Your MLM Stats: By Mail or on the Internet
Every month, MLM companies mail to their active distributors computer management reports about their downline sales organizations. Many companies offer the same reports to distributors in secure sections on the company web site. These are typically referred to as downline reports or genealogy reports. Often times, auxiliary reports and other information are available upon request. In the typical MLM downline report about your sales organization, the following information is included covering both yourself and individuals who are in your downline sales organization:
Basically, a downline report is a lengthy computer printout showing important activity and indicators in your downline sales organization.
Use the numbers to make yourself a better networker in a "people" business.
Basically, a downline report is a lengthy computer printout showing important
activity and indicators in your downline sales organization.
The MLM Numbers are your "Tea Leaves" for Fortune Telling
Reading the numbers is not unlike the fortune teller who reads the tea leaves. Your interpretation tells you something about your past and your future. Your downline reports turn you into a CEO and MLM consultant of your own sales organization and you can use these reports as a management tool to:
Says direct sales consultant Dan Jensen, founder of Jenkon International, whose company has serviced hundreds of network marketing and direct selling companies that provide downline reports to millions of their distributors, you should have some broad goals in working with downline numbers:
Plotting the Success Curves
Yes, there are certain vital statistics that you should absolutely track. MLM software consultant Jensen refers to these key statistics as success indicators. He advises that you track them, chart them, graph them from month to month and they will provide a road map for action.
Many of Jenkon's MLM software customers are members of the DSA, the Direct Selling Association, which further validates Jensen's observations. Here are a dozen or so key success indicators MLM compensation expert Jensen suggests that networkers track month to month:
Interpreting the Broad MLM Trends
Do you want to see the big picture? Do you want to see the trends? Do you want to see your game plan unfold before your very eyes? Do you want MLM success in recruiting, sales and retention? Then chart the success indicators month to month. Either do it by hand in a graph connecting the dots, use a bar graph, or use a spreadsheet program on the computer. As you look at the numbers over the course of twelve months, the trends will become apparent, and says Jensen, you may wish to also note important chronological events month to month that may be influencing the success indicators:
Develop an MLM Action Plan
Think of all the work that goes into getting a new recruit. In an industry where attrition of distributors is so high, if you can keep a distributor active, it is just as good as finding a new recruit. Ben Franklin's adage "a penny saved is a penny earned" has merit in this situation.
Is this a people business? Absolutely. Is this a numbers business? Absolutely. Use the numbers to track the success indicators, the weak links and the messages of a call to action. Use the numbers to make yourself a better networker in a "people" business. It is here that science meets art.
For more information on this and other multilevel marketing subjects, please visit www.mlmlegal.com
|Jeffrey A. Babener
Babener & Associates
121 SW Morrison, Suite 1020
Portland, OR 97204
|Jeffrey A. Babener, the principal attorney in the
Portland, Oregon law firm of Babener & Associates, represents many of the leading
direct selling companies in the United States and abroad.
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