In the information age network marketers are wanting to know more and are looking for a sponsor who is truly concerned about them and will show them how to make their dream come true. People don’t want to sell to people anymore, there is too much work and time wasted when you can be talking to people that deserve your time. You can waste so much time talking to people who didn’t want to know more in the first place.

2. Top business builders use the old ways of prospecting with the new ways of attraction marketing. They are teaching that there is really a huge failure rate among network marketers and that the product alone will not make you money to keep your business moving in the early stages. They give you information on building your business correctly. No matter how much you know your product is the best for you not everybody thinks the same.

3. With network marketing leadership making it seem sometimes that anybody can do a home business successfully some top business builders are teaching their team that some people have more sales skills and could easily generate more income faster because of all the business contacts and sales experience. People are finding reasons to join MLM. People with little skills can still become successful but they have got to understand that it’s all about learning the right skills just like any job. Except network marketing is not a job, it’s a home business that has many more rewards. People are now finding reasons why people join mlm companies.

4. Network marketing companies have sometimes come across as teaching everybody to have the mindset that they will build your downline for you. You can even look on the internet and find companies that make sure you get the message “No selling required” so if that’s true how come they train you to sell after you’re in?

Wouldn’t everybody be rich and only have to invest in their first order? This mentality creates lazy network marketers and could be bad news for people who join. If your sponsor can get his whole team to understand that people new to the network marketing industry get the wrong idea and need to realize that they have to sell something to get paid.

5. Network marketing leaders are teaching how to succeed in network marketing by not teaching the 3ft rule, talking to the grocery store clerk, and bothering friends and family but by showing how to build a downline. They sell to a targeted prospect who has interest in either buying the product or even joining the business because of the product. Not to sell to everybody they know.

They are enjoying the product because they saw value in it for their own reasons, not because they thought it was the only product out there. Some sponsors provide extra resources on their products that you can leverage off of and can’t find on the network marketing company website.

6. Some network marketing top leaders are not teaching the who, what , when , where and why of their business. They’re having content that their team can plug into to teach them the “how to” of doing a business while building relationships and touching bases to see how every things going. You can have the biggest why in your company but you will never move faster until you know how to do a business the right way.

7. Some leaders in network marketing have a proven system they have created that separates themselves from everybody else out there and everybody knows who they are. When people are ready who do you think they are going to join. They will join the person who provided the most value to them and kind of know a little bit because all the information they provide that has helped you.

8. Not many successful network marketing top earners find the time to relate to your problems on social sites. It’s a place to socialize so some do socialize with network marketers on these sites but some never have the time to talk to you because they’re so busy with their business but having time to create content to help you is a plus. If your sponsor knows how to leverage off social sites look for any articles they have on how to go about it. It could help you connect with a tremendous amount of people interested in your offers.

9. You can team up with a top business builder and learn what you want to do in life. They teach how to do what you want to do with your life and give you a clear understanding of how to go about it. Too many people join a business for the wrong reasons and quickly move on to the next big opportunity when they don’t get what they want out of their business.

A good network marketing sponsor needs to guide you in what you want to do and not to get involved with any company that promises the world. Only the ones that find a good sponsor that’s in the know of how to market your product and not force you to do the old ways will find a way for you to enjoy a home business. The old ways are what makes people not want to have to do what network marketers have done for years.

10. The Internet can be impersonal at times and people are looking for a real person. There are leaders who present themselves as someone who people would like to do business with and by standing out from the crowd they can have the edge on anyone who wants to join their network marketing company. People are starting to be more informed in network marketing and joining up with people who want to bring that extra something to the table for people who join their business.

Who is the best leader to join? Look for a top leader who doesn’t discourage thinking on your own. Don’t be another sheep in the herd. Become truly independent and find the best strategies to move your business in the right direction.

How do I find leaders in network marketing? Look for people in a business that you have a reason to join and see if they bring that extra something to the table that you can leverage off of, not just leveraging off them but leveraging off of their knowledge on how to get you to succeed.

The term online network marketing gets tossed around casually by different people meaning different things. No doubt you came across the term (and search for it) because someone told you that taking your MLM business online was a guaranteed path to success. We’ll let’s be realistic, there are no guarantees (especially not in network marketing), but there are a lot of positive thing happening with online network marketing that you should be aware of so you can figure out it that direction is right for you.

The term online network marketing really encompasses at least 3 totally different realms – Products, Lead Generation and Social Proof – and we will explore each of these separately. Contrary to popular opinion online network marketing isn’t just for online products and services. If you provide a physical product or offline service, keep reading to understand how online network marketing factors into your lead generation and can be used to establish credibility.

Online Network Marketing: Online Products and Services

If you provide an online product or service you already know it. For everyone else, the types of MLM products that we are talking about in this section are products such as discount programs, travel programs, financial services or training programs. All of these products and services are intangible. There is no physical item to hold, touch and smell.

If you promote an intangible product, you can use online network marketing techniques across your entire marketing, sales and delivery process. You can generate the lead online, explain the product online, close the transaction online and deliver the purchase online. An online product or service allows you to build a truly virtual company that you can operate from anywhere and that doesn’t require your physical presence. If you are an introvert or are tired of home-meetings occupying your evenings and weekends, an intangible product is the right choice for your online network marketing endeavors.

With a physical product, you can use online network marketing tactics for lead generation, education and transaction processing, but there will typically be an intermediate in-person step. No matter how much online education is available, almost all new customers will want to taste any edible products, try on any fashion products or feel and home decor products. Note that we say “new” customers in the previous sentence. For existing customers and are familiar with the product quality or taste, online network marketing can be highly effective for reorders or introducing a new seasonal product line.

Online Network Marketing: Online Lead Generation

No matter what product or service you are promoting, lead generation is universally the central focus of your online network marketing program. One 2011 study found that 900 million people access the internet from a PC at home and a whopping 1.6 billion active mobile phone subscriptions. In his 2011 State of the Union address, President Obama committed to providing 98% of all Americans with high-speed wireless internet access in the next five years. There has been no other time in history where a new, solo entrepreneur could use technology and a little savvy know-how to reach a market of millions from their home.

The power of online network marketing is best applied toward lead generation. You put your offer in front of hundreds, thousands or millions of people, they self-select in our out. You’ve probably heard your upline sponsor refer to the practice of “sifting and sorting”. The internet is the most powerful way to automate the front-end portion of this process. Allow automated systems to screen prospects and pass you only the most qualified leads for further personal follow-up.

Online lead generation applies equally to product and service sales and to finding new downline distributors. While the message and the offer will be different, the concepts and technical aspects of the online network marketing system are the same. Once you learn online lead generation you can apply it to any company and any product line.

Online Network Marketing: Social Proof

The unique role of the internet as a validator of claims is often over-looked in discussions of online network marketing. When people encounter new information and aren’t sure whether to trust the information (or the source) they look for validation from sources that they DO trust. Trusted sources might include impartial newspapers, research publications, parents, long-time friends or credentialed experts. The more reinforcement of the central message they get from the sources they trust most, the more they believe the original claim.

But does the opinion of one expert really outweigh the opinion of 1 stranger. How about 1 expert versus 100 strangers. What about a 10,000 ordinary strangers all saying the same thing? At some point the qualifications of the source become somewhat irrelevant and sheer numbers take over.

The internet can make or break your company or product based on social proof alone. This has nothing to do with lead generation or sales, this aspect of online network marketing is about brand reputation. Even if you are not generating leads online or selling online, you need to be aware of the online chatter about your company and its products or services and whether it is trending negative or positive.

Online Network Marketing: Getting Started

We have looked at three aspect of online network marketing to give you a sense for its diversity. While there are a handful of networkers that succeed 100% online, the vast majority are using the internet for specific strategic objectives which support their offline efforts. Some might use the internet for lead generation, others for social networking, others for team training and yet others for record-keeping and administration. In fact, the most effective business systems we have ever seen, combine online and offline methods to reach the prospect through multiple modalities.

That’s why we have one primary online network marketing training system that we recommend. The creators of this program a wicked-smart about all the advanced online tactics, but are keenly aware that they are most powerful when combined with offline print, radio or mail strategies. Also, the creators of this online network marketing program were beginners themselves not long ago and are able to teach as if they were in a beginner’s shoes. If you are ready for advanced, that’s in there too.