What is it about MLM that gets people so emotional?

June 21, 2010 at 6:20 pm | Posted in Lifestyle, MLM | Leave a comment
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It seems to me that for many people there is just an immediate, emotive response that is just not supported by any serious analysis; and even more interesting, despite this apparently almost universal knee-jerk distain, not only are there more and more people involved in MLM, but most of the people actually seem happy with the experience.

So, what are the facts?

2008 (the most current figures that I could find):

In the U.S.

  • 15.1 million people involved in some form of direct sales (that’s 5% of the US population!)
  • $29.6 billion in sales


  • 65.3 million people involved
  • $114 billion in sales

Satisfaction surveys run by the Direct Selling Association in the U.S. revealed –

  • 80% of sellers say direct selling meets or exceeds their expectations; and
  • 85% of sellers report a good, very good or excellent experience with direct selling

And most revealing, 74% of U.S. adults have purchased products from a direct seller!

If, as is asserted so loudly, most people would have nothing to do with MLM, why would 74% of adults buy products and services from such an apparently distasteful distribution channel? It makes no sense!

In 2009 the world experienced an epidemic of layoffs, down-sizing, and corporate failures but not one person involved in MLM lost their job. What happened instead reflects the basic integrity of MLM.

A recent update on MLM in 2009 commented “direct selling is still strong around the world. Seventeen countries now have more than US$1 billion in sales annually through this channel of distribution.

The results are indisputable. Business in North America is gaining representatives; Asia is decreasing slightly in revenues, but growing in direct sellers; South America continues to rise; and Europe is doing well.”

With a history that goes back over 50 years, MLM has been scrutinised by probably more regulators than almost any other industry, and continues to be subject to intense scrutiny, MLM has grown to be the distribution method of choice for many companies:

  • Robert Kiyosaki has applauded the industry. Check out his video clip.
  • Donald Trump has even endorsed and promoted a MLM (ACN, the world’s largest direct seller of telecommunications services) and featured one of their products on Celebrity Apprentice.
  • Warren Buffet has bought several direct sales companies including Pampered Chef and is reported as saying “dollar for dollar, it’s the best investment I’ve ever made.”
  • Sir Richard Branson, founder of Virgin Records and a host of other Virgin companies, founded Virgin Cosmetics in the UK — a direct sales company.

And, seriously, it sure as heck can’t be related to the unreasonable expectation that everyone who joins a MLM company is going to make a bucket of money – that is just impossible!

Let’s face it; do you remember the job interviews where you got the pitch about the great career prospects that were on offer for you in the company? And how you could go all the way to the top?

The reality is that it didn’t happen and wasn’t ever likely to happen. We just knew that believing otherwise is just fairy tale stuff.

The standard business structure is the same – a pyramid shape – where the chance for most of us ever crawling up the pyramid to the top is about zero.  Of the 350,000 who work for GM only 1 gets to the top – no level playing field; no chance for an aspiring new recruit; and very long odds.

In a MLM business everyone starts with the same opportunity and can reach the top levels regardless of when they start and what their background is – as long as they have a determination to treat their business as a business not a lottery.

And the odds of making it to the top? About 1 in a 1,000 – better odds than 1 in 350,000

So, what is the real reason so many apparently have a negative attitude towards a good, solid, open business opportunity that gives someone willing to invest some time the chance to live life for real?

More on that in my next post.


Are You Thriving or Surviving?

March 4, 2010 at 4:02 am | Posted in Business, Health & Nutrition, Lifestyle | Leave a comment
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The world has changed and changed dramatically in the last few years and things will never just go back to the way they were. And, if we are to thrive in this new world, we also are going to have to change.

Why not start by taking a few moments and click on the picture to preview Robert Kiyosaki’s new DVD “An Unfair Advantage”

His message is clear – it is no longer “business as usual”.  Now is the time to talk control of your own life, now is the time of massive opportunity. Now is the time to build your financial IQ and move quadrants.

 The outlook for financial security and a  life of abundance is bleak for most who are relying on a good job, retirement funds and a long healthy life.

 But, we had to expect it!

After all, the baby boomers have defined every phase they have moved through since 1946, so why not the whole landscape of retirement, health care and taxation?

Around the world, governments are facing the same challenges.

  • How to fund health care with an aging population that will have longer life expectancy and a health system that is getting more and more expensive – and one that is not delivering the quality of life expectations consistent with massive expenditure.
  • How to support this massive growth in the number of retired as the  leading edge of the Baby Boomers reaches 65 in 2011? This jump will continue for the next 40 years with over 25% of the population age 65 or older and a shrinking ratio of employed tax payers compared to the number of retired people.

According to the IBM report “Healthcare 2015: Win-win or Lose-Lose?” this trend exists in most developed countries. 

  • The United States spends nearly 2½ times the average of the OECD countries. yet the World Health Organization ranks it 37th in overall health system performance.
  • In Ontario healthcare will account for 50% of governmental spending by 2011, two-thirds by 2017, and 100% 2026.
  • In China, 39% of the rural population and 36% of the urban population cannot afford professional medical treatment despite the success of the country’s economic and social reforms over the past 25 years.
  • In Australia, the states’ health spending is already growing at 11% a year compared with revenue growth of 3% to 4% a year.  The Prime Minister, Mr Rudd said “If current spending and revenue trends continue, Treasury projects that the total health spending of all states will exceed 100% of their tax revenues, excluding the GST, by around 2045-46, and possibly earlier in some states.”

 So, there it is.

The future for ourselves and our children (and grandchildren) is higher taxes, massive government fiddling with a broken system, and a reasonable expectation that we will be faced with dramatically increased health costs.

  • We will pay higher taxes.
  • We will live longer though not necessarily better.
  • We will require a retirement plan that supports us through a longer and much more expensive retirement so we can enjoy the fruits of our labours in an active, exciting, retirement.

 But how do we make it happen with depleted funds and the clock ticking?

 #1       Do everything possible to stay out of the health system.

Let’s face it, it’s a bit of a misnomer, “health” system – it is all about sickness, not wellness so it seems like a really good start to be well so you don’t have to go there.

No one chooses to go there but if you have to it will also be expensive. Health insurance has limited cover, and who wants to spend their retirement in doctors’ clinics or hospitals?

A focus on prevention and some lifestyle changes would be just the ticket.

#2       Since we look to be around much longer than expected we need to sort out our finances.

Very few have retirement plans that include an ongoing income that is sufficient to allow them  the lifestyle they desire. And for those who are in better shape financially, living longer is still as much a financial as it is a health issue.

A focus on creating solid passive incomes is essential

Check out my website to see what I am doing to address both these challenges.

And, if you want to know more about why Robert Kiyosaki recommends networking marketing then watch the video and see for yourself

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