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[Rana Burr Company: Team National/National Companies Contribution Level: 2]

Hello Everyone,

I had previously turned my nose up at gifting programs because they didn't seem to be above board. But now, a friend of mine in Oregon has made $7000 per week for the last two weeks. Now, I am always looking for monetization options for www.smart-money-management.com, so I was intrigued. But before I got involved, I wanted to put it out to everyone on the forums to get your take on this type of program.

Thank you!

Rana Burr

[John Leonard Company: Agel Enterprises, LLC Contribution Level: 2]

As long as there are people who are looking for "something for nothing"..

There will be "gifting programs"

Unfortunately..

It is the good, honest, and hard working people who are diligently and professionally promoting the legitimate network marketing industry who ultimately end up with the "black eye" from these programs.

"just my two cents"

john

[Rana Burr Company: Team National/National Companies Contribution Level: 2]

Thank you John! I guess that is one way of looking at it. Perhaps I was right to steer clear of them whenever it was that I first heard about them. They can't be legal, can they?

[John Leonard Company: Agel Enterprises, LLC Contribution Level: 2]

$7000 a week certainly does look good Rana..

especially if you're struggling to get by, keep food on the table, or make ends meet..

I think it is that "emotion" - the one of desperation (and sometimes greed) that gifting programs gravitate towards..

I value my "reputation" more than money..

So I stay away from the "snake oil salesman, here today gone tommorrow, get rich quick on auto-pliot programs..

I have yet to meet a "Long Term Leader" in this industry who made it with a gifting program...

guess that tells me something

John

[Joanne Ott Contribution Level: 2]

Gifting programs are the hot thing on the internet these days, as doublers and cyclers were a couple of years ago.

There are a lot of videos on YouTube of people opening envelopes from Purolator, etc, with hundreds of dollars stuffed inside magazines and so on.

Despite their visibility I dont believe they are legal, because there is no product involved. Its simply giving away money.

Even proof that someone got paid does not prove something is legal.

In addition, where is the residual? Even if they are legal without residual you have to keep recruiting forever, and cant count on the duplication of others you bring into the program. Residual income is one of the most attractive features of network marketing.

Gifting programs really do fit my definition of "pyramid" in which the first ones in make money, and most who participate dont. I wouldnt want to be part of something in which I knew most people would lose money.



Joanne

Post edited by: itsjoanne, at: 2008/07/26 23:41

[Tommy J Contribution Level: 1]

The only gifting programs that you can count on to bring a smile to yours, and everyone you loves face is the kind you do at a child’s birthday program : )

If you are looking at any opportunity, not just gifting, you need to do the math. All businesses break down to a math thing. I’m not just on a rant here (well, OK yes I am, but I’m semi-justified. I have designed a comp plans and helped launch a company) but it always shocks me when I see people show up for a business meeting without a calculator.

Only in America do we proclaim “I’ve never really been good at math” as if it is either somehow acceptable, or even cool (making us non-nurds). Any business needs to move a good or a service for a specified value. The only sustainable businesses anywhere on the planet are those businesses that consistently exchange value (goods or service) for value (some form of compensation, like money).

What gifting, and other MLM scams portend, is that there is inherent value in recruitment. This is one of core lies of MLM. Think used car salesmen. Imagine if you will that when you went down to your local car lot to pick up a set of wheels if the sales person was more concerned with “recruiting” you to be a used car salesperson than in selling you a car. Sure the program sounds great; you become a sales rep, get your car wholesale and for a small fee get the “opportunity” to sell cars to your friends and family.

To be successful you only need sell/recruit one car a month, etc… you know the drill. How long would it take in your town or city until the market was saturated with used car sales people. I mean, how many used car salespeople can your area support (and do you like the ones you already have)? The only real MLMs (like the only real businesses) have to deliver real value, to real customers (not just people playing the gifting/MLM game) and they have to accept real world factors like market saturation and market share. Ever wonder why the people who get in at the beginning or one of these MLM companies are the ones who make the most money? Do the math.

The math or the recruitment as value model of business breaks down very quickly. Before you know it you need the populations of whole states to get in on your 5th level (or whatever) to get the people on your 2nd level paid and so on. If you are looking to make a quick buck in MLM there are always 100 people willing to line up to take a $1,000 from you as they tell you what you want to hear. If you are wanting to make an honest living in MLM there are things you are going to need to learn. Not only about MLM, but about business in general.

There is no free lunch BUT pot lucks are always free.

What I mean by this is that everyone eats for free at a pot luck. If you think about the last pot luck you went to you will most likely remember that, as always, there was way too much food. Everyone got more than their fill. Why? Because everyone brought something to the pot luck (something of value). Look for MLMs or programs where you can not only get your full share, but where your value contributes to the value for all, not just the few at the top. If you have to get more people to bring some nasty potato salad to the feast BEFORE you get to eat you don’t want to go to that party.

I have been in this industry for 17 years, I do millions of dollars of business a year, and I have well over 30k group members spread over several companies. I only work “something for something” deals, never “something for nothing.” I’m so glad you are on this forum asking your questions. If mope people reached out for support like you have BEFORE jumping into the latest and greatest “opportunity of a lifetime” there would be far fewer horror stories in MLM. Hope this info helps.

Tommy J
http://www.tommyj.com

[Rana Burr Company: Team National/National Companies Contribution Level: 2]

Thank you John, Joanne, and Tommy for your insights. It sounds like there is pretty much a consensus among all of you. After hearing your responses and since I already have plenty of monetization strategies working for me, including my primary company, I am going to pass on my friend's offer. I am very impressed by the level of caring that each of your possess. Thanks again for your help :)

Rana Burr

Live Well. Spend Less.

www.smart-money-management.com

[Robert Coaster Contribution Level: 1]

Found this article about "Gifting" at the FTC.gov website:

http://www.ftc.gov/bcp/conline/pubs/alerts/giftalrt.shtm

[Wendy Tony Lynch Contribution Level: 1]

Hi,
that sounds very interseting, never heard of it before, but we will look into it,
Thanks for that.

check out our link in our signature, it's amazing too.
Please if you can, let us know what you think...........
Thanks

[Forest Marie Contribution Level: 4]

If you put lipstick on a pig, it's still a pig.

That's all I have to say on the matter.