Network Marketing/Multi Level Marketing/Pyramid Selling etc

DoubleBlade

New member
I hope James would allow me to post such issues on SOFT.

Anyway here I go...

I'm sure most of you SOFTies have heard from relatives or even family members of being approached by another relative (usually a young adult) to buy a biomagnetic health product on behalf of him/her. I would not be surprised if most of us would have form the equation : BIOMAGNETIC PRODUCTS = NETWORK MARKETING = SCAM , at least in the eyes of the older adults that is....

I myself have experienced it before. My classmate although not as closed suddenly out of the blue called me up and said that he wanted to have dinner with me and before I knew it , I was stepping foot on the company. I will not disclose the name of the company for personal reasons. I was introduced to the concept of network marketing by the manager and was utterly impressed but I WASN'T KEEN IN JOINING THE COMPANY because I had other committments to attend to.

To make a long story short I signed the first documentation of the company which allowed me to distribute the company's products. The next day when I arrived at the office , the 2nd document was slammed in front of me. The document stated that I was must buy the biomagnetic mattress starter kit amounting to 1.4k. The manager said that I needed to produce an "authentic" testimonial with regards to the biomagnet mattress which was part of the starter kit and as such , I had to purchase it. Of course my main concern was how on earth am I able to cough up 1.4k to pay for the starter kit. I asked him whether I could sell the product first and all commission I get from the sales made by me would go to repaying the loan for the starter kit. He agreed to that and I eventually signed the purchase papers but thank god it wasn't a contract.......

What really startled me was that after I signed the purchase paper , the manager called one of his colleagues to give me a booklet which was something like a salesmen bible and then his colleague told me to do a "Relative Profiling" exercise. They told me to list down all relative names from both of my parents side together with details like : age , sex , occupation , pay salary per month etc. They also told me to rate on a scale of 5 , the level of enthuism whether they would react positively to their products and even their health condition on a scale of 5 also. Basically most of the stuff I was required to fill up was revolving around that product.

To cut a long story short , I told them who were my closest relatives and when I told them that I have 4 single relatives living together in a small bunglow , the manager immediately insisted that his subordinate (the one who's gonna follow me to their house) to talk to each of them individually and that would mean selling 4 of their EXACT SAME PRODUCT to each of my 4 relatives. The thing that came to my mind was , "Why can't you just sell 1 product to them and all of them can share together?" Obviously my perception towards them shifted to a negative one in a sense that they just wanted to suck up my relative's money. They retorted by telling me some "modern day fable" about Warcraft DoTA with regards to "drawing first blood" before anyone else did.

The final straw came in when they even tried to teach me how to act sad and in desperate need of money. They even told me to hold my relative's arm and say ,"Please support me" in combo with that sad and depressed kinda look. I felt that I should not be doing this because those weren't part of my agenda , it was like having me to act out a taiwanese soap opera scene in front of my relatives. Anyways they called this so called technique "The Touch of Gold" or something like that lah...I could not recall it...

I was forced to go to my relatives and when I told the manager that my relatives changed their home number , the manager even told me to lie to my parents in order to get their number. Because he did not want my parents to know that I was working in a multi level marketing company due to the general public's perception towards this unique kind of marketing technique.

I arrived at my aunts house and was forced to play along with my colleague in what he said. I eventually lied to them by saying that I was on my way to a friend's house nearby and decided to stop on the way because my supposedly "friend" was not at home at that time. My so called colleague talked to my relatives and tried to gain their trust by talking about his personal life like how he became so outspoken after NS , what a lazy bum his sister is , basically anything which revolved around his life. And then time came when the manager was sick and tiring of waiting and told him to just go all out for the kill. He eventually led out his identity and all I could do was just to remain silent and not play any part in the sale. I refused to cooperate with him and when he told me say something I just remained quiet. Luckily after much coaxing , my relatives still refused to buy. When I finally left their home (I lied to them again that my "friend" has come home and had to leave) , I had a short heated argument with him over the kind of business tactics the company employed in trying to sell their products.

From a salesperson point of view , which of the 2 would matter to him? Getting his part of the commission if he managed to sell the product or trying to save the world if they bought his product?

Although I've found out that network marketing companies must follow the guidelines of the DSAS (Direct Selling Association of Singapore) in order for it to be legal in Singapore based on some exclusion acts being ammended by the law recently and everything they do is complete legal but I feel that they are taking advantage of human sentiments to achieve their aim and that is to sell their products. It was because of this that I felt utterly disgusted and it went against my personal principles when it comes to having no hidden agenda involved when doing business

After that I went back to the company and told the manager that I wanted to leave and he obliged.

The office which I was in had a lot of "propaganda" in it. Every corner you turn , you could see propaganda materials like staff testimonials , car incentive photos , banners congratulating managers for reaching the manageral position and even photocopied pay cheques (which were usually 3k and above) pasted outside their cubicles.

After all this , I asked my friends whether they have encounted this situation before and those who said yes all had very similar experiences with regards to mine and the thing is , they all once worked for different companies.


After having said all this , I would like to know where any of you SOFTies have encountered a similar experiences before?

And also I have a question on my mind for those who have had a brush with these companies adopting the multi level market approach.


I was told that the company I once worked has been around for 7 years but the Senior managers around (the highest rank in the company) only took a mere 11 months to rise up to the highest rank in the company apart from the CEO position. Below the rank of Senior managers was the General Managers and they had like 40+ GMs in the company and I was obviously like WTF lah. I'm not good at reading law texts but I found a website on Direct Selling in Singapore.

http://www.wwlegal.com/index.php?module=subjects&func=viewpage&pageid=49

Anyways if the senior managers took 11 months to rise up to the highest rank and the company has been around for 7 years , what happened to the more senior senior managers around? Like those who have worked for years in the company? What happened to them? Could they have received the golden handshake after 1-2 years of service in the company? 8O

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Hope the lesson is learnt. I must say, do NOT ever sign on the dotted line, unless you are very sure.

Btw, how old are you? I remember under 18, contracts can be void on some exceptions. You wouldn't have to endure so much to begin with if you were under 18.
 
"friend" you mean.

now you know about all these, just make your own decision.

mine is to steer clear of MLM/network/whatever other kinds of name they use. avoid ever going up the building, even if he is your friend. that's the best way to stop the mess.
 
i didnt read through your whole post...but i must say i've attended presentations of a few such companies.
Sounded pretty dodgy to me.

To me, all the money that can be made from MLM has already been made.
 
To me, such stuff is a scam. My friend was in it and they tried to rope me in. I stood my ground and they end up quiting their MLM job. Anyway such MLM job don't earn money unless u are in a high level like the CEO. From past experience, it is those who are high up in the company that earns the most of the money. So I don't bother about it, anyway it is unethical to me and it collides with my principles.

This kind of stuff just put relationship to strain be it friendship or family.
 
haizz... i mean we've all heard stories of friend's friend's relative's friend's who made $15,000 a month by selling magnetic mattresses ... or tupperware ...wadever...

simply keep in mind that the company does not need you. it however needs your social network - something only accessible by yourself. Which by then... you will be convinced to plea or beg your closest friends/relatives into meeting up so they can be swooned by your more experienced sales colleagues into purchasing what i would call " complete and utter rubbish " at crazy prices -- all to feed the tip of the pyramid and leave some loose change for the people inbetween.

1.4k --- you bring it to ikea... you can actually buy a very fancy bed with mattress and you can buy a 4x12 speaker cabinet to put under your bed... the huge magnets will totally pwn any illness.
 
well dude thanks for highlightin'. been into one when I was around your age before. it was soooo hard for me to get out of it. cos i couldn't sell well (my salesmanship sucked) and when I quit they still bugged me, call/sms/email to ask me change my mind until I freakin' called the top guy and f*cked him over the phone threatened to sue for harassment, and email bombed hundreds of their spam mail saying that I quit. and yep they finally left me alone. one of the health products I had to sell was kinda illegal/unapproved. called colloidal silver. I backed off cos of that and they make you prey on your own relatives and friends.

even a malay friend of mine who got into MLM, i could tell the moment he was hooked when one fine day he calls me and go "hey dude, would you care to make an appointment with me so I can show you a world of opportunities etc etc (in perfect scripted good english)" and I was like "WTF man, eh relak la knn, you in mlm is it, you think i donno, suddenly slang slang with me. cannot make it la you." and yep turns out he's made to sell some ridiculous product/prices and loads of empty promises made to him.

60¢ worth.
 
Some facts on MLM I wish to share with you guys. No offence for existing networkers...

- Products are generally expensive and are therefore hard to sell. They play the 'number' game whereby they only need to hook up the 'big fish', and believe that the 'small fish' can lead you to one...

- They are a virtual office. As you can see, they have no shops or store whereby customers can walk into and therefore you, the salesman gotta walk to them. And as most of our network(age 18-28yrs old) are just average joes like you and me, WHO THE HELL WANNA SPEND THOUSANDS OF DOLLARS ON BLOODY MAGNETIC THERAPY OR HAVE THE LUXURY TO SPEND $1882 ON A BLOODY FILTER?! Sorry for the caps...

- So by the end of the day who are the ones that'll really support you? Bingo! Its either your family get one or your relatives who has a lower chance of turning you away... They're usually the ones who will 'see' your products and this is where the 'kinship' game comes in. It can get as dirty and as disgusting as can be therefore I don't wish to go deeper into this.

- However, network marketing is a proven way of successful business building as shown by Bill Gates and A*way, which the latter has over 50yrs of establishment in the states. Its just that MOST of the local company here are downright unethical in doing sales. Yes you'll make money out of it, in the END. But you'll sell your soul to the devil. So is it $, or your soul?

- So the above merely covers the expansion of one's network. Therefore its only 'SLM', Single-level Marketing. Same stuff for insurance and property. Got big clients, earn big bucks. Can't hit the target, then you suck. Manage to get a few more minions to join you, and it'll florish into MLM, which kickstarts the whole viscious cycle all over again...

EVIL, I'd say... \m/
 
My personal opinion,

1. MLM it does work. I have to admit that it a good method to earn money.(but definitely NOT for me). As I don't like the method they used to earn money.
I have some friends who initially doing it as a part time and eventually quit theri full time job and doing MLM as a full time jod.
I also have some friend who quit MLM after one year joining it.
I ever give black face to my friend who call me out for dinner/drink but then trying to talk to me on MLM/product. They will always ask me listen first. But I tell them if they wanna talk about MLM to me, I will immidiate leave the table.
One of my friend even ask me to listen to those MLM seminer.
Initially I don't know what she asking me out for.
After I know, already very angry.
But because she already paid for the seminer for me,
thus I just black face sit there.
whole seminer thoughout never talk to her.
After the seminer, I NEVER contact her or reply her sms anymore.
So, those who want to talk MLM to me, save your time, I won't give face one...

2. Normally MLM product's price are quite high... why? the reason they give is because the product is good for health, used expensive ingredient, import from...etc. But I don't think it is the main reason. In my opinion, the main reason should be because of the MLM structure. If the product not selling at high price, how it earn money for so many level???
Again I must admit that the product may be good, but the money we pay for the product, how may percent really go for the product cost???

3. Fluent speaking. One good thing for those people who do MLM is, they learnt how to do public speaking. They can speak more fluently/confidently then before. Ya... It good for most people but NOT me.

Last but not least, I must say that...
MLM is a proven way to earn money.
But it will only works for some people.
IT DOES NOT SUIT EVERYONE!!!

p/s: For those who doing very well in MLM, I salute you. But please... don't come to me...
 
friends stop being friends to me after they call me out of the blue for dinner just to try and sell me something. the sad part is that many of these people actually believe in their so called product,or that they are actually going to get rich off it...

i love chanmin's suggestion...4X12 under the bed...lol
 
mingguan said:
My personal opinion,

1. MLM it does work. I have to admit that it a good method to earn money.(but definitely NOT for me). As I don't like the method they used to earn money.
I have some friends who initially doing it as a part time and eventually quit theri full time job and doing MLM as a full time jod.

ahah full time MLM....it doesnt mean that they are really earning money though, they may be making none at all, or just peanuts but they continue because they were being convinced/brainwashed by the upline into thinking that they are on their way to financial freedom, which in fact will never happen.
 
Yes abt 8 yrs back I was invited to a presentation of such mattress by a fren. I knew what they were all about so I went there basically with one-ear-in-one-ear-out mentality. Despite wanting to help my fren very much and understanding his desire to "make it big", I didn't go along with it and adviced him to get out of it.

In this world, humans have to step on other humans in order to rise above. Someone has to be a sucker for others to get rich. It has never changed despite 1000s of yrs of evolution. This fact is illustrated in every aspect of everyone's daily life.

Like the cup of coffee you drink every morning. Do you know only 1% of the $ you pay for it goes to the coffee farmers who does most of the work? Most of the $ are sucked away "middlemen" like Nestle which is how they got so filthy rich (read about it at Oxfam). So none of us, even by the simple role as consumers, are innocent to start with.

If you really want to go into it for the $, why be so hard on yourself?

If you tell me you are not in it for the $, then what are doing there in the 1st place?

No one can tempt some1 unless he allows himself to be tempted.
 
MLM is not pyramid selling.

Pyramid Selling:

One guy at the top sitting doing nothing while his downlines feed him with cash... His downline will and can NEVER supersede him/her. Illegal

MLM (Multi-Level Marketing): Downline will be able to supersede his/her upline if the upline slack and do nothing. Upline will then be unable to tap to his/her downline reserve unless he finds another downline to tap. LEGALISED A FEW YEARS AGO as gah'ment encourages entrepreneurship.
Positions and company incentives are the usual lures in getting ppl to join them.

SLM (Single-Level Marketing)

A marketing stratergy which uses a person existing network in generating sales. eg. Insurance, property, etc... No tapping of sales from downline as there's none to begin with. No criss-crossing, no bullsh*t. Just YOU, and the customers.

Let's brain-washed theses blood suckers with HEAVY METAL!!! :twisted:



















Or would tele-tubbies be better? :lol:
 
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