There are so many network marketing companies out there, how do you know which one to join? Well, just like any other business, due diligence on your part is required in evaluating the company. Do not get caught up in the excitement and emotion of a presentation, even though that is what they want you to do.
The following are some general guidelines to use when evaluating a network marketing company. They are not hard and fast rules; for example, sometimes getting started with a younger company is worth it if it fits all the other guidelines. However, I thought it would be helpful for you to learn some good qualities of the top network marketing companies so that you can make an educated decision regarding with which company you would like to start, continue, or expand your network marketing career.
1. The network marketing company should be in business for at least ten years. I started with this recommendation first because this is the perfect example of a guideline that is not set in stone. There is a certain comfort level in getting involved in a company with a good track record; you know that if you join their organization, your investment will most likely be a good one because they aren’t going anywhere anytime soon. I can tell you that one company I am involved in has been around for 27 years, so I know they are rock solid and I had no fears getting involved in their business model. I can also tell you that I am involved in another business that has only been around for two years; however, I am confident they will be one of those companies that will one day fit this category, because they fulfill all of the other recommendations that follow. Remember this fact: at one point, EVERY network marketing company was a start-up company.
2. There should be a mission statement of the network marketing company along with ethics standards and values.
3. There should be full disclosure about the network marketing company’s ownership and financial strength.
4. There should be a quality product or service offered. If there is no product or service offered, then it is an illegal pyramid scheme, and this business will be shut down as soon as the regulating authorities get wind of it.
Also, in my opinion, the products should be tested for efficacy, safety, and quality ingredients, and these test results should be made available to the distributors and general public when requested.
Another thought on the importance of the product: A tremendous emphasis is placed on the product itself, and you are told you have to use, love and believe in the product. I want you to think about this in a different way though, and this is very important: People purchase products for the results they create, not because of how fantastic the product itself is. Therefore, when evaluating a company based on its products, start by asking yourself questions about them, such as what the goals the customer would be trying to achieve by using the product(s). If you are in alignment with the end result you want to help someone achieve, such as better health through nutritional products, or keeping people and the planet healthy by using green products, then this is a good network marketing company for you to promote. The successful sales person (Yes, network marketers are IN SALES!) achieves his or her success because he/she effectively shows their prospect that the product is the best at solving his/her prospect’s own personal, specific problems.
5. There should be adequate training that teaches people what to do and how to do it so that they can become successful within a reasonable period of time. This is usually accomplished through regular live webinar trainings, as well as an archive of past webinars made available to each distributor in his/her back office.
6. There should be a simple, duplicatable marketing system that people from all orientations can follow with a reasonable expectation of success. As discussed in another blog post of mine, it is ideal if this marketing system includes technology that makes it easy for distributors to recruit, sell products, and manage their organizations, and for retail customers to buy products; in other words, if it is an automated marketing system.
7. There should be a fair compensation plan that’s easy to understand and rewards both full-time and part-time distributors. Everyone should have the same opportunity for growth at the same pace and intervals in your network marketing business. This plan should not benefit the people at the top more than the people at the bottom. That stinks of pyramid scheme, and it is not a solid network marketing business model.
8. There should be GREAT MANAGEMENT AND LEADERSHIP. I left this one for last because this really is the most important quality in a network marketing business. I am not just talking about those directly in your upline, I’m talking about the majority of those in the network marketing company. You want to align yourself with the best, most knowledgeable, and successful network marketing leaders you possibly can. These people not only are good earners; more importantly, they can lead you to success with their knowledge, their ability, their willingness to help, and the system that they have in place to help you. When you learn from a proven leader, you glean valuable information from all of their experience and talent, which ultimately helps you avoid costly mistakes that are almost certain to occur if you were to learn everything on your own, without guidance.