With a wide variety of options for online marketers to choose from, MLM marketing has become wildly saturated by novice online marketers thinking of it as a good source of income. Multi-level marketing is a good way to make commissions but thinking from a wider perspective, is this path the best to work with? Can you make money from MLM companies that can be good enough to cater for your daily expenses and dreams in life? Is MLM of more value regarding resources and commissions than the other types of online marketing? This is what we are going to dig deep in this article.
Firstly, you need to understand that as at this time, there are thousands of MLM companies on the web. Most of which are just scams that will run for few months and after accumulating members who are willing to make huge investments in it, they operate it for a while, and they go missing overnight. So you will want to be aware of that.
When we go to the popular MLM programs, like Traffic Authority, Empower Network, Kyani, and GNLD, you will come to note that MLM really does pay. They are not scams but through selling their digital and health products, you can make few dollars and also get the opportunity to supplement that using the referral system that these companies offer their members to grow their population in quantity.
So, we answer the question, YES! Making money from MLM companies is possible. BUT, the issue is, is the money you make from these programs really worth it? Can they cater for your bills? And the answer to that will be a big fat no! What these companies can provide you with is a few dollars good enough to be called pocket money. Let’s look at what people are saying in this traffic authority review comment section. These are people feelings who have been part of different MLM platforms.
It is very hard to make a thousand dollars every month with such programs. So if you are a marketer who was thinking of buying into these schemes, you will want to reconsider your decision. You need to look for other better options like affiliate marketing or such. But if up to this point you are still not convinced that MLM can’t work if you are a long term guy, here are many more reasons why you should avoid Multi-Level Marketing companies at all costs:
- High Costs
Before you can make any transactions in the program, you need to be a member. The owners of these companies really push you to join so that you can have them benefit from your joining. Some companies will require you to have been referred and use the name or the username of the person who referred you to the site to join.
After you have joined, you will start getting more enticements and pushes towards upgrading to a premium or elite level which you have to pay for. Mostly, the costs range from $50 to $500 depending on the program you have joined. Notice, this is the upgrade fee only, you will then be paying a monthly at the same or night cost to retain your membership there. That’s the catch. And this means that your initial investment is already high and the chances of you getting a return on investment are slim to none.
- Inferior Products
Mostly, what you will find MLM companies selling are products that have been produced by many other producers of much greater quality. And since the products they produce are inferior, they will use unethical practices to force their way into a sale and then more. Some of the products they sell include lotions, skin care creams, teeth whitening cream, soaps and detergents in the health industry. And when you look at the technological industry, you will find them selling online computer packages, eBooks, lead capture pages, auto responders and such like.
The idea is, these products are many in the market and the ones that aren’t, are very hard to sell because the demand for them is extremely low. Going by this, you will note that their real intentions of having you promote these products are not for selling purposes but something else quite different.
- Tricky Selling Techniques
Many of the MLM’s will have produced products that they want you to help them sell. Ideally, they want you to look for clients to sell to and then get a commission in a very crafty way. This is how many of the mischievous ones do it, they will have you buy the product at a lower cost at first and then tell you to sell it at a high one to get your money back and then make some insignificant profit.
You see, by selling to you first, they eliminate the chances of not having to make a sale. Selling to you gives them a profit already, and now they send you to the streets to look for others. If they were caring, they would have at least cut the risks in two halves by asking from you half the price of the product and then after selling the product, you get your money back plus a 50% share of the profit you made.
But this is not the case, they want you to risk your own money. This shows they don’t have faith in the quality and effectiveness of the product and why should you?
- Very Low Success Rates
How many times have you ever heard that someone is making a three figure income with MLM? You can count them, that is if they even exist. People who are in these programs rarely find the kind of success they are looking for. In fact making a consistent flow of income with it has proven to be a very hard task to perform.
With the low-quality products that face high competition against even better quality and well-established ones and the difficulty in referring people to the program as its base has no foundation, it is tough to attain the level of success you are hoping to.
The only people you will hear succeeding with this are the owners of such schemes. And this is so not because they know how to make sales and conversion, no! Because they are benefiting from the monthly membership fees the members are paying. If that weren’t there, they would be as broke as their members, or perhaps even more.
- Primary Motive is Recruiting People
Having found out that the reason they produce products in already saturated niches is for cover up, the ultimate motive for their operation comes to light, and that is recruiting people into the pyramid scheme.
As discussed in the previous point, this is the way many owners make money from so they will make sure that they convince you that referring people is the best and easiest way to earn an income. And then they will try as much as they possibly to optimize their streams of income from the recruitment process, which is why you will hear of some extra blind fees being charged.
You will sometimes hear that after you are referred, you should go to a seminar to be shown how you will be making this work, you will have to purchase a license to certify that you are approved by the company to operate and other weird stuff. Ideally, they know that this is their only opportunity to make ends meet, and they will surely leverage it. They also know that before one joins, he will most certainly ask what they will be doing to get paid, and the products available for sale make a good fit of a scapegoat.
- Deceiving Words and Promises
Another thing that loses the moral interest of joining these schemes is the kind of words and promise they use to lure people into joining. Big and fancy words like “Earn $200 a day”, “Retire in one month by earning $100,000 monthly at home”, “Make $500,000 in 5 days” and other fake promises is what you get. One thing you should note is that whenever these words are used to make you join any program out there, always know that there is a catch hidden behind the attractive words.
If a program is real, it will use terms that are realistic like “Make money by building a business out of your passion” or “Build an authoritative business in 12 months” at least that sounds practical as opposed to mlm’s which when asked how that will be happening. They will beat around the bush without giving you of any precise methodology. If their ways were easy to work with and assured success if well performed, they wouldn’t have to use persuasive speech.
- Destroys Friendships
When you think of it socially, you will come to note that MLM to a great extent has been the cause of many friendships to collapse. When they are ‘training’ you to make referrals, they give you the option of using social signals which they put a lot of emphasis on. They say that if you have 5,000 friends on Facebook, and you refer just a hundred of them, you could be making a five figure income in a short while. What they assume is the fact that it will come to a certain period when your friends will come to realize that you were using them to help yourself.
The opportunity that seemed so wonderful comes to be the cause of destruction without any profits or commissions earned. And if you had promised your friends that they would definitely make money from this, you can guess the drama that follows the realization of the invite being a sham.
So you can see, Multi-level marketing exists, and there are few legit programs, save for the many scams that are developing slowly, that you can get to leverage, but the problem is you won’t achieve as much as you wish. The effort you put into it isn’t worth the results that you are going to get. This means that if you want a marketing opportunity from home that will really pay you, you will want to reconsider your thoughts.