Retail Residual Income – Are You Overlooking this Lucrative Profit Center?
Retail Residual Income doesn’t seem to be talked about much these days. But in the past, developing some retail business was a stepping stone to building a profitable and successful MLM business. It was always recommended that you develop some retail customers then ask them for retail referrals and along the way you asked everyone if they would be interested in looking at the business. This works because people who use and love the products often become some of the best distributors because they have developed more of an attachment to the products and the business. They are not in it for just the money with no regard to what they are selling. That’s just one of the advantages of developing a list of retail customers. When they become a distributor, they tend to stick with it, developing retail customers of their own.
Another thing that was always taught was that if you were leading with the business and the prospect said “NO”, then you asked them if they would like to try some of the products and possibly become a retail customer. You just don’t see as much of this as you used to. There are several reasons for this. One reason is that many distributors have never been taught to do this and never thought about doing it themselves. Others don’t want to be bothered with retail sales because they think it won’t be profitable enough or will take up too much of their time. Some companies have made it almost impossible to retail products by selling only to members and only at full retail with all profits and commission being paid later. In that case you must encourage prospects to join your company or they won’t be able to buy your products at all.
One of the frustrations and problems that every MLM/Network Marketer has is that not everyone wants to join their opportunity. And many of them don’t want anything to do with any type of business opportunity. So what do you do with them?
Sell them your products!
Of course, you must have a product that they would want to buy, that is priced right and that they would reuse. Unfortunately, this disqualifies many of the products that are sold through MLM/Network Marketing today. I’ll go into this more deeply in a future blog post.
If you have the right type of products it is very simple to set up an email list of your retail customers and send them occasional emails reminding them to buy, giving them new tips for using the products, and notifying them when their favorite products are on sale.
The key is to set up a system that takes up the least amount of your time and gives you the most profit.
For example, you don’t want to be running around town delivering orders. That just takes too much time and the costs of running around town eat into your profits.
The only people that you may consider delivering to are people that you see on a regular basis such as your family, friends and coworkers.
For everyone else, charge a shipping fee for smaller orders and ship or dropship their orders to them. Offer them free shipping and maybe even a small discount if they place larger orders. If customers regularly use certain products, they will gladly place larger orders for the savings because they know that they will be using the products.
As the number of customers grows, you will start to develop a Retail Residual Income that steadily continues to grow over time.
I started developing a customer list long before I understood the power of email. Originally, I would send out catalogs and take orders by phone and mail. I have customers who have been placing orders with me for over 20 years. I have not spoken with or ever met most of these people. With the email system I have set up, it is simple for them to place an order with me. And I hardly ever touch the products that my customers order from me because I have almost every order dropshipped to them.
In fact, I now earn more strictly Retail Residual Income than most MLM/Network Marketers in their entire business.
Another Benefit of Retail Residual Income
This whole concept and system is easy to grasp for most people so new people can get it started and get results faster than a lot of other methods currently being taught to build MLM/Network Marketing businesses. Because more products are being sold, more profits are being made. Everyone is happier! And happier, more profitable distributors stick around.
If you would like to learn more of the specifics of how I build Retail Residual Income, send me an email. I would be happy to share exactly how I do it and possibly help you adapt it to your business.
If you got value from this, subscribe above and to the right so you’ll be notified when new blogs are posted.
P.S. If you would like to take a FREE 30 DAY TEST DRIVE with what I call “The Swiss Army Knife of MLM Business Building Tools”, Click Here for Access