The Lies and Hype of MLM
If you've been on the Web for any length of time at all, you've seen the E-mails and Websites promising Wealth
and Riches. And many of us have been dragged to some so called Opportunity Meeting. Circles are drawn on some board, getting
bigger and bigger as they go out from the center, which is supposed to be you. Promises of easy Wealth are made. It's laid
out so simply, you think that anyone can make a fortune almost overnight.
Most of this kind of thing is made up of Lies and Hype.
So, how do you separate the Hype from the Truth?
Before I get into this, let me say that MLM or Multi-Level
Marketing, some times called Network Marketing, is a real business model. And if it's set up correctly and worked
in the right way, can make money for the people working in them. Not all MLM's are scams or illegal pyramids. There are real
Companies that are set up in a Multi-Level Marketing structure that are legal.
Dish Network, Fuller Brush and Watkins to
name just a few, and most of them have been around for years and years.
With that said, many MLM Opportunities are marketed with loads of Lies and Tons of Hype.
And I am going to lay out all the Lies I can think of so you don't get ripped off.
MLM Lies and Hype
- Anyone can Make Money with this
That is the single biggest Lie of all. Making money with any MLM Opportunity is not for everyone. No
matter what the program, what the products or what the Hype says, most people will NEVER Succeed at Network Marketing.
Anyone considering joining some Network Marketing Opportunity needs to know that it's going to take Time and Work to make
any money.
They will tell you things like, make a list of everyone you know and start calling them. This plan has never
worked for most people and never will work for most people. Telling people to do this, saying that this is the way
to start, is a Lie. If you start off this way, you will fail, you will alienate your friends and family and
you will drop out, losing any money you've already spent.
- Thousands of People are getting Rich Online
I haven't researched this often claimed piece of Hype, but from what I can tell, it's also a Lie. Thousands,
if not Millions of people online are Trying to get Rich, but most of them hardly make a dime.
Somewhere back in the late '90's, everyone got the idea that if you had a Dot Com of your own, you were
set for life. That anyone with a Website was raking in the Cash. Forget about it. Even some of the people you think
are doing pretty well, are just getting by, working second jobs and scratching their heads and trying to figure out how to
make enough to live off of.
Just because you have or some company has a Website, doesn't mean anyone is making money.
Yes, there are people who are making lots of money online. But it's only a hand full compared to the numbers of people
trying. And they have been at it for years. Or they are out and out Con Artists.
- The Website does all the Selling
Lie, Lie, Lie... Sure, having a good workable Website helps, but it's real human contact, even
if it's only through E-mails or phone calls, that makes the sale. At least most of the time. MLM wants you to believe that
all you have to do is get people to the site they give you, and that some magic will happen that causes them to spend their
money.
No Website is going to Sell for you. Sure, some people will be persuaded to join or buy because of what's
on a Website. But not many.
And the hardest thing to do, is get people to a Website. People spend hundreds, if not thousands of
dollars advertising and marketing, just to get people to visit their Websites. People work hard trying to find new ways to
get people to their sites. Long hours building and tweaking site code and submitting to Search Engines and writing ads, just
to get a few visitors.
Let's look at it this way, for every 100 people who click onto a Website, less then 1% of them will buy anything,
depending on what is being sold and where the visitor found the link to the site. If you're lucky.
If your site has some way for people to request more information on a product or opportunity, you might get upwards of
5% to 10% requesting that information. But of those people, only 1% to 5% will eventually buy if you contact them with the
right offers and in the right way.
If you can build a relationship with people, if they can get to know you and learn to trust you, they are much
more likely to buy from you or join something through you. But it takes time and it takes work.
Does that sound like the Website is doing all the selling to you?
- Our Products are Competitively Priced
While some MLM Companies do offer their products for prices that are reasonable, most of them OVER Price everything they
offer. Don't believe me, just compare the costs of finding the same things off line or through a non-MLM company.
Their come back for over pricing is that their quality is better. That is a debatable point. Their quality
maybe be very high. But will you be able to sell those high priced products to ANYONE who is not interested in the Opportunity?
That is the question you are going to have to ask yourself. Because in order to succeed at any Real
Network Marketing Opportunity, you are going to have to be able to retail their products without dragging someone into the
program.
The real reason MLM prices are higher, is to pay all those commissions to members above the seller.
- We can Sell for less because we cut out the Middle Man
See the above for the explanation for this Lie. The middle man hasn't been cut out, he's just been turned
into your upline.
- Just Sign up XX people or Sell XX amount and your costs are covered
This Hype built on a what is very close to a Lie, and is based on the idea that you will be able to sell.
Most people couldn't sell a Space Heater to an Eskimo. So, in that sense, it's a Lie. The company is going to make
money whether you sell or not. So watch out for this Lie and make sure you Really like what they're offering before
you spend the money for it. Because chances are you're going to be stuck with it.
Of course the company would like you to sell and will offer helpful tools to help you accomplish this feat. But
at what cost? Many times these selling tools are making the company a handsome profit as well, even though they are
supposed to be offering sales tools at cost or very close to. In fact, some of these companies make more from selling
sales tools then from selling their main products.
Something to keep in mind if you're thinking about MLM, the average person in any MLM or Network Marketing
Opportunity is only able to bring "In" 2.5 people. That means there's a lot of people who don't bring
ANYONE IN.
- This will Rock the Internet World
This is a line I have seen on Hundreds of New MLM Opportunity sites. If they all Rocked the Internet, I'd be
shaking right now.
This is a Lie built around Hype and is designed to get you to jump into something new.
This is another example of Opportunity Hype. It's designed to generate excitement and possibly dollars
before a program launches fully. There may not even be a product yet, they may not even tell you want the product is going
to be.
Asking people to Pay during a Pre-Launch period is a Big Red Flag. Warning, these clowns don't have any money
behind them and they want yours.
Some new opportunities may use the Pre-Launch Hype to be able to show possible investors that there is interest in what
they are going to be offering. A large number of Pre-Launch enrollees, might be use to garner funds to support a full Launch.
You may never know if this is the case, but you should be aware of the practice.
A small number of Pre-Launch Opportunities are out and out lies, there is no product and never will be.
It's a big Lie designed to build a mailing list of people interested in Opportunities.
- The Company Will Give You XX members
This is Hype that will turn into a Lie over time. Even if they could give members XX sign ups in the
beginning, in a very short time, this practice will become impossible. No matter how much advertising one person or one company
does, it will not be able to bring in the numbers of new members needed to fulfill this promised Hype. Therefore,
promising to place any number of members under a new sign up, is a Lie.
- No Recruiting, No Selling
LIE, LIE, LIE... If no one recruits and no one sells, where is the money going to come from to pay anyone
anything? Like the Hype above about placing XX number of members under new sign ups, this LIE cannot be fulfilled. If the
company and only a few are marketing, at some point they and the Opportunity will run out of steam and die.
The No Selling LIE, goes hand in hand with the Lie above about the Website doing all the work. The Lie
goes something like this, "You don't have to sell, our Website does it for you. Just bring people to the site and it will
do all the work."
As I stated above, NO Website does all the work.
- Mr. Super Guru is behind Us
Hype and Garbage. The idea is to make you think Mr. Super Guru is going to be pushing this so hard,
you won't have to do a thing and you'll still make money.
This is Hype built on a Lie.
No Super Guru or team of Super Gurus are going to be able to generate enough business to keep any Opportunity
going. They will all run out of steam and the opportunity will die.
- I will Personally Place People Under You
This is a LIE told to some prospects to get them to spend the money and sign on the dotted line. As
I have stated above, no one can honor these kinds of promises for long and many Con Artists will make this kind of promise
and have no intention of honoring it.
Never believe this Lie and never join something because of it.
- We are Not a Pyramid Scheme, We offer a Product
This may or may not be a LIE. But just about every MLM who offers next to nothing for a product
will have this statement or something like it on their FAQ page. When you see it, you need to disregard it and look over the
offer for yourself.
Whatever they are offering as a product has to be Real. What I mean by that, is it should have a Real
Value in the Real World. Anyone can "Say" something is worth "So Much" but is it really?
I could say, that the information I am giving to you here for free is worth $150, and who's to say it isn't.
Unless you know for sure that similar information is being sold for $150, you can't know if what I'm telling
you is a Lie or not.
You will see values like this placed on many E-books and software offers all over the Web. But who's
to say what anything like this is worth? You only have the Websites word that the information or product is worth anything close
to the price tag they put on it.
- Just Buy the Product and Wait for the Checks to Arrive
Bull.... Horse Hockey... Hype.... LIE... Warning, Con Artist at Work. This goes along with many of the
points I've made above. Someone has to do the selling or nothing will be sold and no one will be paid anything.
Some Companies will Hype themselves up with a structure like this. It's designed to suck people in with
the belief that all they have to do is spend $XXX.xx amount of money and months down the line, they will start getting checks
for doing nothing.
Companies that operate like this will hold Large Opportunity Meetings all over the World and Lay out this LIE
in order to make themselves money. At some point they will either run out of suckers or the Government will
step in and shut them down. Either way, an opportunity that has any kind of structure like this, is Doomed to fail.
And so is every person who bought into it.
Okay, you tell me this... If everyone joins something for free, where is the money coming to pay anyone anything?
The only Opportunities that I know of that might earn it's free members something, are the many Paid to Read E-mail or
Paid to Sign Up or Paid to Click programs out there. Which means that in order to earn anything at all, you will have
to either Read E-mail advertising, view lots of Websites or Sign up for different offers.
There are people who will pay these companies to have people read their E-mail ads, Click on their sites or sign
up for their offers. But How Much are You going to Make doing this?
Not much, we are talking Pennies here. A few cents. Maybe a dollar or two depending on what you have to do. But is that
really going to make you Rich?
The only way to make any Real Cash with these kinds of Opportunities is to recruit a large, and I mean a VERY
Large number of people under you, so you can earn a percentage off all they do. And that's a LOT of Work.
Free to Joins that promise large Earnings are Lying, for the most part, and will require great effort to earn much of
anything.
And many Free to Joins will force you to upgrade at some point to earn anything close to real money.
They use the Free to Join to Suck you in. Once you're in, they use many different tactics to make you believe you are passing
up a fortune by not upgrading. See below:
- Upgrade Now, You're passing up a Fortune
LIE, LIE, LIE... As I stated above, some Free to Joins will use that as a tactic to suck you in, then
hit you will mail every other day, telling about all the members who are joining and upgrading below you. Making you believe
that you are missing out on Hundreds of dollars as a free member.
This is an Out and Out Lie, 99.999999% of the time. Either the members who are upgrading are NOT under
you and you would see NO benefit from them or if You haven't Personally Recruited them, you will NOT Benefit from ANY upgraded
members under you.
Don't fall for this Lie. Or Any of the other Lies.
That covers most of the MLM Lies and Hype that's out there.
At least the ones I can think of at this time. If I come across or think of any new ones, I'll add them to the page.