Network Marketing--Hype, Hope . . . Sometimes a little of both

For me, the terms "Network Marketing" bring lots of reflection on my experience.  While this type of business can most certainly be a legitimate enterprise offering value to customers/consumers and to the people who participate in the business, it can also be a scamming technique intending to overcharge, provide something of little value for high costs, and "rip-off" the last group of people investing in the scheme.

Another word for network marketing is "multilevel marketing."  In general, it means that you recruit people into one or more "legs" or "downlines" and receive commissions on what your downlines produce to whatever limit is set by the business model.  Some business models are legitimate and some are not.  Often the Attorneys General of states get involved to decide which models are legitimate.  Some (like Amway/QuickStar) have passed these tests over time.  Others fall by the wayside.

One "test" for legitimacy is that there has to be a product or service being sold--the "membership" in the business cannot be the only thing someone pays for.

I have been involved with perhaps 20 network marketing programs over the years.  One of my first was Amway--a legitimate business which has evolved into QuickStar and which has been around for years.  Since then I have explored businesses with a focus on training, health care, insurance and investments, and many more.

Robert Allen will be releasing a new book (sure to be a best seller) in about two months, telling how to use Network Marketing to build a solid source of passive, residual income.  (I received an e-mail today from Robert advising me about a webinar he will hold on the subject on Friday, 9/11.)  Check Robert Allen out on Amazon.com to see when his next book will be available.)

Years ago the information was published that more people become millionaires through direct marketing (of which most Network Marketing programs form a part) than through any other source of revenue generation.

I am interested in the concept, providing that the business is legitimate, the products or services have value and are offered at a value to the public, whether or not the public chooses to participate in the business part of the program.  Better programs do not require a heavy initial investment, nor do they require someone to purchase a lot of inventory or to make a certain amount (dollar or quantity) of "sales."

I remember that it is important to keep asking questions and not to make any logical "jumps" (into the fire).  The saying about "if it sounds too good to be true, it probably isn't" is good advice when considering a network marketing opportunity.

I heard about a network marketing opportunity today that sounds very interesting.  I certainly need to check it out fully before I decide if it's "right" for me.  Many are excellent and just not something I have the time and passion to be involved in.

Gradual income based on growth and sales will probably be one indicator of a company not set on scamming the consumer.  A most significant requirement is the value of the product or service being provided--and its cost.  This is certainly a time when people would like to bring in more income and a time when "money-making" scams abound.

Robert's book, like his others, will have lots of great tips about Network Marketing.  I look forward to reading it.  While I'm waiting, I just purchased a book by Ray H. Duncan from Amazon.com called the MLM Binary PlanThe MLM Binary PlanThe MLM Binary Plan. 

I had a birthday yesterday and building steady streams of legal, residual income is certainly a priority for me at this stage in my life.  I'm looking forward to learning more about the state of network marketing today.