What’s your reason of joining a Networking Company or Direct Selling Business?
So why did you decide to join a Networking Company or Direct Selling business? Come on, Let’s get real.
Was it because you wanted to become a millionaire? Sit on a luxury beach with your laptop? or Drive that fancy racing car? There’s nothing wrong if you joined for the same reason.
Personally, I joined because I am looking to have a healthier lifestyle and want to have financial freedom. Of course, I don’t want to be tied up with my employer until I reach my 60’s.
Hi, my name is Katrina Sevilla and I’m the host of Pinoy Real, “A Platform Built To Showcase Stories Of Inspiring & Successful Individuals.” Pinoy Real shares the message of hope to people who look for personal transformation!
One of the most important decisions you will make in your Direct Selling career is which program you choose to build with. Unfortunately, most people spend less evaluating which companies to work with than they do choosing a data plan for their cell phone.
Usually what happens when you first start with the networking company is that you don’t really choose the company that you’re working with. There are 2 things that can happen. First, someone comes to you and introduces you to the business. It’s either you go for it or not. or Second, you start looking to figure out which company is the right fit for you.
That’s why I made this video for those who are newbies in the networking business and the ones who are exploring the idea of the business and haven’t found a home yet. You will most likely end up in a better place if you do a little research before you just jump into a company. So stop being gullible and eliminate that get-rich-quick schemes! After all, success requires massive hard work and developing new skills sets.
So let’s begin!
What are the Products in the Direct Selling Business?
1. The Product. The Product. The Product.
You can begin your product line evaluation with two disqualifying questions. You have to ask these questions for yourself. If the answer is not a resounding yes to both, you should eliminate that company and keep looking for another one.
Two essential questions are:
1. If you were not participating in the business opportunity, would you buy this product or service anyway?
2. Would you buy the product or service at that price?
Be honest with yourself. If the answer is no, find another company. If the opportunity you’re involved with is not centered on products you believe in and will personally use – it is highly unlikely that you will be successful with that company. Direct Selling is driven by the genuine enthusiasm and personal testimonials of the people involved.
2 Questions your prospect clients will ask are:
1. Are the products are any good?
2. Do you use them yourself?
If you can’t answer with an enthusiastic yes to both questions, they are not likely to get involved with you.
You need to have customers who are willing to pay the normal retail price for your products. This doesn’t mean your company must sell products at a lower cost than what’s available somewhere else. It means that your products must be of such value that you and other people are willing to pay the price for them.
2. The Most Marketable Product Lines are Unique, Exclusive, and Highly Consumable
Ideally, you want products that are available exclusively from your company so your customers can get them only from you. If products just like yours are for sale in numerous retail stores and websites, you’re likely to face more challenges unless your price point is dramatically lower. And selling on a lower price is always a race to the bottom that you can’t win.
Consumable products like nutrition, skincare, personal care, utilities, and cleaning products work better long-term than non-consumables like water purifiers, air filters, travel/vacation, or jewelry. I know our business is filled with nutrition, household products, and personal care companies, but there’s a reason for that: They do work!
3. The Problem with Cryptocurrencies for Direct Selling
I couldn’t agree more to Randy Gage. He says currencies like the dollar, peso, yen, pound, and all those fiat currencies do not hold any intrinsic value; they are simply promises to pay. They can be valued and devalued at the whims of a government bureaucrat.
So regarding the concept of cryptocurrencies, I’m a big fan. They have the potential to facilitate secure, authenticated transactions between a buyer and seller without the intervention of a bank or a government.
But to start a direct selling company around a cryptocurrency as the product line is simply a preposterous idea. And I also would like to add precious metals like silver and gold.
I would personally be very careful when joining a networking company whose product lines are cryptocurrencies and precious metals like gold and silver. For the simple fact that they are not viable or practical product lines for a Direct Selling company.
However, If you want to become an investor or trader in cryptocurrencies and precious metals, that is wonderful! And, you will need some decent technical skills and financial education. Otherwise, avoid them as a networking company.
Who are the people in the Direct Selling organization?
4. Your Sponsor and Sponsorship Line.
Arguably, the next most important item to consider is your sponsor and sponsorship line. Select them as you would if you were choosing business partners to invest in a huge deal.
They are going to be your coaches and your support structure, and you’re going to be spending a lot of time with them in the next 2 to 4 years. And beyond that, hopefully, a few decades together taking cruises, drinking from coconuts, and frolicking at resorts around the world.
It’s important that your sponsor be someone you like, trust, and would enjoy working with. Don’t think you must sponsor in with someone who’s making a big check. However, you do want to make sure also, there is some experience at the top of the organization somewhere. You want someone who has already successfully done what you are looking to do. If you’re going to fly to Paris from Manila you’re better off doing it with a pilot who has actually flown a real plane not just computer simulations.
5. Startup vs Established Company
Is it better to join a start-up or a mature company?
A company that’s new and not yet known has tremendous growth potential. You have the possibility of greater risk, but also the corresponding opportunity for greater rewards.
If you are more conservative and looking for Greater security, go with an established company. And, which option is right for you depends a lot on your personality.
So choose the situation that best matches your personality, needs, and financial objectives.
6. Management Depth
It’s important to know if anyone in the corporate management staff has any successful experience in Leveraged Sales. Working with a networking company is dramatically different from traditional business. If the management team doesn’t understand the unique nature of our business, it will be quite difficult for them to guide the company.
So check, who are running the business like CEO, VP, or President.
7. Support Structure
What kind of support structure is in place? Does the company have a robust website, individual replicated sites for distributors, and mobile apps? E-commerce is playing a dramatically larger role in our business and I believe many companies in our space haven’t caught up on this.
Are there annual conventions, leadership training, and other events hosted by the company? Do they have regularly scheduled conference calls or webcasts? Are the materials professionally prepared, benefit-driven, and effective from a marketing standpoint?
How will you get paid in the Direct Selling company?
8. Evaluating Compensation Plans
Take note: Commission should be paid only on product volume, never on headhunter fees. Your income must come from bonuses and overrides based on the product volume produced by your team. By this I mean the volume produced by products or services actually paid for and received by the customers. If you are paid simply for signing up someone then you’re probably in a pyramid.
A well-designed compensation plan effectively meets the needs of 3 entities: the customers, the distributors, and the company.
First, the plan should provide incentives for customers to order in bigger quantities or more frequently and ideally register for auto-ship.
Next, the plan must reward distributors for demonstrating the right behaviors like building a customer base, maintaining qualifications, and working in-depth to support their team.
Finally, the plan must ensure that the company is profitable.
So these are the key points in choosing the right networking company for you based on the book “Your Direct Selling Succes: from Amway to Zombies”.
Personally, what attracted me to join in a networking business are:
- low start-up investment unlike franchising, building shops which are capital intensive
- opportunity for personal growth and meet like-minded people
- travel opportunities
- tax advantages
- working with people you like and choose
- no degrees or experience required
- flexible schedule
- unlimited earning potential if I work harder yet smarter
- becoming successful by helping others