"Let's see - if I advertise to 1,000 people I should get a minimum of 10 orders, basing my figures on overall 1% response rate. In addition, if I advertise to 1,000,000 people I should get a minimum of 1,000 orders - using same 1% response rate. It's inevitable, I have to sink all my money into advertising because orders will start pouring in within a week or two."

I even went on to fantasize: "So, if I advertise to 1,000,000 and generate 1,000 orders, and my product sells for only $5 - I will have $5,000.00 coming in within only a few short weeks. It certainly costs less than $5,000 to advertise to a 1,000,000 circulation - so it's a sure thing that I'll make a bunch of money in mail order."

This approach sounds very logical and statistical, but it doesn't happen like that in "real world" of mail order! Well...maybe once in a blue moon, but most of time - it just doesn't happen. It's not always because your offer is bad or price is too high. And it's not always because your mailing list was bad. Often times, reason lies in fact that you and your company are unknown.

But one of most important reasons this statistical data only works well on paper is that most beginners are not skilled in area of TARGET MARKETING. Yes - that word is vital to money your business will make.

Target marketing is when you "know" people you are advertising to. It has nothing to do with product you are selling. For example, I get lots of mailings for products that I have no interest in or need for. Just last week I received a mailing for infant products and a magazine. The products were presented well and were items needed by people who had babies in their household. However, there is no infant at my home and, therefore, I had no interest in products - regardless of how great they were or how little they cost. The mailing went into garbage can.

A couple of days ago when I was reading through my mail. I came across a plan called United Dental Plan of America. Everything sounded great and wonderful! I wanted to get involved right away. I was ready to write a check and send in my application! The only problem was that it was a MLM (multi-level marketing) plan!

What's so wrong with that? Well, there are a lot of people who don't get involved in MLM plans. It's not to say that I dislike them - I just lack deep down enthusiasm that's needed for long term in a MLM environment. Besides, I didn't want to sell their plan to others - I just wanted to purchase product!

There are lots of people like this. My mother likes to order Avon products because she likes certain things that they sell. At 82-years of age, she has no interest in having parties at her home or running around town trying to be a representative to earn a car. She just wants a tube of hand cream once in awhile.

So why don't MLM businesses advertise their product and have less emphasis on recruiting their downline? In fact, I never see advertising for products - just invitation to join someone's downline. It's because most MLM organizations are set up with "money" being deriving force in their business. They make more money by recruiting people into program and purchase of marketing materials and sales aides. While this is not true with all MLM companies - it is true for most of them.