Seth Godin writes today:
"Marketing spends a lot of time concealing things. Take this box of Whole Wheat Ritz crackers. The #1 ingredient? White flour."
What's on the outside of your box when you advertise or bring up the business to others? Checking around the Google ads, or the online pitches we all get: the potential income, being one's own boss, residual income, etc.
This is what attracts people in droves. And we have it to offer.
But like the Ritz box, how much of "the rest of the story" should be in small print or not revealed at all until after the buy-in?
If the small print were more obvious, fewer sales of any kind would be made. That's the risk in not revealing the rest of the story: fewer buyers. So Ritz put the good stuff on the outside, and most people are too rushed to read the rest of the story (if they notice at all!) until they get home and read the label.
IF you had bought the box based on the outside promise: Whole Wheat, how do you feel after you've bought it, and read the rest of the small print?
What's on the outside of your box? Some examples....there are countless. Check your own.
1. "Earn $5,000 or $10,000/mo part time." Lulu is ready to buy your box. When should she find out what it actually takes to earn $5,000/mo with her company?
2. "We pay 30%!" When does someone find out that the 30% (or whatever it is) is not really on the dollar amount of sales they bring in, but some lesser amount expressed in "points" or "BV" or "PV"?
3. "We pay 30%!" Only no one earns the 30% until after they have reached a certain level, based on how much product they (or sign-ups) have bought from the company first.
4. "Monthly residual income!" Only you don't qualify for it unless you do a minimum product order yourself.
Etc. etc. etc.
Revealing such stuff is a risk for all marketers: reveal more up front, make fewer sales. Think of the Ritz box.
The upside? Perhaps fewer disappointed customers, fewer people who tell their friends to stay away from your box or your brand.
Readers: what are some other things you believe should be on the outside of your box, along with the good stuff?
Please don't use the space to tell how you or your company doesn't do this or that. I'm interested in suggestions to make the outside of the box more revealing. Obviously, you can't tell everything on the outside of the box. But depending on the good stuff on the outside of the box, what more should be revealed than is revealed now?
P.S. Confession. After ten years of training and consulting I have finally decided to get back in the field. I'm part owner of a tiny nutritional start up. So I am no longer an unaffiliated "guru" and if that makes a difference for you, there it is. I will be implementing some changes on this blog to reflect this change in my status. Because now all my words will be perceived differently by some.
P.P.S. Over the years of writing this blog, I have reported some of the bad media coverage of various companies, many of whose reps I have worked with for years. I posted those old links in one place recently which caused quite a stir. My goal then and now was always the same: point out practices in the field that make us sitting ducks for media who hates us, and regulators who keep hearing bad things about us. Now of course those comments look evil. I didn't expect that, stupidly, so I'll be changing things here.
13 comments :
Kim, you have always had some great things to say, but in my humble opinion I think you are now on fire!!! Your words are heartfelt, honest, loaded with integrity, the best of Leadership. Look forward to hearing more about your new company and what YOU discover back in the field!!! As always thanks for posting truth.
Energy Advisor
Ruby M.
www.800-732-0407.com
Re: "please don't use the space to tell how you or your company don't do this or that..."
Isn't it fascinating how easy it is for most of us to revert to seller talk, even on a blog designed to teach us how to not do that very thing...
All the best,
glennjaffas@prepaidlegal.com
Kim,
It sounds like you are on a growing edge here. It also sounds like you have learned a lot in your many years of network marketing -- which you are now choosing to put to use in your own trenches. Who knows how it will go, and there must be a million new lessons cropping up every day.
You're right that your comments may now be perceived differently because of this. I respect you for acknowledging your change in status, along with all the changes that must come with this. Not everyone is able to see this in themselves, much less comment openly about it.
Best wishes,
Pam
Some things that need to be on the outside of the box are the Policies & Procedures. This is your contract with the company and every legal network marketing company must have them.
A lot of companies make you agree to them when you join, but don't allow you to read them until after you've signed the contract. They are hidden in the back office.
Some of them say they can terminate you at any time for any reason. Still others say that they can accept or reject any application or renewal application. This means that they do not have to continue to "allow" you to be a rep when your contract comes up for renewal.
Most people don't even read their contract. They just agree to it. Then when the company sends a termination letter because they can, you're out in the cold. You've lost everything you built. I know because it happened to me and countless others that I know.
Whose head will be on the chopping block when your company needs money? Someone making $500/year or someone making $100,000/year. If you want a secure financial future and want to build big in your company, read your contract (Policies & Procedures) that are very rarely on the outside of the box.
~Roxanne Green~
Reference Kim’s PS:
We should all be able to come here to learn and share with each other. Kim, it’s your blog and you should be able to post what you want. It’s not a secret that you are a part of a new start up company. You have made that clear to all of us. I say – all the better for us because you are back in the field. Your years of knowledge are very much appreciated. You believe in Network Marketing so why shouldn’t you get back into what you preach. You shouldn’t have to put a disclaimer behind all of your posts. (Didn’t we just discuss disclaimers in one of the blogs?)
I teach a Sales and Marketing class to hundreds of people on Thursday nights and everyone there knows that I am in a different company than they are. New School principles and honesty apply to each of us no matter who’s teaching, who’s learning, or what company we belong to.
I have noticed a change in your comments in the last several weeks... giving more emphasis to your new start up. I hope/trust that you won't use this forum(although it is your forum) to promote your stuff unfairly(like you don't allow us to do)... it would certainly change the way I will visit/use your services. Please don't booger it up ;-)
That said I would like to thank you kindly for all you do and have done for us. You bring the good stuff to this industry. You provide a wealth of knowledge and have helped me personally through my learning curve. I have a great deal of respect for you.
This is about your PS PPS at the end of this post.
I feel like I could sit down and cry a while...
For the 15 years I've known you, you have been a researcher, a reporter, an advocate, a truth-teller, a comedian and a friend to all of us wanting to do something Noble in this industry.
If it weren't for you, I wouldn't be here and there are loads of others like me...
But I do understand. And I'm glad you can model the things you have taught in your little company. No more bitching from others.
Love you,
Kim,
You cannot be all things to all people.
You simply have to write what you think is best and let the chips fall where they may.
Paul Eilers
www.PurpleGreenPops.com
Hi Kim,
Best wishes for you and your new company. If anyone deserves smashing success, you do, Kim.
Don't regulators require that companies disclose the average annual income per distributor?
If the number of active distributors along with high and low income was added to that disclosure it would be upfront and powerful. With just the average, a potential distributor might say, "Gee,the average was only $620 per year" and be turned off. However, with the high published people that think like Jackie Ulmer does, "I've always been of the mindset if ANYONE else is making that kind of money in the company, then I am able to do the same" would be attracted by their own convictions.
The "no selling required" knocks me over the top. Any veteran of our industry needs thick skin. We all are in the Direct SALES Industry and substituting "sharing" for selling is deceptive in my mind. Therefore, just like the classifieds used to say, "some sales experience helpful" would be great to add right next to the whole wheat.
Tom Doiron
Atlanta
The easiest way to reveal what it takes, is to find out what Lulu wants from her business. $100 a month to pay for her product? Tell Lulu how many sales to customers or recruits she must make per month to achieve that.
If she would make (as with one company) $15 per business owner, Lulu needs to recruit or maintain 7 business owners. If a company pays $4 minimum per business owner (without calculating additional or "average" purchases), she needs to find 25 recurring business owners/customers. Give her the target to aim for and she might find herself pleasantly surprised that some of those customers/business partners are duplicating her success and her income is growing exponentially.
That is the beauty of Network Marketing.
Okay, this should be in teeny tiny print on our contracts in the "Contents" section-- Dear recruit, do not be a naive sucker and believe that just because people here are friendly that they are your friends. Do NOT check your business head at the door. NEVER reveal names of prospective individuals or companies you're working on to ANYBODY, no matter how much pressure is put on you, and no matter how "helpful" they may appear. The person helping you may well have your best interests at heart and might never dream of double-crossing you. He/she may have enough integrity to overcome any greedy impulses, but don't bet your income on it! You're an adult in a highly competitive situation, where your company colleagues and even your sponsor are your main competition. So think like an adult businessperson and guard your assets accordingly. These are YOUR prospects. These are YOUR potential clients. This is YOUR future income. Keep to yourself every single name and piece of information like your like it was worth a million dollars. For that matter, with a company like ours that has several products, keep your CLIENT LIST to yourself, if at all possible. Your sponsor or colleague might very well come behind you and sell your client another product. Your sponsor may very well make a HABIT of doing just that with your clients. Easy pickins.
Never forget that this is a BUSINESS. Have I drilled in that point soundly enough? If the company lets you in at a discount in exchange for a list of your friends and family, then buddy, you just effectively sold out your friends and family as "leads" to the company. The company/your sponsor MAY give you first shot at them, and then again...well, you know how that goes. No free rides. These folks may be nice, but they ain't yo Mama.
“Great minds discuss ideas. Average minds discuss events. Small minds discuss people(or Companies),
Never tell them what you do not do, tell them what you will do for them.
One bad thought or idea let loose will kill a 100 but on good thing or idea will always grow from that seed into a tree. Think about it.
Good Luck Kim
Dr Robin Rushlo
If you are unwilling to approach people about your product/opportunity, and you don't have the money or skills to do your own advertising, network marketing is not right for you.
If we tell people that upfront that money or uncomfortable (for some) action is mandatory, oh, and that if they don't meet certain qualifications then they don't get paid the money they earned, then they will have been told the worst, in my personal opinion. If they walk away, that is good for them and me (no doing therapy as Kim says) and the industry as a whole.
I personally do not want to sponsor most of the people I talk to about my business. They are not ready or it is obvious to me that they do not have the basic skills to succeed.
Tracy
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