Call It What You Will

I want to talk about the maligned reputation of Network Marketing.  There are companies that utilize this model and have the naming rights to a professional sports franchise stadium (Amway Center), sponsor a major league soccer team (HerbalLife), and credibly post on major job boards as "legitimate" careers (Avon, MaryKay Cosmetics).

The problem, frankly, is not the business model itself, but the failure rate of the people trying to make it work.  These are two separate issues.

Network Marketing, Multi-Level Marketing, Affiliate Marketing, Word of Mouth Marketing... notice that they all end in the word marketing.  So what is marketing, anyway?  The simple explanation is that it is the practice of getting your message in front of someone to evaluate.  Marketing is engaging people in a conversation.

But do we need to use the word "marketing" at all?  After all, marketing presupposes a lot.  It infers there are skills, tools, strategies, budgets, value propositions that are all in place in order to make these conversations happen.

This presents a problem for Network "MARKETING".  Why?  Because most people do not come to the table equipped with the marketing skills to initiate these conversations.  Ergo, they fail.

So, if we do not call it Marketing, then what do we call it?  I think the best term is "Community Building".  Communities are groups of people who share common interests, values and goals.  This ethos of "shared" is what binds everyone to a common theme, and it can not be just about money.

Although, for a successful business to survive (and thrive), there has to be a common commitment to EVERYONE'S financial stability and security, however again, this presupposes that the skills and strategies of all community members are on equal footing.  Everyone knows that this just isn't the case.

So this begs the question of what IS the most important factor in building a community of people vested in greater financial prosperity?  My answer is this:  it is the transfer of skills and knowledge. It is a matter of ensuring that the "community" has the structures in place to ensure that 1) a student of marketing content becomes proficient and competent in engaging others with their "message", and; 2) is then able to become an effective role model and teacher, essentially a leader in the community who can be relied upon for the transference of skills and knowledge.  The goal is for everyone to become knowledgeable and competent, i.e. professional.  If this happens, people make money.  If not, something less optimal happens and the "industry" suffers from the negative reputation.

Call it what you will.  This is noble and socially redeeming work - helping people elevate themselves financially through education, accountability and a sense of belonging.   If done well, and correctly - people get rich in direct correlation to their COMPETENCE.  And, companies get rich and get the naming rights to major sports complexes - all credible and real.

Non-profits, Networks and Synergies

Any organization is a collection (or network) of people who all subscribe to something in common.  It could be a religious organization, a youth baseball or soccer league, any medical malady organization, school bands who want to march in the Rose Bowl Parade... there are many, many more as you know.

As a network of people all subscribing to a common "something" there is always the foundational need for money and funding to replace a roof on the church, build a new fence around the playing field, contribute to families in need,  caring for a sick loved one, or pay for plane fares to Pasadena for 90 kids.

The question is whether bake sales and car washes... yard sales and holiday raffles... cookie and popcorn campaigns and the like are the smartest way to go about things?  Or might there be a better way through leveraging the synergies of the participants to benefit in the process?

Obviously, this article presupposes that it does make sense to incentivize volunteer money-raisers to participate in the financial rewards of a fund raising campaign; helping themselves, society and the economy in the process.

Our model is a solution to this and I encourage anyone who is involved, directly or indirectly with raising funds for any good cause to learn how we can help.

You can find my White Paper on this subject HERE.

Earning a Living Through Helping Others

I've had a lot of different jobs in my life.  At the end of the day, I guess each has helped people in some direct or indirect way... (except maybe for selling life insurance).

There is something qualitatively different in what I do now.  I have a direct impact on the quality of people's lives that is immediate, palpable and rewarding.  This "outcome" is preceded by establishing trust and building relationships based upon common values - and competence.  This does not happen without consistent interaction in a team environment that keeps everything moving forward in a positive way with little successes along the way.

So, what are the little successes?  If your skill set is "slim", perhaps it is learning how to set up a gmail account and use it as a free auto-responder.  Perhaps it is making a commitment to turn off the TV a few nights a week and focus on business building activities.  Perhaps is it finding out who the person is at any local non-profit who is in charge of fund raising and asking for a meeting.

The key to building a business is being a student who is willing to become the teacher.  If you want to earn a living through helping others, your success will depend upon a thousand "little successes" that one day makes you an exemplary role model and teacher.

Money As an End in Itself

I view making money as an end in itself.  The vehicle used is important, but frankly it could be anything, as long as there is value derived from whatever is being sold.  In the total equation, considering all variables, my primary concern is that there is more money in my bank account and I am able to do what is best for my family.

"All the better" if something truly aligns with my values, however more important: is how the compensation is structured.  It needs to be in a way that is smart, fair and can accelerate rapidly. This gets and  keeps people's attention.  Rapid profitability minimizes risk and keeps people in the game.

This is critical in building a team of business partners.  It creates excitement and an atmosphere of success.  The affect and culture this engenders is a key driver to the growth of any organization.