My Opinions On Multi-Level Marketing, Network Marketing, Referral Marketing, and Direct Sales

We all know someone who has “started their own business” and posts about it 10 times per day on Facebook. That post is always filled with a minimum of 15 emojis! Here’s my advice, stop it. Put your energy towards developing something sustainable. I’m not here to crush your dreams, but most MLM’s are predatory to their customers, members, and the products are typically not of the best quality. If you’re a part of a MLM, you’re probably sitting there saying, “Not (insert MLM company name here)!”. Well, most MLM’s do a fantastic job of selling a dream to their members. That’s just what it is though, a dream. It’s not reality. If you’re a part of a MLM, you’re probably getting used. You’re probably wondering, how would I know? Here’s my answer to that, IT”S OBVIOUS! There’s a difference between a franchise and a MLM. A franchise doesn’t thrive off of recruiting others and selling subpar products. They thrive by doing legitimate business. Nowadays, you can’t survive long without being a legitimate business. That’s why many fad MLM’s go under. Now let’s go back to that cover image I chose. It’s awfully pyramid shaped, right? If your MLM feeds off a fad, you won’t have sustainable success(sorry Happy Coffee). If your MLM promises fat loss and other unrealistic promises, you won’t have sustainable success(sorry It Works!).

People shouldn’t have to leverage their relationships to do business. You should want your customers to do business with you because they love your product and are passionate about the business. I’d much rather support a legitimate startup than a MLM.

To me, if you’re a part of a MLM, you’re not an entrepreneur or a business owner. You simply sell the product of that company. You’re essentially a sales associate that typically carries an exorbitant amount of risk. I know many people who are a part of an MLM and I personally have been approached by MLM’s. One of my aunts is an extremely successful member of Pampered Chef, a MLM company owned by Warren Buffett’s Berkshire Hathaway.

Here’s a great video on the topic as well!


2 thoughts on “My Opinions On Multi-Level Marketing, Network Marketing, Referral Marketing, and Direct Sales

  1. reemshamss1 says:

    Thanks Cole for this post.
    I want to share my opinion on your post not as a network marketer but as a regular person.

    I do agree with you how most MLM distributors misuse their relationship with their friends and families forcing them into buying their products. I was approached by those friends and it jeopardized our friendship and made me hate such companies too. People should be happy to join the business or buy the products if they want to…nothing should be forced upon. But I wanna tell you that, not all distributors are the same.
    Less than a year ago, a lady I worked with mentioned to me about an opportunity and told me to attend a presentation. It took me a while to agree to go and there was no pressure at all from her side. When I did, I liked what I was looking at and joined. Not pressure, just offered.

    Another point I agree on is, we are not entrepreneurs and “not exactly” business owner. People like to use those terms interchangeably but in simple terms…we are just network marketers (not only according to me, but also according to the #1 Network Marketer, Eric Worre).

  2. Derek Munguia says:

    Thanks for the honest opinion on this. I absolutely agree that if you are counting on family and friends to make something succeed you are doing something wrong.


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