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	<title>The Internet Green - Internet Marketing Blog &#187; Network Marketing</title>
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		<title>Response to Mike Dillard Part 2</title>
		<link>http://theinternetgreen.com/24/response-to-mike-dillard-part-2/</link>
		<comments>http://theinternetgreen.com/24/response-to-mike-dillard-part-2/#comments</comments>
		<pubDate>Thu, 10 Sep 2009 15:25:30 +0000</pubDate>
		<dc:creator>dgreen</dc:creator>
				<category><![CDATA[Network Marketing]]></category>
		<category><![CDATA[internet marketing]]></category>
		<category><![CDATA[magnetic sponsoring]]></category>
		<category><![CDATA[mike dillard]]></category>

		<guid isPermaLink="false">http://www.theinternetgreen.com/?p=24</guid>
		<description><![CDATA[Thanks to all who responded to my "Response" to Mike Dillard - I had hoped to get some thoughtful feedback (and not flamed!), and you all came through admirably. Congratulations on your respectful, well-reasoned responses!

But remember - we're in the business of providing SOLUTIONS, not selling products or a business opportunity!]]></description>
			<content:encoded><![CDATA[<p>I guess I&#8217;ve stirred up a little controversy over on <a href="http://www.betternetworker.com" target="new">The Better Networker</a> forum with my post &#8220;<a href="http://bit.ly/cmc2i" target="new">Response to Mike Dillard &#8211; &#8216;Which Company is Better?</a>&#8221;  It&#8217;s now one of the &#8220;Hot Topics&#8221; there.  I also posted a followup message to those who commented:<br />
<span id="more-24"></span><br />
_________________________________________________</p>
<p>Thanks to all who responded to my &#8220;Response&#8221; &#8211; I had hoped to get some thoughtful feedback (and not flamed!), and you all came through admirably. Congratulations on your respectful, well-reasoned responses!</p>
<p>I agree with all those who say &#8220;keep it simple for the newbies.&#8221; And if you&#8217;re relying on article marketing as your primary source of business leads for both new customers and new distributors, then trying to promote more than a couple of products certainly can complicate your writing schedule and water down your results. (And I&#8217;m not sure how &#8220;newbies&#8221; can use that technique &#8230;)</p>
<p>But remember &#8211; we&#8217;re in the business of providing <span style="text-decoration: underline;"> SOLUTIONS</span>, not selling <span style="text-decoration: underline;">products</span> or a <span style="text-decoration: underline;">business opportunity</span>.</p>
<ul>
<li>The guy with aches and pains in their joints after they golf isn&#8217;t looking for a product &#8211; they want a solution to <em>take their pain away</em>.</li>
<li>The lady whose makeup never quite matches her skin color, leaving her with makeup lines on her neck, doesn&#8217;t want to buy a product &#8211; she wants to <em>look attractive</em>.</li>
<li>The couple who are both working outside the home, yet are falling behind on their bills and wondering how they&#8217;ll put their kids through college isn&#8217;t looking for a business &#8211; they want a way to <em>overcome their financial struggles and spend more time with their kids</em>.</li>
<li>The small business owner who is struggling to maintain and grow his business doesn&#8217;t really want to pay someone to build a website &#8211; he wants to attract more paying customers so he can <em>make more money</em>.</li>
</ul>
<p><strong>They want a SOLUTION to their pain and struggles! Not a product or business opportunity!</strong></p>
<p>What if I could just tell the golfer that, instead of going to a nutrition store and hoping that the teenage clerk can give him advice on what will help ease his pains, I could instead say, &#8220;I&#8217;m not an expert on this, but some really smart scientists and programmers have put together an online survey that asks all about your health and lifestyle issues, then recommends specific customized products that will be the most helpful to making you feel better&#8221;?</p>
<p>What if I could tell the lady who wants to look better, &#8220;I&#8217;m not an expert at this, but I have a partner who specializes in making custom blend foundations that make you look great &#8211; would you like me to arrange a makeover appointment with her?&#8221;</p>
<p>What if could tell the couple with financial struggles, &#8220;I&#8217;ve found a way to save money buying things I need on the Internet &#8211; in fact, I can even make money by recommending that other folks save money on the Internet. Would you be interested in checking that out?&#8221;</p>
<p>And what if I could tell the struggling small business owner, &#8220;I&#8217;m not an expert on this, but I work with a company that has a whole staff of people who design websites for small businesses that want to leverage the Internet to grow their sales; can I setup a time for you to talk with a web specialist about this?&#8221;</p>
<p>Having a variety of ways to provide <strong>solutions</strong> lets me become more than a salesperson &#8211; I become a <span style="text-decoration: underline;">resource and advisor</span> to those who need help. Sure, I want to start off in just one area or one product line or even a single product, but if I can get training and grow my expertise in my area of specialization while also being aware of other products or services that are available (and I also have others on my team who can provide advice in their area of specialization), I can help a whole lot more people by providing them a SOLUTION to what they NEED, not just try to sell them the one product that I have.</p>
<p>&#8220;Well, everybody needs my product (or service).&#8221;</p>
<p>Maybe. But not everybody wants your product or is interested in your product or even is willing to listen to you talk about your product. They&#8217;re interested in <span style="text-decoration: underline;">THEMSELVES</span>: <strong>their problems, their worries, their pains</strong>. Not my products, services, or business opportunity.</p>
<p>Establishing a relationship with them &#8211; either by writing and posting articles (I&#8217;m not sure how &#8220;newbies&#8221; will come up with the good copywriting skills needed for this) or in person (yes, good listening skills and the &#8220;FEEL, FELT, FOUND&#8221; technique can be very useful here) &#8211; and having a variety of simple <strong>solutions</strong> to offer (see the above examples) expands the number of people that I can help &#8211; and who will become customers as well as partners to grow my business!</p>
<p>Again, thanks for all the responses. Keep moving forward!</p>
<p>David G.</p>
]]></content:encoded>
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		<title>A Response to Mike Dillard’s “Which Company Is Better?” Message</title>
		<link>http://theinternetgreen.com/18/a-response-to-mike-dillard%e2%80%99s-%e2%80%9cwhich-company-is-better%e2%80%9d-message/</link>
		<comments>http://theinternetgreen.com/18/a-response-to-mike-dillard%e2%80%99s-%e2%80%9cwhich-company-is-better%e2%80%9d-message/#comments</comments>
		<pubDate>Mon, 07 Sep 2009 18:58:16 +0000</pubDate>
		<dc:creator>dgreen</dc:creator>
				<category><![CDATA[Network Marketing]]></category>
		<category><![CDATA[distributor]]></category>
		<category><![CDATA[internet marketing]]></category>
		<category><![CDATA[magnetic sponsoring]]></category>
		<category><![CDATA[mike dillard]]></category>
		<category><![CDATA[mlm]]></category>

		<guid isPermaLink="false">http://www.theinternetgreen.com/?p=18</guid>
		<description><![CDATA[I recently got a message from Mike Dillard (of “Magnetic Sponsoring” fame); the message was titled “Which Company Is Better?”  

Basically, Mike said that it was better to go with a "single product" type of Network Marketing company vs. one with multiple product lines.  His main point was that, in his experience, this created less confusion and more focus and duplication for new distributors, resulting in building a network marketing business faster.

Mike, I beg to differ.
 
I see your "single product companies are better" viewpoint as quite short-sighted.  There are only so many people in your circle of influence who are willing to buy some "miracle juice" product as you described in your message; once you've reached them, you can no longer expand your market without additional products.  In fact, you're likely to start seeing both your organization and your product sales SHRINK after a while as customer slow or discontinue their purchases – assuming that the company stays in business for more than a few years!
]]></description>
			<content:encoded><![CDATA[<p>As part of my Internet marketing business development, I subscribe to several marketing newsletters and blogs.  I recently got a message from Mike Dillard (of “Magnetic Sponsoring” fame – and yes, I did buy his <a href="http://netgreen.magneticsponsoringonline.com/" target="_blank">eBook and video training program</a>); the message was titled “Which Company Is Better?”</p>
<p>Basically, Mike said that it was better to go with a &#8220;single product&#8221; type of Network Marketing or Multi-Level Marketing (MLM) company vs. a business with multiple product lines.  His main point was that, in his experience, this created less confusion and more focus and duplication for new distributors, resulting in building a network marketing business faster.  Here’s an excerpt:<br />
<span id="more-18"></span></p>
<blockquote><p>“Having a single product based line was advantageous in many ways…</p>
<p>It created PERFECT focus and momentum throughout the company because every single distributor, was dealing with the same product.</p>
<p>Think of it as a bandwagon effect.</p>
<p>All of the conference calls, all of the tools, all of the websites, and all of the training were about one single product.</p>
<p>New distributors didn’t join and say, “So which products should I promote”, or “Which tools should I buy?”</p>
<p>Every distributor and every team was on the same page. This laser-like focus produced incredible results.</p>
<p>Having too many options creates fragmentation throughout the distributor force, with various teams using different methods, and tools to promote different products.<br />
This creates confusion and doubt for new distributors who can’t help but wonder if there’s a better way being used by another team.</p>
<p>Focus is destroyed.</p>
<p>…</p>
<p>The fewer the number of options, the more focus…</p>
<p>The more focus, the better the results…</p></blockquote>
<p>Mike, <strong>I beg to differ</strong>.</p>
<p>I see your &#8220;single product companies are better&#8221; viewpoint as quite short-sighted.  There are only so many people in your circle of influence (whether you reach them face-to-face or via PPC ads) who are willing to buy some &#8220;miracle juice&#8221; product as you described in your message; once you&#8217;ve reached them, you can no longer expand your market without additional products.  In fact, you&#8217;re likely to start seeing both your organization and your product sales SHRINK after a while as customer slow or discontinue their purchases – assuming that the company stays in business for more than a few years!</p>
<p>Sure, you might get a big surge of sales as the company/product first hits the market (as you&#8217;ve illustrated).  But are you building a business that will still be going strong 5 or 10 or even 20 years from now?</p>
<p>(Yes, I do think long-term when looking at a distribution business.  One of my senior partners inherited the  network marketing business from her Dad when he passed away – and she and her husband are now making &gt;$25K per month from it!)</p>
<p>If you are building a business for the long term, putting all your eggs in one product basket is a recipe for failure in my view, especially if your network marketing company manufactures the product(s) that they sell.  What happens if some component or ingredient of that product is in short supply (due to economic, political, competitive or weather-related issues)?</p>
<p>Or what if the FDA steps in and outlaws the sale of a key ingredient?  (Remember all the weight-loss products with ephedra?  GONE!)</p>
<p>Or what if the FTC shuts down the company’s sales of that product or service due to false or misleading claims being made about its benefits?  Boom &#8211; you&#8217;re out of business &#8211; and your wonderful new single-product company is sitting on a bunch of aging product ingredients in a shuttered manufacturing facility!</p>
<p>Mike, I DO agree with your recommendation to give new distributors limited choices as part of their sign-up process: &#8220;Here&#8217;s what you need to do to be successful.&#8221;  But I think it&#8217;s better to have multiple market options and steer people into a &#8220;major&#8221; &#8211; a specific product line or market area that they&#8217;re interested in – then have them concentrate on the top-selling products in that product line first.  Otherwise, you’re trying to fit everyone into the same “tell all your friends and family about the benefits of our one and only amazing product” sales &amp; marketing funnel.</p>
<p>I have no interest in cosmetics, for example, yet thousands of people in my company concentrate on that market and do very well at it.  Others love the <a title="Weight Management - Transitions" href="http://bit.ly/8Pikb" target="_blank">weight loss program</a> or <a title="MA Health &amp; Nutrition" href="http://bit.ly/6Xnwt" target="_blank">health and nutrition products</a> and focus their efforts there.  More markets, more interested prospects, and more distributor retention – and long term growth despite economic upheavals.</p>
<p>Every successful business I can think of would rather expand <strong>share of customer</strong> &#8211; sell more products to their existing customer base &#8211; than fight with other businesses to gain <strong>market share</strong> (more customers in the same market), to wit:</p>
<ul>
<li>Why did <a href="http://www.consumeraffairs.com/news03/fedex_kinkos.html" target="_blank">FedEx buy Kinkos</a>?</li>
<li>Why did <a href="http://articles.latimes.com/2001/mar/03/business/fi-32755" target="_blank">UPS buy Mail Boxes Etc.</a>?</li>
<li>Why did Arby’s add <a href="http://www.arbys.com/menu/chicken.php" target="_blank">chicken sandwiches</a> and salads to their menu?</li>
<li>Why did Microsoft expand from selling DOS and Windows into selling Office productivity applications &#8211; and then expand into the Internet and web search applications?  (Bing!)</li>
</ul>
<p>Because that&#8217;s <span style="text-decoration: underline;">what their customers also wanted</span>; they saw the need in the market and found the products and services to meet it &#8211; mostly by partnering with or buying up companies that provided the products that their customers were already looking for and purchasing.</p>
<p>Mike, you teach about developing a &#8220;You, Inc.&#8221; business strategy &#8211; a LONG-TERM strategy centered around developing YOUR OWN CUSTOMERS, not focused on a single network marketing company. That&#8217;s why you&#8217;ve developed multiple products yourself &#8211; Magnetic Sponsoring, Black Belt Recruiting, MLM Traffic Formula, etc. &#8211; so you can leverage your customer base to sell more products to your existing customers while also attracting new customers via affiliates and Internet marketing.  So why are you recommending a SHORT TERM, single product company approach to network marketing?  Why not follow a LONG TERM strategy and partner with a company that moves with the marketplace, expands into markets where the demand already exists, and <a title="About MA" href="http://bit.ly/PiFEZ" target="_blank">leverages the Internet to market and sell all sorts of products that are in demand</a>?</p>
<p>It seems like you&#8217;re contradicting your own business principles &#8211; unless you also recommend joining multiple companies at the same time to sell different products into other markets and expand your sales volume.  Sounds like a recipe for confusion to me &#8211; and as <a title="Network Marketing Pro" href="http://networkmarketingpro.com/" target="_blank">Eric Worre of Network Marketing Pro</a> recently said, &#8220;<a title="Pick a Network Marketing Horse" href="http://networkmarketingpro.com/2009/06/18/nmpro-80-pick-a-horse/" target="_blank">Pick a Horse</a>&#8221; and ride it!</p>
<p>David G.</p>
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