Over the years, we’ve received many questions from travel agents regarding MLMs and the hostility between them and traditional travel agents. When considering both sides, it’s important to take a step back and remember we’re all in this together.
The Stigma and Lack of Potential with MLMs in the Travel Industry
It’s no stretch to say that there is a stigma surrounding MLM agents. At a first glance, MLM agents tend to be considered “not as reputable.” This is often due to their lack of access to the same tools, support, and experience.
If you are a part of an MLM right now, we want you to keep an open mind and know the facts that we’re sharing are to benefit everyone.
Oftentimes, MLMs make promises to people that they’ll be able to make X amount of money or receive gifts and high commissions. More often than not, that potential they promise really isn’t there.
In Cyndi’s experience, she’s trained hundreds of agents to build their businesses to a point where they’re making $100k(+) a year. It’s worth mentioning that she’s never come across an MLM agent that was anywhere close to hitting that mark.
Check the facts
One thing that can be helpful when looking into MLMs is looking into their income disclosure statements. Any public MLM is required to release these statements annually to be transparent about the roles they employ and how much those employees truly make each year.
When checking these reports, the most important thing to look at is the “Average Income” column to see the average amount that employees at different levels are making across the board. You also want to reference the actual percentage of people making that amount.
Sure there may be someone making $700k(+) each year, but what’s the percentage of people actually making that? Most times, it’s less than 1% while a majority of employees are in that wayyy lower range.
Like it or not, the MLM travel agents are actually bringing the travel industry standards down. On paper, these agents are real travel agents, but the lack of training, experience, and income makes people hesitant about what it truly means to be a travel agent and wary of the success that can come with it.
If you’ve been sucked into an MLM, you probably had high hopes going in. If we had to guess, you’re probably now feeling a little deflated and demoralized. It’s easy to turn a blind eye, assuming that MLMs are the way of the entire travel industry world. But, that’s just not true. And we can tell you this out of authority. Cyndi has coached hundreds of agents out of MLMs and into their own businesses. And now, they’re productive and making amazing income they never imagined possible.
The reality is, the fast majority of MLMs travel agents are making nothing, while traditional travel agents with different structures are knocking it out of the park.
Recap of the Pros and Cons of a Travel MLM
- You’ll never make a substantial income
- You’re not getting the right support and resources that traditional agency has access to
- MLMs are invested in gaining members, not helping you sell travel
- You won’t be taken as seriously in the travel industry
- If you’ve been able to sell through an MLM, it means you’re a self-starter because you did it without a lot of support
- You will learn about recruiting which can help you grow your own business down the line
What You Should Do if You’re Stuck in an MLM in the Travel Industry
If you’re currently in an MLM and want to transition, this guide will be perfect for you. This tool shows you how to screen travel hosts, show you which organizations are MLMs, provide top travel hosts, and so much more.
Need some help scaling your travel business or leaving an MLM?
In our Careers on Vacation certification program, we’ll help you get there with lessons on automations and processes to set your business up for even more success.