Is Network Marketing a Sustainable Business?

Network Marketing 

Want to know something that I find interesting and a bit puzzling?  Whenever I meet people in the business of Network Marketing, they only talk about how much money they are making.  It’s always about the revenue generated by their upline or the moolah that they plan to make and, of course, how much better their lives are as a result of being in the business.  But, never do I hear about the number of lives they are changing with the products or services that they are selling.   It becomes obvious that too often the passion is in making money only, not in providing value through meaningful products or services.  And, in my opinion, they are missing out on the key ingredient for business sustainability.

I have worked with several Network Marketing companies selling products and a wide array of services from insurance, telecommunications, legal assistance, energy products, and finally credit.  Throughout all of these experiences, it’s fair to say that I never heard any of my colleagues talk about how much joy they were receiving from helping people with the products and services that they were providing.  I have never seen testimonies from customers who loved the product or services.  This glaring omission on the part of businesses to intentionally name the desire to help others as a goal, was the number one reason why I was unsuccessful in the Network Marketing industry. 

I am driven by a burning desire to serve.   Any product and/or service that I sell must have a positive-measurable impact upon the customer or I am not satisfied.  The accumulation of material items alone will not satisfy me.  I am moved by a much higher purpose.  Now, please don’t mistake intent, I am not saying that all Network Marketing companies and the people involved with them are bad and should be avoided.  Quite the contrary, I believe that Network Marketing is one of the best avenues for entrepreneurs who want to get started in business.

The startup cost is typically low, usually never more than $500.  The business brand or identity is already created, so you don’t have to worry about such things as creating a logo, choosing company colors, or producing marketing materials.  Training is usually provided and mentors are available to help, avoiding the typical learning period required for new startups.

For a $500 investment you get a website, business cards, training, promotional materials, mentors, and a company that already has market awareness.  I find that for me this was the attraction:  low startup cost, everything that I needed to get started in business, and the ability to start generating significant revenue in a short period of time. I also found that I liked many of the products that Networking Marketing companies offer.  Unfortunately, I can’t say the same for the services.  Even though they are offering services that are in high demand, the implementation of those services never quite seems to live up to the hype. 

The bottom line is that Network Marketing is built upon the business model of connecting and building relationships and can be very lucrative in the short-term. However, if the intent behind your connecting is to only make money with you as the only beneficiary, then it is not a strong connection and therefore not sustainable. 

Sustainable networks are comprised of connections that send and receive.  If either is lacking, the network is doomed for failure.