Русский

English

Deutsch

Қазақ тілі

Español

Українська

Interest in MLM from the perspective of linear business

Article about how many traditional businesses have started promoting their products online as it is more promising.

The networks have spread widely

Increased interest in specialists with experience in MLM has unexpectedly arisen among enterprises whose business, seemingly, has nothing to do with network marketing. 
"A few years ago, seeing the line 'MLM experience' in a candidate's resume, we excluded them from our database. And now people who have gained experience in network companies are in demand in a variety of business areas," said Liliya Sorokina, a specialist in personnel selection at the recruiting agency Best Service (staff - 6 people). 
This information was confirmed by Viktor Sapsir, a psychologist and business trainer: "Recruiters used to not really favor networkers. They treated them as outcasts of sales. Therefore, in places where 'jewelry-like' customer handling was required, for example, in markets of high-tech equipment, luxury goods, or when working with government structures, they were not allowed in. Especially since psychologists who were involved in personnel selection noted their very specific personality profile - suggestibility, reduced critical thinking, rigidity, and exaltation". 
But despite all the shortcomings of their representatives, the sales system itself turned out to be so attractive that it became the reason for the mass appearance of advertisements on "job" websites and advertising billboards: "employees with experience in MLM required". 
 

Already close

The secret of interest in networkers is very simple. In highly competitive markets (especially companies providing services to end consumers), network marketing technologies have been actively used. 
The "refer a friend - get a discount" promotions from mobile operators were the first signal that companies decided to partially shift the battle for new customers onto the shoulders of their own consumers. Then the techniques of single-level marketing began to be used by travel agencies, restaurants, fitness clubs, internet providers. 
 
"This approach justifies itself, as the favorite topic of office workers during vacations and holidays is 'where is everyone going'. People openly share their impressions, and the better they manage it, the cheaper their vacation turns out to be," said Sergey Zadorozhny, director of Atoll-Lux LLC (a travel agency, staff - 16 people). 
 However, just a few years ago, some companies could afford to attract "teams" of users without putting it on a commercial basis. "In the internet provider company where I used to work, no one gave discounts to anyone. If a potential client's home was not connected to the network, they simply explained that no one would pull fiber optic exclusively for them because it was too expensive. But if this person was willing to communicate with neighbors and find two or three more interested parties, they were given the honorary opportunity to become a client. Now competition in this area has intensified, and such things have become impossible," said Sergey Mikhal, technical director of Softcity LLC (software development and implementation, staff - 62 people).

But the construction of direct sales networks "on a particularly large scale," which began in 2007, has become a noticeable trend this year. Banks and large insurance companies, tying their bright future to the development of their own MLM directions, have actively started searching for employees who are knowledgeable in this complex work. Therefore, vacancies are offered for every taste - for those who want to "get a taste of gunpowder" for the first time, who can be offered a percentage of the deal, as well as for experienced "officers" of network marketing. Moreover, the salary of the latter can range from $1500 to $3000 and be supplemented with a familiar bonus, which is accrued from the sales of personally found and hired "independent distributors." Thus, from unwanted guests of office centers and intrusive acquaintances pushing their goods, networkers turn into scarce specialists.

Special Features

"Over the past two months, we have received several orders from large companies for the selection of MLM direction leaders. And already now we feel a shortage of such people. The fact is that most of those who responded to the job postings are 'small fry,' who have made a few dozen sales. Those who have formed their network branch and know the principles of network building well do not rush to respond to such announcements," said Liliya Sorokina.

Such an unexpected shortage in the environment of what seemed to be a numerous army of MLM company representatives, according to Ms. Sorokina, is associated with the fact that "those who have been successful in the network marketing structure are very emotional, sometimes fanatical people, capable of following an idea. And they panic at the thought of ending up in office settings, afraid of routine, and sometimes responsibility."
Let's calculate

<h4>No more than 10% of people who choose this type of activity remain in the network marketing system for more than a year. Even fewer manage to succeed in network business. At the same time, according to independent experts from the Gallup Institute, MLM is one of the most actively developing types of activities.</h4>

 
Olga Kondakova, head of the marketing department of the insurance company "TAS" (staff - 93 people, plus 130 financial consultants work in the project "Own agent network"), holds a similar point of view. "I think that such personnel when choosing a new type of activity may face only one significant limitation: network marketing specialists are people who are not dependent on time: they plan their own day and work activity, so returning to a strictly regulated work schedule may cause them some discomfort," Mrs. Kondakova believes. 
 
Therefore, while searching for middle-level employees capable of leading the MLM sales direction, Liliya Sorokina advises to use their methods - through friends, relatives, and acquaintances, look for those who have proven themselves as individuals capable of engaging in this type of activity but at the same time think rationally and logically. 
 
According to Olga Kondakova, "working in MLM structures involves, first of all, interacting with people both as clients and as employees. In order to succeed in this business, one must be a person with a high level of self-organization, possess strongly pronounced leadership qualities, be able to think positively, and have an active life position. People with such qualities are very valuable specialists in any market where network marketing strategy is applicable". 
 
"Attracting people engaged in network marketing to linear sales, I realized that their main advantage is that they enjoy selling. They are very energetic, not afraid to communicate with people, and know how to handle objections," says Artem Boreyko, director of LLC "Rista" (food product distribution, staff - 27 people). "Although sometimes they overdo it with persuasion, confusing persistence with intrusiveness. The question of loyalty remains open. Those who are used to making decisions and running their own business can leave the company at any time, taking their clients with them." 
 Favorite Phrases of Networkers

- The only reason not everyone participates in MLM is that people do not understand what it is. 
- You don't have to sell a product. You just need to offer it to your friends. 
- To succeed in MLM, you need to teach others how to become successful. 
- Your partners must be convinced that they are being helped, not used. 
- MLM gives a person the opportunity not only to earn a lot of money but also to have time to enjoy it.

 
 
However, the largest network companies are not left out of progress, as they in turn are exploring traditional distribution channels, opening stores, ordering advertising campaigns, and planning marketing promotions. 
 
Author: Natalia Naumenko.