Network Marketing is NEVER a S.C.A.M.

Jesus was a Network Marketer

2011-02-01T06:42:00.000-08:00

Jesus proved that network marketing works, and the proof continues today. However, the success of Jesus as a consummate network marketer also proves the truth of the warning Jesus left us with: "Be careful that no one deceives you, for many will come in May name, saying I am the Christ and shall deceive many." [Matt. 24:4-5].

First, consider the network marketing system Jesus built. He recruited 12 men from a wide v

Knowledge you need before you launch a website!

2010-05-20T09:07:00.000-07:00

Will your website help you earn money? The industry term is "monetize." This means that you can track te work of you website to business revenue. Consider the following example

Your website--with a keyword optimized URL (Uniform Resource Locator)--attracts 1,000 targeted, unduplicated prospects each day and 10 percent click through to receive a useful free report that you offer on the landing page. They qualify to receive this free report by leaving you contact information, including their email address. When these prospects give you their email address, they are also giving you permission to email them, so your messages will not become SPAM. That 700 new prospects each week, a total of 36,400 annually. Each week, 35 prospects, just five percent of the 700 become customers at an average of $100 per buying decision. That's $175,000 annually gross sales revenues.

Is a website enough, or do you need additional tools?

You need an autoresponder email software suite because more than 80% of your market will need to hear your message five to 12 times before making a decision. Therefore, the fortune--your fortune--is in the followup. Wait! Given the numbers in the example above, you will need campaigns that are at least 12 messages long, meaning a total of 8,800 emails each week. Obviously, you cannot manually accomplish that, even with a team of assistants. Of course, your small business could not afford to hire a team of assistants, even if such a team could manage to get 8,800 emails out each week. A quality, affordable email marketing autoresponder software suite handles this and other challenges effectively and cost efficiently. For example, remember the free report of helpful and useful information that 700 website visitors click through to receive each week. Well, your your email marketing software suite, with an autoresponder sends the report automatically upon request. Guess what? You've begun to build a relationship with each of those prospects. This happen 168 hours each week, a total of 8,736 hours each year. In other words, you marketing operation never closes.

Surely, that's all the tools you need! Not quite.

Now you need a toll-free number

I guarantee you sufficient business capital for $13.65!

2009-11-02T11:30:00.000-08:00

I know! The title of this article sounds way too good to be true. First, let's deal with this fallacy--that because something sounds good it might not be true. Therefore, do you believe that truth sounds bad? Or do you believe that the goodness of truth has limits? In other words, if it's--what you're hearing or reading about--is only this good, it might be true, but if it's better than that, it's probably not true.

Well, let's try a simple true and false test. Answer the following questions, true or false:

1. In 1492, while trying to get to the East Indies, Christopher Columbus discovered the area of the world that came to be known as North America.

2. If the Boston Red Sox had signed Fidel Castro as a pitcher in 1957, he would not have launched the Cuban revolution in 1959.

3. Professing Christians believe that they have access to eternal life because God came as a human being and paid for their sins with His death.

Here are the answers: false, false and true!

I know many of us were taught the "Columbus discovered America" story. Yet, we know the facts. Columbus was lost! He set out on an impossible mission--to get to the East Indies by sailing west. He landed in what came to be known as the West Indies (another lie, by the way) and somehow got credited for being the discoverer of the North American continent.

I don't know if you've heard it or not, but I heard the story about Castro's alleged tryout as a pitcher with the Boston Red Sox years ago when I was a reporter for The Charlotte Observer. I checked the facts. Castro was born in 1926. Which means he was 30-years-old in 1956. That's quite a bit older than most Major League baseball tryouts. Again, I checked the facts.

Castro was born into a wealthy family and earned a law degreee. He began his political career while studying at Havana University and became a well-known figure in Cuban politics. In 1953, Castro led a failed attack on the Moncada Barracks, was subsequently arrested, convicted and imprisoned. Castro came to power as a result of the Cuban revolution that ended the regime of US-backed dictator, Fulgencio Batista on Jan. 1, 1959.

As for the third question, how can anyone believe something as prepostrous as "God coming to die for your sins," and consider my offer to show you how to achieve limitless business capital for $13.65? Now I say this somewhat facetiously because I, too, believe Jesus, the Christ, was God in the flesh, and that His sacrificial death saved me from having to pay the penalty of eternal death.

I used the example to make this point: if you believe that God died for your sins, why does that not sound too good to be true?

So how can I guarantee you sufficient business capital to finance a successful homebased business for just $13.65? The answer rests on this enduring foundation: "You can have everything you need and want in life if you will just help enough people have what they need and desire." That principle paraphrases what we know as the "golden rule." "As you would have men do unto you, do you even so unto them."

I desire the knowledge, understanding and wisdom to align my life with the acquisition of limitless wisdom, wellness, opportunity and wealth. Therefore, if I have that knowledge--the principles that govern acquisition of wisdom, wellness, opportunity and wealth and I share this will say 1,500 others, what will happen if they believe the golden rule?

Let's say that I offered them access to the basic knowledge and contacts they need to design a successful home based business and I included in this offering six of my colleagues who will also provide key information. Let's say that 500 individuals who received the information accepted, and sent each of us $1.95 for the information we promised, plus another valuable opportunity.
Each one of the 500 individuals would pay $13.65 for seven articles of vital business development information. That totals: $13.65. Each of us will receive $1.95 from 500 individuals. That totals $975.

Now, in this system, the participants removes the name at the top of the list of seven home based business owners, move the remaining names up one slot so that number two becomes number one and number three becomes number two, etc. The new participant inserts his or her name in the 7th position. Then they each share this tremendous capital generating project with, say 100 of their friends, colleagues, neighbors, friends, relatives, etc.

In this second round, 50,000 invitations go out, (500 x 100). Let's calculate on a five percent response rate, or 2,500 individuals sending seven individuals $1.95 each. That totals $4,875.
Let's take this concept through four rounds of invitations and responses at a rate of five percent:

3. 250,000 invitations and a 5% response rate = 12,250 x $1.95 = $23,887.50

4. 1,225,000 invitations and a 5% response rate =61,250 x $1.95 =$119,437.50
That totals: $149,185. Generating this capital could take up to six months. We could also hit those totals in 90 days. Everything turns on the willingness people have to believe they can purchase tremendous value for a small amount of money.

That's not all!

According to Ron Mueller, my tax mentor, it's not how much to bring in that counts, but how much you keep. For this system to work most effectively, you must use the money that comes in for business capital, not for personal expenses. Here's how you receive maximum benefits.

Budget the capital to be used at the rate of $3,000 each month, and you have sufficient capital to operate your business for 49.725 months, or just a tad over four years. This means you can operate your home based business for four years without having to spend any of the revenue your business earns. You can also view this situtation this way: You can pursue profit for four years without having to worry about being able to pay business expenses. You also receive all of the tremendous tax benefits that accrue to you because you are a business operator.

So you see, it's not only possible, but also very likely that somethings remain true, no matter how good they sound.

Contact me for more information, including being a part of our next capital investment strategy.

See you at the top.

The unique Action-Based Capital Development System

2009-10-19T14:42:00.000-07:00

Network marketing opportunity "buy-in" prices range from less than $30 to about $500 throughout this dynamic segment of the direct selling industry. Usually, you get a "business kit" that includes excellent product knowledge information, a few marketing tools, and other knowledge--such as tips on developing a contact list--sincerely designed to help you succeed as a home based business owner in the network marketing segment.
You buy in! You get your kit. You go to work! Then unrevealed business expenses explode around you like a skillfully disguised time bomb. Check the numbers!
On your full time job, your take home pay totals $2,264 per month, and after bills, including daily transportation, you have $75 unclaimed money each month. Now that you're "in business," you discover, much to your dismay that your sponsor and others expect you to attend weekly "business" meetings, usually in a local hotel, that cost $250 annually. That's $5 per week times 50 weeks. Your sponsor also urges you to attend the company's annual convention that will run at least $975, and often more, depending upon numerous variables. Marketing materials, such as brochures, business cards, CDs and DVDs, will cost about $240 annually ore more. Other marketing expenses could run as much as $1,200 or more your first year "in the business." Setting up your business properly which means, among other things, registering it locally, federally and statewide, along with choosing a business entity that will not endanger personal assets could cost as much as $750, again depending upon several variables.
Let me explain. According to a spokesperson with the Direct Selling Association, that I spoke with, at least 95% of network marketers operate as sole proprietors. That business entity exposes both your business and personal assets to litigation. You can protect your assets by encasing this contract--with the manufacturing company--aka the "opportunity" in another business entity. For more details, please read Part 5 in this series: Do You Know How to Protect Your Assets.
Therefore, your first year business expenses, using these numbers as examples, total $3,415. Those estimated business expenses average about $284 monthly. Most new network marketers try to fund their Business Operating Budget (BOB) from revenues--selling products and services--to their so-called warm market. Just to break even, you will need almost $290 in commissions each month during your initial year in business. Using, just one of the contracts in my consortium of companies, I would have to have 20 customers who spend at least $50 each month. This produces $1,000 in retail sales. My 30% commission generates $300 in monthly business revenues. It requires astronomical numbers to calculate the chances of this approach working consistently.
Okay, what if you use your personal money?
Even if you could use the $75 "extra" money you have from your paycheck, your Business Operating Budget (BOB) includes a $209 monthly deficit that totals about $2,600 annually. That's one of the major reasons that more than half of new home based business ventures fail within five years--inadequate capital to fund the company's BOB. In other words, you cannot pay all the "Bills" in your life, and fund the "BOB" of your home-base business on your paycheck-to-paycheck lifestyle.
You need an Action Based Capital Development System (ABCDS). That system currently exists. You do not have to invent it. You need it revealed to you and you need to learn how to work it. Remember, I've written frequently in this series that seven strategic statements describe the powerful principles of action-based success. Here they are again:
Get started
Develop a powerful W.H.Y. for your venture
Become and remain teachable and coach-able
Learn to master systems and process thinking
Work S.M.A.R.T.
Work hard
Never quit
These principles power the ABCDS you need to fund the BOB you need to design, develop and deploy a successful home based business. This action based capital development system includes the following projects:
The federal funding source project
The Building Strategic Capital project
The Networking project
Each of these projects in this system provides residual capital that comes in month after month, after month. Anyone can master this system. It works if you are employed or unemployed. This system works even for individuals receiving social security and/or disability checks from the government. You do not need a college degree, any previous business experience or even a high school diploma to learn how to master this system.
Single mothers with young children can learn to use this system to achieve financial freedom. Individuals recently released from prison and who face awesome challenges trying to re-integrate into society can use this system. In addition to the powerful success principles I mentioned above, a person must also be or become:
Solution-oriented
Credible
Confident
Consistent
Computer literate
I use this system. My business partners use this system. It works famously. Try it! You'll like it!

Building strategic capital positions you to create wealth.

2009-10-03T09:25:00.000-07:00

You’ve heard the hype! “Sign up tonight! Work your warm market to corral customers! Talk with everyone within three feet of you about joining your business. Develop an ever expanding contact list and work it by telephone. Remember some get it. Some don’t. Some who get it will. The others won’t. Who’s next? You go get three distributors (aka representatives, consultants, etc). who get three, who get three and so forth down to seven levels, and soon you will be cavorting on the beach whenever you want to, driving a luxury car, and living in your dream house.”

You’ve heard the hype! Maybe it worked for you! Most often, the hype you heard at numerous “opportunity meetings” did not position most network marketing participants to generate wealth.

Quickly, though, please understand that this article does not provide a diatribe against network or multi-level marketing. I am a network marketer and have worked for more than 30 years in this segment of the direct selling industry, in partnership with numerous companies. I love network marketing and in my early ventures, I bought the hype hook , link and sinker.

Needless to say, like many of you, I sunk!

Nevertheless, the numbers reveal an encourating picture. In 2007, Networking marketing generated more than $30 billion in sales in the United States, with about 15 million professionally working part-time and fulltime. That’s good! However, when I divide $30.8 billion (gross sales revenue) by 15 million professionals, I come up with about $2,000 in retail sales per professional. Now, that's retail sales--what customers paid. Even with a commission of 30%, which one of my manufacturing partners pays, the annual business revenue per professional averages about $600 annually., or about $50 per month.

Obviously, some--actually about 20 per cent--professional network marketers made much, much more than $50 per month. Without question network marketing looms large as an absolutely great industry. Consider several observations:

In a recent article, Fortune Magazine editors referred to network marketing as " . . .the best kept secret of the business world." "An industry with steady annual growth, healthy cash flows, high return on invested capital and long-term prospects for global expansion."
Robert Kiyosaki says this: "When I first heard about network marketing, I was against it. But after opening my mind, I began to see advantages that few other business opportunities offer. Long-term success in life is a reflection of your education, life experience and personal character, Many network marketing companies provide personal development training in those key areas . . .A true network-marketing business is the exact opposite of a traditional business model. A networking-marketing business is designed to bring you up to the top, not keep you down at the bottom. A true network-marketing business does not succeed unless it brings people up to the top." (Why We Want You to Be Rich, by Donald Trump and Robert Kiyosaki, chapter 27, pp. 307-308).
In their book The New Professionals--The Rise of Network Marketing as the Next Major Profession, Charles W. King, Ph.D, and James W. Robinson wrote: "Network marketing is the low-cost, and now high-tech, industry that invites you to build your own business and earn a potentially high income while working from home on your own schedule. You earn immediate income and serious long-term residual income by selling products and services directly to consumers and convincing others to do the same . . .Today's it's a high-touch, high-tech field, international in scope, that is growing in sophistication, complexity and diversity; an industry where knowledge workers are welcome, professionalism is prized, and search engines and stock options are replacing pep rallies and prayer circles."
Referring to network marketing, mixed with the rapid growth of the wellness industry, Paul Zane Pilzer referred to the combination as the "perfect storm of opportunity." Pilzer continued: "Direct selling impresses me because it allows people to begin to captain their own ship, choose the hours they work, and through their activity levels choose how and when to increase their incomes . . .This business offers low startup costs, has no employees or insurance expenses, and the overhead is practically nonexistent. The direct selling business model also utilizes new technologies, such as the internet, which help make it easier than ever to own a business."

Interestingly, this industry's power triggers the "failure timebomb" that decrees that most network marketing business efforts fail. Consider this metaphor: if you have an outstanding dream home plan, the best materials and even plans to furnish your new home with spectacular furniture, your house will fail unless you build a solid foundation.

Similarly, most professionals who fail to create weath using the network marketing business model miss the mark because they do not build a solid foundation under their business. Easy access to residual capital provides an important segment of the business foundation you must build to create a successful home based business, using the network marketing model.

You need to have and know the following to achieve the residual capital you need to finance building a solid and enduring business foundation:

A fulltime or a part-time job
How to register your new business federally, locally and with your state's government.
How to develop a Business Operating Budget, including direct and indirect costs
How to generate continuous capital by helping others launch home-based businesses built on a solid foundation.

I will help you achieve this powerful position. Let's say you develop a business operating budget of $25,200. I will show you how to immediately generate about $8,400 annually to fund one-third of your budget. The federal government will provide this tax-free continuous capital. I will also show how to contract with a corporation that will fund the balance of your business operating budget annually. This source of continuous capital does not require you to give up any equity position in your business, and this money is not debt capital.

Email me when you are ready at: milton@miltoncjordansr.com In the "Re:" slot, write: "I'm ready to learn how to access continuous capital.

How to get started in New School Network Marketing

2009-09-09T20:16:00.000-07:00

Update: Blog Talk Radio Shows

2009-07-24T20:16:00.000-07:00

We changed our program schedule at http://www.blogtalkradio.com from a different program each day to a daily program with a slightly different them.

Beginning Sunday, August 26, 2009, our new program launches at 9pm.

The program's nameis "We Guarantee Success."

Network Marketing: It's a new day!

2009-03-30T19:31:00.000-07:00

Home based businesses grow faster today than any other segment of the United States economy, and the recession does not appear to adversely affect them.

Additionally, the network marketing segment of the Direct Selling industry continues growing rapidly, with about 15 million representatives in the United States who accounted for about $30 billion in annual retail sales. Those are 2007 statistics. Those numbers sound fine until you do the math and realize that $30 billion divided by 15 million sales professionals equals an average of just $2,000 in annual retail sales per person. Now, of course, some professional network marketers earn huge sums in sales commissions, and this business system probably produces more millionaires per capita than any other economic segment.

Most home based business owners with a network marketing contract are not earning much, if any, business revenue. Most, in fact, go bankrupt, long before they achieve a profit. Now, by bankrupt, I do not mean that they file a claim in bankruptcy court. Rather, usually, they just abandon the opportunity, often with the assertion: "This does not work for me."

Nevertheless, both network marketing and home based business operations continue their rapid growth.

To get a look at the rapidly growing size of these businesses, consider an observation from the American Association of Home Based Businesses: "Fifteen years ago, going to work meant traveling from home to a plant or office. Today, many people do some or all of their work at home. A private marketing research firm estimates that as many as 13 million people squeeze extra hours into their workweek by taking work home from their full-time jobs, and that 9 million people are independent home-workers who work exclusively at home. "(Emphasis Mine throughout).

Many people find working at home is the "ideal work arrangement" and decide to formally set up businesses in their homes. SBA (Small Business Administration) estimates that more than 3 million of these home-based businesses are now operating throughout the country. "

That statistic reveals part of the problem in network marketing. Our segment of the direct selling industry includes more than 15 million sales professionals, but most of us are not considered to be home based business owners, according to the Small Business Administration perspective. I will discuss this challenge in a future report on this blog. Please return soon.

"Every day, people are striking out and achieving economic and creative independence by turning their skills into dollars. Garages, basements and attics are being transformed into the corporate headquarters of the newest entrepreneurs -- the home-based business person. And with today's rising demand for "service-oriented" businesses and recent technological advances, the opportunities seem to be endless. "

So why aren't more network marketing professionals earning more money?

The answer: old school network marketing strategies do not work today. Old school methods, those touted for years by successful network marketing leaders work something like this:

You join a network marketing opportunity, which, in real world language, means you buy a set of marketing information and tools, along with a few products or a contract for the company's services. The price: from $29 to $499, depending on the so-called opportunity.

You attend weekly meetings, use the products and/or services, usually on what the industry refers to as "autoship." Basically, this means, you inherit a continuing costs, unsupported by sales or capital investment. I will show you in a future report on this blog, how to finance autoship, without taking the money out of your family's income. The weekly meetings, persumably training sessions, are designed to enhance your excitement, enthusiasm and energy. Very few of these meetings focus on the principles of operating a successful business.

You work with your so-called "warm market" and attact a minimum number of customers to buy products and/or services from you.

You recruit and sponsor others, teaching them to do what you are doing.

Leaders assure you that this works if you work it. For example, if you sponsor three who sponsor three, who sponsor three and so forth, you will have:

Three "downliners" on your first level, nine on your second level, 27 on your third level 81 on your fourth level, 243 on our fifth level, 729 on our sixth level and a whooping 2,187 downliners on your seventh level. Build that system, and, according to the speaking leaders, you will have a monthly "income" sufficient to finance more time with your family, extensive vacations, and all the other material dreams you've speculated about.

The caveat says, however: "It almost never happens exactly this way where three who get three, who get three and so forth, but if it did, on your seventh level, you will earn a whooping $________________" [the amount depends on the compensation plan].

That's old school, and it worked for from two to maybe 10 percent of the millions of network marketing professionals who've tried this strategy during the past nearly six decades. That strategy has reached "forced retirement." It works no longer, even for its most avid advocates.

It's time to learn and implement a new school strategy that is features-rich, customer focused and empowers you to control the success of your network marketing contract.

It's important to note that you must see and understand the difference between your home based business operation (HBBO) and your networking marketing contract(s).

You see, that was one of the explosively destructive flaws in the old school strategy: you, the business owner, considered your business and your contract to be one and the same. Another destructive flow in the old school strategy prevented you from having control of your business revenue.

Consider this. In the old school model, you personally had 10, 20, maybe even 100 customers who bought their products and/or services through you. The old school strategy encouraged to recruit and sponsor three who would recruit and sponsor three, etc. Your training would also teach them to gather their minimum number of customers, also. Let's use the number 20 customers. In the old school, you were taught that if you did what you were taught to do, you customer based would look like this:

60 customers
180 customers
540 customers
1,620 customers
4,860 customers
14,580 customers
43,740 customers

Total: 65,580 customers

But wait! Remember the leader's caveat! The strategy almost never works so that three get three who get three, etc. If that's true, then you would not have a dependable customer base. Why not? Because most of the professionals in your downline focus on recruiting so-called "business partners," and not moving products to a mass market of customers. In other words, they lead with the opportunity, not the product. Please understand that no product in the marketplace possesses the uniqueness to avoid competition.

For example, my company currently contracts with five corporations that manufacture wellness products, such as food supplements, chemical-free cleaning materials, etc. All of their products are excellent. We receive rave reviews from our customers. Neither of these corporations produce unique products. Additionally, many network marketing professionals who use the old-school method (focuses on the so-called business, not on customers) fail to adopt a customer service philosopy.

To be fair, and to reveal at least one more old school flaw, what would happen if just five percent of these customers actually bought products and/or services each month? That would total 3,280 sales. Now, let's estimate each sale at $50 retail. That's $164,000 in monthly retail sales.

Remember, though, you organization never developed according to the 3x3x3x3 illustration. Therefore, you customer base never developed according to the 20x20x20 idea either. Consequently, you have no control over the monthly revenue of this contract.

These explosively destructive flaws, not in the network marketing system, but in how we undertand the system, destroys our efforts to create wealth.

You see, network marketing functions exclusively as a products and/or services distribution system. It is not, as erroneously advertised for more than 60 years, a business model.

Professional network marketers use this system to move products and services from a manufacturer to an end user, without adding costs that decrease value to the end user. Consider this example:

1. A company manufactures an ounce of designer fragrance with a value of $65 (manufacturing costs, manufacturer profit and other business operations expenses factored into this monetary value).

2. The traditional distribution system, moving the ounce of fragrance through a jobber, a wholesaler and a retail outlet will probably increase the consumer costs to as much as $150 or more for that ounce of designer fragrance. However, the product's value to the customer
remains at $65. Those additional costs include handling, transporting warehousing, maintaining a retail outlet, and, of course, advertising for customers. Bottom line: customers pay $150 or more for $65 in product value entirely because of the distribution system.

3. Network marketing, on the other hand, moves that same ounce of fragrance from the manufacturer to the customer for $65. Therefore, in reality, networking marketing is a value protection distribution system. Network marketers deliver quality products and/or services to end-users without decreasing value due to increased prices.

That's the network marketer's customer development message, the heart of the new school approach to network marketing success. This new school strategy includes the following seven steps:

Organize your home based business operations on a solid structural and financial foundation.

Partner with a manufacturing company that produces top quality products and/or services, priced with a customer value philosophy.

Develop a factual, transparent customer services message that touts product value and the value protection benefits of your distribution system.

Target a segment or segments of a mass market

Use cost-controlled marketing tools.

Implement a quality-based customer retention strategy.

Teach and train your business partners (formerly called your downline) how to use the new school strategy.

I will discuss details of each step in this strategy in future reports on this blog. You can also hear more about this new school strategy and what it means to you on my weekly program--D'essense Delivers--broadcast at 11pm Tuesdays on http://www.blogtalkradio.com/

Please click here to visit my main program planning page at blogtalkradio.

You can listen to each program live, either on your computer or on the telephone. You can also call in to participate in the program. The call-in number is (347) 202-0833.

Please join me here and there because in network marketing, it's a new day!