Many people are introduced to network marketing through a presentation from a friend or on the internet. Not uncommonly–if they’re seeking a home business opportunity and are strongly swayed by that presentation– they may join that particular company with little or no awareness of the full range of options available to them in the larger network marketing industry.
In presenting their offers to potential prospects, network marketers–just like most other recruiters and salespeople–often intentionally appeal to their prospects’ emotions more than to their rational, analytic capacities. This is based, very simply, on the well-known fact that most purchase decisions are determined much more by feelings than by careful rational analysis.
In the world of business, however, this kind of decision-making can be disastrous. And this is particularly true in the network marketing industry where the quality of the various companies runs the gamut from superb to outright scams.
Before deciding to join ANY network marketing company, therefore, it’s crucially important to investigate very carefully all of one’s options and to have a clearcut way of evaluating each prospective company. The time invested in this kind of due diligence is likely to have a huge future payoff.
It is not the purpose of this article to recommend any particular network marketing companies, but rather to offer some specific general guidelines for evaluating their relative merits.
Important Benchmarks of Outstanding Network Marketing Companies
For anyone who is seeking a network marketing business with the aim of generating long-term, stable residual income of $10,000 a month or more, and also in achieving this in the shortest time possible, the following ten objective criteria are very important to consider in deciding on a particular company to join.
These criteria can be used as a simple checklist in evaluating each company. It’s important to understand that there are many excellent companies that will not satisfy ALL of these criteria. In general, however, the higher the overall score on this checklist, the more likely it is that the company in question will be a good choice.
So here are the ten key qualities of an outstanding network marketing company as defined above:
1. It has a product or service that is used by the masses and will continue to be used whether or not the business opportunity continues to exist. That is, even if someone drops out of the business, they’re likely to continue using the product(s)/service(s).
2. The products must be unique and, ideally, patented. If they are nutritional products, any claims about them must be strongly and independently substantiated by clinical trials and/or by other objective scientific research. Their production, moreover, should conform to the standards of Good Manufacturing Practices (GMP).
3. These products should have a function or purpose similar to those already in use by the masses, but sufficiently superior in quality that customers will quickly recognize this higher quality and be willing to switch to using them. This superior quality, along with the income opportunity tied to them, is a key to success in all network marketing.
4. The company should have a strong record of stability over a period of several years. Key questions to ask here are: What is the history of this company? Has it been in business for 20 years or more? What are its outstanding achievements? How much debt does it have? Has it developed beyond its initial growth phase? Has it continued to grow consistently? What is its vision for the future? Does it have a strong customer base, instead of just a lot of distributors buying products in order to get paid?
5. Its marketing system should be proven to be effective, should be highly standardized, and also highly duplicatable. It should be sufficiently simple that anyone can implement it easily. Product and business presentations should be given by a few highly qualified presenters to large numbers of prospects simultaneously in a central location, on a website, and/or on conference calls so that individual distributors do not have to engage in personal selling and/or individual recruitment. Prospects should be filtered through a system so that the business-builder will spend her/his precious time only with those who have demonstrated that they are serious and highly qualified.
6. The leaders of the company should have an established track record of success in the business world generally, rather than a narrow background in just building a network marketing organization. They should also have a clear vision for future global expansion of the company and be committed to supporting distributors in building a long term and stable business. In addition, they should be strongly committed to continually improving the company’s products and/or services and seeking better ways to deliver them to customers.
7. The company should be globally established and positioned to continue expanding internationally. Other things equal, a company that is in the early stages of international expansion is a better bet than one that has already peaked in this regard. So look for a company that is clearly committed to operate globally and that has a vision and a plan to keep growing in this way. Then, in the long term of 5 to 20 years, you’ll have a continuous potential for maximizing your income–not only for yourself, but as a legacy to pass on to your children or grandchildren.
8. Its compensation plan should be structured to allow you to earn a long-term residual income of at least $10,000 per month after building a downline of no more than 500 distributors. Residual income here is defined as monthly income that you earn without any additional business-building activity. In order to achieve this, each of the 500 distributors will need to purchase between $100 and $150 of products or services each month. The compensation plan should offer commissions on unlimited downline levels and should also offer a fast start bonus of at least $100 for enrolling new distributors. The company should also offer generous additional incentives in the form of fully funded trips or other bonuses on a regular basis.
9. It should offer a well-developed system training and ongoing support for all of its distributors. Minimally, this should include a training manual, regular training conference calls, an annual meeting and a number of other regional meetings each year. Special incentives should be offered to encourage continuous personal develoment.
10. Since the essence of all legitimate network marketing is helping others, the company should model this through one or more forms of altruistic investment that contributes to social and/or planetary betterment. A key question to ask in this regard is whether you would be proud to be a member of this company because of its altruistic generosity.
Along with following these guidelines in selecting an outstanding company, it’s equally important to understand that there are now some excellent new options for building ANY network marketing business entirely online. One that is particularly effective and revolutionary is called a Funded Sponsoring Franchise system. It eliminates all forms of personal promotion, recruiting, and selling and provides an effective means for funding the development of one’s primary business.
For further information about this, I invite you to visit my website.
George Shears is a retired psychologist, wellness consultant and network marketer. One of his main missions is to help others achieve wellness and prosperity. You are invited to visit his website and/or to contact him: