I’ve made a lot of mistakes in network marketing during the past 12 years. Some of these mistakes happened because I was ignorant. Other mistakes happened because I didn’t know what I was doing. I even made some mistakes because I was looking for a short cut to success. However, most of the mistakes I made happened because of greed or desperation. I either wanted quick profits or I was completely desperate.
I am not proud of that, but it is a reality! I want you to know that I am about as far from perfect as you can imagine. And I don’t want you to make the same mistakes that I did.
Some of the common mistakes I made were:
- Unrealistic expectations
- Not sticking with one company long enough
- Not being consistent
- Choosing a bad sponsor
- Paying someone’s sign up costs
- Bad mouthing other companies or distributors
- Not having a business mindset
- Not helping my team enough
- No sponsoring enough people
- Trying too many different marketing strategies at once
- Bugging my friends and family
- Sitting around waiting for my team to do something
These are just a few of the mistakes I made in the past. Trust me, there are even more!
Of all of these mistakes, there is one (I didn’t list it above) that was hands down my BIGGEST mistake.
What is that mistake?
I tried to recruit distributors into my business!
That’s right. I said it. And if you’re like most people in our industry you are probably scratching your head right now wondering why someone in network marketing would call that a mistake.
Here’s why I think looking for recruits is a big mistake.
From my experience nearly 9 out of 10 people you talk to about a “business opportunity” will NOT be interested. And for every 10 people you do sponsor into your business opportunity, nearly 9 out of 10 will quit within their first year.
What does all of this mean?
It means that if you talked to 1,000 people about a business opportunity, 900 would not join. And of the 100 that joined 90 would quit within their first year (individual results might vary a little bit).
That means you are out busting your tail recruiting people, yet you have a REVOLVING door of distributors in your business. You are busy getting nowhere fast!
To me, that is not a good deal.
So, what is the solution?
The solution is to become product focused! I think it is much easier and wiser to focus your recruiting efforts on people who will LOVE the PRODUCTS and want to consume them each month whether they ever build a business or not.
Focus on finding retail customers and wholesale distributors who sign up to get a discount on the products they already love.
Think about this for a moment. Would you rather have a team of 100 distributors knowing that most of them will quit by year end, or would you rather have a team of 100 loyal product users who order every single month?
Personally, I would rather have the product users. That’s where the real residual money comes from.
Depending on your compensation plan, most people could EASILY make $3k to $5k per month in profit, if not more, by having 100 customers or product users.
Study any top earner and you will see their organization typically has three to five many customers as distributors. Even if all of their distributors quit, they would still have a gigantic organization of product users who keep ordering each month. That is where their long-term security comes from.
On a side note, I am not telling you to NOT recruit people. You should always sponsor new people into your business each and every month. However, I just think it’s wiser to target your marketing and recruiting efforts on people who would be interested in your product line rather than people who would be interested in your business opportunity.
Of course, that’s assuming your company has good products that people actually WANT to buy.
What are your thoughts on this subject? What do you think about my biggest mistake in network marketing? Leave a comment below to share your thoughts.