Multi-level marketing, will humans ever learn?

by free2beme 16 Replies latest jw friends

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  free2beme

  I have a great business idea for you, your going to need to invest a small amount and get your friends involved and within a year or less you should not even have to work at all and just sit back and let the money roll in. Heard it, done it and for god's sake will people stop falling prey to these things. Amway and Quickstar are the same company! When I ask Quickstar people about this, guess what their response is? The same canned responses we gave as Witness when people asked about old understand, sounds so a like. If someone comes up to you and offers a new business program that sounds so wonderful you can hardly believe it, don't believe it. Even if someone says, "but I know people who have made money from this!" That does not explain all those who did not, and it does not take long to learn how many did not. Multi-level marketing, no matter how nice they package it, to seem like something else, is a scam! Amway has reinvented themselves multiple times and will do so many time. My in laws are now in some health multi-level marketing scheme, and I must say, Witness seem prone to it. They want to bring it up all the time, talk about how they have more energy and are losing weight from the stuff they take, etc. The baiting to a full blown sale, yuck! Want to loss weight and feel better? Eat right and exercise regularly, there is no miracle cure and if their was, it would not be sold with multi-level marketing. Sorry, need to vent, so many lemmings in my life at work and in family that fall prey to these jokers.

  Anyone else feel this way?
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  Confession

  free2b,

  As someone who has LOTS of experience with MLM, let me be clear: I will never again become involved in an MLM product that involves approaching my friends, relatives, etc. I will never come to believe that an MLM plan will provide me with an extraordinary income. I will simply NOT go down that path.

  That said, I'll also say this: I do know people who have made lots of money--and have been able to put away a tidy sum for their retirement by involving themselves in MLM. You may say that this does not eliminate the fact that so many have failed to find success. I don't see a huge difference between this argument and the one that people used to try and keep me from starting my own Advertising Agency eight years ago. They came out of the woodwork to ask me if I had any idea what I was getting myself into in quitting my job. "Did you know that 4 out of 5 businesses fail in their first five years?" was a popular question asked of me.

  Yes, I did know that. I also knew that 4 out of 5 people did not have the entrepreneurial spirit that I have. In my experience, most people will pine for the security of a regular paycheck over the freedom of owning their own business. They may fail for a variety of reasons beyond their control, but I submit that for the majority, they're just not cut out to be entrepreneurs. I'm glad to say my (non MLM) business has been and still is healthy and successful.

  So am I contradicting myself? I don't think so. While I know that the great majority of people will fail at developing an MLM in the way they once dreamed, I believe it is because the great majority are just not cut out to do what it takes to make it work. The truth? Some actually are. If someone is inclined to put forth the effort needed--and is in a position to do so, they can make it work. Me? Hell no...

  Here's another thing. Today, a few of the people I know making a success of MLM are doing so through the use of the internet. There is no approaching friends or family. There is only an automated system that involves their own website and permission-based e-mails to those who express interest. The time formerly spent in having Amway or Shaklee meetings? Gone. They may spend 2 or 3 hours per week answering e-mails--but most of the time their system doesn't even require that of them.

  And consider this: the big problem with some of the old-fashioned, Amway-style MLMs was the way they dangled millionaire dreams in front of people. What if they stopped doing that? What if they only offered such an opportunity as a way to make an extra $300 to $500 per month? It's certainly nothing that's going to replace their job. But imagine how that money would stack up if they were able to put it into a long-term IRA? This mindset is exactly why bestselling authors like David Bach and Robert Kiyosaki (Rich Dad, Poor Dad) are actually beginning to recommend MLM opportunities. Not as get-rich-quick schemes, but instead as income streams that can, over time, help people put away money for their retirement.
• 

  pseudoxristos

  free2beme,

  I've always found it amazing how similar the Watchtower's techniques are to Amway.

  Before and after my ex-wife became a witness, she fell for every multi-level marketing scheme that came along, including Amway.

  In a way the Watchtower is running its own multi-level marketing scheme. Instead of becoming wealthy, the goal is to obtain everlasting life. One of the big money makers for Amway is the sell of its training aids. These are pushed upon the participants much like the Watchtower pushes its literature on Witnesses. And of course Amway participants and Witnesses must continuously recruit new ones. All of this is re-enforced with meetings and association with other like-minded individuals.

  pseudo
• 

  JAVA

  My in laws are now in some health multi-level marketing scheme, and I must say, Witness seem prone to it.

  As the saying goes, "There's a sucker born every second," and JWs buying into pyramid scams proves that you can keep fooling the fool.
• 

  Mulan

  Here's another thing. Today, a few of the people I know making a success of MLM are doing so through the use of the internet. There is no approaching friends or family. There is only an automated system that involves their own website and permission-based e-mails to those who express interest. The time formerly spent in having Amway or Shaklee meetings? Gone. They may spend 2 or 3 hours per week answering e-mails--but most of the time their system doesn't even require that of them.

  That's how I am doing it now. 12 years ago, when I started, I was still an active JW, and all my JW friends and family joined up and bought products too. Many of them also sponsored people, so I was one who did make money. In recent years, I have become inactive to all intents and purposes but get lots of activity through my website and still make good money doing very little. I spend more than 2-3 hours a week though. I made my own website though..............it's not an automated one from the company.

  I've always found it amazing how similar the Watchtower's techniques are to Amway

  That hit me too after we left. One of my friends in my company made an offhand comment one day about how JW's "network market" (another expression describing MLM) their religion. I was a bit offended when she said it, but realized she was right on. (I'm not with Amwya by the way)
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  Mastodon

  Oh Gawd I just remembered something that happened in our congo about 13 years ago. We had this elder, young, funny, you know the elder who always planned activities for the young ones. To this days, even if he is a dub, I must say he is a great guy. Anywhoo, he has his own businness, works from home, and my earliest working experiences was working for him, which was cool.
  Later he got into Amway, under another elder from a different congo. He got me and my best friend into it (I was 18 or 19), at least 2 more families in the congo got in too. I don't know about the States or other countries, but back in Puerto Rico the Amway 'leaders' would always end their 'pep rallies' with the phrase: "We'll see you in the beaches all around the world!" Obviously meaning that you would make enough money to retire and travel all over the world...
  Tragedy struck when our favorite elder was given the 'most honourable privilege', to give the main speech in that years memorial. And yes, you guessed it, at the end, just when he was supposed to say that we will all be living forever in peace in the New World, he said: "we'll see you on the beaches all around the world..."
  Plenty of the congo had heard the Amway pitch, so a lot of us knew he messed up... badly.
  
  IMHO I believe that MLM's like Amway and others, to some extent, use the same brain-washing techniques as the bOrg, to get people into buying into whatever 'dreams' their selling.
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  G Money

  MLMs go by the bigger sucker theory, you've got to recruit a bigger sucker than you! I have yet to see anyone make any money from them. Their goods are almost always overpriced to compensate eveyone who was wedged in between the consumer and supplier.
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  startingover

  I hope this doesn't hijack this thread, but I feel timeshares fall in the same category. Anyone else?
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  caligirl

  "What if they only offered such an opportunity as a way to make an extra $300 to $500 per month? It's certainly nothing that's going to replace their job. But imagine how that money would stack up if they were able to put it into a long-term IRA? This mindset is exactly why bestselling authors like David Bach and Robert Kiyosaki (Rich Dad, Poor Dad) are actually beginning to recommend MLM opportunities. Not as get-rich-quick schemes, but instead as income streams that can, over time, help people put away money for their retirement."

  As usual, confession, you have a great way with words. Rich Dad, Poor Dad is an excellent book.

  That being said, I will put myself toally out on a limb here, and accept that some will call me stupid and brainwashed and every other thing in the book- so be it, you are all entitled to your opinions. The way that confession worded it above ($300-500 per month to supplement income) is exactly the way I heard it presented, so I guess that is why I don't see it as a blood sucking waste of time. I see a business that offers high quality products (some are downright awesome, in my opinion), and pays a percentage of purchases back to the individual for their own purchases and rewards the individual for referring business to them, and a way to supplement income.

  Let's look at this illustration. What if Wal Mart said that as a thank you for referring business to them, you would be given a percentage of whatever purchases were made by you and people you send their way? They assign you an ID#, and the people that you refer to shop there obtain an ID # that links to yours, and you are given a rebate % from purchases. The people you send there also receive a bonus on what they purchase and from the people they refer How many of you would say that was a great idea and make sure you got that card number? ( How many of you jump at a discover card because they gove you a 1% "reward" for using the card?)

  And as for the friends and family element, if a friend or aquaintance of yours owns a store, would you be one that would avoid shopping there because you don't think it is right for friends to make any money off of people they know and fanatically avoid the store and black ball any product they sell and bad mouth them all over town, or would you be one to say that you would rather your friend make a living than Joe Blow down the street at the other store?

  I also think it depends on who is talking to you about Quixtar as to how it is presented. THough the dream big element is definitlely there, (and for some people that is what drives them) a resonable person talking to you about the business will also tell you that it is a great way to help your family in a small way. Whether it is giving you more free time with your kids because the stuff you need to buy is delivered to your door instead of having to pack the kids in the car and schlep around to multiple stores to get what you need, or a way to pay debts, or save money. A business like this can easily allow you to make $200-500 a month to save for your retirement. Check out a compound interest calculator on the web and see what that will do for you if invested that small amount for the next 20-30 years. I think most of you would be ASTOUNDED as to what that would add up to. Most people can't save close to that out of their day to day budget.

  And no, I am not denying that there can definitly be an element of fanaticism associated with Quixtar, though that fanatical outlook usually comes not from Quixtar, but from the business building tapes/seminar companies that are not actually owned or otherwise endorsed by Quixtar at all or the people presenting. And yes, I am aware that there are a lot of highly pushy people out there that give Quixtar a bad name, which is too bad. Any company that can operate debt free in today's society, and encourages debt free living is doing something right. And, if nothing else, the products, in my opinion, are high quality, and getting a rebate on stuff I have to buy anyways is not an evil thing. And if I manage to help my family as well by being able to save a little money to provide for my old age, or an inheritance for my kids, well that's not evil either.

  So attack me if you want, call me names, call me brainwashed, but I can't write off an entire business just because there are people out there who have given it a bad name by being off the charts fanatical and pushy about it. My hat is off to anyone with the enterprenurial sprit, whether it be in traditional business model, or affilitate marketing, or MLM, or whatever you want to call it. That is my 2 cents.
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  startingover

  I'm not familiar with Quixtar, but I have noticed that MLM's rely heavily on internal consumption. I have been self employed for most of my adult life, so maybe I saw things from a different angle, but I remember when I was introduced to Amway, it seemed to me they were making people feel important when in reality these same people were the ones that were buying the most product.

  Like the guys in the informercials promoting real estate opportunities. I think they make most of their money from the infomercials, not real estate investing. There is always the desire to make quick money and I think MLM's just like infomercials have proved to be an effective way to market a product using that as incentive.