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THE RECRUITMENT PROCESS  


The recruitment process consists of:

 Two Essential Ongoing Activities:

(1)   Building and Expanding the Network Team of Individual Independent Distributors as well as

(2)    Building and Expanding the Consumer Customer Base.

The understanding of the relationship between these two activities is critical to the development of a sound network business. The relationship is illustrated in the following diagram:

 

To develop the distributor network at the expense of the development of the customer base will severely limit the flow of money throughout the system and may consequently inhibit the recruitment process, as pointed out by Edward Ludbrook in "The Fundamentals of Network Marketing" Similarly, to restrict the recruitment process solely to the development of a consumer customer base will result in limiting peak performance levels resulting from the cost balance of maximum sustainable customer maintenance levels and customer losses. Clearly, neglecting either activity compromises the recruitment process.

For optimum recruitment performance both the building and expansion of the customer base and the independent distributor network are essential and should be developed in parallel. Moreover, in addition to recruiting directly for new distributors, the consumer base further provides a built in positive feedback mechanism for the growth of new independent network distributors as previously discussed above.

As suggested in the current diagram, a natural pathway exists between retail and wholesale customers. When total retail sales to a given customer reaches a specified value, the customer may then be offered the opportunity to purchase at the wholesale rate, market the products at the retail rate and join the network team. Thus, the conversion from retail customers to wholesale customers represents a strong possibility to create additional new independent distributors - this is the wholesale positive feedback loop. Of course there will be a fraction of retail customers who recognize directly the advantages of becoming an independent distributor and join the network team straight away - this is the retail positive feedback loop.

Two primary growth lines determine the success of the recruitment process: the independent distributor growth time line TD, and the customer growth time line TC. These growth time lines are indicators of the growth rate of new distributors and customers respectively. The customer growth time line TC is further subdivided into retail TR and wholesale growth time TW lines respectively. In practice, effective recruitment process management requires the ongoing maintenance, continuous follow-up and promotion of all the growth time lines.

 

 

 

Wale Adeleke   Tel: 234 803 318 1698      Email     ID:234000671061  

Independent distributor of Forever Living Products 

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