Network Marketing… What do you think of when you hear the term? Are you even familiar with the term at all?

Maybe you know someone who’s done network marketing, it seems almost everyone knows someone who’s done Amway at some point in their lives. Or maybe you have a female in your family who’s done Avon or Mary Kay?

What about NuSkin or Pre Paid Legal? Monavie or Tahitian Noni? Maybe it was ACN or Your Travel Biz (YTB), if you don’t know by now all of these are well known companies in the network marketing industry. In this article we’re going to discuss why network marketing is absolutely better than a typical 9 to 5 and why you should seriously take an educated look at network marketing and what it can do for you.

Before we get into why network marketing is better than a job, let’s first talk about what it is and what it is not…

A Little Bit About Network Marketing

Many people say that network marketing has been around for over 50 years. While I am unaware of the truth behind that statement, I do know that it’s roots can be traced back to the 1800’s. In the 1800’s there was a rapid increase in the amount of salespeople in the United States.

Here’s an example of the growth in the amount of salespeople that took place in a 42 year span starting in 1861:

1861: 1000
1869: 50,000
1885: 100,000
1903: 300,000

A Couple Salespeople Who Helped Pave The Way…

Okay so in the 1860’s there were folks who were known as traveling salesmen. These people were known as canvassers or peddlers, many of them would go door to door selling their products.

Henry Heinz is one of the peddlers who went out and built an organization of 400 salespeople to sell various vegetable products like ketchup and pickles, to individuals who did not grow it themselves.

In 1886, another peddler named Asa Candler, purchased a formula for $2,300 called Coca Cola syrup. She sold this formula to multiple restaurants after she bought the rights to this formula from an  unknown pharmacist named John Pemberton.

The Sales Profession Takes A Little Twist…

Eventually certain companies decided that they would let their salespeople have their “own” businesses. Not only were they paid commissions on the sale of the products they promote, but now they were even paid for the sales of other promoters they introduce to the company.

The structure of network marketing is designed simply to create a marketing and sales force by compensating promoters of company products not only for sales that  they personally generate, but also for the sales of other promoters they introduce to the opportunity, creating a downline of distributors and a hierarchy of multiple levels of compensation in the form of a pyramid.

Let’s Talk About Pyramids…

Now there is a common misconception that in network marketing the people at the top make all the money. Now while being at the top honestly has it’s advantages, it is possible for someone just getting in to make more than the person at the top of the company. In network marketing the name of the game is results…

Your level of productivity and how focused you stay on getting results in your business will determine how much money you’ll make. One thing that I want to clear up very quickly is that in the image below you will notice that the owners and the CEO’s are at the top of the structure.

One of the main reasons that network marketing will always be better than a j.o.b (Just Over Broke) is because network marketing is the only industry where you can make a CEO income with a laborers education. Another thing that separates the two is the fact that in the corporate pyramid, nobody really wants to see you get ahead.

The corporate pyramid is all about paying you just enough to keep you there, not what you’re worth. Every time that you advance to a higher level in the corporate pyramid you become a threat to those that are above you. Trust me when I tell you that the middle management do NOT want to see you take their position under any circumstances.

We could go on and on with reasons why network marketing is better than the corporate pyramid but we’ll move on. Just remember this image next time you consider network marketing a pyramid scheme. You make money for someone above you in the corporate pyramid everyday….PERIOD.

You’re In Business For Yourself…. But Not By Yourself

Here is the most important aspect in the contrast between working a traditional job and being involved in network marketing. In network marketing your upline sponsor (the person who brought you into the business) has a vested interest in you. Now what I mean by a vested interest is this:

In network marketing, you make money by helping your organization make money. If you don’t make money I don’t make money. Therefore, if you and I are in business together my goal is to teach you EVERYTHING that I know. Your ultimate goal in networking is to train your organization to DUPLICATE what you do SUCCESSFULLY.

“FYI – Your organization will always do whatever it is that they see you doing. So your goal is to always be leading by example and passing down good habits throughout your team.”

The Corporate Oxymoron…

A big catch-22 when it comes to training the workforce in the traditional business environment is that after you have trained your subordinates, they now have the skills and the knowledge to move on and become your competition… If you work as a real estate broker you are paid a percentage of all the sales made by your real estate agents.

However a smart real estate agent is always planning on getting the required training necessary to become a broker, so they can branch off and make a percentage of those who work “under” them. In this scenario the original broker will not make a dime after his former agent realizes that there is a better way…

Stay tuned for part 2

 Network Marketing

    8 replies to "Network Marketing – Is It Really Better Than A J.O.B? (Pt.1)"

    • Mike

      Excellent post! I like using the pyramid example of corporate America as well. A funny response to that question is, someone says, “is that one of those pyramids?”, then you say, “you mean like the one your in with your company where the guy at the top makes all the money?”

      I think this response is pretty funny, and the looks on peoples faces is priceless.

      Mike

    • rhandellmitchell

      Thanks alot Mike that means alot. I work really hard to add useful content in each post. By the way I agree with you on the response you used to someone who asks you “is that one of those pyramids?” Of course sometimes people still act like they don’t get it, but I guess everyone isn’t supposed to get it or Network Marketing wouldn’t pay so well! If they don’t get it after that you know how it goes…SW, SW, SW…. NEXT!! Take Care and Be Blessed!

    • Kevin Bayona

      The business brokerages network will provide you with access to a big pool of individuals who have the details about companies for sale and buyers or investors searching for any organization venture. By producing great use in the info you have, you may be cutting a offer and make a handsome profit out from the transactions.

    • […] I was reading I read a story that I thought was very pertinent to network marketing and I thought that you all […]

    • rhandellmitchell

      just click the bookmark tab

    • Janne Marrie

      If at first you don’t succeed, find out if the loser gets anything.

    • Real Estate Keuka Lake

      It is clear that network marketing is nothing new; just a question as to when people in corporate America will see it.

    • rhandellmitchell

      Yes it is clear, it’s funny how so many people are so uninformed! I believe over the span of this decade that 100 million people will be actively building their own network marketing business in the United States.

Leave a Reply

Your email address will not be published.