Why People Are Confused About Network Marketing???

Wed, Feb 11, 2009

Network Marketing

Why are People Confused?

Perhaps the best way for me to explain why the confusion takes place is with an example of a stockbroker. What does the stockbroker sell? You may reply, stocks. Well, not really. What the stockbroker actually sells is that you can make money with a stock. So the money you’ll make is the product. You may have heard this referred to as “marketing intangibles.” This is very much like network marketing because often the presenter prefers to “market the intangible,” i.e., that you can make money. This isn’t necessarily a bad method, unless you’re talking to someone who doesn’t understand this conversation.

Suppose we’re talking to a person who comes from a retail sales background. Let’s say she owns a wax candle shop. If she hears a presenter talking about all the money she can make in network marketing, she’ll constantly be struggling to understand where the money is coming from. Many times these people are walking around after the typical presentation saying, “I don’t get it.” The reason she doesn’t get it is because she’s used to holding in her hands the tangible product that makes her the money.

This also works in reverse. If you approach a stockbroker and rub hand lotion on his hands and say, “you can make a lot of
money doing this,” he won’t get it either. He’ll see it as a little “pretty party thing.”

What am I getting at?

How you invite or recruit, whether business first or product first will have much to do with “knowing” your prospect.  This is the reason networking with people you know is so effective.  This is also why you should master both business and product invitations.  In your network marketing company, take the approach that you’re starting your own company. You need a board of directors.  In network marketing we call them leaders.  The most important thing for you to understand at this point is you don’t necessarily have to know these people. You probably won’t. You may personally find these leaders or someone in your organization could lead you to them.

What character traits do you want in your leaders?   What character traits do your leaders want in you?  Why is this important when building a business?  These are questions you want to ask yourself.

Here is a list of character traits to look for and also avoid when assembling your own board of directors…

Character traits you DO want in your board of directors.
* High Self-Esteem *
* Goal Driven *
* Entrepreneurial *
* Aggressive *
* Business Minded *
* Open Minded *
* Owner Mentality *
* Ready to Act Now *
* Decisive *
- Mentally Tough

Character traits you DON’T want in your board of directors.
* Passive *
* Wishy-Washy *
* Close Minded *
* Employee Mentality *
* Cynical *
* Not Ready to Act *
* Low Self-Esteem *
* Easily Influenced by Others *
* Worries About What Others Think *

So, after viewing the list of traits, what category do you fall into?  Are you a Leader, or are you a Follower?  These traits are good to know for your business because it will make the difference between you succeeding with building your Network of Entrepreneurs, or spinning your wheels with a revolving door organization….  This is your company.  Choose your board of directors wisely.

To Your Success,

Phil Smith ~ AverageRichDude

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2 Responses to “Why People Are Confused About Network Marketing???”

  1. Charlene Ragsdale Says:

    Phil,

    Thank you for your insight. I appreciate your understanding of this industry.

    Putting the needs of the prospect, first – is always so important. We have a term in Social Media – “don’t puke on me!”.

    Find out what your prospect is interested in and second, full that need.

    Whether it be product or business building – all prospects should be treated with respect and professionalism.

    -Charlene L. Ragsdale

  2. phlansmith Says:

    Hey Charlene,
    I appreciate the feedback. Just doing my part to help others understand the industry and try to prevent them from making the same mistakes that I did :)


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