Tag: business

I can definitely give more than 10 reasons, but these are the best ones. “Didn’t you say you were in a few MLMS in the past?” Yes I was, and was expeditiously educated as to why I shouldn’t be in one. Don’t leave yet, I’ll explain.

What is an MLM?

Answer: Multi Level Marekting. It’s a sales strategy companies use to sell stuff. To give you a better picture, many MLMS prove to be a pyramid scheme, their close cousin. In MLMS, you normally purchase what the company is selling through a rep, ambassador, or agent. The difference is, that in direct sales ONE person receives sales commission, and in an MLM the person who sold you, and many people above them receive commissions. Most MLMS say they are sales focused, but anyone in their right mind can see they are recruitment focused. The more sales reps they recruit, the more sales they make.

Why The Old Crank Should Not Be In An MLM

I’m the old crank. Plain and simple, because I won’t lie my ass off to make sales, and I will not over-hype some over-priced product. Moving on….

Here’s the list, take it or leave it, but don’t say I never warned you:

• Overpriced products. If you don’t believe you can get the same elsewhere, do better research. All that extra $$$ has to pay a ton of commissions and the company itself. I have actually seen a company selling a product for close to $5000 that can be had for $350 elsewhere. Any type of products or services, especially from an MLM always have a better or cheaper option.
• Over-hyped products. People will literally do or say anything for a sale in these things, including making false health, financial, and service based claims. I saw it first hand and still do all the time. Some will claim a proprietary blend, some will say exclusive, the list goes on and on and on. All hype and marketing. The reps are no better, all they are is a repeater box for what they heard on the training call, further spreading the lies that they themselves did not research.
• Better alternatives. Yes, you can not only find a cheaper alternative, but a better one to boot. Do better research.
• Lies. Did I mention the lies? MLM companies don’t often directly make false statements about their products and services, they get the reps to do it for them. Please, please do research yourself, and get info from sources independent of whatever it is you’re looking at.
• Most are glorified pyramid schemes. If the company isn’t toeing a line, they’re operating in a grey area that will soon be on the wrong side. Google is your friend.
• Many are overseas. Countries outside the US have less strict laws about this stuff. And a lot of the MLMS in the US fly under the radar until they get caught. Do you really think any of these companies care about anything other than profit? Kind of sounds like big pharma……
• Compliance. With a “make as much money under the radar until we get busted and then vanish” mentality, more often than not reps are given less than compliant info to use to promote. Then, the trusting(or uncaring) rep uses said non compliant material, and the burden is on them since they’re independent. This independent rep will bear the burden when he/she gets busted. Seen it happen. Just look at all of the names attached to MLM lawsuits, they’re MASSIVE. If it sounds too good to be true….you know the rest.
• Low to zero profit. Face it, unless you’re a pro MLM’er or a serious hustler, you most likely will not even make back what you spent on your initial purchase. The data is there, this is fact.
• Reputation. I’ll wager that 50% of MLM reps are good people, 50% are scumbags. Research any MLM company and you’ll see the scumbags at the top of the search results in lawsuits, getting shut down, making false claims and promises, and just being their own, lying selves. I’m sure those negative top results are exactly what a prospective customer wants to see.
• Time. Being in an MLM takes too much time. From the calls to prospects, training calls, zooms, etc, it all adds up.

What do you think?

Do you think I’m being too harsh? I have dabbled in selling 3 MLM companies. Did I make money? No, because I’m too honest for that and I had a real job. I didn’t stop after the first because there were some good products, and I really wanted to help people. I was also younger and not quite as educated. I have also, over the years, purchased scores of MLM products just to try them. Were there some good products? Absolutely, but I definitely could have found better options for cheaper. Were there bad products? Absolutely.

But my final point: Did any of these products from MLMS ever live up to the hype? Not even close.

-The Old Crank