Network Marketing Network Marketing ExposedExposed

By

Raymond Medina, GLI Teamwww.igodiamond.com/raymillermedina

“The future belongs to those who believe in the beauty of their dreams.” -Eleanor Roosevelt

H istory of N etwork M arketing• 1940s - “California Vitamins” discovered more sales by hiring lots of sales rep

selling small amount of product each

– Customer base was made up of the friends and family of their existing sales representatives

– New sales representatives created from existing satisfied customers and a commission based system was developed

– Both teams and individuals rewarded according to their sales efforts

– Changed their trading name to Nutrilite Food Supplement Corporation.

• 1959 - Richard DeVos and Jay Van Andel founded the company Amway which was an abbreviation for the term “the American way”.

– Almost 50 years later Amway is a well established network marketing company

– Operated in 80 countries, more than 3 million business operators

Jay Van Andel and Richard De Vos

• Pyramid Scams - the rise of unrealistic get-rich-quick dreams without offering something of real value or even without real products. A lot of people fell prey and victim of the illegitimate schemes. Pyramiding, Ponzi Scheme

– 1975 when FTC finally took on the giant Amway. After four long and expensive court battle, in 1979 the verdict finally came in favor of Amway. That is to say, Amway and its marketing methods are ruled to be legal, legitimate business opportunities.

• 1980s – saw major shift in network marketing companies. They start managing stocks and distribution of products as well as commission of members

– The members focus solely on marketing.

• Internet Era – network marketing goes online

– The internet is utilized to promote products and provide back-office for distributors or even their own replicated websites

• Y2K and Beyond – now a $ 200B Annual Sales Global Industry and growing

– Gained tremendous acceptance globally

– Featured in mainstream business and financial publications:

SUCCESS, Forbes, Fortune, and USA Today.

H istory of N etwork M arketing

What We’ve D one R ight in N etwork M arketing?

• We’ve introduced a large number of products to the general public that would never have stood a chance in the traditional distribution system.

• We’ve changed negative perceptions about the business.

• We’ve helped countless people to control their destiny, create financial freedom, and live their dreams.

• We have produced serious financial relief to millions of

struggling people.

Some of the bad things that should have ended in the past but is still happening ….

T h e F iv e D e a d ly L ie s o f N e t w o r k M a r k e t in g

• Everyone can do this. They can’t. Network Marketing is perfect for everybody.

Everybody is not perfect for Network Marketing. You need to have the mindset of an entrepreneur, not an employee.

T h e F iv e D e a d ly L ie s o f N e t w o r k M a r k e t in g

2. The Celebrity Lead Magnet. Hires a famous Spokesperson, the celebrity doesn’t understand a damn thing about how the business is conducted, and is usually doesn’t even attempt to do the work it takes.

T h e F iv e D e a d ly L ie s o f N e t w o r k M a r k e t in g

3. The Urban Legends• Story that Donald Trump appeared on a late night talk show and said that if he lost everything and had to start all over again, he would join Network Marketing.• Majority of millionaires were created by Network Marketing.• Network Marketing is taught at Harvard and Stanford business schools and other leading universities.

T h e F iv e D e a d ly L ie s o f N e t w o r k M a r k e t in g

4. The “Quick and Easy Way to Get Rich” Mentality.

Promoting the business as a five or six-hour-a-week plan. You can start the business part-time, with whatever business or job you’re doing now. In fact, that’s the best and most duplicable way for everyone to begin. But the business can’t be successfully launched in five or six hours a week. It takes a minimum of ten, and 15 is even better.

T h e F iv e D e a d ly L ie s o f N e t w o r k M a r k e t in g

2. Selling Big Business Results with Small Business Tactics. Failure to educate people between the small business retailer model, and the big business duplication model. “Millionaire looking for apprentice” flyers on windshields in shopping center parking lots? Recruiting on the basis of free cars, award trips, and large incomes—and then teaching people that thesepeddler tactics are going to produce them.

We at GLI will continue to practice N etwork M arketing thru L if e ma x in the H ighest E thical Standard and with the B est M ethod of D uplication possible.

L e t ’ s g o

G L I R e v o lu t io n !

Thank You