Why Is The Network Marketing Failure Rate So High?

Posted on Posted in Network Marketing MLM General

Why Is The Network Marketing Failure Rate So High?

I got to thinking about this yesterday and thought I’d write a quick post about my opinion of why the network marketing failure rate is so high and causes so many people to quit. To learn what I think about how most people choose the wrong business opportunities to join, which hurts their chances of successMore About The Network Marketing Failure Rate.

In my humble opinion, network marketing offers tremendous opportunity for wealth creation for the average person. The entry fee to start your online business is inexpensive and the upside is great. The low entry fee is why many people who do not have the entrepreneurial drive get involved. They are suckered in by claims by companies of making gobs of money while the marketer is either sleeping or on the beach.

To succeed online, it takes work. To most people, this is a 4-letter word George Carlin should have included in his skit from years ago (those of you my age will know what I’m talking about)! To give you an example, I received an email from one of my downline members recently who had received an email from his downline member. His downline member was wondering if the program she had joined was really going to work because she hadn’t gotten any sign-ups in her 1 day of marketing! She was thinking that the program might be a scam! This, unfortunately, is the mindset of the majority of “network marketers” and contributes greatly to the 97% failure rate and high attrition rates that we always hear about. This failure rate is the same with people starting off-line businesses as well.

Most people are just not cut out to run their own business. It’s not in their make-up and that’s OK. But, this makes the failure rate arbitrarily high. I have no way of proving this but the failure rate of people who actually apply themselves and have a success-oriented mindset is much lower than 97%. Probably lower than 50%.

Another contributing factor is “The grass is always greener on the other side”. This statement is rarely true. I’ve learned this the hard-way throughout the years in my offline business life. The key is to find a business opportunity, or a few, that you believe in and that are legitimate, and work those programs. If you don’t know how to market, learn. That’s what I’m doing with MyLeadSystemPro. I have been in sales and marketing for my entire 20 plus year career and had done some internet marketing but nothing like this. Online network marketing is dynamic and we all need to learn as much as we can and apply what we learn in our marketing efforts, even if it’s not perfect. This applies to any business: If you educate yourself consistently, you will know more than 95% of your competition. Most people are either overwhelmed or too lazy (sorry) to apply themselves.

Then, it is the sponsor’s job to relay this information onto their members. I have been involved in a few business opportunities where I never hear from my sponsor. Even when I reached out to them! I don’t think they’d answer the door if I showed up at their house and knocked! These people will never be successful. No matter what your experience level, you need to educate, mentor, and motivate your downline. Sometimes this can be difficult because they are not receptive but you still need to do it. This will come back to you ten-fold because your message will resonate with some.

Basically, it is my opinion that the network marketing failure rate is inflated by the people who shouldn’t be in the business to begin with. With a negative mindset, there is no way to be successful. Without seeking out and following a proven system, it will take a long time to realize some success and it might be too long. For those who are giving real effort, and consistently educating themselves, I assure you that there is light at the end of the tunnel. Do not give up because this is a great business with plenty of room for everyone who wants to…to succeed. And create the lifestyle that they’ve always dreamed of.

If you are sick of struggling and do not not want to be one of the “failure” statistics I just wrote about…CLICK HERE For Your Network Marketing Success Blueprint

Here is some more info. you might find of interest:
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Macklemore & Ryan Lewis – Make the Money (Official) – YouTube
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5 thoughts on “Why Is The Network Marketing Failure Rate So High?

  1. Hi Denise,

    Thanks for visiting. I really appreciate your commenting on my blog! And, welcome to the industry!

    It is my opinion that many more people would be able to make money in network marketing if they just “worked” at their business. There is so much to learn, especially if you’re trying to learn to market online, that makes this business very dynamic but it can seem overwhelming. If you ever need someone to bounce ideas off of, please don’t hesitate to contact me.

    Steve

  2. Great Article Steve!
    I am only 6 weeks into network marketing, and I love it. So many people are saying “been there, done that”. and I laugh because I know they didn’t want to do the work necessary to succeed.
    I have been a photographer in NYC for the past 24 years, and this is new for me.. what I didn’t expect was the amount of education I was receiving by constantly learning new business ideas. It not only helps my network marketing, but also every other part of my life, my relationships, and my photography business.
    I look forward to reading more of your posts!
    Thank you,
    Denise

  3. I usually don’t post on too many another Blogs, still I just has to say thank you… keep up the amazing work.

  4. Great And Very Interesting Post! I really believe that one of the main reasons that most networkers fail is because most network marketing companies make people feel that become wealthy is a cake walk, And when most folks join a business opportunity they go into their business thinking that its going to be easy and when they realize how tuff it is they throw in the towel. Also And more importantly most networkers don’t understand how to market and that was the main reason how come I struggled in my first two years. My uplines taught me to market to my family and friends and chase leads instead of get my business in front of people who were looking for a business opportunity and attract leads.
    Great Post I Enjoyed Reading!

  5. Well said, Steve! Mindset is very much a part of the game. People say “Yeah, I want to do a ‘home-based business’ and make money” but in reality…they really aren’t interested in the business part of it.

    It’s important to be careful when using the term “system”. The “system” you want to use is one that builds your business by developing relationships with customers/distributors instead of the type that just goes out to “spam” the internet world. The “spam” type will NOT build your business long-term – your organization will die off as people quit.

    People will continue to fail in their business if they think they should see results overnight. Unfortunately this industry has had a bad reputation and I STILL run into people who think it’s all about “pyramid schemes”. We need people to stop misleading their prospects into signing up…but there are far too many unethical people on the internet to see that dramatically reduced anytime soon.

    Again, great post, Steve!

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