4 Stages of Building A MLM Empire

by Ket-Sang Tai

I wrote on my previous post that Internet marketing is not the holy grail of network marketing. In term of building a MLM organization, combining online and offline strategies is extremely important. However, instead of categorizing your marketing effort as online or offline, it is better to divide it into 4 stages.

1. Prospecting to Warm Marketing

Despite what everyone says, prospecting to warm market is still the fastest way to get started and start sponsoring new distributors. Prospecting to warm market doesn’t mean chasing friends or family. First of all, you don’t have to chase. All you want to do is sharing. Secondly, warm market doesn’t mean friends and family only, it includes your business contacts, previous associates, other network marketers you already met online or offline and so on. This is really the fastest way to get your business to a quick start, especially if you have some business or MLM contacts. This is best done when the excitement and emotion is still at its highest level. Share with enthusiasm and people will feel it. Use simple tools like DVD, audio CD or business presentation website.

2. Direct Response Marketing

Basically it means marketing your business online or offline directly. Per Pay Click is a good example of online direct response marketing. It works really well if your company has a good compensation plan which allows you to get cash flow quickly. You will be targeting opportunity seekers who are looking for a way to get out of the rat race. Leads you get with direct response marketing are generally very targeted because they responded to your direct marketing. A good example of offline direct response marketing is direct mail.

3. Attraction Marketing

This is where the magic happens. You are taking your marketing to the next level. Instead of marketing your business, you are marketing yourself online and offline. By marketing and branding yourself, you will attract people to you and your business effortlessly. Combining this with a funded proposal system, you can generate leads with zero cost and even make money before your prospects join your business. This takes months to learn and that is why I do not encourage new distributors to do this as their first marketing method. New distributors need to start making money as soon as possible and therefore prospecting and direct marketing should be their marketing of choice initially.

4. Mentoring

Here you come to a stage where your organization is growing on autopilot. This happens when you have enough people and leaders in your organization. What you do now is simply training and mentoring.

It is not a matter of choice. I believe every new MLM distributors should go through these 4 stages in strict order to achieve success in their MLM business.

To Your Success,

Ket-Sang Tai

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  • I like your Four Stages training. So many people just want to build online, which takes months to learn and years to master, and they want their warm market and direct response marketing.

  • Ket, these are definitely 4 steps in the right direction.

  • Ket-Sang, I agree with you wholeheartly about the stages. I have built MLM groups myself I built faster when I used all of the stages you mention. I recently got involved in a direct sales business online but I still did the warm market stuff. It works. Thanks for a great article.

  • All the above four stages of building up an MLM Empire are known well by the MLM trainer and hence beginners can learn these methods and tips from MLM trainers .

  • You make some pretty good points on creating your Network Marketing Business.

    but if you are truely using Attraction Marketing there is no point in “sharing” with your friends and family.

    In MLM the term “sharing” has bad connotations of the Amway Distributor “sharing” to the point of being actively avoided by former friends.

    Attraction Marketing is putting out marketing that interested prospects, ones actively looking for an opportunity to find.

    It's a paradigm shift in your marketing. You establish yourself as a leader people look to for help and guidance.

  • kstai

    Michael, I agree and disagree with you to some degree.

    Attraction and marketing skill doesn't come overnight. It takes months if not years to develop. While you are learning that, warm market is a place where you are get a quick start. Believe it or not, some people do better doing warm market and attraction marketing. There is no ONE formula which fits all. For someone who has lots of good business contacts, it is a waste if they are not contacted first.

  • I like your 4 stages, some good points in there

  • Great references for marketers..

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