During one of my recent talks on the benefits of multiple sources of income, a gentlemen in the audience asked me a very interesting question. He said, “When it comes to network marketing companies, how do you decide which company to go with when there are so many out there?”
I told him that I understand how mind-boggling, and sometimes frustrating, it can be, especially when every independent distributor claims that they have the best company, the best product, the best compensation plan, the best timing, etc. I gave him a few things to look for in a network marketing company and felt that I had answered the question quite well.
Since then however, this question has stayed on my mind. I’ve thought a lot about it and wondered if many others have this same question. Throughout my time in network marketing I’ve found that, often times, people get into this business because a friend asked them to join. But, 95% of the time, the person quits because they were not fully aware of what they were getting into. I have come into contact with so many people who did not take the time to evaluate all aspects of the company they began working with, either because of a lack of business knowledge, or simply because they got so excited and just wanted to get going.
I decided that since this question was weighing heavily on my mind, it must be one that needs a definitive answer. So, I have put together some questions in 6 important categories for you. These are questions that you should ask the company leaders. They will help you evaluate the company, and make an informed decision. By getting these answers, you will feel much more confident that you joined the right company and that they will meet your expectations and align with your values.
1. Company’s Management Team
• What is the reputation of the person (partners) at the top? Google their names on your own to find out more.
• What are the company’s financial strengths and long-term growth plans?
• What has made them successful in their previous positions and business ventures?
2. Product Offering
• Is the product mainstream, unique enough, and does it still have “sex” appeal?
• How does it generate repeat business and is it a consumable product?
• What is the price point and how affordable is it for your target market?
3. Target Market
• Is the industry poised for growth? (for example: the Wellness Industry is into the trillions now)
• Who is the target customer? Baby boomers, generation X, generation Y?
• Who is your competition and how will they affect you?
• What stage of the marketing S curve is it in? Concentration phase is ideal.
• Are the expansion opportunities global and unlimited?
• What is your exit strategy – is the business sellable or willable?
5. Compensation Plan
• How innovative and competitive is the pay plan?
• How much is required to invest and how long will it take to see an ROI?
• Is there a leveraging system and duplicatable model to enhance earning potential?
6. Support & Training
• What kind of training, coaching & mentoring is offered?
• How open is the communication between corporate and the sales field?
• What is the opportunity for continuous learning and growth?
List out all the pros and cons and then, once completed, really evaluate how you feel about the business venture. Does it resonate with you? Do you feel more confident about the opportunity, now that you have done your due diligence? Does it get you excited?
If you answered yes to these final questions, then you are ready to make it happen!