Is direct selling as it is known in Malaysia, also commonly known as Multi Level Marketing (MLM) in other parts of the world, a workable business model that is sustainable? Is it true that one can really obtain riches with ease as claimed by agent during recruitment?
If you ever been approached by someone trying to convince you into joining MLM, my guess would be 90%, you would walk away from the meeting with disbelieve.
Some of the commonly used phrases by a person in MLM when trying to persuade you to join them but was never a strong enough convincing point to get you excited are:
1) Its easy - direct selling or MLM is kind of a tough job as many have already found out. I would even say its one of the toughest around. It was never easy and to succeed you need sheer hard work and lots of it.
In fact if you've been making a living from working a day job, you would most likely need a total mindset change before you could really convince yourself to get started with MLM. No doubt MLM is able to bring riches to one and there are already enough real success story around.
The toughest hurdle one must get over with to achieve success with MLM is their own mindset.
2) You don't need big capital to start - it's right to some extent. In recent years, some MLM company has been using large pay up captial business model by asking people interested in their MLM company to sign up personal loans from bank to buy expensive startup kit or products sample that could cost up to ten thousands.
It was never in the traditional MLM business model that required agents to buy over 10 thousands worth of products to resell it back later. A traditional MLM approach is to ask the agent to try out a product that they themselves would use and if they find its quality and results satisfying, a person is encourage to share its benefits with their close friends and family members. By sharing with other the benefits of the product, that ourselves would use is the true spirit of direct selling.
Even if you're not being lure into investing thousands into samples, time costs and other miscellaneous costs is still a cost. Eventhough you need not make all these up front, you still need a budget for it.
3) You can make a cut from your downlines' sales - many people would take this suppose to be a selling point to lure in new agent but it turns out to be a real put off. When people are buying something, it always makes them feels better if "you as my friend are not making a profit out of me". They are more comfortable if someone they don't know is making the profit out of them.
Well, don't blame them, its human nature.
4) You do not need to know how to sell to succeed - don't say this to your prospect even if your upline said you must say it. You won't win over your prospect's heart when you tell them this. All of us somehow understood that if you don't sell, where is all the money coming from to make you rich?
Instead of telling your prospect no selling skills is needed, tell them selling skills can be acquire much more easier by the training that your MLM company is providing. After all, learning selling skill is not as tough as you think it would be.
No doubt MLM has turned many introvert (shy and quite person) into super sales person that make a fortune selling but along the path to success, for every one successful person you see on stage there are hundreds more fallen that don't make it to the stage and you won't get to see them.
5) You'll create a lot of passive income and you can have all the time you need - no matter how successful you're in the MLM, what most people can see in a successful MLM achiever is that they still need to work very hard to sustain their network and if they stop motivating their downline, the whole network will still go to sleep!
Eventhough they don't work 9 to 5 and probably earning a good income, they still need to work long hours - in fact, long after office hours and even on weekends and holidays.
Most probably your prospect won't say this to you, there is always a disbelieve in this "passive income and lots of free time" myth.
People who are very successful in MLM can see these points and have accepted this reality as facts and fundamental to succeed in MLM.
If you're very much into MLM, be frank and don't lie to your prospect in your attempt to lure them into MLM. Lie won't get you downline and even if you do, they will found out the truth and feels disheartened because their expection and actual happenings does not match at all.
MLM is a business just like any other business. It needs determination, perseverance, very different mindset and lots of hard work to make it a success. For those who made it, reward is alluring. They certainly do "think and work differently and have the freedom to arrange their work time" and it's obviously not "they have all the money and all the free time without having to work" as some MLM recruiter would like to portray.