If you've decided to expand your horizons by becoming a network marketer, you have the potential to earn serious money. However, you'll need to educate yourself before jumping into the deep end. There are a number of mistakes that could get in your way when starting network marketing.
According to The Balance Small Business, a minimum of 50% of multi-level marketing reps drop out within their first year. There's a good chance many of these individuals fell victim to beginner mistakes or simply lost interest.
Network marketing requires a lot of work during the initial stages. It's a learning process that pays off big time if you stay motivated and continue to build your network.
If you're ready to lay a solid foundation for a lucrative future, keep reading. We're going over some mistakes to avoid when starting network marketing.
Working with a Product You’re Not Passionate About
As a network marketer, you'll need to choose a niche industry to operate in. This means you'll be promoting and selling a specific line of products and services.
Many network marketers make the huge mistake of blindly choosing an industry and getting started as fast as they can. They're probably only thinking about the money. This approach can easily backfire.
Working with a product you're passionate about will make the whole process more enjoyable and also prove more successful. Think about it – if you stand behind a product, your promotions will be more creative and convincing. On the other hand, if you're trying to sell something you don't care about, you'll burn out quickly.
Before you get started, make a list of products you love and know a lot about. This will ensure you stay hyped about starting network marketing.
Working with the Wrong Company
Once you've chosen an industry to work in, it's important to find a reputable company that engages in network marketing. This is a critical decision that will affect the learning process and how much you earn.
A good rule of thumb is to find a company that's established within the industry you chose. Starting network marketing with a brand new organization is a recipe for disaster.
Old companies that have decided to give network marketing a try may not be the best choice either. Look for a business with a strong infrastructure along with a modern approach to sales and advertising.
You should also make sure the company you work for provides high-quality coaching and support. You'll need to learn as much as you can during the initial stages, so make sure the company you choose is ready to nurture your development.
Lack of Commitment
You're starting network marketing in order to make money and expand your skillset. It's important you treat this like forming a new business. Thinking of it as just another hobby won't cut it.
Like we stated earlier, the beginning stages of becoming a network marketer are often the hardest. The time and effort you put into getting started will pay off in the long run.
If you're still going to be working your normal job while starting network marketing, you need to be prepared for long days and lots of hard work. Many people are able to quit their job and devote all their time to network marketing within the first year.
Make sure you stay as organized as possible. This will help you understand and reach your goals, which will keep you committed to your new venture.
Ignoring Statistics
Speaking of reaching goals, it's important you always evaluate your numbers to ensure you're consistently progressing. Many people fail to do this and end up working extremely hard without growing.
You'll need to keep track of your monthly sales. If you notice that you've plateaued, it's time to look at your strategy and find out what's holding you back.
If your monthly numbers are dropping, you have a serious issue. In these situations, it's best to ask veterans in the business if they can look at your operation and give you advice. You should also talk to the person who recruited you and see if they can help out.
After you've learned the ropes and are selling and recruiting, you need to start setting monthly goals. Make sure you track all your statistics so you know if your performance is trending up.
Targeting the Wrong Audience
A common mistake people make when starting network marketing is casting a wide net and trying to attract as many people as possible. Or, they start by soliciting to family and friends. This approach rarely works.
You need to determine exactly who has a need or desire for the product you're selling. This requires research.
The U.S. Small Business Administration defines several variables to consider when conducting market research. These include:
- Who needs your product
- The market size associated with your product
- The location of your audience
- The income of your audience
- Product competition
Once you've determined your target audience, you can focus your marketing strategies. This is much better than relying on guesswork.
Becoming a Copycat
Learning as much as you can from other marketers is crucial. However, this doesn't mean you should do exactly what they do.
It's also better to avoid doing what's standard for network marketers in your industry. You don't want average profits. You want to flourish.
Once you understand the process and have started selling, you need to find ways of standing out from the rest of the crowd. Look into marketing tactics that will make you unique within the industry you're working in.
Don't be afraid to interject some of your personality into your marketing approaches. You'll likely get the attention of more potential buyers.
Make Your Transition to Network Marketing a Smooth One
Starting network marketing is extremely exciting. With a lot of hard work, you'll be able to live the type of life you've dreamed of and also do something you're passionate about.
Keep these common mistakes in mind at the beginning and you'll avoid bottoming out in your first year. You can then pass these tips on to your recruits so they, and you, can enjoy success.
Resources:
https://www.thebalancesmb.com/the-likelihood-of-mlm-success-1794500
https://www.sba.gov/business-guide/plan-your-business/market-research-competitive-analysis
