This Video Explains Which Statement is True: Celebrity Endorsements Improve Marketing or Celebrity Endorsements are a Double-Edged Sword.

In the conventional advertising world, celebrity endorsement is very effective. Among the factors for effectiveness includes the fame of the celebrity, the connection with the product or service, whether or not the celebrity is a user and whether or not the statements of the celebrity appear as truly authentic or merely a “pay for endorsement.”

The use of celebrity endorsement is far less successful in the direct selling industry. In fact, the advertising model for MLM is quite different than conventional advertising. In conventional distribution, such as retail stores, internet or broadcast media, companies pay advertising dollars and endorsement fees to promote the brand. However, in direct selling, the commissions and rewards paid to distributors are effectively the advertising dollars that would be paid in other channels of distribution. Instead, the branding, in direct selling, is accomplished by the promotion of the sales network of the direct selling company. Looking at the success of major companies such as Avon, Mary Kay, Tupperware, Herbalife, etc., the branding task has been accomplished by the distributor force, and generally without the use of celebrity advertising.

One final note on celebrity advertising is that the Federal Trade Commission (FTC) has adopted significant rules on endorsements and testimonials to require clear disclosure to consumers of relationships between endorsers and the advertising company. For a detailed discussion, see www.mlmlegal.com article on this subject:

FTC Guidelines on Endorsements and Testimonials Resource Center.

If you are interested in attending the Starting and Running the Successful MLM Companyconference visit our conference page, view our speaker list, or get more details. All executives/owners of direct selling companies are welcome to attend. Call 800-231-2162 to register.

Visit us at www.mlmlegal.com to learn more.

Sign up today at http://www.mlmnewsglobal.com/.

This newsletter offers recent news, videos, company profiles, and weekly articles delivered to your inbox on a timely basis. Each newsletter contains top news stories in the network marketing industry, the most recent MLM scam alerts, timely articles on the direct selling industry, and so much more.

Make sure you’re not the last to know about top MLM news stories, or to hear about the latest scam reports. Our timely headline reporting will keep you up-to-date on stories that affect everyone in the network marketing industry.

We will also make sure you receive a “Video of the Week” on industry educational topics, such as distributor education, industry Q&A, executive interviews, MLM startup, and pyramid schemes.

Each newsletter features the profile of a direct selling company, like Avon, Mary Kay, and Amway, or perhaps a startup multilevel marketing company that you haven’t heard about yet! MLM News Global also highlights two featured articles on industry-related topics, such as pyramid schemes, compensation plans, recruiting, lead generation, legal analysis, software, and more.

The MLM News Global Newsletter is presented by industry educator, MLM legal expert, and network marketing business consultant, Attorney Jeff Babener.

Sign up today to receive valuable MLM, network marketing, direct selling content, an imperative to anyone in the direct selling industry. Join our newsletter today!

Check out our Archives for past issues.

Learn more business tips at www.mlmlegal.com and www.mlmattorney.com.

If you are interested in attending the Starting and Running the Successful MLM Company conference visit our conference page, view our speaker list, or get more details. All executives/owners of direct selling companies are welcome to attend. Call 800-231-2162 to register.

Our next Starting and Running the Successful MLM Company Conference takes place in Las Vegas. View our conference flyer and speaker list online.

If you’re reading this blog post and the conference dates above have passed, check our website for the current conference dates.

Visit us at www.mlmlegal.com to learn more.

To answer this question, it is best to look at the two phases of MLM companies: start up and maturity.

Although many things can go wrong in a startup direct selling company, two factors are repeated with frequency for the failure to launch. The first factor is inability to recruit. MLM is a business based on recruiting a successful sales force to market products. (Obviously, there are many important factors ranging from logistics to personnel to technology to quality control to distribution… and all these can go wrong as well.) It should be noted that the need for capital is in inverse proportion to the ability to recruit. A MLM company that can recruit is often positioned for fast growth and may even become a cash cow. If the company does not have that native ability, it needs sufficient capital to hire the talent to make recruiting happen. And in the absence of the recruitment asset, a company should plan on a much longer trajectory to profitability.

And the recruitment challenge dovetails with the second major reason that companies fail at the onset: lack of adequate capital or funding. Many companies start the business without adequate capital to allow for a one or two year run to become profitable. In fact, many companies assume that they will be profitable within months or that they will not need capital for growth. The lack of buffer capital to survive the early unprofitable days of a company is a prescription for early failure.

As to mature companies – who’ve been around for years and years but find themselves on a downward spiral, the key answer is to continuously innovate and create ways to bond with both distributors and customers. Companies that can’t grow with the market, or maintain loyalty of distributors and customers, will find that sales will plateau and ultimately decline. This is a branding business and a relationship business. Unless a mature company is ready to continually reinvent itself and stay fresh, it may find itself on a slow, or sometimes rapid, road to contraction and failure.

MLM, network marketing, otherwise known as direct selling, is a relationships business. Those that succeed do so because they have a deep relationship with their customers and distributors. To maintain long-term success as a MLM business owner, you too have to make sure that you’re not just running a company, but a business of relationships.

As mentioned, networking is a big part of MLM. Come network with us. If you are interested in attending the Starting and Running the Successful MLM Company conference visit our conference page, view our speaker list, or get more details. All executives/owners of direct selling companies are welcome to attend. Call 800-231-2162 to register. It’s run by the most trusted and knowledgeable man in the business, offering legal services for over 25 years to companies like Avon and Mary Kay, Jeff Babener.

Sign up for the MLM News Global newsletter for top headlines, news stories, scam alerts, videos, articles, and more information on the network marketing industry.

Learn more: Watch the Video. What are the two main reasons for a MLM company’s failure?

Visit us at www.mlmlegal.com to learn more.

What does failing mean to you?

What is the meaning of failure? If a distributor only makes a few hundred dollars a month, does that mean they have “failed?” What would that make the distributor who doesn’t make any money from network marketing at all? Or the one who loses money?

It’s difficult, in a sense, to lose money as a network marketing distributor in today’s world. This is due to the policy changes in direct selling companies. Most network marketing companies offer a full refund (or at least a 90% refund) to distributors who have changed their minds and want to return their starter kits.

In addition to policy changes within the company, the majority of leading MLM companies offer earnings disclosures on their websites which disclose the level of earnings and average earnings of all active distributors. Some consultants join a direct selling company to simply become discount buyers of the company’s products. These sorts of independent business owners don’t actually make money with their distributorship since they aren’t pursuing the opportunity to begin with.

The vast majority of active distributors (who make money with the company) earn only a few hundred dollars per month. There is a common saying in the industry, “95% of distributors fail.” This isn’t a fair statement unless you view the company’s products/services purchased by consultants as worthless. Unless you’re working for a pyramid scheme, this simply isn’t the case. Most MLM companies who build a direct selling business model do so because of the unique opportunity to offer their high-quality products and exclusive services through person-to-person selling.

So, how many distributors fail in network marketing? The answer depends on how you define failure. And if you view the products and services offered by your MLM company as special, then you’ve succeeded in making yourself happy and happiness alone is a measurement of success.

Would you like some tips on how to become a successful network marketing distributor? Watch the video by expert MLM Attorney, Jeff Babener:

MLMLegal.com is bursting with educational content for direct sellers and startup/existing MLM companies! Be sure to visit us often!

If you are interested in attending the Starting and Running the Successful MLM Company conference visit our conference page, view our speaker list, or get more details. All executives/owners of direct selling companies are welcome to attend. Call 800-231-2162 to register.

Sign up for the MLM News Global newsletter for top headlines, news stories, scam alerts, videos, articles, and more information on the network marketing industry.

Visit us at www.mlmlegal.com to learn more.

The most assumed and expected incentives are monetary and come in the form of bonuses and commissions. Since direct selling companies are trying to incentivize different types of consultant behavior, the compensation plans of MLM companies are often complex and multi-task to provide incentives for retail selling, preferred recurring customers, building wide, building deep, working with immediate downlines and deep into a downline, time sensitive personal and group sales production, personal and group sales, longevity, quick start, among others. Incentive programs are usually designed to affect the distributor’s ultimate sales behavior.

Beyond cash incentives, most leading network marketing companies understand the power and inspiration behind noncash incentives that resonate financially and emotionally with distributors and keep them bonded to the company. Among the common incentives are auto lease support programs, house payment support programs, travel/trip incentives, conventions, reward pins and accessories, iPads, and tangible giveaways.

Of course, the most powerful noncash incentive is recognition for distributor accomplishments.

Do you want to learn more about incentives? Check out the video by expert MLM Attorney, Jeff Babener:

Do Incentives Increase Sales? How Worthwhile Are Consultant Incentives?

Join us for the next Starting and Running the Successful MLM Company Conference in Las Vegas. Call 503-226-6600 or 800-231-2162 to register.

Visit us at www.mlmlegal.com to learn more.

It’s always a good idea as a MLM distributor to keep yourself encouraged and engaged in your career by participating in company-offered training events. Company training events are meant to enhance your sales skills and increase your motivation. Enthusiastic network marketing companies will offer their distributors tools and seminars to help you improve and grow your business. Many MLM companies offer training tools in an online, back-office environment, while others will host elaborate in-person events in select cities.

You can always find ways to improve your sales and business skills online, either through your company’s training materials or by performing your own online research. Articles, business and sales books, and blogs written by successful distributors are great places to start.

MLM company seminars are particularly encouraging for MLM distributors. At company events, you’ll be able to meet other like-minded, goal-oriented distributors who will inspire you. Networking at company training events will empower you to meet other distributors within the company.

When you attend a distributor recognition or training event, shake plenty of hands and ask a lot of questions. We suggest a few starter tips for networking at company-sponsored events:

• What is your motivation story? Successful distributors will share motivational stories and tips for successful selling and recruiting. Have you ever wondered how top distributors earn incomes in the $10,000, $50,000 or even $100,000 range? At your company’s training event, successful distributors will share their stories of how they became successful as MLM consultants.
• How do you use social media? There are top distributors who have mastered networking and sales through social media. Be sure to meet people who have creative ideas on how to use social networking sites, like Facebook and Twitter, to sell bucket-loads of products/services.
• Who do you sell to? Do you feel like you’ve exhausted your friends, family, neighbors, and acquaintances? Company events are a great place to hear the secrets of how top-earning distributors have reached outside of their social circle and sold to the rest of the world.
• Why are your customers eager to make purchases from you? It’s not magic, but tricks do exist in selling and creating memorable introductions to potential customers. Make sure to ask how top distributors are engaging with their customers. What makes them good at selling? Perhaps you too can learn a few tricks to help you in your business?

Try to attend as many company events as possible. Take advantage of these events, meet people, and soak in the knowledge offered by the company and its top distributors. A MLM company training event is the absolute best place to learn how to grow your own business. If at all possible, use these events to find yourself a mentor or sponsor who will support you in your sales goals and teach you how to sell, where to sell, and how to meet your sales goals.

Being around people who are pursuing similar goals can help you stay focused and work harder to attain professional success. MLM company events will help you get excited about what you’re doing, and give you the extra boost you need to set your goals a little higher than before.

And always, with hard work and dedication, you may find yourself mentoring new distributors or starting your own direct selling business some day!

MLMLegal.com is bursting with educational content for direct sellers and startup/existing MLM companies! Be sure to visit us often!

If you are interested in attending the Starting and Running the Successful MLM Company conference visit our conference page, view our speaker list, or get more details. All executives/owners of direct selling companies are welcome to attend. Call 800-231-2162 to register.

Sign up for the MLM News Global newsletter for top headlines, news stories, scam alerts, videos, articles, and more information on the network marketing industry.

Want to learn more? Watch these videos by MLM expert attorney, Jeff Babener.

What Are the Most Important Things to Remember When You Host a Distributor Recognition Event?

If I’m a New Distributor Then Should I Focus My Selling In Areas Where Other Distributors Are Successful Or Should I Focus On Untouched Territory?

What Do I Do with Distributors Who Go Passive (for MLM Distributors)?

Visit us at www.mlmlegal.com to learn more.

Although the terms sponsoring and recruiting are often used interchangeably, they are actually have two very different meanings. Recruiting is the act of searching and soliciting for new distributors for the downline sales organization of an existing distributor. Of course, the activity carries important responsibilities, such as compliance with company and statutory guidelines on earnings representations, product representations, and representations as to the business opportunity of the company.

Once a recruit has agreed to join the company, a recruiting distributor becomes a sponsor. Almost all company policies set forth very specific duties and responsibilities of a sponsor, including supervision, training, and communication with their downline sales organization. In addition, all companies have specific rules on cross-sponsoring and respectful relationships with other sponsors and distributors.

Watch the video for a detailed explanation by Jeff Babener, Editor of MLMLegal.com. View all of our new videos and more on our new and improved website: MLMLegal.com!

MLMLegal.com is bustling with educational content for direct sellers and startup/existing MLM companies! Be sure to visit us often!

If you are interested in attending the Starting and Running the Successful MLM Company conference visit our conference page, view our speaker list, or get more details. All executives/owners of direct selling companies are welcome to attend. Call 800-231-2162 to register.

Our next Starting and Running the Successful MLM Company Conference takes place May 20, 2016 in Las Vegas. View our conference flyer and speaker list online. Participate in our Innovation Campaign for your chance to receive TWO FREE TICKETS to attend our next conference.

If you’re reading this blog post and the conference dates above have passed, check our website for the current conference dates.

Sign up for the MLM News Global newsletter for top headlines, news stories, scam alerts, videos, articles, and more information on the network marketing industry.

Visit us at www.mlmlegal.com to learn more.

Portland, Oregon (PRWEB)April 15, 2016

MLM News Global newsletter offers recent news, videos, company profiles, and timely articles. The e-newsletter contains the top news stories from the network marketing industry, the most recent MLM scam alerts, timely articles on the direct selling industry, and so much more. Keep up-to-date on top MLM news headlines or to hear about the latest MLM scam alerts and pyramid scheme accusations. The timely headline reporting will keep subscribers up-to-date on stories that affect everyone in the network marketing industry. In addition, important press releases, directly from MLM/network marketing/direct selling, party plan companies, keep subscribers current on trends and direct selling company developments.

Subscribe and look forward to exclusive videos that laser-focus on industry-educational topics, such as distributor education, industry Q&A, direct selling executive interviews, MLM startup, and pyramid schemes.

The MLM News Global newsletter features industry-related articles in every issue, featuring MLMLegal.com’s perspective on FTC rulings, Burnlounge, Herbalife, Vemma cases, and more.

MLM News Global also highlights featured articles, from industry experts, on MLM industry-related topics, such as pyramid schemes, compensation plans, recruiting, lead generation, consulting, legal analysis, software, and more.

The MLM News Global Newsletter is presented by industry educator, MLM legal expert, and network marketing business consultant and lawyer, Attorney Jeff Babener.

Sign up today to receive valuable MLM, network marketing, direct selling content, an imperative to anyone in the direct selling industry.

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Check out our Archives for past issues.

The Starting and Running the Successful MLM Company conference will be held May 20, 2016.

How do you find out more information?

Visit the new website:

http://www.mlmlegal.com

Visit the blogs:

http://mlmlegal.com/MLMBlog/

http://mlmattorney.com/blog/

Contact MLMLegal.com: 503-226-6600 or 800-231-2162

Conference Information: The day will begin at 9:00AM and end at 5:30PM, then from 5:30PM-8:30PM there will be one-on-one time with the speakers. For more information visit our website or call 800-231-2162/503-226-6600. Registrations are taken exclusively by phone and questions are always welcome.

Presented by one of the most trusted individuals in direct selling and MLM, Jeffrey Babener, Editor of http://www.mlmlegal.com.
About Attorney Jeffrey Babener: Conference Host and Chairman, Editor of http://www.mlmlegal.com, as well as the leading direct selling attorney in the United States – With over 30 years of experience as a direct selling attorney, Jeffrey Babener has advised leading companies in the MLM/Direct Selling industry, ranging from Avon to Nikken, to Herbalife, to Melaleuca, to USANA, and to Excel Communications, Nerium International, plus many more. He has been published in national magazines such as Money, Inc., Atlantic Monthly, Entrepreneur magazine, Direct Selling News, Direct Sales Journal, Success magazine, Money Maker’s Monthly, among countless others. He’s authored several books, including his most popular Network Marketing: What you should know. Mr. Babener has chaired more than 70 national conferences on direct selling.

Learn how to receive two COMPLIMENTARY tickets to attend the next Starting and Running the Successful MLM Company Conference by visiting the MLMAttorney.com.

View the press release at PRWeb.

Visit us at www.mlmlegal.com to learn more.

Portland, Oregon (PRWEB)April 14, 2016

Come visit the new and improved MLMLegal.com! This is the first major renovation of MLMLegal.com. MLMLegal.com’s new face is easy to navigate and full of valuable and educational content, pertinent to direct sellers. And Babener & Associates is working on updating more pages throughout 2016.

A new and easy-to-use navigation bar helps visitors easily find what they are looking for, whether it is the blog, articles, videos, MLM resources, conference pages, or one of the many other resources available on the website for network marketers.

The main homepage image was provided by expert MLM Attorney himself, Jeff Babener, while on a trip to Europe. These beautiful mountains provide the metaphor “Let Us Be Your Guide.” Let the Law Office of Babener and Associates, MLMLegal.com, guide clients through the sometimes difficult MLM industry and its legal climate. As experienced network marketing attorneys, who have been in the industry for over three decades, and who represent companies such as Melaleuca, Avon, Herbalife, NuSkin, USANA, Nerium, Excel, and Team National, our firm has the experience and credibility to help direct selling companies navigate the direct selling industry.

“Let us be your guide” through education provided throughout the website in the form of articles, videos, books, and MLM resources. Or,” let us be your guide” in helping to startup or run your direct selling company; Babener & Associates advises in all of the legal aspects of starting up or running MLM, network marketing, direct selling companies.

The new homepage offers quick and easy-to-find links so that visitors can easily contact Babener & Associates, request a Complimentary MLM Startup Manual, gather information regarding the next MLM Startup Conference, or subscribe to the newsletter, MLM News Global.

The new MLMLegal.com homepage still features new content, such as headline news and relevant articles, this time under their own, clearly-outlined sections.

Scroll down the homepage to find more educational video content and request a complimentary copy of the MLM Startup Manual.

What else is important?

A scrolling carousal provides visitors with images taken of past conferences and directs the eye and mouse directly to the page where one can find out when the next conference takes place and who will be included as expert speakers.

And now, visitors can find all of Jeff Babener’s educational MLM videos (over 140 videos) in one location, the homepage. …Right along with Mr. Babener’s most popular industry articles.

And don’t forget about the rest of the MLM, network marketing, direct selling content on MLMLegal.com. Use the Law Library to find all of Mr. Babener’s articles, federal and state cases, MLM law in 50 states, MLM business articles, IRS 911 Publication, and so many more article index pages that can be easily navigated.

Hint: Each new webpage now has related video and page content at the end of each webpage.

As does the new homepage. The end of each page has links to related material/videos, or other related pages that we suggest visitors look also to enjoy while at MLMLegal.com.

And finally, at the bottom of each webpage are links to social networking sites. Follow MLMLegal on Twitter. Friend MLMLegal.com on Facebook. Like the Babener & Associates Facebook page. Visit Babener & Associates on LinkedIn or Google+. There are lots of easy ways to stay in touch and now it’s made it easy to find and follow Babener & Associates/MLMLegal.com online.

MLMLegal.com and Babener & Associates thought a lot about visitors when redesigning the new website. MLMlegal.com is now more manageable yet still famous for being full of lots of useful content.

Potential attendees to the Starting and Running the Successful MLM Company conference are welcome to visit the conference page, view the speaker list, or get more details online. All executives/owners of direct selling companies are welcome to attend. Call 800-231-2162 to register.

The next Starting and Running the Successful MLM Company Conference takes place May 20, 2016 in Las Vegas. View the conference flyer and speaker list online. Participate in the Innovation Campaign for a chance to receive TWO COMPLIMENTARY TICKETS to attend the next conference.

Sign up for the MLM News Global newsletter for top headline news stories, videos, articles, and more valuable MLM, network marketing, direct selling content, an imperative to anyone in the direct selling industry.

The Starting and Running the Successful MLM Company conference will be held May 20, 2016.

How do you find out more information?

Visit the new website:

http://www.mlmlegal.com

Visit the blogs:

http://mlmlegal.com/MLMBlog/

http://mlmattorney.com/blog/

Contact MLMLegal.com: 503-226-6600 or 800-231-2162

Conference Information: The day will begin at 9:00AM and end at 5:30PM, then from 5:30PM-8:30PM there will be one-on-one time with the speakers. For more information visit our website or call 800-231-2162/503-226-6600. Registrations are taken exclusively by phone and questions are always welcome.

Presented by one of the most trusted individuals in direct selling and MLM, Jeffrey Babener, Editor of MLMLegal.com.
About Attorney Jeffrey Babener: Conference Host and Chairman, Editor of MLMLlegal.com, as well as the leading direct selling attorney in the United States – With over 30 years of experience as a direct selling attorney, Jeffrey Babener has advised leading companies in the MLM/Direct Selling industry, ranging from Avon to Nikken, to Herbalife, to Melaleuca, to USANA, and to Excel Communications, Nerium International, plus many more. He has been published in national magazines such as Money, Inc., Atlantic Monthly, Entrepreneur magazine, Direct Selling News, Direct Sales Journal, Success magazine, Money Maker’s Monthly, among countless others. He’s authored several books, including his most popular Network Marketing: What you should know. Mr. Babener has chaired more than 70 national conferences on direct selling.

Learn how to receive two COMPLIMENTARY tickets to attend the next Starting and Running the Successful MLM Company Conference by visiting the MLMAttorney.com.

See the Press Release.

Visit us at www.mlmlegal.com to learn more.

MLMLegal.com and Babener & Associates have had long term professional relationships with many direct selling companies, from startup to stable. We were involved in early stages of a number of leading MLM companies, including some traded on the NYSE.

We aren’t just lawyers. We often know more about the direct selling business than most of our clients. In many ways we have become partners with our clients since we’ve been in the industry for such a long time. We often take on a significant role as both a legal and business advisor for our clients.

Generally speaking, however, most of our clients try to cover all of their bases legally right at the beginning of launching. They often have their agreements in place, as well as their policies and procedures. Companies will secure a trademark early in development, which is very important. As is tax issues, regulatory compliance and relationships with their consultants. Company owners are building a living organism that is constantly changing and growing, which is why so many of the companies that we represent have been with us for five, ten, even twenty years or more. For instance, in 1990 we assisted one of the largest direct selling companies, from Japan, to establish headquarters in the U.S. Today we represent them in nearly 40 countries. We have been their key legal advisor for almost 25 years.

Successful companies have a great product, they are able to recruit and they have adequate funding. There are many factors that contribute to the early success of a company. We are simply one arrow in the quiver of that success.

If you are interested in attending the Starting and Running the Successful MLM Company conference visit our conference page, view our speaker list, or get more details. All executives/owners of direct selling companies are welcome to attend. Call 800-231-2162 to register.

Our next Starting and Running the Successful MLM Company Conference takes place May 20, 2016 in Las Vegas. View our conference flyer and speaker list online. Participate in our Innovation Campaign for your chance to receive TWO FREE TICKETS to attend our next conference.

If you’re reading this blog post and the conference dates above have passed, check our website for the current conference dates.

Sign up for the MLM News Global newsletter for top headlines, news stories, scam alerts, videos, articles, and more information on the network marketing industry.

Visit us at www.mlmlegal.com to learn more.