Why Deceptive MLM Scam Reviews Are Hurting The Network Marketing Profession

I was recently looking for some new MLM network marketing companies that have been coming on the scene and couldn't help but coming across articles with titles like “Is ABC Company a Scam?” I figured that these articles would have some valuable information about what companies to avoid. After all, there are plenty of dishonest MLM companies out there, so it seemed logical to try to weed out some of the worst ones. What I discovered upon reading these articles is that they weren't about scams at all, in fact, many of them were just advertisements for the product! Instead of getting useful information, I just ended up wasting time with this misleading article. Here are some ways that these types of articles are hurting the network marketing profession.

 

MLM ScamThe Scam Tactic

 

The way these articles work is by giving a scintillating headline that draws you in. If you are like me, you try to read articles like this to stay on top of the best and worst companies in the MLM business. I open the article thinking that I am going to be reading about a scam, only to find that the article itself is a scam. Articles like this make it much harder for people like me to find good information about MLM companies because they are often the first things listed by search engines. This practice is not only profoundly annoying, but also hurts the MLM profession.

 

How “Scam” Articles That Hurt The MLM Profession

 

There is already a lot of negative information about MLM on the Internet. This is to be expected, as all successful ideas have their share of “haters” or people that simply do not understand the business. These “scam” articles simply add to the negativity by using misleading, deceptive tactics to get you to click on the article. This doesn’t help the reputation of the industry, as many people think MLM professionals already use shady tactics.

 

Since these articles could be the first interaction people have with MLM, they automatically put a bad taste in their mouth. People don’t like being misled and are very unlikely to buy a product or service that draws them in with deception. In addition, anyone that already had a negative opinion of MLM will only have this theory confirmed when they get to these “scam” articles that are not what they seem. These articles not only make it harder to find good information, but also give the industry a bad name.

 

How to Avoid the Pyramid Schemes and MLM ScamsAvoid the Scam

 

If you are searching for information about MLM companies, I recommend that you stay away from articles that are warning you about scams, as many of them are simply advertisements for a product that is aimed at getting you to sign up with their company that will supposedly make all your problems go away.  I do feel that it sometimes makes it more difficult for real MLM professionals to do the necessary research and the articles on the internet are tainting the reputation of the industry as a whole by using deception and misleading tactics.

 

These people might think they are being clever, but they are really just hurting themselves, as well as the entire MLM community.  I realize that what some marketers are doing is trying to market but at the same time, if one would call themselves a good marketer, they would come up with other creative ways to market on the internet vs using deceptive strategies.

 

What are your thoughts about it?  Have you used this tactic and worked out successfully?  Please feel free to share your comments below!

 

To your Success,


Nate Leung


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Nate Leung

Nate Leung

CEO & Founder @ NateLeung.com at NateLeung.com
Nate Leung is the CEO and Founder of NateLeung.com, and author of "Virtual Entrepreneur: Live Free With the Business of Your Dreams". Nate specializes in helping people take their passion, knowledge, and expertise and bring it to life. You can find out more from Nate by connecting with him over at Google +. If you're struggling and or looking for help, contact Nate here.
Nate Leung
Nate Leung

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21 Responses to “Why Deceptive MLM Scam Reviews Are Hurting The Network Marketing Profession”

  1. Eric Pannell

    Very informative article and I agree there a lot of dishonest tactics out there. Articles like this brings awareness for the prospect and should help eliminate these methods out of the industry.

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  2. Kari Duffington

    Nate,

    I agree with what you said here. It does hurt the industry. It’s also annoying too. There’s nothing worst than a marketer trying to give you deceptive information in turn trying to sell you their product.

    [Reply]

    Nate Leung Reply:

    Well said Kari! You rock!

    [Reply]

  3. Dr Raj

    Hi Nate, I agree with your views.
    I am relatively new to the industry, am also relatively advanced in my profession – am a practicing doctor.
    I generally don’t engage in prolonged conversation with people who have this kind of attitude. When someone has a genuine concern and merely wants to clarify, then one can dispel the doubts and it becomes a mere formality. For instance, the terms pyramid and scam are still bandied around – by most people who still don’t understand them. I no longer deny that we are a pyramid scheme. Tim Sales has done a marvelous job explaining how everything in the world is really a pyramid – its only whether something is an illegal pyramid or not. If no money is flowing down while money is flowing up, then it becomes illegal. In any company, the person on the top invariably earns a lot more; in a perfect NM company, sometimes people in the middle or lower levels may earn more than those on the upper levels, so it is the ultimate fair/level playing ground. And I am not saying this simply because Tim Sales said this, but because this is happening in my company (QNET).

    [Reply]

    Nate Leung Reply:

    Hello Dr. Raj,

    I’m glad to see that you no longer view Network Marketing as a pyramid scheme and that’s important. Once, someone sees how Network Marketing works and try to understand it from a standpoint with an open mind and heart, it’s almost impossible to not to say it’s a no-brainer. That is one thing that is unfortunate that most people do not truly “understand” Network Marketing.

    Network Marketing sure is a better way, it’s not perfect. Better than having a corporate job, or traditional business.

    Most people who do not understand Network Marketing and make an assumption of it when they see the Pyramid shape, that it’s a “scheme” or “scam”.

    You’re right, it’s an equal playing field for anyone who gets involved. Doesn’t matter if you’re on the 2nd level, 7th level or below, anyone can generate a life changing income that allows them to make decisions and life style changes.

    Appreciate you Dr. Raj for stopping by, would love to see you back here again soon. 🙂

    [Reply]

  4. Bonnie Cribbs

    I really do appreciate your article and the thought and content within. I am one who is guilty of publishing such an article but I did so for very different intentions than implied. Before I started with my company, I did my due diligence and researched it heavily. Someone who was not in the company had posted an article very similar to what you had mentioned and they were in essence promoting their own product and services. When I joined my company, I wanted that top search spot that this person had because I did not like the negative being the first thing people read about our company. Within a few months, I had overtaken his top spot. It’s one of those things I feel very awkward about because I consider myself a very positive person and one who focuses on the positive…yet this article does have a very misleading title. I immediately make it clear that our company is not a pyramid scheme. It’s really interesting….that one article is responsible for about half of my web traffic. So what I’ve done has attracted a lot of existing consultants and their prospects to my site….which, in essence, do me no good at atll.

    I believe I give them a great deal of helpful information and know it’s much more positive that the article that was there before. I’d love for you to read my article to see if it falls into the same category you suggest. I do know, however, that my intentions were not to be a clever or sneaky marketer, but rather to side step the post that had won top ranking by someone who did appear to be a scam. Here is the link – let me know what you think. http://bonniecribbs.com/2012/06/22/is-rodan-fields-a-pyramid-scheme/#

    I appreciate your feedback and comments on Google Plus and on my blog too. It’s great to connect with you Nate.

    [Reply]

    Nate Leung Reply:

    Hi Bonnie!

    Yes, when you use a misleading title, you’ll definitely get traffic.

    With that being said, the people who are visiting these sites with those titles, what kind of people are they attracting? I totally understand where you’re coming from.

    You’ll get some traffic but in the end, we’re Network Marketers and what we do is help others and give value. So for the people who do not get Network Marketing that already have a negative perception on Network Marketing, this confirms their feelings, even though it’s not what the article intended.

    With so many things being thrown at us on a daily basis, marketing tactics trying to grab our attention, no wonder why we live in a A.D.D society! So it’s one thing that you catch the visitors attention, it’s another that you grab their attention and get them to read the article entirely. So, it’s almost a catch 22.

    The goal really is to get them to come to your site… you’ll get people looking for an opportunity, maybe it’s joining the opportunity with your primary company. That’s what marketing is all about right, which is grabbing the attention of the visitor that is doing research on Google.

    I appreciate your honesty and I’m glad to be connected with you. Looking forward to future conversations!

    [Reply]

  5. Martin Malden

    Hi Nate,

    I couldn’t agree more – furthermore it’s a tactic that’s been around for years.

    One of the first membership sites I joined was Wealthy Affiliate. It was run by two Canadian guys who were absolutely as straight as a die, offered excellent information, excellent products and seriously cared about their community.

    And yet affiliates for Wealthy Affiliate were using headlines asking whether WA was a scam.

    It’s a reprehensible tactic, but I don’t think it’s going to go away, unfortunately.

    Cheers,

    Martin.

    [Reply]

    Nate Leung Reply:

    Hi Martin,

    I agree, just like any other industry, there’s good and bad things. Since marketing on the internet is still somewhat brand new for those who are in Network Marketing looking to build on the Internet, this tactic will to be used unfortunately. Thanks Martin!

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  6. Ryan Biddulph

    Lying really does suck lol 😉

    I have seen so many of these bait and switch scam articles, I never click on the link unless I know, like and trust the author.

    As for your article of course I am clicking dude 🙂 #1 it was honest, and #2 I trust you, and your work. If you mention the word “scam” explain why using the word hurts your credibility and adds a black eye to the industry. You have done an awesome job in both areas.

    Thanks for sharing Nate!

    [Reply]

    Nate Leung Reply:

    Appreciate the kind words Ryan! You rock!

    [Reply]

  7. sherman smith

    Hey Nate,

    This is definitely a great perception. I have to admit, I’ve done a couple of post in the past using this tactic myself, but after doing it a couple of times I wondered if I was hurting the industry or helping. I was reviewing different companies and had a couple of signups for my affiliate program. But I decided to stop having titles like this, and instead gave readers the impression of an unbiased view of each company. Im glad I did stop because I rather uplift the industry instead of using these types tactics to attract people. Thanks for sharing your insight!

    [Reply]

    Nate Leung Reply:

    Just like you I wondered it too if it did hurt the industry as well. Appreciate the feedback!

    [Reply]

  8. Stefani McCune

    Great post Nate! I agree that this type of marketing is very hurtful. I, too, have tried to research companies and found the same type of “scam” articles. I remember hearing a webinar once where the person actually was suggesting that we all do this to get more clicks, enrollees, etc. I just think it’s going about it all wrong.

    [Reply]

    Nate Leung Reply:

    Yes I agree. On one hand, you can probably get more clicks, some new enrollees but they are attracting the wrong ones and in the end, there’s not stability for long term income.

    [Reply]

  9. William

    Oh Nate, you hit a hot button for me buddy! These people that are writing those articles are using it only as a method to get people to their site so they can sell them their “system”. I get we need traffic and yes we do sell stuff, but using the word SCAM anywhere in your marketing is a scam like you said and I’m willing to be they don’t get sales from it!

    It’s so scummy and not necessary at all. I’m not going to say that I don’t believe there isn’t such thing as a scam because I’ve been victim before, but to create “mlm reviews” using that word is compounding the bad name this profession already has.

    Thanks for bringing this up. I may have to make a video on this topic too 🙂

    [Reply]

    Nate Leung Reply:

    Right on! Thanks William!

    [Reply]