It seems like in today’s digital world, everywhere we look we are being assaulted by yet another notification that we’ve been added to group we didn’t say yes to. Or we are seeing another friend joining another one of “those businesses.” It seems like a tidal wave of “buy my product,” “join my team,” “retire from your horrible existence” on Facebook, Instagram, SnapChat (which I still don’t get)… so what gives? Why are MLM’s the business de jour? More importantly, should you get involved in one or not?
To answer that, let’s start with what people think MLM’s are. Let’s get real. MLM’s aka direct sales aka network marketing has gotten a bad rap for decades. There are some pretty harsh stereotypes out there. Most people think that they are pyramid schemes – where you only make money off recruiting people and there is no tangible product – think ponzi. Businesses where you have to bug your friends and family. Business where people will unfriend you because it’s all you talk about. Last but not least, it is something where only the people at the very top make any money. Gross right? Who would want to join that? I am with you but before you give up on me, let’s talk about what it’s not.
It’s not traditional brick and mortar. It’s not a 9-5. It’s not retail. It’s not a pyramid scheme. It’s not franchising. It’s not corporate america. It’s not illegal – to clarify MLM’s are not illegal, pyramid schemes are! It’s not having a boss or manager. It’s not being overworked and underappreciated!
So now that we know what the preconceptions are and what it’s not. Let’s talk about what it is.
MLMs, better known as direct sales or network marketing in today’s terms is a business model that is responsible for about $36.12 billion in sales per year with about 20 million people involved in the US according to the Direct Sales Association fact sheet foundhere.
At its core, direct sales is what human beings do everyday, they refer. Have a great restaurant you love, tell your friends, got amazing customer service at a shop, tell your friends, got the best blow out of your life, tell your friends! The difference? If you tell people where you got those fabulous boots, the store that sells them isn’t going to write you a commission check. Whereas in direct sales, you recommend, you benefit.
The direct sales business I am part of actually started in retail. After it became one of the best selling brands in high end department stores, our founders realized that they were trapped under a class counter. The cute girls behind the counter at Nordy’s weren’t the ones selling the products, the all mighty friend recommendation was. They also recognized that only about 1% of the population shopped in high end department stores and they were determined to help as many people as they could, so they had to do something different. They got the same acidic stomach that some of us did when they first looked at direct sales as the way to get their product out in a larger way, but once they put their preconceptions aside this is what they found: It is a legitimate way to get a product to market and it is a great way to empower women have a side hustle that can help them to be more financially empowered.
It is also one of the only places I have seen a truly level playing field. It doesn’t matter your education (or lack thereof), it doesn’t matter your network, it doesn’t matter your socioeconomic status. Nope! The only thing that matters is what you consistently put in. In this industry, you get out exactly what you put in! In addition it is pretty fun to be surrounded by like minded, enthusiastic, supportive women who want to work with you to help you reach your goals – talk about refreshing!
So back to the title – here are some reasons why MLM’s are not for everyone, and believe me, contrary to what you see online, they are definitely not for everybody.
MLM’s are not for you if:
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You don’t want to work hard. It is simple, but you have to hustle!
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You want something that will make you thousands of dollars overnight. Nope – they are not get rich quick schemes, they take time, consistency, and patience – if you have those three things then you can make amazing money but don’t think a CC and a prayer are all you need. And if someone tries to tell you different, they are blowing air up your skirt and you should walk away – fast.
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You have more excuses than a toddler at bedtime. If you think you are too busy, don’t have a big enough network, don’t have the money, etc. you’re probably not a fit. The people who are successful start because they don’t have enough time or money and want a solution to create a better life for themselves. So it’s up to you, you can have excuses or you can have grit.
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You are not willing to give some things up. Taking on a MLM business is not something that you can just sign up and hope for the best. Nope, you have to make exchanges. You have to learn how to leverage N.E.T. time (Anthony Robbin’s term for no extra time). Your car becomes a university on wheels. Your kitchen becomes a boardroom. Your local coffee shop becomes your office. In the beginning you are going to feel like you are working twice as hard for little or no money and until you build that momentum. It’s really going to suck and you’re probably going to want to throw in the towel once or twice. It’s not easy, but it is worth it!
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You don’t believe in the product, the company, the industry and yourself. I like to use the analogy of a car and those are the 4 tires. If one of those is flat, you won’t go anywhere! The beautiful thing about the industry is that there are literally HUNDREDS of companies so go find one that speaks to you that has a product you love that changed your life in a positive way and then go to work on your personal development.
Now that I have laid it all out for you. Let’s talk about the success stories. People who make $500 or more a month in the industry. What are their secrets?
#1 – They are professional sharespeople. I hate that I see other people in the industry pressuring people into their business or their products – I think it does everyone a disservice – as Dale Carnegie said “A man convinced against his will Is of the same opinion still.” MLM is an amazing industry with pretty stellar products, but if you don’t approach it from an authentic, relationship building way, you are shooting yourself in the foot. The most successful women get really good at sharing their product, business, and company story and letting people decide where their interest lies. People generally have three areas they gravitate towards, consumer (they want to buy your products), consultant (they are interested in the business), or connector (they are happy being your friend and are comfortable sending referrals). Show them all the faucets and let them choose what’s right for them!
#2 – They treat it like a business. The best advice I ever got told was if you treat it like a business, it will pay you like a business, if you treat it like a hobby it will pay you like a hobby. Successful women in this industry get that and they get sales. I know another word with a negative connotation, but go with me here. Sales is nothing more than a process. You plan, present, ask for the sale, and close or follow up – rinse, wash, repeat. Not rocket science but necessary. In addition, they are consistent, they work with people who “get it”, they prioritize the time they work on their business, and they are willing to make exchanges to get where they want to go!
#3 – They detach from the outcome. Successful women are able to detach from the outcome. They are able to do the work, actions, and follow the system without getting hung up on if someone is going to join or buy. They know what they need to do – share, enroll, train, repeat. They don’t make it personal, they know that their products and business is not for everyone but their job is to share it with everyone and let them choose which is exactly what they do! Oh and they don’t chase you, you’re either in or you’re out. They’ll follow up but trust me their funnel is way to full for them to worry about chasing you in that moment.
#4 – They are constantly improving. My mentor calls this personal development with a paycheck and I couldn’t agree more. This industry will make grown men cry, it will make you question your very existence and wonder what they heck you were thinking, but it will also help you transform into the best version of yourself. The successful women in this industry are dragon tamers, personal development powerhouses, and learning junkies. They are always looking for ways to improve themselves, their teams, their leadership, and their knowledge. They are not satisfied with the status-quo and recognize that your business will only grow to the level you are at. If they want their business to grow, they are going to have to break out of their bud!
#5 – Lastly, they raise the tide. They are looking for ways to improve the industry. They are advocates. They are educators. They are ambassadors to what the industry is and can be, not what it used to be and certainly not what the bad apples try to make it. There is a governing body called the Direct Sales Association that oversees companies in this channel. If you want to know if a company is “playing by the rules” do a search for it. If they are not a member of the DSA I would do some extra homework because chances are they may not be on the up and up. Those of us who are successful leaders hold one another accountable because we know that we can sink together or by doing better, we can raise the tide to lift all boats.
In conclusion, the reason why you see a new friend starting her own MLM business every other day is because it works, if you do the work!
The economic and corporate landscape of today is an ever changing rollercoaster. Brick and mortar businesses we thought would stand the test of time are now laying off thousands. Technology that didn’t even exist 10 years ago now dictates buying habits.
This year more people shopped online for their gifts than in stores. There is a massive shift happening, and those that aren’t paying attention are going to be swept away into extinction. The good news is not everyone is just watching and waiting. Some recognize that now is the time for the #YouEconomy. Now is the time to have a plan B. Now is the time to challenge the status quo of years before. Now is the time to break the box, get out of your comfort zone, and think differently. Now is the time for the entrepreneur to change the way we do business. The spare time entrepreneur is someone who recognizes the need for a financial safety net even if you have a great job!
Women, and men, are seeing the value of Network Marketing (Direct Sales, MLM, call it what you will). They are seeing how this can be a vehicle to help them achieve personal, professional, and financial goals. It is a way for them to economically empower themselves. It is a way for them to finally get ahead and help others do the same. It is a way for them to build an asset around their life, not build a life around the man! I think that all anyone ever wants is the financial freedom to spend the time with the people they love, doing the things that really make their heart sing.
This industry isn’t for everyone, but if you find yourself asking “is this it?” maybe it’s time to change your perspective, put your preconceptions aside, and decide if this could be a fit for you. It could be, but you never know unless you dig deeper. Afterall, I am pretty sure none of us thought we would be in one of “those businesses” when we started “adulting.” Business is changing, and with that one must have tremendous courage. You never know what taking a deeper look might mean for you and your family, if you have the courage to set aside the judgement until you see all the facts. At least then you can say confidently, no thank you or hell yes!
Lauren Goldstein