Social networking refers to any kind of multilevel structure in which people follow people. In the real world, any kind of leader may be followed by various people who would be in turn followed by other people and so on. We find this kind of structure in business organizations, in educational institutions and even in sports clubs. For business, this kind of structure can be leveraged because people who are at top levels can influence people below them (called as downline in multilevel marketing) to follow the opportunity. Social networking is of great help in MLM promotional campaigns because a lot of the campaigning can be done very successfully within the network.
Today, social networking has gained a completely new meaning with the popularity of these methods on the Internet through websites such as Orkut, Facebook, MySpace, YouTube, etc. However, for our purposes here, we will refer only to traditional methods of social networking.
What are the Pros of Social Networking?
There is always a high success rate associated with social networking because the people who are promoting their business opportunities are known to the prospect in some way. This leads to an increase in credibility of the promoter. The person being prospected is unlikely to reject the idea straightaway because of this connection. He or she will at least schedule an appointment to hear out what it is about.
Common interest groups always help in any kind of business promotion, MLM included. If people are within a particular social network and one of them is involved with a particular MLM activity, the others might think, "If he is doing it and is happy about it, maybe I can give it a shot too." This kind of impression helps in furthering business.
What are the Cons of Social Networking?
A lot of people may sign into the network just out of obligation. They may not be actually interested in the idea. This can be seen in an office setup when a top-level officer asks his or her staff about the opportunity. They may do it just to maintain cordial relations with their boss. However, such reps will add to the bulk but will not be instrumental in taking things forward. They may also harbor resentment against their boss if things do not work in the way they should, which can take a toll on their original professional relationship.
Then there is also the point of the relationships being personal. Due to this, it is possible that a lot of out-of-context talk goes on between the prospect and the promoter, thus diluting the effect of the campaign.
