How do I set myself apart from the MLM crowd? I tell the TRUTH! Truth #1: Network marketing is all about YOU! It is NOT about products, comp plans, selling, recruiting, etcetera ... it is is about YOU!
Do you know anyone who got started in a MLM business, got all excited & bouncy, & then suddenly stopped dead in their tracks with that "dear-in-the-headlights" look? Heck, that may even have been you when you got alone with your thoughts and suddenly realized, "Oh … I don't have any prospecting skills!" This is a network marketing challenge I call "starting gate paralysis. This is very common syndrome among new network marketers, & there's a very simple solution.
This syndrome usually prompts the new comer to frantically call her sponsor & ask, "How do I quickly strike up a conversation with a cold prospect?" To best answer this question let's look at it again to see what's really being asked.
Q.: - "How do I quickly strike up a conversation with a cold prospect?"
A.: - Well, how about, 'Hi'. Or, why not mention a common interest? I think you'll find this works well with most folks. So, starting a conversation really isn't the issue, is it? The real question is, "How do I make the transition from, 'Hi', to, 'Do you want to be a distributor'?" That transition is an "ice breaker".
There's loads of ice breakers, all designed to introduce your opportunity or product to your prospects."
Ex.: Find lots of negative people. Yes, in this case you want to be around negative people. Now when the complaints begin then say these exact words:
"Would you like to do something about it?', or, 'Have you ever considered doing something about it?'"
A "Yes" makes the transition you want that will open the door to the presentation side of the conversation. Now show them how your product or service can solve that problem. It really is just that simple.
A "No" automatically tells you that person is not a prospect. Drop it and part as friends.
Ice breakers are very simple prospecting skills that eliminate the fear of talking to cold prospects. Look for lots of negative people to introduce to your awesome product &, or opportunity. Whatever their complaint is, say, "Hi", or bring up a common interest, & break the ice by asking, "Would you like to do something about it?", or, "Have you ever considered doing something about it?" Then, you can spend your time with the warm prospects (those who say "Yes"), & you can keep your friends & friendly acquaintances who say "No" by leaving them alone.
In my previous post "How To Lead A Presentation: With The Product, Or The Opportunity? Part 1" we looked at the guidelines for presenting to a single prospect or a couple. We established that each prospect's current life situation determines whether you should start with the opportunity or the product.
Of course, just like each prospect, each scenario going into a presentation is different. That leads to the next question for the second part of this series.
Question: "What about a group presentation, would that make a difference?"
Answer: Absolutely! In this case it's preferable to lead with the product. Otherwise, the prospects will become confused. They'll be wondering what the product is and they won't understand the compensation plan. This addresses their 5 questions immediately:
1. What is the product? 2. What are you selling? 3. Will anyone buy it? 4. If I join, then will I have any customers? 5. Is it fairly priced?
Presentations are situation driven.
With a large group it's critical to build desire for the product right away. That way the prospects will be more open to the opportunity because now they perceive that product or service as valuable enough to want it.
That way they can see that everyone wants or needs it, and all they need to do is find others who want or need the product or service. This will build a foundation for your prospects to better understand the compensation plan.
Magical things will happen in your MLM business when common sense is your guide.
Have you ever bought leads before? Did you spend hundreds or even thousands of dollars, and countless hours setting up an auto-responder and learning scripts with endless scenarios designed to "lock them into your mlm business quickly"?
How'd that work for you?
No, don't tell me. Let me guess.
You spent more than you could afford because your sponsor told you that one such batch was just not enough. You had to go for the big numbers.
To justify this you were told those were "top quality leads", or "highly qualified opportunity seekers".
Then you spent hours on the phone, script in hand, only to find out 99% of them didn't have a clue what you were calling them for.
Worse yet, some knew exactly what you were calling for and had a script of their own to blast you with because 12 other people just like you had already called them that day.
Or maybe you used an auto-responder, plugged those thousands of leads into it and then waited for the flood of responses.
Yah, you got a flood of responses alright … mostly bad emails and irate "REMOVE ME" messages. Maybe you were even threatened with a spam charge or two.
Finally, in frustration you called your sponsor, or the lead company to see why this wasn't working only to be told, "You didn't buy enough leads", "You didn't call enough people", or "You didn't follow the script closely enough".
The bottom line is it was "all your fault".
Sound familiar?
Well, let me assure you it was not your fault. You were lied to. How does that make you feel?
You're not alone. I know 11 people just like you that went through the same thing.
Here's three facts you can count on about purchaed leads.
1. Buying leads is a sure fire path to failure in MLM. 2. No one but the lead company and the jackals they get to promote them makes moeny from MLM leads. 3. Very few people ever sponsor anyone using purchased leads, and they can't find anyone to duplicate what they do.
To survive in MLM you must generate your own leads, build a relationship with those people, and teach them to do the same.
Are you one of the 2% that likes selling? Keep dialing for dollars. Maybe you'll get lucky.
If you'd rather talk to people who want to talk to you, then you need a system that brings them to you and won't break your bank account.
The IRS lives to find money people leave on the table. You know it, I know it, the IRS knows it. Unfortunately, some folks in the network marketing industry claim deductions they think takes that money off the table.
As they say in the Hertz commercial, "Well … not exactly."
The problem here is this usually gets the IRS' attention and the home business owner gets a love letter inviting them to sit down and talk about those "disallowed deductions" over a nice hot cup of anxiety.
You need a top tax guy.
In MLM many people, who are in a home based business to make extra money, rely on their sponsor or a relative "who did it once" for tax deduction tips. The fact is their information rarely qualifies as professional tax law info.
For this reason it's critical for anyone in MLM to know how to present their tax information to the IRS in a way that is both legitimate and most advantageous to their home business income bottom line.
So, the smart entrepreneur looks to experts in the tax industry to fill that need. And, of course, I rely on just such a "tax guy" for my tax information needs.
In his May 16, 2008 issue of "Tax Tips You Can Bank On" Mr. Mueller shared his thoughts on the tax deductions that scream to the IRS, "I want to be audited!" Here they are:
The Top-6 "Audit-Attracting" Deductions
1. The IRS hates estimates: Even if a tax deduction actually does come out to an even $500, you might want to change it to $497. Even though $500 may BE precise, $497 LOOKS more precise.
2. Your "Business Use of the Home" deduction: This should include ONLY the portion of your home used regularly and EXCLUSIVELY for business. If you claim your bedroom, be prepared to prove that you don't sleep. If your Business Use Percentage (BUP) is greater than 10-20% you might want to attach an explanation, using IRS Form 8275, "Disclosure Statement."
3. Personal vehicle used 100% for business purposes: If it's true, claim it. But if you claim it because you have a sign on your car, that does NOT make it automatically 100% deductible. A "wrap" doesn't do it either.
4. Paying your 8-year-old $100 a week wages as a business employee: A minor CAN earn up to $5,450 tax-free, but the wages you pay must be "reasonable and appropriate," given their age and type of duties they are performing. (Also, be sure you are following all the steps listed in Chapter 6 of "It's How Much You KEEP, That Counts! Not how much you Make.")
5. Claiming a home-office for a W-2 job: This can work, BUT it has to be for the convenience of the employer (your boss), not the employee (you). To survive an audit, have a written,signed statement from your employer (on letterhead) stating that you are REQUIRED to have a home-office.
6. Auto-ship or ADP: If your company's product is nutritional, claiming that you must be a "product of the product" won't pass muster with an auditor. There are other ways to potentially deduct autoship, so don't use this "product of the product" one.
This is just as important as any mlm training you can offer.
In MLM it's important to know how to build a team, train them, and retain them … but unless you're a tax expert willing to give away your time and knowledge to that team, then you also need to give your team access to real professional tax help.
There are a few experts in MLM tax law, and you may want to look for them too, but here's a really good place to start.
If you've always dreamed of getting up-close and personal with an IRS auditor, then just ignor the above. Who knows, you might make a friend.
However, if you want to be sure you're IRS bullet proof, then you must make sure you know what you can and cannot deduct. Folks like Mr. Mueller can help you and your team with that.
In "Have I Got A Deal For You" I share my "field sobriety test" to help you see if the leaders of a network marketing company should be behind the wheel. Now here's another quick field test to see if the driver is foisting a can of Greed And Ego.
Where Is The Corporate Office, And What Does It Look Like?
Centralizing is a good thing in a reference book or a survival kit. How about in an MLM corporate facility?
Not so much.
Let's take a look at two hypothetical companies to illustrate this point.
Company "A" - The Bombastic Bozos
These folks are image freaks. They centralized their corporate facilities in the ritziest part of the business district in the heart of their city. Their palatial corporate offices house all the employee work stations. It's a short walk to their distribution center.
100 operators take product orders & field customer support issues. VIPs are flown in by luxury corporate jets with rock star treatment all the way.
Wow! What an impressive and perfect atmosphere for schmoozing with stock market investors. Guess who pays for all that image?
That's right Cinderella … you, the rep … through the pay plan. Your goals, and aspirations as an entrepreneur are barely even on the readar scope.
Company "B" - The Quiet Builders
Corporate offices belong in the business district. However, these folks chose to put their offices in a much smaller building with much lower rent.
To cut expenses even more the distribution center is in the warehouse district. Visitors are always welcome, but these guys aren't Hertz, everyone comes at their own expense.
Remember Bozo's 100 person call center? Well, for that personal touch, Company "B" has a small customer & rep support staff to handle phone orders and such. The bulk of business is automated via the internet.
And last, but not least, this is not a publicly traded company so there's no need to impress any "Fortune 500" nitwits who can't spell MLM.
Overhead and headaches are low and manageable, staff and reps can be paid better, and customers don't get the runaround they might with a big lumbering greed and ego machine.
As they say in the business world, "Location is everything". Some MLM company leaders think that means putting the profits into all that glitters … including a high-rent location and big everything.
A few companies look for every opportunity to reduce overhead so more profits can be put into the pay plan for the benefit of the reps.
These company leaders quietly prove through action, not hype, that they know without you there would be no network marketing company anyway.
A fully centralized MLM corporate facility reminiscent of Solomon's Temple, says that greed and ego sits in the seat of leadership … and your head could role next.
Writing a blog is a great way to drive targeted traffic to your MLM business. Perhaps you're thinking, "But I can't write a decent post card message, how do I come up with a blog topic? I understand. Maybe my grandpa can help.
When I was a young lad I use to spend my summers with my grand parents. Grandpa was a dirt farmer and cattleman, and grandma maintained the house when she wasn't running the local elementary school from her secretary's desk. Both were old school, "take charge" kinds of folk. No nonsense, just find out what needs to be done and do it.
Grandpa oversaw the field hands for Spreckels Sugar Growers. On one occasion grandpa was talking to one of these field hands out in the middle of a field avenue and paying me no mind at all. That was fine … until the time came for me to find a place to go pee.
I Was Paralyzed With Panic!
I was a city kid. I had always been taught that going pee in private was important. I wasn't sure why, but I was five so I took it on faith. So you can understand why I asked grandpa in quite a panicked tone, "Grandpa, I gotta pee! What do I do?"
What do you suppose my "get'er done" grandpa told me? That's right, he said, "Well pick a spot for cryin' out loud. You got the whole valley! Quit botherin' me about it!"
"Oh … OK."
Suddenly a whole new universe of freedom was mine to explore! I picked a spot, took care of the problem, and nothing else was said about it. I was no longer bound by all those silly city kid rules. Now I could solve that problem all on my own any time I needed to.
The following event illustrates how seriously I took grandpa's liberating. advice.
The next day my mom came to the house and she and grandma took me with them into town for a bit of shopping. When the time came for me to solve my little problem I didn't bother anyone about it. I just picked a spot and took care of it right then and there ...
... right on Main Street Woodland.
Later that day, after being chewed out, grandpa noted that he didn't say I should do that in town. I learned an important lesson that day. Your audience will let you know what they expect of you.
What's That Got To Do With Picking A Blog Topic?
There are two facts in MLM:
2. Network marketing is a relationship business 2. Leaders are readers.
Leaders in the home business industry write about what they know, what sets them apart from the crowd. They use their blog to build relationships and draw leaders to them.
Some of the best posts are in story form. You are the one expert on what you know. That is your story and it's just bursting to get out to the world.
Getting your story out will put you in front of the people you are looking for who can relate to you. It will also help them see you as the leader they're looking for. After all, those are the only people you want in your business anyway.
It doesn't need to be perfect. In fact, that would drive many people away. Remember, home business seekers are looking for someone like them. Besides, you are invisible without exposure to lots of these awesome people.
So write your story, or even make one up. Then ask yourself how it relates to an MLM business. When you have that and you can tell it's relevant then let it go … trust me, the rest will take care of itself.
Rodeo has a men’s event called steer roping. These guys are pros and they love the roar of the Sunday crowd cheering them on as they chase a steer into the dust. That works for them and that’s OK.
Now, put a city dude, in a three-piece suit, on that same horse. Then tell him to chase down and rope a steer for the fastest time of the day. That’ll amuse the crowd, but the city dude will be petrified.
In my early MLM business days I felt like that city dude.
No one had prepared me to ride this powerful, wild-eyed stallion called "MLM", let alone how to bulldog that other fearsome beast they call "a prospect". Both of these creatures scared me right down to my Patton leather shoes.
I just wasn’t cut out to be a MLM wrangler.
That’s how most folks feel when some cowboy recruiter shows them this exciting business. He puts them in the saddle with a load of hype, & then turns them lose with the words, “Get ‘er done!“
Roping and bulldogging frightened prospects isn't for you either? That's OK. Actually you're pretty normal. In fact, you don't have to be a cowboy to be a success in MLM. You can build a profitable business without bruises and saddle sores.
I live in a small rural community with the love of my life Charlotte.
I am passionate about our life together, being the best role model for our children & grandchildren, & treating everyone I meet with honor, dignity, & respect.
I have little patience for bullies, liars, quibblers, & cheets.
I live by the law of reciprocity. In other words, "OK, so I did the right thing ... but can I do more?
That's why I love MLM. I get to bring good things to good people & save them the hassle of dealing with the stinkin' thinkin' of the 9 to 5 world.
One of the most successful network marketers in the industry, my good friend & mentor Richard Dennis, says it best, "MLM is a personal development program with a compensation plan attached."
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