Blog Post #7 - Overcoming Objections (Part 1)

If you’ve been involved in network marketing for more than 5 minutes then you have probably already discovered that people usually have a lot of complaints/concerns/assumptions/objections about the network marketing industry. Some of these objections may have solid reasoning behind them but most of the time they are the result of ignorance and a lack of research (I mean that in the nicest way possible,) I’d like to highlight a few of the most common objections we hear in network marketing and discuss ways to overcome them. Be aware there are other ways or explanations to overcoming these objections…but this is what I have found to be most effective as I build my own business. I will most likely need 2 or 3 blog posts to cover all of these...

     Objection #1: “Wait, is this one of those pyramid schemes?”

Have you heard this one before?? This is the most common objection I run into

and MOST people ask this question. And you know what? I’m ok with that! Pyramid schemes have and do exist so it’s a legitimate question. I like to use this opportunity to educate on what a pyramid scheme is and how they are completely different from what I’m offering. Wikipedia explains a pyramid scheme as follows:

A pyramid scheme is a business model that recruits members via a promise of payments or services for enrolling others into the scheme, rather than supplying investments or sale of products or services. 

In other words, a pyramid scheme is asking people to invest financially in something without giving them any products or services in return. All they get is the hope that as they recruit other investors they will make commissions off of them. As recruiting multiplies, the organization takes the shape of a pyramid and only the people at the top make any money from their investment. Pyramid schemes are never sustainable and always eventually crumble….resulting in a lot of unhappy investors.

Network marketing bears almost no resemblance to a pyramid scheme. Yes, there’s a business opportunity that people can invest in but they receive products or services for that investment! That’s a HUGE difference. Not only do they get these products but the products are usually (depending on the company) very high quality and worth every penny! That’s also why a large portion of people that get involved in network marketing get involved as product consumers only  - with no interest in making money! In addition, contrary to a pyramid scheme, it doesn’t matter where you sign up in the organization. You can make money regardless of your position in the structure. You can be the first person that ever signed up or you can be the millionth – doesn’t matter. As long as someone is committed and willing to work hard they can make money in network marketing. Period. (Side note: Doesn’t a corporate structure strongly resemble a pyramid? CEO on top making all the money, small group of VPs below him, larger group of Directors/Managers/Supervisors below them, and then the largest group of regular employees on the bottom. Interesting when you think about it….)

After educating people on the difference between pyramid schemes and network marketing I usually like to let them know that there are many well-known and well-respected businessmen and women who praise network marketing and often talk about it as one of the best ways to own your own business. Stephen Covey, Paul Zane Pilzer, Donald Tump (even though that’s a bit sensitive right now), Robert Kiyosaki, Richard Branson, etc. The list goes on and on. There’s a reason so many endorse the industry.

Comments on my blog are always welcome. However, if you'd like to reach out to me privately my email address is kalfreedomgroup@gmail.com. Thanks for stopping by!