Have you discovered the five hidden costs of network marketing?

When someone is looking to recruit another person into their network marketing business, they offer some variation of one big promise: Financial independence, big income or whatever money can buy, e.g. the mansion on the hill, the fancy belts cars, etc. That’s the promise.

However, no one, at least not on their websites or in their standard presentations that I have ever seen, tells anyone the hidden costs associated with the business of network marketing.

Five hidden costs come to mind, and you may have more. Here are my five:

1. It takes money to develop a business

2. It takes time and effort

3. There’s a social cost: you may be socially ostricized by some people you know.

4. Your self-esteem will likely take a big hit as you discover people don’t react the way you thought they would

5. There is no guarantee of success. In fact, there’s a very high rate of failure.

Aren’t these real costs of our business? And who, that you know, actually TELLS it like it is up front?

What if we ASK for people who have what it takes to make it work, and who have the attitude, resources and energy to put into it.

Yes, fewer will sign up. But they’d be better qualified and more likely to make a success of it.


| | |
|| ||

About the author

Kim Klaver


  • I’m guessing that those posts which have been removed are advertising bots.

    Anyway, I’ve always told my prospects when I do presentations that: This isn’t easy. If it were “easy, anyone can do it” then everyone would be rich.

    If everyone could be as rich as Bill Gates, then I wouldn’t have the benefit of employing household helpers and chauffers.

    Then I add to that “But, it’s also not that difficult.”

  • I totally agree Kim.

    Your five points are spot-on and above should be relayed to every and all prospective business partners to increase the Professionalism of Network Marketing.

    While these points aren’t cited in my presentation as actual presentation points… I always go over the points and stress the importance that in any business “it takes some money, it takes some effort and it takes some time”.

    If people KNOW that and know what they are “getting themselves into”, a.k.a. a real business model, they may last longer and be more productive in the process.

    And even if they do leave the industry, in general they will have a better-feeling about “us” and what we do as a profession.

Leave a Comment