Sunday, May 26, 2013

Understanding Rejection And Objections In Your Online Business

Recently, my biggest supporter and best friend, Yomar, posted a sort of manifesto in response to people that treat online entrepreneurs and WFHers (those that work from home) as if they do not have a "real" job (you can read it here).  The main take-aways for me were this:
  • A traditional job will never provide us the financial freedom and fulfillment that self-employment will.
  • A so-called real job rarely provides security - we can be easily replaced or down-sized at any time.
  • Working for someone else rarely affords us the opportunity to do something meaningful or be masters of our own destiny (or at least our schedule).
  • How we each define a "real job" all depends on what we place the most importance on (status, income, purpose, etc.).
In short, a "real" job can be a real pain in the butt.  The elusive dream job seems to only exist in the movies.  I believe it's out there but not working for someone else..  But, hey, that's just my opinion.  I have yet to find anyone that can honestly say they love everything about their job and it is their true calling.  If you found a job you love, KUDOS - you are in a very rare class!

One thing I have learned is that dealing with rejection in the job search/interview processes is hard enough, but objections are even tougher when you take on a performance-driven role or become self-employed in any capacity.  I would venture to say that maybe one in ten entrepreneurs, self-employed, or WFHers stick with their pursuits.  After several objections, it is easy to just give up and blame the system.

No one is completely resilient to objections and rejection but, with the right personal development and a focus on the things that really matter, we can respond in ways that are productive, if not positive.  Now, since you are here, chances are you did one of the bravest and smartest moves you could make: you became self-employed.  Let's discuss some of the types of rejection you will face as your own boss, particularly in the MLM/network marketing industry.  I've touched upon quite a few of these already but now we'll delve into suggested responses to help you be better prepared for the proverbial "thumbs down"!






Get A Real Job!
I won't beat this point to death but this is one of the first rejections you may hear if you are not doing something that's popular or simply because you work for yourself.  This objection is more a reflection on the person's own insecurities than their doubts of your skills and the importance of your work.  You may get tired of hearing this but, don't take it personally!

The best thing you can do here is make sure you truly believe in what you are doing and always be honest.  If you say anything that you may doubt deep down inside or do things that make you secretly feel ashamed, you will be an easy mark for naysayers.  Know your product, know your industry, know your competition, and be prepared in every way possible.

Personal development is always the first step towards any type of true success.  When you develop your confidence through improved knowledge and experience, you will bullet-proof yourself to negativity.  That means you have to be ready to hear the doubts and rejection more and more.

If someone tells you what you are doing is not a "real" job, there's a good chance that they are comfortable in what they are doing, even if they are unhappy..  Even worse, they may envy your success and courage.  Either way, the best response here may be a simple, "Well, I'm sorry you feel that way but when you are ready to do something different in your life, I am here for you."

Just make sure whatever your exact response is, be sincere.  Show compassion by trying to understand the fears and conditioning your prospect, friend, or whomever may be fighting.  This is often years or decades of aversive behavior and bad habits, so don't expect that a few minutes will turn them around.

Fun Fact:  According to @salescloud and other recognized sources, over 60% of the jobs in the US today are created by SMBs (small businesses), which includes the ever-growing online business space - this means we are creating jobs daily!


That Sounds Like A Scam
Oh boy, we have tackled this aspect from every angle but it will always be relevant.  No one wants to invest time or money into something that could be illegal (like a ponzi or pyramid scheme) or cause them to lose any of the aforementioned resources.  Every business has a startup cost but, for those stuck in the 9-to-5 grind, this is a crazy concept..  Yet there are hidden costs to any type of job that people seem to be perfectly fine with!

Again, anything that isn't a traditional boss-employee arrangement with a "guaranteed" check will smell like a scam to those living in fear or complacency.  This is a particularly hard reality to contend with so your best bet is to share simple proof that speaks to your audience.  It may be a copy of your last pay check, a newspaper clipping, stock/financial details, or a brief history.  The idea here is to provide as much credibility without overloading with information.

You will deal with this sort of apprehension whether you started your own business from scratch, franchised, or joined an affiliate/referral program.  If you own your own startup and are bootstrapping, maybe you have to hire people on sweat equity and provide some performance incentives.  Whatever you do to entice, it may be a hard sell but don't lose heart.

In any entrepreneurial or self-employed scenario, I find that people ultimately get sold on the grand vision of the business model: the dreams, the core values, the tangible potential..  All these things help prospects overcome the fear of failure or tarnishing their reputation by pursuing the wrong venture.



I Am Embarrassed To Share This With My Friends

In just about sales or referral/affiliate marketing opportunity, the first thing they teach you may be something like this:

Just work your natural market.  Don't think of it as selling but, rather, sharing..  Share this with your friends and family, then ask for referrals to watch your leads grow!
The advice is well-intended but mostly ineffective and misleading.  Friends and family can be the most protective of us and, since they are aversive to failure, they will want us to quit before we really give our venture a real chance.  Our loved ones mean well but, rather than supporting us, they may end up derailing an otherwise massive success.  Be wary of their preemptive warnings and fear-mongering - take it all with a grain of salt.

My advice is to go outside your inner circle.  Consider neighbors, church members, and acquaintances.  The trust may be lacking there but it will be easier to handle the rejection and you can get more practice with delivering your pitch.  Better yet, you may find that strangers may be more receptive to what we have to share.

Here is how a friend may respond to your pitch:

Dude, I know you and you never seemed like the business type.  You know, I hear XYZ company is hiring.  They pay $9 an hour and they offer complete benefits!  I wouldn't waste my time with this thing you're doing.

Now here is how a [near] stranger may respond:
You know, I always wondered what you did for a living.  I am curious..  Let's keep the conversation going.  Here's my number and e-mail address.  Contact me after 8:00pm when I'm back from work and my family is settled in.
Surely you can't generalize but friends and family may like us and trust but they may not have the respect they would have for, say, a Guy Kawasaki, Warren Buffet, or Bill Gates type.  Strangers tend to respect or at least hear out new acquaintances more than someone who "really" knows us.  This is where entrepreneurship can be daunting as you may find you will be forming new social circles and separating yourself from toxic personalities


Ultimately, the embarrassment one may feel when sharing their business venture(s) with close friends and family can be dispelled if they believe in the product/company or have a dream/purpose/WHY that far outweighs any other fear.  Those that want to truly change their lives understand that they may need to re-evaluate all their relationships or at least make it clear, "This is a part of me and, if you truly appreciate me, you will at least accept what I am doing, whether you support me fully or not."

Popularity is a form of complacency.  It allows us to settle for less so that we can be like everyone else.  Pursuing popularity over purpose also means you may be more concerned with status and appearances over accomplishment and authenticity.

For these reasons and many more you will find, I must reiterate that personal development is paramount to your success.  We can't control others around us nor can we can control circumstances, but we have complete control over our attitudes, how we perceive things and react to them.


It's Too Much Work For The Returns (ROI)
Certainly, there are business models that take more work or resources than we can afford given our circumstances or skill sets, but there are few opportunities that are as fruitful as home-based businesses.  From personal experiences, I have found that the MLM model is easier than affiliate marketing because the framework, tools, and support are already in place.  As an independent business owner, you have more to work with than an affiliate marketer.


As an affiliate marketer, the first challenge is building an audience.  As a network marketer, you can build a team to become exponentially more productive and grow faster.  The tactics are similar but the growth potential and pace are vastly different.

Some may say that online businesses are more work than they are worth.  This is common when sharing a network marketing opportunity with someone.  They may even say that the ROI doesn't seem to be there.  This is only partly true.  Advanced commissions are both a boon and a bane in any MLM but, if you work your business right, you will always turn a profit and retain customers by simply employing integrity, authenticity/honesty, and customer service excellence. Think in terms of mutual benefits and win-win-win scenarios (team wins, customers win, and you win).



My new-found friend and marketing wiz James St. John of SJM in the Atlanta, GA area said it best:

"...many times the struggle has more to do with the need for personal transformation and very little to do with the company or system."
So, really, what we see here is that it's not so much that prospects do not want to put in the effort or doubt they will make money but, rather, they are afraid of change.  Personal transformation is not something that happens overnight.  In fact, we all falter several times before we finally "get it right" and, even then, old habits are bound to rear their ugly heads.

The limitations and challenges with home-based businesses of any sort are not different than what you would deal with if you started a franchise, launched a new business, or went into a sales position at a big-brand company.  You get out of it what you put into it.  If you think positive things and stay productive, you will get positive results and, well, produce.

ROI, ROM..  Does it really matter?
Another thing to consider is that ROI is not a very effective model with online businesses, especially in network and affiliate marketing.  ROM (Return of Marketing) works a little better but still lacks some performance indicators/metrics.  The important thing to remember is that there different types of progress and some are less tangible/visible than others.  It helps to use Google Analytics, social media dashboards, blog statistics, and other tools to really get a feel for your growth, even when sales lack.




The Income Potential Is Limited
This is a biggy because there are many implied messages.  When someone says the income potential in any business venture is limited, they could be saying one of the following:
  • Working from home doesn't work.
  • You can't make this work.
  • You lack the qualifications to run a business.
  • If I can't/won't do it, you can't/won't.

The last one is particularly interesting because it goes back to the nature of reflective responses; that is, the judgments and fears others make and reveal are more a reflection of their own doubts and shortcomings, rather than what they really think about you or your work.  In such cases, it's really difficult to respond without getting the person or persons on the defensive.

The truth is you can make more money in less time with a home-based business but the initial investment and overall start-up processes are the most difficult.  You need to persevere and stay positive when the money is not coming in.  I guarantee if you keep exercising good habits and the core values we share on this blog, you will start seeing consistent results and sustainable success.

What better way to prove the naysayers wrong than to become a massive success with your home-based business?  When prospects, friends, and family respond in a negative way and doubt you can "make it", you should only get more fired up.  Your success will pave the way for those that are too scared to go first or just dive in.

Let's be honest here: everyone is looking to make money which is why MLMs will always be attractive to prospects.  The key is to excite others about the opportunity without overselling.  You also want to genuinely love the products/services and get others passionate about the benefits.  Once you get into a routine of consistently and authentically sharing the opportunity and the product, it'll be easier to make projections for yourself and your team - the income potential can be astronomical (for some)!


It may be worth pointing out some of the behaviors and beliefs that drive human nature today:
  • Materialism - Money talks, BS walks.  It's such a shallow statement but this is the mentality we must contend with.  The concepts of boostrapping, working for sweat equity, or starting in the red are foreign to those whom never started their own business.  Of course, the doubt is greater with online businesses and work-from-home opportunities because there are less tangibles.  For the misinformed, if there is no great need or well-known brand, profitability is limited, which is not always the case.  "Show me the money, then we'll talk!", she said.
  • No One Else Is Doing It - It's silly but human nature dictates that we often put ourselves first but, when it really counts, we let others go first.  Formal education has it's strengths but the biggest folly is that it teaches us to be followers and inhibits our ability to use our imaginations to dream, innovate, and invent.  As a result, we tend to flock towards things that feel safe, purely by social vote.  If other people are doing it, it has to be good, but if no one else (that we know of) is doing it, it has to be bad.  This prevents progress and stifles our personal growth.
  • Guaranteed Income - Speaking of safe choices, the belief is that traditional jobs give us security through guaranteed income.  While there is nothing wrong with making an educated decision to be an employee rather than employer the rest of your life, do not be fooled into thinking your job is safe.  At any moment, your pay can be cut or your job can be lost, regardless of how hard you work.  What's worse is that, at a 9-to-5 job, you trade time for money and rarely can we save enough money to invest in education, our family's future, or rainy days.
  • Performance-Driven Revenue Is Scary - When a salesperson is given the choice between 100% commissions or base/salary plus commission, chances are they will go with the latter.  It's safer, it's guaranteed.  It's a rare breed of people that can set goals to ensure they earn consistent income and build significant revenue streams.  Performance-driven revenue is a scary concept for most.  Most say they want to "get paid what they're worth" but, really, they just want to make more money for the same amount of work they do today.
With these things in the background, the sad truth is that some want to see the dollar signs or hear an amazing success story before they try out your venture.  The ironic thing is that, by the time they are ready, the opportunity will not be as ripe and they may very well fail to duplicate their success.  These types of people are likely the last ones you should really try to convert and work with.
 

But You Don't Have An Office
Remember how I have mentioned that some may look at MLMs, online businesses, or any sort of WFH (work from home) opportunities as not being "real"?  Well, this is a similar objection but it's more about the appearances.  On one hand, you want to streamline your business and minimize overhead so you maximize profits but, on the other hand, you want to invest in your business to expedite your progress and build credibility.

Why doesn't anyone take me seriously?  I have a cubicle AND a red stapler!
If you don't have a real office to work out of or at least dedicated space at home, chances are you will deal with a few snobs that will not regard your business as being legitimate.  Be confident and find comfort in knowing that not having that extra bill allows you to patiently and intelligently build your business.  When you invest money into your business, make sure it counts and consider both the long-term and short-term impact.

The worst thing a business owner can do is dump tons of money into their operation early on without having any income or at least a revenue model that doesn't rely on any single source.  This creates unnecessary pressure which leads to strong-armed sales tactics.  The urgency such a scenario creates is nice but you may end up turning off otherwise perfect prospects by being too aggressive.

Keep in mind that the sacrifices you may now will pay in the long run but you also do not want to bite off more than you can chew.  Pace yourself.  The small office with a staff of five to ten employees (or more) will come but, for now, work with what you have and look to invest in things that add value to your business now without getting you further in debt.

As for the folks that won't take you seriously because you don't rent or own office space, they may need to do a little homework.  At least a third of new startups shut down within their first three years, maybe sooner.  From there, about half shut down because they grew too fast.  Build revenue then reinvest profits after saving some money.  Always make sure you have something to fall back on.  Anyone who does not understand that will need to commit to some ongoing education because it's a concept that still eludes many entrepreneurs and investors today.



Conclusion: Don't Take It Personally
Above all, regardless of the objections you get and whom dishes it out, do not take it personally.  Really, in just about all of the aforementioned scenarios, the objector, naysayer, or dreamstealer is someone who lacks personal development/transformation.  They are likely overcomed by fear, jealously, insecurity, and other negative influences.  For every person that doubts you or objects, consider that you are that much closer to someone that really gets it and is ready - TODAY!

For everyone else, they may be content running in place and getting nowhere fine or they may come around when they see that it really does work.  When that day comes, be graceful about it: don't say "I told you so", just welcome them with open arms.  Fear and habit are two things that are hard to overcome completely so be compassionate and find ways to offer help without being pushy.  That is one of the secrets to online business.

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