Multi-level Marketing in the 21st Century

Between 1976 and 1996 I got involved in multi-level marketing -- three times.  It turned out that I could sell. Recruiting was a problem.  At that time, the company I repeatedly joined was enamored with the“mystery approach.”  Over the years, I think they may have moved away from that method of recruiting.  No matter, many people around the world have made fortunes not only with this organization, but with the many hybrids it spawned.

Though I never “made” it big in MLM, the concept still intrigues me and so when I wrote my first novel, The Tourist Killer, I chose MLM as a vehicle for one of the characters. It served Julian F. Thibaut as a teenager in two ways.
 
It established a solid financial base for his future.

It helped him build a world-wide network of personal contacts.

To confirm the relevance of my book in today’s marketplace, I asked several online and MLM veterans, “Does the opportunity still have the same potential today?”

I’ve known Mattias Kroon via the internet for several years. He’s done quite well with online variations of MLM.  Mattias is a native of Smaland, Sweden.  He is a musician [trombone, keyboards, synthesizer] and an entrepreneur.  A background in telemarketing developed skills to become useful later in his own business.  

Mattias Kroon is my guest blogger this week and will be the first of several to address this topic.

Julian F. Thibaut is a man who succeeded in the multilevel marketing industry before the internet was available. He wasn´t born into a wealthy family. He took the knowledge from the principles of MLM to other areas of business in his recruiting.

What conclusions can we draw from this?

Can we use the same principles in the internet business? I would say, not as copycats but if you are an internet marketer you can use some of the principles.Many founders today have revised the first old MLM models and completed them with multiple income streams into one program.The big difference is that you can earn without recruiting at all in many of them but on the other side, where you can get benefits in form of referral commissions on every member that upgrades in the program you invited them to.So, the best of them work, with or without recruiting.

You can also purchase advertising shares in those programs where you get, say a 2% growth on every such share or position in that program.Of course, they must have some kind of a real product or service connected to the program in the design of it.I am earning a regular income from my online business.It has its ups and downs but it works.The measure of shares or positions together with referral commissions, will then decide how much you will earn.

Creating opportunities like this makes a psychological benefit in comparison to the older, typical MLM-schemes where you were forced to recruit  and where you were forced to fill a matrix to begin to earn at all.

Shares, that sounds like a little like funds in the stock market?

Besides my affiliate marketing I am investing in fund shares.The stock market was the second area where this Thibaut succeeded to make a very good profit.If you combine your affiliate marketing with investments in stock funds with a high Morningstar Ranking, you definitely have the ideal combination to make a profit online.Nothing happens “overnight” but with one step at the time moving forward, you can succeed.Diversifying your portfolio is the key in the stock market.Buy low and sell high.Read articles, invest in funds where they invest in typical growth areas.Nowadays you see growth in The Central and Eastern Europe and especially in Poland.

Always keep the long term perspective!

I would like to welcome you to my blog where I am recommending the best programs and tips to you.Sometimes I need to update the list of opportunities.

You are invited to: Creative Marketer.

An Introduction to Networking

(First in a series)

In 1984 I was new in sales and on the lookout for prospects and anyone who could introduce me or refer me to a prospect for my products. A notice in the local business news caught my attention. The chamber of commerce was hosting an event called “Business After Hours”. Billed as a “networking” opportunity, it presented a concept with which I was not familiar. The ad went on to suggest that the participants “bring lots of business cards”. So I grabbed a few extra business cards and went to see what was happening. There was a buffet of hors d’oeuvres, an open bar, lots of hand shaking, introductions, and for me, learning. I met several people who later became loyal clients and several who did not buy, but referred others who did. I was hooked. Networking became an important part of my marketing strategy and “Business After Hours” found a permanent spot on my calendar. As I met people, became familiar with them, and learned more about their businesses, written and mental notes helped me refer prospects to them. When possible, a visit to their place of business would help firm up the relationship and I could see them at work. Being around a friend or client in their business environment also helps to associate them with their work; they can tell you about their clients and who would be a good prospect for them.

It has been said that “People like to do business with people who do business with them.” Similarly, people will help those who have previously helped them. It is difficult to forget the person who introduced you to a willing prospect who became your best client! Such simple concepts put into practice are the foundations of successful business networks. These practices are like a chain reaction driven by reciprocity and the eventual delivery of excellent products and services.

This morning I logged in to my online social network and saw a notice that four people had accepted my friend request. Checking their profiles gave me an idea of their interests and right away reminded me of other friends in this same network. So I sent them suggestions to connect with my other friends. It is not unusual that one or the other of these friends that I have connected will e-mail me a “thank you” for my suggestion. Introducing friends is an important aspect of networking and one I find both enjoyable and rewarding.



Back in the early eighties I became a professional salesperson and quickly learned that we are all selling something even if it is not a particular product, but ourselves. As a result of my experience, networking has, for me, become synonymous with:
• Prospecting – looking for qualified prospects
• Self promotion – beating your own drum, providing others with enough information about what you do so they can decide if they want to know more
• Referrals -- both receiving recommendations and helping contacts sell their services (beating someone else’s drum)
• Reciprocity – returning the favor or paying it forward.
These will be addressed in future articles individually.
The Merriam-Webster Dictionary defines networking as: “the cultivation of productive relationships for employment or business.” A relationship that is characterized by the above four features and driven by true friendship will produce what is commonly known as a person who will be for you, a “center of influence”. An unexpected center of influence for me was a medical doctor. He had numerous contacts across a wide variety of professions and he was efficient in connecting them when he thought they could be mutually beneficial (This man got his under graduate degree in marketing, not pre-med!). His results were remarkable. When he put two people together, they did business!

An obvious benefit of networking is the growth of your business. There is an equally important duty we must be willing to accept. We have the responsibility to help the other members of our network grow their businesses. Ever heard the expression, “If I help the people that work with me to become successful, then my success is automatic.”? It’s true. In the musical, Chicago, Matron Momma Mortin sings, “The folks atop the ladder are the ones the world adores. So boost me up my ladder kids, and I’ll boost you up yours!” Let’s do the things that successful networkers do and give each other a boost. I’ll be looking for you at the top.