All Blanket Statements Are Dangerous

Remember the guy who taught painting on public television?

 

Bob Ross

This guy: Bob Ross

Watching him was poetry. Relaxed poetry. No broad brushstrokes.

(Okay, that’s a broad brush he’s using in this photo. Work with me…)

Meanwhile…well, not everybody is this calm and peaceful. This serene.

For instance…

Watching the back-and-forth on Facebook between UnMarketer Scott Stratten and Direct Sales Social Media expert Jennifer Fong was all sorts of brushstroking. AND neither one was wrong.

 

 

 

Unmarketing on FB

Where it Started

After a couple comments about the dislike of MLM (Multi-Level Marketing), next came this exchange:

 

 

 

MLM Back and Forth

MLM Comments on FB

More comments slamming MLM, followed by…

 

 

Scott's Follow

Scott's Follow

And Jennifer’s Response:

 

 

Jennifer's Response

Jennifer's Response

NOTE: Here are the links Jennifer refers to:

http://dsa.org

http://directselling411.com

There’s another lost point in Scott’s original post: “Internet Marketing Seminar.”

Here’s where, one could argue, the “charlatans” Scott refers to might be even more dangerous. (See our post on Internet Marketing Explained from a couple weeks back.) Promises of riches with little work, while not overt, are really implied with “Push Button” and “Auto Click” and anything related to the word “System.”

So…Why is Neither One Wrong?

Scott’s point: don’t sell pipe dreams. Don’t sell the fact that there isn’t hard work involved. Don’t prey on people’s desires for a quick fix.

Jennifer’s point: hard work is involved. Focus on the positives. Lots of good people. Ethics, please.

My point (and I’m not accusing either of blanket statements): study the line of work before you jump in. MLM, IM, any M. Get a few opinions. Don’t believe the hype in either direction. You can find some success stories who are honest folks, and you can find some failures who are, also, honest folks.

Ask around. Bring a blanket.

 

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  • http://twitter.com/marksherrick Mark Sherrick

    The true answer is somewhere in the middle, for sure. These days there really isn’t much possibility for a neutral party – too many people have heard too many other people speak about something and will have an opinion slanted one way or the other without even realizing it.

    Oh, and just to be snarky…the statement that all blanket statements are dangerous IS a blanket statement. ;)

    • Anonymous

      You win 3 bonus points – the statement that all blanket statements are
      dangerous IS, indeed, a blanket statement. I planned the irony.

      • http://twitter.com/marksherrick Mark Sherrick

        woohoo! three points even. Awesome. Where can I cash them in?

  • http://twitter.com/marksherrick Mark Sherrick

    The true answer is somewhere in the middle, for sure. These days there really isn’t much possibility for a neutral party – too many people have heard too many other people speak about something and will have an opinion slanted one way or the other without even realizing it.

    Oh, and just to be snarky…the statement that all blanket statements are dangerous IS a blanket statement. ;)

    • Anonymous

      You win 3 bonus points – the statement that all blanket statements are
      dangerous IS, indeed, a blanket statement. I planned the irony.

      • http://twitter.com/marksherrick Mark Sherrick

        woohoo! three points even. Awesome. Where can I cash them in?

  • Pingback: The Good News About MLM is Also True | Direct Sales and Social Media | Jennifer Fong's Blog

  • http://jenfongspeaks.com Jennifer Fong

    Thanks for your thoughtful post on the topic. I’m a big believer in the idea that you need to back up blanket statements with stats. Knowing this industry a great deal more intimately than the speaker in question, I do have some perspective on the number of people that benefit…in many ways, not just financially…as a result of direct sales. Ethics is important. And there are many companies in the industry that feel the same way…that’s why the DSA Code of Ethics exists.

    It doesn’t appear that Scott intends to change his mind any time soon, and that’s his right. But I would appreciate it if he didn’t tar and feather an industry with blanket statements that are not based on fact. Someone listening to him who might otherwise be greatly benefited from the industry may miss out as a result.

    • Anonymous

      Thank you, Jennifer…appreciate the comments.

      I chose the title of this post deliberately: it is an ironic nod to the
      fact that we’re all in such a hurry to get “our” message out there that
      often it’s pretty dangerous.

      I’m a big fan of Scott and his work – I have his book and I have indeed
      read it. Crazy enough, some of the successful MLM’ers that I have seen
      are pretty much following his playbook. Making real connections, being
      true to who they are, not promoting crap just to promote crap.

    • http://www.twitter.com/unmarketing unmarketing

      Not only are my thoughts based on fact Jennifer, they’re from experience, facts, research and interviews. I used to be in MLM. I’ve spent the better part of the past 15 years researching the truth behind many MLM and direct sales industry giants. I know people who are doing quite welll, some even by doing it ethically. And no many, many more whose lives have been ruined, lost friends and family don’t talk to them because of what they were like in their MLM recruiting drives.

      You’re taking offense like I’m saying you’re a scam Jennifer, and that’s not what I’m saying. I think you’re an amazing person from what I know and have seen, but you cannot with a straight face tell me the MLM industry is filled with the majority of honest, successful people, it’s just not built that way. Hence the pyramid.

      I don’t take offense when you say social media has a lot of bad people (paraphrasing) like you did on your blog, because I agree! marketing and social media is probably the biggest full of shit industry there is, and I’m right in the middle of the pile. I don’t feel the need to defend my industry because I can’t. I, like you, know a lot of great people that are my colleagues, but know how many bad guys there are too. They aren’t all together, but the majority (meaning over half) are morons or unethical.

      And that’s what I mean re: MLM. the majority of these programs, and the people who are recruiting others are promising dreams that they don’t even have themselves! Ground floor opps, 3X3 matrix’s, etc… are the “fake it until you make it” move.

      If an MLM promoted itself as a place where, with a lot of work and polished skills, you could make some $, then those are the ones in the minority. Take a look at all the promo material from Amway/Quixtar, Noni juices, cell phone MLM, prepaid legal, Primerica…. take your pic. And the pocket change that most people make is negated by the products they have to keep buying every month to stay eligible under most plans.

      This is a personal attack on you or your friends, it’s a great thing your industry has so many bad guys, it gives good ones like you an easier chance to shine through. Just like it is for me in social media and marketing :)

      • Anonymous

        Thanks, Scott.

        (Also, note that I think you meant “This is NOT a personal attack”…in
        the last paragraph of your response.)

        I appreciate the dialogue here and you and Jennifer are both handling
        yourselves quite well, which doesn’t surprise me, so, thanks.

        I’ll dive in on the “marketing and social media is probably the biggest
        full of shit industry there is” comment – agree 100%. This is where the
        challenge comes in for all of us: how do you communicate “here’s how you
        will benefit from this information” without being a cram-down. It’s
        tough: when everyone wants to show the shiny car or the new house as the
        benefit, and no one wants to show the hard work (80,000 tweets,
        thousands of in-home meetings, whatever).

      • http://jenfongspeaks.com Jennifer Fong

        Thanks for your response Scott. Regarding your research, the fact that “you know many people” is simply anecdotal. That’s not stats. I’m sorry to hear that your experience in direct selling was less than you expected. Not everyone is cut out for this business. And you seem to have done well for yourself in other venues. :)

        And no, I never once thought you were calling me a scam. Rather, when you made inflammatory statements such as “if my book becomes popular with MLM people, I’m putting in a manufacturers recall and personally driving around to rip copies out of peoples hands” I thought it was hostile and destructive. As someone who has personally seen the industry do a great deal for the lives of many people, can you understand why I took offense?

        I have always recommended you and your book to the very people you have just put down. I confess myself disappointed in you Scott. I personally have devoted my life to helping MLMers do it right. Sometimes people need to be educated. And we’ve made a lot of progress.

        I know plenty of folks have expressed the opinion you shared. Forgive me for holding you to a higher standard because of your level of influence. You could be making a positive impact here. But instead you choose to condemn.

        And yes I can tell you with a straight face that the MLM industry is filled with the majority of honest, successful people. Clearly you disagree. But you’re wrong.

        Here’s the thing…I have a passion for the direct selling industry. I’ve seen it change a lot of lives. I personally founded a company that donated 100% of its profits to charity, and helped a lot of people. I work with people who wrote the code of ethics. I meet with direct sellers in many companies when I speak at their conferences who tell stories that would blow you away.

        I really am sorry you had a bad experience in MLM. But that’s not the whole story. The companies that I work with…companies that comply with the code of ethics…do promote the opportunity as something that takes work. You get out what you put in. And the companies you list…have you looked at their materials lately? You may be surprised. Some good people in those companies are working hard to promote ethics. Sometimes its hard with a volunteer sales force. But it’s happening. Companies have buy-back programs if you decide to leave. Most don’t require you to purchase yourself…it’s about selling to customers.

        I’m glad we could dialog on this, and I’ve been a fan of your work for a long time Scott. I was simply trying to defend my peeps. They work hard and deserve respect. Just like you.

  • http://jenfongspeaks.com Jennifer Fong

    Thanks for your thoughtful post on the topic. I’m a big believer in the idea that you need to back up blanket statements with stats. Knowing this industry a great deal more intimately than the speaker in question, I do have some perspective on the number of people that benefit…in many ways, not just financially…as a result of direct sales. Ethics is important. And there are many companies in the industry that feel the same way…that’s why the DSA Code of Ethics exists.

    It doesn’t appear that Scott intends to change his mind any time soon, and that’s his right. But I would appreciate it if he didn’t tar and feather an industry with blanket statements that are not based on fact. Someone listening to him who might otherwise be greatly benefited from the industry may miss out as a result.

    • Anonymous

      Thank you, Jennifer…appreciate the comments.

      I chose the title of this post deliberately: it is an ironic nod to the
      fact that we’re all in such a hurry to get “our” message out there that
      often it’s pretty dangerous.

      I’m a big fan of Scott and his work – I have his book and I have indeed
      read it. Crazy enough, some of the successful MLM’ers that I have seen
      are pretty much following his playbook. Making real connections, being
      true to who they are, not promoting crap just to promote crap.

    • http://www.twitter.com/unmarketing unmarketing

      Not only are my thoughts based on fact Jennifer, they’re from experience, facts, research and interviews. I used to be in MLM. I’ve spent the better part of the past 15 years researching the truth behind many MLM and direct sales industry giants. I know people who are doing quite welll, some even by doing it ethically. And know many, many more whose lives have been ruined, lost friends and family don’t talk to them because of what they were like in their MLM recruiting drives.

      You’re taking offense like I’m saying you’re a scam Jennifer, and that’s not what I’m saying. I think you’re an amazing person from what I know and have seen, but you cannot with a straight face tell me the MLM industry is filled with the majority of honest, successful people, it’s just not built that way. Hence the pyramid.

      I don’t take offense when you say social media has a lot of bad people (paraphrasing) like you did on your blog, because I agree! Marketing and social media is probably the biggest full of shit industry there is, and I’m right in the middle of the pile. I don’t feel the need to defend my industry because I can’t. I, like you, know a lot of great people that are my colleagues, but know how many bad guys there are too. They aren’t all together, but the majority (meaning over half) are morons or unethical.

      And that’s what I mean re: MLM. the majority of these programs, and the people who are recruiting others are promising dreams that they don’t even have themselves! Ground floor opps, 3X3 matrix’s, etc… are the “fake it until you make it” move.

      If an MLM promoted itself as a place where, with a lot of work and polished skills, you could make some $, then those are the ones in the minority. Take a look at all the promo material from Amway/Quixtar, Noni juices, cell phone MLM, prepaid legal, Primerica…. take your pic. And the pocket change that most people make is negated by the products they have to keep buying every month to stay eligible under most plans.

      This isn’t a personal attack on you or your friends, it’s a great thing your industry has so many bad guys, it gives good ones like you an easier chance to shine through. Just like it is for me in social media and marketing :)

      • Anonymous

        Thanks, Scott.

        (Also, note that I think you meant “This is NOT a personal attack”…in
        the last paragraph of your response.)

        I appreciate the dialogue here and you and Jennifer are both handling
        yourselves quite well, which doesn’t surprise me, so, thanks.

        I’ll dive in on the “marketing and social media is probably the biggest
        full of shit industry there is” comment – agree 100%. This is where the
        challenge comes in for all of us: how do you communicate “here’s how you
        will benefit from this information” without being a cram-down. It’s
        tough: when everyone wants to show the shiny car or the new house as the
        benefit, and no one wants to show the hard work (80,000 tweets,
        thousands of in-home meetings, whatever).

      • http://jenfongspeaks.com Jennifer Fong

        Thanks for your response Scott. Regarding your research, the fact that “you know many people” is simply anecdotal. That’s not stats. I’m sorry to hear that your experience in direct selling was less than you expected. Not everyone is cut out for this business. And you seem to have done well for yourself in other venues. :)

        And no, I never once thought you were calling me a scam. Rather, when you made inflammatory statements such as “if my book becomes popular with MLM people, I’m putting in a manufacturers recall and personally driving around to rip copies out of peoples hands” I thought it was hostile and destructive. As someone who has personally seen the industry do a great deal for the lives of many people, can you understand why I took offense?

        I have always recommended you and your book to the very people you have just put down. I confess myself disappointed in you Scott. I personally have devoted my life to helping MLMers do it right. Sometimes people need to be educated. And we’ve made a lot of progress.

        I know plenty of folks have expressed the opinion you shared. Forgive me for holding you to a higher standard because of your level of influence. You could be making a positive impact here. But instead you choose to condemn.

        And yes I can tell you with a straight face that the MLM industry is filled with the majority of honest, successful people. Clearly you disagree. But you’re wrong.

        Here’s the thing…I have a passion for the direct selling industry. I’ve seen it change a lot of lives. I personally founded a company that donated 100% of its profits to charity, and helped a lot of people. I work with people who wrote the code of ethics. I meet with direct sellers in many companies when I speak at their conferences who tell stories that would blow you away.

        I really am sorry you had a bad experience in MLM. But that’s not the whole story. The companies that I work with…companies that comply with the code of ethics…do promote the opportunity as something that takes work. You get out what you put in. And the companies you list…have you looked at their materials lately? You may be surprised. Some good people in those companies are working hard to promote ethics. Sometimes its hard with a volunteer sales force. But it’s happening. Companies have buy-back programs if you decide to leave. Most don’t require you to purchase yourself…it’s about selling to customers.

        I’m glad we could dialog on this, and I’ve been a fan of your work for a long time Scott. I was simply trying to defend my peeps. They work hard and deserve respect. Just like you.

  • http://www.associatemelody.com Melody

    As both an Internet Marketer and a Multi-level Marketer I’ve seen and heard all the hype and implied promises from both industries. In my opinion, one is just as bad as the other. <- Another blanket statement.

    Yes, there are good, ethical people in both industries, many whom I've had the pleasure of dealing with. I love using the internet to market my business, I don’t sell pipe dreams or prey on people’s hopes and dreams. Nor do I make it a secret that hard work is involved.

    It's sad and disappointing to see one industry expert calling down another industry, very bad form and unprofessional.

    • Anonymous

      Thanks, Melody, for the comments. What’s interesting to this reporter is
      that both industries have tons of similarities. I could single out
      Internet Marketers to whom I am indeed just a number. And, to a good
      chunk of the outside world, “become an Affiliate” is code for “join my
      downline.”

      • http://www.associatemelody.com Melody

        You’re welcome Dave. I was thinking the same thing, both industries are very similar ironically, that’s why internet marketing works so well with my business. Instead of telling someone about an info product I tell them about Vanilla etc. A Super Affiliate is no different than a Business Builder both have mastered the skills and are action takers to achieve their success.

    • Sherrickmark

      Im pretty sure neither Scott nor Jennifer were putting down an industry as a whole, nor stating the industry is above reproach. They were simply using the opposite ends of the same spectrum to make their individual point.

  • http://www.associatemelody.com Melody

    As both an Internet Marketer and a Multi-level Marketer I’ve seen and heard all the hype and implied promises from both industries. In my opinion, one is just as bad as the other. <- Another blanket statement.

    Yes, there are good, ethical people in both industries, many whom I've had the pleasure of dealing with. I love using the internet to market my business, I don’t sell pipe dreams or prey on people’s hopes and dreams. Nor do I make it a secret that hard work is involved.

    It's sad and disappointing to see one industry expert calling down another industry, very bad form and unprofessional.

    • Anonymous

      Thanks, Melody, for the comments. What’s interesting to this reporter is
      that both industries have tons of similarities. I could single out
      Internet Marketers to whom I am indeed just a number. And, to a good
      chunk of the outside world, “become an Affiliate” is code for “join my
      downline.”

      • http://www.associatemelody.com Melody

        You’re welcome Dave. I was thinking the same thing, both industries are very similar ironically, that’s why internet marketing works so well with my business. Instead of telling someone about an info product I tell them about Vanilla etc. A Super Affiliate is no different than a Business Builder both have mastered the skills and are action takers to achieve their success.

    • Sherrickmark

      Im pretty sure neither Scott nor Jennifer were putting down an industry as a whole, nor stating the industry is above reproach. They were simply using the opposite ends of the same spectrum to make their individual point.

  • http://nataliecollinson.com Natalie

    Thank you for your thoughtful blog post – there are certainly some interesting comments here too. And THANK YOU especially to Jennifer for so passionately defending our industry.

    I too am incredibly passionate about Direct Sales – I AM a direct seller and I am proud of it. Sweeping comments like these do sadly tar all of us with the same poor image, which is a shame. I do work diligently to uphold the standards outlined by the DSA and train my team to do the very same too.

    One of the many great things about Direct Sales is that EVERYONE starts at the same level. We all have the same starter kit, we all have the same opportunity – it’s what we do with it that counts.

    For those that embark on Direct Sales thinking it’s a quick fix (regardless of what they may have been told) then I’m guessing they didn’t read the application form.

    Rather than a sweeping statement about how bad ‘we all are’, it would have been so much more beneficial to highlight the good that is being done. Showcase some excellent examples within the industry and help educate those who are ‘less knowledgeable’ and given them a framework to work within and leadership examples to follow. Jennifer, I know you do this tirelessly and I always promote your work – thank you again.

    Oh, and to be utterly clear… It is illegal for a promoter or a participant in a trading scheme to persuade anyone to make a payment by promising benefits from getting others to join a scheme. Do not be misled by claims that high earnings are easily achieved.

    • Anonymous

      Hey Natalie, thanks for weighing in…

      You sound like a good, honest, ethical person – great traits in any
      industry.

      Cheers!

  • http://nataliecollinson.com Natalie

    Thank you for your thoughtful blog post – there are certainly some interesting comments here too. And THANK YOU especially to Jennifer for so passionately defending our industry.

    I too am incredibly passionate about Direct Sales – I AM a direct seller and I am proud of it. Sweeping comments like these do sadly tar all of us with the same poor image, which is a shame. I do work diligently to uphold the standards outlined by the DSA and train my team to do the very same too.

    One of the many great things about Direct Sales is that EVERYONE starts at the same level. We all have the same starter kit, we all have the same opportunity – it’s what we do with it that counts.

    For those that embark on Direct Sales thinking it’s a quick fix (regardless of what they may have been told) then I’m guessing they didn’t read the application form.

    Rather than a sweeping statement about how bad ‘we all are’, it would have been so much more beneficial to highlight the good that is being done. Showcase some excellent examples within the industry and help educate those who are ‘less knowledgeable’ and given them a framework to work within and leadership examples to follow. Jennifer, I know you do this tirelessly and I always promote your work – thank you again.

    Oh, and to be utterly clear… It is illegal for a promoter or a participant in a trading scheme to persuade anyone to make a payment by promising benefits from getting others to join a scheme. Do not be misled by claims that high earnings are easily achieved.

    • Anonymous

      Hey Natalie, thanks for weighing in…

      You sound like a good, honest, ethical person – great traits in any
      industry.

      Cheers!

  • http://www.PatZahn.com Pat Zahn

    Holy Schmoly…I’m ducking so I don’t get hit by the shrapnel. I would be among the first to admit that a number of MLM/network marketers/direct sellers suffer from a lack of finesse and yes, even operate dishonestly. But you know, I know people who go to work in corporate America and their employers don’t exactly represent the job and requirements honestly. Is it right? No way! Is it right for a network marketer to make false claims about the “vast wealth” that can be earned as a rep for company XYZ? Of course not! Instead of blasting a whole industry why not call out the offenders with specific behaviors? And golly, if Scott wants to come rip his book out of my hands and the downline and sidelines I recommended it to, then isn’t he working against the notion that his methods are better and could contribute to a better, cleaner world of selling?

    • Anonymous

      Hey, Pat…thanks for the comments…

      I’m staying away from all the shrapnel, too…I think Scott has made his
      own experiences with MLM, etc., clear in his response to Jennifer. And
      the general point behind bringing ethics and honesty back is the way to
      go…

      • http://www.PatZahn.com Pat Zahn

        BTW, I used to love to watch Bob Ross…

  • http://www.PatZahn.com Pat Zahn

    Holy Schmoly…I’m ducking so I don’t get hit by the shrapnel. I would be among the first to admit that a number of MLM/network marketers/direct sellers suffer from a lack of finesse and yes, even operate dishonestly. But you know, I know people who go to work in corporate America and their employers don’t exactly represent the job and requirements honestly. Is it right? No way! Is it right for a network marketer to make false claims about the “vast wealth” that can be earned as a rep for company XYZ? Of course not! Instead of blasting a whole industry why not call out the offenders with specific behaviors? And golly, if Scott wants to come rip his book out of my hands and the downline and sidelines I recommended it to, then isn’t he working against the notion that his methods are better and could contribute to a better, cleaner world of selling?

    • Anonymous

      Hey, Pat…thanks for the comments…

      I’m staying away from all the shrapnel, too…I think Scott has made his
      own experiences with MLM, etc., clear in his response to Jennifer. And
      the general point behind bringing ethics and honesty back is the way to
      go…

      • http://www.PatZahn.com Pat Zahn

        BTW, I used to love to watch Bob Ross…

  • http://www.mybusinesspresence.com/ Karen @MyBizPresence

    I am wondering if this is really just a case of semantics. In the ‘industry’ of direct sales there are really 3 versions – party plan, network marketing, and person-to-person (door to door) sales. MLM is not included. In party plan the emphasis is on physical product sales, with an opportunity to also make some money building a team IF you wish. In network marketing, the emphasis is on building the team who are also consumers of the product at a discount. In door to door sales, the emphasis is on commissioned based sales only. In all 3 of these cases there is a PRODUCT that people receive in exchange for their investment in one way or another.

    MLM on the other hand – although sometimes attributed to the 3 styles of direct sales simply because they do have multiple levels – is different and usually is not based on a product line, there is no shipping of inventory, and there is no catalog. It is often an opportunity to offer an opportunity to offer an opportunity etc. and the pay structure is entirely dependent on recruiting and selling training materials.

    I believe the industry Jen is defending is the direct sales industry, and it sounds like Scott recognizes that industry as having some success stories. I think it is important that we educate people about the differences in this industry and not lump MLM into direct sales. There are legitimate MLM businesses but they are very different than direct sales businesses and their marketing techniques are by nature full of promises of income since that is what they are promoting – opportunities. Any legitimate direct sales company does not (and cannot) make income claims.

    • Anonymous

      Karen – thanks for your thoughts here. Pretty good explanation of the
      differences.

      Bad marketing is bad marketing, no matter the industry. I’ve seen some
      crappy marketing from MLM and direct sales people, and I’ve seen equally
      crappy marketing from people who work regular jobs.

      Cheers,

      Dave

      • Jennifer Fong

        Gotta weigh in here because Karen’s explanation is not entirely accurate. MLM refers to a compensation plan, not a method of sales. All 3 methods she describes are technically multi-level marketing plans if they allow sellers to offer the business opportunity to others, and then compensate that person for the sales of the people they recruit.

        On the other hand, what Karen incorrectly refers to as MLM (when people are compensated for the act of recruiting, rather than the sale of product) is the definition of a pyramid scheme, which is illegal.

        • Anonymous

          Thanks, Jennifer. Appreciate the clarification.

  • http://www.mybusinesspresence.com/ Karen @MyBizPresence

    I am wondering if this is really just a case of semantics. In the ‘industry’ of direct sales there are really 3 versions – party plan, network marketing, and person-to-person (door to door) sales. MLM is not included. In party plan the emphasis is on physical product sales, with an opportunity to also make some money building a team IF you wish. In network marketing, the emphasis is on building the team who are also consumers of the product at a discount. In door to door sales, the emphasis is on commissioned based sales only. In all 3 of these cases there is a PRODUCT that people receive in exchange for their investment in one way or another.

    MLM on the other hand – although sometimes attributed to the 3 styles of direct sales simply because they do have multiple levels – is different and usually is not based on a product line, there is no shipping of inventory, and there is no catalog. It is often an opportunity to offer an opportunity to offer an opportunity etc. and the pay structure is entirely dependent on recruiting and selling training materials.

    I believe the industry Jen is defending is the direct sales industry, and it sounds like Scott recognizes that industry as having some success stories. I think it is important that we educate people about the differences in this industry and not lump MLM into direct sales. There are legitimate MLM businesses but they are very different than direct sales businesses and their marketing techniques are by nature full of promises of income since that is what they are promoting – opportunities. Any legitimate direct sales company does not (and cannot) make income claims.

    • Anonymous

      Karen – thanks for your thoughts here. Pretty good explanation of the
      differences.

      Bad marketing is bad marketing, no matter the industry. I’ve seen some
      crappy marketing from MLM and direct sales people, and I’ve seen equally
      crappy marketing from people who work regular jobs.

      Cheers,

      Dave

      • Jennifer Fong

        Gotta weigh in here because Karen’s explanation is not entirely accurate. MLM refers to a compensation plan, not a method of sales. All 3 methods she describes are technically multi-level marketing plans if they allow sellers to offer the business opportunity to others, and then compensate that person for the sales of the people they recruit.

        On the other hand, what Karen incorrectly refers to as MLM (when people are compensated for the act of recruiting, rather than the sale of product) is the definition of a pyramid scheme, which is illegal.

        • Anonymous

          Thanks, Jennifer. Appreciate the clarification.

  • Cheri

    This was an interesting exchange. I think the bottom line is that all professions have their good and bad representatives – there are good car salesman and not-so-good car salesman, good hair stylists and not-so-good hair stylists, good hotels and not-so-good hotels.. We don’t label the entire beauty community as bad news with scissors, the entire car sales community as crooks or every hotel as a flea bag. It is up to each individual person to make choices for themselves every day – period.. Purchasing a car from someone “because they seemed nice” would be ridiculous; as a smart and RESPONSIBLE consumer, we would have the car checked out first before we handed over our hard-earned money. We ask for referrals for hair stylists and we read reviews if we are planning a trip to places unknown for good hotel service versus a hotel that hosts “by the hour” room rates. The same holds true with everything we do in life, including a direct sales business. If we sign up for something without doing our research first, shame on us. It is really foolish to blame “those bad MLM people” who encouraged someone to spend money THEY DON’T HAVE and things don’t work out. I can promise someone the moon but we all know that is not going to happen.

    Anyone who has their own business has to invest time and effort and sometimes a little money. By the way, there are many things that make an MLM type business a little “easier” such as the back room operations including marketing materials, training, corporate office staff, etc that an individual person would have to create themselves and pay dearly for, if they were going into a solo business completely on their own.. The “work” comes into play by taking the income-producing actions to make the business a business, not a hobby which is the downfall for many who sign up for a business; they never take their foot off the gas pedal and then complain when they aren’t earning an income. Duh.

    When you are doing something you love, it makes the “work” more fulfulling and many would prefer to do that than be a cog who trades time for money in a way that is not fulfilling to them until a hopeful retirement that they may or may not be able to enjoy. Life is now for all of us, not 20 years from now and there are many beneficial options to help make life now, a little better for familes. Personally I would much rather help supplement our family income by investing 3 hours in a show a week that creates more earnings that investing 20+ hours at an $8/hr job in retail – this idea may work for others as well or they can choose to opt for the 20 hour/week retail and that is perfectly fine if that works for them but whining about it won’t cut it. Choices, people.

    The bottom line is if ANYTHING seems too good to be true, it is your responsibility to determine if what is being presented to you is YOUR reality or not before you sign on the dotted line and/or make a financial investment.

    Be responsible for yourself and the choices you make and stop blaming others if that choice wasn’t beneficial for you. It appears there are a few who are quite bitter about a choice they made and now want to get on their soapbox about an entire profession. Just keep in mind when you are pointing a finger at someone, there are 3 pointing back at you.

    • Anonymous

      Thanks, Cheri. I think “choices, people” is definite T-Shirt material.
      Cheers!

  • Cheri

    This was an interesting exchange. I think the bottom line is that all professions have their good and bad representatives – there are good car salesman and not-so-good car salesman, good hair stylists and not-so-good hair stylists, good hotels and not-so-good hotels.. We don’t label the entire beauty community as bad news with scissors, the entire car sales community as crooks or every hotel as a flea bag. It is up to each individual person to make choices for themselves every day – period.. Purchasing a car from someone “because they seemed nice” would be ridiculous; as a smart and RESPONSIBLE consumer, we would have the car checked out first before we handed over our hard-earned money. We ask for referrals for hair stylists and we read reviews if we are planning a trip to places unknown for good hotel service versus a hotel that hosts “by the hour” room rates. The same holds true with everything we do in life, including a direct sales business. If we sign up for something without doing our research first, shame on us. It is really foolish to blame “those bad MLM people” who encouraged someone to spend money THEY DON’T HAVE and things don’t work out. I can promise someone the moon but we all know that is not going to happen.

    Anyone who has their own business has to invest time and effort and sometimes a little money. By the way, there are many things that make an MLM type business a little “easier” such as the back room operations including marketing materials, training, corporate office staff, etc that an individual person would have to create themselves and pay dearly for, if they were going into a solo business completely on their own.. The “work” comes into play by taking the income-producing actions to make the business a business, not a hobby which is the downfall for many who sign up for a business; they never take their foot off the gas pedal and then complain when they aren’t earning an income. Duh.

    When you are doing something you love, it makes the “work” more fulfulling and many would prefer to do that than be a cog who trades time for money in a way that is not fulfilling to them until a hopeful retirement that they may or may not be able to enjoy. Life is now for all of us, not 20 years from now and there are many beneficial options to help make life now, a little better for familes. Personally I would much rather help supplement our family income by investing 3 hours in a show a week that creates more earnings that investing 20+ hours at an $8/hr job in retail – this idea may work for others as well or they can choose to opt for the 20 hour/week retail and that is perfectly fine if that works for them but whining about it won’t cut it. Choices, people.

    The bottom line is if ANYTHING seems too good to be true, it is your responsibility to determine if what is being presented to you is YOUR reality or not before you sign on the dotted line and/or make a financial investment.

    Be responsible for yourself and the choices you make and stop blaming others if that choice wasn’t beneficial for you. It appears there are a few who are quite bitter about a choice they made and now want to get on their soapbox about an entire profession. Just keep in mind when you are pointing a finger at someone, there are 3 pointing back at you.

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