Are you considering Gold and Silver MLM opportunities?
With the economy going the way it has been for the last 3 – 4 years, the US dollar devaluation and credit rating downgrade, buying Gold and Silver has been all the rage during this time…
If YOU are considering or already building with a Gold and Silver MLM business today, read every word I’m sharing in this post and watch the video before you close up your web browser.
I’ll admit two things up front…
1) I currently have a fast growing team in a health and wellness MLM opportunity (I’m not writing this to persuade you to join my business instead of the Gold & Silver MLM you’re considering).
2) During the search for the best and hopefully the last opportunity (took us 8 months and almost 25 companies) for myself and my business partner Tom Challan, we did consider one Gold & Silver business opportunity.
So why did we end up skipping the Gold and Silver MLM program we looked into?
There were really just a few reasons that caused us to skip that particular business, or that specific niche entirely.
Since this is an extremely serious matter for you and your family, I encourage you to read this entire post and take a few minutes to watch the following video by fellow network marketing leader, Lou Abbott (note: we’re not connected financially in any business, nor are we building the same business opportunity that we’re aware of).
Why Gold and Silver MLM programs never lasted and probably never will?
You know, I have many friends in Gold and Silver MLMs (maybe you’re one of them!), and I really do hope that they interpret this post as my love and concern for them…
Anyway, the single most glaring problem and reason why Gold and Silver MLM programs don’t last is this -
Profit Margin.
How so?
Let me explain… or better yet, watch the video above by Lou to you get a audio/visual presentation of this exact point.
Gold and Silver are commodities that are trade in the market place at a “spot price,” a number that everyone in the WORLD know is the going rate for these precious metals.
So what Gold and Silver MLM companies are subject to an extreme limited profit margin at any given time because those in their right mind will not pay much, if at all, an amount that’s significantly over the very public “spot price.”
The lack of a good profit margin causes Gold & Silver MLM opportunities to be unable to provide long-term residual income, the cornerstone of the network marketing / MLM industry.
Successful companies that market health and wealthness products, skin care and cosmetics products or other physical tangible products usually have much higher profit margins especially when they apply patented formulas or technologies to their products.
“Spot price” is public, but “patented formulas” are private information that can cause buyers to fork over that premium to get the advertised results… especially when the patented formulas actually work!
So what do you do if you’re already in a reputable Gold and Silver MLM company?
Look, in this crazily profitable and fun industry of network marketing relationship is everything.
If you joined a Gold and Silver MLM company because a leader (or leaders) you respect signed up with the company, respect them for what they’ve done to earn your respect… but read this post and watch Lou’s video to know why Gold & Silver MLMs are probably not the answer.
Yes, they may be “hot” at the moment, but remember that relationship and credibility are the two most important factors that cause people to join or leave a specific company.
And the fact is when we (myself included, for sure) promote a company with all our heart and might, only to find the company is not the answer… our credibility wanes at least a little bit…
And in some cases, that credibility is completely destroyed when we decide to make a move to another company.
I personally know some leaders did that OVERNIGHT and completely shattered their credibility that took them years to establish.
Feel free to share this post with your team and leader(s) if you’re in a Gold and Silver MLM and post your comments below.
No flaming emails or comments please if you disagree with my point of view here.
Be reasonable and share your perspectives.
I look forward to reading your comments and a good discussion on this topic of why a Gold and Silver MLM opportunity may (or most likely may *not*) be a long-term opportunity after all.
Jerry Chen