The Perfect MLM Business Model
May 29, 2007 – 11:47 am | by Burke Jones - The Internet MLM Pro->
Have you started generating your own MLM leads for your network marketing business yet?
I firmly believe that we have entered into a new era in network marketing. The days of hotel meetings, calling parties, and purchasing expensive leads are behind us.
Why?
Because they are not easy to duplicate, and they do not produce a “real” business model.
This statement may shock some of you, so I better do a bit of explaining before you think I just took a drink from the “kook” fountain.
As you know network marketing is all about leverage. By creating a downline you are able to leverage the collective work of your entire team. If you have hundreds of people on your team, and each person just sponsors two or three people (the industry average) than you can experience massive growth.
The biggest problem is surviving long enough in the business to reach this point. Hotel meetings, calling parties, etc, are designed to meet the lowest common denominator. In other words they work well to get those initial 2 or 3 new associates, but then things come to a screeching halt. Associates run out of warm and hot market leads. Then where do they turn?
Most of them will turn to purchasing expensive leads - this is what I did - and the downhill spiral begins.
However, if you are generating your own leads - you are building a real business - that you are in complete control of.
Let me explain further how this business can really work. You set-up a lead capture page on the internet. Drive some traffic to it, and start building a subscriber email list. Over time you drip, drip, drip the information about your company to these prospects. Some will join today, some next week, some a year from now - each person has their own time. By tapping into the power of the internet you can build a relationship over time that can grow forever.
By building your own list, you are also building a real business model. You see once you have a list of subscribers you can actually print money at will. For example, say you find a really good service or course on the internet that relates to MLM or Network marketing. Using the affiliate marketing model, you can recommend this product to your list, and get paid a handsome commission if they purchase it.
This model allows you to make money outside of your primary opportunity. It allows you to survive financially long enough to actually “make it” in network marketing. It allows you go get to the point of enjoying the leverage of a large downline!
Don’t you think this business model makes more sense than the tired MLM tactics of the past?
As always I would love to hear your comments - feel free to leave a comment below.
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6 Responses to “The Perfect MLM Business Model”
By Mary on Mar 18, 2008 | Reply
The process of learning how to generate my own leads has been challenging but the rewards are paying off big time! It is great to be able to track everything you do online rather than just randomly throwing away money like in traditional methods of business building!
Great Post!
Mary
By Jeffrey Sloe on Jul 2, 2008 | Reply
I like the concept of generating your own leads. I’ve done that for years now, and it does work. I truly believe when you generate your own leads, you are then building a “real business.”
By Gary Rich on Oct 2, 2008 | Reply
Good points. I belong to a business that gets my customers through infomercials and then we purchase those customers from the company. They handle all the shipping, marketing, and contact with my customers. I don’t have to stock any products. All I do is buy customers and introduce the business to others. Pretty cool business model.
By OCSTOP on Jun 19, 2009 | Reply
Great posts guys. Most newbies do not know how to get started. Personally, I have started using a lead capture page which has a built in affiliate marketing system. This is a free system with your only expense being $10/mo for hosting.
I recommend any newbie to use this along with traditional methods of video marketing to video sharing sites, article marketing to ezinearticles or gotoarticles and social marketing like facebook, myspace, and twitter.
By Michael Jane on Jul 6, 2009 | Reply
Hi
Fantastic information,This is the first time i heard about this. keep it up this good works.
Regards,
William