Many MLM organizations these days are promoting the use of “home business leads” to build a good downline fast. While this may work for some, for most, it is doomed to failure. Primarily, this is because new downline members are encouraged to BUY leads from some lead generation company. The VAST majority of these leads are “generic”, meaning that they have an interest in a home business, but not necessarily YOUR home business.
The reason this method of business building is promoted is typically two-fold. For one, since most people coming into your organization know little to knowing about marketing, it is hard for them to find their own prospects. Buying leads brings the prospects to them, without the need to understand much of anything about marketing. In addition, most of these lead generation companies have an affiliate program in place. So, if you are a member who is buying leads, you can make money by getting your downline members buying leads as well.
Unfortunately, buying home business leads will be ineffective for most downline members, and, therefore, for the organization as a whole. The primary reasons are easily detailed.
First, many companies selling leads are selling worthless leads that are old, outdated or have been procured in a less than ethical manner (translated, that means the “leads” don’t actually want your information). In addition, many companies resell the same leads to numerous marketers (sometimes, even if they SAY you are the only one that gets the lead). This only serves to distract from the message you’re trying to convey regarding YOUR business.
Moreover, the affiliate programs offered by these lead companies often end up distracting from your primary business. Your downline dealers get caught up in simply getting their new downline members buying leads that the primary business suffers. This is never good.
Besides that, following up on these leads can also be a problem. For instance, these days, email has become a very unreliable means of communication with prospects (because of over-zealous SPAM filters). The majority of
Inevitably, many of the downline members using that autoresponder system are going to SPAM their prospects – even if unintentionally. SPAM complaints will be lodged against the autoresponder SERVICE domain, and not simply against the individual downline members who committed the “dastardly deed”. Thus, the domain that hosts the autoresponders will be placed on numerous “blacklists” causing ALL email sent from that domain to be trashed or sent to the “bulk mail” folders of the intended prospects. The end result is that downline dealers will THINK they are providing email info to their prospects, while prospects will be annoyed that their information requests are being ignored (or so it will seem to them).
This isn’t just theory. I know this to be fact because I’ve tested my autoresponder messages through numerous autoresponder “services”. I modified my messages in various ways to ASSURE that the messages themselves were not causing the filtering. In nearly every case, ALL of my emails were sent to the BULK folder on Yahoo and Hotmail systems. In addition, I’ve been contacted by prospects who were with other email providers that were experiencing the same issue. Most, if not all of my emails were being filtered to the “trash” or “bulk” folder – or simply deleted entirely. So, don’t be fooled. If you’re using an email autoresponder SERVICE to deliver your home business messages to prospects, expect that most of your messages are NEVER being read.
However, since email IS so unreliable (when sent from these autoresponder services), the only remaining way to effectively connect with prospects is by phone. Unfortunately, there is only so much time available in a day, and most of your downline members have “day jobs”. So, they won’t be following up with prospects till they’ve gotten home from work, had dinner, spent a little time with the wife & kids, etc.
If they live in the eastern time zone (I’m assuming US based downline) it’s probably about 8-9pm by the time they’re ready to start calling. So, at least they can still probably call people located in the Central, Mountain and Pacific time zones without offending anyone (for calling too late).
However, any of your downline members located on the Pacific coast are going to have a problem. By the time they can effectively begin following up with prospects (most likely AT LEAST 7pm Pacific time), it’s too late to politely call anyone on the East Coast, and possibly even anyone in the Central time zone. Half the prospects on their list.
Add to this the problem that most of your downline members are simply scared to death to actually CALL someone on the phone and you have a recipe for disaster. On a phonecall, dealers have no control over what questions might be asked by their prospects or whether they’ll know the “right” answers to those questions. At least with email, they have time to formulate and research the answers to prospects’ questions before responding.
Those that DO actually have the courage to call, wind up hearing at least 20 “NOs” for every “YES” (which would actually be a pretty good conversion rate for generic home business leads). So much rejection is VERY discouraging to most people because they take it very personally. It doesn’t take long before they just quit calling because they can’t stand the rejection.
You’re Hurting People
Although, in theory, if you’re looking to achieve duplication of your marketing efforts in an
The problem is, in the process of becoming “successful” yourself, you’ll have caused harm to dozens to hundreds to even thousands of other people who couldn’t effectively make it work. Some might say it is not your fault that THEY couldn’t make it work, but I disagree. Your marketing will likely give the impression that “anyone can do it”. But, since statistically, that really isn’t even close to being true (at least not via this method), many of them will have been successfully duped into purchasing leads that were NEVER going to work for them to begin with.
Thus, in the end, you’ll, more or less, have “stolen” their hard earned money to pay for YOUR “quest” to find a few select members who can make the system work. That doesn’t seem like an ethical business strategy to me, and you’re definitely not going to make many friends.
Generate Your Own Leads
The only good solution I can see to this issue is to create a system that generates your own, company specific, leads. Design a system that will turn “generic” home business seekers into targeted prospects who have been introduced to
THEN, get THOSE leads into the hands of your downline members for the least expensive price possible. These leads will have a very high conversion rate to new distributors. Your members will get excited and will spend relatively little time calling and emailing prospects. Most of them will already have been PRE-sold on your business, and your downline members will generally only have to answer a few questions and point them in the right direction to get signed up.
THIS is a system that will work for most people and will give the greatest opportunity for success to the largest number of people. Now, designing such a system is too big of a topic for this article, but at least you know where to start looking. Check out our website via the links in the resource box below for other articles related to creating such a system for your group.