The following is an excerpt from
“Success in 10 Steps by Michael Dlouhy” paperback version
- Special New Bonus Section…. Enjoy!

Success in 10 Steps by Michael Dlouhy

“Special New Bonus Section!

What I’ve learned in the 3 years since publication of the
“Success In 10 Steps by Michael Dlouhy” ebook …

Proof That It’s Not Your Fault!

Discover How MLM “Opportunities”
Stack The Deck Against You

The more you look at compensation plans and companies
and company owners, the more you realize that the
business model drives the behavior in the field.

This is why so many people fail in network marketing.

If the cards are stacked against you from the start, you won’t
be able to compete in the marketplace.

Business models drive behavior in the field

You may be in a company that drives unsuccessful behavior in
the field. I don’t want to hurt your feelings, or to tell you
you’ve wasted months or years of your life. On the other hand,
if I was struggling, I wish somebody thought enough of me to
tell me why I can’t get it going.

So how does the business model drive the behavior in the
field? Think about this in a compensation plan.

Compensation Plan Breakage

Compensation Plan “Breakage” is money that, according to
the comp plan, appears to go to the distributors. But for a
variety of reasons, this money instead reverts back to the
company itself. Here’s a real scenario.

You have Companies A, B, & C. (These are real companies,
but unnamed for obvious reasons.):

Company A ― huge company, publicly traded.
Company B ― also huge, as big as Company A, many years in
the business, not publicly traded.
Company C ― been around about 5 years, not nearly as big in
dollar volume or in number of reps as A or B.

Let’s look at the difference in behavior that these business
models drive in the field, with regard to breakage.

First, let’s agree on one point: if you check 20 successful,
experienced, proven companies, all selling identical products
with identical ingredients, you’ll find their product wholesale
cost is probably within pennies of each other.

OK.

Companies A, B & C sell an identical amazing product.

Company A’s version retails for $116.
Company B has the same product, at $104 retail.
Company C has the same product, at $40 retail.
Again those are all retail prices.

So what behavior is driven in the field with companies A & B?
Do you think distributors can sell product at that price?

You’d probably agree, it would be a tough sell.

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Click on the Link Below to Download the ebook
Success in 10 Steps by Michael Dlouhy…

Success in 10 Steps … (http://MLM-Prospects.net/STSMD)

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“Wow. There’s a real problem with the business model.”

Why? Because if I talk to 100 network markteters and ask,
“Have you ever sold a product to your mother, father, best
friend … at retail? Or do you always sell it to them at
wholesale?” 99% of the time they say, “wholesale price.”

Why? Because …

1. The product is too expensive.
2. They don’t feel right making money off of mom & dad.
They brought you into the world ― just sell to them at
wholesale, or give it to them.

Result? For companies A & B, there is NO retail activity
going on, because the products are too expensive.

So … what behavior does that drive?

That’s easy ― sign up to be a distributor!

Company B is not publicly traded like Company A. But B’s
business model (set up in pre-internet days) was excellent
personalized customer service.

Company C, formed just a few years ago, created an
automated model without all the phone operators, About 97%
their orders are placed online.

Result? Companies A & B have very high overhead.
Personnel, training, salaries, benefits, workman’s comp, etc.,
etc., run about $2 million a month.

Company B’s product wholesale price is $80.

How can Company C retail the same product for $40? Much
lower overhead.

Again, what happens in the field? A & B reps cannot retail
product. So they resort to recruit, recruit, recruit.

Some new reps will always try to retail. But they soon realize
their price is way too high. Consumers scoff. The reps loose
interest ― their heart isn’t in it anymore, and they’re gone.

In her book, If My Product’s So Great, How Come I Can’t Sell It?,
Kim Klaver says that when you talk to 100 targeted
people, you’ll get 10 retail sales and 1 distributor.

Now, Company A & Company B have overhead so high, they
have to charge $80, where Company C is charging $40 for the
identical product…”

Click on the Link Below to Get:

Success in 10 Steps by Michael Dlouhy … (http://MLM-Prospects.net/STSMD2)

Thanks,

Robert Klinga

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