Signs your MLM is failing
Restored from the Empower Network archive (2011–2017), lightly edited to meet our current advertising standards. Views are the original author’s.
There’s so much hype around MLM companies. Competitors will say your company is failing because ______ and your company leaders will say it’s thriving because ______. So who do you listen to? Here are the top 10 signs to pay attention to that your mlm might be failing;
- Continuous change in pay plans. Pay attention to your pay plan. Where is the income going? If the company is suddenly chopping incentives in half it might be a sign of financial trouble or tightening of the belt. This is usually one of the first signs .
- Top leaders leaving in droves. Okay, leaders leave companies for various reasons. Signing bonuses at another company, grass is greener, etc. However, if you start seeing the top leaders leaving in droves there’s a reason why. Remember, the top leaders have a vested interest in the company and usually have insider information that the newer recruits don’t have. If the company is public about their challenges then it might be time to rethink your position.
- The FTC or government is stepping in to investigate. This can get ugly. Pay close attention and decide quickly if it’s just a false alarm or something that you need to take seriously.
- Their website hits just suck. Visit alexa.com to see if your company website hits are growing or not. A company on the upward growth will see growth in website hits.
- Success leaves clues. Most importantly, pay attention to the people around you. Success leaves clues, big fat obvious clues. Are people buying cars? watches? paying off debts? what’s the attitude of those around you? Yes, some people will hold on to their income. But most will show a lifestyle change in some way. If you’re seeing the opposite then this is another sign that people aren’t making money. Example: I was with a company where one of the top leaders wore the same blue blazer to every presentation for the last two years. Not good!
- Their conventions are really dust collections. What are their conventions like? Are people excited to go? Do you see associates begging people to buy their leftover tickets? Or are people running to buy tickets to convention and seeing the event sell out like crazy. Example: I was in two facebook groups representing two different companies. One company there were crickets ‘heard’ in the group when people asked who’s going to convention, and the other group there was non stop posting about needing extra tickets, does anyone have extra tickets, etc.
- That story is getting old. What story are they telling? Is it the accomplishments the company had from years before? Or are they (corporate) accomplishing new things? If the story is that a company was a fortune 500 company from 1985 and there’s nothing since then, then it might be time to start hunting for something new.
- The same story goes with top leaders. Who are their top income earners? If it’s been the same people for the last decade then something is wrong. A company growing will have new and upcoming top income earners along with some of the first ones.
- Pay attention to some of the home based business publications. Is your company ranking there? Top income earners in the industry? Alexa hits? New top earners?
- Fake promotions. This one might be harder to see but often times when a company is starting to feel its first effects of loss they’ll start ‘promoting’ their leaders from within to create excitement. If someone went from one level for four years straight and then jumped three levels in six months but isn’t doing anything different and they have nobody in their organization climbing ranks then this is a big , fat, huge red flag.
If a company is failing it doesn’t mean it will fail. This is something to keep in mind. There have been many company that have seen huge dips and came back on top. Bigger, stronger, and better. Often times they make huge changes and reinvent themselves. If your company fell under any or all of the above 10 red flags then you need to ask yourself this question. Do I want to go through the pains with the company and take the risk of my time, energy, money, and team to possibly not make it out on top?
If your company isn’t getting with the program and on top of social media and internet marketing then chances are it won’t survive. The old ways of recruiting people (go out to the mall and meet a new ‘friend’) are going out like yesterdays steel toe boots. (yes, it’s that outdated) and social media and viral blogging is the way to grow your business now.
Find something that’s working and ride that super exciting growth wave that makes this industry so dang fun!
~ Did I miss something? Are there other signs your mlm might be failing? Leave it in the comments and I’ll add it! ~
** Tina Williams has been a student of the industry for over ten years and has worked with some of the top income earners, as well as reaching some top levels, winning free incentive trips, and been featured in home based business publications. **