At the end of the day, network marketing residual income success for the distributor is based on how the compensation plan works. Certainly, consistent action by the distributor is also involved, some skills are necessary, and teamwork is important. But it doesn’t matter how hard you work if your compensation plan is not set up in your favor.
I’m not speaking here about what’s good for the company, but what is good for the distributor, without whom the company does not make any sales.
As you may have read from previous entries, I tried to do the business of Arbonne International. I love the products and still use many of them. But I cannot be successful with the compensation plan.
Now, I am not going to describe the various comp. plans here. For that I recommend you take a look at Deana’s excellent article on those.
However, I will tell you that Arbonne International uses a Stairstep Breakaway model compensation plan. Since the company is over 25 years old, that was the model to use at the time. Easier plans have come along.
After years of struggling, spending money on training, tools, and far away conferences to acquire new skills, I got that uh-oh feeling that I now understand as “red”, aggressive, salesy behavior that is so contrary to my personality. In fact, during one of the last trips I made with my Regional V.P. the most important discovery I made was while riding in the taxi with her and another RVP back to the airport:
After all the people they had in their organizations and the years they had put into the business, their monthly income was only about $4,000 and $3,000 respectively.
That was the final piece of information I needed to convince me I was in the wrong business. I didn’t know what to do until Mentoring for Free came along.
I will explain next time more about what the Stairstep Breakaway model means in practical terms. For now, the easy way to determine how a compensation plan works is this: Ask your upline how many people in your organization on a regular ordering program it takes to make $10,000/month in walk-away residual income. Do not include up-front bonuses. And how many legs do you need to have?
In my company it takes less than 400. How many in yours?
You can do the same for smaller amounts, say $500/month. In mine – approximately 25.
So, how hard do you have to work for network marketing success? As an average, part-time distributor with Arbonne International, can you do it? If you can, stick with it.
I invite you to join in on the Mentoring for Free calls – generic training calls – to learn more about compensation plans, how to evaluate a company, and the personality colors to success technology. Call me or e-mail me for information.
Wishing you mlm residual income success through having the right compensation plan,