New Business Revolution

Saturday, December 8, 2012

Why People Hate MLM?




Why People Hate MLM?



Why People Hate MLM? This is a question which has been in my head for years until recently. Personally I am convinced that MLM is the best concept ever and it is truly the business of the 21st century. However, I know a lot of people who are strongly against MLM and would rather have a 9 to 5 job for the rest of their life, thinking that is the “right” thing to do.
Recently I read a book from Seth Godin titled “All Marketers Are Liars”. Of course he doesn’t really mean that. The title is really to grab attention. What he wrote in the book really makes sense. One of the points which has profound effect on my thinking is the concept of “not trying to be average and please everyone”. He wrote that if you design a product to appeal to everyone, you will fail. If you have a marketing campaign which try to please everyone, you will fail too.
In the 18th, 19th or 20th century, if you have a product aimed at the general public and you do good advertising, you win. In the 21st century this doesn’t work anymore. In the 21st century, you need to be special, extraordinary and focus on niches.
Why People Hate MLMIn Aug 2012, Apple became the biggest company in US history. Apple’s products are hardly mass market products. You probably see a lot of people using iPhone or iPad now, but when iPhone first came out, it only attracted a small percentage of mobile phone users. It was targeting a niche, a small group of individual, not the mass market.
Starbucks coffee is everywhere across the world. However, when Starbuck first started, $2 a cup coffee did not appeal to the mass market. Who would want to spend $2 on a cup of coffee when you can get one for a fraction of the price? Surely it was not aimed at the mass market, right?
Even today, there are a lot of people who are anti-starbucks or anti-apple.
So lets get back to the original question.

Why People Hate MLM?

Simple. It is not for everyone. It is not aimed at the mass market. It is a concept which attracts a selected group of highly motivated, goal orientated entrepreneurs who have dream and the determination to make their dream come true. It is not for the 90% of people who just want to have a 9 to 5 secure job and go home to watch TV or go to the pub for a drink after work.
You don’t learn MLM in schools, colleges or universities. It has not reached the mass market like iPhone or Starbuck coffee has.
So what do the 90% of people do when they see a small percentage of people who do well in MLM and make a lot of money? They say it is a scam, it is illegal pyramid scheme and it is wrong! They either don’t understand it, misunderstand it or in denial that it is a better way forward.  Worse if they tried but failed (usually because they didn’t try hard enough and gave up too easily). These people hate MLM because they are simply not able to do it well.
Don’t get too worry if your friends tell you your MLM business is a scam or pyramid scheme. Don’t get too upset if your family do not support you. Remember MLM is for the elite 5 to 10% of people. It is not for everyone. It is not for the mass market (the products may be, but not the business opportunity). You are in the elite group, they are not.
Why People Hate MLM? Well.. as Jim Rohn said, it is just the way it is. Don’t lose sleep thinking about it!

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