This blog post is a companion post to the video: Debunking Direct Selling Industry Myths

Over the years some very interesting myths have occurred. Usually, they are generated by over-enthusiastic, well-meaning distributors and perpetuated by the same sorts of individuals. One such myth is that within the next ten years, 95% of all the products that will be moved and sold in the United States will be through MLM.

Another common myth is that MLM is such a powerful method of marketing that the business schools have chosen to feature it as the chief business model of the future. And yet another myth, schools such as Harvard and Wharton now teach MLM, which they don’t. However, direct selling has its place in the education system and there have been significant case studies that have been done and corporate America is clearly discovering the benefits of MLM.

That is why you see investment banking firms backing the public acquisition of companies like Herbalife and Shaklee. This is also why Warren Buffett of Berkshire Hathaway spent a small fortune to acquire interest in the direct selling company, The Pampered Chef. MLM is a powerful channel of distribution.

Avon, for instance, one of the largest sellers of cosmetics in the world, has long been publicly traded. There are a lot of publically traded direct selling companies now. Perhaps, we are moving toward the myths that have been perpetuated over the years with such large growth in direct selling?

However, the industry myths generally haven’t served the industry well.

For more information on myths in direct selling, visit the following links:

MLM: This Myth is a Turkey

Debunking Direct Selling Industry Myths Video

Legaline Publications

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And, as always, visit MLMLegal.com, the best MLM resource on the web.The next Starting and Running the Successful MLM Company Conference is quickly approaching! On February 21st and 22nd, 2013 we are hosting the MLM Conference for the 25th year! This is now our 63nd annual conference (held almost consistently three times per year over the last 24 years). All executives/owners of MLM, direct selling, network marking, and party plan companies are welcome to attend. This is the original MLM Startup Conference, hosted and perfected by direct selling industry expert, MLM Attorney Jeff Babener. Call 503-226-6600 or 800-231-2162 to register. (Can’t make this event? Keep an eye out for our May and October conferences as well.)

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