The industry of network marketing, multi-level marketing— or whatever else you want to call it— is at a crossroads.

Underlying the internal strife between distributors, companies, distributors and companies, or between those pro-industry and anti-industry, is one crucial question: What value does a compensation plan bring to a company?

If industry advocates can answer this simple question, they have the capacity to save the industry. However, if those advocates continue to fight on a different playing field as their detractors, they will inevitably fail.

Currently, compensation plans and a salesforce of distributors are seen as liabilities and expenses riddled with complexity. This must change. It’s time to stop hiding direct sales’ most important asset.Fearful of public perception, companies deny their direct sales designation.You aren’t fooling anyone.

A compensation plan is nothing more than a balance sheet expense where 30-60% goes out the door. No businessperson in their right mind would sign up for this deal. So why should they?

The answer is that this is not the angle to review such expenses. The compensation plan should be considered an asset, not a liability.

But cryptic sayings and foreign vocabulary don’t help.

Profit is king. We would be ignorant to deny this simple fact.

Placing your fortunes at the grace of others is never a sound business strategy.

It’s best to align forces so that when a business decision is made, it aligns with your desired outcome.

I’ll quote Estée Lauder’s autobiography once again as she responded to her husband, who was always worried about the expenses oftheir young business when Estée was constantly giving away product: “Don’t you worry,” Estée recalls telling him, “whatever we give away, God will give backto us.”

Perhaps this is true, so maybe that’s the playing field the industry should be on.

‍