Minimizing Attrition in Your Network Marketing Organization

| Posted: 28-04-2008 | Comments: 0 | Views: 8 | Rating: (53)

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Whether you are new to network marketing or have been in the industry for 25 years, you know that the key to success in any MLM endeavor is linked to the power of exponential growth. Every Network Marketing recruiting video shows an example of this…

“All you have to do is recruit 3 consultants, who in turn recruit 3 consultants, who recruit 3 consultants, and so on. Before you know it you have an organization of thousands!”

In theory, this seems simple enough; I mean how hard is it find 3 people to get excited about the possibility of complete financial freedom and independence? The truth is, it really is not that hard to find those three people. The difficulty comes in finding three people who will work as hard as you do to find three people and so on. Inevitably, what happens is you find three people, who join, and only one of them finds three people and only one of those finds three people, and all of a sudden your exponential growth becomes linear. Don’t get me wrong you will make money if this happens, but it will take you a long, long, LONG time to become independently wealthy.

So how do you prevent people from joining your team and then dropping out? The reality is that no matter what you do, not everyone who joins your down line will stick with it. In fact, in most network marketing organizations, the majority of consultants, some will tell you as high as 97%, won’t make enough money to recoup their initial investment. What this means, is that if you need to find 3 successful consultants, you may have to recruit as many as 100!

Boy if your sponsor had told you that you never would have gotten into this business, right?

Never fear, there are ways to minimize your attrition rates, and I am going to share a few of them with you here.

First let me say that no matter what you do or how great your company and product are, it will not work out for everyone. Many people are blinded by the massive dollar signs that are flashed in front of them on all recruiting videos. Once they find out that they actually have to put in some time effort, and yes even money, they quickly write it off as a scam and go back to their J.O.B. By following the advice in this article, you will be able to cut down on the number of dropouts, minimize your attrition and maximize your profits.

The key to minimizing attrition can be summed up in two words: realistic expectations.
Unfortunately, the marketing teams in most NM organizations are the major culprits in setting unrealistic expectations. This is not done intentionally, but it is done none the less. The recruiting videos we all were mesmerized by are designed to show you what the income is in a perfect world, which none of us live in. So let’s examine the theory vs. the realty of these videos.

The theory is that all you have do is recruit 3, who recruit 3, who recruit 3, etc, etc. As discussed before, you will have to recruit more than 3 to keep this pattern going. Although I don’t think you have to recruit 100, you will have to recruit at least 6 and as many as 9 to get 3 that will do the same. There is also a flaw in this theory in that in every NM organization, the real money is made as you advance from one level to the next, say marketing consultant to regional consultant to executive consultant. The higher you go, the more money you will make. There are very few organizations where you would only have to personally recruit 3 people to advance to the highest level. So figure out how many personal recruits you need to attain that level and set your goals accordingly.

Now let’s talk about the reason we all got into this industry in the first place: THE MONEY. Once again, the recruiting video will show you how easy it is to make $30,000, $40,000, $50,000 per month or more as you build your organization. When they say this, they are telling you the 100% truth. What they don’t tell you is how long it will take you to get to this level. So often times what happens is someone gets in all excited and when they don’t get a check for a couple months, they begin to get discouraged. And if they don’t give up at that time, when they receive their first check and discover that they are putting in all this work only to make a few measly dollars, they quit. What they fail to realize is that just like your organization grows exponentially, so does your income.

As an example, in one of the companies I represent, if you were to recruit three new consultants and sell the service we provide to 3 people and each of your recruits does the same and so on and so forth this is what your monthly income would look like:

Month 1 - $0
Month 2 - $102
Month 3 - $405
Month 4 - $1950
Month 5 - $11,633
Month 6 - $51,158

I show this to all my recruits and explain that this is in a perfect world which does not exist. But what it shows is that once you build your organization deep enough, the money will follow. And even if it takes you 2 years to build an organization like this, is it worth 2 years of work to make over $600,000 per year?

The point is making sure they know it will take time to grow their business, but once it begins to grow it will grow rapidly and so will their income.

If you would like to learn more about me or how an online marketing system can benefit your business, check out my resources below.

Over $225,000 added to your bottom line and 4,120 people added to your down line in just 14 months is nothing to sneeze at. Yet, this 25-yr old "unknown" rookie network marketer claims he can show any knuckle-head how to repeat these results. And thousands already agree. And if you don't agree that his SYSTEM is the quickest and laziest way to build your network marketing business, then you get double your money back. Is this guy stupid or just plain brave?

ElectricMLM.net My online marketing system
MLM The Easy Way My training blog

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About the Author:

Troy Anderson is an accomplished salesman and network marketer with over 15 years experience. He currently resides in Omaha, NE with his wife and four adopted children and his grandson.

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Minimizing Attrition in Your Network Marketing Organization

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