Why So Many People Fail in MLM and What You Need To Do To Hit a Homerun


It has always amazed me how something that we all do everyday…. like share our experiences in our lives of what is happening – can get so twisted out of reality when people join a Network Marketing company.

I mean heck, we share our experiences about great restaurants, movies, and small businesses all of the time.  Most businesses thrive in today’s economy from referrals.

So why is it that as soon as people join a Network Marketing company, they feel they have to start selling like used car salesmen and get all over their friends and family like a bad rash.

Selling and sharing are two totally different things and if you ever want to make any real money in MLM its important for you to understand this distinction. The reason that most people fail in MLM and what you need to do to hit a home run is explained in detail in this post.

Why Do So Many People Fail in MLM?

In order to succeed with the MLM business model, its really important for you to understand that relationship selling is much different than conventional selling.  With conventional sales, a salesperson books appointments and presents their product or service with a goal to leave with a signed contract or check.  But relationship selling is much different.

According to the Direct Seller’s Association

Only 2% of people ever enroll on their first exposure
Only 3% of people ever enroll on their second exposure
Only 5% of people ever enroll on their third exposure
Only 10% of people ever enroll on their fourth exposure
80% of people enroll on their fifth to twelfth exposure

Relationship selling is very casual and it happens over a longer period of time. The prospect needs to go through a number of exposures, connections and introductions to people on your team until they feel comfortable participating in your program.

MLM is a lot like baseball – its a team sport.  You can only make real money in MLM when you are playing on a team.  The moment that you go Lone Ranger and try and do it on your own is the moment that the money stops flowing.

The team is the glue that keeps things together and as a TEAM LEADER it is your responsibility to keep communicating with your team and showcase all of the success on the team to the other players. Once the energy builds up to the point that the people have so much confidence in their team – they enter what’s called “The No Fear Zone”.

This  is when natural networking takes place -THE NO FEAR ZONE.

You will know when you are in this zone when you no longer come up against any resistance. Why?  Because you are no longer selling any products, you are simply sharing testimonials and stories of success with excitement.  BIG DIFFERENCE.

Here is a diagram that explains how to hit a home run in network marketing.  If you follow this formula, before long you will be nailing them right out of the park.

In order to get a HIT you need to learn how to build rapport.  The key to rapport building is finding things in common.  You can do this by asking people questions about themselves.

Family – By asking people questions about their family you can find things in common with them.  Are they married? Do they have children? How old are their children?  What nationality are they?  Where are their parents from?  How long have  they lived here? Where did they live before?

Occupation – What line of work are they in?  how long have they been doing it?  What do they like best about it?  What don’t they like about it?  What did they do before?

Recreation – Besides work, what do they like to do for fun.  Do they have any hobbies or interests?  Do they play any sports?  Are they involved in the community? Do they like to travel?  Where have they travel to?  Do they like reading or watching movies?

Motivation – Ask your prospect – If all of their bills were paid for them each month, what would they be doing with their time?  What is their real passion in life? What motivates them?  Why do they want to have financial freedom?

Remember that rapport building is all about finding things in common. The more you can find in common, the stronger a connection will form between you and your prospect.

Make sure that you have some some type of factual testimonial about your product experience and you can SHARE IT with excitement. Exactly like you would talk about a great restaurant or movie.  If you get no response. Change the subject and carry on like nothing happened. No different than talking about your great steak dinner that you had at the restaurant the other night, or the movie you went to on the weekend, or the book you just read.

How To Get To First Base

To get onto first base, you need to ask some questions that can identify if they know someone that could be looking for something. If you ask people for the referral instead of pitching them, if they are interested themselves they will tell you.

Do they know anyone that is looking for a career change? Do they know anyone that is looking to generate additional income? I tell my reps to picture themselves as international recruiters/talent scouts that are being paid $250,000 a year to find qualified people for both part time and full time positions.  The company we represent is expanding into 32 countries and we are looking for a number of key executives to head up the international expansion. Depending on a person’s qualifications, the company pays 6 figures per year.

If the person says that they themselves may be interested…

Tell them that you are not sure if they would be qualified, but you would happy to introduce them to one of the expansion leaders with the company.

Ask them this.  If there was a fit for you and you met the qualifications, what would you be looking for?  What would be most important to you?


Because the person is going to give you all of the information you will need to close them in the end.

Do not try to sell people.  You are simply a tour guide, or a traffic controller that is going to get people to a website, a webinar, a conference call, a hotel presentation, a luncheon or dinner or a meeting with someone else.

How To Get To Second Base

Something or someone other than you needs to present the opportunity.  If you try and present the opportunity yourself –  your prospects will feel that they have to learn all of that to be part of your business.  Most people will say they have no time to learn everything that yo just did, so you will lose more than 95% of your prospects. If however, all you do is ask a few questions and point them to a website, webcast, phone number or arrange a meeting with another person, they will see how they too can do this.

How To Get To Third Base

On third base you need to bring in your team for third party validation.  This is probably the most important part of the process of the sale.  The more you use your team here, the better you will have success.  This is why people have such great success with conference calls where there are 4 or 5 testimonials as this is like multiple exposures all in one shot.

How To Hit A Home Run

Once you have gone through this process, there are two questions that I use to close.

So tell me.  Based upon what you’ve seen and heard can you see an opportunity here?
What has to happen for you to feel comfortable to move forward and participate?

For this and other great Network Marketing Training Tips, get a copy of MLM AFFILIATE MAGIC.  Learn how to become an ALPHA LEADER by going through the UNLEASH THE ALPHA WITHIN training.  To work with Darren direct CLICK HERE.

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More Resources For You:

Recruit New Reps In 6 to 45 Minutes.
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Learn My $1K Per Day Facebook Formula.

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Darren Little’s Network Marketing Blog
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PS: If you haven’t recruited anyone, or fewer than 10 people, this Course on SPEED RECRUITING will really help (only a few copies left before the price increases again).

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