How To Battle Attrition In Your Network Marketing Home Business

You may have heard about or experienced yourself the pain of building a large organization only to have it shrink faster than you can rebuild it. This is called "attrition" and is like fighting to keep your head above water. The question is what causes it and whose responsibility is it to handle. Especially in network marketing where it is easy to blame the company or the members of your group who failed to build it along with you.

If attrition can be cured or slowed down, one has to establish whose responsibility it is to do so. If you, as an independent distributor, pin the blame on your group members or the company or consider it an unavoidable characteristic of the business, it will not go away by itself.

There will always be the "jumpers" who are seeking a better opportunity. They leap from one business to the next, never settling down. Sometimes the jumper is a leader and takes his group with him. But that is not the type of shrinkage this article is about.

Let's take the "health and wealth" market as an example. This is a multi-billion dollar market yet there is dissension among the top earners in regards to it with comments such as "saturated," "too much competition," "inflated prices," "this is just the next juice" or "same thing re-packaged." In fact, the only thing that both sides agree on is that an expert network marketer can make money with any viable organization no matter what the product is. So what is causing attrition? Is it the product?

If you are considering a nutrition or consumable product for your home business, thorough research is vital. You will hear, for example, that nutrition is a multi-billion dollar industry. If you divide that by the thousands of companies, how much money is that for each company? Are they still expanding. How many distributors are there already that want a piece of that pie?

The three main factors affecting any business are Supply, Demand and Delivery. If your network marketing company is supplying a health drink and people are experiencing miraculous changes in their health, you have a CUSTOMER. It does NOT mean you have a DISTRIBUTOR. Supply and demand are controlled by price. This simple formula is taught to third graders and is essential to understand in Network Marketing as well. In most network marketing companies, demand is not manipulated by price. As a distributor, you will need to find other ways to manage the balance.

A serious distributor who truly wants to build their home business will get trained on these points. There are millions of people looking for a home business on the internet. Are they looking for a vitamin? Or, are they looking for a way to make money. If you don't find the demand, you won't know what to supply.

Another piece of friendly advice to handle attrition is to keep up with what the top earners are doing, make friends with them, check out their websites and take a look at their free information or buy their training. By their success, they have earned the right to be called "authorities." You would do this before attempting any job requiring skill so why not this?

Ideally, you would start with a business that offered not only information about what the top earners do but also provided the whole system in a neat package and all the potential home business person needed to do is plug in the information and follow the video tutorials. Similar to the train-on-the-job programs, the potential home business owner could earn while he learned.

Actually, there are several programs like this that do exist and have been very successful. It has no shelf life and can be sold internationally. Most of them are NOT multilevel marketing yet provide several avenues of monthly residual and affiliate income. You can use them to boost ANY home business. But will it stop attrition? So far, the posted results say "Yes."

Controlling supply and demand is more easily done by getting your distributors a check within the first few months. The sooner he moves from consumer to distributor the better and the income "reduces" the price of the product.

Value can be everything in expanding your business. You could be marketing pet rocks and if the consumer feels the price was worth it, you have customer. If the distributor can make money selling it, you have a distributor. Let either of them find out they were wrong and you lose them. Train your distributors and make them successful and they will stay. Convince your customers that they got a good deal and with training they could even make money. THAT is creating demand.

When you search for a home business, keep these points in mind. Is the product worth the price? Does the company support its customers and distributors? Is there a training and marketing system? Will your enrollees be able to make money rapidly? Using what you find out, you may be able to determine how much attrition lies in your future with that company.