The #1 problem with network marketing


Network marketing has problems?

network does have problemsI could write an article about all the problems in network marketing and maybe one day I will. I’m not sure it would do any good. It doesn’t seem like there is much interest in solving the problems within the industry.


Some of the problems that exist are the fact that the distributors inflate the potential income that a prospect can make in network marketing. They also exaggerate how long it will take the average person to reach the top level of their company’s pay plan. Probably the worst thing that distributors are doing is that they are telling their prospects that it will be easy to build a successful network marketing business.


The statistics on network marketing show that none of these things are true. In fact, the vast majority of distributors will actually lose money. All of the inflated income claims are just adding to the problems that network marketing has to overcome. The average distributor leaves the business in 90 days or less. That’s not too much time to find success. I don’t know how anyone can tell a prospect that network marketing is easy. I’m not sure that there is a business that’s really easy. Once a prospect signs up they’ll quickly find out that this business isn’t going to be easy. That’s probably the main reason the average distributor quits so quickly.


What is the #1 problem in network marketing?


In my opinion, the fact that so few people are making money is the #1 problem. Like I said, network marketing has a multitude of problems, but with no one making money, the other problems kind of pale in comparison.


I think that numbers are worse than what the network marketing companies are saying, but if you believe them, about 3% to 5% of distributors will ever make money. If you add in the expenses that the average distributor has in their business, I would think that the numbers is way lower than that. To me, that says it all.


Maybe that explains why so many distributors are telling their prospects something so different that the reality of the business. Would anyone ever join if they knew the truth?


That’s a really scary question.


If you told all of your prospects that most people quit the business in 90 days or less, if you told them that most people will actually lose money and if you told them that the business is difficult or at least as difficult as any other business would you be able to recruit anyone? Maybe you could, but I would think that it would make this business that much more difficult!


solutions to the problems in network marketing


Is there a solution to this problem?


I think it comes down to setting realistic expectations and having smaller goals. Smaller and more achievable goals.


If someone joins and they think that it will be easy to make $100,000 in this business, they’ll probably be very disappointed and quit the business, quickly. This is what we see in network marketing.


What if the prospects are told that it will take real work in order to be successful and what if we make more important and achievable goal, to begin with. I’m not saying that a new distributor shouldn’t be making goals of that elusive $100,000 per year income, but that will take more time than most people are willing to give it. What if we set an initial goal of breaking even or being in true profit? That would be a smaller and more achievable goal.


If a network marketer is at least breaking even, they can afford to stay in the business until they are able to turn a profit. If they are actually making money, then they have no reason to leave the business.


If we could make this one change, I think that it would go along way towards lifting the black cloud that hangs over the industry!


If we, as network marketers, would dedicate ourselves to making sure that most of our recruits were in profit or at least get them to break even before we kick them out of the nest, we would find that more distributors will make money and stay in the business longer.


It’s high time that this issue is addressed!


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