Ever since the first MLM (Nutrilite) hit the scene some 65 years ago, people have found financial successes that in the normal brick and mortar business can only be dreamed about. It is nearly impossible to count the wealth that has been generated through the various companies that have come along in the network marketing arena.

There is another area that does not get nearly as much coverage as those who are successful, and that is the area of those who have failed. The numbers are clear, nearly 97% of those who begin with a network marketing business fail. Staggering numbers when we consider that those who are successful are wildly successful. They don’t just eek out an existence…those who make it in any mlm company, make it big.

So, that begs the question about those who fail…Why? Why do they not make it in any way, shape, or form. No matter the company, 97% will fail and fail miserably. The of this particular is not to give you the answer why this is so. I do have the same general ideas that you have, but I want to hear from you. Whatever you think you know, or whatever you know you know, tell us why people fail in mlm…

Gary B.

Most people would answer yes to the title question. Most of us believe we are doing our best to keep our homes safe for our families. However there are some dangerous toxins that many of us use in our homes everyday.

Studies have shown that chlorine bleach is the number one cancer causing toxin found in our homes. Many of us use chlorine on a regular basis. Many household cleaners contain chlorine, though it often masquerades behind aliases such as “sodium hypochlorite” or “hypochlorite.” Do your due diligence and search for and rid your home of harmful toxins. For purposes of this article we have focused on primarily chlorine bleach, but there are many products in our home that have proven to be just as dangerous.

Chlorine vapors can irritate your lungs and pose a serious risk to people who suffer from asthma and other lung problems.  When you open the door of your dishwasher after washing, toxic volatized chlorine from dish detergent and tap water is released into the air.

For safer alternatives consider the EcoSense line of products manufactured by Melaleuca The Wellness Company. Melaleuca has been manufacturing ecologically friendly products for over 25 years and has a proven track record of providing safer alternatives.

Til next time,

Gary B.

A January 2009 article from Melaleuca President McKay Christensen:

I hope you enjoy reading this Special Edition issue of the Leadership in Action. As you read, I also hope you’ll get a greater vision of how Melaleuca is making a big difference in the lives of many households across North America. Please read the stories; examine the advancement pages; look at the monthly earnings of moms, retirees, business people, and people from all walks of life; and see how they’ve changed their future for the better. You’ll see that we’re making a difference for families in today’s economy.

Melaleuca is a different kind of company. No other company in the world does business like we do. We are not multi-level marketing. Once in a while I’ll read an internet blog or article in which the author will list us among MLM companies as they talk about that industry. They don’t understand the simple differences between Melaleuca and MLM companies. And there are important differences.

Perhaps you’ve wondered about those differences or you’ve been asked what makes us different from MLM companies. So, I thought it might be helpful to re-visit the differences and clarify what sets Melaleuca apart from MLM, Direct Sales or any other industry.

1. MLM companies often require or encourage their people to buy inventory, or to at least purchase large quantities of product each month to qualify for bonuses. Melaleuca on the other hand, requires no extra purchases and actually encourages customers to only purchase the products they need in their homes that month. This is a significant difference! MLM companies impose a significant risk and burden. With Melaleuca, there is no risk.

2. An MLM company usually requires that you resell their products. Melaleuca does not require any reselling—all customers shop direct from the catalog or website. Real people buy real product they really want. This means as you build a Melaleuca business, you don’t have to pressure others to buy what they don’t need, you have no repeat sales presentations and you don’t have to peddle inventory to your friends or neighbors. You simply refer customers to Melaleuca, help them set up their accounts, and each time they shop direct with the company, you make a commission.

3. Most MLM companies charge several times what their products are worth, such as $40 for a bottle of juice that could be purchased at the store for significantly less. At Melaleuca, products are competitively priced so you can actually save money versus the national brands. Customers just switch from the grocery or department store to Melaleuca. They use the same “old” money they were already using to purchase shampoo, laundry soap and other household items. And the exceptional products they buy keep them coming back month after month.

4. MLM companies often market products that rely on the sensational, such as juice, magnets, diet pills, or green algae. These aren’t products that are used by the average consumer. Can you imagine, in today’s economy, trying to convince someone to spend hundreds of dollars on cases of juice each month? Melaleuca sells products with real value and benefits superior to those found on the grocery store shelf. Take Sol-U-Guard Botanical® for example: it’s an EPA-registered disinfectant that does not use chlorine bleach. Instead, it uses the spice thyme and is two times concentrated. So, it does not contain chlorine bleach, saves you money, and because it’s concentrated, it is better for the environment. Unlike products sold at many MLM companies, Melaleuca products don’t rely on the sensational but instead offer true value and benefits.

5. Many MLM companies rely on an icon or public figure to champion their products. In some cases, MLM companies have used doctors with Ph.D. degrees from obscure and little known internet-based universities to tout their juice or products. Melaleuca, on the other hand, develops and sells products based on sound science and rigorous development. We have a strong Research and Development staff with scientists and Ph.D.’s from reputable universities and strong professional experience. In fact, we have some of the best product development scientists in the world.

6. With the MLM high-risk, high inventory model, the guy on top or the one who gets in first wins and the guy who gets in last loses. Melaleuca has a true and proven business model that rewards Marketing Executives when they team up and help each other. It doesn’t matter when you start your Melaleuca business; you can be as successful today as you could the day the company started.

7. MLM companies often come and go because they rely on large purchases and sensational products to generate sales. They are unwilling to reward their distributors for helping others succeed. These companies often grow rapidly and then decline rapidly. Melaleuca, on the other hand, has a 23-year proven track record. In my opinion, this is the defining difference between Melaleuca and MLM: our track record. We continue to grow and prosper because we’ve based our company on sound business principles, and our Compensation Plan rewards those who help others.

8. At most MLM companies, the customer attrition rate is high. Recently, we closely examined a number of MLM companies and their performance. We asked the companies what their customer attrition was from month to month. First, no company would publicly disclose that figure. Second, when we spoke with the distributors from those companies, their retention rates ranged from 40 percent down to 6 percent in any given month. That means that they lost the majority of their customers each month. So, at MLM companies, each month your first task is to replace the customers you lost before you can even think about growing. Melaleuca has a 94 percent retention rate. That means 94 percent of customers who ordered last month will order again this month. If you look at our retention rate over several years, that average is 95 percent. That is a terrific retention rate and we disclose it! I don’t know of any MLM company that would dare disclose their customer repeat purchase rate. Why do we? Because we’re not multi-level marketing

9. Anyone can build a Melaleuca business. All it takes is time and effort. Unlike MLM companies, you don’t need a large investment or years of experience. You don’t have to have an extensive network of contacts. At many MLM companies, you succeed if you can find an MLM guy with lots of contacts who you can recruit rapidly to earn big bonuses and then move on to the next deal. At Melaleuca, the average person can begin by referring friends and neighbors and then expand their organization by helping others do the same. If you want to see a difference between Melaleuca and MLM companies, look at our ranks of customers and Marketing Executives. They are often ordinary folks just like you and me.

10. Melaleuca is committed to its mission of helping others. To be honest, I don’t know the mission of many MLM companies. But it seems to me that their mission is to make money at all costs. I have that impression because it seems thousands of people leave these companies having invested thousands of dollars in hopes of success only to be left with unsold inventory, lots of motivational books and tapes, and unmet dreams of wealth. I’m proud to be associated with a company that helps others get out of debt, stands behind a satisfaction guarantee, and leaves people better than they found them.

So, when someone asks me if we’re an MLM company, here’s how I respond: “No, we’re nothing like MLM companies. We don’t require you purchase or resell inventory. We don’t rely on hype or sensational claims or products. At Melaleuca, you refer customers to Melaleuca and they shop direct from Melaleuca. Each time they shop, you earn a commission. We sell products that you are already using like cleaning and personal care products. Not only will you find our products are a better value; they’re also safer for your home. We are the world’s leading referral marketing company. When you shop with us, you’ll see that we are also the world’s best store for wellness products you’re going to love.”

Whether you’re a long-term customer with Melaleuca or a new Marketing Executive, I would invite you to build a Melaleuca business and discover for yourself how we are different. You won’t find a better opportunity and I’m certain that working together we can build a business that will last a lifetime!

As business models go, Network Marketing is as viable as you will find. The promise of riches has lured many would be millionaires out of their normal day to day existence and 9-5 jobs. That same promise of riches and fame has also doomed many to failure.

Statistics continue to prove that nearly 97% of all network marketers fail miserably. Not surprisingly, these facts are rarely discussed during any network marketing sales presentations. Not only that but you will rarely if ever hear one who is successful in network marketing share how long they struggled before they found any success.

Truth is, most successful network marketers don’t reach any real level of success until their third or fourth try with different network marketing opportunities. Essential to the success of any network marketer is and will be an ongoing emphasis in the development of several key areas, an understanding of marketing, psychology and personal development.

Let us take a look at what Wikipedia defines as Network Marketing and then look further at why so many people fail and how to avoid the same fate.

Wikipedia definition:

Multi-level marketing (MLM), (also called network marketing, direct selling, and referral marketing,) is a term that describes a marketing structure used by some companies as part of their overall marketing strategy. The structure is designed to create a marketing and sales force by compensating promoters of company products not only for sales they personally generate, but also for the sales of other promoters they introduce to the company, creating a downline of distributors and a hierarchy of multiple levels of compensation.

Now as we dive further into the focus on our 3 key areas of development, the first one literally jumps out of the description of the plan itself and that is, marketing. As the name implies network marketing is going to involve on many levels a need to understand at the bare minimum principles involved in marketing people and or products. Without having an understanding in marketing principles how can one expect to succeed in a marketing business opportunity?

We are not suggesting that in order to succeed that you must have a degree in marketing but, the successful marketer understands the basics and builds upon that understanding.

Second is a working knowledge of the psychology of sales, networking and marketing as they relate to moving people to make buying decisions. Perhaps more than any other business model a person’s success is tied directly to moving people to purchase products as well as join business opportunities. Remember from the Wikipedia definition: The structure is designed to create a marketing and sales force by compensating promoters of company products not only for sales they personally generate, but also for the sales of other promoters they introduce to the company, creating a downline of distributors… You are put in the position of persuading people to join your business opportunity and in many cases to buy your products and services. Knowing the psychology of people and the psychology of persuasion is essential on ones continued success.

Lastly is the area of Personal Development which simply put is the pursuit to better one- self. Perhaps you have a fear of public speaking, then moving beyond this fear and becoming someone who can effectively speak in group settings and crowds could perhaps show you as a leader in high demand. Many successful Network Marketers also pursue developing their knowledge of copywriting which increases their effectiveness as it relates to advertising.

The area of Personal Development is also the most compelling because it challenges in many cases to step outside of our comfort zones. Many people who have joined Network Marketing business opportunities have never really tasted business success and the possibility of financial freedom attracts them. The fact that many have never been successful is reason enough to emphasize personal development. Why? Simply put, if you don’t know success you may not be able to handle success.

In many cases, we have to see ourselves as successful before the success even arrives. But know this for sure, that your success will ultimately be founded on hard work and determination as the great Michael Jordan once said, “I’ve missed over 9,000 shots in my career. I’ve lost almost 300 games. 26 times I’ve been trusted to take the game-winning shot . . . and missed. I’ve failed over and over and over again in my life. And that is why I succeed.”

What does success look like to you? What does success feel like? What does success smell like? What does success sound like? And finally what does success taste like?

Since the beginning of time men (and certainly to a degree women) have desired to be successful. This desire has taken shape in many forms. Many people desire a success that leads to public fame. Still others desire the type of success that allows them to help people in ways that only few people could dream of. But by far the most desired type of success is financial. Hardly a day goes by when we aren’t shown someone’s wealth either on television or in the print media.

KNOW THIS! SUCCESS IS WHAT YOU MAKE IT AND WHAT IT MAKES OF YOU!

Let no one define your level of success or what you hold true as your values define success.  So, along with the discussion of success must come mention of failure. It is not until we give up that we can be considered a failure. As long as you continue your search for your definition of success you still have an opportunity to achieve it.

“Try not to become a man of success but rather to become a man of value”  – Albert Einstein.

I know that as we begin to answer the questions above we will come up with a billion and one answers with each person having a different take on what it means to be successful. One thing is for sure, we may all have different views on what it is to be successful, but we can most certainly form a consensus on what it is to be a failure.

Internet Marketing is evolving daily. However, one fundamental fact still remains the same. The money is in building your list. The list that I am speaking about is your email prospect/customer list. Every good internet marketer knows this fundamental truth.

The good marketer takes the time to build their list before they even consider attempts at selling a product. Once a list of email prospects/customers is built then the promoting of products can begin. Many a person has entered the business of internet marketing and attempts to sell immediately. This method always fails miserably. Primarily because the average person does not like to be “sold”.

That is why when building a list, the best way to nurture the list is though delivering valuable content. Content in the sense of free eBooks and newsletters will go a long way with your prospects. Especially if you want to see your prospects turn into customers.

Speaking of lists, it is a MUST that you have a good email autoresponder. These can be in the form of software or even some companies that have the service set up. My favorite autoresponder company is Aweber. Their service and system is top notch and any good marketer will tell you that this one thing is a must.

Imagine having a list of several hundred or even several thousand email prospects and customers. How would you contact and update them. Sending mass messages would be a problem. But what about managing the new prospects and sending  messages to them without sending duplicate content to those who have been on your list for some time.

This is where a email autoresponder service like Aweber comes in. You have the luxury of setting up email campaigns that keep track of your various lists and sending messages automatically, dependent upon when someone signs up to your list.

Now, I can hear you asking, “how do I build a list?” I’m glad you asked and we will tackle that in our next visit under Squeeze Pages and or Capture pages…

Til later,

Gary B.

I often wonder if the pioneers of Internet Marketing envisioned the industry becoming the wealth producing bonanza that we see before us today. Not a day goes by in this rapidly growing industry that some new money making idea is not posted on a new website.

One fundamental truth still holds true whether it be for someone established as an internet marketer or a newbie trying to make a name for themselves. That truth, is that The Money is in The List. To make a decent living by marketing products and services online one must build and grow a list.

Any good internet marketer will tell you that the lifeblood is in the list that they have built. Many new internet marketers make the mistake of building a website and immediately attempting to sell to anyone who stops by.

While this person will undoubtedly make some sales, the inherent problem is that most people don’t want to be sold anything. People would rather make the choice to purchase from someone they know and trust. This trust issue is where the value of building a list comes in.

So, having spoken of the need to build a list the first obvious question would be “how do I build a list?” I’m glad you asked. The simpliest and most effective way to build a list of customers is by giving something away. Zig Ziglar quoted: You can have everything you want, if you will just help enough other people get what they want,” and this holds true in list building.

Once we show people value and build trust they will be more receptive to purchase from us down the road. So, we have discussed building the list by giving something away now the next question to ask and answer will be “what do I give away?”

In today’s age of information there is no shortage of “things” to give away that would provide value to your contacts/customers. Many people give away things like: eBooks, videos and other informational products. These products can have a long reaching impact upon potential customers. Do a search yourself for what types of information that other internet marketers are giving away and you will find a bevy of product offers that you can emulate.

Where to Sell!

The first thing you need to do is have a place to sell your products from. It doesn’t matter what you’re selling, but it does matter where you sell it from. Let me explain. I cannot stress enough the importance of having your very own domain name and web site space.

You cannot expect to get everything for free. Your business will suffer for it in the long run. You need complete control over your business. That’s why you need to steer clear of free web hosting sites.

So, do yourself a big favor and pay for good web hosting. Before you set up with a specific web host, you need a domain name. That is an easy enough task. Where you purchase your domain name is just as important as where you purchase your web space hosting. A good company to go with for domain name purchasing is GoDaddy. They’ve been around for a while and they have top notch customer service.

When selecting the right domain name it’s a good idea for you to add at least one descriptive word pertaining to your online business. The reason for adding “keywords” in your domain is that when people use search engines your site will come up more frequently. And that means more traffic, which means more sales.

What to Sell! Information Products:

This type of selling is probably the easiest way to make fast money without huge overhead costs. And you also have the ability to sell unlimited amounts of information products to as many customers as you can sell them too. But, you must make sure that the information products that you have in stock come with something called Master Resale Rights. Master Resale Rights makes it possible within the terms of purchase to resell not only the product itself, but also the right for the customers who purchase it to resell it.

Lots of people jump online searching for an opportunity that will make them some fast cash. The information product business excels in this capacity. That’s why so many hop onto the resale rights information selling bandwagon. However, many fail at running a successful information e-business because they have no clue as to what they need to be selling! Or even how to go about selecting a killer product that will generate excellent profits for them without costing them an arm and a leg.

Physical Products:

Of course, you can always sell physical products through the internet too. A great way to begin this is by looking around your own home for items that you want to get rid of and sell them using an auction site such as eBay.

Practically anything can sell and fetch a pretty good price on eBay. In fact, one person was able to sell nothing! Yep, it’s an honest to goodness fact. I don’t recommend you do that personally as there are plenty of rules you must follow, and doing something like this could get you permanently banned from buying or selling on eBay. So just make sure that you have a product to offer.

Making money online has limitless possibilities. Being ahead of the curve and armed with the right information will help you avoid being one of the 97% of home based business owners who fail.

Everyone wants to make money. That’s a given. And the internet can present some pretty lucrative possibilities. The internet has also created a breeding ground for scammers. It can be very difficult to tell a scam from the real thing. Many people, at some time in their online career, have been taken at least once by a hyped up scam.

While you can make some easy profits doing business on the internet, you still must be vigilant and careful when buying. The old adage still rings true, especially online: “Let the Buyer Beware”.

Where to Begin!

Many new internet marketers give up before they’ve really begun. That’s due in part to the unrelenting maze of courses, eBooks and other assorted sources available as soon as you log in! It can be very confusing. Who’s right? Who’s wrong? And who’s in it just to make a quick buck from the inexperienced?

Many people are attracted to the thought of being their own boss. Deciding when and if you work can give you such a sense of freedom. Well, not exactly. A common misconception about home-based business is that you will have much more time to do the things you want to, and less time spent working. You see it all the time if you’ve seen any type of “infomercial” when you’re up late watching television. The fact of the matter is any business is still a business.

Meaning, you have to work at it to taste success. Many times, when running your own “stay at home business”, there are more work hours put in, and less time for all the fun things that you thought you’d be doing. This is not meant to be discouraging, just a reality check. So be prepared for this ahead of time.

Earning money online is virtually limitless. Every single day, millions of people log on in search of something. Whether it is information or a specific product. Understand that most folks looking for information are prepared to pay for it. This is a fact. And absolutely anything that you can think up can be turned into an informative product. Remember, there are millions of internet visitors all across the world searching for information. The only “limits” involved with selling online are those you set for yourself.

If you are new to Network Marketing or MLM as many also call it, you may feel a bit overwhelmed at times. You may have even been so discouraged that at times you have felt like giving up.

First of all, let me say you are no different than anyone else. In the early stages of your business you were probably told something like this;

1)    Make a list of everyone you know

2)    Call everyone on the list

3)    Invite them out to a meeting or get them on a 3 way call

If you did any or all of those things you undoubtedly experienced some emotional highs and lows. The highs came when someone seemed interested in your new business venture and listened to what you had to say. They may have even agreed to come out to a business presentation. Now you are very high emotionally, because you will be able to show your sponsor that you mean business. You feel good about yourself because you know this will be easy.

Meeting night comes and of the 20 guests you have invited no one shows up. Not even the ones who confirmed earlier that day. Now you feel lower than low.

Time for a quick commercial break, brought to you by the sponsors of Just Keep on Trucking:

1)    You must define your WHY! Your WHY must be strong enough to keep you going when the going gets tough. Your WHY is the reason that you got into your business in the first place. You need to define the reasons that you will not quit.

2)    Find a successful mentor. Having someone who is successful and has already attained to a level that you would like to get to will be one of the most powerful weapons in your arsenal.

3)    Don’t Quit! Never, never, never, never give up. You got into your business for a reason and you need to keep at it until you succeed. Period!

And now, back to the show.

You look around at others who are having success and you feel as though you are 20,000 leagues below the pack. Again, you are not alone. Let’s take mega guru Mike Dillard who by his own admission struggled for 8 years in mlm before the light bulb went off for him and he realized what he was doing wrong. One of Mike’s most famous saying is “network marketing is filled with people who have no idea how to market.” We are not born marketers. We learn how to market our businesses and ourselves.

Network Marketing is a business of attraction and relationships. We need to attract like minded people. We are looking for leaders, people who see the value in being business owners and are willing to sacrifice to become successful.

 So do not be discouraged and feel as though you are the only one struggling. Statistics show that nearly 97% of all network marketers fail. The trick is to learn the strategies of the successful marketers. Find out how the Mike Dillard’s, Frank Kern’s, Mike Klingler’s and Deagan Smith’s of the world are getting results. So by any means necessary find someone in your niche who is successful and grab a hold of their coat-tail and hang on for the ride.

Remember there is no free ride in network marketing. There is no magic pill for success. Those who are successful are doing it by hard work and utilizing proven strategies. Continue to grow and whatever you do, do not quit.