Saturday, November 13, 2010

Retailing to Residual Income in MLM

By Rob Wynkoop

The Ximo Golden Ephedra drink is a highly retailable product. Because of this, it enables individuals a great opportunity to fund their business as they go. Using this simple game plan, a new distributor can build a strong residual income in a few years of hard work and dedication.

Step 1 – Sign-up yourself and order a minimum product shipment. Put yourself on autoship for at least $120 worth of product. The more product you have (within reason) the more likely you'll share it and sell it.

Step 2 – Order a shipment capable of retailing to the public at a local market or bazaar. For your first time, I suggest you investigate which venue in your area has the MOST traffic. Find out what it will cost to set up there. Then decide what you will price your product at. Take your profit estimations ($2,3, or $4 per bottle) and determine how many bottles you would need to sell to BREAK EVEN. If it takes you 30 bottles to break even, then I suggest you order a 48 pk. That leaves you with a portion to sample out for free and enough bottles to sell for a profit to break even with.
As you gain experience, you can begin to add more product and start looking to increase profit, but this method will allow you to get your product in the hands of others without risking having a lot of unsold product left over.
Step 3 – Order free business cards online. This will take about 3 weeks to arrive, but you get 250 cards for about $4 total. Vistaprint is a good choice. On your cards state that you are the local Ximo distributor, put your name, phone number and Ximo website address.

Step 3 – Set up at a flea market or swap meet and sell for a weekend. Since you’ve got your Ximo liquid shipment, you should sample it out.

Sampling Ximo - Using 3 oz Dixie Cups, pour customers a full serving of the liquid and have them sample it. Make sure you “manage” the experience – as they begin to taste the product explain to them that in about 10 minutes they will begin to feel a rush of energy. This will be sustained energy with no crash because the product contains no sugar. Explain to them the product will work for them if they start to feel a warm feeling over their body, a heightened sense of alertness. Also if they feel more thirsty or get an urge to urinate more frequently they will know their body reacts well to Ephedra. Before they leave your booth or table, ask them “Would you like to take a bottle or two home with you today? You can try it for a week for $X amount of dollars.” Then you sell them 2 bottles. If they say they would like to wait and see how it affects them, then hand them your business card and say “once you feel the effects, come back and pick up a bottle before you leave. Take my card in case you forget – you can order some directly from my website listed on this card.”

If you sample the product – everyone gets a business card. If they purchase the product you explain to them that they can reorder the product direct from your website and that they can also get a discount by the case online.
Obviously giving away full serving samples is not free for you, but if you’re a decent sales person you should be able to recoup your free samples from your profits and come away with a few extra dollars for yourself. Don’t expect to turn a huge profit immediately. Your goal is residual wealth in MLM, so you must think long term. Another great idea is to have a them leave their contact information in exchange for a free drawing or have a “mailing-list” set up for people to write down their info. Data is crucial in this business and free data is worth its weight in gold.

Any time a prospective customer can sample your product in a full serving and feel the ephedra effect, you have the potential to create a long-term, loyal customer. Gaining lots of long-term, loyal customers are how you build your residual wealth.
Your flea market is over. Hopefully you’ve introduced Ximo to many new customers and potential customers. Expect 1-2 people to reorder a case of the product when their “trial” purchases of 1-2 bottles are gone. Rinse and repeat. In my area, the “Big Flea Market” only happens once a month, so do this every month or as often as you can. If every month you do this and gain 2-3 customers while breaking even or profiting a bit, your business begins snowballing.

Step 4 – Open a free checking account and put your profits and recouped capital from your flea market sales in the bank. This is important. You’re starting a real business and you need to keep this money separate from your personal bank account. This will also be helpful for your tax purposes next year.

Step 5 – Order some more products if you’re out. And always keep a few bottles handy. As you go throughout your day, sample the product to as many people as you can. Hand out those business cards and be on the lookout for other low-cost opportunities to set up and sample your product to others.

You should include your business card and design an advertisement or brochure that tells people about the product, shows them where to go to reorder it and also mention that opportunities are available to earn the product for free. You can call it an affiliate program, referral program or business opportunity. Make it your own, but provide the opportunity for them to arrive at your website. If you’re going to promote the business opportunity alongside your samples, I highly suggest you create a capture page to get your customers contact information.

Doing these 5 steps will help you retail your way to a residual income with Ximo. Once you’ve mastered this approach, you can begin to incorporate new strategies to build your business. As you go throughout the process of building wealth in network marketing, I encourage you to use the snowball method. A snowball gets bigger as it rolls along and picks up more snow along the way. It takes time and gradually increases to be bigger and bigger. If you’ve been using the above methods for a few months and have been depositing your capital and profits into your dedicated bank account then you might take a small portion of the profit and try something new.

For example, you might take a portion and take out some form of advertisement. If you run an ad and drum up enough new customers to cover the cost for it, re-run it. Each time, take the monthly profits of your new enrollments and add them to the advertising budget. When you can afford to move to a larger, more visible ad give it a try. Rinse and repeat, but continue to reinvest your profits into your business either by purchasing more product to sample out of by purchasing advertising in some fashion. The key is to keep business money in the business account flowing through your system for finding prospects and turning them into either customers or distributors.

As you use these methods, you will see your team grow person by person, month by month. Don’t get to ahead of yourself, but focus on the end goal of a monthly residual income. Share this plan with all new distributors and help them duplicate the “retail to residual” plan.

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