The #1 Reason People Fail At Network Marketing And How To Fix It

Last Updated on April 27th, 2023 by Christopher Thompson

Network marketing can be an exciting opportunity for people looking to build a passive income stream from home. However, despite the potential for success, many people still fail in the industry. 

It's no secret that building a successful network marketing business takes time and effort, but there is one common reason why many people fail. If you are a network marketer or just considering becoming one, it's important to know the #1 reason people fail at network marketing and learn actionable steps to prevent it.

So, whether you were introduced to network marketing by a friend or family member or you're actively searching for ways to generate extra income from home, you will learn how to build a network marketing business the right way.

What is network marketing?

Network marketing, also known as multi-level marketing (MLM), is a business model in which a company recruits independent salespeople to sell their products or services. The salespeople earn commissions on their sales, as well as a percentage of sales made by any other salespeople they recruit. 

This is known as a "downline." Network marketing companies may also offer incentives, such as bonuses and trips, to motivate salespeople to achieve higher levels of success.

The person that introduced you to a network marketing opportunity is referred to as your sponsor or upline.

The #1 Reason People Fail At Network Marketing

The number one reason why people fail to build a successful network marketing business is that they don’t know how to sponsor people and how to teach their downline to sponsor people. 

Let me explain. If you join a network marketing opportunity and your sponsor doesn’t know how to consistently enroll new members, then he or she will not be able to teach you. 

So when someone joins your team, the people that you sponsor will also lack this knowledge because you’re not able to teach them.

Having a simple and duplicatable strategy for your downline to bring new people into the business is vital for building a productive team.

Sponsors: The Good, The Bad, And The Ugly

Choosing the right sponsor can make or break the success in network marketing for many. A good sponsor will help people that join their team by providing all of the tools, training, and mentorship needed until they can work the business on their own. It’s not your upline’s responsibility to do the business for you, but to guide you on what needs to be done in order to grow your business.

Bad sponsors will sign you up to the latest opportunity but lack the skills to help you recruit others. Sometimes, that may even quit the business before you do and move on to the next opportunity only, to repeat the process all over again.

The ugly is a sponsor that brings people into the business seemingly with ease. They tell you to go out there and do the same, but may use strategies that are not easily duplicatable. They may also be successful in the industry and people will join their team because of it. However, many in their downline will fail and quit, but fresh recruits join often to keep the business profitable.

The Influence Effect

It’s important to realize that not everyone has the same level of influence. If a sponsor went to family and friends and signed up twenty people in one month, it would be unrealistic to think everyone they signed up could do the same.

Influence is a strong tool that can be used in any situation. Some people have a high level of influence and are able to easily draw attention and gain respect from those around them. They can use their power to persuade others to agree with them. 

If you are a person whose level of influence is low, then it will be hard to get even friends and family to do anything. Especially to join the latest business opportunity that they have no interest in otherwise.

How To Fix The Sponsoring Problem

The key component to fixing the issue of not being able to sponsor people is to have a simple but effective marketing system that everyone can use. Many people that join network marketing opportunities are not willing to do some of the marketing strategies they are instructed to do.

Strategies such as cold calling, posting on social media multiple times a day, friend requesting and direct messaging strangers, or creating videos for TIk Tok, YouTube, Facebook, and Instagram.

Also, some sponsors still encourage old-school tactics such as going after friends and family, approaching strangers in the streets, or telling anyone that gets within 3 feet of you to check out your business opportunity.

All of these strategies have one purpose and that purpose is to get people to see the business opportunity. Providing a simple marketing system that allows each of your team members to present the opportunity to others will increase duplication and help your team grow.

The Simple Strategy For Sponsoring More Reps

A simple strategy for helping your downline grow is to show them how to present the opportunity to at least 100 people that are open to earning extra income each month.

By eliminating the need for a high influence level and lead generation, your team can focus on presenting the opportunity and signing up reps.

One of the advantages of having a team that duplicates your strategy is that it becomes unnecessary to personally sponsor a large number of reps to grow a huge organization.

A new rep only needs to personally sponsor two serious people out of one hundred to build a team of thirty. It's best for each sponsor to work with no more than five people at a time until they can sponsor others on their own.

Let’s look at how the numbers work using this strategy:

You sign up 2 

Now help your 2 sign up 2, you will have 6 in your organization

When those 6 sign up 2, that will total 14 in your organization.

After the 14 sponsors 2, you will have 30 people on your team three levels deep, and from just personally bringing in two people. You can build an organization of 4,500 by just helping 5 people duplicate what you’ve done.

You have likely seen a similar example before, but these numbers usually don’t turn out this way in reality. That's because people end up quitting when they don't have a duplicable strategy to build their business.

However, with a simple marketing system, your team will automatically grow once they learn how to teach the people they sign up in the same way you taught them.

If you need a simple and duplicatable marketing strategy to sponsor more reps, download a FREE copy of "The Downline Builder's Blueprint" below.

Here are some tips for success in network marketing: 

Network marketing can be a great way to earn extra income or even generate a job-replacing income. Here are a few tips to help build a successful business. 

Set Realistic Goals

When setting goals, it is important to be realistic. If your goals are too lofty, you may become discouraged and give up. It is important to set achievable goals that will keep you motivated and on track.

Without goals, it is difficult to measure success and track progress. It is important to set both short-term and long-term goals to ensure you are on track to reach your desired results.

Be Consistent and Committed

Network marketing requires focus and determination in order to be successful. It is important to be consistent and dedicated to the business in order to see results.

Be Proactive With Leads

It is important to follow up with leads in order to build relationships and increase sales. On average, it takes someone to see an offer seven times before making a purchase. Without follow-up, it is difficult to make sales and build a successful business in any industry. 

Stay Positive and Motivated

It is also important to have the right mindset when starting out in network marketing. Having a positive attitude and believing in yourself is key to success. It is important to stay motivated and positive even when things get tough. 

Conclusion

Network marketing is a great way to earn income from home, but it is important to be aware of the common mistakes that cause people to fail in the industry. When sponsoring people into your opportunity, be sure to help new team members get started and provide a duplicatable marketing strategy that will allow them to build a profitable long-term business.

It’s also equally important to set realistic goals, be consistent and committed, be proactive with leads, and stay positive and motivated in order to increase your chances of success in network marketing.

Be sure to check out an easy marketing system that is duplicable and can be done from your mobile phone in less than one hour a day by clicking here.