Posts Tagged Reid Nelson

Can’t Become Wealthy in MLM

One of my current prospects sent me a link today to this story about two people who quit Nikken. They feel that it is a myth that people can become financially independent as a Nikken distributor, and it’s Nikken’s fault. I want to address some of their key points.

First, it is very possible to become financially independent with Nikken. I have met a few and know of many more. My local Royal Diamond upline, Jack and Sheri Clarke, then way up at the top of Nikken income earners: Dave Johnson and Reid Nelson. I missed an opportunity to meet Dennis Estes when he was in town last year. The cool thing about these people is that they are just regular people. You would never know that they are wealthy.

They came to 3 conclusions as to why Nikken’s marketing plan doomed them to failure:

  • Nikken does not concern itself with sales but is predominantly interested in the recruitment of people
  • The customers are primarily the Distributors themselves
  • The Nikken products are not officially approved and also expensive. This combination means that the products are very difficult so sell to ordinary consumers.

It is true that Nikken, and all other network marketing companies, are more concerned with recruiting people than with sales. They aren’t in the business of selling their product. That’s what the distributors are in business for. McDonald’s doesn’t sell hamburgers either. They recruit businesspeople who open franchises to sell hamburgers.

It is probably also true that the distributors make up the largest percentage of customers, which is unfortunate. But that isn’t Nikken’s fault. It is the distributor’s job to find customers and sell the product. That’s what a distributor is. Another interesting point here. The same prospect told me that she was talking to other Nikken distributors today about internet marketing. They told her it wasn’t possible to sell Nikken’s products online because they have to be demonstrated first. I haven’t done a product demonstration in years and I am finding more and more customers online all the time.

As for the third conclusion, I think I just partially answered that one. I am selling these products online to regular people every day. $60 for a pair of magnetic insoles that last 10 years looks very inexpensive compared to the $60 shoes that people buy and wear out within 3 years. A $1500 magnetic mattress pad to resolve sleep problems doesn’t sound like much compared to what people are spending on hi-def flat-screen TVs. I’m not sure what they mean by “officially approved” other than by something like the FDA. Vioxx was approved by the FDA. Do I really need to say anything more?

The rest of their gripes apply to all MLM companies, not just Nikken. The problem really comes down to the sponsoring distributors. They are targeting regular people who don’t know what it means to run a business, and then don’t teach them once they are in. If they did, it might be harder to recruit new people but they would get better results from the ones who did join. As a distributor with a network marketing company you are a self-employed business owner. You are also your number one salesperson and your job is two sell two categories of product. One is the actual product or service that the company offers, and the other is the business opportunity. Old-school uplines recruit new people through hype and then teach the new people how to recruit others through hype. Once the hype wears off, chances are that the new distributor will disappear. That’s why most people fail in network marketing and there is such a high turnover.

So, if you are interested in “joining the club”, getting excited, and hyping up rookies, then please find another sponsor. On the other hand, if you are interested in owning your own business, building a team of responsible business owners who want to run a real business selling remarkable products, then I would like to talk to you.

Wayne Woodworth
Self-employed independent Nikken wellness consultant

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Why Are Some MLM Companies Better than Others?

There are tons of new network marketing, or MLM, companies popping up all the time. There are so many new pre-launch opportunities that you can’t possibly keep up with them all. In a few years though, a lot of them will have closed down. It’s just a simple fact that most new businesses fail within the first 5 years or so. Only a few manage to stand up to the test of time and prosper. Why?

For some, the company will just nail the product. It will be the right thing and the timing will be perfect for it. Other companies will have a strong management team that does things right to keep the company going long enough for it to get properly established. The compensation plan will also be important. The people who join a company as distributors have to know that they are taken care of.

I’m with Nikken, a wellness research company originally from Japan that has been in business for more than 30 years. I recently had the opportunity to talk to one of the top earners with Nikken, Reid Nelson. He shared some interesting things about Nikken and the MLM industry in general. For most companies there is a lot of turn-over. People will be with one company for a few years then jump to the next big opportunity then the next. At Nikken people generally stay. Better than 80% of the people who have reached leadership levels in Nikken stay with the company. Reid Nelson has been with Nikken for 19 years. More locally, I’m only 2 steps down from people who have been with Nikken for more than 15 years. Nikken has only been in the United States for 20 years, so they must be doing something right for people to stay this long.

One of the reasons for Nikken’s success that Reid Nelson shared with me was that they attract people who genuinely want to help other people. It isn’t just about chasing the dollars for us. The products, especially the magnetic products, help people live better lives.

Another reason is that it is possible to make a lot of money and save a lot of money with Nikken. If you show commitment to building a Nikken business they will help you cover your two biggest expenses as well as pay you what you earn. Once you reach the Gold rank Nikken will pay for a car (you own the car and they send you a check toward your car payment, so you don’t lose it if you decide to leave. It’s your car). At Platinum, Nikken will begin sending you a check toward your house payment.

Finally, Nikken listens to the distributors. I often hear my upline talk about improvements that they were able to have a hand in because the company listens. You don’t often get that with a lot of companies.

So, if you are tired of jumping from one company to another and are ready to find a place to call home, ask me about Nikken.

Wayne Woodworth
Nikken Wellness Consultant

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