Why Does Beachbody Use Network Marketing?

Why Beachbody Uses Network MarketingBeing involved in Network Marketing I’ve found that many people have negative preconceived notions about this business model. Many people say, “it’s a pyramid scam”. I still can’t figure out how it could be considered a “pyramid scam”. First of all, pyramid scams are illegal and I doubt a profitable multi million dollar company, such as Beachbody, would want to get involved in something like that. The network marketing business model has been around over 60 years and and has helped create huge, profitable companies. The top 2 cosmetics companies, Mary Kay and Avon, both use the Network Marketing business model. Tupperware was on of the first companies to use this business model nearly 60 years ago. Amway still is the top online global seller of supplements. Sprint, MCI and AT&T make their long distance phone service available through Network Marketing companies. The A.L. Williams Company utilized Network Marketing and astounded the insurance industry by outselling Prudential, a giant in the industry, in four short years.

Network Marketing is the new way to financial freedom. You’ll never create residual income and freedom from the traditional job. Even professionals are trading their time for money; if they are not seeing clients or patients, they are not getting paid. Most income is temporary and it is easy to determine if your income is temporary – just stop working for 90 days. If your income stops or slows down, you have temporary income. With Beachbody, you’re able to make sales, generate team volume, and make money while you are asleep, on vacation, or at your kid’s soccer game.

I’ve taken the below right from Carl Daikeler’s, (founder and CEO of Beachbody) Blog:

Carl Daikeler wrote- So when people ask me “Why Network Marketing”, I respond that it is an imperative. Growth is one thing, contribution is another. This business model has both, and instead of one giant company, we’re going to be a company of a million coaches, each their own independent company, helping 100 million people get healthy and fit. That’s what we will achieve, and that’s why network marketing is a priority!

I also found this on Carl’s Blog in the comments section:

Anonymous said…Though there may be certain benefits of the coach network, I think it’s a net loser for Beachbody. Even for die hard, loyal customers like me, the whole coach thing wreaks of a multi-level marketing scam. I believe you’re well-intentioned, but the coach set-up appears unscrupulous from the outside. In the end, I think it leads to people doubting the integrity of your fitness programs, and that’s too bad because they are absolutely the best DVD workouts available. If I were you, I’d ditch the coach network and put more resources into keeping your customers happy by improving customer service and shipping.Carl Daikeler said…First, thanks for your business. As far as looking like a scam goes, that’s what they said about infomercials… but we’ve shown that a marketing medium of ill-repute isn’t what’s guilty, it’s simply misused by unscrupulous people. Look at the P90Xinfomercial. It’s more entertaining than most of the stuff I see on TV! And it’s promoting a product that’s getting people into incredible shape.

Network marketing as a business model has been abused for decades. But the power of people-helping-people is undeniable. The last the society needs is a giant “Wal-Mart of fitness”. What I think is needed is a million people with an incentive to help those around them incorporate fitness and portion control into their lives. We’ve created that incentive. And that incentive, combined with “absolutely the best DVD workouts available” (thank you!) plus constant improvements in customer service and shipping equals a revolution in health and fitness.

All I know for sure is, many of the people who get involved are making money helping people succeed where they failed with fitness and weight loss for years. That’s a win worth perpetuating. And that’s why this is so important to see through.

My prediction is that in five years, people will look at this business model and wonder why gyms were ever so popular in the first place.

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