"HOW TO BUILD YOUR CONSUMER GROUP"
                        By Randy Gage
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My guess is, there's no reason to introduce Mr. Randy Gage. I am, however, thrilled to introduce his new book How To Build a Multi-Level Money Machine. I recommend the whole book, but first, check out this excerpt on how to build your consumer group.

We all know it's a good idea to have a retail component to our businesses...and even more importantly, you may be missing out on one of the best possible ways to give everyone in your group a serious "raise."

In this training, Randy tells you how to simply and effectively increase your income by retailing.

Of all the marketing strategies I teach...the way you acquire retail customers seems to be most difficult for people to understand.

That's because it's kind of ironic, but I want you to get your retail customers as a result of the people who choose not to do the business.

In other words, I don't want you to build your business in the way most people do...which is to initially sell products to customers...and then try to upgrade them into the business. Instead, I want you to offer your entire opportunity...business, lifestyle and products... and then let the prospect downgrade if they are only interested in simply becoming a customer.

Having retail customers is what PREVENTS the program from becoming an illegal, closed system.

Retail customers are one of the things that separates legitimate Network Marketing from pyramid schemes.

This approach is radically different than what you may be used to, but it will cause a dramatic increase in the speed by which you build your business.

Here's why:

If you sell products first...then go back to introduce the business to these same people...the 90 percent who are non-sales types will not want to get involved.
Because of the way you introduced the business...selling products first...most of these people will perceive it as a knocking-on-doors sales business, which they don't want to do.

The ironic thing is that many of these non-sales types would be great for the business. But, because of the way it was initially presented, they never realize it.

This is NOT to say that the practice of selling products first and then trying to upgrade customers to the business doesn't work. It does to some extent...

First, the 10 percent who are sales types, if they like the products, will enthusiastically go out and attempt to market them. And, of the 90 percent who are non-sales types, a certain percentage of them will be so impressed with the product results that they will get over their initial fear and reluctance, and market products.

Most, however, will not. And for the ones that do, you will find this to be a long delayed process. They must try the products, experiencing some kind of "miracle" results, then gradually learn how to market the products to others...This process can take months, or even years.

My experience is that people who build their business by leading with the products - retailing first - take five to eight years to build their businesses up to what I consider a livable income level...

On the other hand, distributors who pre-approach on the opportunity and follow the system outlined in this book can do it in about two years.

NOTE: Please understand. I'm referring to the process of building what we'll later describe as a "big business" model, a multi-level money machine. There will be people who choose the "small business" model, which is simply retailing products to people they know.

I don't mean to denigrate these people by any means. You must appreciate every person in your network, regardless of the size of their business. But building a few-hundred-dollar-a-month incomes retailing products
is neither the focus nor intent of this training lesson .. It's for that reason I'm writing specifically on the strategies necessary to build a LARGE network. Make no mistake. I WANT you to have retail customers...LOTS of them! It's just that I want you to get them from the people who don't become distributors.

There are quite a few good reasons to have a large consumer group...

First, of course, are the legal ones. Having RETAIL customers is what prevents the program from becoming an illegal, closed system. Retail customers are one of the things that separates legitimate Network Marketing from pyramid schemes.

Another good reason is the extra income it generates for you. A great part of the population is not made up of prospects for building a business. Depending on your product, many, many more will be prospects to become customers. You will buy at wholesale and provide it to your customers at retail.

The difference is your retail profit... This profit will especially come in hand in the lean times during the first few months you are starting your business.

Another benefit of having retail customers is that they will oftentimes send you people who will become business-builders. The more happy customers you have out there - the more likely you are to get REFERRALS!

And finally, your retail customers ensure that your personal volume and/or group volume requirements are always met so you qualify for all the appropriate bonuses due you in your company's compensation plan.
So, we know there are lots of good reasons to have a consumer group. Now, let's talk about how to develop one and then how to manage it.

Let's go back to the initial pre-approach step and see how that is managed...

Suppose you ask someone your qualifying question, "Have you ever thought about opening your own business? Do you ever explore ways of increasing your annual income?" etc., and he or she responds negatively. They maintain they're happy with their job and they're making what they are worth. (There are actually a few of these rare creatures around.)

In this case, you would then go to what I call your "turn" question. This is the question that turns the conversation from business to product. If you were in a nutrition program, for example, you might say something like, "I ask because my business is helping people get healthy (or lose weight)...Would you be interested in becoming healthier (burning off excess fat)?"

Or, let's suppose you are in a discount long distance phone service program. Your "turn" question might go something like, "I ask because my business is helping people lower their long distance phone bills. Would you be interested in slashing your phone bill by 40 percent?"

If the prospect responds negatively to both your pre-approach question and your turn question, they simply aren't a prospect for you. BUT... If they  respond positively about the turn questions, this is where you present the information about your products (or make an appointment to do this as soon as possible) Of course, at this stage, you would also present the prospect with the appropriate catalogs, product brochures, videos or audiotapes. By this process, you should be able to get a fair number of retail customers from the prospects who are not interested in building a business.

You can also pick up customers from the prospects who decide they are not interested in joining the business during Steps Two and Three (the Presentation and Follow Up steps). You can do this simply by making a certain statement in their first presentation... At some point, say something to the effect of, "and if you decide not to this, we'd love to have you as a customer."

By your planting this seed early, many of your prospects who drop out of the business-building possibilities will select the retail customer option.

Now, let's look at some tips on MANAGING your Consumer Group...

Your goals are to keep your customer satisfied with superior service; upgrade their usage through education; and to do this without taking away from the time needed to work with your business-builders. Ideally, you want to spend 95 percent of your efforts with builders and manage your consumer group with the remaining five percent.

Let's talk about some specifics...

Even customers who are on the auto-ship program should get a once-a-month phone call just to ensure that everything is satisfactory!

One of the unique benefits you can offer your customers is exemplary customer service. Most everywhere people try to spend their money, they will be confronted with bored order-takers, preoccupied or indifferent clerks, uneducated service people, or downright rude employees.

SHOW YOUR CUSTOMERS YOU ACTUALLY CARE ABOUT THEM!!!

Take a few simple actions to comfort them and they are likely to turn into customers for life.

Sending a thank-you note after receiving their order would be a nice start. If you are delivering the products yourself, open up each box bottle and get the customer to use the products immediately. Go over the product usage instructions completely and make sure your customer fully understands them. DON'T leave until you answer EVERY question they may have. If their products are being shipped from your company, arrange to drop over right after they arrive. If you cannot be there in person, be sure to phone.

There is much to be said about going to the customer's house and opening their products and walking them through the usage instructions. BUT... You'll soon find if you don't do this, you'll have a much higher rate of returns. And when you go to pick up the products, you'll find a lot of people have never even opened the box!

There's bound to be some drop off in excitement, or even buyer's remorse if there's a lag time between the time a prospect orders and then receives his order. If you're over at his house reaffirming the benefits, showing him you care and explaining how to get the best product results, you'll keep this to an absolute minimum.

After this initial order... STAY IN TOUCH WITH YOUR CUSTOMERS!

Maintain accurate records of the business they do with you. If your company has an auto-ship option, get as many of your customers on this as possible. This will ensure they have a steady supply of the products they like, prompt service, and that they will never run out.

Many of today's modern MLM companies have customer-direct programs that ship products directly to the customer, and in some cases, allow them to order direct on a toll-free number. This has greatly reduced the need to carry a large inventory. Nonetheless, you will still find it  helpful to carry a modest inventory.

If your company does not have an auto-ship program, it is your responsibility to call your customers and get their order. Do not EXPECT your customers to call you before they run out... Most will NOT. Then, once they get off your program, their results may suffer and you may lose them.

We do NEED to deal with the question of inventory...

Many of today's modern MLM companies have customer-direct programs that ship products directly to the customer, and in some cases, allow them to order direct on a toll-free number. This has greatly reduced the need to carry a large inventory. Nonetheless, you will still find it helpful to carry a modest inventory. This ensures you have product to compensate for occasional back orders, and allows you to get new customers and distributors started on the products right away.

Okay... Back to more tips on Customer Service...

By keeping good records, you should know when to call them so you can get their order delivered to them before they run out. This is small chore in comparison to losing customer's orders!

Keep them advised of any specific offers and especially NEW PRODUCT introductions. Suggest alternative or complementary products where appropriate.

If any complaints come up, handle them immediately in a courteous manner. If refunds or exchanges are necessary, make them right away.

I must repeat... Even customers who are on the auto-ship program should get a once-a-month phone call just to ensure that everything is satisfactory!

When you see relevant newspaper articles or items that would be of interest to your customers, send them a copy. If your company or sponsorship line puts out a newsletter for customers, send that to them, as well as any new product materials that become available.

When your company introduces new products, be sure to keep your customers informed! In certain cases, it may be appropriate to send your customers a sample. (Check with your sponsor or upline on this.)

Good customer service leads you to your next goal... upgrading your customers usage through education. You will find that the better educated your customers are, the more products or services they will use. This is
where sending out samples, catalogs, newsletters or new marketing materials come into play.

You may find it useful to have a product seminar or open house in your area once a month. This should be coordinated by your upline pin rank distributor. (Check with your sponsor or upline on this.)

Note: These product workshops should be for customers and distributors only. You would not want to bring a brand new prospect who has not seen an opportunity presentation. This would be leading with the product, which would cause the many problems we discussed earlier.

From time to time, your retail customers may refer to you other people who are interested in your products or services. You will want to ask some qualifying questions to these referrals to ensure that they are not interested in the business. This is because it's likely your customer did not tell them that a business option is even available.

There are also two things you need to do for your original customer who made the referral:

1. Be sure to thank them for their thoughtfulness; and, 2. Be sure to again suggest they consider becoming a distributor.

Make sure they understand that there is some referral override income available, and by not being a distributor, they will be passing this up. Don't pressure them. It may be that they are still simply not interested in a business. Just mention the opportunity.

Following these procedures will ensure you a steady supply of new customers and a stable consumer base. Make it a goal to get at least 10 retail customers as quickly as possible.
Just don't confuse them with distributors.

Sponsoring five people who want to be customers will NOT build a large network...only sponsoring business-builders will do this.

You NEED business-builders AND you NEED customers...

Be grateful for both!
 

ABOUT THE TRAINER:

Randy Gage is a true American success story. A high school dropout who began his career as a dishwasher in a pancake house, Randy used hard work and marketing savvy to become a self-made millionaire. Randy made his fortune in the Network Marketing (or Multi-Level Marketing) industry, which he proudly proclaims as "the last bastion left in the free enterprise system where the person without degrees or a big investment can become financially independent."

With almost twenty years of experience, Randy has helped train hundreds of thousands of distributors worldwide reach higher levels of success in Network Marketing through his seminars, training resources and consulting services. Randy Gage is now the Director of the Gage Research & Development Institute in Miami, Florida.