Whether you are new to network marketing or have been in the industry for 25 years, you know that the key to success in any MLM endeavor is linked to the power of exponential growth. Every Network Marketing recruiting video shows an example of this…
"All you have to do is recruit 3 consultants, who in turn recruit 3 consultants, who recruit 3 consultants, and so on. Before you know it you have an organization of thousands!"
In theory, this seems simple enough; I mean how hard is it find 3 people to get excited about the possibility of complete financial freedom and independence? The truth is, it really is not that hard to find those three people. The difficulty comes in finding three people who will work as hard as you do to find three people and so on. Inevitably, what happens is you find three people, who join, and only one of them finds three people and only one of those finds three people, and all of a sudden your exponential growth becomes linear. Don’t get me wrong you will make money if this happens, but it will take you a long, long, LONG time to become independently wealthy.
So how do you prevent people from joining your team and then dropping out? The reality is that no matter what you do, not everyone who joins your down line will stick with it. In fact, in most network marketing organizations, the majority of consultants, some will tell you as high as 97%, won’t make enough money to recoup their initial investment. What this means, is that if you need to find 3 successful consultants, you may have to recruit as many as 100!
Boy if your sponsor had told you that you never would have gotten into this business, right?
Never fear, there are ways to minimize your attrition rates, and I am going to share a few of them with you here.
First let me say that no matter what you do or how great your company and product are, it will not work out for everyone. Many people are blinded by the massive dollar signs that are flashed in front of them on all recruiting videos. Once they find out that they actually have to put in some time effort, and yes even money, they quickly write it off as a scam and go back to their J.O.B. By following the advice in this article, you will be able to cut down on the number of dropouts, minimize your attrition and maximize your profits.
The key to minimizing attrition can be summed up in two words: realistic expectations. Unfortunately, the marketing teams in most NM organizations are the major culprits in setting unrealistic expectations. This is not done intentionally, but it is done none the less. The recruiting videos we all were mesmerized by are designed to show you what the income is in a perfect world, which none of us live in. So let’s examine the theory vs. the realty of these videos.
The theory is that all you have do is recruit 3, who recruit 3, who recruit 3, etc, etc. As discussed before, you will have to recruit more than 3 to keep this pattern going. Although I don’t think you have to recruit 100, you will have to recruit at least 6 and as many as 9 to get 3 that will do the same. There is also a flaw in this theory in that in every NM organization, the real money is made as you advance from one level to the next, say marketing consultant to regional consultant to executive consultant. The higher you go, the more money you will make. There are very few organizations where you would only have to personally recruit 3 people to advance to the highest level. So figure out how many personal recruits you need to attain that level and set your goals accordingly.
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