Running a business is a lot like raising a child. You put your heart and soul into it, hoping to see success and happiness on the other end. For every triumph and every loss, you take it personally.
They say it takes a village to raise a child, so why not get help from your village while building your business, too? That’s the general spirit of multi-level marketing businesses.
Of course, MLM companies grow in different ways than other business models. If you want to know how to succeed in MLM, start with these tips.
1. Get the Money You Need to Develop a Great Product
A strong business starts with a great product, and that takes money.
Some business owners start with an inexpensive version of the product they truly want to sell. They do this so they don’t need to spend as much time looking for capital.
The goal is that when the business grows and they have enough capital, they’ll improve the product.
The problem is that your customers of today and those of tomorrow will talk to each other. Word will get around that your product is low-quality, and even if you do improve the product, it’ll be an uphill battle to get customers to give you a chance.
Instead, bite the bullet and take the time to raise the capital you need from the start. Ther is a wide range of funding options available, so explore all your options.
2. Put Your Own Network to Work
Succeeding in MLM has so much to do with personal networking. Why not start with the network you already have?
Get in touch with your friends, family members, and anyone else you know who could use a side gig. Make sure they know that they’ll be among the first distributors in your business.
That means it’s a great opportunity for them to build a huge downline and make far more money than they personally sell.
3. Focus on Digital Marketing
As any marketing professional will tell you, a strong marketing campaign needs to use a variety of channels and media types. When you’re first telling the world about your business, though, digital marketing should be your focus.
The internet is the most efficient way to reach a large number of people. The data that is available through many digital marketing platforms also lets you target specific groups who are more likely to become customers.
Within the category of digital marketing, however, you still need plenty of variety. Combine the power of social media marketing, digital ads, pay-per-click ads, and more.
4. Market to Multiple Segments
Most businesses make money by selling to customers, plain and simple. With an MLM, on the other hand, you have two goals. You want to reach customers and you also want to build your distributor network.
Make sure you’re marketing for both of those aspects of your business. Advertise to people who would be strong distributors and to people who would enjoy your product.
If you do this well, both of those campaigns will help each other. They both contribute to the overall awareness of your brand.
In addition, the more popular your product is, the more appealing it will be for new distributors. As you gain distributors, they’ll help to spread the word about your products too because they want to sell more. It all comes together to form a success story.
5. Choose Your Strategy for Direct Contacts
In a typical MLM business, customers buy your products from distributors. But what do you do when someone hears about your products and wants to buy, but they don’t know any distributors so they contact your website or company directly?
It’s important to choose your strategy when this happens. Will you allow customers to have the option of buying from your own website? Or will you refer them to the distributor nearest to them?
There are pros and cons to each choice. Referring a customer to a distributor they don’t know and who may be hours away from them could scare them away and you’ll lose the sale. You could get more sales in the short term if you accept direct online orders.
At the same time, you need to consider the relationship with your distributors. If you accept online orders, your distributors may feel like your site is a competitor. They feel like you’re making it harder for them to succeed, so they may not continue as distributors.
Decide how you want to handle these cases. Some MLM businesses choose to accept direct orders until they build an extended distributor network. Then they require all customers to buy from distributors instead.
6. Become the Expert
Content marketing is one of the most powerful ways to market your business today. Customers don’t want to hear one ad after another. They have questions about your industry and they want real answers.
Become an informative expert people turn to for help. You can do this by posting blogs on your website. You could also create a separate website dedicated exclusively to educating the public about your subject area.
Another popular choice for content marketing is vlogging. Create videos that answer common questions and offer helpful information on YouTube and other platforms.
If you choose the vlogging route, though, make sure you choose the right vlogger. Find someone in your company who is knowledgeable and also has the right personality and a great on-camera presence.
7. Create Structured Goals
This may not be the most high-tech tip, but it’s one that too many businesses forget to do.
Create a structured plan with concrete goals and strict deadlines. Make sure you set goals for various aspects of your business. For example, establish a revenue goal for each quarter as well as a specific number of distributors you want to have by the end of each quarter.
As you try to establish those goals and make them happen, the right MLM software will make a powerful difference.
Figuring Out How to Succeed in MLM
When it comes to learning how to succeed in MLM businesses, like in other types of businesses, there are no shortcuts or easy answers. It takes dedication, hard work, and a well-planned strategy from the start.
The tips above can help. If you’re ready to take the next step toward success, begin with a free trial of our MLM software.