Network Marketing is essentially a method some businesses use to market their goods by compensation an individual’s recommendations through a sales team commission program. This type of program is designed to be worked from home on the individual’s schedule.
20 reasons why you should consider network marketing
Everyone who participates in network marketing starts of with a reason (a big “why”). The first thing to do is know why you want to create your own home-based business, as this will be your motivation to continue. Everyone’s “why” (purpose) is different, whether you want or need to:
- get out of debt, increase savings,
- buy that dream home or car,
- fund your retirement,
- retire your spouse or parents,
- fund your children’s educational expenses,
- use the extra funds for expanding or enhancing your children’s learning opportunities,
- live a more comfortable lifestyle,
- create a solid emergency savings account so you don’t have to worry about unforeseen events
- afford you or your spouse (or both) the opportunity to stay home with children,
- replace current income,
- leave an unfulfilling job,
- have a backup plan to replace your employment if it falls through,
- have a backup plan for income in case you and/or your spouse become unable to work,
- fund a nonprofit,
- have more to give or share with your community,
- be free to take vacations as you want or need,
- use extra funds to help make other people’s live better
- invest in yourself, furthering your knowledge and skills,
- live your version of the “American Dream,” or
- just simply to be compensated for sharing something that strikes passion.
Each “why” is individually unique.
Regardless of why you would want to increase your income, network marketing has one aspect most jobs lack: commissions.
Why is working on commission better than salary? Because working salary doesn’t keep up with continual dollar inflation and the rising cost of living.
You may be thinking the same thing I thought when I cringed hearing “sales commission” for the first time. I understood sales commissions as unsteady income that fluctuates too much to rely on. My point of view was built on watching women in my first sales job at Dunlaps department store complain about not making enough on commission to make ends meet at home. After much research, prayer, and critical thinking, I have altered my viewpoint, and think you will too.
Does your paycheck keep up with inflation?
After graduating high school, I spent 6 years enlisted in the Navy, followed by another 6 years living on veterans disability. I always looked forward to January 1st to see how much the government was going to increase my pay, which ranged between 0.5% and 3%, depending on how generous congress was with our budget. Meanwhile, the average rate of inflation was 5-7%. Are you catching on yet?
I experienced the same income ailment as everyone else in the business world: the rate of my annual income increases paled in comparison to the rate of inflation.
In other words, my dollar carried a lower buying value every year as the cost of housing, food, and other necessities increased (sound familiar?)
Why would working on commission be any different from salary?
Simple. People working on commission are paid a percentage of what they sell. This keeps up with the rising cost of living because as product prices increase, so do the sale commissions.
Having an income based on commissions does mean your income can fluctuate. This means you need to put in the hours and effort you need to be paid, as your income is based on what you do. I other words, you are paid based on your productivity, rewarding your time and hard work. This is truly being paid based on your worth.
In network marketing, you are paid commissions based on how much you sell, whether your selling clothes, cookware, vacations, or a variety of consumable products. Network marketing companies take these commissions a step further by offering bonuses for teaching. You are rewarded for your time spent teaching others to promote the same products you promote by earning a smaller commission on their sales, and bonuses for reaching predetermined milestones.
These commissions, as with any company paying workers commission, are designed motivate you to network with more people to maximize your sales. You are then compensated for the time and effort you put in, whether it’s one hour or forty hours a week. Your pay directly correlates to your effort.
Most network marketing companies have a monthly autoship program that allows customers and distributers to buy items on a steady schedule. This means your sales remain relatively steady month to month, which in turn means your commissions will be more predictable and your customers will more likely purchase regularly. This enables you to build up what is called “residual income” that you can rely on even on months you’re not actively pursuing new customers.
The best retirement plan
Did you know less than 2% of people who save for retirement will actually have saved enough to retire?
Did you know over 95% of the population has not saved for retirement, or for any emergency.
Pretty scary odds!!!
In fact, the idea of working 30+ years for a company and retiring on the company’s 401k plan is becoming a thing of the past. And forget about Social Security. Even if it is around for the current working class to use when they reach their late 60s, it’s not enough to pay the bills in most locations around the U.S. (not even half!). Most people will live out the sad truth of working until the day they die or relying on younger generations within their family to take care of them or foot the bill for assisted living accommodations.
Network marketing offers compensation plans geared towards residual income. This means if you take a month off (or a year), you will still receive the residual income of the business you previously built. This means a monthly paycheck whether or not you are actively adding to your business!!
We just experienced this with the birth of our second son… I took 4 months off for bonding with our new baby and helping our 3-year-old adjust to no longer being an only child. 4 months of no work… without “paid maternity leave” or insurance as a fall back… and I still received my average income for those months, without losing any money. That was an incredible blessing, and I’m so thankful I had built a network marketing business prior to expanding our family.
The pay by itself is a great reason to give network marketing an honest effort. Whether you need to make up for your spouse’s lost wages, your lost wages, gear up for retirement, allow you or your spouse to work a more enjoyable job, allow you or your spouse (or both) to stay home with the kids, the ability to pay off debt, or just to create a vacation or shopping fund. Network marketing allows the financial flexibility everyone needs!
Build your own schedule
The best aspect of network marketing is that you can work on your own schedule, so you don’t have to worry about missing your son’s soccer game, your daughter’s dance recital, or current fluctuating job schedules.
You are compensated directly based on your efforts.
The more sales you make, the more income you earn. With this you can work as part-time or as full-time as you wish. In most cases, your residual income grows as your network does. If you need to take this Saturday off for your daughter’s band competition, you can.
Do you work more efficiently at 2am? That’s ok too! You don’t need to ask anyone when you can take time off or when you can work.
Although there are some people who ruin a good thing with unnecessary pushy attitudes, by and large network marketers are some of the best people I’ve ever met.
Most network marketers are:
- down to earth,
- genuinely care about other people,
- positive and encouraging,
- creative and energetic,
- don’t portray typical job stress,
- actually having fun with what they do!
Successful network marketing is all about building relationships and personal growth.
I absolutely love watching people develop and grow into the people they truly want to become. Seeing them get paid for it puts the icing on the cake!!
You Design Your Life
Network marketing enables you to choose how, when, where, and with whom you work.
You have complete control. You can work from a cabin in the mountains, or while sitting on the sand at the beach. You can work while sitting in your bed, at your desk, or while watching your kids play at the park.
Take time off whenever you want without being completely penalized.
Receive a raise anytime you choose through some additional effort. Enjoy personal development to take your mind and business to the next level.
This is even a viable option for people who are chronically sick (like I was), or housebound because of medical conditions!
Options for you to customize your life are virtually endless!
But what about the people who fail in network marketing?
Yes. The failure rate for Network Marketing businesses is an alarming 95%. Why? It is simple, but it isn’t always easy. A LOT of personal growth is required. A LOT of learning proper business techniques is required. A LOT of patience and relationship building is required. Meanwhile MANY mentors don’t actually know what they’re doing, and often give harmful advice without even realizing it. Because of this many people walk away, upset over the amount of money they spent on products that was not reimbursed by sales they didn’t make.
To remedy this, make sure you’re following a quality leader, or ensure you join a team that provides modern business training.
I highly recommend following leaders like Bob Heilig and his Virtual Upline Podcast. I’ve been in his Legacy Leadership program since January of 2019, and have loved every moment of his teaching. I regularly pass on his trainings, my other research, and what I’ve learned through obtaining my business strategy degree to my own team, and have seen them grow and blossom because of it, without enduring all the headaches I’ve gone through and see numerous people complain about in my business moms groups. This alone tells me we are making waves in redefining what Network Marketing is, and how to properly manage a network marketing business.
What to look for in a network marketing mentorship team
Each network marketing business is very different. I know, having tried out 5 different teams within 4 different companies AND developing the training division of a foreign company. Each and every team is different, teaches differently, and coaches differently… even within the same company. I highly recommend vetting your prospective mentorship team!
- Personally experienced profound success stories using the products
- Approchable personality
- Online presence through a blog or social media
- Has had some success in their current company
- Has a large support group for using the products and for business support
- Respects proper product use and safety (if applicable) guidelines
- Values continuing education and being a perpetual student, and frequently shares information they receive
- Solid understanding in business strategy and online authentic marketing that focuses on YOUR strengths (not just what worked for them)
That last one is especially important. DO NOT just copy and paste. Do NOT just blindly copy what someone else is doing. Even if the message is brilliant, the energy to the message is lost. You need to develop your own clear message and focus on your own individual strengths. When you do that, your message comes across much more authentically and aligned. People will feel that.
These tips are also important to embody as you become a mentor for other people.
More articles related to Network Marketing
- What is network marketing?
- 40 Brilliant Strategies for Millennials To Afford Life
- 25 Moms’ Favorite Tips: Working From Home with Kids
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P.S. Have you considered network marketing? If you’re looking for more information or would like to see if our team would be a good fit for you, please connect with me and set up a time to talk. I’d love to see if this would be a viable option for your lifestyle, interests, needs, and strengths.