The world of Multi-Level Marketing (MLM) often evokes mixed reactions. To some, it represents a golden ticket to financial independence, a chance to "be their own boss" and build a thriving business. To others, it brings up images of pyramid schemes and broken promises. This interview offers a candid glimpse into one individual's experience within the MLM industry, shedding light on the realities, challenges, and potential opportunities it presents. From initial attraction and training to the daily grind and the ever-present misconceptions, we dive into the complexities of building a business within a network marketing structure. It explores how, for certain individuals, MLM can indeed provide a pathway to greater flexibility, income potential, and the satisfaction of helping others succeed, while acknowledging the hard work and dedication required to navigate this unique business landscape.
In an effort to provide our Houston City Beat readers with a deeper understanding of the Multi-Level Marketing (MLM) industry and the opportunities it can present, we recently spoke with John Simpson, an individual actively involved in the field. His candid insights offer a firsthand perspective on what initially attracted him to his current MLM company, his expectations upon joining, and the realities of building a business within this unique structure.
LN: What initially attracted you to this MLM company?
JS: A lot of things. But initially, it was the opportunity offered, and the people who asked me. Plus having the ear of the company to help to mold the program.
LN: What were your initial expectations when you joined?
JS: To be given the chance to build a team with good people and a line of services that everyone already wants and uses. And in most cases, they need.
LN: Can you describe your initial training process?
JS: Initially, through direct Zoom calls with people within the company. Then weekly Zoom meetings and the ability to make suggestions for the program and the presentation. The program takes several exposures to really begin to get a grasp of it.
LN: Can you walk us through a typical day or week in your work?
JS: Since I am building something for myself, I can get out of it what I put into it. That, however, does make my schedule very flexible. I can schedule face-to-face meetings at the convenience of the other party. Weekly Zooms are there, but as the team grows, I work to benefit my team members. A typical day would include a couple of hours communicating with team members and sometimes a trip into town to meet with someone.
LN: What are the primary methods you use to find new customers and recruits?
JS: Not too long ago it was all face-to-face and who do you know. It seems to be moving toward more electronic methods of getting your word out to prospective participants. I still call it “relationship marketing” however because as you work to improve others, your needs take care of themselves. Communication is very important. Learning about motivation and new ways to make contact can be very beneficial. Then there is also the time spent learning how to utilize unfolding technologies.
LN: What portion of your time is spent selling product, and what portion is spent recruiting?
JS: Actually, with this opportunity, those are one in the same. Since everyone already uses our flagship service (cellular), I just try to show how people can earn that service, and others, for free. Then there are a few out there though who will respond to the attractive potential comp plan benefits as well as those who are looking to build something they own and control.
LN: What are the biggest challenges you've faced in this business?
JS: Misconceptions about the industry. Many people still have the mindset that they will always work for someone else and just depend on that. Plan B income should be a priority for everyone, especially in today’s world where people do not usually make a career with one company. Layoffs are not pretty, but those people with an established Plan B can weather it better. Some of those grow their Plan B into Plan A. It is important that people do not wait until you need the income, to start building it.
LN: What have been your most significant successes?
JS: Right now, working with several old friends, and then seeing several of my suggestions implemented into the program and the website. Also helping to put a few others in a position to benefit greatly, as the plan grows. And of course, seeing a personal return.
LN: How has your perception of the MLM industry changed since you became involved?
JS: The first exposure to an MLM was being recruited to join some electricity provider businesses. I quickly saw that there were some very successful people there, but their electricity plans were not really competitive in the deregulated market. So, I declined. The next one had a great plan, but people were afraid of the product. I looked at some others, but their plans seemed to find excuses to not pay their people. The one I chose looks for reasons to pay their people.
LN: How would you describe the income potential of this business?
JS: Potential is a very key word because some people join and then think they will just start making money. That’s not going to work very well. Then when you have someone who will work the program (our program) like a real business, they can easily achieve several hundred up to a thousand dollars a month. Should they choose to go farther in growing a team, then the sky is the limit.
LN: What are the primary ways you earn income within this MLM?
JS: There are several ways. First, upon enrolling a qualified candidate you get an immediate bonus. Bring in enough team members and earn monthly shares of the company’s revenue. Also, bring in enough team members and earn all your services for free. For the retail products, there are sales commissions. Then, there is a cycle bonus. As your team grows, every time your Business Volume hits a certain number, you get a bonus. Over and over and over.
LN: What are the typical start up costs associated with this business?
JS: Right now, the special rate to enroll is $100 to get a seat. To qualify your account, you have to buy a Success Pack which includes various levels of services. That is a monthly purchase, until you have earned your services for free. Then you have your services, and get paid for it. Getting paid to have a cellular service, 24 hr. roadside assistance program, plus other services, is not a bad thing.
LN: How has your involvement in this MLM affected your relationships with friends and family?
JS: I have some very good friends involved in my business, and also know several others who are very successful in their DM business of choice. Some are very successful. In the family, many do not have an interest in participating but are happy to be my customer. I also have a cousin who has his own business interests, but is willing to share my opportunity southwest of here. He knows someone will take it and do very well at it. (we have no presence in South Texas, yet)
LN: Can you explain the value proposition of the product or service you're selling?
JS: When you have the opportunity to have services that everyone wants, uses, and in almost all cases, needs, and you can earn them for free, and then get paid for it? Add to it a line of wholesale products that many people are increasingly using, then you have a pretty good offering.
LN: Who is the target demographic for this product or service?
JS: Not to sound too hokey or set expectations, but the answer is everyone. Everyone today has a cell phone, drives a car, and has health care expenses.
LN: How would you describe the company's compensation plan?
JS: When you begin to set up your team, your downline is organized in a binary system. Everyone you personally sponsor goes into your binary, and everyone they sponsor goes into your team binary as well. Everyone earns Business Volume points from all the members of your team under them.
LN: How does the company support its distributors?
JS: There is a support team for all questions and to handle any problems. Videos, Power Points, FAQ’s pages, and the offer by team sponsors to assist in answering questions in calls. Also a weekly Zoom meeting to introduce prospects to the program. Retail sales are shipped directly from the manufacturer.
LN: What are the company’s policies on returns, and refunds?
JS: Up until recently, all the offerings were services so there were no returns. I discovered a glitch that made one service I have unavailable for two months. The program was fixed, and I was credited my subscription payment for those two months. For the retail line we now have, we use the manufacturer’s return policy if needed. It says 100% within the first 30 days.
LN: How does this company differentiate itself from other MLMs?
JS: We actually have offerings that people need and use. Because we are just kicking off, we have vast areas of the country with no coverage leaving huge opportunities for people for team building. There is no market saturation. No minimums, no inventory, none of the things that have disappointed many in the past.
LN: What are the company's long-term goals?
JS: Taking one step at a time, coverage in the Continental US first to get momentum. Then I see expansion into Canada and Mexico. Beyond that I am not aware.
LN: What kind of documentation does the company provide regarding average distributor earnings?
JS: As new as this program is, there is not any current documentation of earnings. There are only a handful of distributors on the front line currently.
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