To be effective in network marketing is easier than ever. The days of approaching your friends and family about your business opportunity are all but gone.

In the year 2009 effective network marketing means combining the best of 2 worlds: superb communication often taught in the offline world and the power and leverage of the Internet. Effective network marketing is a cinch if done right.

A Double Edged Sword That You Must Wield

If you are only relying on the old offline methods of network marketing you may be wasting a lot of time. In today’s marketing place, the old methods of network marketing won’t work. On the other hand, if you are building your MLM business using only the internet, you may end up struggling just as much. Using both methods in combination will give you a lot of leverage in your business.

Network marketing is sometimes called relationship marketing — to be effective in network marketing you need to be good at developing relationships with people. There is an old say that if you want to see how successful someone will be, just look at their rolodex. Building solid relationships with people is the most effective way to build your network marketing business.

More than ever people are sick and tired of flashy presentations that send messages of the glamorous life on the beach in Hawaii with the sports car. Of course many people may want this but as a strategy for attracting people to a MLM business opportunity, it’s becoming less and less effective. As appealing as the online automated business building system are, they too are very ineffective for building a MLM business. Without personal interaction, a MLM business is likely to go as quickly as it came.

Using Offline & Online Marketing Strategies In Tandem Is Key

Using the internet, it’s possible to generate 100’s and 1000’s of leads for your business. You can further qualify these prospects through automated marketing systems so that you get the most qualified prospects delivered to your inbox. The next step in the process is to develop a relationship with these prospects. Once you get these 2 elements happening in your network marketing business, you’ll be very effective.

What Doesn’t Work;

* Approaching people that never expressed an interest in a home business.

* Generating leads online recklessly without the intent of building personal relationships.

Effective Network Marketing – 4 Easy Steps

1. Attract leads that are truly interested in a network marketing opportunities.

2. Get the person’s contact details by offering them something of value, something they are looking for.

3. Leverage automated marketing tools to initiate a first response from the client, this ensures you are spending your time with the most interested people.

4. Always try and speak with your potential clients on the telephone within the first week to start the personal relationship building process.

These four steps are very simple but also very effective for building a network marketing business. Once you have each one of these steps working well, you’ll never need to wonder where your next prospect is coming from.

Why is the failure rate in network marketing so high? People are attracted to this industry because they want time and money freedom but many never stick around long enough to realize that dream.

Most of these people have invested a sizable amount of cash to get into their business opportunity and quite often have spent money on products that are tucked away in a cupboard never to see the light of day again.

Why Do People Give Up On Their Network Marketing Business?

The reason people quit their MLM is because they are not making any money. In fact, the vast majority of people are losing money by being part of a MLM business opportunity!

It takes time to make any real money in MLM, it’s definitely not a get rich quick scheme. Every now and then you hear stories of someone that got rich after sponsoring a superstar but it rarely happens in the real world.

Always wanting to get that network marketing super star on your team will be harmful to your long term success. If it happens it great but having a slow and steady approach to business will bring better results.

The Main Reason People Fail in Network Marketing

Not having enough capital to market aggressively is the number one reason people fail in network marketing. Depending on the MLM company, autoship requirements may be quite high leaving little or no money for marketing activities.

As the cost of autoship starts to pile up with no signs of success, peoples confidence in being able to succeed in MLM starts to wain. This is the time most people are likely to quit.

The period of time from starting a business to the point of it becoming profitable is sometimes referred to as the dip. Starting a business is easy but sticking through until you come out the other side of the dip and see profits takes patients, determination and focus. The average CEO takes about 25 years to work up to that position…sometimes it pays to stick at one thing for a length of time.

Getting Through The Network Marketing Dip

As mentioned earlier, a limited budget is one of the main reasons people fail in MLM. What’s the solution to this? One way that many savvy network marketers are getting through this dip is finding a way to bring in extra money while attracting their prospects. In many cases it’s a simple matter of creating a report that they can sell for a small price, typically between $20 and $40.

This has 2 major benefits;

1. The sales of these information products injects cash flow into your business which allows you to expand on your marketing.

2. The people that are willing to spend money educating themselves about building a MLM business are much more qualified than any people that you approach.

Creating Your Information Product

You don’t have to write an encyclopedia on your topic; a simple, well written 30 to 40 page report will do the job just nicely. If you have already written some articles you can just bundle them together so that they make sense and use that as your report.

If you haven’t written any articles before and you don’t feel confident to write a report, you can always outsource it. For a very reasonable price you will be able to get a very good report written, they will even do the research for you.

Another option is to sell someone else’s report and get a commission on the sale. There are quite a number of programs on the Internet that allow you to do this and at the same time you get the purchaser’s information so that they become your lead.

Killing 2 Birds With One Stone

As mentioned in earlier, lack of cash flow is one of the major reasons for failure in network marketing. The other major reason for the high failure rate in MLM is lack of qualified leads. This simple method of attraction prospects through good content and offering them an inexpensive report solves both of these problems.

Most of the top network marketers are building their businesses this way.

Did you know that 97% of network marketers never get through the dip that was mentioned in this article? If you’d like to know more about the secret of getting through the MLM dip and avoiding network marketing failure I’ve got just the story for you…

Why is the failure rate in network marketing so high? People are attracted to this industry because they want time and money freedom but many never stick around long enough to realize that dream.

To get into a business opportunity, people usually spend a reasonable amount of money and then on top of that they typically will spend money each month on products that may never get used…sound familiar?

Why Do People Quit Their MLM Business?

The short and straight answer to this question is because they are not making any money…plain and simple. Not only are they not making any money, more often than not they are losing money!

It takes time to make any real money in MLM, it’s definitely not a get rich quick scheme. Every now and then you hear stories of someone that got rich after sponsoring a superstar but it rarely happens in the real world.

In fact, banking on sponsoring an MLM superstar in the making is damaging for your long term chance of success in MLM. It’s the slow and steady building of a business that will bring more reliable results.

The #1 Reason People Fail In MLM

Not having enough capital to market aggressively is the number one reason people fail in network marketing. Depending on the MLM company, autoship requirements may be quite high leaving little or no money for marketing activities.

People’s confidence starts to waiver when the debt starts to pile up and no real visible signs of success are showing; this is when they are most likely to quit — they get out while they still haven’t lost a small fortune.

The period of time from starting a business to the point of it becoming profitable is sometimes referred to as the dip. Starting a business is easy but sticking through until you come out the other side of the dip and see profits takes patients, determination and focus. The average CEO takes about 25 years to work up to that position…sometimes it pays to stick at one thing for a length of time.

Making It Through The MLM Dip

If people are failing in network marketing due to a lack of marketing budget, what can they do about it? Many network marketers that are building their business on the internet are getting through this dip by making a profit while they attract targeted leads to their business. The easiest way to do this is to sell an inexpensive information product related to your home business or your product.

The has two big advantages;

1. The sales of these information products injects cash flow into your business which allows you to expand on your marketing.

2. The people that are willing to spend money educating themselves about building a home business are much more qualified than any people that you approach.

Creating Your Offer

Your report doesn’t need to be and exhaustive thesis on building a home business, a well written report with 15 or more pages will do fine. If you already have some articles written you can just put them altogether and use them as your report.

If writing is not your thing then you can always outsource the task. There are some excellent outsourcing companies on the internet and you will find that for a reasonable price you can get a good quality report written.

Another option is to sell someone else’s report and get a commission on the sale. There are quite a number of programs on the Internet that allow you to do this and at the same time you get the purchaser’s information so that they become your lead.

Having Your Cake And Eating It Too

Wouldn’t it be nice if you could get quick cash flow into your MLM business while at the same time attract highly qualified leads. This simple method of creating a report to sell does both these things. This takes away the 2 major causes for failure in MLM; no cash flow and no leads.

Many of the top MLMer’s are building their businesses using these exact methods.

Did you know that 97% of network marketers never get through the dip that was mentioned in this article? If you’d like to know more about the secret of getting through the home business dip and avoiding network marketing failure I’ve got just the story for you…

To be effective in network marketing is easier than ever. The days of approaching your friends and family about your business opportunity are all but gone.

To be effective in network marketing, it requires combining two major skill sets: interpersonal skills taught so well in the offline MLM world and mass marketing skills using the power and leverage of the internet.

A Double Edged Sword To Slay Your Competitors

If you are only relying on the old offline methods of network marketing you may be wasting a lot of time. In today’s marketing place, the old methods of network marketing won’t work. On the other hand, if you are building your MLM business using only the internet, you may end up struggling just as much. Using both methods in combination will give you a lot of leverage in your business.

There is an old saying, ‚to see how successful someone will be, look at how big there rolodex is‘. This is definitely the case in network marketing, it’s all about how many good relationships you can build over time. Sometimes network marketing is called relationship marketing.

More than ever people are sick and tired of flashy presentations that send messages of the glamorous life on the beach in Hawaii with the sports car. Of course many people may want this but as a strategy for attracting people to a MLM business opportunity, it’s becoming less and less effective. As appealing as the online automated business building system are, they too are very ineffective for building a MLM business. Without personal interaction, a MLM business is likely to go as quickly as it came.

Combining Online and Offline Marketing Is The Most Effective Way To Build A MLM Business

Generating thousands on pre-qualified leads online is just the start; the great network marketers take the next step and develop real relationships with the most qualified prospects. When you get the balance of this right, you’ll have truly effective network marketing system.

Here’s what doesn’t work;

* Soliciting random people offline.

* Generating leads online recklessly without the intent of building personal relationships.

An Easy 4 Step Approach To Effective Network Marketing

1. Use the Internet to attract people that are truly interested in work at home opportunities.

2. Offer something of value that people are searching for in exchange for their contact details.

3. Leverage automated marketing tools to initiate a first response from the client, this ensures you are spending your time with the most interested prospects.

4. Always try and speak with your potential clients on the telephone within the first week to start the personal relationship building process.

These fours steps are very simple but very effective for building a network marketing business; attract prospects, exchange information for contact details, further qualify, build relationships in person. Once you have this mastered, you’ll have an abundance of great prospects to speak with everyday.