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Network Marketing Myths Exposed
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| Network Marketing Myths Exposed |
The Truth about Succeeding in a Home Based Business
And why…
“The Truth Will Set You Free”
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If you are looking to exit the rat race and daily grind of the 9-5 routine, you are not alone. Forbes Magazine forecasted recently that 79 million Americans will be starting a Home-Based Business in the next 5 years.
This clearly demonstrates the low level of satisfaction many people have with their careers and financial situations.
With all the mundane, low-paying “work at home” opportunities out there like stuffing envelopes, data entry, insurance processing, and a myriad of other methods of basically outsourcing jobs to peoples homes, many people have turned to network marketing and the promise of residual income, time freedom, and the control of being your own boss.
Maybe you’re one of the many that have “tried MLM” and never experienced the dream of “lifetime residual income”. Sure sounds good doesn’t it? Possibly you know someone that got into one of “those things” and lost their shirt after working their tail off. Maybe it’s not your fault or their fault. You see times are changing and the “old school” ways of doing things flat out don’t fly anymore.
The world of Network Marketing is absolutely filled with Myths that are so prevalent, that they have actually become clichés.
This is why if you are serious about making some real income from home, then you must read this entire report. Some people may get upset with what we have to say but many countless others will benefit greatly by becoming aware of the truth in the industry.
This is a wake-up call for those 79 million opportunity seekers that want to find true financial success, be their own boss, and live life on their terms.
The myths that are exposed, and the truths that are revealed here, will save you a lot of time, money, and frustration.
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| Myth #1: Duplication builds your business while you sleep |
The MLM dream is built on the concept of duplication and leverage. Find three people that find three people, and you’ll build “Lifetime Residual Income”. If you’ve ever been exposed to the typical MLM pitch, you know, the one with the little circles on a white board showing how 3 turns into 9, which multiplies to 27, then 81 and you end up with thousands of happy customers in your organization religiously buying products every month, with you getting a piece of the action.
In theory that sounds great. Hey I only need to get my 3 and help those people to find their three. Everybody knows 3 people who want to make some extra cash. How hard can that be, piece of cake right? In reality, the truth is this:
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| Truth #1: Attrition depletes your business while you sleep |
Trying to build your down-line organization is like trying to fill your bath tub without the stopper in the drain. The average lifespan of a distributor is only a couple of months before they wake up and realize they are spending more than they are making and working harder than ever for “nickels and dimes”.
To make matters worse if you slow down or shut off the “time-money-effort faucet” the tub eventually runs dry. I know this sounds grim but here are the market forces that contribute to the erosion of your customer base:
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Transient Distributors – You know the old saying, “the grass is always greener on the other side of the fence”. Today’s MLM industry is infatuated with the “next big thing” or the “hottest pre-launch ever” where everyone wants to get on the bandwagon early to be “at the top” of the organization and “in on the ground floor”. Insiders refer to this group as MLM Junkies but this phenomenon has spread to the overall population as well. Why you ask?
The Internet – There are literally 1000’s of companies with millions of distributors competing for potential new distributors. We live in the information age. The average person is bombarded with so many hype-laden opportunities that sound so good, that it’s easy to get distracted and jump ship for the latest sexy deal.
This is especially true if your new distributors don’t catch lightning in a bottle and experience quick results. The MLM landscape is loaded with “Frogs” that hop from deal to deal.
Domino Effect. You get one disgruntled “heavy hitter” in your group that decides to take his toys and go home. With a well crafted e-mail blast or strategically positioned search engine posting, and a click of the mouse your top dog leaves with half your team. At the end of the day your income is dependent on a group of total strangers. Not a good thing if that income is feeding your family. Wouldn’t it be better if you were in control? We have a remedy coming so keep reading.
Immediate Gratification – In today’s world everybody wants “microwave results”. They want big bucks and they want it now. And why not? That is what most MLM deals are promising.
Let’s face it, most people just don’t have the staying power or resources to work hard for 3-5 years to build their business on the hope of being that 1/10th of 1% that lives the residual dream.
Cost of Customer Acquisition vs. Lifetime Customer Value
– This is huge. From a cold blooded business standpoint you have to understand this equation. The reality is that it will cost you more to generate a new distributor than that distributor will generate in lifetime commissions. Consider these facts:
1. Advertising is expensive – A full page ad in an industry rag can cost thousands of dollars. Internet pay per click ads can run you $10, $20, even $30 per lead. You can go broke in a hurry if you’re not a super geek internet marketing wiz. Lead vendors charge $5 a lead and then resell them to multiple other distributors which kills your conversion rate. You’ve got to ask yourself, how many expensive leads do you need to burn through to sign up a new distributor? More importantly how much will it cost, $100-$200, or more?
2. The Lifetime Value of a distributor may be less than what you spent
– The average monthly commissions generated by your down-line distributors is typically less than $5 per month. You may earn a small commission getting them started but that distributor will have to stick for a long time or turn into a “Top Gun” recruiter to offset the acquisition cost. This is a formula for red ink.
The bottom line is distributors are a valuable commodity. There is a war going on to recruit them, as well as other factors that make for a “Leaky Down-Line” and there’s not much you can do about it.
You will be forced to recruit everyday for the lifespan of your business just to combat the constant attrition that will plague your organization.
The good news is there is a solution and we’ll get to that in a minute.
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| Myth #2: It’s easy, anyone can do it |
This idea is rampant. Just look through any network marketing magazine for the ads.
Totally automated, the system does all the work, you collect the money.
We do 98% of the work for you.
Make $100k in 100 days in your pajamas
Our system is so simple, a caveman can do it
It’s like having an ATM machine on your front porch
Earn $10,000 a month, our system work 24/7 while you sleep
They are all promoting the same fantasy. Just sign up, turn on the magic marketing system and wait for the armored car to arrive at your front door. If you believe that, I’ve got a bridge to sell you. This is a classic something for nothing syndrome. This is “Lottery Mentality”. It’s time for a reality check.
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| Truth #2: Network Marketing is a workers program |
Ok, I said it. You may not want to hear it but it’s the truth. Sure, call centers that close sales for you, automated internet traffic generators with online presentations, power-lines, forced matrix spillover, and a variety of other schemes all promising to make sales for you, sounds great.
Just like winning the lottery sounds great. How likely is that?
The reality is MLM is a people business. People buy from people not systems.
People want to work or do business with people they “like, know and trust”.
This requires communicating and working with people, establishing rapport and credibility. Think about it, what company or business would survive if there entire organization was built upon the concept of little or no work involved.
Let’s all sit around and wait for it to happen instead of making it happen. How many self made millionaires do you know who didn’t work hard, work smart and commit with all their heart to accomplish their goals?
If you want success in any business, it takes time, energy and effort and a focus on personal development and honing your skills. Networking is no different.
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| Myth #3: There’s no selling required |
Then how does any product move and commissions get paid? I know, many people consider the word SELL a four letter word. The truth is no business can survive without selling its products or services.
Nothing happens in our economy without selling being involved in the process. Selling is good. In fact, the highest paid employees in most companies outside of the CEO and VP’s are the top sales people, which reveals the next truth. |
| Truth #3: The fastest way to increase your income is to learn to sell |
Alright, maybe you have a stereotypical image of your pushy, overbearing, and selfish used car salesman. Maybe you’ve encountered sales people that made you feel uncomfortable. If so, get over it. That doesn’t have to be you. There is a way to overcome this misconception that selling is selfish.
The truth is people don’t like to be sold, but they do love to buy.
You see, selling is very natural, and everybody does it all the time.
Selling is simply the communication process of helping people solve problems and providing an opportunity to change. It is the art of respectfully communicating with people to uncover what they want, and to determine if what you have might be a good fit. You are an agent for positive change.
Get good at this skill and you’ve got the keys to the vault. No more glass ceilings and limits on your income. You can call your own shots, make more money and help a lot of people in the process.
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| Myth #4: The Internet is the Promised Land for Network Marketing |
We’ve all heard how the internet has revolutionized marketing on a global basis, opening opportunities that never existed a decade ago. We’ve all heard about the information age that was brought on by the internet. No doubt about it we are overwhelmed with information and that is a big problem when it comes to building an MLM business.
Before the internet, organizations and companies were protected by an information buffer zone which shielded them from this onslaught of people, opinions, competitors, and ads.
It’s this buffer zone that allowed relationships to be built, skills to be learned, and loyalties to strengthen.
But the internet destroyed it in the blink of an eye. This wasn't a problem in the past, but it is today.
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| Truth #4: The internet is killing Network Marketing as we know it |
You see, the internet is a tool that allows communication at a level that has never been seen by the world before, where opinions, rumors, promotions, and advertisements can now spread across the globe faster than you can blink your eye.
Massive revenues can be gained or lost in days for a company with nothing more than a well placed negative opinion report on the search engines.
Downlines can be destroyed overnight by false rumors or leaders who jump ship.
Distributors have instant access to an endless supply of tools, systems, leaders, training, opinions, and sales pitches which continuously plant seeds of doubt, and distract them with promises of better, faster, and easier.
Competing ads can be flaunted on the very door-step of a company’s search engine results.
The very moment your new distributor feels frustration… Feels trapped… Feels failure… He or she will instantly open up to the endless supply of alternatives filling their inboxes on a daily basis with the very thing that will cure their pain – and ‘poof’, they are gone.
There is no long-term commitment because networkers are only as loyal as his or her options, and thanks to the internet, their options are now endless and one click away.
If you’re a leader in the industry, you know exactly what I’m talking about
and from this point forward, it’s never going to
stop.
For better or worse, this is the new reality of network marketing.
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| Myth #5: Low priced MLM programs = Steady Residual Income |
This is the usual MLM strategy, selling lotions, potions and pills. You sign up as a distributor and get on the “auto ship program” where you receive a preset amount of products every month.
Next you recruit others to do the same resulting (theoretically) in a built in sales volume every month that you get paid a percentage on. Based on the pay plan, you earn a small commission from each person in your down-line. The average is about $5 per person for most pay plans.
Do the math. You’ll need 200 loyal distributors to earn $1000, Two thousand to make $10,000 a month. That is a small army of people who need constant hand holding and support. We’re talking about a 24/7 adult daycare center.
The real problem though is attrition. Just building and maintaining a down-line of thousands of people is minor miracle from a statistical standpoint. You literally are one in a thousand.
And don’t forget, you are obligated to keep filling the cupboards at home with monthly product purchases. Most distributors spend on average $200 per month to maintain their business tools and qualification quotas.
That is $2400 a year. Not a huge outlay to run a business but keep in mind if you group is under 50 people or so you are losing money.
The solution to this dilemma lies in the following truth:
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| Truth #5: High Ticket, High Commission programs = High Income |
The truth is, the promise of building a huge organization and life-long residual income is all but gone. There’s the rare 1 in 1000 exception, but as a whole, Network Marketing has turned into a 3-ring circus driven by greed, hype, and fear of loss where only the incredibly skilled professionals can reliably make any significant amount of money.
People are getting burnt out with the attrition, the rumor control, the baby-sitting, having to explain why one opportunity is better than another. Dealing with prospects who think $300 to start a business is too much money… Seriously…
It’s just not worth the time, it’s not fun, and we know for a fact that a growing number of industry professionals are coming to the same conclusion which is opening the door to a new concept,
High End Direct Selling, the ultimate solution for Network Marketers in
the internet age. |
| Who Else Wants to Make a Lot More Money Without the Headaches
and Risk of Building and Managing a Huge Down- Line? |
The solution that makes sense |
What if there was a way to earn years worth of residual income up front instead of waiting around for those $5 a month checks to trickle in?
Guaranteed payment in advance beats the heck out of getting paid
maybe in the future.
You don’t need to be a financial genius to realize
money is worth more in your pocket today than it is next year, so it makes good business sense to get paid up front and invests that cash into multiple residual income streams outside the MLM circus like real-estate or the stock market.
Recruiting and training a network marketing sales force takes time and effort. Many networkers have an employee mentality and haven’t developed an entrepreneur’s mindset, which means they'll rarely do what it takes to be successful, so
getting paid in advance for your time and training whether they build a business or not, is a smart move.
White collar professionals aren’t interested in working 3-4 hours a night selling vitamins for a $300-$500 check, so offer them a vehicle that they can realistically make $10,000/mo within just a handful of customers a month, and you’ll be well on your way to attracting a professional business team.
Remember that building an MLM business that pays out $10,000 per month requires building a down-line of thousands.
With the HEDS method you can make $10,000 with just 10 customers or less.
This compressed and rapid flow of income also brings the dream of “working from home” to reality in a
realistic manner for the average person.
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The 3 Characteristics You Need to Look for to
Earn an Executive Income From Home
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There are a few basic principles that define the HEDS business model:
1. Most successful programs offer what is known as a Two-Up Compensation Plan. This builds in leverage and allows you to work with a small group or team of committed professionals instead of a large herd of part-timers.
2. Look for a base product priced in the range of $1,500 – $2,000 with commissions paid out in the $1000 per sale range. That means
you are pocketing $1000 up front on every sale you make. When you make a $1,000 commission, it's like you’re getting paid several years worth of residuals
up front on day one with your customers first product purchase,
whether the new rep goes on to build a business or not.
Another important feature to look for is multi-tiered product levels for upgrades with higher commissions of $5,000 and up. This is where the big money is made, repeat business from your existing customers.
3. The knock on traditional Two-Up is that there is no residual income. There are now a few hybridized versions of this model that
pay ongoing override bonuses on the efforts of your team, so that it becomes extremely profitable to build a small and manageable professional sales force.
A small team of 10 people can create a multiple six figure passive income stream in addition to the already large up front commissions. This is the best of both worlds, like having your cake and eating it too.
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| Want to Make an Extra $50,000 in the Next Year? |
Think about it, how many distributors would that take in your average MLM program to earn $4,000 a month…hundreds…thousands?
Pick your own number then multiply by two because half of your team won’t be around after 90 days. (Attrition eating away at your business like termites on fresh wood)
Guess how many distributors it takes in a High-End program to make that same $4,000. Well I’ve got some good news for you.
The answer is FOUR. That’s right only four new distributors nets you $4,000, paid up front, cash in your pocket.
One sale a week and bingo, you’ve just earned an extra $50,000 in the
next year. You have total control of your income. The days of depending
on others to produce for you is a thing of the past.
Additionally, if some of your team members engage and produce results, you still have referrals, upgrades and bonuses that can
multiply your income 10 fold. (We’ll actually show you the numbers and details in a minute)
That’s the icing on the cake because you’ll make enough from your personal activity to justify your time and involvement.
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| The Truth About Residual Income is That Money is Worth More Today Then it Will Be Worth in the Future |
Here’ a quick quiz. Say you build a residual income of $4,000/mo and spread it out over the next 5 years. That’s would bring in $240,000 in residual income. If you had a choice of receiving it all up front, right now, or spread out over 5 years, which would you want?
The smart money says take the money and run. Put it in real estate, or stocks and bonds. You can be pretty sure those assets will be worth more in 5 years than they are now. You’ll actually make money.
Why? Because that money is worth more today than it will be in 5 years. There is a thing called inflation. Future dollars are always worth less.
If you just like the idea of residual income then put the money in a savings account, earn some interest and pay yourself $5,000 a month.
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| The Truth About High Priced vs Low Priced Programs |
It takes the same amount of time, effort and advertising resources to market a $100 product as it does to market a $1,000 product. You have to place an ad, contact the people who respond, direct them to some information, provide them with sales brochures, websites, give presentations and follow up.
Let’s say you’ve done a great job and your prospect decides to join forces and sign up.
There are many Low End programs where you can get started for $200-$500 which gets you set up and gives you some sample products an a small inventory along with some sales aids. You now have a new distributor that is on auto-ship and you’ve earned a small commission of $50-$150 and
the hope of a $5 a month check coming in.
The alternative is the premiere High End Program. That same person decides to get started and purchases the product. You instantly pocket your $1000 profit, paid directly to you, and have the hope that your new associate will generate future sales where you can earn $50-600 per sale they make.
You don’t need to major in math to see that there are
ten times the commissions available for the same work with the High End business model.
You may be wondering… won’t you get a lot more people signing up for the low cost opportunity? The answer is no. You will however
attract a totally different type of person.
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| The Truth is, High End Programs attract High End people |
You are building a business. What type of persons would you prefer to work with…a bunch of people with a JOB (just over broke) mentality that believe that a couple of hundred dollars is a financial stretch? Or a small group of entrepreneurial minded individuals that realize any legitimate business requires and investment of time and money?
There’s an old saying, “if your wallet’s not in it, your heart’s not in it”. A little bump in the road will deter someone with a hundred bucks at risk. They’ll blow it off and jump to the next great deal.
There are lots of people that say they want to improve their situation, but as soon as they have to reach for their wallet they begin making excuses.
You want to attract Professionals! Doers! People who make things happen, not excuses.
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| Low End programs end up costing more in the long run than the one-time start up outlay for a High End Program |
Plus, don’t forget that there are ongoing monthly product purchase and volume requirements to remain eligible for commissions with most MLM programs. Laying out $200 a month for products, support systems, and sales aids is commonplace.
That adds up to thousands of dollars a year!
If a new distributor isn’t making money they are quick to stop the bleeding and cancel their auto ship order.
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| High End Programs Pay Out Serious
Incomes, So They Attract People Who Like
To Make Serious Money
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It makes all the difference in the world when you get to spend your time recruiting and working with people who are just like you. They love this industry, and they don’t need any convincing.
They already know an investment is required and have no problem with it because they are true entrepreneurs.
High End Programs attract this type of person because the initial start-up cost scares away the time-wasting, tire-kickers faster than you can blink an eye!
Wouldn’t you like to just work with experienced entrepreneurs? People, who don’t whine, complain, constantly make excuses, or need you to hold their hand 24/7. Big thinkers that want to make $10,000 - $100,000 per month not a few hundred to a few thousand a month.
We all have the same number of hours in a day so why not use them in a business that pays out BIG instead of small when it doesn't require any more time or effort?
With High End Programs, you don't have to work with thousands or tens-of-thousands to make incredible money.
You only need to work with a handful.
If you're ready to find a business that will allow you to make $10,000 to $50,000 per month within weeks or months instead of years without the risks or headaches of a downline, then we'd like to invite you to continue to the next page where you'll have an opportunity to meet one of the fastest growing teams in the
High End Direct Selling business in the world who can show you...
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Earn $1,000.00 On Your First Sale, Plus Perpetual Residual
Commissions Of $5,000.00 and $9,000.00 Forever!
Our NEW & Unique Direct Sales High End (DSHE) Business Model
Provides: A Never Before Offered Residual Income EXIT STRATEGY For True Wealth
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Retire In 2-5 Years With All The Money You Ever Need Forever!
10 People Can Make You A Milli0naire... |
CLICK HERE Visit My Corporate Website -
Learn How 10 People Can Make You A Millionaire -
Watch Our Compensation Plan MOVIE -
Get ALL The Exciting Details.
To Revisit My Personal Site
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