The Five Categories Of Network Marketing - Part 5

This is the last part in a series on understand the network marketing industry and the different types of companies that are in the industry. When you understand different categories, you will understand what company is best for your success. So far we have discussed: category 1 - "old guys", category 2 - "The Plans", category 3 - "The Schemes" and category 4 - "Slow Growth".

Category 5 - "The Holy Grail"

This is where true wealth is created in Network Marketing. This is a brand new company that has what it takes to hit that exponential growth curve and become the next billion-dollar success story. This is where legacy incomes are created.

So how does a category 5 company have a chance to become one of the "old guys". There is no crystal ball. We cannot look into the future. However, there are clues, we can look at the category 1 companies, the old guys, and compare what they had in place for them to reach the billion-dollar mark.

Here is what has to be in place to become the next billion-dollar company.

1. The right product.

Finding the right product at the right time for the population. An example of the right product is a product that can be consumed on a daily basis, has mass appeal and is easy for population to understand. Also, history has shown that one-product or one-purchase product companies don't last the long term.

2. Proper Funding

The reason many start up companies fail is due to the lack of money. All start up companies hit bumps in the road; in fact, established companies hit bumps in the road. You can have the best management team available, but without proper funding, the company can be easily lost.

3. Management

Using the same example as proper funding, you could have a huge capital budget, but without the management to spend it wisely, the company is surely lost. Management must understand the first phase of a company's grow, right through to managing the company in its 50th year. The management team must be diversified and experienced. This must not be their fist company, or the first time they try and open a new country or launch a new product.

4. Compensation Plan

The key part to a compensation plan is to promote the right behaviour. If distributors are paid well for developing new distributors, then everyone succeeds! The compensation plan must be based on what is required for today's market, not the market 10 years ago.

5. Field Leadership

The most powerful automobile will not run without the gas to drive the engine. The gas in a company's growth is the field leadership. These are the people that become the reason for the growth of the company. These are the people that create legacy positions and the income that comes with it. These people do the recruiting and training and develop new leaders so new leaders can be developed. True field leadership develops leaders from new people, not raiding other top leaders in other companies.

So there we have it; the five categories of network marketing companies:

Category 1 - "The Old Guys"
Category 2 - "The Plans"
Category 3 - "The Schemes"
Category 4 - "Slow Growth
Category 5 - "The Holy Grail"

To complete the series, do a search on:

The Five Categories of Network Marketing - Part 1
The Five Categories of Network Marketing - Part 2
The Five Categories of Network Marketing - Part 3
The Five Categories of Network Marketing - Part 4
The Five Categories of Network Marketing - Part 5

Review each one of these articles and determine which company meets the goals you are trying to achieve. Finding these articles can be done by searching for "The Five Categories of Network Marketing".

Do you find yourself in one of the first four companies wondering why you are not creating the bonus cheque you are dreaming of? Maybe it's not your fault. Maybe it is about education and understanding about the industry.

Now that you find yourself educated, put that new education to work and find the company that is right for you!

To your success!