Over the years I have had multiple conversations with very intelligent people on this topic, and not once have we been able to come to an acceptable decision on how, or why this happened.

It seems that all of the sudden one company decides we should enroll all customers as wholesale buyers, since we aren’t teaching people how to build a retail customer base anyway, and before you know it, the Idea of making true retail profits vanished from the industry.

Just another case of the blind leading the blind with total disregard to negative impact it has had on the industry as a whole.  The market understand buy wholesale, sale retail!  What are we thinking? Oh yeah, how can we do this quicker, faster, and easier?  For some reason a 3-5 game plan to financial independence wasn’t good enough?








This article was written back in 1998 at a time when people like Dr. Campbell, myself, Len Clements, Mark Yarnell, and may others were trying to restore sanity to the industry and get back to the foundations that created such massive world wide growth to begin with.

As I have shared many times since then on our podcast and in the free training A Critical Message to Network Marketing Professionals.

When a movement gets away from its core fundamentals there is always unintended consequences' Click To Tweet

So I thought this may be a good time to share the original article by Dr. Campbell, and I hope you will forward to leaders, upline, or corporate officials that need to read it!



What ever happened to Retail
in Network Marketing?

Dr. Kevin Campbell


Back in 1975 when I first began my love affair with network marketing, I was taught to develop retail customers first, before looking to sponsor distributors. Now, 23 years later, I see a trend away from retail and more towards a wholesale user philosophy.


I think this may be the number one reason why the majority of people who join an MLM company drop out within their first 90 days. They have been set up to fail before they ever get started. Developing ten or more retail customers is the first real WIN a new distributor will experience.


Retailing will also provide that first initial cash flow so vital in the motivation of the new distributor. Most of the new companies in this industry are so focused on teaching their distributors how to recruit new distributors, they are actually putting the cart before the horse and sentencing their new distributors to almost certain failure.







Industry leaders Don Failla, Dale Calvert, and Joe Schroeder all preach the importance of developing  friend customers. The new distributor must understand that your friends are much more responsive to products than the opportunity. If you want to watch a new distributor get destroyed, have them talk business to his family.


Teach your new distributors to develop friend customers first. From these friend customers, ask the famous third party a question made famous by Don Failla “Who do you know that might be interested in making extra money?” Use your friends to refer potential new distributors who are strangers to you. Many times in this interaction, the friend customer shows interest in the business as well. Teach every new distributor how to develop friend customers first and you will build an organization that will last.

Any organization that last, isn’t that what we all really want?



Learn as much as you can about this industry and share what you learn with your new people. Become a mentor to your organization and you will have unlimited success in network marketing. Dr. Kevin Campbell is a 23-year Network Marketing consultant, author and lecturer.


He is a member of the MLMIA and former consultant to the Direct Marketing Association. He may be contacted at PO Box 26552, Prescott Valley, AZ 86312. Phone (619) 824-3506.


With the recent crackdown on MLM companies who focus on signing distributors to be wholesale product buyers, instead of retail product movers, it is more important than ever to learn how to develop friend customers as the foundation of your business. This one concept alone will double or even triple your sales volume almost overnight.


The questions to ask yourself are:


1) Would you rather have 1,000 distributors buying $100 at wholesale for themselves, or 100 distributors each moving $1,000 in product monthly?


2) Which is easier to attain?


3) Which one offers retail profits to each distributor thus locking them into your compensation plan long term?


Money ‘N Profits Magazine, May 1998 Editors Note: As I teach in our How to Create Online MLM Leads Course, I believe that every distributor should have two websites; one designed to prospect and capture leads that are available here:


www.Movie.Tip4Success.com and one to Sell your Primary Product or Service online as taught here www.GuruMarlon.com.


For the most part self-replicated corporate sites are a waste of time and advertising dollars. They are designed more for distributor education than prospecting and selling products. Since the evolution of the Internet there are many distributors from multiple companies making thousands of dollars monthly marketing their companies most popular PRODUCT on and offline


This article is part of TopMLMTrainingArticles.com



So my position is, and always has been. If the lack of a retail opportunity is the number one reason people drop out in 90 days, and the companies are not going to support us in our initial retail activities the smart move is to do it ourselves.


We have coaching clients and students all over the world who have taken this position.  They are set up to take credit cards on their phone, and following this retail to recruit system, they mail or deliver their buyers first two orders before eventually sharing with them the entire story and registering them as a wholesale buyer or distributor.

This article is part of the free PDF The Top MLM Training Articles in Network Marketing History, available at TOP MLM TRAINING ARTICLES











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