One of the most common ways people get lured into making money online is by discovering an affiliate or MLM (multi-level marketing) “make-money-online” program.
Usually, they promise lucrative profits if you promote a pre-created, turnkey website and get other people to join the program and/or buy certain products.
YTB.com and SixFigureIncome.com are two programs that come to mind, but there are many more.
One major flaw with these programs is they don’t tell you that in order to make money you are going to have to drive thousands of targeted visitors to your site per day.
Not an easy task for someone who has never marketed anything online before.
Also, it’s difficult to convince total strangers to pay their money for a program that does not guarantee a return on their investment.
People are incredibly skeptical about programs that ask for upfront money in order to make money (and they should be), so immediately the cards are stacked against you.
Just because the company has provided you with your own turnkey website, that doesn’t mean you are any closer to striking gold. In fact, they are leading you into a false sense of hope and security.
Here are more reasons to avoid the “Make Money Online” niche…
How can you expect people to trust you if you aren’t making money yourself?
People who make a lot of money online have spent years building credibility from an audience who trusts them.
They do that by providing useful advice that actually helps their audience. Over time, they develop large mailing lists, faithful blog subscribers and/or loyal website visitors.
When you do this, it’s much easier to make money online because when you recommend a product or service, that credibility you’ve earned now works in your favor.
Your audience trusts you and they are more likely to buy something you recommend.
People often believe that the best way to make money online is to join a program that teaches others how to make money. When that’s probably one of the worst niches (unless you are really making a lot yourself and you can help others succeed.)
The reality is, you begin living a lie. You’re encouraging people to fork over money for a chance at making money when you don’t fully believe or know how to master this program yourself.
So you end up recruiting more people who recruit more people who recruit more people on the hopes of getting rich someday.
The replicated, turnkey website you receive does you no favors.
The problem with those pre-created websites that you receive is they are not unique.
Search engines like Google, Yahoo, etc. are now smart enough to realize it’s just a duplicate of the other 180,000+ member sites in the program.
So reeling in all that free, targeted traffic like Webmasters who have their own domains with unique content will be next to impossible.
The money making niche is too saturated.
Type make money in Google and look at the total number of results on the top right-hand side. That number right there should be enough to scare you away.
The topic is saturated to no end so getting found, even if you had your own domain name, is a very tall task.
It can’t be any fun.
How boring it must be to promote a program on how to make money when your income is $0. Suddenly this is turning into a discouraging task with no reward.
People who are successful online enjoy themselves. They know a lot about their niche and it’s evident by reading their sites that they know what they’re talking about.
Their sites have personality and appear to have a real person behind them who is engaged in the topic.
Compare that to your anonymous, money making site, with its impersonal, over-hyped content written by the creator of the company (who, by the way, is the real beneficiary of programs like this.)
One of the joys of owning 2CreateAWebSite.com is when I learn how to do something new, I write content to help my audience learn too. Knowing I am helping thousands of people all over the world is quite fulfilling.
It’s also clear to my audience I am living what I write about so it helps build credibility.
Your income often depends on the success of others
One of the traps with these programs is the multi-level or tiered factor. If you sign up people who then sign up people who then sign up even more people, etc. multiplies your income.
Sounds great right?
The problem is 99.99% of people who join these programs never sign up a single soul. So don’t get too comfortable, expecting your downline to make you rich because chances are, they are running into the same roadblocks as you.
There Are Always Exceptions
I don’t want to imply that no one ever makes money from these kinds of programs. A few people do, but they are the exception more than the
rule.
Some people are extremely marketing savvy and/or have the initial income to advertise and compete. So of course there are always going to be those select few who do well.
But you should still proceed with caution. Often times companies add fake testimonials to make it look as if there are more successful people than there really are.
Isn’t it funny that no one ever knows any of these people personally? And if that many people are making so much money, why aren’t they featured on the national news more?
Who are those people smiling on the site with the six-figure income totals under their pictures?
And why don’t they ever provide an email address so you can contact them and ask questions?
Hmmmmm……
The Bottom Line
If you want to increase your chance of success online, choose a topic that interests you and build a useful website on that.
Go to www.associateprograms.com and find affiliate programs that match your subject-matter.
While you’re there, subscribe to Allan’s free newsletter and read his archives. There are some very encouraging stories and great lessons.
You don’t have to promote “how to make money” programs to make money online. You could create a site on cooking and recommend kitchen gadgets and other products related to your topic.
Yes, that means there is work involved and you probably are going to have to learn how to build and manage your own website. Making money takes work, and there’s no way around that, I promise.
– If you’re allergic to the concept of work, this is not for you.
– If you need money immediately, this is not for you.
– If you are constantly looking for shortcuts to success, this is not for you.
– If you cannot accept the fact it may take months before you see any money, this is not for you.
Are You Incredibly Desperate For Money?
I often get emails from people who are in desperate need of an income. The problem with many of these people is they are so hungry for instant gratification, they want to somehow bypass the learning and work involved.
When you are so focused on how long it will take to make money, then it’s nearly impossible for you to remain patient and enjoy the learning process.
Even though money is your ultimate destination, you must enjoy the ride. So you might as well choose a niche you enjoy and allows you to appear credible.
Increase website traffic your latest article. By the way… I took 2-1/2 years off for personal reasons. During the 30 months I didn’t work, the company paid me $160,000. That’s the most money I’ve ever made in my life for not working!
A network marketing business is a business where you can recruit and build a team of people who can all make money selling services or products.
It’s called “Multi Level Marketing” because the commissions for selling the products are paid on several levels. If somebody 4 levels below you sells a product, they make money, and a few people above them – including you – make money.
If you buy a TV from an appliance store, that’s multi-level too, in a way. The people who share in the profit are: the salesperson who makes a commission,the wholesaler,the shipper and the manufacturer. In network marketing, YOU can be one of the levels.
A person has to be very careful in approaching this kind of business. Network marketing has gotten a bad rap because of wild claims and promises made and unscrupulous fly-by-night companies. Also many of the products are sold at highly inflated prices.
Most people who try network marketing fail for several reasons:
1. They do not take the training.
2. They do not go to work. It’s easy to goof off when you don’t have a boss!
3. They sell pricy health products that nobody knows the value of, so it’s a hard sell
4. They join the business under a person who has no clue how to do it themselves and therefore can’t help them succeed.
If you join a good company, learn the skills and work diligently, you will succeed.
I hope that helps.
Really Bob?
and what exactly is a “network marketing business”?
See how googling for word “niche” can get you into 1/2 abandoned websites that you or paid soul can spam.
Awesome!
LOL
Most people who join MLM companies treat it as a lottery ticket. “I’ll buy it and try it and see if I win.” That might be OK for people who want to gamble. It’s not good business sense.
I got into a network marketing business in 2001, and it has paid me $500,000 since then. I have gotten to know quite a few high earners personally, and 3 of the people I have brought in are making over $100,000 per year part time. We don’t sell overpriced snake oil. We sell dental plans and health programs for the uninsured.
What is required for success…
1. Learn and develop the skills of the trade.
2. Go to work consistently
3. Never stop learning
4. Give it time to build up. Most people don’t make a full-time income until their 3rd year.
By the way… I took 2-1/2 years off for personal reasons. During the 30 months I didn’t work, the company paid me $160,000. That’s the most money I’ve ever made in my life for not working!
I’ve just gone back to work part-time.
MLM is the best path for some people. In my recruiting I try to screen the people. As a professional network marketer, I don’t want to spend my time working with people who are not serious about developing the skills and going to work.
It’s an AWESOME niche for the right people.
point and case two comments above.
I’m just starting out on blogging and I’ve started to make a little money. I’ve got a long way to go, but you give me inspiration that I can do it. Thanks!
.-= Stomach Bloating´s last blog … Is Your Stomach Bloating From Enzyme or Gastric Acid Insufficiency? =-.
I like your sites, nice to see u.
.-= HasanChen´s last blog … How to care of your life , 1024 x 768 ( English ) =-.
I have to say you have quite a site and great valuable content so please do not take this the wrong way. I really like the content having just discovered it.
But I would it quite funny that right next to this post I see an add “stop working so hard…this is easy” leading to yet another ehm…”I was homeless but now filthy rich” program.
-So I guess my question is how to control ‘comment content’ as it surely has to affect your adds rotation?
-Second, how do you feel about ‘blog whoring’ and comments that are actually supportive of content but authors place their links/plugs in form of name/site linking? Do you delete, block or let them live?
Thanks for your time!
I love this girl. I just discovered her on youtube couple days ago and found SOOOOO much useful info to help me with my site.
She speaks the RAW truth. I wont make another move on the net unless I consult her blogs first.
Keep up the good work!
PS: I found you through your videos on youtube while looking for some ideas for training videos for my clients. Well done on your work, a class act! 😉
Ken
I thought for sure you was going to say not to get into the video game niche! 🙂
I’m an Internet Business Consultant along with owning very competitive websites (keeps me on my toes), and in my many years in the industry it seems time and time again where many people fail, though they may be a top Authority in their niche, is that they lack the “Self Discipline” to attend to duties without guidance. Working at home is a quite a bit different from “going to work”. There is no time clock to punch, No boss to answer to, no list of your daily tasks magically waiting for you,… There is Only you and what you Decide to do with your time. I noted a mention of “some people succeeding in mlm and what did they do different to succeed?”.
I would wager that they did what most successful entrepreneurs do, they made a good plan and “worked it” with everything they had in them. Sometimes it is not what you are doing, but how hard you are trying.
Most of my new clients are taken by surprise when they expect me to whip up a website for them but instead “we” whip up a complete Business Plan with a Plan of Attack. Often taking many weeks to make these plans and complete the training.
No, there is no magic wand, just you…
Ken
.-= Ken at HCG´s last blog … Resident Evil 5 – Sept 15 =-.
A really sensible article!
.-= Meam Wye´s last blog … Travels of Ibn Battuta =-.
I am enjoying your videos. I just happned to stumble across them when trying to do some research on a new program that has just launched. I was wondering what your educational background is. You seem to really know what you are doing. Thanks.
Ben
Hi Ben,
My degree is in business management. That’s all. No programming or web design.
Hi Lisa:
Do you have a marketing degree?
I love this article. I wish I had run across your site years ago. I bet you I would actually be rich by now. Well, I say better late than never, right? I wish you and your sites continued success.
Jay’s last blog post..Jun 9, Is Cramping During the First Trimester Normal
Hey Lisa, thanks for the information, your site and your book are so helpful.
I’ve been laid off a couple of months ago. I tried MLM two years ago “not a fan of it by the way” and now I’m thinking of working online “affiliate Marketing”. I’m not desprate for money now, but my goals for upcoming couple of years ” getting married, providing better life for my two kids, helping my family back home” motivate me to do this. I’ve been all over your site, watched all your videos, still finishing up your book, you know still learning ’bout website creation, and trying to figure out the topic, but I need your help, I have 2 questions. 1. about the 3.99 or 4.00 dollar per a month websites that I’ll do on my own. on my computer, “microsoft office word” doesn’t work. I have “microsoft office works” would it still work.
2. about the 299/month websites, you mentioned a guy from site buid it that he was your mentor, if I buy from them will I have a mentor as well. and if you have more advice or brain storming about choosing what I like or the topic can you help me. thank you very much.
Hi, it’s best to use an editor like Dreamweaver, Kompozer (free) or CoffeeCup if you are going to use software. Word or Works are not Web editors and aren’t really good to use for building websites. Allan was not my technical mentor. I just meant I went to his site for inspiration. Trust me, if you buy SBI! you’ll have a whole bunch of “mentors” in the SBI! forums you can chat with an ask questions. The forum is a great place for support. Of course you could email me with questions too!
There is a larger issue here. The idea of what profits are has gotten lost somewhere. Profits result when value is created and then exchanged. Everyone wants to make money without understanding something of value has to be created first. That is why there is no such thing as a “get rich quick” turn key business. Before starting any business or joining any program that promises to make you money, ask yourself: What specific value am I creating? What is unique about my contribution? Will this improve peoples’ lives in a tangible, measurable way? Would I sell this to my Grandma?
Rickie Carter’s last blog post..Thoughts on Living a Successful Life
great work.www.smdhost.com
Hi,
very good your site is very informational,keep up the good work.
I am trying a business for web hosting and also trying to create web site myself.
is it possible to link to your website?
sam
All I can say you rock!!!
I have studied everything you say, I wanted to know what you have to say about BLOGGER? Blogger is free to use SO, Can one really make money using Blogger? I don’t think you can install forums on Blogger, that is something I eventually want on my website. I’m no doctor but I wanted to create a website about relationships. I’ve had much experience in that area and based on my experiences, I feel I have a lot to share. I am a good listener. I am a stay at home mom with 4 children. Give me a host where I can do this and begin to market? I am ready.
Yes, you can use Blogger but if you are going to use them at least buy your own domain and point your blog to it so the address of your blog is yourblog.com instead of yourblog.blogspot.com. (Blogger provides instructions). It looks more professional and some say Google will decline your AdSense application if your blog is not hosted on your domain.
Hard Work + Good Idea = Make Money Online!
Glad to see you dispell the get riche quick scams. I just watched your video where you outline the need to utilize traditional marketing principles for your online (blog) business. Hard work is the secret to success! Too bad it’s treated as a secret!
i used to visit your website whenever my bulb sparks on creating a website. the way you write and express is really wonderful. learned a lot from your contents and still want to. all the best.
Your posts are gold! I wish I had found one of your posts over a year ago, before I spent a few hundred dollars on those turnkey websites that got absolutlely NO traffic, except for me of course. But you know what they say, hindeshight is 20/20.
Site Build It rocks! Anyone serious about making money online should check them out. Nothing but good things to say about them.
Thanks again Lisa. One day I hope to be as successful as you.
Lisa, one day for those of us with common sense, would it be possible for you (when you are able) to do a vid on starting your onlines businesses on a shoe string budegt. Since we intelligent ones know for the hard worker, it still usually takes no less than 2 yrs to get a good biz going. Nothing great happens over night – well..babies and lottery winners. Most lottery winners dont have that money even a year later so, you get my point. If I dont make 6 figures I am still RICH right now for having the knowledge you give us to infomr the WEBDESIGN GUYS here in my building on what they MIGHT CONSIDER. One didnt even know what opt-in / autoresponder was. (Yes I sent him your vid link) So I feel righ…RIGHT NOW. No better feeling that knowing somehting you didnt know yesterday. Yes I know it takes money to make money. Is it possible there are some good companies that you work with that you want to mention that only require less than 50.00 start up. I know click bank is 49 bucks. So glad you are here to help us all learn. THANK YOU
Tasha Harris
http://theeangels.us/Life_Coach.html
Hello Lisa,
I have learned so much and I mean so much from you and I love to learn more. You really break things down really simple and keep other interest to learn more. You really do have a heart to help others and that is why God has blessed you in so many ways, so my friend continue to keep the good work and I will continue to learn from your words of wisdoms.
Jacqueline
You know what Lisa, this is the second time I’ve read this post and it probably ring more true with me today than it did the first time. I have
been involved with a few mlm’s over the past 15yrs, never made a dime
in any of them.
Now I don’t blame that on the companies or my sponsors, because I personally know people that really are making 6 and 7 figure incomes in network marketing. At the same time we know that there are people with 6,7 and even 8 figure incomes in the online marketing industry.
Here’s the main question I have to ask myself…
What did they do to get there?
And that is where I found that most people(myself included)get stuck.
A lot of times also we are…led to believe that it is easy to rake in piles of money virtually overnight. Just look at all of new product launches in
the “make money online” niche. I mean some of these guys pull in 5 or 6
figures in a day. What you don’t see is the tremendous amount of time and effort that go into things.
But I gotta say that you keep it real with us about these sort of things and that’s exactly what us “newbies” need.
Thank you so much for what do,
Terry
http://terryhenry.wordpress.com
p.s. I recently started a blog with the inspiration of people like you who are actually teaching us how to do it. (gonna need a lot of help) 🙂
Lisa,
I wish I would have read our blog before purchasing the Six Figure Income Hype-program…I specifically did not want a MLM program; however, (as you so eloquently stated) I was desparate, correction am desparate, so making $500 in 2 hours sounded great…fast in, fast out!!
thanks for the other tips…maybe I’ll read more next time…
Joe
Cory, you said it!
I am glad someone can tell it like it is! I am so tired of seeing these lame websites on “how to make money online” and that they have made so much money. They are probably the people who are sitting at home not doing a darn thing without a penny.
Hi Ellen,
Can’t speak much on MLM because that’s not really my field of expertise. But I do believe affiliate marketing (what I do) will be around awhile.
Almost 2am and don’t want to go to sleep! I like to search and get info online and have been thinking about starting a web site but know nothing!! Found your site and can’t stop reading. I have interests but no specific expertise so was not sure I could do much more than maybe create a blog to talk about different subjects but I am not a writer so didn’t hold out much hope for that, BUT after reading your site and some of the other links you suggested I have hope that I can do this and build on my knowledge. What good advice about not being desperate. I have a question though, on one site I think it is MLM they say in the radio ad that you need to jump in now because you will not be able to make money on the internet “this way” within 2-3 years? Well I do have to go to sleep, church in the morning. Thank you, even though this still seems overwhelming I know where to go to get information and hopefully will have a site soon.
Lisa
Your info is GREAT! I am fairly new at a lot of this stuff and I think it is wonderful that you speak to us beginners with such a wealth of information about creating and designing a website that really “speaks” to our audience.
I really have a difficult time creating content and your website has shown me that I CAN do this. Thanks for your information.
Yep!
This is exactly the kind of thing I want to avoid!
THE ONE point you and a few others have driven home is that PLENTY of good content is what the starting point is. From there getting that content to a few good “sneezers” as Seth Godin calls them is where you enter the L Curve.
Hopefully at some point, you will make the transfer from horizontal to vertical in your online venture!
Fortunately MLM has changed a lot in recent years.
The best companies are customer-centric and give customers a good value.
Online social networking and other social media now let one build such a business without hounding family, friends and business associates.
When I attended college (about 15 years ago), I was introduced to a few of these “MLM” programs. I attended a couple spirited meetings and even signed up for one of the programs. After the first month, I quickly decided “recruiting people” to recruit more people was definitely not my gig.
While I agree with you Lisa that most people don’t make money in network marketing, it’s important to note and emphasize that the same is true in affiliate marketing and most entrepreneurial endeavors.
People are programmed to show up at work and collect a paycheck with little creativity and initiative on their part. Most of the money in the corporate world is made by a small percentage of leaders just as in the direct marketing world.
Your remark, “One major flaw with these programs is they don’t tell you that in order to make money you are going to have to drive thousands of targeted visitors to your site per day.” indicates to me that as a successful affiliate marketer, you’re viewing network marketing somewhat out of context.
Network marketing really is much more about networking than it is about advertising and driving traffic. Social networking sites permit us to reach out and connect with people way beyond our circle of family and friends.
You and your blogs are exceptional. I love your articles. I discovered you through Entrecard. Hope to be back soon!
Spent three hours on the phone today with a client who left the net for a while but wanted to get back into the game. The trouble was he had no game to get back into – just a dream, with no plan. A sure recipe for failure. Are you sure you’re not looking over my shoulder LOL! Or a long lost sister?? 🙂
Oh, I definitely subscribed to your email feed 🙂
That’s a hard question to answer and I wouldn’t even begin to try. Just to clarify, when you say “pay per click site” that could mean 2 things: 1) You want to try to create a service like Google Adwords where people come to your site to advertise. 2) Or do you mean just building a site with your content and you make money from the ads on your page?
Nevertheless I would never give a ballpark figure. Depends on your traffic and what kinds of ads your site has. Some people make 3 figures per month after 6 months, some make less, some never make a dime. Hard to say. Too many variables.
So, i’ve never even considered trying to make money by creating a pay-per-click web site. And, assuming that I find that I enjoy the learning and understand that it takes time, what “ball-park” time does it take and what would be a conservative expectation of income?
I agree 100% with this, i mean why would somebody who is allegedly makin $1000 a day want to sell me an ebook with all his methods for $47?
It just doesn’t add up, people should be more weary and less naiive.
I could not agree with you more.. so many people are looking for instant gratification, and get so burned, that they become sceptical of even the legitimate offers.
I keep on struggling to convince individuals of my own offering, and even though it is free, most people think its a scam because of all the other scamsters out there!
I actually stumbled lisa’s site by accident and am really glad for what i discovered.Her views are real facts and those who crave instant success will find this hard to swallow.I am embarking on a very long journey towards learning to make an income via online and am very glad to find someone who knows exactly what it takes to teach newbies into the world of online.
this is a great post, everything is clear about been a successor in life, if you are heading through internet. i mean all the truth has been said in this chat. i really give credit to this person.
I think you hit it right on the head. People somehow feel that starting work online means instant money. I’m not really sure where this idea comes from. Nobody in non-Internet businesses believes that you can be instantly successful. It’s understood that there is an investment period and that you have to pay your dues. Even so, many businesses fail even after large investments. I would love to see the hype around online-incomes go away and people just talk about the honest truth. It takes time, cleverness, and a TON of hard work… If you are incredibly disparate for money, my guess is that it will not work out.
Lisa,
I agree with you 100%. There are far too many people out there trying to sell “get rich quick” information when they don’t have the first clue how to make money themselves.
I’ve personally invested hundreds of hours and thousands of dollars to learn how to earn money online. I can honestly say that, until you’ve learned the ropes, it’s not easy. And, you have to keep learning. It’s a journey, not a destination.
And far too often, people will give up just short of their goals because it looks like their work just isn’t paying off. It takes time to see results. You have to be committed to see it through to the end.
Anyone that will visit your site and read your blog regularly will have the information they need to make money online. The key difference between those that fail and those that succeed is that those that succeed will actually take action and put forth some effort to make their dreams a reality.
Hi Lisa,
I’ve been learning from you off and on for months now. You care about your audience and it shows. I sat my butt down and spent 18 months+ to learn internet marketing and all that goes along with it. It was brutal, however, meeting people like you on the internet during my studying made the process much more easier at times because you break things down in a very easy to understand fashion. Bite-size nuggets of very helpful information is what your websites have taught me. Thank you, Lisa. I’m glad we ‘met.’ 🙂
Cheers,
Yves Marie Danie Baptiste
Hi Lisa,
You rock. Though I do earn money
over the programs I promote – I rarely
recommend them just for the sake of
earning money but more towards the
feasibility of an alternative income
stream and the products that come with it.
I had been involved with an mlm company
during my start in Internet marketing but
have since moved on to better affiliate
programs which provide value and now
see that you also strive to provide value
to your readers.
Cheers!
Vern
Me too. Some folks learn what MLM really is the hard way (though a few people they made some serious money out of it)
Thanks Lisa for for touching upon topics like turn key and mentioning YTB.com and SixFigureIncome.com.
You’re not just an inspiration but also someone who people trust. I see why!
Definitely bookmarking this site. Thanks for all the hard work you put in!
I think i have a few months to develop profit
from my site ( a site that teaches people how
to expand their bodyframes’ strength, endurance
and mucle mass using totally unique techniques )
before Rosemary exits St. Paul.
Thank you for this post. Good warnings.
Doug.
This is a good post. This is why I like sites like shoemoney, johnchow, and problogger. These are guys actually making tons of money online and aren’t charging you to learn how to do it