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Network Marketing In Its Purest Form
by moderator on Tue 06/27/2006 04:11 PM |
Copyright 2006 Donovan Baldwin
NOTE: Although this article is about network marketing, itsprinciples can be applied to its newest and increasingly commoncousin, internet marketing. A majority of internet marketingprograms and businesses are network marketing programs in thefinal analysis. One common error shared by new internet businessowners, or non-internet business owners, is the assumption thatthey should market their program in a more standard manner.However, if you consider the cost of advertising your newinternet cellular phone services against, let's say, VerizonWireless or some other major wireless service provider, the taskof competing with such a giant in a normal advertising arena isdaunting at the least and frankly impossible at the worst.
That's where the network marketing thing comes in.
When most people sign up for any network marketing programs,internet based or not, they usually have no idea what they haveactually gotten themselves into. Many will join a networkmarketing program in the expectation of easy money, an ideaoften provided by the network marketer who brought them into thebusiness. They commonly try to apply standard marketingtechniques, or at least as they understand them, without alsounderstanding the forces which they are operating against aspointed out in the Verizon example shown above. Even those whosimply want to start their own home business just to get out ofthe rat race, spend more time with the kids, or start aretirment fund, find that the costs in money and time of runninga real business, internet business, brick-and-mortar business,face-to-face network business, or lemonade stand goes againstall their expectations if they try to do it using standardmarketing techniques. Their dreams of financial freedom oftenbecome a financial ball and chain attached firmly to theirwallets and their watches.
However, all is not lost if they apply the purest form ofnetwork marketing and forget about going head-to-head with theVerizons of the world.
In its purest form, network marketing is simply one persontelling another. The classic example is the time you chose totry a certain restaurant because a friend recommended it to you.I recently had my car repaired at a garage recommended by thehome inspector I used when I bought my house. The home inspectorseemed to be an honest fellow with ties to the community, so Iwas happy to take his advice, and I was not disappointed. Icould have looked all day in the phone book to find a mechanicwho may or may not have been as reliable.
Unfortunately, a network marketer cannot rely on this passivesort of word-of-mouth alone. He or she must become active, hencethe "networking" aspect of this sort of business.
No matter what goods or service you choose to represent, thereis almost certainly a business entity capable of providing it aswell as you...perhaps even better! Even so, many networkmarketers make an excellent income because there ARE plenty ofpeople willing to buy from someone they know and trust, even inthose cases where the product may be more expensive or deliverytakes longer. Sometimes, these sorts of purchases will be forconvenience as well as for friendship's sake. Take Avon, MaryKay, and Arbonne, to name a few. Excellent products, but anyonecan go to the abundance of drug stores, groceries, and Wal-Martsand purchase cosmetics...perhaps even at a lower price. They buyfrom their distributors out of friendship with theirdistributor, respect for the product, or the benefit of havingtheir order dropped off at their home or office...or acombination of these.
The most important point is the personal friendship with, orrespect for, the distributor, but the most important aspect isprobably trust. I can purchase synthetic motor oil anywhere, butmy friend sells AMSOIL, and it is a reliable, dependableproduct, so I buy it from him.
So, how do you network market in the purest way?
As pointed out, the big boys probably have advertising andsupply channels pretty well locked up. There's not a whole lotthat you can do against that, although this does remain apossible way of gaining customers, particularly if you are at apoint where you can afford extensive advertising or a widespreadsales team...the reason for building a downline if the companyuses a multi-level marketing model. Under normalcircumstances..."normal" to me means not a lot of money, ahearty dislike for sales, and being an amateur compared to theprofessionals...you delay the "marketing" part of the equationand concentrate on the "networking" side.
In a standard network marketing situation, you can do suchthings as join organizations, offer free information orservices, or participate in community activities. These bringattention to YOU, as opposed to your business, but, once youbecome known to, and respected by, the people you come incontact with, they will be more likely to purchase goods orservices than if you were to merely offer to sell them something.
In an internet marketing model, there is not that muchdifference. Again, going head to head with the major players inyour arena might not produce much, particularly as you are notknown to your potential customers, and you probably do not havethe budget or expertise to overcome this disadvantage. However,you CAN offer free information or services and gain the respectand trust of potential customers in this way. You can joindiscussion groups (most commonly, forums), or groups which mighthave an interest in your product or service. Again, the purposeis not to "sell", but to "network".
In either scenario, if you and I were to meet and I were toimmediately tell you that I sell website hosting, for example,or an internet marketing course, your defenses would beimmediately raised, and you would be prepared to defend yourselfagainst my efforts and perhaps even sever the buddingrelationship. If, however, I can prove to you that I am on yourside, am interested in many of the same things as you are, andthat we can have a fruitful relationship whether there is anattempt at "selling" or not, a point may eventually be reachedwhere you will reach out to me and ask me about my websitehosting services or the internet marketing course.
You know the funny thing about this? In a world where everyoneseems to be looking out for themselves, I am forced to be a niceguy! I have to be a contributing member of society and haveredeeming social value. I must make friends or fail! The oldsaying is, "to have a friend, be a friend." How tough is that?
About the author:
Retired from the Army, the author has worked as an accountant,purchasing agent, optical lab manager, restaurant manager,instructor and long-haul truck driver. An active internetmarketer since 2000, he now makes his living online. Find moreof his articles at http://donovanbaldwin.blogspot.com andhttp://business-info.xtramoney4me.net/
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