3 Tips To Creating A MLM Pay Plan That Goes ViralPosted by naxumadmin / September 11, 2015
Many people have differing goals in mind when starting a network marketing company or a direct sales company. Some people want to change the world with their product, and others want to provide a more innovative service to their customers.
One goal all referral-marketing companies can agree on is that each and every one of them would love for their company to go viral!
noun: an image, video, advertisement, etc., that is circulated rapidly on the Internet.
To accomplish this viral momentum in a company, there are 3 rules to be followed as best practices:
#1 Make It Easy To Share
What is the process of referring others to your company? How simple is your process for the members to grow your business?
There are 4 steps to the sales process of any referral marketing company.
1) Members must connect with contacts.
2) Share the story of your product or service.
3) Ask for the order to close the sale,
4) Train new team members to repeat the process.
At our company, Naxum, we call this process the Simple-Share-Cycle. Here are three examples of how we like to help your members get people into your sales process.
To make it easy to share on the front-end, many times we will build our clients a done-for-you social media sharing engine on the company blog. This way, the affiliates can simply click and share content to their favorite social network and get notified when their friends are interested.
Does your product lend itself to a demonstration or sampling? Then a sampling program could be the right fit for you. Link the act of giving a sample to a member with an email auto responder campaign with notifications back to your member to prompt them to follow up for best results.
Have you ever shared a video with a friend? Video email is an easy way for your members to virally get the word out about your product and service. With the right system, you can send it from wherever you are and can be notified when your new prospect watches it! This empowers the members to easily share your product and services with others.
#2 Reward Customers To Share
When you create a referral-marketing program at your company, do not leave the customers behind. Many companies focus on referrals from the affiliates only and miss the boat on the customer referrals in a platform.
Create a reward outside of the compensation plan as an incentive for the customers to refer you new business. The reward could be a free product, a discount, or even a gift card. Having the reward in place allows you to motivate all of your raving fans to connect you with more customers!
#3 Create An Incentive For Each Specific Behavior You Require From Your Affiliate
What activities are you counting on your sales force for? Some of these items may include:
- Recruiting customers
- Recruiting new sales affiliates
- Maintaining customers
- Mentoring new sales affiliates
When you think about the culture of your company, what does this look like? I’m sure you can list out 5-10 activities right now that you would like each of your sales affiliates to be doing.
How can you reward them to do those specific activities? That is the basic question of every compensation plan.
Let me give you an example:
Let’s say your goal is for them to get 2 new customers and 2 new sales affiliates, who are also product purchasers, in the first 15 days of their business.
1) You could begin the plan by creating a fast-start commission that is triggered whenever they sell their first 2 customers and sell their first 2 product packs to distributors.
2) You could then double that commission if they do it in 15 days, so there is an extra incentive for them to do it fast.
3) Take this one step further and create a reward for their sponsor every time he or she has a personally enrolled distributor who accomplishes the task in less then 15 days.
If you had bonus structures like this, you would see the behavior of selling new product packs to affiliates and new customers all the time. This would be the type of culture you would have.
This is just one example of how to use compensation to drive behavior. There are many more strategies to reward on-going purchases, leadership, and mentorship from the affiliate force that are all available to you based on the type of rewards you put in place.
Have a system that rewards selling product quickly and helping new affiliates sell product is a key to any viral strategy.