Sunday, July 28, 2013

Why Over 85% Of MLM Opportunities Fail In Their First Year

By Howe Russell


If you have an ambition to make money online from home, you will probably encounter muli-level marketing businesses on daily basis while you are on the internet. Sadly, most companies in this niche do not last very long before they go out of business. Today we will show you why this happens.

Due to the recent recession, around five in ten people with internet access have looked into ways to become their own boss online. However, while it is very easy to find companies which will promise you the ability to generate an easy income from home, the reality is far different.

It seems there are new opportunities appearing on a daily basis and it can be very confusing when trying to find the one which appeals most to you. There are two major factors which cause the majority of these companies to fail.

However, it is important to realize that not every program fails. So it's important to know how to spot a good opportunity from a poor one. [
Learn the crucial steps to being able to make money online with an online business.
]

Of course, occasionally you'll see a program which experiences the levels of success the likes of Empower Network or Mary Kay have enjoyed.

There are two overwhelming factors which come into play here.

* Undesirable products which don't represent value for money.

* Ugly presentation which doesn't do it's job.

If you were creating a business, the points written above would probably be the first two items on your list of things to do. But for some reason, this does not translate across to the powers that be creating these opportunities, too.

If a company doesn't take the time to develop a good product then, quite frankly, it doesn't matter how financially productive the affiliate plan may be. If there is no long-term value in being a member other than the ability to build an income it will lead to failure.

If you look at some of the most successful companies in this industry you will notice that they have put more attention into their products and services, rather than just building everything around their compensation plan. This means members don't feel the need to quit if they don't have an income arriving each month.

Furthermore, there is a common tendency for multi-level marketing companies to present themselves as instant solutions to financial problems. You can't become your own boss without hard work and determination, but you will find countless new online opportunities that will tell you otherwise. Usually MLM opportunities announce themselves with a pre-launch phase.

Pre-launches never yield positive results and they are primarily used in order to help the opportunity build a larger contact list. They attract individuals looking to earn money as easily as possible, trying to generate an income by getting into something early and hoping it takes off by itself. Usually, everyone quits when things get serious and the company uses it's big contact list to promote the next big thing a few months down the line.

Despite the many claims of an easy income which are easily found on the internet, it is not easy to make money online. The two steps in today's post will help you to spot a good long-term online business instead of the 'next big thing', which puts you ahead of most others getting into this industry.




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