MLM Saturation

by admin on October 14, 2010

MLM Marketing: You may have been told that saturation will not occur within an MLM company. I would like to present two opposing views for you to think about.

With approximately 250 million people in the united states alone, its easy to show that a company that has as many as 50,000 to 100,000 distributors has a long way to go.

It appears obvious there are many new people available to approach and sponsor into your downline to achieve your financial freedom. After all, hasn’t amway been around for like ever. And everybody is not an amway distributor, right?

MLM Marketing

Here are some things to think about. What do 50,000 to 100,000 distributors represent? The total number of distributors that have been entered into the company computer or just the active distributors? There can be a vast difference.

Please understand that the majority of distributors do not see the financial success they expected with their opportunity then quit or become inactive with the company. And, of course, they are never to blame; it is always someone elses, typically their sponsors or the company’s fault. People don’t like to admit to any type of failure. MLM Marketing.

The attrition rate of distributors can be over 90 percent with any MLM company. Many companies find it beneficial to cleanse their computers of inactive distributors, usually by requiring an annual renewal fee.
A company that has 50,000 to 100,000 currently active distributors may have had well over one million people that have been distributors in the past. And for each distributor that was sponsored, many more had been presented or approached with the opportunity that did not become distributors. Millions of people may have been approached.

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