MLM Network Marketing Review

By | October 25, 2014

Multi Level Marketing MLM

Introduction

This is an MLM Network Marketing Review.  It is not a review of a specific MLM opportunity.  Rather, it is a review of MLM in general.  

What is MLM Network Marketing?  MLM is short for Multi-Level-Marketing.  It is usually made up of two main parts.  1.  A corporation that provides the back-office (administrative) support and that produces and develops products to sell.  2.  Independent Business Owners (IBO) who sell the product and/or enlist other Independent Business Owners (called downline) to also sell the product in a multi-level format.  I like to think of IBO’s as a genealogy tree.  So-and-so begat so-and-so and so-forth.

Overview – It’s Like Amway Global (formerly Quixtar)

I’m going to be perfectly honest with you.  I don’t like MLM.  I was an Independent Business Owner with Quixtar (now known as Amway Global) for a couple of years, so I have some personal experience to go off of.  The products I dealt with were great, for the most part.  But, I grew to despise the culture of Multi Level Marketing.  It is a game that is designed to either pull people to your side of the river, or burn the bridge.  They tell you to start with your family members.  That is a big mistake.  They are the ones who could be the best teammates to have, so why would you want to throw all of your inexperience and ignorance at them.  Wouldn’t it be better to start with someone you don’t know?

MLM is a legal scam.  You can buy real products.  You can sell real products.  But, the essence of the culture has less to do with selling products than it does with enlisting downline.  In short, if you are not able to quickly learn how to be an ambitious recruiter, then you are likely going to fail in the long-run.  A MLM team is like a gang.  You don’t interact with rival gangs.  Imagine making a commitment to only shop at one store for the rest of your life.  Imagine getting sick of that store and wanting to shop somewhere else.  Now, imagine that your personal finances will take a negative hit if you shop somewhere else, even if the other places have a better deal and sell better products.  You see, with an MLM, you become both the salesman AND the target market.  You basically make a commitment to buy your own products as long as you are in the business.  You better make sure you like the products.

Who Is MLM For?

Real success happens for those who know how to work miracles.  It happens.  Some people are very successful in MLM businesses.  I don’t know the exact stats, but I would guess it is somewhere in the realm of 1% (or less) of those who make a sincere effort actually make real success.  MLM is for those who are willing to lose family and friends all for a slim chance at making a lot of money.  If your family will support you no matter what you do, and whether or not you become a constant thorn in their side, then you are probably a good candidate for MLM.

Illegal Pyramid Scheme or Legit MLM?  How to Tell the Difference.

Most MLM opportunities are not actually illegal.  MLM is not equal to Pyramid Scheme in the eyes of the law.  They are similar, but not equal.  Legitimate MLM opportunities sell real products and services.  Pyramid Schemes sometimes try to appear that they are selling a real product or service, but don’t really.  They focus on recruiting and then money from recruitment fees filter upward.

Final Opinion

If you are considering an MLM opportunity, I urge you to reconsider.  You are about to get caught up in more than just a business opportunity.  It is a “baptism,” as it were.  It is a doorway into an entirely new way of thinking and way of life.  You could be one of the few who has the talent, ambition, and luck to make it work.  You probably won’t.

For information about something I recommend sincerely, take a look here:

Steps to Start an Online Business  and here:

Best Affiliate Programs for Beginners

If you have any questions, or need any help, please leave them below!

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5 thoughts on “MLM Network Marketing Review

  1. Hilda

    Thanks a lot for such an informative article. As you point out, MLM is not for everybody. Sometimes the distinction between an MLM program and a pyramid system is really blurry. The piece of advice you provide can be very helpful for many people. Blessings!
    Hilda

    Reply
  2. Carla Ives

    Good explanation of MLM vs. Pyramid Schemes. I don’t totally agree with you, as some plans aren’t quite as “ambitious” as Amway is. In many direct sales organizations, you can simply make money by selling product, but don’t “have to” build a downline. Of course, there is more money if you do. Still, there are better ways to make money out there.

    Reply
  3. Michelle

    You said it best: MLM is a legal scam. I appreciate your approach to this subject, even when some won’t. You have clearly defined what multi-level marketing is and you have the experience to back it up. It’s a shame we live in a world where people get taken by this kind of thing. I realize some people will make a buck from MLM, but the majority will always lose in a big way. Excellent post!

    Reply
    1. mmTo Build My Own Post author

      Thanks Michelle and Hilda. I appreciate your words.

      Reply

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