No because monthly minimum orders have simply been replaced by monthly online access subscriptions which offer far greater profit margins than lipstick and pills.
A hmmmmmm question on MLM
- Thread starter Cornelius
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Sold......to whom........specifically?
"Ray, I noticed you're the only one on the team that hasn't bought a convention ticket yet? Remember, in order to lead, it's critical to your success to lead by example". Now Ray, are you being forced to buy that ticket??
- Thread starter
- #44
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Yes some did and still do. At its core it still comes down to selling insurance and most people just don't like to sell.
You mean the trains that Hubert Humphrey worked on, prior to his Primerica days, when he also had a side gig with Amway's MLM system, which he introduced into AL Williams, and soon had over 50,000 downlines and $3M in annual earnings, before leaving (with 24 of his top people) to start up Alexander (later WFG)?
Some rare exceptions do, less than 1/10th of 1%, but not all of those earnings are strictly from selling insurance and investments.
- Thread starter
- #47
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Toolbelt the discussion isn't about one person. It's about the impact on the industry as a whole.
As I recall it was the mutual carriers that had difficulty offering UL plans. It was about that time that mutual's demutualized and or formed stock subsidiaries. Mutual of New York formed MONY Life of America about that time. I think they demutualized a few years later.
Those that were good at selling the dream and recruiting did. Never heard of anyone getting rich there from personal production.
You can say the same for Amway, Excel, ACN, Herbalife and all the others.
Amway is privately held.
Many of the other large MLM's are publicly held.
In 2010 according to Business Insider the average rep made $5k.
Meet Primerica, The New Wall Street IPO That's Really A Multi-Level Marketing Scheme
My son worked in their home office a few years ago as a security engineer. He talked about the mandatory sales meetings agents had to attend at their own expense. The HO lobby is a tribute to high earners.
This statement on the Primerica site states the average comp is $6k. Considering they have about 100,000 agents that means half earn less than $6k.
Then why did you even mention the MLM business in your title? If you wanted the focus to be on the impact ALW and PFS had on the term life insurance business you should have titled it differently.
Your title took the thread down a different path.
But to answer your question, then yes. The heavy promotion of term insurance (albeit OVERPRICED) by the ALW crew did cause the life insurance industry to develop competitive term plans especially fixed term policies. Most of the term insurance offered in the 70's was YRT or decreasing term (usually a rider to WL).
That changed as ALW as a company grew in the market place.
That’s funny, I get paid every day and I have no one under me.
