Marketing: How To Evaluate a Network Marketing Opportunity
Posted Sep 04, 2004 - 09:56 AM
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All legitimate Network Marketing opportunities have a real, solid product or service. If they don't -- watch out!
First, what is the product or service? This is the first question you'll want to ask. It should be something that you would purchase or use even if there wasn't a business opportunity attached to it. It should be a consumable/reusable type item or service. Something that is used month after month or re-ordered. This means monthly sales and increased profits.
How long has the company been in business? Many new Network Marketing companies go out of business within two years. Usually due to mismanagement and poor cash flow.
There is a growth curve that most companies go through. You want to get involved with a company that has solid financial and management backing.
How profitable and easy is the compensation plan? This will be where your income comes from. It must be fair and easy to understand for it to be successful. And must be tied into the sales of the product or service not just recruitment. Look for some form of residual income.
What is the start up cost? Most Network Marketing businesses cost less than $500 to sign up and get your kit. This is because of regulations in a number of states. Just because it's more doesn't mean it's bad. But you'll want to justify the cost. Ask what you get for your money.
What support systems and training do they offer?
One of the reasons to get involved with a turnkey
business is because you can plug into a proven success system. You should have the most experienced distributors teaching and helping new recruits get started. Do they offer seminars, tape courses, conference calls, web site support etc.? And for a reasonable price or free?
Take the time to learn from the best. You'll succeed much faster and with less time and effort.
Now, let's practice with a real opportunity. Use what you've learned to analyze this potential business opportunity.
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Publishers Note : Make sure you check out our recommended work at home opportunity at http://biz-whiz.com/article194.html
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