Within the MLM or Network Marketing business model, the company depends on YOU to find other distributors and customers to build your business. Then you’re paid a sales commission for your efforts from the company.
If you sponsor other distributors, you could be paid on the efforts of them as well, but it’s well-documented that most people fail within this type of business model because where there is no selling and no recruiting there is little or no money.
On the other hand, with the cooperative marketing business model, you can simply purchase (or earn) the lifetime profit-sharing rights to legitimate customers that the company acquires for you.
That means YOU own the rights to that customer’s lifetime purchasing value. Let me restate that simply: The customers are yours forever. That means whenever that customer makes a purchase, you’re compensated on that sale. And when that customer refers another customer, your sales efforts are compounded even further.
Can you appreciate the power of being able to start your business with real customers instead of having to go out and do all the selling and acquiring of customers yourself? Dwell on that for a bit…
And if you actually enjoy building a team and referring others, think about the ease and simplicity of being able to offer others a “reduced involvement residual income business” that they can literally start today and have customers tomorrow.
We know that most MLMs are DISTRIBUTOR-based and rely on “internal consumption” of the company’s products or services by these very same distributors for continued growth.
Within the MLM community, the dawning of the 21st century coincided with the strange phenomenon of distributors jumping from company to company when they didn’t get into profit fast enough. These occurrences have only intensified the past couple of years due to the economic recession. As a result, the dedicated and committed MLMers that remain have seen attrition take over their downlines like an aggressive cancer, leaving them only to watch helplessly as distributors quit in droves and, along with them, the monthly autoships that they once had that generated their commissions.
Take it from someone who’s been there: It’s painful indeed to watch all that hard work literally go down the drain!
When comparing the cooperative marketing business model to ANY other online (or offline) business model, you just might discover that its hype of being “The ‘NEW CHAMPION’ in the home-based business arena” might just be fact.
A cooperative marketing business is, first and foremost, based on satisfied customers buying product (not recruiting distributors). As a result it’s not uncommon to have an organization that’s over 90% CUSTOMERS meaning not more than 10% are in the business to make money.
On the flip-side, a typical MLM organization (aka “the downline”) consists of usually around 97% distributors looking to make an extra income from home and only about 3% who may be real consumers (defined here as customers that buy the products without the business opportunity attached to it). That’s a BIG difference, is it not?
Let me illustrate this further: In an MLM business, when a Distributor shares his/her business opportunity with ONE person and recruits that ONE person into his/her organization, they end up with… (Drum roll, please!) ONE new customer.
Not to mention the fact that promoting and marketing isn’t for everybody. Some people are good at it, the large majority is not!
And don’t even get me started on cold calling and phone prospecting! I don’t know of anything as demeaning than the idea of calling some complete stranger on the phone and reading from a script, or worse yet, vomiting information on them until they hang up in disgust.
However, in a cooperative marketing business, you have the option to share the business opportunity with ONE person (with a rejection-free approach), and when that person joins, he/she can have real customers in their (and your) business the very next day.
That means if you referred ten people that each purchased (or eventually earned) the profit-rights to 25 customers each, you’d now have a total of 260 customers in YOUR business (10 business affiliates/customers and 250 customers) instead of just having ten business affiliates/customers.
In direct opposition, with most (if not all) MLMs, you’re presented with the business model, and then you’re told to go out and “canvass the world” to get customers and distributors. I’ll let you decide which path offers you the easiest and most profitable journey.
That being said it’s imperative that you gather as much information as you can so that you can honestly evaluate the long term profitability of ANY legitimate home business opportunity. To do so there are many objective factors to consider so therefore to assist you in doing this I recommend you download the FREE report at: http://www.mlmmythbusters.net Skipping this could be a HUGE financial misstep because there’s no escaping this sobering fact: Over 97% of the people who join any home-based business fail. During this frustrating journey, the overwhelming majority of them spend much more than they ever make, so be sure to do everything you can to prevent becoming yet another statistic.
