Talk Fusion brings marketing software to the MLM game

Talk Fusion’s CONNECT product is a marketing software platform for businesses.

They also have an MLM structure so you can become a distributor and earn commissions. While they’re fairly new to the MLM game, they’re doing a lot of things right. Have I been involved?

This video explains:

 

All good? Let’s continue…

Overview

Talk Fusion offers a software called CONNECT that businesses can use for marketing campaigns.

It has the following capabilities:

  • video chat
  • live meetings
  • video email
  • video newsletters

Using Talk Fusion’s CONNECT on the Go app, users may compose video emails on any iPhone or Android device.

It also comes with real-time reports, tracking data, and other analytic capabilities and tools.

The product is designed primarily for lead capture. It’s claimed on the company website that major businesses use this product: Applebee’s, SPCA Florida, Make-a-Wish, Norwegian Cruise Line, and Volkswagen.

The Company

Started by a ex-cop with a knack for rallying people under his wing and making selling sound fun and easy, Talk Fusion has been around since 2007. They are members of the Direct Selling Association, which should tell you a lot (namely, their code of ethics, return policy, and compensation plan follow industry standards set by the governing board of the DSA).

It means you are less likely to be ripped off by this company should you choose to join them.

Software as a Service

SaaS is here to stay. Monthly subscriptions to the software that keeps a business running and its marketing campaign on track are the hottest new thing but likely to stick around as well.

Talk Fusion sells its products as SaaS, meaning customers choose which level of monthly subscription fits their needs, and signs up accordingly. It’s meant to be scaleable and flexible enough to accommodate both startups and big enterprise companies.

The monthly fee is technically a “storage fee” for video and graphic content, to be used during video chats made possible by the product.

Pricing Plans

There is both a one-time purchase fee for the CONNECT product and a monthly recurring fee for storage. One-time purchase fees are as follows:

  • Executive Plan:  $250. Capability for 25 attendees and 5 presenters during live video events.
  • Elite: $750. Capability for 250 attendees ad 10 presenters. Plus 3 custom templates/10 users/1 private label for video emails.
  • Pro Pak: $1499. Capability for 500 attendees/15 presenters. 3 custom templates/15 users/1 private label plus 1 custom template/1 private label for video newsletters.

All plans come with video chat and voice blog.

The monthly storage plans are as follows: they range from $35 per month to $215 per month. There are five different plans. The storage ranges from 1,000 contacts up to 30,000 contacts and depends on which product was purchased. Pre-pay and get 20% off.

Competition

Competitors include BombBomb, MailVU, iWowWe, GetResponse, and Jive Systems, among others.

Talk Fusion is priced more competitively than some, but less competitively than others. For the latter, it’s hard to compare since Talk Fusion bundles its video email with all the other products, whereas some of its competitors offer just the video email product.

Some competitors also offer free training, access to email coaching, technical and creative  advice on shooting videos, and the ability to embed video products in your website.

The Market

A significant percentage of the customer base is real estate agents and car salespeople. Both use video email and other Talk Fusion products to improve their closing ratios.

Here are some stats which may give you a sense of the huge market potential for the Talk Fusion product:

  1. 93% of marketers use video for online marketing, sales, or communication (1)
  2. Using the word “video” in the subject of your email means your open rates increase by 19%. Click-through rates shoot up by 65% and unsubscribes fall by 26% (same source as above).
  3. 45.4% of internet users view at least one video online each month (2).
  4. Video, considered an “emotional connection” between retailer and consumer, drives brand loyalty, creates trust, and encourages conversation (3).

Since the products can be used in so many ways, however, anyone who sells anything is fair game as far as your consumer base goes…event publicists, brand reps, educators, and anyone with an announcement to make.

Opportunity

IBO’s can earn bonuses and residual income on sales of Talk Fusion subscriptions.

Payment is made instantly via an e-wallet system called PAYLUTION E-Wallet, for which there is a $.35 charge every time money is loaded…so plan on having $.35 taken out every time you earn a commission, since payment is instant.

Qualify by spending at least 100 PSV once, and then purchasing at least 20 PSV each month. You must also have at least one personally sponsored and active Associate on each of your two binary tree legs.

The binary tree structure requires that you achieve 100 Sales Volume (SV) on each of your to legs in order to earn commission. Here’s how it works:

The SV of each plan is roughly a bit more than half the dollar value (very rough). So, for the tiniest plan that costs $35, you get 20 SV.

That means if you sell 5 tiny plan As on your right leg and 5 tiny plan A’s on your left leg for a total of 10 plans, you earn commission.

Every 100 in SV nets you $25. Each time you accomplish this it’s called a “cycle”. Achieve 50 cycles and you get to participate in the Mercedes Madness Car Bonus. What that amounts to is $600 towards a Benz lease. Make it to Diamond Elite level (250 cycles) and they’ll outright BUY the Benz for you.

Keep in mind these are not merely one-time sales: these are monthly charges, and therefore monthly commissions for you.

There are also Mega Matching Bonuses. If one of your downlines puts together a great team and makes some impressive sales, you get 10%.

Making it big means gifts from Talk Fusion: Rolex watches, Benz cars, diamond recognition rings, and vacations. Make it really big and get a share of worldwide profits (called the leadership pool…almost every MLM has them, few gain entry).

Recap

The key to profit with Talk Fusion is the monthly recurring cost of storage. That strategy could run into obstacles down the line. Cloud storage wars are in full swing now, and with big names like Microsoft and Apple in the game, Talk Fusion is hardly a serious contender. That means when a stand-alone video email product comes along, where consumers can use their third-party storage for videos etc, they’ll cancel their Talk Fusion subscriptions immediately.

There goes long-term residual income potential. Residual income is tough in tech: people don’t stick with tech products for long periods of time anyway, so that doesn’t bode well for the long haul with Talk Fusion.

However, it appears to be a good product. They need to reassure potential customers that they’ll be there to coach, train, and offer technical assistance as well as video advice, though, if they’re really going to beat their competitors.

I’m not saying Talk Fusion is a bad company- they’re not.

BUT…

Just like with any MLM, peddling products to your family members and friends at church might work for a couple months…maybe over a year if you’re lucky.

In the end, it’s still the sad story of selling hype and chasing the hot opportunity.

There is a better way.

Check this out. You can forget about home parties and peddling products on your Facebook wall.

References

All references retrieved 9/24/2015

  1. Wangpanitkun, Kanakorn.  Vidio Marketing Statistics & Trends 20015. Sydacast. Retrieved from http://syndacast.com/video-marketing-statistics-trends-2015/
  2. 18 Big Video Marketing Statistics and What They Mean for Your Business. Retrieved from http://www.videobrewery.com/blog/18-video-marketing-statistics
  3. Toren, Adam. 3 Ways Social Video Marketing Can Propel Your Brand. Entrepreneur Magazine. Retrieved from http://www.entrepreneur.com/article/249848