Thursday, May 3, 2012

Network Marketing, scary? hmmmmm lets see

Network Marketing, Multi-level Marketing, or direct selling. Everyone has heard of these terms. but what exactly are they and how do they differ from traditional corporate businesses? When most people hear of Network Marketing, they normally don't like it. don't want to have anything to do with it and start talking pyramid schemes..... Why do we react this way?

Lets look at the organizational structure of corporate America and then compare it to the organizational structure of a network marketing company (like Isagenix).

In corporate America, we under stand that there is a hierachical structure in place where the CEO is the top income earner and top decision-maker of the company.Underneath the CEO, you have Senior Vice Presidents, then vice Presidents, then Manager and so on until you reach the most entry level employee position within the organization. When we first enter the corporate structure, we come on board as an entry-level employee, typically work in a window-less cubicle, and are told to work hard to get noticed in hopes of getting a promotion to the next level.  We devote many long hours and years of our lives with the anticipation of being promoted to a corner office with increased pay.  Still, we work long hours and the process repeats as we strive to achieve another promotion, a bigger title and more pay.  Ultimately, we seek to become the CEO of the organization after we've devoted years to work our way up the corporate ladder.

When you look at a corporate structure, it creates a pyramid-like shape, identically the same as the network marketing structure.  Withing this structure, the CEO is able to gain freedom of time and money by leveraging the efforts of the managers and his many employees.  The employees, on the other hand have no leverage in this model and are trading their time for money ( also known as renting their income).  Equally importance is that the employees typically have very little to no ownership of business itself and do not share the same mentality as the owner(s) to go "above and beyond" in their job duties.

Many people are drawn to the corporate model because of their core values and how they were raised.  A person with an "employee" mentality like the security of having a regular paycheck and company provided benefits versus having to go out and earn a living based upon their own efforts.  In a nutshell, and employee accepts being told what they're worth, how much time they'll get off from work and is always at risk of being let go.

NOW, let's look at the structure of a network marketing company to see how it compares to that of corporate America.  Network marketing companies use people as independent business owners( or reps) to market their goods and services.  The goods and services offered by network marketing companies are not necessarily cheaper of more expensive then traditional business models, they are just marketed via the company's independent business owner to eliminate the expensive marketing costs.  In lieu of paying these expensive marketing costs, the network marketing company pays sales commissions or a percentage of the profits  back to the independent business owners for generating the sales.  If the products or services are consumed or ordered on a regular or on-going basis, the independent business owner has created a revenue stream for him or herself..:o)...

If a network marketing company is to be successful in selling lots of its goods or services, it will obviously need a large amount of independent business owners out promoting them.  This is where we come into the concept of a "down line" or levels below you.  You first pull from people you know, family, friends, co-workers, but as you become more successful this recruiting aspect is the genius part of network marketing that allows you as an independent business owner to duplicate themselves, similar to how a franchised business model is duplicated over and over.  By leveraging the efforts of other within your "down line", you are able to create an organization that is able to continue generating additional sales and expand itself without your direct efforts.  Once your organization is able to grow on its own, you will have essentially created a residual income stream for yourself(that you won) and you are no-longer trading TIME for MONEY. This is your goal, to make money while you are out doing the things you love to do, whether is be, gardening, hanging out with your family, hiking, exploring America etc....

Few people are drawn to network marketing because it does takes not being afraid to talk to people or failure every now and again, but in return you will achieve freedom of time and money. and in the end will have security of life because you are the CEO of your own company.

If you would like to talk to me and have questions how to get started with Isagenix and would like to  become an Isagenix Associate please go to my website www.dianakautzman.isagenix.com I only need 1/2 hour to explain how the system works and you'll be on your way to financial freedom.

1 comment:

  1. If a network marketing company is to be victorious in advertising lots of its goods or armed forces, it will clearly need a large quantity of sovereign commerce owner out promote themNetwork Marketing.

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