Chuck’s MLM Weekly Wisdom # 20 – January 21, 2015
Dear Network Marketer:
I hope you are happy and well. Here is this week’s training.
# 1 Building a Team with Just Retail Customers
Our industry has high attrition rates. I know you know that. As much as 75% to 80% of your team can turnover every single year, regardless of what you do to support them. Is there a better option? I think so.
What if you just built a team of retail customers? What if over the next year or two you found 100-200 personal retail customers, instead of looking for business builders? And what if you provided world class customer service to your customers? How much money would you make? What would your business look like?
The truth is it’s a lot easier to find a new customer than find a new distributor. Most people hate to sell, but everyone likes to buy. Even though many folks are not interested in a MLM Opportunity, many of the same people would be interested in your product line if you approached them properly.
In addition, a happy customer will keep reordering month after month, even if they never do the business. Compare that to the average distributor who quits within 90 days and then stops ordering the products. Furthermore, customers are A LOT less maintenance. You don’t have to hand hold, beg them to do something, or keep them motivated.
My challenge to you for the next 90 days is to go out and find a bunch of customers for your business. Lead with the products. At a minimum, find 10 retail customers. This should give you enough income to make you profitable. Each month, keep adding new customers to your team.
# 2 Every Great Network Marketer Was Lousy at First
The successful distributors you see on the stage at your company events are a finished product. In other words, they didn’t start out great, successful and wealthy. There is ALWAYS a story behind the story. And you seldom ever hear about that story.
Everyone I know who has been successful in our industry DID NOT start out that way. Most successful distributors had years of struggle, before they cracked the success code and developed their skill-set and mind-set.
If you are new to the business, or not yet successful, don’t compare yourself to other successful distributors. There’s a lot more to the story that you don’t know about. In other words, you don’t know what they’ve been through.
Nobody, in any profession, starts out as a superstar. It typically takes years to develop your skills so you can become successful. For example, the best surgeons have done hundreds, maybe thousands of surgeries. The best Olympians have been training for a decade or longer (typically). The best salesmen typically have YEARS of experience. The best cooks have typically been cooking for years. I hope you get the picture.
If you want to compare anything at all, compare who you currently are with who you can be. Make it a goal to get a little bit better each day and focus on incremental growth. Do that for a few years and you will be amazed at what you can accomplish.
# 3 The Multiple Streams of Income Mantra
Everyone, including myself, likes the idea of multiple streams of income. The problem with trying to build multiple streams of income at one time is that you lose your focus. The truth is it’s hard enough to build one successful income stream. Trying to build a few at the same time will just make you unproductive.
If you want multiple streams of income, start out with one income stream at a time. Once you have the income stream developed and running smoothly, then you can start a second income stream.
One of my biggest regrets is building so many websites at once. Although I have several successful websites, I would have much better off just to have one website and make it a mega-successful website. I’ve really spread myself thin. Had I just focused on one thing, I would have been much better off. Learn from my mistakes!
# 4 “Great leaders always innovate, they don’t duplicate. One of the biggest fallacies in MLM is that we should attempt to force creative people to use systems which they don’t like and often can’t copy.”
This is a great quote from Mark Yarnell (Your Best Year in Network Marketing) and I agree with him entirely. In our industry, there are two mindsets. The first mindset is that you should have one system for your team and have everyone on your team build their business the exact same way. I’m personally not a fan of that system.
I learned a long time ago that everyone is different. Some people are extroverts. Others are introverts. Some are techies. Others are people-people. Some people want to do home parties. Others don’t.
Your real job as a sponsor is to sit down with each new team member and find out what they are naturally good at. Help them make a list of talents and strengths and then help them develop a game plan to build their business that leverages those talents, abilities and strengths.
Trying to make everyone do the exact same thing is foolish. It might work in a franchise, but it seldom works in MLM. If you were to look at any top leader in any company, there’s a good chance they didn’t build their business the same way their successful upline did. And there’s a good chance, their successful team members didn’t follow their system.
By all means, have a system. But don’t be so foolish to think that everyone must follow it to be successful.
# 5 “You’ve got to make an eight to ten year commitment. You’ve got to understand that the first year and a half, everything you touch does fall apart. It takes three to five years just to establish a business where you’re consistently doing the right things, where you consistently compete.”
This is a quote by A.L. Williams, founder of Primerica. I can’t speak for anyone else, but I’ve owned several businesses in my lifetime (not just network marketing) and ALL of them took a few years to get up and running well. No one starts a business and has a cash cow in 60 to 90 days. Business does not work that way.
What’s great about our industry is that you can do it part-time, while you keep your day job. Even if it took you five to ten years to build up a $2k to $4k per month residual income, I think it would still be worth it.
Without a doubt, you have to hang in there. Rome was not built in a day. One of the saddest things I see in our industry is people jumping from opportunity to opportunity every three to nine months. The only people that make money when people do that are the sponsors and the companies.
Find a good company, dig in your heels, and make a long-term commitment. The time is going to go by anyway. Why not have something to show for it?
# 6 Commitment vs. Motivation
I had someone ask me a few weeks ago how I stay motivated all the time. My response was that I am naturally self-motivated (which is true) and that I like to achieve things.
Now that I’ve had a few weeks to think about my response, I would like to change my answer. My real answer is that I am very committed to what I do, even when I am not motivated. You see, no one wakes up everyday motivated to go their job. In fact, most people hate their job, but they still go to work every day because they are committed to getting a paycheck to sustain their family.
When it comes to your network marketing business, there will be many days you don’t want to build your business. You will get home from a long day at work and be tired and unmotivated. Or, there will be a sports event on television or a great movie to watch.
This is where commitment will keep you in the game. If you are really committed to achieving what network marketing has to offer, you will find a way to motivate yourself. When you are committed you will schedule the time to work your business. If you’re not committed, you will find an excuse to quit or do nothing.
# 7 “The best cure for discouragement is to double and triple your efforts.”
This is a quote from Mark Yarnell.
Everyone gets discouraged. I have people call me every day frustrated and discouraged that their business isn’t growing as quickly as they would like.
If these folks were really honest with themselves, they could look at their day planner or calendar and see that they didn’t spend much time on the money producing activities.
If you want massive results in your business you have to take massive action. You can’t work your business five or six hours (or less) a week and expect much to happen.
The quickest way to get better results is to put in more effort. Of course, it helps if you develop your skill-set too.
Thinking about the business all the time does not count as working on your business. Ideally, you need to spend at least 10-20 hours per week on the money producing activities if you want to build a large and successful business.
# 8 Network Marketing vs. Traditional Business
Most people in network marketing have never owned a traditional business before, so they have nothing to compare their experience too. For anyone who HAS owned a traditional business, they understand how awesome network marketing really is.
You see, most traditional businesses cost tens of thousands of dollars to start (if not more). The owners invest their hard earned money (or borrowed money), quit their full-time employment and dive head first into their new business. They need inventory, an office space, employees, and high monthly overhead costs. Most traditional business owners have to work 80 to 100 hours per week, and they end up making less money than their employees do. Even worse, a HIGH majority of traditional businesses fail.
Network marketing is the complete opposite. You can keep your day job and start part-time. You can spend less than $100 to get started. Your monthly overhead is normally just the cost of your auto-ship and few small expenses (my monthly overhead is less than $100 per month). You don’t need employees. You can work from home. And you have the opportunity to leverage yourself and build up a residual income.
When you compare the two, there is no real comparison. I wish more people in our industry really realized what they had their hands on. If they did, they would treat their business more seriously.
Have a great week!