Isn’t Getting in on an MLM Pre-Launch the Best Opportunity?
Are you are risk taker, or do you prefer having a zone of comfort? Remember that most MLM companies will fail during the first two years. So that the question to ask is are you wanting to risk joining an unproven MLM company during its pre-launch, or would you prefer the safety of joining a long-standing and proven operation? Having a prelaunch phase for an MLM company can be terribly beneficial. So why do they do it? They do it as a selling ploy - to form interest and also to attract new distributors without or with their own groups into the business without having to pay a buy-in fee. The more of a buzz that can be made, and the more distributors drawn to the opportunity, the more free advertising the company will get.
"This is the hottest pre-launch MLM opportunity in the world. Join now!"
Hopping into a new MLM opportunity could make you rich, or break you. Taking into account that the majority of MLM companies go belly up in the first couple of years, you should consider it carefully. So what are the benefits and disadvantages of joining a social marketing opportunity during its prelaunch phase?
Almost all multilevel selling corporations start with a prelaunch phase. Why do they do that? It’s to do with marketing and making interest and it’s also a strategy of building a distribution network, where these first distributors don’t have to pay to join. If the break really looks good many of these preliminary distributors might have their own groups that go with them, it’s simply a means of getting a lot of free advertising and getting some excitement going.
The business design of an MLM company is designed so the more distributors it has the more sales it will make. In this pre-launch phase the company may not be making any cash and its target is to get over this unprofitable time as swiftly as possible the more distributors it draws, finally the more product it can get out into the market swiftly.
The fact is that when most corporations start out, it does take a couple of months to get to the break even point and start making money, so signing folks up as distributors benefits the company immediately.
Distributors also know that if the company becomes successful quickly , then it will not be free to join, so better to get in during the pre launch phase than to get in and need to pay later .
A multilevel selling company in pre-launch can save a lot of money as there’s no product or distribution at about that point, all the groups are being formed and going thru coaching.
It all sounds too good to be right. In a few cases it could be.
The failure rate of firms in the multilevel selling business is big only 10% of these companies succeed. Give it some thought, you have spent 2 or 3 years building your team, changing into a leader and working diligently to make a great revenue. This is the danger, if it all goes belly up you lose everything and you are back to square one, but on the other hand many people have managed to make enormous incomes.
A lot depends on the product, training and also what kind of compensation structure they offer.
Have a look at the management and ensure they have robust systems in place and ask questions. Take a good look at the product and see whether it is great quality and worth the money, is it able to just be acquired from a store?
Will it be around in 5 years?
A seasoned marketing expert will be in a position to judge the company on a considerable number of factors to decide whether he is going to join, but a newcomer to MLM may not have enough experience to be in a position to tell if this company will work.
You’ll have to trust your sponsor to do that for you, so always ask questions.
It’s very enticing, if you get in during the pre-launch either individually or with your own team,and the company does becomes successful, you and your team will thrive.
The final analysis with any internet marketing business you join is going to be how you manage your business. No matter whether a company is in prelaunch or has been about for 30 years it’s all down to you. It’s your perspective that matters. If you’re offered an amazing opportunity to join a prelaunch company, could you be a hit? Do you understand how you must build your business under any circumstance?
That’s the base line. But is also important to consider if joining a pre-launch mlm is worth risk. If you’re serious about getting in and getting busy - perhaps you should put the likelihood of achievement in your favor by joining a established, well-established company with a past history.