Why Every Recruit Should (internet technology) Sell?
No commentsBy Lou Casali
The concept of almost all MLM or network marketing is to create more distributors and more sales.
Let us consider a simple example from a typical MLM plan to create 10 down lines. Each distributor is known as a recruit or down line and they are supposed to each make target sales and target recruitment.
When this continues down the chain, the sales increases exponentially to the company and there is regular flow of income to the company. The regular flow of income to the company is dependent upon the regular consistent performance of each recruit right from distributor one.
– Distributor one recruits 10 people.
– Each of the 10 people sell and recruit further 10.
– So, at this point in time there should be 1 + 10 + 100 recruits which are 111 distributors which should further go down the lane and contribute to the sale.
If the recruits are not selling, where will the money be generated from?
If after recruiting 10 people, distributor one is stopping his process of selling and recruiting then at this stage the real performing asset to the company is just the 10 primary down lines
Only 10 performers out of 11 distributors are performing. The company is feeding the first distributor from the performance of other people after he stops working
Now, if the next 10 recruiters stop performing after a certain stage there will be only 100 performers out of 111 members. And the company is requiring to feeding 11 distributors even if they are not performing because they are the up line even after they stop working.
When this happens down the lane the number of people that are getting fed without performing or working increases in number; until a certain stage, it will be possible for the company to pay someone without them performing, but when the number of non performers increase with a growing number of down lines, there will be a kind of trouble for the company in compromising on many facts to have the up lines paid. This is one of the major reasons for the bubble bursts in most MLM or perhaps the loss of sales or saturation or whatever critics call it.
Let us look at it the other way! What if each of the up line continues to sell even after they have completed their recruit target; and, what if each of the recruits continues to sell even after they have done their target down lines. There will be regular flow of money to the company and the company will not have to forge or underpay someone or overpay someone.
They will be sharing money just in the right way.
The problems with most multilevel marketing systems is that performers go greedy after a certain stage and they want money automatically coming in, which will not happen unless one has a magic wand. Smart Work = True Value Riches.
If someone is going to tell you, that you will make millions after a few years if you put good down lines, they are rather bluffing.
Think, practically. So you sow, so you reap.
What you sow this year can give you only one harvest!
If you should harvest again you have to sow again!
Network marketing is a life time process and as long as you work you benefit. The day you stop working the money coming in declines slowly.
Can you live if you stop breathing?
LC is a professional network marketer who specializes in teaching others how to be successful with network marketing. If you want to get in touch with LC or learn more about network marketing success, Just click here
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Wednesday, November 12th, 2008 at 12:05 pm and is filed under news. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.
