When new distributors join a company, they are often confused about where to place the most effort - retailing or business building.
This comparison may help you decide.
Let’s say you represent the Bongo Juice Company, and each bottle of Bongo Juice retails for $25. BJC pays you a decent 40% commission, or $10 per bottle.
Let’s say your income goal is $10,000 per month. That means you will have to retail 1000 bottles per month, or about 30 per day, or 250 cases of 4 bottles, or about 8 cases per day.
Whew! This is starting to sound like a sales job!
Now let’s say that BJC pays you a reasonable commission for your downline sales of about 28% and let’s assume that each active team member is buying 4 bottles per month for $100 and you are earning $28 per distributor.
Let’s see how you are going to earn $10,000 per month this way.
10,000 divided by $28 = 357, which means you will need about 357 people in your business.
Now how do you find 357 people?
Let’s start with 3. You find three people and train them to find three people who will find three people … and you know the rest …
3 + 9 +27 + 81 + 243 = 357, and 357 x $28 = $9996, or about $10,000 per month!
At a modest rate of growth (3), you will reach your goal in five levels of your MLM business.
Now which do you think will be easier? Selling 1000 bottles of Bongo Juice every month all by yourself, or finding three people who will buy or sell just 4 bottles per month and find three other people to do the same?
We’ve heard Richard Brooke (Mach II With Your Hair On Fire) say that your personal contribution to your whole check is pretty small when compared to the contribution from your team.
We’ve heard Art Jonak (MLM Players) say that network marketing is not about a few people doing a lot, but about a lot of people doing a little.
We’ve heard Randy Hedge say that that it’s better to find chickens than gather eggs!
Our advice is to strive for a sensible balance between retailing and recruiting. A few hundred dollars a month from your personal sales will be great, but the real money will come when you work on developing a large sales team and a deep downline
MLM Manager Pro Marketing Team
I live and work in Huntsville, Alabama. I have had the pleasure thru out my career to live in many areas of the US, where I met many great friends and business associates.
In short: "30 years in Network Marketing, Franchise, Advertising & Marketing", I have also worked as a consultant and strategist for such companies as ACS, Sonic Automotive, RENS Real Estate, KEMD Inc. I founded the MLM Manager Pro Marketing Team in 2005.
The MLM Manager Pro Marketing Team was created to help you avoid all of the mistakes we made during our first years of building our Internet Marketing Businesses.
We are experts in MLM Recruiting organizing many large internet sales and marketing teams that produce millions of dollars in sales revenue annually.
The MLM Manager Pro Marketing Team has created a Marketing System where people can work together as a team with proven leaders who are successful and who are willing to educate and develop entrepreneurs who want the most out of life.
We are the best at what we do, and we will help you reach Financial Freedom!.
I have built large organizations worldwide with teams that number in the thousands, involved with sales and marketing since I was 20, The last 10 years promoting international network marketing companies with consistent growth year after year,
But first of all I have always been a NETWORKER that have done my best to help "average Joe" to achieve the success he or she deserves.
Saturday, December 26, 2009
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