Hey, Here's a Novel Idea: Downline People Placement!

Downline people placement creates a "MLM Welfare System."  Is this what you and your upline do?  Is rewarding non-productive people a good practice/system for motivation?  Is this good for the team?  Can this practice/system easily be duplicated?  Read this article and find out.

The other day I had a conversation with a business associate. The conversation came up that this person had people in their downline that were not selling products nor marketing their business. Yet these persons were "active" on record because they paid their monthly website hosting fees. Well, my business associate stated they would like to place at least six people under each of these "active" persons in their downline to show their appreciation for these persons paying their monthly website fees for their OWN business. Doing this would entitled these "active" persons to receive reimbursement by the company for their monthly website hosting fees. Perhaps, also in their so doing, these persons just might get motivated to produce and, at least, keep their active status.

Well, that conversation led me to recall some information I had just recently read in an ebook, "MLM Big Money," by Robert Blackman. Mr. Blackman said, "You create weakness in your organization when you do this--I know from personal experience that's creating your own 'MLM Welfare System'." What message does that convey? Does this create a duplicable system? Certainly not! As Mr. Blackman found out. He was actually creating a very un-duplicable one. Because the new "sponsors" often did not have the financial means or skills to acquire leads and close them. Mr. Blackman said he actually noticed that "sponsors" he had placed people under were dropping out anyway. Instead, he realized he had created a "JOB" for himself. The very thing he had started MLM to get away from. He also said that often the people placed were not always happy or resented being "placed" under someone they did not know. They, in turn, did not communicate with their "sponsor," but continually corresponded with him.

As stated by slightedge88 in a Rich Dad Forum, this is called "burning the house from the ground up" and it can be a good thing. He said placing people can be very beneficial. "For example lets say you have an active associate that isn't doing anything. If you place someone under them and they take off you can go back to the first associate and encourage them to meet the requirements to receive overrides. You can keep going down too. It's called tap rooting, keep going down a leg until you find a builder. Then go back to everyone above and tell them." In this case, wonderment sets in as to whether the working Reps are discouraged by a system that rewards the non-productive Reps that benefited from a people placement.

I relayed this story to my business associate and had dialogue with them about the pros and cons of people placement as I saw it. I think some things are easier said than done. Or our intentions are really true and honest. However, we should consider how everyone involved will be affected and what is the desired benefit for all. The good for the team. Let's work on new network marketing techniques and this incredible technology we have before us--the Internet. Teach your downline how to capitalize on this big Internet market shift--which is easily duplicated.

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