Warning! It can be a MLM Scam!

MLM is a legitimate business and good opportunity to make an earning provided the company is not a fraudulent one. One has to be very careful in selecting the right company as to not get into scam and instead of earning some money, money is lost.

Let us see, what all points observed can be the warning signs that MLM is a scam

Recruitment centric rather than selling

One of first warning sign is that the company will have more focus on recruiting rather than selling the products. They may recruit you with the motive that you further recruit more members and not increase selling by finding new customers. Hence the business is marketed and not the products. In this kind of business, money is got by recruiting more members and this is not a legitimate business. In many cases, there are no real products even though they show many products on the catalogue.

Asks to buy heavy Inventory

In the initial phase itself, if the company asks you to buy a heavy inventory and become ‘elite’ member or pushes you to buy most expensive business package in exchange of the needed business support.

High Pressure Tactics                         

If the company presents before you an “outstanding” deal on which you are not given time to think or discuss with other people including your family members then the deal is just a hoax and fooling you into a scam. They do follow the ethics and proper code of conduct.

Pushes for paid training

If the company pushes you for a paid training on the regular basis besides the usual training or else they do not consider you much, then there is something fishy about it. As to successfully carry on the business the company has to provide training and strong support and a legitimate company will definitely provide it.

No Transparency

If you ask them questions and do not get the appropriate answers and eventually not considered as a positive thinker or not placing enough trust on the company, then it is surely a warning sign.

Unpleasant Job Interview

You go for a job interview but it does not turn out to be a proper one. Meaning, instead of a normal interview process, it is more of a publicity of the business and given a presentation of some products. After the presentation, there is one-on-one interview which is more of an interrogation or a pressure to join the company.

Bizarre product range:

Successful businesses have a range of good and relevant products. If the business claims that it is highly profitable and provides an excellent opportunity to join but has weird or bizarre products or the product is the focus of litigation then there is something doubtful about the success of the company.

John M Taylor has identified some questions in his work “12 Tests for Evaluating a Network Marketing (MLM) Opportunity” as follows:

• Were you approached primarily on the basis of the actual value and need for the products - or for the "opportunity?"
• Is it likely the products could be sold successfully on their own merits without going through a MLM distribution system?
• Does the MLM Company focus on legitimate products of value to consumers, or does it emphasize fleeting trends and timing, and exotic or secret formulas?
• Can you as a distributor make a good income for the time you spend selling the products - without recruiting a single person?
• Would distributors several levels above you - who had nothing to do with the sale - receive as much or more total payout per sale (including commissions and bonuses) from the company as you would get for selling the product or providing the service?
• Are the company's wholesale prices low enough to allow a respectable profit when marking up for resale - at a retail price that is still competitive with comparable products through other sources?
• Has the recruiter been devious or up front in his or her inviting attempts?
• Are conferences and training programs, audio and video tapes, etc., free of charge (as is the case elsewhere for company sponsored programs), or are you expected to pay for them - as another revenue source for the company and upline?

The conclusion is that before taking a plunge in MLM, it is very necessary to know what kinds of frauds there can be. It is important to educate yourself before investing your time, money and efforts to pursue a dream. 

How can MLM marketing Software & Webinars generate leads for your Network Marketing Business?

MLM or multilevel marketing software describes the tools to manage and organize MLM accounts. Generally web-based and user friendly, MLM tools allow company to track its customers, as well as gives the information day to day sales, revenue and profit.

•                    For doing the business worldwide.

•                    For maintaining information of all joined members.

•                    For accurate calculation of the bonus /incentive in shortest time period.

•                    To pass the information to all the joined members within fraction of second.

•                    To help the joined members for doing best in the business by providing the information /status of his business.

In addition to the benefits given above, you can collaborate with all the distributors and arrange webinars at each location for distributors as well as customers and prospects.

What is Webinar?

It is a new sensation for generating leads. You must have heard of Seminar. Webinar is a Web-Based Seminar, in short. It can be a lecture, workshop or a presentation on Web with the help of Video Conferencing Software.

It is as interactive as physical seminars. In webinars, the distributors, customers, prospects are given invitation by emails to join the webinars on its schedule. They have to simply login wherever they are and then start attending as well as ask questions. They will even get the answers in real time.

Hence webinar reduces the limitations of distances and brings all the multiple prospects and customers together at one time. Day by day, it is proving a highly useful tool as it is not only cost-beneficial but also highly advantageous in integrated marketing and lead generation.

Businesses arrange webinars for various reasons like

·         Increasing awareness about your business and products or services

·         Suggesting solutions to whatever problems prospects or customers are facing

·         Impart training

·         Introducing new product

·         Understanding customers and prospects in a better way and provide a satisfactory customer service

·         Staying engaged and build a rapport with them

·         Promote webinars on your website and mention websites in webinars also to drive traffic. Give the links of webinars which have been held in the past

·         Promote webinars in email marketing

·         Project yourself as an expert giving relevant source of information as well as solutions

·         Give opportunity to prospects & customers to see & know you and a chance to interact with you.

·         Give links to your recent webinars on social media sites.

Simple Webinar Funnel

Sign Up:

Send invitation by emails or SMS from your email list

Encourage all your contacts in your emails list to forward the invitation to their friends and families to join the webinar

Have a compelling topic and title of your webinar which will interest your targeted audience

For the registration, do not ask too much of information, keep it simple and short.

Set up the webinar on the days and timings which can be comfortable for people around the world to attend.

Show Up:

Do not restrict yourself to only one communication channel,

Share on social media that you are arranging a webinar, its topic and timings.

Send reminders for the webinar a day before

Send text messages and even the video messages for the webinar arrangement

Pay-up:

After giving the webinar, the story does not end there. Get it recorded on CD, DVD and pen drives too. Send it to the prospects, clients and distributors.

Give links of the recording on website, emails, and social media. Social media is a powerful tool to circulate webinars to larger audience.

Thus, every network marketer should explore the opportunities to generate lead and popularise their business through Webinars. It is simple and powerful to connect with the mass irrespective of geographical boundaries and strength of people attending it at single point of time. It is the best way to market and position yourself in your own voice.

Webinars are Simple yet Strong tool in MLMBusiness!

Which MLM company can be best for you?

If you have decided to get into MLM business, then the first step is to identify the right MLM Company for you. It is a very crucial step, as wrong selection can end up into huge losses and failure.

One needs to be cynical and analytical while selecting the right business and the decision should be based strictly on the facts and not on emotion.

There are many businesses claiming that they are network marketing companies, but many of them are fraud. Some may be well intentioned but not having a good record and some have hyped up information for their business. Hence, it is very critical to not just get lured away by the fraudsters and all the hype. It is necessary to do certain background checks & research before selecting the MLM Company as you want to get into it for long term which can generate income for you.

Firstly, the most important thing to find out is that whether the MLM is legal in the country in which you wish to do business?

Company & Management Team:

Find out whether it is a ground-floor opportunity or a startup as the statistics say that 90% of the startup companies fail within 2 years of their starting and leaving the distributors in lurch. Do not get fooled by ground-floor opportunity as your main aim of joining the mlm company will be to earn the residual income, and to get that residual income, company has to around for a long time, isn’t it? So the experts says that do not join the company which is in the business less than 3 years. Most preferable companies are which have good reputation and are both online and offline. As you can get considerable information including their financial status.

It is important to find who the management team is. After finding out that, search their track records, if it is solid, then there are chances that the company may be highly successful in the business and not just close down one fine day. The solid track record of the management will ensure that they will be implementing the right methods and strategies to do the business. They will do the business with ethics and will not follow the negative tactics to take the company on the top. Their experience will be reflected by avoiding the mistakes and build a successful business. In addition to that they will exhibit the dignified leadership and be mentors giving necessary training to the new members and develop a solid foundation. They will not make the distributors feel that they on themselves.

Products:

In MLM, unique products or the products of the niche market does excellent sales. As it has less competition and high demand. The decision varies from person to person as to which products can go well. There are physical products as well as the digital products also like blogging platform and online marketing tools. In physical product, some believe consumable items like cosmetics and health products which are required month to month, will bring in the money while some believe that some unique high range products like water filter may do well as they bring in more money in one sale. But the underlying fact is that irrespective of the product type, the characteristics of the product should be unique offering something new and extra than the regular products available in the market and stores.

It is crucial to know that whether product is manufactured by company itself. It is important to know because if the products are from third party, then that company also has to make profit and hence it will be difficult to price the product competitively. It may also happen, in future some other company gets hold of the same product. The innovation which can be brought about in the product gets totally dependent on the company which is manufacturing it.

After deciding on the product, believe in it. If you are not convinced about the product, how can sell it? Ask the question – will you be using the product? If yes, then which qualities you find good and which ones you find that you can improve on or the qualities are all hyped up? Is the product USP justifiable?

Positioning:

Is the product a “Brand”? Does the company follow the current trends and technology? Find out the target market segment of the product. Also find out whether company is focussed only for local and domestic market or even for the international market. If it is aiming international market then does it have capability to do business worldwide?

Companies’ Compensation Plan:

This the most important factor to know as it will define how you will be paid, promoted and create your downline.

There are various types of compensation plans. Some are complex in nature while some are easy to understand and follow. Important is to know that whether it is the right plan for the product? Is it the right plan as per the age of the company? And important thing is how much opportunity is it generating for you to earn?

It is important to know how may many members can you sponsor? How much percentage will you be getting through each sponsorship? Is the plan beneficial for the company or is it balancing?  

The answers to the above questions should be analysed critically by you before deciding the selection. As your selection will highly impact our success. If You are in MLM Business then go here.