Network Marketing Benefits

The Power of The Numbers

Many people are confused when it comes to understanding the Network Marketing Benefits. Often compensation plans are so confusing that prospects never fully understand the real benefit and the power in numbers.

To better understand the power of numbers let’s compare Network Marketing to a small Candy Vending Machine business. The average net profit, or Return on Investment (ROI), on a single candy vending machine is about $30 per month, or one dollar per day.

For this example let’s consider each machine a profit center. To establish this profit center you will experience an upfront investment of $150 to $400 for the machine plus the initial cost of product. There will also be an investment of your time to arrange placement of the machine that will create a multiple purchasing opportunities. All of this for a potential ROI of one dollar per day! Why do people do this for such a low ROI?

Obviously there is no way to build wealth on one machine – but what if you had 100. One hundred machines working to net your daily dollar creates you $100 per day net profit. The other thing to consider is that these machines will be working without your physical presence – increasing the value of your time. When you consider the value of your time it is important to note that you have no more than any other person – so you must leverage the power of others to truly succeed. In this case, “others” are your vending machines.

If you haven’t given serious thought to the power of leveraging time, consider the words of American Oil Billionaire J. Paul Getty (1892–1976) . Mr. Getty's most famous quote was “I would rather earn 1% of what 100 other people do that to ever earn 100% of what I personally do”. This probably explains how Mr. Getty was reputed to be the richest man in the world at the time of his death in 1976.

We would all agree that a dollar a day doesn’t appear to be a lot of money. But if you were able to build your network of candy machines to 100, then serious money would be earned. What if you really worked hard over a period of a few years and grew your network of machines to 500, or even a thousand. Do the math and you will begin the see the power in the numbers.

It is the power of numbers that make up the Network Marketing benefits. It is also what marketers are trying to capture as they know better than anyone that there is only so much that they can accomplish in the limited hours available to them each day.

Take a moment and ask yourself this question: Would you work for a penny a day for 30 days if the penny was doubled each day? Doesn’t sound like a good deal does it? Take a few moments and calculate what you would be earning on Day 30.

If you took the time to do the calculations you learned that at the 30 day point you would be making over ten million dollars for a days work. You didn’t make enough to eat on the first seventeen days, but then the power of numbers went to work for you. That is the power Network Marketers are trying to capture.

The successful people know that they will NOT make a lot in the beginning, but once their distribution channel is built (the people they’ve sponsored) and they begin making small amounts over a large volume of activity and the pennies will become dollars.