Network Marketing Scams & Deception Avoidance Tips

While doing your research on MLM in the Investigate phase of your decision process or choosing which MLM you want to join in the Analyze phase you want to always keep a critical eye out for deception.



The "Budget" Network Marketing scam

Technically this isn’t a scam per say however you will find many MLM’ish systems out there that are nothing but the bare bones of a MLM for legal purposes. Often they will advertise through spam, have exaggerated titles like, “Super Millionaire Maker System” and attempt to draw you into getting involved without actually knowing what it is you are going to be doing or selling. Often you are simply selling the “Millionaire System” itself and an e-book or two for $15 each. Hardly a high quality product.

The Faux Recommendation

One of the more devious Network Marketing scams you need to be on the watch for, often coupled with The Budget MLM is a faux third party recommendation site. When you decide to do research on the “opportunity” you will actually find sites that portray themselves as independent third-parties who test work-from-home systems and will offer their “recommendations” based on personal experience.

The “Legitimate MLM is a Scam” Scam

There is always someone looking to capitalize on other peoples work. Whenever you look up any legitimate MLM company you will find “scam alerts” for that company. Many of these are simply advertisements to work for someone else or even someone within that company attempting to get you to work with them. The idea is, if you are thinking about getting in involved with MLM “A” and are doing research on MLM “A” and I place an Ad saying it is a scam you will want to know what I have to say. Once on my page I will now try to convince you to get involved with the company but with me versus whoever introduced you to the opportunity.

The “System” for the Struggling MLM’er Scam

This Network Marketing scams target market is the struggling MLM’er. Praying on those who have already gotten involved with MLM but have not figured out how to succeed the latest trend is to create a “system” that will guarantee MLM success. Although these systems look awesome the problem is the same as the one you are currently in. Everyone who gets into the system gets an identical “system” of websites, advertisements etc… You then end up where you started…invisible on the web.

The “Giving Away the Secret” Scam

This one is genius and I personally love these. Saying it is a scam might be going too far. These guys do provide real value to the struggling MLM’er by providing free training and insight. My issue with this is simply that they provide a piece of the puzzle and act like they have given you something far more valuable. The second issue I have is that they are usually trying to get you involved with one of the scam’ish stuff above.

My Tips to Avoid Network Marketing Scams

• Make sure you know the history of the organization you are thinking about joining. Do business with an organization you can trust, with a real history and products you can get behind.
• Thoroughly explore their website. Can you even find it or are you just redirected to one sales pitch after another? A legitimate business opportunity will have a legitimate site to explore. This keeps them legally accountable for their actions.
• Know what you are selling. Many “opportunities” will suck you in with promises of automated systems generating huge income but ask yourself, what am I selling? Would I buy it if I didn’t want to get involved in Network Marketing?
• Take a nap. I love reading marketing material so much so I will buy things I know is a gimmick just to see what it is all about. To avoid spending too much money on this stuff I take a nap. The point is to give it time. If you think you found something amazing then it can wait until tomorrow when you have had a chance to think it through.
• Have a critical eye out for lies by omission. Giving you one small piece of an equation and claiming it to be the secret to success is a common strategy.
• If it came to you through spam chances are you are not dealing with an ethical individual.
• Beware of promises of large sums of income. Truth is even in the best company the average income is next to nothing. That’s not to say this is what you will make if you apply yourself but the average person does not make it in the industry.