Does High Probability Selling work with Network Marketing? Does High Probability Selling work with Multi-Level Marketing? What’s the difference?
I believe that High Probability Selling (HPS) should work with Network Marketing, when it is only used to sell a product or a service, and when several other conditions are met (see below). However, I haven’t yet seen any examples, good or bad, where those other conditions have been met.
Jacques Werth believes that HPS will not work at all with Multi-Level Marketing (MLM), based on his own experience. He trained a number of people in one of these organizations how to use HPS. It was very successful in increasing product sales, but it was not successful in meeting the organization’s other objectives. Ultimately, I suspect there was a problem with transparency.
Network Marketing and Multi-Level Marketing are similar to each other in that they both use a large number of agents (that are not employees) to do a combination of marketing and selling. The main difference between them is that the Multi-Level Marketing is built on multiple levels of agents, where agents who are higher up in the structure collect money from those who are lower. In Network Marketing, when all agents are at the same level, the agents make money only when they sell a product or service.
Tony Shays presents a very clear distinction between Network Marketing and Multi-Level Marketing in his article “What Is the Difference Between Network Marketing and Multi-Level Marketing?”
In any system, the methods of High Probability Selling work best when the following conditions are met:
- Clarity. What the buyer gets must be extremely clear and definite. Simple to explain.
- Transparency. Potential negatives must be at least as visible as the potential positives. The whole deal must be visible. Full disclosure.
- Honesty. If the salesperson needs to deceive someone in order to make a sale, even by just a little bit or by omission, then HPS will not help.
- Reputation. If the organization has a poor reputation, which can happen when some of its agents sell by misleading customers, then High Probability Selling probably won’t work.
- Know How. You have to know how to find people who want what you are selling, for their own reasons and in their own time. You also have to know how to interact with these special people, in ways that are extremely different from the norm. A good place to start is by reading the book, High Probability Selling by Jacques Werth and Nicholas Ruben (can be purchased here). After that, we also offer training.
If your Network Marketing or Multi-Level Marketing system meets the conditions above, then High Probability Selling might work for you.
Questions and comments are welcome. I will respond to as many as I can. – Carl Ingalls
Upcoming HPS Workshops:
Chapter 12 Explained (15 Nov or 13 Dec, $45); Getting Personal (6-20 Dec, $245); Prospecting (Jan-Feb 2017)