There’s a lot of talk out there in Network Marketing land about Multiple Streams of Income, i.e. joining more than one company and building them all so that if one fails, the other one will pick up the slack. In theory the idea sounds good. In reality, it just doesn’t work.

Michael Dlouhy, the author of Success in 10 Steps says,

The vast majority of network marketers who get convinced of the brilliance of the idea that they need multiple streams of income wind up instead with multiple streams of outgo!
When you promote a smorgasbord of opportunities, you undermine your network.

When you try to appeal to everybody with your multiple streams of products & services, smart people will not take you seriously. And why should they? You have no identity in their mind.
Result?

No trust. No loyalty. No network. Your people are easy targets for some narrowly focused networker.

You waste time & money searching for more opportunities to create your multiple streams. But loss of focus = loss of power.

You ruin your quality perception, because, to consumers, specializing = quality.

Think about your credibility. If you have to work 2 or 3 businesses, your prospects will think that none of them are enough. And they get turned off with by the fact that they don’t know whether they can build 1 business, let alone 2 or 3!!

You see, unconsciously, you’re sending signals to your prospects by every action you take. Your prospect is constantly evaluating what you do, to see if they can do the same thing. So by trying to build multiple businesses, what exactly are you telling your prospects?

To quote Michael again,

Given your skills, your knowledge, your time, your resources … and most of all, your results so far … are you better off focusing on one big profit center? Or are you better off sifting through (and spending money promoting) a ton of affiliate programs to find a few that work well? Only YOU can answer that question.

I also think there’s confusion as to what Multiple Streams of Income means. I believe it ties in with the word, Diversification. Like when you’re investing in the stock market, you want to diversify your investments.

In order to diversify your investments, you invest in different sectors like Energy, Technology, Industrials, Basic Materials or Telecommunications. When one sector is doing bad, the others pick up the slack.

In our example of joining 2 or 3 Network Marketing companies, it would be like investing everything in one sector, but just with different companies. That is not diversification. That’s putting all your eggs in one basket. That’s a recipe for disaster!

If you want multiple streams of income, build a Network Marketing Business, along with investing in Stocks and Bonds, along with investing in Real Estate. AKA Different Sectors. THAT will give you true Diversification and Multiple Streams of Income.

So let’s go back to Network Marketing. You’re far better off doing your research and picking a good 5-Pillar Company and focusing all your efforts in building that. To learn how to ask the right questions and more about what makes up a 5-Pillar Company, start with Michael Dlouhy’s eBook Success in 10 Steps. Most people that read the eBook, save themselves years of failure and frustration. I know it will for you too.

To Your Success, Because Your Success Matters!

David Haines
(215) 268-6696 Anytime!