Caution required with multilevel travel networks
I’m glad James Gilden wrote this Los Angeles Times article “Travel on the cheap may not be so cheap” because I’ve been approached by these types of marketers before. I’ve even gone to a sales lunch but it was not for YourTravelBiz.com (YTB). The one I went to wowed us with slide shows of far-off places, names of well-known people involved, amazingly cheap prices for dream vacations and, of course, the friend that brought me paid for my lunch. It would’ve been pretty cheap to sign up, around $350 if I recall.
I was temped to join just to see if it really worked, but I never did because I didn’t want to pressure my friends or do the legwork needed for making new sales. I had no idea that those who did join might have considered themselves travel agents. Maybe I was eating my salad during that line.
If you are considering taking part in this type of travel sales, read the General Info on Multi Level Marketing from the Work at Home Forum. It offers advice and tips on what to look out for before joining a network marketing plan.
Have you ever been a part of a multilevel travel network? What was your experience like?
— Jen Leo, Los Angeles Times Travel Deal Blogger
[Photo: Bob Chamberlin / L.A. Times]
14 Comments on “Caution required with multilevel travel networks”
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August 6th, 2008 at 10:51 am
Jen Leo…i’m sorry but you have completely got your facts wrong. I’m not exactly sure what you are saying in this article, but apparently you didn’t pay attention with what this YTB representative was saying to you.
August 6th, 2008 at 1:21 pm
Catherine, read the article again! It states “but it was not for YourTravelBiz.com (YTB)”.
August 6th, 2008 at 4:31 pm
Gliden was right on the money and it does not matter if it is Traverus World Ventures or YTB, these are pyramid schemes and scams.
As the atty general has said and documented so few make any money. Please look at the YTB financials and you can see for yourself!
August 6th, 2008 at 5:08 pm
MLM and the travel industry really don’t mix very well. There are better options. Especially in light of the Attorney General suing YTB for being an illegal pyramid.
August 7th, 2008 at 12:43 am
If network marketing is so disdainful, what does Warren Buffet know that naysayers don’t? He’s bought 2 network marketing companies.
Why do Robert Kiyosaki and Donald Trump endorse it? Consider reading their books. What about Dr. Charles King and Paul Zane Pilzer? Hmmmm.
Check out the Brilliant Compensation flick online! Read The Third Wave.
People’s antiquated ideas about MLM/network marketing are based on experiences 39.78 years ago. Network marketers are human, so there are bound to be a few nasty eggs in the basket, just like in any profession.
When people criticize a company that happens to be a network marketing company, I often wonder what their real motives are. Or are they just jealous?
August 7th, 2008 at 3:19 am
JOHN F PLEASE SHOW ME HOW MANY PEOPLE IN YOUR COMPANY WHO DON’T DO THE WORK MAKE MONEY…OR ARE WE TO BE LEFT WITH THE IMPRESSION THAT YOU PAY PEOPLE EVEN IF THEY DON’T DO ANYTHING.
YOU AND THE AG NEED TO GO TO OZ AND GET A BRAIN, A HEART AND SOME COURAGE…..
August 7th, 2008 at 5:18 am
I’ve been a full time network marketer for almost 20 years. I have tracked thousands of marketers, organizations and companies and there are plenty of people who make money in this business.
That said, it is true that about 97% never see a real profit. The big part in that is that distributors are not properly trained in marketing or even ethics. They tell people what they feel is true rather than what they have documented.
No matter what kind of business someone starts, you always need to know about the demand for the service and the state of competition BEFORE you invest your money into it. That alone will start you on a much better path.
August 7th, 2008 at 5:33 am
Again, people simply don’t understand MLM. Multilevel is not a curse word. It is a legitimate way to make money. But, it’s just like any other industry. If you don’t work you don’t make money. If you own a McDonalds and you don’t flip burgers you won’t make money. Oh, and by the way, McDonalds is MLM. There is a franchise, local owners, managers and employees. Multi levels of people who share the profits of the business. Imagine that. You participate in an MLM scheme at least once a week by eating there. The key to knowing what is real and what is not is the PRODUCT! If the product is real and valuable then the way it is marketed doesn’t matter as long as it is legal. By the way, MLM is not illegal.
August 7th, 2008 at 9:15 am
Network Marketing is a profession, not a pyramid scheme. It requires hard work and dedication. If you don’t work it like a business, but rather like a hobby, you won’t make any money.
Just like any self employed individual, if I work, I will make money.
Getting any business off of the ground takes work and it’s hard work at that.
Those looking to get rich quick simply need to find another line of work.
August 7th, 2008 at 10:26 am
Lots of people will NOT make money in MLM but that is NOT the crime. The crime is “selling” the Opportunity and NOT the product. Over 70% of YTB’s sales are from sign ups NOT travel bookings this is the focus of the Government Lawsuit. If your in YTB I can understand your loyalty but take a step back outside your Passion Bubble and look at the Business model. Do you make more money selling travel or selling $500 websites that pay you $2 a month?
What behaior is the Model driving? Recruit Recruit Recruit….NO need to ever sell Travel
August 7th, 2008 at 10:50 am
MLM is a natural and best way of marketing.
If you join Network marketing company and expect to get paid with no afford you are wrong (it is not right ethically and economically). Yes there are bad network marketing companies like there are bad Banks, attorneys, doctors and any other type of businesses.
If you really study the YTB story and understand it, you will see a great idea that is not being accepted by the “old fashion” TRAVEL industry. Personally I wonder if there is no politics behind the latest lawsuit by the general attorney (search the people and organizations that are cheering it.) I am ready to bet that this law suit (that is filled with MISSREPPRESENTATIONS) will not stand a chance in court.
Yes I am a RTA and a Rep with YTB, Joined not long ago after good thought, I do take this business seriously and trying to promote my website the best I can. I did and do get paid 60% of the commission (check other “AFFILIATED PROGRAM” that is the going rate i.e. EBay)
August 7th, 2008 at 3:58 pm
@Paul - let’s get one thing straight. I’m not with YTB.
I’m passionate about this because what most people don’t realize is that if this lawsuit does prevail against YTB, other network marketing businesses will be next.
I appreciate your comments, whether I agree with them or not.
August 17th, 2008 at 4:08 pm
Let’s get something straight. In YTB the Marketing sight or MLM part is not paid for. You can be a Rep & sell web-sights for NO INVESTMENT. You only pay for your Travel site! If you are a Rep, not an RTA(Referring Travel Agent), you cannot sell travel & do not have credentials. And yes, I am an RTA & I book quite a bit of travel.
September 16th, 2008 at 10:14 am
Well, you said Jen that you were tempted to join but you didn’t because you didn’t want to pressure your friends and do the legwork. Unfortunately many people join network marketing companies without ever thinking about the necessary work in order to make their business opportunity work and make a profit from it. Of course some responsibility bear also the promoters that don’t make it clear from the beginning.
We also need to remember that in network marketing, like everywhere in life, there are good companies and others that someone should avoid joining. The same goes true for the many travel MLM companies that exist in the market today.