What is the cash flow Funnel ?

I was at a seminar today that was boring as hell. Many of the attendees got up and left. Actually, I had expected it to be the best one of the entire day because the speaker was a professional that I had heard of previously. I didn’t walk out because I have learned in the past that you never know when you are going to hear something that will change your life. That did not happen to me today, although I did get the inspiration for this post.

Funnel is a Sales Concept

This professional speaker was talking about overcoming fears of networking and developing leads. She spoke to the audience as if we were in kindergarten and dwelt continuously on how to overcome your fear of starting conversations with strangers. One thing that she did bring up though is the funnel. She did not elaborate on it much, so I am sure that the concept went over the heads of most of the attendees. I have frequently thought that the funnel should be taught in our field more often. The funnel is a sales concept that in itself can be a key to success in any sales business. Direct sales and network marketing are no exception. When you understand the funnel concept, you will understand a system of creating cash flow.

Business as a funnel

Think of your business as a funnel. The more leads you put into your funnel the more business comes out the bottom. Massive efforts will lead to massive results. When you think of each lead as being a grain of salt or spices that you are pouring into the top of the funnel and as they come out the bottom they are business or cash flow. The more spices/leads you put into the big part of the funnel, the more that will trickle out the bottom. The concept is simple, yet not always easy.

A Funnel has a really wide part and a narrow part. Many sales people go for the close, or the show, or the opportunity first. That scares people off. Using the funnel, you draw your business deeper into the funnel gradually, so that they begin to create desire for your product or services. Your business funnel is very broad at the top where your lead has only a little or no commitment, risk or interest in your services. As the leads travel deeper into the funnel they become more committed to you and become hosts, sales reps, company leaders or higher value customers. When we go for the close, ask them to host a show before they understand your product line, or ask them to be a consultant before they are sold on your product, you are pushing them into the small whole at the bottom of the funnel in reverse. Understanding the funnel concept will go a long way to improve your results. Allow your leads to voluntarily climb into the funnel because you attract them to you, then drawing them in gradually, will produce incredible cash flow results. The more you put into the top, the more you will get out the bottom. The key to success in any sales business is massive quantity of leads in the funnel. When your funnel is full, you will never be scared that you do not have enough business!

Cash Flow Funnel

Take a minute now print out this Cash Flow Funnel. Now let’s diagram YOUR cash flow funnel.

The way you get people in the funnel is to offer them something they want. As they voluntarily jump into the funnel they will then go deeper into your services, one step at a time. Write in the top section what is your first contact and how you get them into the funnel. The wide part of the funnel is the point of first contact and the more you put in the top, the more you will get out the bottom. The top is the first step or point of contact. It could and should be many things. How you get people into your funnel will be unique to your business. It could be a opportunity to enter a prize drawing at a fair. It could be an attendee at a luncheon at which you are a speaker, or it could be someone you met at the mall who was interested in a catalog. An individual who asked to be put on your newsletter list would be another first contact to start to fill your funnel. The more that goes into the top of the funnel, will give you more out the bottom. How you get them into the funnel is unlimited and unique. Once in the funnel they begin to drop down to a deeper level. Take a minute to jot down several ways you will bring leads into your funnel.

What is the next ring?

The next step may be to buy a product or to attend a show. It could be just a small item. Then the next level a bit deeper in your funnel may be a larger product or the opportunity to host a show, followed by the business opportunity, then the opportunity to be a leader. As they drop through the various levels of the funnel, they will enjoy our services and or product and voluntarily move to the next level, purchasing more expensive products and becoming more interested in the higher end services and creating more cash flow for you.

Creating varying levels in your funnel will allow people to sift through and out the bottom. The more you put in the top the more you will get out out the bottom. Some of your grains of  spices/leads will skip some sections of the funnel. Others will get stuck and never drop to the next level, and others will fly through all levels at the speed of light, voluntarily. The key is to keep the funnel full, so that some spices/leads are always falling out the bottom.

There are three lessons in this article.

1. Don’t leave a crummy seminar before you hear the inspiration that will change your life.
2. Don’t go for the close before you have developed the leads and sifted thought them.
3. Fill your funnel because the more you put in the top, the more will come out the bottom.

The funnel will create desire and committed customers and sales representatives. Putting massive quantities of spices/leads into the funnel will lead to massive spices and leads coming into your business.

Cash Flow Generator – Network Marketing or Direct Sales

Your network marketing or direct sales business can be a Cash Flow generator when you put systems into place that Create Cash Flow constantly. Entrepreneurial gurus like Robert Kiyosaki and Robert Allen advocate having several streams of income into your house. In the 21st century, it is impossible to survive on one stream of income. The system of creating various passive streams of income is a system that protects you against financial misfortune. We have all heard of people who lost their life savings, retirement or nest egg in the stock market. Sometimes we hear about people who make money or lose money in real estate. Other people have invested into an internet marketing program only to realize that when you build a web site, that doesn’t mean the buyers will come. The best cash flow strategy or system is to utilize many different forms of revenue generating. It is the old system of ‘don’t put all your eggs in one basket.’ You may have a great job, and feel pretty secure. Today that is not enough. What are you doing with your income to create a cash flow generator for the future? What if you get laid off? The days of job security are over! Don’t get fooled or lulled into feeling financially safe, just because you have a great paycheck. Everyone should create several passive systems of income such as internet marketing or network marketing that, when they are mature, will continue to produce passive income into the future or a cash flow generator.

I recently had a conversation with a woman who is a product user for a network marketing company. She loves the product, yet is extremely disappointed because of the company’s continued e-mail and encouragement in regard to the network marketing aspect of the product. The company, of course, wants her to share it with her friends.
Why wouldn’t you share something you like with a friend? She is going to stop using the product because she wants no part of a “pyramid” scheme! This is a ridiculous conditioning that many people have against network marketing. Network marketing is a viable business model that is practiced all over the world, including corporate giants like Warren Buffet. If you have ever recommended a movie or a good book or a store, then you too have participated in network marketing. The only difference in the business model of network marketing is that the referrer gets a referral refund, commission or rebate for brining in new customers. Even in conventional businesses, someone makes money on the sale of the product. Overcoming this bias is getting easier and easier due to the continued growth of the industry. Taking the time to educate the prospective candidates for your business will pay off.

Additional Streams of Income

Network marketing and direct sales are the perfect solution to creating an additional stream of income while still maintaining your “job”. When you invest time and money now into creating a system of cash flow with a network marketing business it will generate cash flow long after the effort becomes easy. Many people get started in network marketing and do not stick with it, because they do not think that the effort gives them a big enough pay check. That is because they are programmed by society to work a certain amount of hours and get paid a wage for that time. The problem with that system of a job (working for someone else in exchange for money) is you always have to go to work to receive money. In other words you are always trading your time for money. People who are financially independent understand that their time is far more valuable than money. This is why they put time now into generating income for the future, even when they may not “get paid” today. The stock market and network marketing are very similar because you are “investing” in the future. In direct sales and network marketing, investing today for the future will create a cash cow or a cash generator. This is another one of the conditioning biases that as a leader you must overcome in your sales team. Take the time to focus on the long term benefits of creating cash flow based on today’s efforts to create a more stable financial future for your team.

As a dedicated employee for 30 years, I had to change my conditioning to become a successful entrepreneur. When coaching new consultants, I often say that you must work or put in effort to get paid. If you do not go to work you will not get paid. In network marketing your efforts are far more effective long term than they are at the moment. The efforts you put forth in network marketing will pay off at the soonest in 60-90 days and well into the future. The employee mentality is one that is difficult to overcome with new sales reps. I would suggest actually talking about this issue with new sales consultants, and explain to them the investment concept so that they are willing to wait for the results. The only way to fail in the network marketing business is to stop.

When you are coaching new sales reps or sharing some of your mentoring ,time will be well placed by educating them on the benefits and process. They need to understand the time element of creating a cash generator for the future.

The systems that I have used to create a network marketing cash generator are all laid out in great detail in the two home-study sets Create A Cash Flow Show and Power UP For Professional Results. This series of systems take effort to incorporate into your business but will result in a cash generator that is almost effortless down the road.

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Create Cash Flow After The Show

Finally, I am back with the last of the three-part article on how to Create Cash Flow After The Show. In the first two posts I went through how to start the train moving, so if you didn’t read those yet, go back now to the posts of May 30 & 31. Cash After Show is an acronym for Creating Cash Flow After the show. There is no cash flow after the show if there is now cash flow before the show. Once the cash flow starts, like a train, it is hard to stop. During the past week I had lunch with a friend who took the tele-seminar Cash Flow After The Show and she said that it is too much work for her, so she is not going to do it. Cash flow never happens without effort. The beauty of this and all of the systems that I teach is that when you put a system into place it takes less effort. Just like a train, the effort to get moving sometimes seems like work. Once you are rolling you are just along for the ride. The effort is well worth the cash flow. This system of Creating Cash Flow will work for you when you put the effort into setting it up.

Today we are focusing on the last part of our acronym, SHOW. Finally we are to the point of talking about the after the Show part of Cash After Show, because the SHOW in Cash After Show stands for the following:

S in SHOW is for Sales after the show and Show Tally

Your show tally is the accounting of the events which took place at the show. This is your explanation of show benefits for your host. You absolutely must go over the show benefits with your host the night of the show. You have put time, focus and energy into getting the sales rolling along so now is the time to capitalize on that train which is moving at high speed. Your host already circulated books, told all her friends and relatives about the show, just had fun at the show, so while she/he is into it, still excited and the wheels are rolling, go over the tally or benefit package so that the host stays motivated to continue to gather the orders to achieve higher sales. If you wait and call the host back the morning after, you will lose the momentum. Go over the benefit package the night of the show! On the tally you will want to go over the money. Do that first, because it is basically a negative. Give her the checks or explain how the final payment is going to work, etc and put it in writing for you and for her. Hopefully your show tally is in duplicate, so you can take one home with you and leave one with her as well. List the shows scheduled and the people that said they might be interested in hosting a show so that she may contact them and encourage them to do so, before you give them a follow-up call. Then the benefits will be listed as far as what the benefits are now, and then where they can go with more sales. Lay it out so that the host can see the benefit package three levels to four levels up from the current level. If your company has a form to use to go over the benefits, then use that. If there is not one available that comes with three to four levels incorporated into it then you might want to adapt the one I have included here.
Show Tally#1
The goal is to inspire the host to higher levels. Let’s say that the show is at $480. When going over the benefit package explain what she/he will get at that level and then say, “At the $500 level you will get …… we will not close the show until you get there, you can easily get one more order”. Then say “if I were you though, I would shoot for the $600 level with all those catalogs you have out, it will not be a problem for you to hit $600.” Then say: And at the $700 level you will get….. that is certainly within reach….. Do you have enough catalogs? When would you like to talk next week to wrap this up?”

When you act as if it is normal for to collect orders after the show and everyone does it, then it will be normal and everyone will do it. You planted all the seeds necessary to make this happen during your host coaching and during the show. You can even take the time to put together a list with the host of who they are going to get back with if you want and remember: do not be stingy with your books. At this point also, if you company pays you a commission on what the host buys at a discount or at half price, then be sure to encourage them to take advantage of the awesome discounts for future gift-giving needs. Pick a date to close that is about 4 days away, write it on the tally and write it in your calendar and give her a copy of the tally.

H in SHOW is for host.

Doing your show tally is host coaching for after the show. H is for this host finding future hosts because she/he will increase her/his benefits by doing so. Put the information on the tally and encourage them to encourage their friends who had an interest and did not date a show. Point out to the host the extra benefits available for all shows scheduled and encourage them to ask all the after show outside orders if they are interested in hosting a fun show. Use your show tally to generate future shows because future shows are Cash Flow After the show and leverage the momentum that you have with this host to find future hosts.

Opportunity is the O in SHOW

Your business opportunity is the best way to Create Cash Flow After the show. On your show tally, put down how much the host would have made had he/she been the sales professional. Ask the host, how did you enjoy being a consultant for the past 6 weeks? Compliment the host on her/his sales skills and ability to generate sales and interest in hosting. When you put on the show tally her/his commission, it will remind you to ask them again if they have ever thought of doing what you do? Memorize those words, “Have you ever thought about doing what I do? No… oh well, you were so terrific at putting this show together and gathering up orders, I thought you would be an awesome consultant…You should keep it in the back of your mind if you ever need an additional steam of income into your home.”

Wrap-It Up Is what the W in SHOW stands for

You can wrap it up in person for that personal touch or you can wrap it up on the phone for the convenience of all. Either way, do the same thing. Take the additional orders over the phone and then do what you did above at the show. (Generate more sales, ask about potential hosts and offer her/him the opportunity again.) After they give you the orders say “Wow you did terrific, you’re at $674 now, you are only $26 away for an additional $xyz for free, if you had another day is there anyone else who may want to order?” Then on the next day when the host comes back with another offer and is at $733 say “Wow you are only $67 away from the $800 level; would you like another day?” You could go on like this forever. Working the system like this, you will occasionally have a host go from say $555 to $1000, and that is because you got the train moving before the show and everything is already in place. The orders are easier to get after the show when the system is already set up for it. You can not stop a moving train! Another way to increase cash flow after the show is if you company pays you a commission on what the host buys at a discount or at half price, then be sure to encourage them to take advantage of the awesome discounts. Always ask, would you like anything else at you discount, Christmas, birthday gifts, etc. So ask the host if she any of her/his outside orders decided to host a show and get their phone numbers. Last and not least, compliment your host one more time on the terrific show she/he had, and the terrific sales consultant she/he was for the past month and ask if she/he would like you to teach her how to create an additional stream of income.

To summarize this three part article:

Cash After Show is our acronym.

The C in Cash is to Circulate Catalogs
The A in Cash is Attitude and Attendees
The S in Cash is Sales
The H in Cash is for Host Coaching
A is for Attitude and Ask
F is for Fun and Focus
T is for Tell
E is for Energy and Enthusiasm
R is for Remind, Remind, Remind
The S is for Sales after the show and Show Talley
The H in SHOW is for host.
The O is for Opportunity
The W in Wrap-It Up Is what the W in SHOW stands for

So, are you going to get that train moving and Create Cash Flow After the show? It is a system that works. When you put business systems into place your business will Create more Cash Flow with less effort! Create A Cash Flow Show home study set is a system of systems that Create Cash Flow in any home party business.

Professional Attitude Brings Professional Results

The new set Power UP For Professional Results Is getting RAVE reviews! When I completed the Power UP For Professional Results home study set, I was impressed with the volume of information included in the 8 CD set. Now that I have offered it at seminars and sales professionals are incorporating the information into their businesses, I am hearing great reports from the field.

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Marketing Tips For Direct Sales Party Orders AFTER Your Show

This is the second of the three part article on how to market your direct sales party business so that you get more orders AFTER the show.  We had a series of direct sales seminars called: Create Cash Flow After The Show and these three articles are the result of those calls.

• Yes you can increase your sales after the show.

After Direct Sales Show

Cash After Show is the acronym for marketing tips that will generate sales after your direct sales show. If you haven’t done so yet check out the previous article to see what the first 4 tips are in the Cash part of Cash AFTER Show. Today’s post will focus on the AFTER part of the acronym Cash After Show. Remember that in order to have Cash Flow After The Show, you must have Cash Flow before the show!  Read the first article to learn how to create momentum in your direct sales show so that the sales will continue after the show.

Direct Sales Success = Attitude

In direct sales, your success is all about attitude.  The A in AFTER stands for attitude.  It always comes back to attitude, doesn’t it?! Your attitude about the orders before and after the show affects the outcome tremendously. When you position yourself (positively) with the attitude that it IS  normal for everyone to have orders before and after the actual direct sales party, then they will. When you position yourself (negatively) that it is hard or pushy, or asking too much of the host, then it will be. Your attitude will determine your hosts’ willingness to collect orders. before the show.  So your attitude will determine the outcome. Position yourself as a sales professional that always has good shows for the host, and you always will.

Words That Help Increase Sales

Using better word choices will definitely help increase sales. The other part of the A  in the work AFTER stands for Ask for what you want. That means be specific and use good word choices.

Say, “our goal is to have 8 orders when I arrive….”  NOT “  our goal is to have some orders” or that all good hosts collect orders, or that extra orders will give you more free products.  Say “Our goal is to have 8 orders before I arrive.”  Set a specific bar.

Another example is to say “When we have 16-21 guests in attendance, I can guarantee a $1000 show” or whatever it is you are saying. The specific numbers here are not the point. Pick out numbers that work for your business, and remember to go high and be specific. These examples are just that. The things that you ask for specifically are unique to your business. It may be that you ask them to have 2 friends lined up in advance to host a show, or what ever you specifically want. Your Attitude about the ability to reach those specifics and the bar that you set when you ask for what you want will create specific results. Vague statements will result in vague returns.

Direct Sales Party Means Fun

When your attitude is positioned professionally and you are asking for what you want, the next step is fun.

The most important piece in any home party is FUN!  If the direct sales consultant is not having fun, then the host won’t have fun either. Be silly in your messages, make fun of yourself, tell the host how much fun it is being a consultant.  Have fun! If you are not having fun, then your host will think it is too much work to collect orders or even to have a show.

Good Consultants Tell Hosts How It Works

A good direct sales consultant takes the time to tell the host how it works.  In our acronym AFTER the T stands for TELL.  Tell your host how it works. We think that she knows how it works and that is because we are conditioned to it. If the host is not comfortable collecting orders, then she won’t do it. Tell her about how the order forms work, the tax, and the payment plan. Tell her how to take credit cards or who to make the checks out to. Tell her what is on special and tell her word choices on how to generate interest in products. Tell her when we plan to close the show. BE SPECIFIC and you will get specific are results.

Say: “In order for our guest to get their orders quickly, our goal is to submit the show within one week of our show date. It is easier when you collect the money as you go along, instead of having to go back later and collect it”.

This does a few things. First it implies subliminally that we will have time to collect extra orders after the show and it also establishes the fact that we will not be keeping it open for a month, while at the same time encouraging her/him to get the money when the order is placed. Tell your host how it works so that she/he is comfortable with the process. When I say TELL. I really mean discuss, explain have a conversation and interact, but tell her the facts. Don’t be wishy-washy!

A Direct Sales Business Is Exciting

Did you notice how we never get away from the Attitude part! Your energy, enthusiasm and excitement is what makes or breaks your direct sales business. I am talking about physical and emotional energy. When the direct sales consultant is excited and is able to translate that through the phone, letter, card, internet and into the host, then she too will have the energy and enthusiasm to get this train rolling so that we can not stop it after the show is held.

• Stand up and wave your arms when talking on the phone.
• Talk in a higher pitch voice. Hand-write notes, even on pre-printed cards.
• Be perky.

You may be saying that Deb is nuts at this point, and it is true that the only time you will come through as being energetic and enthusiastic is when you overact to the point that you think it is ridiculous. Energy and enthusiasm does not go through the phone, email or other technology based media well. You must over act so that your host catches the energy, excitement and enthusiasm for your business. Then she or he can transfer that to the guests.

Motivate Your Show Hostess

The R in AFTER if for remind, remind, remind. In order to motivate your show hostess continuously of what your/her goals are. Every single time you talk, leave a message, or communicate in any way of form, remind her of the specifics that you are asking for and of the fun and excitement we are all having! Remind, remind, remind!

Direct Sales Training Seminars

The Cash AFTER Show training was a seminar held on the direct sales power hour.  Held every even dated Wednesday, these direct sales business training programs are free.  Get on the newsletter list so that you receive the dial in on the day of each call.  The Cash AFTER Show marketing training can be read in three parts.  See the list of related posts below to read the other articles.  You CAN and do deserve to have sales after every direct sales party!

Cash Flow After The Show has to start before the show!

You can create cash flow after the show with only 13 simple secrets. Cash After Show is an acronym for the Power Hour seminar we held last night. Each letter represents one of the 13 secrets to Cash After Show. I will break the seminar down into three posts over the next week. This one is on the Cash in Cash After Show. For those of you who want to receive all of the posts into your email in-box as I post them, just sign up for the RSS feed so that you get the website updates as they are posted.

So the CASH in Cash After Show is as follows:

All home parties have three parts.

1. Before the show
2. During the show
3. After the show

I know that that sounds pretty basic, and it is! It is a fact that in order to Create A Cash Flow Show, you will want to maximize the sales in all three areas. On the home study set Create A Cash Flow Show we talk about host coaching for over an hour. The focus is on many aspects of host coaching and specifically the before the show aspect of host coaching. Now I will focus on the after the show part as well.

The sales before the show will not happen unless you expect them and coach for the before the show sales. The after the show sales will not happen at all if there are no before the show sales, so talking about after the show sales must start with before the show. I know this sounds silly, but bear with me.

The C in Cash is to Circulate Catalogs

When you are getting your host started on the planning of the show, actually before she even has her planner, it is time to plant the seeds of sales before the show. Start out by asking her how many catalogs she/he would like to have for collecting orders from the guests who can not make it. When you ask her how many catalogs she/he wants, be sure to explain what they are for. Frequently she thinks they are for everyone and you send her 25 or so and then you may be disappointed that she does not have any orders. The catalogs are for those who can not make it to the show. I would recommend that you say at this point something like this; “Our goal is 8 orders when I arrive, because that will give you a terrific show even before I get there….”

The A in Cash is Attitude and Attendees

Your attitude is that all shows have orders before you arrive and when you position yourself in that way it is not being pushy. Your attitude when they schedule and when you follow up and when you are at the show is that this is what happens. When we had our host coaching Power Hour and in the Create A Cash Flow Show study set, we talked about, host coaching at the show… saying things like “Mary already has a terrific show before we even start because she has so many orders all ready, you are positioning your self for the next host. At this time it is good to ask her if any of her friends that will be attending would like to assist her in collecting orders from their friends. I would ask maybe, if she has any friends who are particularly interested in your products. I always called them groupies. Frequently, groupies have groupie friends or family. So in the call or at the show when you are getting ready to give or mail the planner plant the seeds that outside orders or preorders are normal, expected, and easy to attain. The groupies should invite there groupie friends and also have some catalogs to pass around to the groupie family and friends. At this point it is good to offer a gift to those who bring orders. You the consultant will say “Tell your friends to bring a guest or an order and get a free gift!” Remember it does not have to be a huge gift… I am sure you have something that is under 75 cents, and it will generate huge sales before the show. You attitude about this is that it is normal and her friends will be excited about collecting orders.

The S in Cash is Sales

The Sales before the show will generate the sales after the show because the books are out, the attendees are telling their friends, the wheels are in motion, you can not stop a moving train. Increase those sales by giving the host tips on increasing the average ticket price such as pointing out the special, or her favorite product so that the guest go slower through the books. I would even go so far as to ask the host what her favorite product is, then give her the word choices to use and tell her why. Like, you might say “when you hand out the catalogs tell the guests, my favorite product is XYZ…. When you do this Lisa, the guests look closer at the catalogs and tend to find more things they want.” Also, having her point out any urgent, month only special or upcoming discontinued items will generate interest.

The H in Cash is for Host Coaching

Host coaching is the back bone of your business! Host coaching generates sales, leads, future shows, new consultants and cash flow. In Create A Cash Flow Show we talked for 75 minutes on host coaching and a lot on the importance of the first call. (Create A Cash Flow Show will increase you commission by 50% within the first month after you incorporate the systems into your business! I guarantee it 100%) Your first host coaching call be sure your host understands the details of gathering orders. How do the order forms work, how to do tax, and take credit cards, how to have checks made out. A host will not collect orders before the show if she is not comfortable. Host coaching is not pushy; it is your job! When the host is comfortable, then you both benefit. When ever you speak to the host remind her of our goals to have xyz orders or dollar value of orders before the show. And remember to always tell her why you want her to do that and what’s in it for her!

So, I know that this post/article is about Cash Flow After Show, and as I said in the beginning, you must have Cash before the show to Create Cash Flow After the show. So check back in a couple of days for the After Show part of our acronym Cash After Show.

More Systems To Increase Home Party Sales

To Be Continued…..