Why People Fail in Network Marketing

As I understand it, 9 out of 10 people fail within five years after starting a new business. Then in the next five years 9 out of 10 of the survivors fail. Pondering these numbers, one wonders why anyone would start a new business. I am sure that the Network Marketing business experiences the same level of failure. nnNow I can’t speak to every form of business and to what makes them fail, but I suspect the reasons are very similar to Network Marketing. The best I can tell, these are the major reasons people fail at Network Marketing.nnLack of CommitmentnnNow why would someone start a new business and then fail for lack of commitment? If you don’t have the commitment to make it go, why start at all? nnWell, some people approach a new business with a one foot in and one foot out mentality. “This new business idea is good, but if it doesn’t work, well, I’ve got my regular job.” That is a lack of commitment. nnThen there is the income issue. “You know, I’m making pretty good money here. I can’t jeopardize that, etc, etc and so on.” That’s a lack of commitment.nn“You know, things are tight now, I can’t spend a lot of money on things like this.” That’s a lack of commitment.nn“A bird in the hand is better than two birds in a bush. If I’m not careful, I’m afraid I’ll lose this job and I can’t do that.” That’s a lack of commitment.nn“I don’t spend enough time with my kids now; I don’t have that much time for this new business.” That is lack of commitment.nnInsufficient FundsnnNew ventures cost money. Many cost $100K, $200K and more. You can see why a person may not be able to start a business with the need of this kind of startup capital. But what’s confusing is when they ask “How much is this going to cost?” And you honestly respond saying, “At least $1,000 and maybe a little more than that.” At which point they respond, “Oh, I can’t spend that kind of money right now; that’s way over my head.” You wonder just home much money they think you need to start a new business. The startup cost in Network Marketing can be very minimal—but it does cost something! nnPoor MarketingnnThis is a critical point. Marketing strikes to the heart of the topic. You may not represent the best of all products (still, you may), but you must have a first class marketing plan. Take note of McDonalds, Starbucks and many other companies that make OK products. Yet they are incredibly successful. Why? They have a first rate marketing plan.nnMost people only have vague ideas on how to build their business, and the results show it. If you don’t have access to quality marketing, don’t bother starting a new business. It’s all about marketing. Where will you find this quality marketing plan? Partner up with a successful MLM’r and use his/her plan. Why go around Cape Horn (the Southern tip of South America) when you can go through the Panama Cannel? A smart man wouldn’t. Be smart; that the short cut! nnLack of SkillsnnPicture this: a football player has the responsibility of tackling a ball carrier. The ball carrier runs all over him. At this point the coach runs out on the field and hands him a CD on “Seven Ways to Improve Your Attitude” or “The Power of Positive Thinking.” Is this the key to addressing his failure? As important as it may be, it does not address the fundamental problem; a lack of tackling skill. The successful coach would talk to the player about things like, where to place his feet. How to create a center of balance that gives him an edge over the runner. Which shoulder he must use on a slant run like this. In other words, he would teach skills.nnIn fact, most MLM’r don’t know how to approach a prospect, who is a prospect, what should be said and what should be avoided and what tools are most effective to generate interest? These represent the necessary skills to turn the right person into a powerful business partner. They are skills. All the confidence, attitude, and positive thinking in the world, as great as they are, in and of themselves, will not make the tackle or the sale. Who will help you identify and employ the proper skills? As I said before, a successful business partner is the answer to that question. Partner up with success and become a success nnThis May Not Be Right for YounnNot everybody is right for every business. Many people are not right for any business. If you lack the commitment, funds, marketing vision and skills then do one of two things. nn1) Run and don’t look back. You simply are not ready to start your own business—someday maybe, but not yet, not now. nn2) Partner up with someone who can teach you what you need to know. Pick a person who has a vested interest in helping you to become a success. nnIf you do this, you will likely become a success in Network Marketing.nnnResource Informationn nArticle Location: http://www.how-to-do-network-marketing.com/Why-People-Fail.htmlnnWeb Page: http://www.how-to-do-network-marketing.com/nnContact Info: ralph.bass@businessmasterplan.comn