Part 3
After a hard days work at another job it doesn’t take long
to forget that you have a part-time multi-level program
going. That phone call or that meeting to show the plan
is too easy to put off until “tomorrow”. Yes; it takes a
certain kind of individual to follow through and they are
few and far between. You may make 200 calls and show the
program 100 times before you get even one member who will
take an active part in the program.
Most multi-level plans state that you can make thousands
of dollars by duplicating yourself a few times and your
down line doing the same. It never works that way. You
are fortunate if a small percent of your down line
produces much of anything unless you are able to spend a
great deal of time teaching and promoting their business
as well as your own.
How are you supposed to get prospects and member? Most of
the promotional materials suggest you solicit your
friends, neighbors and relatives, at least as a starter.
Many people are reluctant to “take advantage” of their
friends. Of course, if you have the best bargains
available “anywhere” you may be doing them a great favor.
Phone calls, word of mouth, direct mail pieces and
follow-up, and local classified ads are other methods used
to get members and sell the products.
Multi-level companies usually offer news letters,
catalogs, direct mail pieces, and Camera/Ready material
which members can have copied or printed locally. They
often have name lists available or advise members how to
compile their own lists.
A common problem in recruiting people is getting them to
“Look at the Plan”. If they have seen multi-level plans
before they won’t give anyone a chance to explain the
programs they think they already know all about it. Some
get around this by inserting an ad in the local paper,
asking interested parties to call about “a good
money-making plan”. They use a telephone answering
machine which advises the caller where and when to attend
an “Income Meeting”. The machine doesn’t give them a
chance to ask questions. If they are interested and not
just curiosity seekers they may show up for the seminar.
Multi-level selling by large party plan firms are often
successful because they keep their members productive
through a series of coaxing, weekly meetings, phone calls
and home visits. This stimulates activity and better
results are obtained. These elements are missing in
Multi-level mailorder programs. There is no motivation,
inspiration or force applied to down liners. The meetings
and personal contacts that represent strength are missing
when the business is conducted by mail. Therefore a good
many of the multi-level mailorder programs can’t work and
are basically worthless, especially on a 4 or 5 level down
line position.
A typical multi-level get rich scheme is where you are
offered a book selling plan for $5.00. You are assigned a
code number and mail out 500 brochures. When your name
reaches the fifth level you are supposed to have collected
something like $50,000 in commission for 100,000 books
which sold for a total of $500,000. This is based on only
10 orders received by you and 10 orders received by each
of your down liner’s who also mailed 500 brochures.
If only 10 people in the entire United States initially
worked this one plan with the same success you are
supposed to have, there would be 5,000 brochures out the
first level; 50,000 the second level; 500,000 the third
level; 5,000,000 the 4th level and 50 million in the 5th
level. That would amount to some $11,000,000 in postage
with brochures delivered to over one-half of the
90,000,000 mailorder buyers in the U.S.
This type of program will collapse under its own weight.
After one level there is usually a complete drop-out.
Most such plans get started because of exorbitant,
dishonest claims. Tell the truth in an ad on Multi-level
marketing and there are very few takers. Change the ad to
greatly exaggerated claims, such as “Earn $100,000 a year
working from the home part time” and the inquiries pour
in. The response on this kind of ad doesn’t mean that
anyone will make any money!
There are too many ways to make an honest living without
telling lies so keep your Multi-level plans level!
As mentioned previously unless the organization you are
dealing with offers top quality products at discount
prices it is very difficult to make a living with the
multi-level marketing concept. A person has to knock on a
great number of doors, or send out a massive amount of
literature through the mail in order to find qualified
people who are interested in pursuing this kind of
activity.
If multi-level programs worked as good as many of them
advertise the nation would be flooded with solicitations
thousands of times over for every plan on the books.
Being able to work a multi-level plan on a part time basis
at your leisure, with no pressure from the company as to
how much of the product you purchase or the amount of
business you must bring in each month, is one of the
attractions of this kind of activity but results are
usually negative. It’s to easy to forget about the
business, sit back in your easy chair, and watch TV.
Multi-Level Marketing
Just what are all those thousands of programs and
solicitations spreading a swath across the
country…called “Multi-Level Marketing”? Well a good
portion of them are nothing but chain or pyramid schemes,
some completely illegal.
A true Multi-Level plan is one in which there is an
agreement between yourself and a manufacturer or
distributor to purchase products at wholesale and sell
them at retail, also with the right to sponsor others
(your down line) thus multiplying your sales base and
profits by receiving a percent of the sales made through
your downline. Persons you sponsor show others the
program and sign them up as members under themselves. In
effect you are multiplying your efforts by selling the
product through a network of distributors. The downline
is usually set us at three to five levels deep although it
seldom gets that far, especially if it is a multi-level
program being circulated through the mail.
A small initial investment is all that is usually required
to become a distributor. You should have a flexible
schedule but little experience is necessary. For you and
your distributors to have any kind of success, you must
handle high quality items which can be sold at
substantially below retail store prices.
Distributors are charged for the program packet which
includes instructions, literature, samples, etc. To be
legal, the investment must be only a nominal amount. Sale
or consumption of the product must be the prime objective
and no fees should be collected for recruiting endeavors.

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