True Leverage vs. Implied Leverage
Read More: If you are like me (and the thousands of other individuals in the network marketing industry) and have struggled I feel your pain. But my struggles stem from inherantly being a little lazy. All of us are in some sense or we wouldn't be part of an opportunity.
Here is where my troubles have been in the past. I have been a part of a few different companies (like many of you out there) and the problem is that it has take me some time to learn the difference between true leverage of your time and money vs. implied leverage of your time and money.
The difference:
True Leverage - You can someone up with a service that someone is already using and already gladly pays their bills month in and month out without them ever having to come back to you to purchase again
Implied Leverage - You have a product or service that you continually have to go back and ask people to re-order on an on-going basis, and the leverage comes in where you can expand with other distributors to 'lighten the load' on how much product you personally have to sell each month. However, you still have to go back and constantly sell your products.
Difference: Time, frustration, money
Time - If you have to constantly worry each month or every couple of months on who you are going to get your sales from each month to meet your minimum requirements why don't you just go get a sales job. If you are like me look for an opportunity that allows you help someone with a service they are already using - however it allows you to make true residuals month-to-month without actually asking that customer to purchase again.
Frustration - when it comes down to it people really do not care where they get their products from unless they are a wellness freak or they really-really love you. Other than that you could have the magic pill from Thailand that will stop cancer and people will still be going through chemo and cancer treatment.
Money - when you don't have to go back to the same customers over and over again to ask them if they are going to purchase you can spend more time on aquiring new customers. This is where the law of exponensial expansion really kicks into high gear when not only you are doing this - but your team is as well.
I hope you enjoyed and this gives you a little insight of where you will make your next move. YourTrueLeverage for more information.
Cheers!
Views: 1,476 | 
Comments: 6 
About the Author: michael norman
Member Since: 05/06/2009
Company: Mandura
Industry: Business Opportunities
Primary Web Site: http://www.manduraprosperity.com/
Thanks Michael!
Heres another angle to consider, products aside, you leverage your down line by providing them with a system that teaches them how to succeed in building a home based business.
A true networker will work with the proven duplicatable system, and it teaches them what the products are good for, and how to order them. The end of the month order calls are no longer necessary.
The issue to consider too is how can I leverage my time to work with the best pay plan, so I will achieve my income goals with the least amount of effort. Products are not the only thing to consider!
Products Aside
I definitely agree Paul. Choosing the best pay plan, and (more importantly) having a system that truly allows you to duplicate and teach newbies to your business is key.
With anything you will have to provide a little bit of effort, but as little as possible for the max amount of profit is where I am heading.
I was speaking more towards the people that are in the consumable product industry (where I spent 5 years of my mlm career). It is a combination of everything put together is where your choice lies. You can have a great product - but that does not mean you are going to sell it.
What I was leading to in true leverage vs. implied is that you do have to choose the right system to be able to profit from one person over and over again without having to convince them they need your product again and again.
And you have to figure your target audience too. Many people on BN (for their primary opp.) sell higher ticket items for a high profit - but usually that is a one time profit and then you have to go find another person to sell to. The majority of people you come across (and even ones that are self proclaiming) will not ask someone to their face to spend a lot of money - why because they do not have that kind of money personally in their bank account.
Just like MD says - you start with a smaller item to get someone in and to trust you and make them feel comfortable. That way the next time you go back to them with another service in my case they will listen to what you have to say.
Thank Michael
Hey Michael, I agree that doing something one time is better and that does work in a lot cases. I believe today the pay plan has a great deal on how folks view a business. Our gut feeling and past experience shows that people don't care how much you know or can tell them. They are looking more for the hands on help me step by step until I can fly. Faith without works is dead and works without Faith is just as dead. So we as social creatures must connect for a common cause to help each other meet our collective goals. Good article keep up the good work.
True Leverage
Michael,
I agree with your thinking regarding true vs implied. I also am in the same opportunity and can attest to what you are saying only too well having been in a product based opportunity in the mid 90's. I guess for me going forward, I can see the future for networkers is on the net and the whole idea of attraction marketing is brilliant. I am believing that finally I am about to crack the code.
Cheers,
Peter Grimes http://marketing-to-success.com
Cool Michael..very cool.
Good message here. I wholeheartedly agree the future of Network Marketing is on the internet! No worries I won't spam here. But, I will end with an article to illustrate my point. The wave of MLM is simply put the internet.
http://www.free-press-release.com/news/200906/1243990912.html
If you would like to know more, just ask. :)
Yes Michael
I to recommend repeat orders, you don't want to spend time informing the public for one off sales and chasing re orders.
It's crucial to have a tier one company especially when you begin.
You don't want to be learning to fly a kite that only the masters can manage.
Start with something that works for the masses with low entry costs.
Then look for a growth industry, wellness is ideal.
Next find a breakthrough product that is backed by
Science and has the premier research team that is lead by Phd's.
You are doing well is you can find all that, now the only other major ingredient would be the
top 3 infomercial marketing minds with financial backing and experience to spare.
Good luck to those who try a mediocre company.
Did I forget to mention my team is already in 3 continents.