How to sell MLM

Every since the Sales Community started, I've been asked about how to sell in the MLM environment.  It's a valid question.  After all, MLM typically means selling a product to people.  It also means recruiting your customers to become your own sales force.  Thus, it's selling two things at once, and they're not always congruent. 

The most ethical type of selling requires that you build a relationship with the prospect.  If you're a hard-charging MLM sales person, you're probably damaging more relationships than you build.  That's because the psychology of the relationship should be primary and the business should be secondary.  But, in the traditional MLM structure, that's turned upside down.

Tags: Lyoness, MLM, business, marketing, network, relationship, sales

Views: 244

Replies to This Discussion

Permalink Reply by Michael Lovas on January 20, 2013 at 9:48am

Typical MLM includes a product and a sales person.  It includes an automatic re-order of the product inventory.  It's based on selling products.  I keep stressing this formula because --  well, what if you didn't get paid for selling a product, but rather got paid a % from the everyday shopping done by other people?  Isn't that completely different from typical MLM?

Let's say you don't have any product to sell and you don't have any automatic orders.  Let's say it's free to engage in. Let's say you get a discount on purchasing the same stuff you normally buy. 

See, everything I'm describing is 180-degrees different from the typical MLM.  If this structure is valid, don't you think it would be easier to have the conversation with other people? 

Permalink Reply by Terry Canfield on January 20, 2013 at 11:12pm

Michael,

The method I prefer to use for relationship selling is "Attraction Marketing"  Where you actually market yourself first and allow people to get to know, like, and trust you before they begin to develop a business relationship with you.

Permalink Reply by Patrick M. Bopray on January 22, 2013 at 12:02pm

That sounds like a recipe for success in any business model.

 

Permalink Reply by Patrick M. Bopray on January 22, 2013 at 11:47am

Hmmm, maybe I'm missing something here but I would enjoy hearing more of your thoughts on selling MLM.

You wrote: "If you're a hard-charging MLM sales person, you're probably damaging more relationships than you build" I'll presume you will agree that the kind of person who damages relationships because of their style is certainly not limited to MLM.

You also wrote: "That's because the psychology of the relationship should be primary and the business should be secondary. But, in the traditional MLM structure, that's turned upside down."

This is where I am confused. What is a "traditional" MLM structure vs. non-traditional MLM structure?

Also are you saying the psychology of the relationship in a retail (non MLM) setting puts the relationship first? We both know that's not the case. Please clarify your thought for me. Thank you.

You go on to say in your reply to the OP that the "Typical MLM includes a product and a sales person." as if there is a non-typical MLM with a different structure? Clarification here would also be appreciated.

"It's based on selling products." Can you give me an example of a business model that isn't based on selling products/services?

Again you wrote: “well, what if you didn't get paid for selling a product, but rather got paid a % from the everyday shopping done by other people? Isn't that completely different from typical MLM?

Let's say you don't have any product to sell and you don't have any automatic orders. Let's say it's free to engage in. Let's say you get a discount on purchasing the same stuff you normally buy.

See, everything I'm describing is 180-degrees different from the typical MLM. If this structure is valid, don't you think it would be easier to have the conversation with other people?"

That was a hand full of words but I didn't pull any discernible information from them. I mean no disrespect but you really lost me here. Let me take a stab at it please confirm or correct my thoughts.

Are you suggesting that a person get paid a % form everyday shopping done by other people in a retail environment? Yes, that is completely different from a "typical" MLM. You're comparing the compensation structure of two completely different business models. Isn’t that a bit like comparing apples to oranges?

I'm totally lost when you say that everything you're describing is 180 degrees different from the typical MLM. I really need clarification on typical vs. non-typical. To my knowledge all MLMs are base on the same basic business model. Differences emerge with their compensation packages and their products but that is exactly the same in the traditional corporate environment.

I look forward to your response.

Thanks,

Pat

Permalink Reply by Michael Lovas on January 22, 2013 at 12:38pm

Hey there Pat -

Thanks for jumping in here.  Let me answer your question by pointing you to the attached file.  It lists many of the common elements of an MLM business.  If you were to redesign or start from scratch today and build a network business, would you include those elements?  Probably not.  Those are the basic element of MLM, but they're also the reasons the MLM model has so many problems.

My friends who have gone into MLM do so thinking they will be able to generate a good income on part-time effort.  Otherwise, why bother?  But, their reality is different from the promises.  They end up having to sell more and more people because the attrition rate is so high.  Maybe your experience is different.  If it is, you probably go in early.

I have some friends who got in early in several MLM organizations, worked hard for a few years, and watched the owner of the organization fly off to Mexico with all the money.

How to sell MLM?  Here are a few points:

1.   So, in a perfect world, the way to sell MLM is the change the model.  Terry has a good approach, building trust early, but what happens to that trust when people realize they have a mud room full of soap or vitamins and it's time to order more?  The trust goes out the window.  So, the first step is to protect your trust and credibility.

2.  Borrow from the down-line model.  Build a team that you actually help.  Teach them how to have the business conversation.  Give them templates of introduction letters and other marketing resources.  The second half of that is vital - give their down line the same level of support. 

3.  Do business with a strong company.  If the company were strong, wouldn't it negotiate better deals?  Wouldn't the products cost less than those consumers could get elsewhere?  If they cost more, that indicates that the company is making all the money and abusing its distribution system. 

4.  Build a realistic comp plan.  Instead of getting paid on what you sell, get paid on how much people buy.  Otherwise, you're pretty much incented into hard sell. 

I know there are some really good companies and products that can only be obtained via MLM.  But, most consumers have a negative opinion of the MLM industry.  And, most sales people have a hard time making the model work.  Your experience might be different. 

I'm going to post this and give my fingers a rest.  More to follow...

Mike

Attachments:
Permalink Reply by Patrick M. Bopray on January 22, 2013 at 1:53pm

Thanks for such a quick reply. While I can appreciate some of what you're saying some of those very same attributes apply to the traditional business world under a different label.

This thread now has more than a sound bite flavor to it so have included (below) a link to a youtube video that clearly delineates some of the issues you raise about MLM. It is a generic message about the industry and never mentions any particular MLM company. It's about 10 minutes long but well worth reviewing.

Regarding the attachment you included I will only say that as alluded to above, those same things exist in traditional business models under different labels.

You have some impactful comments/statements in your reply that I believe warrant address. To make it easier to follow I am pasting your reply and adding my comments in bold.

you wrote: (italics) I responded (bold)

Hey there Pat -

Thanks for jumping in here. I appreciate you tabling and discussing what can be viewed as a hot topic. Let me answer your question by pointing you to the attached file. It lists many of the common elements of an MLM business. Many of those line items can be found in traditional business under a different name. If you were to redesign or start from scratch today and build a network business, would you include those elements? Probably not. Those are the basic element of MLM, but they're also the reasons the MLM model has so many problems. This is an unfair statement in that the MLM model doesn't have "so many problems" What MLM has is a perception problem proliferated by people who make unsubstantiated statements about the industry.

My friends who have gone into MLM do so thinking they will be able to generate a good income on part-time effort. Your friends were poorly informed about the opportunity so their opportunity for success was hampered from the start. Otherwise, why bother? That depends a lot on why they were starting an MLM business in the first place. But, their reality is different from the promises. THIS SIMPLY IS NOT TRUE. If you work your business like a hobby (read part time) it will pay you like a hobby. A person gets out of MLM rewards directly proportionate to their effort. There is not another business model out there that can or does reward so many people as well as direct marketing does. They end up having to sell more and more people because the attrition rate is so high. Attrition can be high in any business model. Think about it, if your friends started a more traditional business model (store front etc) would they not have to maintain a certain level of sales just to keep the doors open? If they wanted to go on vacation would they not need to increase sales to pay for the luxury to do so? Of course they would. A primary different between traditional biz model and MLM is the residual revenue source the MLMers are building. read: they keep making money while they are on vacation. Maybe your experience is different. If it is, you probably go in early. This is an uninformed statement. Getting in early on any business model is beneficial but its not a prerequisite for success in MLM

I have some friends who got in early in several MLM organizations, worked hard for a few years, and watched the owner of the organization fly off to Mexico with all the money. Hmmm, are you saying noting like that has ever happened in the traditional business world? Come on, I know you're familiar with the recent economical challenges our economy has suffered. Oh, remember Enron? I could go on but you get the point.

How to sell MLM? Here are a few points:

1. So, in a perfect world, the way to sell MLM is the change the model. Terry has a good approach, building trust early, but what happens to that trust when people realize they have a mud room full of soap or vitamins and it's time to order more? The trust goes out the window. So, the first step is to protect your trust and credibility. This is the same for ANY business model not just MLM. Does not every retail business have a stock room for their products? People who fail to realize this would fail in a retail business just as quickly as they would in an MLM business

2. Borrow from the down-line model. Build a team that you actually help. Teach them how to have the business conversation. Give them templates of introduction letters and other marketing resources. The second half of that is vital - give their down line the same level of support. Absolutely correct. Every reputable direct marketing company have training available to their associates. Getting them to take action though is up to the individual just like in a traditional business. If you don't take action as a copier sales rep you're not going to sell any copiers. Success owning a business selling anything from candy to capital equipment is predicated on "actually helping" i.e. supporting your team members.

3. Do business with a strong company. If the company were strong, wouldn't it negotiate better deals? Wouldn't the products cost less than those consumers could get elsewhere? If they cost more, that indicates that the company is making all the money and abusing its distribution system. Doing business with a strong company is good advice on any front. the rest of this statement is just wrong. It would take more space than I care to fill in this already long reply but I am happy to address it on more detail if requested.

4. Build a realistic comp plan. Instead of getting paid on what you sell, get paid on how much people buy. Otherwise, you're pretty much incented into hard sell. Please tell me that that you know compensation plans in every industry vary widely. MLM is NOT a hard sell business model. No business simply can exist by forcing their products on the consumer.

I know there are some really good companies and products that can only be obtained via MLM. But, most consumers have a negative opinion of the MLM industry. And, most sales people have a hard time making the model work. Your experience might be different.

I'm going to post this and give my fingers a rest. More to follow...

Mike

Mike, please know my comments are made in the interest of educating others who are very likely misinformed about the Direct Marketing industry.

No disrespect but your comments are clearly based on your perception of this industry. MLM / Direct marketing is nothing more than a business model. MLM companies put products in the hands of consumers just like traditional businesses do. They just eliminate the overhead, brick and mortar, etc. and funnel that money into their consultant’s compensation. Sure not all MLM companies sell a quality product but the same can be said for the traditional business world.

I would appreciate and respect your candid thoughts on this video.

DO MOST PEOPLE FAIL IN MLM? http://www.youtube.com/watch?v=FjXGdFcCitQ 

 

Permalink Reply by Michael Lovas on January 23, 2013 at 7:22am

This is turning into such a lively discussion!  Thanks for injecting so much energy.  Our experiences seem to be strikingly different.  The thoughts below are the world of MLM through my eyes.

  1. I don't think in terms of people "failing," as the video suggests.  I don't believe in "just try harder" as a business strategy. The "product" should literally sell itself.
  2. If you were a venture capitalist, and you were going to invest in a company, you would not waste your cash on anything that was not a "game changer."  That is the advice from my buddy who is a Spokane-based venture capitalist.
  3. If you're going into business and are considering a network marketing organization, why jump into one that is a duplication of the traditional MLM model - or one of the variations? 
  4. If you're going to exert all the effort to learn and engage in a MLM-like business, why not find one that is new - so you could get in early? 

I've had three MLM ventures over the years.  The last one was Send Out Cards.  If I remember correctly, the monthly charges soured me.  Also, after working at it, I realized that I'd be working my tail off to generate a small commission.  I really liked the idea, though. It just wasn't for me.  Excel Telecom was another one.  But, I got in late and the market place was tired of hearing about it.

My wife was in Juice Plus, and I have friends in Mary Kay, Alpine, Shaklee.  I can't remember the others. 

Do I have a point to starting this discussion?  I guess it's a few different points.  Sorry if they conflict with anyone else's experience.

1.  I know a bit about MLM from my own experience and those of my personal network.

2.  MLM has a bad reputation. Some of it due to the terrible training the field force gets, as well as the lop-sided design of the programs.

3.  Some MLM organizations have good products. Every MLM I know of is based on pushing products. The consumer typically has to change his behavior or buying habits to use the product.

4.  MLM businesses seem to rely on a rep recruiting other people to sell, rather than simply representing a product.  MLM is not the only industry that does that.

Finally, it makes sense to build a business by borrowing some of the MLM concepts - but NOT duplicating the model(s).

Consumer psychology - people like to shop, but they don't like to be "sold."  So, build a business around the pre-existing habits. 

  • Reward people for buying, rather than sellling.
  • Make it easy and free to get started.
  • Let buyers decide what they want to buy, don't limit their options.

In other words, build a business around what the consumer wants - not what you have to sell. 

Respectfully,

Mike

Permalink Reply by Patrick M. Bopray on January 23, 2013 at 11:55am

This is a good discussion. It’s sad that there is not more traffic on Launch Pad so that more than a hand full of people will read our thoughts let alone contribute.

I don’t know that our experiences are strikingly different.  You mention a few MLM companies that you’ve had some experience with. I haven’t because the crux of my message doesn’t pertain to a specific opportunity.  Instead I responded because I had a difference of opinion to some of the things you said in your initial statement.

In particular, you wrote “That's because the psychology of the relationship should be primary and the business should be secondary. But, in the traditional MLM structure, that's turned upside down.”
What is this statement based on? Starting an MLM business is just like starting any other business.  A person gets out of it results based on the effort they put into creating a successful business.

Earlier you wrote: “My friends who have gone into MLM do so thinking they will be able to generate a good income on part-time effort. Otherwise, why bother?”  Why bother? How about to change your family’s life for the better?  While there is good income to be made on a part time effort the flip side to that equation is an opportunity to earn substantially more than a traditional job could ever provide.  Unfortunately there are not many careers where a person can generate a six figure income on a part time effort.  

Regarding your four points on MLM as you see them. 

1-      No product in the world “literally“sells itself. If you mean find a product that is very popular so that people will want to buy from you, then I can’t argue with you there but hey it’s kind of a no brainer that popular products tend to be in high demand.  re: the video I don’t believe “just try harder” was part of Mr. Sales message I’m sorry if that is what you took away for the video.

2-       What does venture capital have to do with starting an MLM business?  Is your venture capitalist friends message that one can only make money on “game changer” products? This is to big a can-o-worms to open in this short reply.  You might want to look into the kind of returns generated by MLM companies as highlighted by articles in the Wall Street Journal. One our countries greatest capitalist, Warren Buffet owns three separate MLM companies. I guaruntee he doesn't own them because the ROI is substandard but I digress.

3-      ?Huh? 

4-      Sure, why not? But it’s not a prerequisite for success. Let’s say you were going start a non-MLM business selling clothing, sporting goods, coffee, auto parts, or any other product category.  Would you not have to “exert all the effort to learn and engage” the business practices of making a successful run at it?

You seem to have predisposed thought process that getting in early is the only way to be successful.  Good luck getting in early or finding a game changer in the well established world of commerce.

 

“MLM has a bad reputation”   compared to what? Corporate America? Surely you jest.  Do you think MLM has a bad reputation to the myriads of people who are earning above average incomes or the people who are satisfied with the products they purchase again and again?  I don’t think so.

Saying “The consumer typically has to change his buying habits to use the product” is a cop-out.  If the consumer benefits from using or enjoys using the product they will buy it, period.

Then you said “MLM businesses seem to rely on a rep recruiting other people to sell, rather than simply representing a product”  MLMs don’t “seem” to rely on recruiting people to sell, that exactly what they do. That is their business model.  They rely on the most trusted marketing method you can find; word of mouth.  

If you and I started a business tomorrow both of us selling tennis rackets.  Your business is a traditional brick & mortar business mine, MLM.  The first thing both of us would do is tell friends, family and anyone else who will listen what we are doing to generate awareness.  Does the fact that you ring your sales through a cash register make your tennis rackets better than mine?  I think not. 

Let’s say you sell a racket to a customer who loves it and tells his friend about this great new racket.  Do you think that customer would be thrilled if you told him he could earn money by telling more people about this great tennis racket?  That’s not an option with your business model like it is with a Direct marketing business model.

What you seem to lose sight of is that this is a business. You said to build a business around what a customer wants not based on what I have to sell.  This is pure poppycock if a person walks into your tennis racket store looking for spark plugs are you going to dump your inventory and start over to sell the consumer what he wants?  No, of course not, you’re going to point him toward Shucks and say come back and see me when you need a tennis racket.

Mike I respect what you have to say regarding the Psychology but most of what you wrote about MLM feels like excuses as to why people you know  are not successful in MLM.

You started out this thread saying that you have been asked how to sell in the MLM environment.  You never did address how to sell in the MLM environment. Instead you tossed out a couple of negatives associated with MLM.  But those negatives are easily associated with traditional businesses, too.

 

Permalink Reply by Terry Canfield on February 5, 2013 at 1:25pm

WOW!  There is a wealth of insight and variety of opinion here.

 

It's been said that if you want to succeed in business... find a need and fill it.  Or, if Maslow's hierarchy of needs are met to the point of having discretionary income... "find a desire and provide it" and you will succeed beyond your wildest dreams! (That last part is mine LOL.)

 

One of the disadvanteges of the MLM world is that although "you are in business for yourself but not BY yourself" the customers you generate apparently don't belong to you they belong to the parent company.  If I own a store and I have a lot of customers it seems the best way to increase sales is to find additional products or services to offer my existing customer base rather than find new customers all the time. 

 

It behooves me to market myself and develop my own client/customer base and then I'm free to assist them in any way possible.  Since it is my reputation I'm showcasing through my credibility I don't rely on anyone alse's marketing.  I show folks that it is worth their time, energy, and, eventually their money to invest in me.  Why?  Because I can deliver the goods they have been looking for when they found me.

 

One thing that helps brick and mortar companies stay in business is providing consumables and I prefer MLMs that are service oriented rather than product oriented that way it is a subscription that expires (such as prepaid legal services) and that way if the customer no longer finds value in the subscription they cancel pure and simple.  But at least I don't have a garage full of product I feel I need to push.  This is yet another asset in providing quality content and letting the prospect see the value for themselves.

 

All in all, the tax advantages and possibility of creating a business I can work from anywhere I can get on to the Internet keep me invloved.  Even more than that though is the fact that I have marketable skills and products that aren't MLM based and using Attraction Marketing helps me get my name out there as a consultant/trainer, a humorous speaker, as well as a provider of PLR and resale rights software and ebooks.  For me it makes a lot of sense.

 

The business of business is to provide products and services that are needed and/or desired by a purchasing market.  Whether it's MLM or MYOB if you aren't doing that... you're not in business.

Permalink Reply by Patrick M. Bopray on February 19, 2013 at 9:03pm

Michael,

I have been out of pocket and quite busy with new projects at work or I would have responded sooner.  It's nice to see that this discussion has generated some traffic, who knows maybe we can breath some life into LP. 

You mentioned friends who “got in early”  (this is not a prerequisite to success) they worked hard only to have the owners fly off to Mexico with all the money.  That truly is a sad circumstance I feel bad for them just like I felt bad for the employees of Enron and the financial companies on Wall Street who ruined so many lives.

However, if your friends did work hard and built a successful business they were likely earning a fairly healthy living with much of that living coming from residual income. That their company folded under them is a shame but that it did fold under them is NOT unique to Direct Marketing.

What many people fail to consider about Direct Marketing / MLM is that by becoming a consultant for the product they are starting a business. 

One benefit to starting an MLM business is that it is scalable and you can get started without the financial barriers associated with starting a traditional business.

It is a well known statistic that most small businesses fail in the first five years. Another benefit of starting a Direct Marketing opportunity is that a person can start part time and build their business quickly or slowly to a point where is supports itself there by raising the likelihood of long term success.

Like you I own my own business, a recruiting firm, it never ceases to amaze me when people see the positive side of owning a business but fail to recognize that most successful business owners put in more time and effort than the average person who is an employee for someone else. (Effectively helping someone else build their dream)

Not everyone is cut out to be a business owner because it takes a lot of effort. But you have to admit that there are very few if any traditional businesses you can start and work part time and expect to earn a substantial income.  Direct Marketing lets the average person work a part time business that can pay them a wage that can rival their traditional job.

People need to ask themselves before starting a Direct Marketing business, am I enamored with the product or the business model? If they don’t believe in the product they are not likely to have any success just like they wouldn’t in a traditional business model. The same can be said for the business model, MLM or brick and mortar, if you don’t love it your odds of success are slim.

I have helped national corporations build their sales and management teams across the country for 21 years.  If I can offer advice to anyone considering starting a company MLM or a traditional business it is this, you will get out of it what you put into it. Associate yourself with the right people, products and support system to give you the best chance for success. Most of all be sure to clearly understand exactly what you want out of the business then figure out if you are willing to put in the effort to get there. There is no free lunch. Work IS involved with starting a business MLM or traditional.

I’ve been a headhunter for 21 years anyone may feel free to contact me if you have career oriented questions of any kind.

Before concluding my response to your post I want to address a couple of specific points you made.

#2 "MLM has a bad reputation." You have experience with a small handful of MLM companies so I have to wonder what you base your "terrible training and lop-sided design of the programs" comment on.  I am not involved with Send out cards but I am very confident they have a strong training plan. You make a blanket statement about lop-sided design of the programs. I have a hard time believing that you are familiar with even half a dozen programs so your statement carries zero credibility. I agree that MLM has a tainted reputation but not for the reasons you cite.

I mean no disrespect but your experience with S.O.C. was not a good one but that is not everyone's experience and that company has made more than a handful of people millionaires. They must be doing something right.

#3 "Every MLM I know of is based on pushing products"   Please, please share with us any brick and mortar company or internet business that is not based on pushing products.  Your "consumers having to changing their behavior or buying habits" is nonsensical. The consumer is in complete control of their purchases just like they are in any store transaction or on-line purchase. 

Your pushing products statement is also off base in that the MLM business model is flexible. For people who want to earn a little extra income their activities are product focused. But for people who have a goal of creating a substantial business (read: substantial income) their activities are not  focused on selling products instead they are focused on recruiting business partners and teaching those partners how to duplicate their efforts.

#4 "mlm seem to rely on recruiting other people." Yep, you nailed it. Nordstrom and every other traditional business recruits and hires people to sell. 

The difference is not a single retail rep will ever be able to leverage the efforts of other people to contribute to their income as well as helping those people create a revenue stream that no brick and mortar company could ever match.

*** MLM can reward people for buying AND selling. This is unique to MLM

*** "make it free and easy to get started??????????   Really?  Please, please give me an example of a legitimate business opportunity that is free to get started. The easy part of your statement applies to most MLM opportunities.

*** "let the buyers decide what they want to buy"   Seriously? you're saying that MLM makes buying decisions for consumers? Come on that is ludicrous.  "don't limit their options"   So if you sell auto parts and your customer needs kitchen wares are you going to have your auto parts store start stocking blenders?

Again, Michael I respect that you have a right to your own opinion but for you to make the kinds of statements you have made only contributes to foggy understanding of the MLM industry.  Where you have failed others have had wildly successful experiences in the exact same environment.  Your statements might dissuade someone from looking into an opportunity that might just be the best thing that every happened to them. I feel it is irresponsible to make blanket statements that are your interpretation of an industry in which you have had little to no success.

Sorry for such a long reply but I feel obligated to shed light on misstatements so people will be encouraged to investigate opportunities they are interested in then make their own decision as to whether or not they are cut out to move forward.

Permalink Reply by Terry Canfield on February 5, 2013 at 11:33am

Just chiming in here with one more aspect to this equation which is immensily valuable to the Attraction Marketing model I am familiar with.  The Internet is not only a vast advertising, shopping, and credibility medium, it is also self perpetuating in that if I want to establish my credibility at helping others meet their needs and provide a system for them if they want to work with ME, not the company, I can do so on virtual autopilot until I have someone express enough desire that they contact me and get my attention.  It's like letting folks shop my store and answer any questions they have trying to be as helpful and focused on THEIR needs until they bring something up to the checkout stand.  Then we do business!  Gotta love the Internet :)

Permalink Reply by Terry Canfield on February 5, 2013 at 11:06am

Pat,

 

I'll jump in here too... A typical MLM means working through their (in my opinion dysfunctional) marketing methods of creating a warm list, being a zealot for your product/service, and basically, turning a lot of people off.

 

The non-traditional for me, and this might be something totally different from what Mike is talking about here, is the Attraction Marketing model where I provide folks with useful information and establish my credibility thereby developing a relationship.  I provide low pressure opportunities to work with ME, not my company.  That way as I find other opportunities for those who know, like and trust working with ME there is already a following.

 

Most folks in MLM are looking for help with their opportunity and those who can give them that help and leadership provide something the company does not.  It truly is a relationship business and that is the same method used for helping those who can benefit from your product or service as opposed to creating just a downline.

 

I think of it as the difference between doing door to door selling and providing a brick and mortar store where those who are interested in buying something that you offer come and shop and get their questions answered in your store.

 

I won't speak for Mike here but with the Internet being so vast now and relatively free to use to make yourself credible and allow folks to find you through your credibility i.e. blog posts, discussion forums (like this one) and YouTube videos, etc. it is within anyone's reach who can afford to be online to develop a following.  Wow, talk about a lot of words that was just one sentnece, LOL.  Hopefully that makes sense.

 

The "getting a percentage" may refer to something like Google's adsense and generating a secondary income or monitizing your quality content which is usually provided free of cost but brings eyeballs to your website, blog, etc.  In attraction marketing you provide a free product and a low cost product which is a funded proposal that provides value far and away above what it costs yet still covers most if not all of your advertising costs if you go the cost per click route.

 

Hopefully this gives a different perspective to this whole topic.  So, at least this approach to MLM is 180 degrees in that unstead of marketing the product/service and opportunity of the company, Attraction Marketing focuses on providing the system to help others get their needs met through ME regardless of how involved they want to get with the product/service or opportunity. And, instead of using the traditional marketing materials of the comapny, harness the power of the Internet.

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