Why Use An MLM Lead Generation Company?

Tuesday, August 9th, 2011 at 11:10 am

Why Use An MLM Lead Generation Company?

An MLM lead generation company may or may not be a new concept for you. For those that are not familiar with the term, let me paint a quick picture for you to put this blog post into perspective. Traditionally a network marketer begins their MLM business with the following set of instructions: ”Write down the names of 100 people you know and contact those people about your business.” One of two things happens at this point. First, the person never makes their list and never talks to anyone about their business. In the second scenario, the individual contacts their list and comes to the place where they no longer have a warm market to talk to. Scenario one is a lost cause from the beginning, because the individual is not truly committed to building their business; however, scenario two is an entirely different story and this is where the value of an MLM lead generation company comes into play.

What Does An MLM Lead Generation Company Do?

An MLM lead generation company provides methods for a network marketer to move beyond their warm market in their efforts to locate new customers and prospects. There are two basic types of lead generation companies. The first type of company is provider of leads. These leads are generally advertised as being “pre-qualified” towards you particular niche. This type of company sells lists of leads to the marketer, who in turn uses this list to make phone and email solicitations regarding their particular product or opportunity. These lists are sometimes called “genealogy lists”, since they have been developed from the roster of now defunct MLM companies. Although these leads have shown previous interest in network marketing, they tend to be difficult to work, because those on the list are not generally seeking a new opportunity at the time.

The second type of MLM lead generation company provides the network marketer with resources and training that allows the marketer to develop their own leads. My Lead System Pro is probably the most well known of these companies. In this type of lead generation system, the network marketer uses the tools provided by the company to brand themselves in the marketplace by offering valuable content, which is most often some type of training. When a prospect requests access to that training, they become a lead for the network marketer.

Which Type Of MLM Lead Generation Company Is Better?

Since either variation of an MLM lead generation company will produce leads, the question becomes: ”Which one is better?” The answer really comes down to a matter of perspective. A company that provides you with pre-selected leads certainly takes some of the work out of the front end; however, it will cost money to acquire those leads. Typically the higher quality the lead source, the more money it will take to acquire those leads. In addition to the front end cost, one has to consider the time and effort it will take to work those leads. This requires that the network marketer not be afraid to cold call and that they learn to handle rejection over the phone. These leads are often very similar to working a completely cold market, because they did not seek you out.

An MLM lead generation company like MLSP will not simply hand you a set of leads; however, they can teach you to generate leads for yourself that are warm market leads. In addition to developing a list of individuals who are actively seeking information on network marketing related topics, those individuals have basic familiarity with you, since they will become a lead through your branded website. While the need to communicate with those leads by phone and email still remains, this is a much simpler conversation, because they came to you first.

In either case, leads are the lifeblood of any business and the use of an MLM lead generation company is a prudent step for anyone serious about building their business for the long term.