Wave 3 -- Book Review

I read a relatively new book on the networking marketing industry, Wave 3 -- The New Era in Network Marketing by Richard Poe. It contains a profile of a number of MLM success stories from various companies. These individuals found the time freedom and flexibility they did not find when they "reached the top of their corporate careers." It also outlined the positive traits and qualities needed to succeed in MLM as well as the pitfalls.

The book described network marketing as corporate America's best kept secret. It showed how just as the industrial revolution displaced many farmhands, manual laborers, and factory line workers; economic, technological and market forces in our time have displaced white collar workers. This has resulted in the expansion of the temporary labor industry, consultants, and the self-employed. We are right now in the midst of the third and most powerful wave an economic upheaval that began about 60 years ago.

Wave I ended in 1979 when the FTC ruled that MLM was not a pyramid scam. It thus emerged from an "underground" way of doing business.

Wave II began when new technology sparked a number of network marketing startups and millions began to join in. This started in the 1980's. However, this was an immature stage, too difficult and complicated for all but the consummate entrepreneur to master. There was a heavy reliance on extraordinary personal talents. The network marketer had to handle distribution, stock inventory, order products for a downline, handle accounting, prospect, motivate, hold meetings, etc. It was like when the VCR first came out, too complicated.

Wave III is the current user friendly era of network marketing. Like we can program our VCR's by voice or pressing a few buttons, the promise of financial freedom is now attainable by the masses. There is a "system" to do the work. The distributor relies on the company to establish procedures, provide technology, prospecting videos, automatic delivery, drop ship to customers, commission checks, satellite technology. This leaves the network marketer to handle the human face to face contact with people.

The following traits were listed as needed for success. Success in this context is the financial freedom that many wish for and to be a MLM leader. If one wants to make a small supplementary income these are not necessarily needed.

KNOW YOURSELF - must be an original thinker and willing to stick to your beliefs and convictions.

POSITIVE OUTLOOK - learn to think successful, learn principles in "Think and Grow Rich" by Napoleon Hill.

TEACHABILITY - stay with the system; gave an example of how some who may have been high-powered executives in their corporate life want to "take charge" right away, instead of committing to the process.

GENEROSITY - give generously of your time, money, and compassion to your downline; one successful distributor routinely bought product in the name of downline distributor to help them qualify for promotions; from Zig Ziglar "I believe that you can get anything you want in life if you help others get what they want".

SKIN LIKE A RHINO - be prepared for the negativity, criticism from others is a sure sign that you are making an impact.

ENTHUSIASM - not just high energy, but belief and conviction that others need and want what you have to offer; choose a great product at a great price and your energy level will take care of itself.

DRIVE - net get rich quick (try the commodities market).

PERSISTENCE - persevere to allow the aforementioned traits to accomplish their work; one example of Richard Brooks who after 3 years was $25,000 in debt and only making $4,000 a year, friends and family told him to get a real job. Immediately after he achieved success bought a $200,000 home and a $40,000 Porsche at age 30.

Some points were also listed on identifying a company in position to take advantage of Wave 3 -- email me if you would like to know these.

Also discussed are the 7 Deadly Pitfalls of Beginners

REINVENTING THE WHEEL - network marketing is a simple process, sell, sponsor, and train to sell, sponsor and train; avoid gimmick-mania which leads to disappointment and defeat, leave the technomania to the leaders and your company; work on the person to person contact.

SMALL-TIME ATTITUDE - many fail because they treat their business like a hobby or part-time job, they dabble instead of committing; from the first day you must think big if you are to make it big.

MAKING YOURSELF THE ISSUE - track upline to a successful mentor, one success story comments that 'you don't want people to base their perception of the business on what you personally have or haven't done'.

TAKING REJECTION PERSONALLY - 'if people are at the right time in their lives, they're going to get involved in the business, no matter how it's presented, conversely, if the timing isn't right in their lives, no matter how brilliant, skillful, and articulate you are, they're not going to get involved.' So think this way - - Some Will, Some Won't, So What - Next; commit to sharing your opportunity on a daily basis for 1 to 3 years and the numbers will take care of themselves.

NEGLECTING YOUR RETAIL SALES - If you don't sell your downline won't, you should use your first 90 days to learn the product to sell it and for the immediate income return until you build an organization.

LISTENING TO THE DREAM STEALERS - don't try to discuss the network marketing industry until you're fully trained and confident, you may get eaten alive, let the business prove itself.

ABUSING YOUR SPONSOR - complaints, laments, emotional demands are not to be heaved on your sponsor, they are not psychotherapists and babysitters.

On selling, use company methods and scripts, offer retail customers opportunity to become wholesale buyers, recruit to sell (customers who bring referrals to you should be shown the opportunity), be a product of the product, demonstrate the product (facts tell stories sell), always ask for referrals, and if you fear the face to face contact use positive self-talk to enhance your self-image.

On prospecting, follow the system (whatever it is) used by your upline until you can claim success and develop your own, sell from the heart, believe in your product and display that conviction, follow company methods and use their tools for prospecting.

Some qualifiers - from Big Al, 1) do you want to earn some extra money, and 2) are you willing to set aside 6 to 10 hours per week. This will work on anyone.

Use video and audio tape dropoffs, no need for long persuasive conversations.

Listen to what your prospects want, and then show them how your opportunity can fulfill. Ask what do you dislike most about what you do? and if you developed a wish list what would be #1 that you cannot achieve right now. Ask your prospect to place their order, do not feel you will lose them since you cannot lose what you do not have, it does no good for them to be signed up and not using the product, if you have to coax them in you will have to coax them to work.

Don't turn away those who want to be wholesale buyers and not leaders, they may lead you to a potential leader.

Small business owners are hot prospects, they understand operating a business and are tired of the taxes, benefits, insurance, and government regulations.

Some closing notes were made on the fact that whatever people decide to do is immaterial, networking is here to stay and a force that will touch people's lives, as they get tired off all of the advertising on TV and media barking for their dollars and will turn to their warm market for recommendations on products.

Also mentioned was the "fifth income stream" in network marketing, investing in the up and coming companies as they go public.

Network marketing is not all about money either, its about time freedom, time flexibility, residual impact (helping other people make a successful impact on their financial lives and self- esteem), and about charity - the opportunity to make a difference instead of watching and wishing.

I thoroughly enjoyed Wave 3 if you couldn't tell and highly recommend it.