Saturday, July 16, 2011

Two more comments about MLM stupidity

-- Carl Sagan, as quoted in Cosmos, PBS TV

When some people claim extraordinary things, they expect people to just believe them with simple claims (with NO evidence) or just a few bits of so-called evidence. This is especially true for MLM / Network Marketing. It seems every other MLM out there claim to make you immensely rich with virtually no effort. 

Such claims of get-rich-quick is obviously an extraordinary claim, and thus, require extraordinary evidence. And such evidence is NEVER forthcoming. Most evidence falls into following categories:

* it's so easy!  (i.e. I can do it, and so can you!)

It looks so easy on TV or in person, but did the speaker actually succeed? 

* just look at all this money and goodies I got here! 

Doesn't prove it's actually a success. Most luxuries can be rented. 

* it's new and therefore it's good!

New isn't always good. New disease is bad.

* just believe me and I will make you rich!

So is the guy a cult leader or a businessman? 

Here's some surprising (to some) statistics on a MLM company that will tell you who made money... and who did not.

Any one heard of YTB? aka Your Travel Biz? aka Zamzuu?

Here is the published figures on YTB, BY YTB, about who made money in their business in 2007, and who didn't.

For those of you who are challenged at math, or can't read charts, here's the simple and honest truth:

97% of reps made LESS THAN $2000 USD IN the ENTIRE 2007 under YTB, from the company's own numbers.


The top 3 guys on top (obviously the founders) averaged 3 million EACH that year.

Yet every single one of these "reps" paid THOUSANDS into the system "buying" a travel franchise, so they thought.

YTB later changed its name to Zamzuu, was sued and forced out of Illinois and California and paid millions in damages, and is believed to be going bankrupt. (See below)

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