How much do network marketers earn? We’ve all seen the glamorous promotional videos of people usually in exotic locations sharing how much they now enjoy financial and time freedom because of the money that they’ve earned from network marketing but is that the case for everyone?
In a survey of over 4200 network marketers across different companies done in 2017, it was discovered that the range of incomes was between $0,00 per month all the way to $2,200,000 per month for the top earner on that list. That range shows you the possible earning potential of MLM. Network Marketing is a results-based reward system therefore you can’t put a flat figure because everyone’s effort level is going to be different.
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How Much Do Network Marketers Earn Exactly?
There are a lot of variables that come into play here. Asking how much money a network marketer earns is like asking how much a business makes. The same logic applies because each business is a reflection of the owner of that business.
A lot of things need to be put into consideration as well as the industry and location that the network marketing company is in. Does the company have a good product? Do they have good systems and support? Are they a legitimate network company to begin with and not just a Ponzi scheme?
All these questions are very important and you need to make sure that you select the right company to work with. The biggest reason by far is:
You remain the biggest factor to the success or failure of your network marketing venture. Without a doubt, the MLM industry has made a lot of money for a lot of people worldwide and you can also get onto the bandwagon.
Contrary to popular belief, all the money in network marketing doesn’t go to the people at the top in a well-structured company. It’s all about how much work you put in. There are many accounts where a downline because they work harder and smarter, makes more money than their upline.
The destiny of your Network Marketing business really does lie in your hands as cliché as that sounds. This fails to be the case, however, when you don’t pick the right company to promote. There are a few things that you need to consider before jumping into the deep end as far joining a Network company is concerned.
Picking the Right Company to Promote
There are a few factors that come into play when you are deciding on the right Network Marketing Company to promote. Statistics say that 2000 MLM companies open every year and only 15 make it to the end of that year.
Network Marketing companies can experience very fast growth and a lot of businesses are not structured to handle this exponential growth and collapse on themselves. This is mainly due to inexperience on the part of management.
This is just one of the many reasons why you need to make the right decision when it comes to choosing a multi-level company. I have been part of MLM companies that grew very quickly then all of a sudden just shut down.
You don’t want to have to be the person who recruits a lot of people into a company that eventually fails losing people’s money in the long term. Even if you don’t own the company, people will blame you because you are the one who would have invited them to that opportunity.
Because of these factors and more you need to do your due diligence before joining an MLM company. I will give a few things to watch out for so that you minimize the risk of getting burned as well as to maximize your long term earning potential.
What Product is the Company Promoting & Does it Sit Well With Me?
Firstly, look at the product that the company is promoting. Is it something that you would be comfortable promoting? Do you believe in the product enough? For some, this may not be something that they give a second thought to but this is super important for me.
The company has to have a tangible or intangible product that they are promoting to the public and not just be a case of money changing hands. When it’s just you paying each other money without a real product exchanging hands than that, ladies and gentlemen is known as a Ponzi scheme. Run for your life.
I want to be comfortable enough to promote this product then be able to sleep at night.
How Long Has The Company Been Around?
Next, look at how old the company is. I gave you the stats earlier on and a lot of MLM companies start then crush and burn all within a short period of time.
If a company is less than 2 years old, I usually don’t join it. As I said, I’ve joined a number of companies that start out well, pay a lot then gradually start cutting their payouts before stopping altogether.
Who Are The Owners & What Is Their History?
Once a company satisfies these criteria, the next step you need to take is to research who the companies owners are and their history. Have they been part f other failed MLM ventures or do they or anyone on their team have experience building a successful MLM company?
How is Their Compensation Plan & is There a Quick ROI?
Next, look at their compensation plan. Is it simple for someone to start making money right out of the gate? This is super important when you are recruiting others to join your business, they need to see how they will be able to make money with relative ease.
In this regard, the cost of starting in the MLM has to be low enough and they need to be able to make money relatively quickly after joining. A lot of companies miss it because it is just too expensive to get the business starter kit let alone start making money.
People need to see how they can get a quick return on investment (ROI).
Can the Business be Done Both On and Offline?
People are different and you’ll have those who prefer talking directly to people and those who are not. The business needs to appeal to both of these people. If the business gives you the choice to promote it on or offline then that’s a good business for you.
You can have stay at home moms who are full time in the house but can leverage the internet and build strong organizations that way. This added flexibility will help you to recruit a lot more people than you would otherwise have.
There are a lot of other factors that you can consider but the ones I have described here should at least cover the bases as far as choosing the right company is concerned.
Can Network Marketing Make You Rich?
According to Les Brown and a few other people, network marketing has produced the most millionaires compared to any other industry in the world. I’d be hard-pressed to find logical reasons to dispute that.
Network marketing really is an industry where you can write your own check as long as you are willing to put the work in. If you work hard at it, there simply is no reason why you cannot make six or multiple seven figures per year in MLM.
Thousands or perhaps millions of people worldwide are making fortunes through Network Marketing. They have believed that the product or company they are promoting I worth its weight and have in turn passionately promoted the business and reaped the rewards.
I’ll make a disclaimer here that there are those who have made it in this industry solely because they simply wanted to make money and were driven by one thing or another to go all out and make it in that particular business.
Is Network Marketing a Good Career?
If you manage to do your due diligence, pick the right business, and work hard, Multi-level marketing can be a really fulfilling career. There are many who started out in MLM, left their jobs, and have not looked back since.
It can provide you with a career and lifestyle that you may currently only be dreaming of. A career where you control your own hours can travel the world and leave a legacy of wealth for your family.
What Is The Success Rate of Network Marketing?
Let’s now look at the success rate of network marketing. How many people actually make it in MLM? In 2018, the AARP Foundation did research, and their findings were that of 20,000,000 Americans involved in MLM, around 73% of them lost or didn’t make money.
The major reason that a lot of people don’t make it in MLM is due to the fact that they don’t possess the right mindset. I’m not talking about positive thinking here; I’m talking about a business/ entrepreneurial mindset.
The larger part of humanity has been programmed from birth to go to school and get a good-paying job while a few of us have been taught the alternative. If you want to make it in MLM, you need to develop a different way of thinking.
Fortunately, it can be done and there are vast resources available online to help you do that.
So, how much do network marketers earn? It’s difficult to put a number to it but there definitely is a great window of opportunity for those who chose the right company, have a serious work ethic, and approach network marketing with a business/ entrepreneurial mindset.