There are few business opportunities today that allow the average individual the power of Metcalfe’s Law except Network Marketing. The theory of computer network growth, Metcalfe’s Law states that the economic value of a network grows as the square of the number of its users increase. Metcalfe’s Law is often cited as an explanation for the rapid growth of the Internet today and can be used to explain the rising wave of information technology that we are riding in the 21st Century. However, even with this knowledge, it can be difficult to convince others of Network Marketing’s power due to its virtual cyber status.
The average person’s view of “Network Marketing” or MLM could still be that of a pyramid–far from what Network Marketing truly is and an important subject to address in your Network Marketing Training.
As a Networker who desires success and all the benefits of the industry, your first job is to duplicate yourself. The almost magical results of a good compensation plan begin with you cloning yourself and your efforts with another person. This is when you will start to see the power of duplication and grow exponentially experiencing firsthand Metcalfe’s Law.
Robert Metcalfe co-invented the Ethernet in 1973 and is credited for defining Metcalfe’s Law in 1980. Metcalfe’s Law definition is a Network’s Economic Value = Number of Users, squared. For example, Facebook with only one registered user was essentially useless. When 100 users signed up, however, it became more attractive and beneficial for each individual user. Then, when a 1,000 people opted in, it became even better. Facebook is literally a story of the “more the merrier” as the site becomes more useful, enjoyable, and valuable.
Using the Power of Metcalfe’s Law not only as a tool to define the industry’s business model, but to also show how one’s efforts can be exponentially multiplied, is a smart strategy that your prospects can relate to and understand in your Network Marketing Training. This will also better explain how that first commission of $2.34 that you earned in your first month with Amway grew into a residual check of $1,000s of dollars – each and every month.
Using good business logic is a great tool to get a prospect to become an affiliate. Just remember your best mlm training will teach you that the magic doesn’t start until you are able to clone yourself and your efforts. A system to attract prospects while it educates you on different skill-sets that you can share with your group is part of your own ongoing network marketing training.