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A big problem in our society is “group think”.
We tend to embrace that which everyone else embraces. A key trick in marketing is to try to get people to think “everyone is doing this”. Though this is an effective tool, it is also an indicator on why we fail. You see, the majority of people allow fear to define their lives.
Ultimately, we should be determining what we should do based on our personal ethics, values and passion. Doing so after we have evaluated its feasibility and developed a game plan. Many people are too lazy to do this and become the problem rather than the solution. The solution to a “rut” will never be to do the same thing again. The definition of insanity is doing the same thing over and over hoping for a different result.
Things must change in order to change our situation…more importantly, YOU must change.
But most people will relegate themselves to doing the safe thing and do what others do…but is that really safe? Frankly, it can be destructive. I heard of a young lady who wouldn’t hurt a fly going to college, and this collage had a riot break out during a school event where cars were overturned and violent acts erupted everywhere. That young lady was found standing on top of one of the cars, in the middle of all the rioting. Well, everyone was doing it…the power of group think strikes again.
Coach Dale Brown pointed out to me that most people’s circle of friends all make within $7k of one another in their annual salary. We tend to produce and expect the same amount as those we hang around.
I talk to people every day who are stuck in a rut, but that rut was create by the decision THEY make. The decision to do what everybody else does. The decision to stop learning after high school. The decision to play it safe and not shake up the status quo of their community of friends…..instead of the decisions that define them as individuals…as one created for a purpose.
Are you making decisions because of your surrounding…your group? Or are you making decisions based on who you were created to be. Your dreams…your passions….YOU.
I struggle with Christmas.
But I figured out why this year. It is because we have made the story “normal”. Think about it, the story is extremely unique. God came down to earth in the form of a man through a virgin birth and later died to pay the price for our sins and gave us new life through His resurrection. This story is so bizarre, unique and miraculous. When I was child and first comprehended the story, honestly, my first thought was “do you really believe this?- that’s crazy!” I had someone respond to me that way this year as well, and my response is “you are right- it is crazy!….But now I know it is also true!”
I believe the Christmas story was DESIGNED to be hard to believe. I didn’t believe it until I had a personal experience that confirmed it for me. The only way to truly grasp the truth of it is to have a personal, intimate relationship where it can be revealed.
So my struggle has become my prayer. Please do not think this season is simply traditional…and please don’t don’t think this belief is “normal”. There is nothing normal about it- I am a creative person, but I would have never thought that up. This season is about a miracle that doesn’t make sense to the human mind, but is essential for human life. Redemption and Love. So join me in celebrating the incarnation of our unique, miraculous and loving Savior.
Bill Nissen gives an honest view of why this doesn’t work. Watch in it’s entirety.
I was walking with Coaching Legend Dale Brown in Los Angeles this last March when he gave me a life lesson on coaching and leadership.
Being tall (6ft 10in), He asked if I played basketball. I said “no” and shared a funny story showing the fact that I wasn’t good at basketball in college. We had our basketball coach visiting my fraternity and he asked if I wanted to tryout due to my height. I said I was clunsy and if he saw me play he wouldn’t ask me again. He took me up on that offer and took me to the back yard to play one on one with one of his players that attended with him. I approached the basket just one time and he laughed and said he saw enough and would leave me alone.
“That’s a mistake” said Coach Brown. He pointed out that Shaquille ONeal wasn’t good the first time he saw him either. ” Most tall people devleop more slowly and requires more patience”, said Coach Brown. You have to coach them to a place where they reach their potential- not just look for the finished product. A coach that only looks for a finished product is a lazy coach. If Coach Brown would ahve done that, the world would have missed witnessing one of the most impactful basketball players in the history of thr NBA. As a coach for people in business, I would enourage you to develop the potential in others. Don’t just look for the finished product.
In fact, “finished product” people tend to be transient and un teachable because they believe they can do it on their own. A successful network marketing team is one where everyone works like a team, not as individuals. Poeple you help develop from their potential will work more like a team and will be more loyal.Do not hope to find a finished product.
All this truth came from a simple walk at lunch…with one of the greatest Basketball Coaches that ever lived.
Watch my next short entry dealing a key element- Faithfulness.
Through the success and experience I have had through the years building my business, I realize the 85% of your success comes from “between the ears”. So I am starting a video series to briefly touch on the essentials needed for success. I am excited about this, because everyone can do this, they simply have to decide to do so. Watch my first short entry dealing with the most important element.
Bill Nissen shares some insight on the difference between someone building a business and someone selling product. Key insights needed for those transiitoning to making large residual income.
I am about to tell you something that is the most important concept I could possibly give you. This will change your life. That is not some marketing hype…it is the truth. But what I am about to say will be missed. Most of you will see this through the eyes of a type A personality and relegate it to a mere exercise. Others will see this and say they are too “outside the box” for this. I know…because I used to say that too. Are you ready to hear what it is? I didn’t think so…not yet. So let me prepare the soil.
Everyone is looking for solutions to problems. But frankly, we look in the wrong place. We look externally. People who need motivation go to rallies and books. People who need financial help look for employers and banks. People who need spiritual guidance go to churches. Though I recommend people go to rallies, read books, interact with businesses and work with banks, none of them are your solution.
Your solution is within. Now I can hear you reacting, thinking “hear we go again, another positive thinking deal”. Well it’s more than that. What I want to encourage you to do is come alongside your Creator, and create. We will not just repeat a positive thought, but actually connect with your personal passion and purpose. And the key to this internal process is to bring it to the external. To act on it.
I realize that you probably have heard these catch phrases before, but frankly, I rarely find anyone who walks you through HOW to do so. So let’s do that!
First step: Dream- Take a good pocket of time…several hours to brain storm or dream storm. If money was no object, what would you LOVE to do? This is not an unrealistic question, it is an essential question. I ties you to why you are here. You have desires and interests for one reason…they were given to you by God. The most important days of your life are the day you were born, and the day you discover WHY you were born.
Step two: Categorize the dreams- whatever fits your life. Social, financial, spiritual, emotional, recreational, etc. This helps you see how your interests might interrelate. Right now you may think you have opposing interests, but when you do this exercise, you will discover that nothing is by accident. I used to be a cartoonist and a journalist, and when I moved on the other venture such as ministry and business, I thought those interests were incompatible. Now I see how those skills interrelate.
Step three: Prioritze and Set Time Time Tables. A Goal is a dream with a deadline. People make the mistake of setting deadlines first. Don’t do that. Hold off on this step, until you are emotionally connected to the dream and it becomes an imminent passion that must be fulfilled. THEN set up a time table. Prioritizing goals helps you clarify which ones are dearest to you and more tangible. The bigger dreams will seem more tangible once you tackle the smaller goals.
Step four: Ask:What is in my way? Actually, this may mix with step three where this may have to happen first, because this is where we overcome hurdles. This is where we reflect on our emotional response and follow the “smoking gun” to the source of the fear. For instance, I had a desire to do real estate with a friend at one point. But I had a fear of money, so for years I just simply wouldn’t allow myself to do anything in that category. I would submit to my fear and would simply say, “well that’s just not me”. The reality was “that’s just not what I’ve settled for”.
So I started to ask myself “why” I avoided this area. I found my “smoking gun” in a time when my family had a financial crisis and I interpreted it as “we are just not good with money”. I would then ask myself….and God, if that was true. NO, it is not. I would then ask for a different perspective and I saw that the problem was my interpretation of a bad day. You won’t get a new perspective unless you ask for one. The key, is when you get a new perspective, you MUST act on it. Otherwise, you will tend to drift back to old habits.
This will be plenty to chew on, so I will share more on a later article. Let me know how this goes…or if you have questions, contact me at email@example.com.
Here to help…
One of the key areas to evaluate when you are looking at a company is their compensation plan. After all, we become promoters to create an income stream don’t we? We should give ourselves the best chance of success.
In evaluating plans, there are a few areas we need to look for.
- Does the plan have front end bonuses so average people can find success quickly?
- Does the plan have a well designed back end so the residual is truly substantial?
- Is there a flexible feature of placement allowing you to create incentives through placement.
- Is the plan built for speed or longevity- or possibly both?
- Does the plan help with retention? Does it focus on percentages, or behavior?
There are other issues to look for as well, but these issues show in the “type of comp plan” you are using.
There are 4 basic Compensation Models out there. I am not saying this is exhaustive, but it does represent the majority of options out there. I will explain all four and then show you what to look for.
- Stair Step break away- This compensation plan works as a weed out model. This benefits professional networkers but increases the attrition rate. The general concept is progressing through two teams. The first team requires you to recruit a certain amount of people ( I have seen 4 and 6) before you can get the the Big league team where the real money is made. You are basically giving the leader of the big league team the commissions on your first team. The average person will recruit 2.3 people in the life of their business, so this is designed to have the big league leader profit…not you.
- Matrix- You will mostly see 3×10 matrix systems- but there is also 2×2 follow me matrix systems as well. What’s attractive with these is whether or not you recruit people, a downline will be “forced” under you (in a 3×10-or 3×5)- so you will earn a downline no matter what. Frankly I stay away from these for a few reason. First of all- the “downline” will look encouraging, but usually you won’t get compensated much unless you are the recruiter. Secondly, its not very secure. The fact that its a forced system means people can be pushed out as well. Let’s say some tragic event occurred and you couldn’t stay active for a quarter. You may be “force” out and have to start all over again. That doesn’t sound very secure to me. Now with the 2×2 follow me matrix- its basically a short sighted system focusing in paying “cycle bonuses” instead of residual. A cycle is when you recruit 2, and those 2 recruit 2- thus completing a “cycle”. This means you have to keep recruiting- not built for long tern retirement.
- Binary- This has probably been the most popular system since the1990s. It is known to create a downline very quickly because you only have to build to “legs”. And your sponsor will help you build your first leg for you! Isn’t that nice of them? There is a reason they are willing to do that…they are the one who gets paid on it…not you. It’s called your qualifying leg. Your pay will come from the second leg and any bonuses you can create by balancing your legs, meaning you can keep up with your sponsor and produce as much as them. If so you can earn some sweet bonuses. But the vast majority of people can’t- remember- the average is 2.3 people per recruiter. These binaries tend to grow fast because it sound really good at first glance. But the attrition rate is high because it doesn’t take long for people to discover the fine print and the catches. But of the three so far, it probably is the best…built for speed.
- Unilevel- This is the classic system that has been used from the beginning. You have to recruit a minimum number of people to be directly under you- usually 5 or 6 people. Then you have to help each of them recruit the minimum as well- let’s say the minimum is 6, then you have to help them get their 6. If you don’t, you cannot move forward yourself. It is a very restrictive model of brackets, bubbles and sticks that sounds noble because you cannot grow unless your team grows. But it is very difficult to build because getting everyone their 6 is a lot of work. You them get paid a percentage for a few levels (4-8 usually)-so if you want to make big money, you actually need MORE people giving you a wider front level. You will here these leaders say “go wide” to make your money. These has a “weed out” mechanism as well and can be very discouraging. However, it is probably one of the best-right up there with the binary- because if you can get it built, it will have longevity because it is so diversified….built for the long term.
Now some of you might be screaming as you read this because it doesn’t perfectly reflect your company comp plan. I understand…granted this is a generalized version of the four, it is representative of most systems out there however.
And others of you may be thinking,,,MAN….NONE OF THOSE SOUND GOOD. To break it all down, my recommendation would be to focus on the last two- binaries and unilevels. These are the two strongest systems in my opinion, but I didn’t hold back on what I disliked with either one as well. I could have been more brutal too, but to do so would be too detailed and difficult to read. But the basic details are seen above.
When analyzing Comp Plans one of the most important things to keep in mind is does it focus on percentages and structure? Or behavior? It must focus on behavior. What I mean is this…if it focuses on structure, it will focus on what you have to overcome. People will try to sell you on the percentages “we give you 4% instead of 3%” or something like that. But percentages mean nothing if it doesn’t produce results. Which would you rather have, 4% of $10, or 3% of $1,000,000? Comp Plans should invoke behavior change. They should encourage you to “do something different” to hit a rank. Not discourage you because it doesn’t seem reachable.
Okay- Of COURSE I believe I have the best solution and I’m about to share it with you now. But I wanted to show you that the comparisons above, because they are part of what helped me choose the company I did.
When I saw that ViSalus was changing their comp plan in Feb 2009 to reflect attributes of a unilevel AND a binary, I took notice. First of all, they took the basic structure of a unilevel and simplified it so it would be easier to qualify for promotions and bonuses. Their unilevel structure is based on 3 (not 6-remember that the industry recruiting average is 2.3?- so you simply have to perform a little above average-”genius”)-AND after you get your initial 3, you don’t have to help your team get their 3. After your 3, rank is based on straight volume! No bubbles, sticks or brackets to complete to move up in rank! Now of course you want to help your team, BUT it doesn’t hold you back if they don’t get it done.
Secondly, there is 60% rank criteria. This means that 60% of what you need to hit a new promotion can come from any one leg. The first big rank is Regional Director (12,500 in volume). So let’s say your first leg has 7500 in volume- you only need to create 5000 in volume between your other 2 legs AND your customers. 60% – 40%….this creates a unilevel version of a BINARY! Thus you can build fast like a binary BUT you have the longevity and diversity of a unilevel.
This is getting too involved, so I will finish with this last point. They also created a “waiting room” where anyone you enroll is in your waiting room for 60 days. Since you only need 3 people, any more people beyond that can be moved down into your team through contests and incentives to create greater speed and momentum. This is the magic bullet. And I haven’t even talked about the disappearing autoship and redirect product features. For that info, contact me.
I have researched the top 40 companies in the DSA, and this is the strongest comp plan out there.