Network Marketer’s Survival Guide

In the Network Marketing industry attrition rate can run as high as over 70%. This means that the majority of people who try a Network Marketing company don’t survive the first few months! The upside of this is that 9 out of 10 of those who survive through ten years become very wealthy. This industry has produced more self-made millionaires than any other single industry in America. What a recommendation for Network Marketing!

So if this industry has produced so many self-made millionaires, how is it that more people aren’t staying for the long haul? First we would look at some of the major reasons for failure and then some tips to help you escape these traps.

Choosing a Network Marketing Company

According to a respected journalist, Richard Poe, in his book Wave4 – Network Marketing in the 21^st Century, Network Marketing is responsible for moving over a whopping **$100 billion** of goods and services yearly on the global front. It is therefore very likely that you have already come in contact with some type of Network Marketing product or service. The concept of moving goods through an army of independent distributors has earned its place in the marketing world despite the negative publicity suffered by the industry. Network Marketing is here to stay; the question that remains is, “How do I choose a company?”

Here are some very important pointers that would guide you in the right direction. Any company that you can find passing these criteria will be a great company to line up with.

1. A company that has been in business for at least 5 years and has great financial backing, excellent management and a ‘distributor first’ philosophy. The company should also have a long-term development goal and not just be out for the quick cash.

2. High quality (unique if possible), reasonably priced products or services that should be, ideally, consumable so users will have to buy over and over again.

3. A Compensation Plan that is fair to both fulltime and part-time distributors alike with leadership bonuses for those who build large and productive teams.

Network Marketing Reviewed

The field of Network Marketing or Multi-level Marketing (MLM) has also been instrumental over the past 60 years or so to make the recurring income concept very popular and attractive.

Here, you can build a network of distributors, referred to as your down line, and generate income outside of your own immediate effort. Working for Network Marketing company is one of the most feasible places where you can generate recurring wealth, and so we will now take a look at the secrets to being a successful network marketer.

Recurring Income Explained

Recurring Income is another term for residual income. In a nutshell, there are three (3) types of income streams that you may have coming into your business.

1. If you do a one-time job, sale or perform a contract, you get paid once and the income stops there.

2. If you do a normal 9 to 5 job, you will continue to get paid as long you continue to work for your employer—often called a linear income. This is the type of income that the majority of workers “enjoy.” Even if you are a neurosurgeon, lawyer or engineer, you are only paid as long as you continue working. You stop working and the bank account dwindles.

3. The third type of income is the recurring income where you are paid even after you have stopped working. For example, you wrote a book and as long as your book continues to sell, you will continue to receive royalty income for a work done once.

Majority of rich and affluent people created wealth through a form of recurring income stream. Take singer Michael Jackson for example; he still continues to receive royalty from the sales of his records made decades ago. He can even repackage the same oldies and sell them to generate new income. He doesn’t have to spend time in the studio to record new songs in order to have the cash keep flowing in! This is the most ideal situation of the three. We would all like to work once and get paid over and over again. That is the power of recurring income!

The majority of professionals that enjoy this type of income belong to the creative fields such as actors, writers, singers, and inventors.

Unfortunately, not many of us are blessed with the talents Michael Jackson has, let alone the opportunities to be in the lucrative industries. However, there is one budding opportunity for any ordinary individual today to enjoy residual income today in the 21^st century.

You’ve guessed it: it’s none other than Network Marketing.