Do You Know Your Network Marketing Numbers?
Do You Know Your Network Marketing Numbers?
We all agree that Network Marketing is a Numbers game right? Cool, read on.
In a conversation recently I was explaining the importance of having and setting goals in order to acquire your dreams.
As you do when explaining things you tend to use examples to get the best picture across the the listeners.
I used myself as an example.
I said for me to acquire X in X time I would need X amount of personal customers. To build a strong productive business I will need X amount of active distributors bringing in X amount of customers and X amount of distributors per month, this would bring me an extra X amount a month.
They were shocked that I knew my network marketing numbers so well.
I was shocked that they had know idea about theirs.
How do you know how much work needs to be done if you don’t know your numbers, surely your just pis*ing in the wind?
They said they just work and deals with what comes in.
Is it just me or is this a little short-sighted.
What if you were doing a full days work and not getting a lead? Then you did this for a whole week and only got one lead. Would this be the rate you set your business work pace at? How long would working like this take you to reach your goal? Would you die first?
I am not a numbers person. I sometimes wish I was more analytical but I’m not. I do however know that in order to reach my goals I have to know exactly what I need to do / achieve in the time span I have set.
Knowing this involves numbers.
“If you do something often enough a ratio tends to appear. Chat to ten get one, chat to ten get one.” Jim Rohn
You have to know how many people you need to chat to to get one. If you don’t know that, well maybe you shouldn’t be in business.
I explained that once you know your numbers you can set your timescales more effectively.
Taking the 10:1 ratio. If you needed 10 customers or distributors you know that you will have to chat to at least 100 people to make this possible.
All you have to do now is figure out how quickly you can chat to 100 people.
If you don’t know your network marketing numbers GET TO KNOW THEM now.
You will find that once you start seeing your own ratios appear they will increase in your favor (assuming you stay active in your business).
“Now when you chat to ten you get two or three…..Why would you be getting two or three now? Because your getting better, and who can get better? ANYBODY” Jim Rohn (again, sorry, couldn’t resist)
Your numbers guide you to what you need to pay more or less attention to in your business. Knowing them well can act as early indicators into your success or your failure.
Do you know your numbers?
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{ 20 comments… read them below or add one }
Twitter: Josh_Garcia
April 20, 2010 at 19:58
Hey Dwayne,
By knowing your numbers. That means you'll know how long it will take you to reach your goals. Having an understanding of this at the beginning it will seem boring if the individual is not analytical. But taking a little time to study the business will pay off down the road.
Chat with you later…
Josh
Hey Dwayne,
This is a good point (and I love the Jim Rohn reference).
For me, the cool part about using the Internet is that it becomes pretty easy to track these numbers (as opposed to magazine or newspaper ads).
Great point about knowing the “Numbers” you'll need to reach your goal. Coincidence, we just had a masterminding session about “Goal Setting” and how very important it is to “Work the Numbers”. They actually made a great point, once you've determined your main goal, work backwards! By backwards, I mean break down every single task down to it's minimal, then work on the small steps that will accumulate to the “BIG GOAL”. (Hope I didn't lose ya!) If we take the time to break down a HUGE task into smaller tasks, the goal doesn't seem as far fetched as we originally thought.
Thanks for yet another great topic Dwayne. Keep 'em coming!
Pablo Gonzalez
Great reference to Jim Rohn.
Having a plan like this laid out is vital to anyone's success. It is often misunderstood what goals really are. However, if someone sets out to reach these goals and stick to it, then they shall reach their mark.
Talk to you later,
Jerome Ratliff
Hey Dwayne,
Good point, need to know the numbers. At first it can seem almost discouraging. I know for me, when I first heard how much volume I'd need to move to reach this goal, and other numbers like that, I wondered how I'd ever do it.
I knew early on that I'd have to work hard to reach my goals, but if I didn't know the numbers I wouldn't have made those extra calls, and contacts. Knowing where you need to be helps you plan on how to get there.
Great post!
Susanna
You're right on here Dwayne. Numbers are key in any business. If you know your conversions, you know how much traffic you need to create in order to get to the income you want.
Eric McMillan
(Ha) – Hey Dwayne, that quote from Jim Rohn has always stuck in my head. Getting your numbers right is so key.
Thanks for this post my friend.
Wayne Vassell, signing out…
Hey Josh.
Numbers rule like it or not. A person who is not checking their numbers won't be winning the game
Hey Derek.
Online is perfect for tracking your success or failure. You can see almost immediately what is working or not working, enabling you to do something about it NOW.
Hey Pablo.
Working backwards is a great idea. That is how I figured out my plan / course towards my goals. Now I know exactly how much I have to do to get what I want
Jim is the man.
Your numbers need to form the bases of your plan. This needs to be understood.
I agree. When the hype has died down and your left looking at what you actually have to achieve it can be daunting. I think this way of thinking could be linked to the get quick rich idea that we all have when we join.
When we get serious and we see that even if it takes 5 years to reach our goals those 5 years are still quicker than working in a full time job for 40+ years and never reaching our goals.
Back to my point. A little bit of discomfort goes a long way
It surprises me that people don't think about this stuff. Its almost scary
Jim has such a simply unique way of getting a powerful message across.
It would be foolish not to share hos quotes.
Dwayne I think for some people not knowing the numbers helps them to fool themselves that their business will take care of itself. When we know our numbers then there can be no excuses because we know it's all up to us.
Cheers
Marcus
~Marcus Baker~
Attraction Marketing Specialist
Hey Marcus.
That is a good point. Not knowing their numbers gives the a (weak) excuse to hide behind ignorance when questioned about why their business is failing. Not a great way to conduct business!
Hey Dwayne
The numbers game!!!
No matter what business you are in, it always comes down to the numbers.
And like you said, “You have to know how many people you need to chat to to get one. If you don’t know that, well maybe you shouldn’t be in business.”
This is a harsh statement, but at the same time a true one.
Thanks for your post Dwayne
Marc Ward
Hey Marc
Good to see you back.
Your right in business we can not escape the numbers, so I say embrace them, learn them and make them work for you.
Hey Dwayne,
So true, like any sales or marketing business It's all about the numbers.
You need to know exactly what you need to meet your goals, and you need to know the conversion percentages.
Thanks,
Matt
Knowing your numbers in your business is like know where the gas and brake peddles are in your car!
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