Business Models Drive the Behavior in the Field

If you're in a network marketing (mlm) company, orare in orconsidering joining set up to pay part time
thinking ofjoining one, take a look at the businesspeople? Themajority of compensation plans are set
model. Do you getcompensated for retailing (selling)up to only pay the "heavyhitters". They only pay
your product? Or do youonly get the bigthose sponsor monsters who go out andrecruit,
commissions on the distributors/businessbuilders thatrecruit, recruit, but aren't able to duplicate
you sign up? Would you sell your product atretailtheirefforts. I recently went to my company's
price to your family? If your compensation plan paysconvention and themajority of the people who were
themajority of commissions for sponsoring businessat convention walked across thestage and were
builders and notfor retailing product, the behavior inrecognized for their achievements. Even parttime
the field that will driveis recruit, recruit, recruit.people were able to hit high levels in the
With the companies that are set up properly, youcompensationplan. Your comp plan should pay part
getcompensated (commission) based on anything youtime people as well asfull timers.
sell. It does notmatter if those sales came fromAs a Mentoring For Free success coach, I look at the
customers or business builders.policiesand procedures of network marketing
Customers are just as important as business builders.companies every day. I alsoevaluate compensation
That isthe way it should be.plans. Some of these companies out theredon't even
The goal in network marketing should not be to bepay you if you retail your products. They only pay
the pushy,aggressive salesman that most people runonbusiness builder volume. That's SAD!! And it's
from, but to helpothers by introducing them to ourpossibly criminal.
products. The majority ofnetwork marketingSpeaking of Policies & Procedures, have you
companies out there have good products thatcanread yours? Thisis NOT your Terms and Conditions, it
actually help people. BUT, if you wouldn't sell thatis the Policies &
productto your mom/dad/brother/sister at retailProcedures and EVERY network marketing company
prices, then you are inthe wrong company. Themust have them.
reason a lot of network marketing/mlmcompaniesThis is your contract with the company. Some
have to charge so much for their products iscompanies hidethem until after you've signed up as a
overhead.distributor. The worstpart about that is the fact that
If a company boasts that they have hundreds ofyou agree to abide by them whenyou sign that
people takingorders and a massive building, that isagreement.
where the money is goingI've heard people tell me "They were over 20 pages
INSTEAD OF INTO YOUR POCKET as a distributor.of verysmall print and I wasn't about to read all that."
Every company hasoverhead. My home office hasI've also
overhead. When it is due to largeoffice buildings, a(after pointing out that the company's P&P's say
high number of order takers/employees, andbrassyou can beterminated at ANY time for ANY reason)
faucets in the lavatories, it's called massive overhead.had people tell me "Oh -but they won't do that to
Companies with massive overhead need to inflateME". Believe me - many people havebeen done in by
their productprices to cover that overhead plus paythat clause. I don't know about you, but I wantto
the distributors thelittle that they do pay.build a business that will be there to pay my
Is the compensation plan of the company that youchildren'schildren. Do you?