Multilevel Marketing--A Business Revolution Is On Its Way

No business model in history has been the victim of as much inaccurate, misleading, and incomplete coverage as multilevel marketing. And little wonder: Multilevel marketing (MLM) is a radically different way of doing business from what you'll find in companies located on Main Street, USA.

As explained in the 10 truths below, MLMs are destined to experience a revolution in the 21st century. For the astute business professional, the question then becomes: Will you be among the chosen few--one of the entrepreneurs who had the foresight to break new ground in this upcoming billion dollar business--or will you look back with regret upon opportunities untried?

Consider these truths before you decide:

1. "Traditional" no longer describes most businesses.
Internet success has opened the door to nontraditional ways of doing business and making money, even fortunes. From Wall Street to the local banker, financial experts are more receptive than ever to business models that buck tradition. MLMs will continue to play a large role in this change: They have always shunned traditional working goals, preferring to target "income security" instead of "job security," and "lifetime income" rather tha
"lifetime employment."

2. More people are seeking residual income.
Imagine income that keeps coming in, year after year, long after the work is finished. Most people have long been aware (and envious) that songwriters, authors, and actors enjoy residual income on a regular basis. Slowly, they're learning that residual income can be theirs too; for example, network marketing annual sales are more than $20 million in the United States, being sold by an estimated 8 million people.

3. Its reputation is destined to improve in with the news media.
Historically, MLMs have been notoriously misunderstood by the media. Coverage of them tended to be negative because it simply wasn't acceptable among mainstream business press to write positive articles about network marketing. Then along came the e-commerce explosion and with it came new publications, new reporters, and fresh, open-minded perspectives on alte
ative ways of doing business.

As a result, the business press is increasingly setting the agenda, rather than reacting to it. You can expect to see more positive stories about MLMs in the next few years. "Forbes," "Inc.," and the "Wall Street journal" have already begun leading the way.

4. Corporations are embracing the MLM model.
Unbeknownst to many people, the MLM concept has been penetrating many conventional corporations, including MCI, Colgate Palmolive, and Coca-Cola. In 1998, the well-publicized merger betwee
Citicorp and Travelers Group (which formed Citigroup, the world's largest financial services company) involved an MLM subsidiary called Primerica. It acted as a distribution mechanism for several Travelers Group companies. As a result, Wall Street analysts have begun studying MLMs more closely. In fact, 20 MLMs are now traded publicly on NASDAQ and the New York Stock Exchange.

5. Business degrees are no longer assumed to lead to success.
In the late 1990s, more stories were publicized about college dropouts building mega empires than about individuals who succeeded thanks to an Ivy league degree. Like Internet mastery, success in an MLM will come to the ones who are discontent with the status quo and those who want to escape economic bondage. Resumes and credentials will mean little or nothing, while past experience will not be as prominent in an individual's success as how willing s/he is to learn and adapt what s/he knows to the MLM model. I know first-hand that this is true: I am a successful distributor with a downline in the tens of thousands, and an annual income in the high six figures.

6. Financial "hype" no longer outdelivers performance.
Previously, MLM income numbers were sco
ed as misleading because figures represented gross income. Expenses such as phone bills, computers, travel, and, quite often, office overhead, were not factored into the quoted figure. The recent explosion and improved credibility of homebased businesses have changed all this in several ways: 1) Consumers now accept homebased businesses as legitimate; 2) Office technology pricetags have dramatically dropped; and 3) MLM operations tend to function best when operated from the home because a potential downline prospect can better repeat that same situation as opposed to an expensive office suite.

7. MLM products and services are contributing to improved health and lifestyles worldwide.
More than ever before, MLMs have contributed to improved health and hygiene, as well as overall lifestyle, thanks to a gamut of offerings, from vitamin supplements to prepaid legal services. Building a business becomes easier when participants have a product they believe in. I had tried several MLMs, but none of them worked for me because I didn't believe in the merchandise. When I discovered the product I sell now and saw how many people it helped, I knew I had found a winning product to believe in.

8. MLMs offer a lifestyle freedom.
Parents are trying to reclaim their family lives, which leads to opportunities to work independently from home, which directly points to the lifestyle MLMs offer. From the moment an individual makes the decision to join an MLM , s/he is free to make choices in every aspect of the business: company, products, co-workers, location, etc.

9. More available information means fewer people will become victims of unstable MLMs.
Sure, there are unscrupulous MLMs, just as there are corrupt companies in any business. Some MLMs' plans are set up for failure, and many people spend enormous amounts of time and energy building downlines, only to have a company go under. Fortunately, the increased press coverage described earlier is changing all that, as more information becomes available on the pros and cons of each MLM. Meanwhile, I encourage participants to select a company based on solid research and experience with the product, rather than on emotion.

10. Hard work is the basis for success.
Rewards stemming from hard work are the longest lasting. The same is true with MLMs--they are not get-rich-quick schemes. Although it's true that multilevel marketing is potentially more lucrative than other professions, it does require hard work, perseverance, and two or three years of commitment. Attrition is high in this field, but for those who stay, perseverance seems to be synonymous with wealth. In my experience, almost everyone who has worked diligently in an MLM has eventually achieved success. nnn