Recently, I met up with an old secondary school classmate of mine.
His name is Fairuz J. I haven’t seen Fairuz for more than 10 years and recently got connected again on Facebook.
I met up with Fairuz for lunch and we had a chat.
Fairuz asked me what I am currently doing and I told him me and my wife are full time building our network marketing business.
Fairuz was actually very surprised I am doing network marketing and he told me he will never get into direct sales.
Sensing his agitation, I asked him what made him felt that way.
He told me once his cousin joined a MLM company call MC Ocean and lost a lot of money.
He said his cousin invested more than RM3000.00 into MC Ocean products but did not get any return on his investment.
He said the company is a scam and MC Ocean is a money game.
He also said MC Ocean was blacklisted by Bank Negara.
I told him I was not familiar with MC Ocean and decided to change topic.
After my lunch meeting with Fairuz, I was very curious of MC Ocean in Malaysia and wanted to find out more about the company.
Reason being, my experience building a network marketing business was not like that at all.
Me and my wife never had to invest large amount of money into buying product for our business.
A quick Google search revealed the company’s corporate website at www.mcocean.com/.
From the website, I noticed MC Ocean has it’s product range such as:
- Enertri Pro
- Enertri Riceberry
- Dr. Spraycial
- Ener Al-kurma
MC Ocean also has a range of beauty and household cleaning product.
Since my friend Fairuz said the company was blacklisted by Bank Negara, I wanted to know whether the company is still operating in Malaysia.
What I wanted to know is whether MC Ocean still has its direct selling license in Malaysia.
To find the company’s direct selling license number was very easy.
All I had to do was scroll to the bottom of the company’s corporate website and it was listed next to the company’s registration number.
MC Ocean direct selling license number is AJL 931963.
Next, I checked the validity of the company’s direct selling license with the Ministry of Domestic Trade and Consumer Affairs or Kementerian Perdagangan Dalam Negeri dan Hal Ehwal Pengguna Malaysia (KPDNHEP).
KPDNHEP has a web page for you to check the license validity of all direct selling companies in Malaysia.
I did a search on the direct selling license number and lo and behold, the company holding the license is MC-Ocean Holding Sdn. Bhd.
The license was issued on 4/10/2016 and is still valid up to date.
My online research above has verified that MC Ocean is a legitimate company with a valid direct selling license from the Ministry of Domestic Trade and Consumer Affairs of Malaysia.
Since MC Ocean is a licensed direct sales company in Malaysia, why Fairuz’s cousin had a bad experience with the business?
I believe the negative experience had to do with the mindset of the person that joined a MLM company.
Having the right mindset
In this section, I thought of sharing my experience building a successful network marketing business.
It has to do with the mindset of the person that joined a direct sale company with the intention of building a multi level marketing (MLM) business.
It doesn’t matter which direct sales company that you joined, if you have the wrong mindset, you will not succeed in your endeavour.
Being a network marketing professional, I was interested to learn MC Ocean business and marketing plan.
I found the company has a decent multi level marketing (MLM) plan.
It’s more than just the plan
When I was studying MC Ocean commission and compensation plan, at the back of my mind I was thinking…
To be successful in building a network marketing business, it takes more than just a good marketing plan.
Me and my wife have been building our network marketing business full time since March 2018.
We have our network of distributors locally and also outside of Malaysia.
From my experience, I know to be successful in network marketing, there are 6 essential pillars.
The pillars are:
- Company founders
- Marketing plan
- Education system
- Business culture
- Using technology
The pillar number two is the product in the business.
I will explain the importance of product for a network marketing business in the form of a story.
The idea of product selection is from the book The Blue Ocean Strategy written by Renée Mauborgne and W. Chan Kim.
There were 2 good friends name Michael and Jeffry.
Both Michael and Jeffry went to the same primary school, secondary school and college together.
When Michael and Jeffrey graduated from college with their diploma at hand, they have the aspiration to start their own business.
Both have some saving in their bank account because they worked part time when they were studying in college.
Michael took out all his saving and started to look for product to sell for his business.
He wanted to sell smartphone accessories because everyone has at least one such device at hand therefore the market is huge.
He decided to to buy the smartphone accessories in bulk from China and sell it locally with a profit.
What Michael has done trying to sell smartphone accessories is equivalent to trying to fish in a Red Ocean.
The characteristics of a red ocean are:
- Compete in an existing market space
- Beat the competition
- Exploit existing demand
- Make the value-cost trade-off
- Align the whole system of a firm’s activities with its strategic choice of differentiation or low cost
The fact is, it is unlikely Michael will succeed in his business due to the nature of red ocean where the competition is very stiff and the only way for him to differentiate with his competitor is to reduce his product selling price.
By being cheaper than his competitor, he will slowly but surely bleed his business until he cannot sustain it anymore.
The blood of every business in the water is turning it red…thus the name Red Ocean.
Is there a better approach to choosing product for a business?
That was what Jeffry thought to himself after seeing the bad experience Michael had with his business.
A better approach to selecting a product is using The Blue Ocean Strategy.
What are the characteristic of a blue ocean?
The characteristics are:
- Create uncontested market space
- Make the competition irrelevant
- Create and capture new demand
- Break the value-cost trade-off
- Align the whole system of a firm’s activities in pursuit of differentiation and low cost
For a better understanding of The Blue Ocean Strategy, check out the 2 minutes video below by Harvard Business Review.
In the video above, it highlighted a case study on Cirque du Soleil using The Blue Ocean Strategy to grow and excel in an industry with limited growth potential.
A compelling aspect of Cirque du Soleil’s success is that it did not win by taking customers from the already shrinking circus industry, which historically catered to children. Instead it created uncontested market space that made the competition irrelevant.Blueoceanstrategy.com
Jeffry realised that to be successful in his business, he has to avoid the red ocean at all cost.
Instead, he has to find a product which is in the blue ocean of uncontested market space and make the competition irrelevant.
How do you find a blue ocean product?
How do you find a blue ocean product ideal for a network marketing business?
Firstly, I would suggest you get a copy of the Blue Ocean Strategy book and read it.
By reading the book, it will give you some ideas on how to identify the best product to promote in your business.
By chance, back in 2018, the direct sales company that me and my wife partnered with has a blue ocean product line.
It is a type of athleisure garment with far infrared ray (FIR) emitting properties.
Back then, there were no large or established product brands in that category in South East Asia countries.
The company that we partnered with created a new product category making competition irrelevant.
In less than 3 years, the company has dominated the category with its core product in Malaysia, Singapore, Brunei, Hong Kong and Indonesia.
We managed to grow our MLM business quickly with customers located locally and internationally by leveraging on the blue ocean product.
Building a direct selling business in Malaysia is not difficult.
All you have to do is do lots of marketing activities to generate leads and you will be able to generate sales sooner or later.
However, if you want to build a network marketing business using the multi level marketing (MLM) business model, there are 6 essential pillars that you will need to understand.
One of it is using blue ocean product.
If your business is selling health and wellness supplement product which is in the red ocean category, it will make building your network much more difficult.
Thank you for reading my story meeting with my ex-school mate Fairuz.
I hope my sharing on how to build a successful network marketing business above was insightful for you.
If you are currently explore network marketing business with a blue ocean product, please click the link below to message me on WhatsApp and I’ll be happy to share more with you.