Purchasing Leads

Often times people will try to purchase network marketing leads if they are having trouble finding enough on their own. There are 2 main challenges with purchasing leads: cost and quality. You need quality, interested leads that don’t cost a fortune. Let’s look at cost first.

Let’s say you buy 5 leads a day at $3.50 each. That’s $17.50 per day, or $525 per month. Wow! Does it really add up that fast? You bet it does. Often you’ll find people who will struggle to pay for their $150 autoship order every month. Now they have to spend another $400-$600 a month on leads? It’s time for our favorite word again: duplication.

How about the quality of leads? First, we don’t always know how many times a lead is sold. Are you the only one they gave this lead to? Or are you just 1 out of 20 people who got this prospect’s information? Usually it’s very hard to tell. Even if the company you bought the leads from swears that you are the only one THEY sold the lead to, think about this: A lot of those companies are just brokers who buy the lead from someone else. There’s no telling how many brokers the lead was sold to.

The other big thing with leads is we often don’t know how they were generated. Let’s say someone takes a survey online. There are 50 questions. Question number 41 says, “Are you interested in making extra money from home?” If the person says yes, then – PRESTO! They become a network marketing lead. Sure, they are a better lead than a random person, but how big is their dream? Are they serious about it or just curious? Do they know how much work is involved? Do they know they will have to buy a product or use a service every month?

Because of these challenges, you will be hard pressed to find anyone who has built and maintained a successful, duplicating network marketing organization through purchasing leads. The reality is this way of doing the business just doesn’t make sense to most people. The only people making money with purchased leads are the companies SELLING the leads. If your upline tells you to buy leads, chances are they are making big money off of each lead you buy.

Want to hear more about buying leads? Listen to some testimonials.

Next: Lead Generation System Basics

10 Comments

  1. Hi, Ben,

    Thank you for sharing this important piece of information.

    I have gone through the process of purchasing leads. I agree with you that the quality is less than satisfactory. This method also faces challenge in the “Duplication Step” of the Network Marketing equation. I have people signing up but not duplicating my efforts.

    Like you, I am now using an online marketing system to assist me with generating my own leads. It is definitely something that is not for everyone. For serious network marketers, however, a lead generation method/system needed to be in place.

    Viola Tam

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