Everyone’s heard about the success of McDonald’s. People can either love or hate McDonald’s, but one thing is for certain, they’ve based their business model success on a mode of duplication.
Have you ever noticed how one McDonald’s is pretty much like any other? They may vary slightly in restaurant shape or amenities, but they all basically look the same. They also rely on the same set of marketing methods from location to location. “Do you want to super-size that? Do you want fries with that?” and many other common phrases to get you to buy more than what you initially wanted. Because, if you don’t ask, you won’t get.
Duplication can work for any business model. You certainly don’t need to be selling fries, particularly when you’re running an online business, or an MLM—Multi Level Marketing type of business. But it doesn’t matter, you can still learn from the big guys.
You can utilize the success of McDonald’s in your own MLM business venture. By now you already know that it takes more than having a great product on your shelves, and that you must do marketing to get your message out to the masses.
You can’t expect to just grab any old business off the shelf—even if the past ten were successful—and expect to run with it. When you took that business off the shelf, most likely you noticed that there were parts missing, just like if you were trying to build a shelf. These are the missing parts that should help to make your business work successfully. Surely, they are missing, or, are you doing something wrong?
But it’s perfectly normal to feel that way. The truth is that there are no guarantees in business, and you’re right, you could be missing out on something.
Who Is Ray Kroc?
Most people have likely heard the name, Ray Kroc, and will remember if you mention burgers and fries in the same sentence. Kroc is the franchise King of the successful McDonald’s franchise. He can be likened to a genius in several different ways, as he was the one who not only ended up selling the franchises but developing a cool system to go along with them. His job was to sell McDonald’s franchises to buyers. He joined the team in 1954 and lived from 1902 to 1984. He won one of the top 100 Most Important People of the Century in Time magazine.
Ray started out as an ambulance driver at the age of 15. He went on to sell Prince Castle Multi-Mixers to, you guessed it, McDonald’s! But the brand wasn’t doing well, due to competition from Hamilton Beach—still one of the big brands today. McDonald’s had lost its franchising agent to health issues, and they needed a new one. Ray Kroc seized this opportunity and took over.
Not only is it inspiring that a successful person must fail before they can succeed, but you can learn a lot from Ray Kroc.
How Can Ray Kroc Help Me with My MLM Business?
Selling franchises to buyers is a lot like business networking. Salespeople sell their business opportunities, who in turn market the products to their consumers. People make comparisons about MLM businesses to a McDonald’s franchise all the time. Even if you haven’t heard about the idea before, most likely you can now think up a few more examples.
Ray was the one who sold the franchises to new owners. With more franchises, it meant that more burgers were sold. Where did the burgers come from? You guessed it! The main McDonald’s factory, which was owned by the original McDonald’s company. Is it starting to sound a bit familiar? A McDonald’s franchise can’t buy from just anybody. The customers expect the same product each time they go there.
Remember how McDonald’s food isn’t that great, but somehow it got to be the most successful food franchise around the world today. Well, apparently their success lies in the cleverness of Ray Kroc, and you can learn something from him.
We have jobs as networkers, which is really no different than Ray’s job. We sell our MLM franchise opportunity to others. Together, we collectively sell our products to the end consumer.
You Don’t Need The Best Product to Sell It
Chances are you’re selling a fantastic product in your company. But even if you’re not, remember what McDonald’s food is like. It’s not that great. It’s fast food. Yes, they are still one of the most successful fast-food franchises in the world today, and most of their restaurants stay in business for years.
Just how is it possible to become number one by selling burgers and fries?! It seems to be contradictory to everything you’ve ever heard about marketing before.
And this is where Ray Kroc’s brilliance shined through. He was able to figure it out. He knew that McDonald’s sold fast food, yet it was his job to sell more franchises. He could not use their food quality as a point to sell to potential buyers. So, what could he do?
For this reason, your product is also not going to be key to your success in your own business venture. Your product will be after the fact. First, you must have a duplicatable system.
Tell Me What You Want What You Really Really Want?
Ray knew that he couldn’t compare the quality of food at McDonald’s to other franchises that did have delicious food. He knew he’d be talking to potential buyers who didn’t care a bit about McDonald’s. That they likely wouldn’t even like the food at McDonald’s. But what he did know was what they really wanted—they wanted to make money!
Who doesn’t want to make money? It’s necessary for living.
So, Ray then sold his potential buyers what they really wanted. Nope, it wasn’t crappy cheap food. It wasn’t a restaurant. It was a system that could acquire new customers. More customers equal more burgers sold. More burgers sold meant more money.
Ray sold his buyers a cash machine. This cash machine was a system.
What Is a Duplicatable System?
You’ll need to create a duplicatable system. This means that your success doesn’t lie in the products. The products are great, but your competitor has those too. However, what your competitor doesn’t have is a duplicatable system. This is how Ray was able to sell the franchises—not great McDonald’s food—but an amazing duplicatable system that no other food franchise offered. This offered business owners a system to make money, and it brought in the cash from the McDonald’s customers.
This type of system sells a mass-produced product with the same system, to earn the same amount of cash. It’s so simple that anyone can do it. All people have to do is turn it on. People bought into the franchise because it was simple and easy to run, even though it had average food.
The McDonald’s system started showing up all over the country. Even though the food was okay, customers expected the same type of product. So, they’d order it again. They also became comfortable in the McDonald’s restaurant environment. Today, many McDonald’s even has WiFi and children’s play areas, so it’s a place to hang out, socialize, and work on your homework, without having to worry about getting booted out of one of those stuffy coffee houses.
This predictable model became a business success, all because Ray Kroc had the smarts to think it up! And now, it’s all over the world today.
Anyone Can Sell It!
This duplicatable system is so easy to sell, that even unskilled high school kids can do it. These are the ones who work at McDonald’s. You can teach them and they can run the show. They can flip those switches, press the buttons on that cash machine, and basically do the majority of the work.
All because the system has already been set up.
Apparently Ray’s system thrived. The franchise competition did not have a chance. Not only was it set up well, but you could turn it on and have a predictable end result at the end of it.
As their popularity grew, more people starting buying franchises. Soon, there were thousands, and each one got that same end result. This is why they chose McDonald’s over the other competition, even with its crappy food.
Soon, there were thousands of McDonald’s all over the country. The customer grew to expect the same type of food each time, as well as that same predictable atmosphere. Predictability provides comfort to people. Some people want to know what they’re getting. They don’t want to get a bunch of fancy food on a plate that they may or may not like. And they want to know what the decor will be like.
This is how McDonald’s has been so successful and provides a better cash machine system than anyone else in the world today. And this is their true product for the consumer. The consumer visits McDonald’s because they know what to expect. It’s their comfort.
How Can a Duplicatable System Help You Become Successful?
So, here you are an MLM network marketer. You’re selling the equivalent of a business franchise. But just what is it you’re selling to your potential buyers?
Chances are you’ve been telling them how great of a product you have. Perhaps there are a few different types to choose from, and some additional supplements too. Basically, you’re telling them you have a better product than the next guy. Yawn. So does that big box store down the street.
You may also have websites and blogs, white papers on your company’s history, a list of sales figures, this feature, that feature, customer testimonials, etc. And, so does everyone else.
You need to be smart. Do what Ray has done. Did you know that the main reason people get rich is that you have solved other people’s problems?
Just how encouraging is it to be able to sell them your opportunity, only to give them an even bigger problem? Not so great, right?
If you’re a network marketer with an MLM type of business model, you can benefit from Ray Kroc’s duplicatable system. This means that instead of selling your potential buyers your products, company, MLM marketing plan, credit program, and more, you will be simply marketing the system.
It’s important to show your customers how anyone can be successful if they can learn how to use this system.
The success of a person can be measured by helping other people to solve their problems. This means that when you sell someone an opportunity, you are technically giving them another problem. But, if you sell them a system, this will help them to solve their problems.
Keep these three tips in mind.
1. Solve your customer’s or client’s problem.
2. Provide them with a system that will give results.
3. Rinse and repeat and reap the rewards.
Sounds Great, But How Do I Do It?
Here are some ways that your MLM business can benefit from McDonald’s system of duplication. Tip: It begins by running your MLM business like McDonald’s. Buy some of that McCafe Premium Roast Coffee for your home office if you need help focusing.
Product and comp plans are not what will make you successful. It will be a system that does. It must be a complete MLM system, that includes all the parts you need. These parts will assist you in bringing in the customers, through ads for example, and helping to sell them your product through marketing. Finally, you’ll deliver the goods.
A great MLM marketing system will do all the work for you. All you have to do is push the buttons, just like they do at McDonald’s, and wait to reap the rewards. So, head out there right now and sell them a system that will give your customers/clients a profitable result! Now they won’t care about those products, prices, testimonials, company, or anything of lesser importance.
If you are looking for a duplicatable system like McDonald’s, click here and I can show you how to run a business. Looking forward to seeing you on the other side!
From personal experience, I’ve found that at least 90% of your team will not duplicate, no matter what system you use.
I am more of a fan of innovation, rather than duplication. I believe that if we can sit down with each person we sponsor and help them identify a way to build the business that they feel comfortable doing, there is a much higher likelihood they will increase their activity.
The only thing we really want to duplicate in our business is the result, not how we get that result.
I learned this from Mark Yarnell and I believe it to be true. Although we have a ton of training and systems for my team members, all of my best leaders build it differently from each other.
If anything, I think that proves my point.
Great post, Nate!