Not only in building your MLM business, in life, you must have a target for yourself.

A target is knowing what you want to achieve. What exactly do you want?

Ask ourselves, this number one question : " What do I want? "

"We have to think of July. Month of June is already solved. July, we don't know what will happen", said Stanley. This is a norm, when it comes to business. You may do well this month and you know how much you will be getting, but you are not sure of your business in the coming months.

In MLM, there are some sales target that we need to achieve to entitle us for bonuses. Some company's compensation plans requires you to maintain personal sales, some is group sales and some requires you to maintain both personal and group sales each month.

Beside the sales requirement to entitle for bonuses or income, there are other targets that you may want to set for yourself. Every month, one should set a target to close certain sales for himself.

A target actually gives you a route to achieve something that you have set. It also helps you to evaluate your performance and helps you to watch your activities and to see what went wrong. It also eliminates procrastination.

"What is procrastination? your words are very deep, I need to open my dictionary," said Stanley, laughing, saying that word is more than 12 letters.

There is this saying :

" It is not enough to aim, you must hit your target ! "

After I am done, I approached the cashier counter to pay for my meal.

There was no one at the counter. So I waited patiently and the other staff noticed I was there, but they continued with their work. I was ignored. I asked the other staff in the beverage section to assist. He said " wait for the cashier "

So, I waited. There was another customer came and wanted to buy a bottle of mineral water. He couldn't wait, put down the bottle and left.

So I did the same! Hahaaha…

I don't know about the other guy who took some sweet and wanted to pay for his meal. He was there at the counter with me, waited for about 5 minutes to make payment. I have no idea what he do, after he saw me left.

I think back and put myself in the restaurant owner's shoe and felt that was a lost for the restaurant. The restaurant is open for business and provide service but didn't get paid from me and a few others. What if the cashier is not there for that whole day and no one from other department come to assist? How much they will lose?

So, the lesson is "Whatever you do, you must get paid." Same goes to MLM business. As distributors, everyone should know how are they being paid for their effort. They will know if they learn about the Marketing Plan for the MLM company he/she represent.

This is the car my dad was driving back then, Mazda 808, before he achieved his Car Program in his Shaklee Business.

The Car Program or some may named it, Car Fund was not offered by all MLM companies. Some of the MLM Companies, to name a few, such as, Shaklee, Century Diamond, Nutrimetics, Tiens, Zhulian are those companies offering Car Fund as part of their incentives in their Marketing Plans.

On your left, is my younger brother, with me. I would like to wish him a Very Happy Birthday. Photo was taken in our grand auntie's house.

This was the car, Proton Saga 1.3 Megavalve, which my dad achieved in his Shaklee Car Program in year 1991. Many of his downlines achieved their Car Program too and their car registration plates are mixtures of these numbers 1,2,3, and 8. 

Today, car dealers are taking in old cars for scraping purpose and we decided to take that opportunity and change to a new car. Thank you for serving us for 18 years and yesterday we let it go!

Welcome to a new member of the family, here is, Perodua Myvi. For your info, this is not a Car Program,ok. My younger bro had his Myvi very much earlier. 

Some MLM companies giving cars for free when you hit a certain target set by the company. What you have to do is just get into the car and drive. Some companies will be paying for your car instalments when you achieve a certain group sales according to the Marketing Plan. If you don't achieve that group sales for that particular month, then you will have to pay it yourself. There are companies that offers different cars for different level of sales target achieved. Most of the cars offered by MLM companies are luxurious, such as Mercedes, BMW, Volvo, Honda Accord and Toyota Camry.

I was doing a MLM business which requires quite a big start up capital and the product was very unique too.

I still could recall that night, I was doing a presentation to a friend in her house. What was shown to her was only the product and I only emphasize on the features and the benefits. I wanted to only sell the product to her.

No business presentation was shown to her, even I knew the Marketing Plan very well. I made the biggest mistake meeting a prospect and never show her the most important part of the business, the Marketing Plan.

Why didn’t I present to her the Income part? I was making assumption that she won’t be interested and moreover the business start up requires a big sum of money.   

Do you know what had happened?

A few months after that meeting, she joined that particular MLM company. I felt more frustrated, when I heard that she was doing it fulltime!

I have learnt my lesson and never make any assumption. Show both the product and the business, especially the business. 

Why? 

Everyone is looking for money. Anyone would do something to make some extra income. And they will do anything to earn money to accomodate their desired lifestyle.

So my friend, its a must to show your MLM prospects both the product and the business. (Marketing Plan)

In MLM marketing plan, there will be a maintainance. It is either personal maintainance, group maintainance or some even both.

But there are companies that doesn’t require any maintainance at all. What do you think if there are such a company? Sooner or later, these kind of companies will be in trouble.

Personal Maintainance is easier to manage because it all depends on yourself to make the purchase of products each month to entitle for bonus. You buy whatever products that you need for your own consumption or products which is most saleable, so you can sell to your customers.

Where as, group maintainance is a little difficult. You will be monitoring your group sales by the end of the month to see whether the sales is adequate for bonus. If its not, you may want to call and help your downlines to make some more sales. What if it is still far from reaching the sales target, then you will have to buy some products for yourself and keep at home.

At times, your maintainance is more than the income that you get. This senario happens to those who are new in the business. For those who already very close to the top, they may not face this kind of difficulty.

For those companies that requires both personal and group maintainance, then you will have to fulfill both personal and group sales each month to entitle for your bonus.

Hello there,

I would like to refer to the previous post on "Breakaway". Remember, whenever new Leaders in your group are being created, you will have to keep on bringing in new members. The more you bring in, the more it will surrounds you, and it will look more like a Sunflower.

Some leaders will be using this method, that is to recruit as many as possible in hope for them to move the business.

Sunflower is another term used by many MLM distributors to describe the method of recruiting new members to join you. By having this way of recruitment, you will make personal profit and earn all by yourself. Working for yourself to earn what you are really worth.

You will also have hard time to train each one of them. There is no way you will be able to communicate, get in touch and train everyone of them. Finally, you will be tired and might give up by working too hard over a long period of time and get little results in the long run.

Hello and Good Day to all.

I am back again to talk more about Marketing Plan. Let’s continue from my previous posting on the Stair Steps.

Every new distributors will reach the 21%-ter position. What will happen if your downline reached the same position as you?

You have build up a person "A" to reach the 21% position, as same as you. You will earn a certain percentage from him and his group.

In order for you to over rides A’s group sales of lets say, 4%, you will have to achieve a certain PV (sales volume) from the remaining group.

At times, one may buy up in order to earn from his 21%-ter. What will happen if the person at 18% achieve 21%?

Eventually there will be more downlines who will achieve the same position as you and your remaining group gets lesser. 

You will have to find more new recruits to maintain the sales to earn the 4% from all your 21%-ter downlines. The 4% is called Leadership Bonus, which you earn from building downlines to achieve up to your level.

There are still companies applying this Breakaway plan. And there are even new companies today, using this kind of plan.

Stair Steps is one type of a MLM Marketing Plan. It is shown usually after the Retail Profit section.

The position or percentage goes up as the sales goes up. Its just like climbing a set of stairs. When a distributor achieve 250PV, he is a 3 % ter.  (Three Percent-ter) as shown above.

What is PV?

PV stands for Point Value. Some other names are like BV (Business Value or Business Volume), eV (electronic Value). Some company may call it CV.

How PV works?

PV derived from the amount of sales generated by you and your group. 0.50PV could equals to $1.00, which means if you purchase $100 worth of products, your Point Value is 50PV. Some MLM company calculate it as $100 equavalent to 100PV. It varies from one product to the other and from one MLM company to the other. The bonus or income are calculated based on the PV for the month.

There are 3 ways how we work out this plan.

1) Accumulative

After you reached a sales of 250PV and created a sales of 650PV this month, which comes to a total of 900PV, you are a 6% ter. Perhaps they may call you a position, "Two Star". If you do another 850PV, you will reach the 9% mark. As you keep on doing your sales month after month, at your own sweet time, you know that you will eventually reach 12,500PV sales, at 21%ter (Eight Star position)

2) YoYo

The percentage of sales for each month is not certain. It depends on the sales you generated in that particular month. If you did a 250PV on the first month in the business, you are at 3%. When you did another 650PV, you are still at the 3%. The reason is because you start from zero each month. Only when you did a 900PV in a month, then you are entitle for the 6%. You know how YoYo is played. Up and Down.

3) Combination of both

Your sales accumulated, lets say from 250PV up to 9500PV. But from sales of 9500PV to 12,500PV is a YoYo.

So you may be at 21% this month, next month you could drop to 18%.

Retail Profit is the first income in a MLM Marketing Plan. It ranges from 20% to 30%.

Let take for example: a product cost at $198.00,  customer price (C.P) and you, as distributor buys at $165.00, which is at a distributor price (D.P)

When you sell that particular product to a customer at $198.00, you make a profit of $33.00 ( which is 20% profit )

A MLM company may have a wide range of product line, and the percentage of retail profit defers from one product to another.

Some distributors likes to sell. They make their profit from selling. 

Tips:-

To join a MLM company, one will have to pay a Membership fee. Most MLM companies requires a membership fee. A new prospect may initially sell the products to earn the profit. From the profit earned, they sign up as a distributor under you.

If the membership fee is $50.00, then he/she will have to make 2 sales of the above product.

An MLM distributor with this position, zero zero one (001), means he is the number one person to be recruited direct by the company. All the rest of the distributors will be under him. The person who is immediately below him will be the zero zero two.

This zero zero one person will be someone who has the experience needed to run the MLM company, giving advice and producing sales for the company. Not only he will be rewarded with MLM bonuses, but he is also given allowance to make things happen for this newly established MLM company.

Zero zero one will be earning good income. But this doesn’t prevent him or her to jump to another company, if the other company provides a better pay and bigger income opportunity. It could be some sour relationships going on between him and the company men.

He is also a very influencial guy, having the ability to both talk and bring in people to the company. He is responsible to make the company grow and being recognized by other distributors from other MLM companies.

If he is a zero zero one, he is somebody who knows his stuff. But again, not all zero zero one knows his stuff that well. It depends on his experience and exposure in the MLM business he has been involved with. Zero zero one improves as he goes along.

As zero zero one learns and improvized, MLM industry becomes more interesting in all aspects including the products, people behind the company, the strategies being used and especially the marketing plan.

Zero zero one is an important person as an upline, an advisor to the company and also a mentor, someone who we (distributors) could look up to and hope for in growing our business together.