7 Days, 7 Insider MLM Secrets – Bonus Day

by louabbott on July 5, 2010

Solved: The Second Biggest Challenge of the MLM, Network Marketing Professional …

How to Create an Affordable, Endless Stream of High-Quality Prospects

Many have asked why I have written, spoken and trained so much on the top problems that Networkers face.  I answer in one short sentence:

“Know your enemy.”

That strategy is most credited to 15th century Italian statesman Niccolo Machiavelli. He, and others, combined the art of political science with the psychology of human nature to teach the art of warfare.

Abe LincolnAbraham Lincoln once said, “I destroy my enemy when I make him my friend.”

Those who understand their opponents win wars. The great Chinese philosopher Sun Tzu wrote in his “Art of War”, “If ignorant both of your enemy and yourself, you are certain to be in peril.”

When so many in the Network Marketing industry are touting unfounded promises of “easy wealth,” when so many ads proclaim that “all you have to do is sign up, we will do the rest,” when the biggest promise of all is that building a “massive, leveraged, residual income” is easy, you need a clear voice to help you truly understand the enemies of your success. Because they do exist, or else everyone would be making money in MLM and clearly, that is not the case.

When we are ignorant of the enemies of our success, when we don’t know how to make them our friends, our success is in grave peril. So, here are…

The Three Biggest Enemies of the Professional Network Marketer

In this article, I will give you the three largest enemies, the three largest challenges to success in network marketing.  I intend to spend the most time today on “Enemy #2.”  Let’s start, though, by talking about…

#3 – Most people have never learned the skills necessary to succeed.

If a person joins a good company (by The 12 Critical Success Factors™ standards), with good training, support and systems, and if they also work smart and do the real work of prospecting in large numbers, they should be able to be profitable right out of the gate earning hundreds, even a thousand or more dollars per month.

For larger success, however, one must learn the skills of the trade well.  The larger the success desired, the more these skills have to become second nature.  This takes both time and commitment to master.  Just some of these skills include good communication, goal-setting, accountability, leadership, time-management, focus, persistence, etc.  In this century, it also should include some good Internet Marketing skills.

The good news is that by developing the self-improvement habit, and applying the habit consistently over time, soon you will become a network marketing master.  Jim Rohn put it this way:

“You don’t have to change that much for it to make a great deal of difference.  A few simple disciplines can have a major impact on how your life works out in the next 90 days, let alone in the next 12 months, or the next 3 years.”

This is a continuing challenge for those who aspire to great success in Network Marketing.  I make it a very high priority in my business and so I both teach it and recommend tools and courses that have made and continue to make the biggest difference for me.

#2 – Most people simply do not have enough good people to prospect.

I list this huge challenge as the #2 biggest obstacle to building a significant Network Marketing income.

Why? Because it doesn’t matter how many skills you have or how great of a communicator you are, if you don’t have anyone to communicate with — or, not enough people! And, no matter what anyone says, unless you know or regularly meet lots of high-quality prospects who are interested in new business ideas, you will need a continual way to find them, a continual way to add to your list.

The very same is true for building a business online.  You have to continually add to your list.  In this case, by creating a flow of traffic to your landing pages, blog, or website.

Sure the techniques for building the list online are different, but the principles are the same. You have to have a continual flow of people evaluating your offer in either case.

Network Marketing companies pay us to bring them “access” to people who will be customers of the company’s products and/or business. They pay us for our endorsement. And they pay best of all for our leadership which creates more customers, business builders, and leaders.

Bottom line, we have to be able to bring good people to the company.

What Is a “High Quality” Prospect

The ideal prospect for a network marketer is an already successful person that knows, or is known by, a lot of people and who has the respect of those people. In industry terms, it is a person that has a large, responsive, “warm market.”

This successful person also has to have a big reason why they would want to do something different. And there are those “professionally discontent” people out there. If you are one of these people, or if you know a lot of people like this, or if you are willing to learn how to meet and approach people like this, you may be ready right now to build a large business without a lot of other skills to learn or assets to develop.

The online equivalent to the above, is a person who has built a large list of people who know, like and trust him or her – a list that can be emailed to, contacted through Facebook, or some other online social networking or list management system.

For most people though, that is not the situation. Most people simply don’t have enough people to contact that they already know, and they don’t know how to effectively expand their “warm market” or list.

So, on the advice of their upline, they start calling “business opportunity seeker” leads. Unfortunately, most of the time those prospects don’t have two nickels to rub together. Many have nothing better to do than sit around and surf the Internet looking for the magic bullet that will make them rich. Many will waste far too much of your valuable time.  You are further handicapped in that you have no track record with those people.  The do not already know, like and trust you.

Another common recommended method to meet this challenge is known as the “Three Foot Rule.” The idea there pretty much ends up with people pestering every person within three feet of them, over and over again, until that person gives up or goes into hiding. It is one of the techniques that can be done well, but it is also the one that, when done poorly, has helped give MLM its bad reputation.

The problem is, both of these approaches are tantamount to trying to find a needle in a haystack. They will work, if you have enough time and patience. Most people do not have enough of either.

A third way to find people is to advertise for prospects. In one MLM company where our group reached 140,000 per month in volume, advertising is what helped me build my business.

The method I used was rather brilliant because it solved this second largest challenge for me, at least for a while. Though I confess, it was not my idea. I was working with a top industry earner, named Todd.  Todd was making well in excess of 1,000,000 per year at the time. So here was the ad I ran:

I made over 1,000,000
in each of the last 5 years in a simple, no stress,
relaxed lifestyle, home-based business.
Now I am looking for two people to
teach my turnkey system.
Call 24 hour hotline, 800-111-2222

Ad responders would call the toll-free number where they would hear Todd say about the same words that were in the ad, give an admonition to “not waste” his time if they were unmotivated tire kickers, and instruct them to leave their name, number and address so we could send them further information if they were serious.

I would then, mail out an audiotape with the sales message about our program in Todd’s voice. All that was left for me to do then was call up, say I worked with Todd, and I needed to know if they listened to the tape and if they wanted to learn more.

This particular method solved another challenge for me that EVERY new networker faces.

The Credibility Challenge Solved

All of us, when we get started, have never had success in network marketing – maybe not at any business venture ever – and we lack the credibility necessary to really attract top quality prospects.

So I “borrowed” credibility from Todd! It worked great. Whenever I called, I simply associated myself with him – with his permission, of course; he was my 2nd upline. Anyone can figure out a way to do that and should have someone in their company or the founder of their “system” that would be willing to do that for a serious team member. (Our newly expanded Whole Truth/Beautiful Business Formula Marketing System also incorporates that concept.  It effectively adds my credibility and experience to yours making a very positive impression on your prospects!)

At any rate, that whole advertising approach worked very well for me – for a while. But it was also very expensive. I must have spent over $20,000 in tapes, ad costs, postage, etc., the first year. But while I did manage to meet and recruit some very good people, the method ultimately failed because it was not duplicable by others on my team.

In my Special Report, MLM The Whole Truth, I elaborate on the fundamentals that must be in place for real, sustained, and massive growth for an MLM business or company with the typical kinds of inexpensive products and deep payouts. One inviolable principle is that you have to be able to get a lot of very average people to do a little. My method simply did not work for the average person. It was too expensive, too time consuming, and, in truth, a bit too “hypey” and misleading for my tastes. (While it was true that Todd made over 1,000,000 per year, the implication was that anybody whom he mentored would do so also.  That, of course, never happened.)

I have never found an ad campaign or “cold market” system again that worked as well – until recently.

So how can we solve this very large challenge?

How can we take the very real fact that most people don’t know enough good people to talk to and make this “enemy” our friend?

Certainly not by pretending the problem doesn’t exist. Certainly not by remaining in ignorance.

It first takes recognizing, defining, and understanding the problem. Then it takes the application of the “Marketing” part of Network Marketing.

A colleague of mine wrote, “Network Marketing is a business of Marketing, by people that have never learned how to Market.”

So, let’s first lay out the ideal goal of the ideal “cold market” system:

  1. Identify where good, qualified prospects “hang out.”
  2. Find out how to reach and “attract” those prospects to you and your team.
  3. Make them hungry to work with you.
  4. Make the whole process not only affordable for an average person, but even profitable so that he/she can use it for months and years to come.

This is the recipe for what’s called a “Self-Funded, Cold Market, Attraction Marketing System.”

In other words, how would you like a way to attract high-quality prospects who pay you to find them? Would that make a difference in how fun, exciting, and large you could build your business? Sound impossible?

Not at all. It has been done before, even before the Internet age.

Back in the mid 1990’s I became acquainted with a networker that worked with Herbalife. They had a program where they, and their team members, would pass out flyers and, in various ways, advertise a package that promised to teach people how to get rich working from home. The package cost something like $39. The content essentially sold the Herbalife business without ever mentioning the name. And, the profit from the sale was enough to pay for the advertising!

One would imagine that method would be even easier, cheaper, and therefore more profitable to do in this Internet/Information age. And, indeed it is.

Here are the steps:

  1. Identify a target market.
  2. Figure out what kind of information that target market really wants and that solves a problem for that market.
  3. Find or create an inexpensive information product, newsletter, audio CD, etc. that you can sell to people in that market.  (In my Whole Truth/Beautiful Business Formula Marketing System we use online videos – even easier, faster, and cheaper!)
  4. Build a database of people who you regularly contact with helpful information that begin to know, like and trust YOU.

Then – you will have the credibility and the relationship established to get a great response when you bring a new business opportunity to them.

There are an unlimited number of ways to do this. Let me give you one million dollar idea here because I don’t have the time to do it myself and I already have a system for my team:

One networker I know has a background in Real Estate and believes that there is a very real chance that prices have peaked for a long time, that sales and prices will drop, and that a lot of real estate people will be looking for another way to earn income.

I think she is probably right [written in 2006, btw – it was dead on right], so that is a “perceived” problem that is weighing on the minds of many real estate people. So, there is opportunity then, to solve the problem!

“Why not,” I suggested, “write a booklet or pamphlet entitled something like ‘How Very Successful, Savvy, Real Estate Professionals Will Make Even More Money in the Coming Real Estate Downturn.” You could give it away for optins, or even better sell it for upfront income to pay for your advertising.

The contents will provide the facts about what is happening with inventory increases, financing, massive debt loads, etc. Then, show how the most successful agents with the best reputations can recruit dozens and dozens of other Real Estate professionals and build a network marketing business with a better kind of income, a reliable, long-term, leveraged, residual income.

Frankly, its brilliant. Too many MLM ads appeal to the least qualified! “Get in Free.” “No Selling, Prospecting, or Cold Calling. We do all the work for you!” Right. What kind of person would you be attracting with that kind of ad?  I will tell you, it’s not the kind you want to work with.  I hear networkers all the time complaining that they have lots of people who do nothing.  I wonder if they haven’t unwittingly attracted exactly that kind of person by their approach.

Notice, that this approach to Real Estate professionals will only appeal to the most successful agents with the best reputations. They are ideal prospects because they know, and are known by, a lot of people. How many of those would you need to have a great business yourself?

If you are reading this and you are a leader in your company, you need to find or create such a system for your team. You will empower them to reach their goals. Then, as Zig Ziglar says, and I paraphrase, “the more people you can help to reach their goals, the more certain it will become to reach yours.”

The bad news is, if you don’t implement such a system, you will be competing with more and more teams that are practicing this kind of “self-funded, cold market, attraction marketing” methods. And that is a position I would not want to be in.  Here’s why:

People care more about seeing a system they can use, than even the company or the people with whom they work.

That’s not always a smart priority, but it is what most people want to understand, “how can I do your business?”

If this is more work than you have the time or expertise to do, there are others that have built turn-key systems that will work with any company you are in.

Bottom line though, I believe you really need to find a great system or you will greatly handicap your business.   You also need to be open to multiple streams of income to make it all pay.  Times are changing. More and more, sharp people are learning how to use good marketing principles to empower their own and their team’s businesses.

Our larger mission at MLM-theWholeTruth.com is to provide so much good information about what really works in Network Marketing, and what does not, that there will be a day in the future when Network Marketing will have a much better reputation; no one will ever again lose money by their involvement; no one will ever get hurt.

You see, the fact is, the #1 Enemy of the Professional Network Marketer is…

Most people are working with companies where it is virtually impossible to ever
build a “reliable, long-term, leveraged, residual income.”

The basic business fundamentals are simply not there. Don’t deceive yourself. Know your enemy to conquer him. There have been many thousands of MLM companies that have opened their doors in the last 50 years. You can count on your fingers and toes the number that have grown well, then kept on growing so that it was good not only for the people who got in early – but for anyone, no matter when they joined. The good news is it does not have to be that way.

We can make this “enemy” our friend by studying what the real problems are and then steering clear of companies where the basic business fundamentals are wrong.

In my Special Report, MLM The Whole Truth, I give readers “The 12 Critical Success Factors” that serve as a step-by-step analysis that anyone can use to quickly and effectively pinpoint a truly money-making, reliable, long-term, leveraged residual income producing company – and make the scams and schemes stand out like sore thumbs.

As mentioned above, I also teach you how to solve the “not enough good people to talk to” problem.

Invest in yourself and your knowledge of this valuable information. Invest in MLM The Whole Truth now!


I wish you the very best of success always.


Lou Abbott's signature
Founder of the new…
www.MLM-theWholeTruth.com for people who want to know the up-to-date, whole truth about the industry.

P.S.  Be sure to watch my video that explains everything you get in the MLM The Whole Truth Course at:


And, make sure you understand the real value of all 5 bonuses!  A number of them are worth more than the whole investment price of the course!

“To attract attractive people, you must be attractive. To attract powerful people, you must be powerful. To attract committed people, you must be committed. Instead of going to work on them, you go to work on yourself. If you become, you can attract.”– – Jim Rohn

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{ 3 comments… read them below or add one }

Cathy September 11, 2012 at 11:00 am Thumb up 1 Thumb down 0

I have been in NWM for years and I could not agree more with all that you have said. I detest hype, rhetoric, and smoke and mirrors. How refreshing that you tell it like it is. I have seen it happen FAR too many times…where the ‘reality’ does not meet the ‘hype’. This sets one up for failure every single time. Educating ones expectations is KEY so that they can ‘discipline their disappointments’ (Jim Rohn).

I believe people are resilient and tenacious when offered the truth. When they act on hype, it’s no wonder they quit because they are disillusioned. Setting people up for success over time, INCLUDES allowing them to understand the dynamics of the ups and downs of NWM. To exclude that information, is tantamount to saying goodbye to them before they ever start. Personally, I’d prefer that someone pass on my opportunity based on reality, verses join me based on misconceptions and hype…any day of the week! “Be careful what you advertise for, surely you will get it” 🙂

I’m one of the fortunate ones to be aligned with a company that has had steady growth for 8 years, an owner who has the very, very rare combo of successful Networker prior and proven successful owner for years…. I can attest that what you say is true based on prior experiences. THAT is a RARE combination! Much like having major success in another type of profession does not necessarily mean one would meet with massive success in NWM. Guess that depends on how teachable/humble one is 🙂

Thank you for your article(s). Appreciate your overview of the good, the bad and the REAL. Continued success! 🙂


lncreyes143@yahoo.com July 27, 2012 at 10:10 am Thumb up 0 Thumb down 0

Very very very helpful! Thanks Lou! My next step is to track and buy your book!


Major (retd) Sayeed, psc February 18, 2012 at 2:25 pm Thumb up 0 Thumb down 0

I personally feel that a mlm company can attract investors by its honest and reputed management team. Once an investor believes that the owner of this company is reputed, will not cheat and definitely can run its business and refund his investment, he will come forward and be an investor or net worker.


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