Creating Success with Newbies in e-Business
by: John Rogers
There are hoards of people fed up with their current lack of success
who are desperately seeking fulfillment in the seemingly endless parade
of too-good-to-be-true business opportunities on the net. Unfortunately,
most things that appear too good to be true generally are.
The inexperienced online marketer seeking the ultimate opportunity
must not only sort through tons of garbage to find a single gem, but is
also faced with the choice of a low cost bizopp generating meager
returns, or a high cost high maintenance one that is likely to take many
months attain a financial break-even, let alone make a profit.
The happy medium would seem to lie in an opportunity that has a
proven track record (stay away from startups and prelaunches), costs
about $100 a month (affordable, yet income-generating), will provide a
short term break-even, and can generate a significant income in the
first year.
That single opportunity continues to elude me.
The $20-$40 a month opportunities just don't generate enough income.
At $2-$5 a month per customer (downline member) it takes forever to
create even the tiniest positive cash flow. This causes a high dropout
rate and thus a two steps forward one step back effect.
The $50-$100 a month opportunities often have additional startup
costs and additional monthly overhead such as leads or co-op
advertising. They tend to be expensive and risky for the newbie.
Attaining a financial break-even often takes the newbie many months. The
upline support is often inadequate to coach the new affiliate, which
again results in a high dropout rate.
My solution to this dilemma has been to scrutinize some good
entry-level opportunities ($20-$40 a month) and use them to build up to
sold $100+ a month opportunities. This allows the novice marketer to get
his feet wet, make some money, and build up to a more lucrative program.
By bringing others into the entry-level programs, the online marketer
uses those opportunities as a feeder into his more expensive program.
I searched out some good companies with a proven track record and
devised a system where the new marketer commits to investing $100 for
several months. The newbie starts with a couple of entry level
opportunities, then builds up to the higher investment and higher profit
ones.
By analyzing monthly costs and compensation plans you can develop
such a system where the new marketer invests $100 a month out of pocket
plus profits for four months, profits only for another four months, and
has a positive cash flow of $6000 a month by the end of the first year.
This can be accomplished by each new member bringing only two new people
into the organization each month. If you factor a couple of leads
programs into your group of opportunities, this assures the affiliate
will have plenty of new people coming in to fulfill his two per month
recruiting requirement.
Setting the monthly investment at $100 a month will weed out those
who aren't serious, but will keep it affordable for the entry level
marketer. By beginning with entry level programs you keep the learning
curve gradual. By laying the system out in black and white, explaining
what programs to join and at what point, you reduce frustration and
confusion. By using multiple programs you create multiple streams of
income. By keeping the recruiting goals at two per month, you keep it
realistic.
Develop your system, test it, put it in e-book format, and give the
book away. Create branded copies for your downline to give away. This is
a great way to bring new people into your existing business, get some
money in their pocket quickly, and create a large and loyal downline.
You may get a copy of the system I developed using this method at
http://www.homebizphd.com/
copyright 2004 John Rogers
About The Author
Copyright 2004 John Rogers. John Rogers is an online marketer who calls
Western Washington home. At the time of writing this article he
is serving with his National Guard unit in Kuwait.
john@yourgreatestyear.com |
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