Professionals in the MLM industry are often quick to criticize free network marketing programs, and with historical reason. In fact, there are only a few opportunities out there that don’t require a fee to join, but what most do have is a monthly cost of participation. Typically, the income opportunity in the business is structured around buying products and services on a monthly basis that can add up to hundreds of dollars each year in required expenditures as part of an “auto ship” requirement.
What this means is that these kinds of free network marketing programs really aren’t, well, free. 
There are also some free network marketing programs out there that allow people to join for free, and do nothing if they want (for free). The challenge with most of these programs is that people trick themselves into believing that they actually have a business. They are able to build organizations of business partners who also like the idea of joining a free network marketing business, but end up with very little income production because there are few, if any, customers.
Earlier this year, one of the fastest growing companies in the network marketing industry, North American Power, redesigned its program to require no investment. The change has become the talk of the industry. Under the new plan, an individual can qualify to be a representative with North American Power with no cost, by simply referring one accepted customer. North American Power is an energy supplier with highly competitive rates, so North American Power customers typically save money on their monthly electric bill that they have to pay anyway. (No autoship of unwanted products!) So what does this mean for the network marketing industry?
Pay to Play and Recruit to Earn Model Vs. Free Network Marketing
Most people are familiar with the traditional network marketing business model that requires a distributor to pay to join and continuously recruit new distributors to earn. This model is often taken more seriously by business builders than free network marketing opportunities because it’s assumed that someone who pays to join and has some “skin in the game” will be committed to working their business. At the very least, it’s assumed that a new distributor will want to work hard enough to earn back their initial investment of $199 – $499+. Most network marketing programs with enrollment fees also offer enticing “fast start” bonuses, providing the representative the opportunity to earn back their initial investments by recruiting or sponsoring new fee-paying representatives into the business.
Unfortunately, the vast majority of people who join fee-based network marketing programs never make back their initial investment, usually because they have a difficult time persuading other people to pay an upfront fee to join their business. That does not mean that people cannot be successful in network marketing companies that require an upfront fee. There are thousands of people who have been hugely successful. At the same time, many of these people have also suffered broken relationships and friendships by sponsoring people into their businesses who failed to earn an income and therefore “lost their money.”
A Precedent for a Successful Free Network Marketing Business Model
One of the first truly free network marketing companies to break the mold and prove the income earning potential of a no-investment opportunity was called The Free Network. The Free Network was launched in the 1990’s to take advantage of the deregulation of the telecommunications industry. The company offered customers a lower rate alternative to their high priced telecommunications carrier. At first, competitors did not take The Free Network seriously and took pot shots at the free network marketing model, but representatives joined by the tens of thousands.
The Free Network was hugely successful not only was there no cost barrier to entry, but the company offered a service that did not require a customer investment. In fact, the service saved the customers money. It was a win-win proposition for the representatives and the customers. One of the representatives I know who was with the Free Network built a downline of over 150,000 representatives and a customer organization so large that the “business” revenue generated classified him among the largest 75 telecommunications companies in the world.
North American Power: No Investment. No Risk.
In April, 2011, North American Power announced its industry changing marketing program and business opportunity centered on the premise of “no investment, no risk.” It must be pointed out that the six other major network marketing companies in the “energy” industry charge fees of $99 – $399+ to join. Mr. Kerry Breitbart, the CEO and co-founder of North American Power had always been enamored by “network marketing” as a business and sales model, but could not tolerate the idea that independent representatives (aka his sales force) would be asked to pay a fee for the right to work. What’s more, Mr. Breitbart felt strongly that he would never want a representative to jeopardize their reputation with someone they sponsored if for some reason the sponsored person failed to work the business and earn.
The former President of The Free Network (and former ACN executive), Mr. Brad Tayles, along with his Free Network business partner and network marketing industry leader, Mr. John Costino, joined North American Power in early 2011. Their charge from North American Power CEO, Mr. Kerry Breitbart, was to create a “best in the home-based business industry” marketing plan and compensation program for North American Power. And they have done exactly that. The new North American Power plan offering “no investment, no risk” has taken off like a rocket ship. Reports are that the phone has been ringing off the hook from top network marketers nationwide looking to participate in the business.
To learn more about profiting from energy with a FREE network marketing program, Click Here.
To Your Success!
Courtney Day
203-541-0961
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