I've been in the network marketing industry for several years now. I've seen many people come and go. I've seen many companies some and go. I started to study why people failed at this business. I came up with 2 main reasons:
1) They ran out of fresh constant flow of leads
2) They ran out of money to generate these leads
If you don't have a constant flow of fresh people interested in your business opportunity you cannot continue to make money because your revenue source has dried up. No traffic= No Leads= No sales.
The second reason is they run out of money to generate leads. After they have gone through their warm market many people turn to Pay Per Click marketing or other forms of paid marketing to generate leads. The problem is that they run out of money to generate leads before they have generated enough money to stay a float.
There are a couple of remedies for this. One is to have a funded proposal lead generation system. That is to get paid when leads come into your system. The other is to generate free traffic that converts into sales or reps.
When you have a funded proposal system and leads are paying to get into the system that will sustain your advertising budget until you gain enough momentum or leaders to make a reasonable income. As people keep entering your system and paying you can use that money to keep your system afloat and keep advertising through free lead generation or venture into paid marketing. Both which work very well.
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