Just recently I happened to read an article by Kevin Wilke from MLM Success Tips Training Center. He’s telling his experience on moving from small town Iowa to big city Texas as “great first hand experience of Network Marketing at work”. This is his experience in his own words:
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Day1 - I arrive in Oklahoma City to spend the night. I will be leaving the next day for the final 4-hour drive to Dallas. Before hand I arranged to meet with a member of my downline who I have never met before. We chatted, I received a whirlwind tour of the local area, and she introduced me to a fast food type restaurant called Braum’s. I have never heard of them before, but they had some great Cherry LimeAids!
Day2 - I arrive at my apartment in Arlington, TX, move in and am starving for something to eat. I drive down the only major street I know how to get to. I was on the prowl for a quick meal to get on the go so I could get back to moving in. Guess what I found? A Braum’s restaurant. I stop and I get my lunch. Several weeks later, I realized I drove past numerous other fast food places that I never heard of before and never knew it. However, based on my friend’s recommendation, I stopped at Braum’s.
Day3 - After moving in, my new boss began to recommend the following to me because he knew I would need them - bank, grocery store, shopping center, restaurants, long distance service, accountant (tax time), golf courses (I love to golf), and other basic necessities. I then proceeded to go to the bank, grocery store and shopping center. I have since become a faithful customer at all of these locations (and even more) based on those simple recommendations.
Week3 - The third week two of my friends come down to the same area to work. Much like me, they knew nobody or anything of the area. I promptly recommended to them the exact same places I was recommended to shop at, bank with, get their car fixed, receive a good haircut, etc…
They too have become long-term customers with the exact same places I recommended (and were recommended to me.)
What is amazing is the amount of free advertising these businesses are receiving and the sales it is generating for them. I asked my boss if he received a check in the mail from Tom Thumb (a grocery store he recommended). He looked at me with the normal puzzled look people have to this question and said, “What are you talking about?”
I replied, “Well, I have spent hundreds of dollars at Tom Thumb (not to mention my bank account at Bank of America, numerous restaurants, my monthly haircut, etc…) and I figured they would want to compensate you for referring me to them. Plus, I told my two friends and they spend a lot of money at those places too. You started it all so I figured they would want to reward you with a commission from all of our sales.”
Of course, he thought the idea was not possible. But with the distribution system called Network Marketing it happens everyday. By taking out all of the middle men (such as national wholesalers, regional wholesalers, local distributors, retailers and the huge amount of advertising) the manufacturers can pay us for doing what we do naturally everyday; tell people about great products we use and like.
In my above situation, here is what would have happened in a Network Marketing distribution system…
My boss referred me to a grocery store called Tom Thumb. I go there every week and purchase my groceries. At the end of the month Tom Thumb would have looked to see how much I bought and sent a percentage of those sales to my boss as a way of compensating him for telling me to shop there. With the check would be a nice “Thank you” letter with a big smiley face stamped on it.
I told my friends to shop at Tom Thumb so in return I would receive a commission check each month from them as well. But, in addition, my boss would have received a percentage of the sales from the people I referred to Tom Thumb. Why?
Simple, in Network Marketing you get paid for what you start, not on what you do right now. (That is how you can receive a lifelong stream of residual income).
Lets take this a little further and say my two friends both told three of their friends about Tom Thumb and how big the isles are, how much fresher their bread is and what a great value their groceries are in comparison to their current grocery store. By doing this my two friends refer six of their friends to Tom Thumb. Now not only are my friends receiving a commission, but so am I and my boss - just for what we started and doing what we normally do.
If this seems somewhat unbelievable to you, well times are changing. No longer can companies effectively cut the costs of making a product. However, the distribution of a product to the end consumer results in a 75% mark-up or more. This is where fortunes will be made in the next 10 years - cutting the cost of distribution through more effective business models. Even more, by applying this to leading trends in the market place today, fortunes will be made in the next 5 years for those of us that recognize and take advantage of this.
I encourage you to start getting paid for what you are already doing by becoming involved with a high-quality Network Marketing company. You owe it to yourself to find out the facts of the industry.
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Well, folks, Kevin’s experience is offline Network Marketing at work. But the same principles can be applied online.
Let’s say that his boss recommended him to join a program that provides him what he needs as an Online Network Marketer: An autoresponder and monthly fresh leads. After he joined and became his boss’ downline, he got good results from the program. He then recommended the programs to his friends who also need the products from that program. His friends joined under him and became his downlines. He got paid. So did his boss.
His friends then did the same thing to their friends. And they joined under them and became their downlines. So his friends got paid and so did he and his boss. The same story can go on and his boss as the one who started it would get paid from the efforts of all of his downlines in the levels allowed by the programs.
Moreover, there are many basic principles that we can learn and keep in mind from this story, such as:
1. Take the recommendations only from someone you trust, someone who has actually used what he recommends and got satisfactory results.
2. Take the recommendations for something or some programs that offer you products or services that you use regularly. If you have to pay for them monthly anyway, why not getting paid for recommending them to others?
3. Before you recommend something or some programs, try it yourself first. And recommend them only after you get satisfactory results.
4. Once you join a profitable Online Network Marketing program, recommend it first to those who trust you and you know that they need or at least will like the products or the services or the advantages offered by the program. They can be your friends, family or, if you publish a newsletter, your loyal subscribers.
The results you’ll get from putting these principles to work may surprise you. Greatly.
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Byline:
If you want to read more articles on Network Marketing, go to: http://blog.arigola.com. If you wan to join quality network marketing program go to: http://www.freedom.ws/arigola.
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