Comparison Between Matrix, Binary, And Unilevel MLM Plan

People associated with the MLM industry might have heard of Matrix, Binary, and Unilevel compensation plans. Each of these compensation plans is time-tested, dependable, and offers a great foundation for any network marketing plan. But choosing the right compensation plan that will offer a cushion to your business goals is a quite challenging task.

This is what, the blog is all about. So, whether you are new to MLM business or want to enhance your industry knowledge, we have got you covered. Keep reading on as we have outlined all the essentials of three of these compensation plans here.

What Is Matrix MLM?

The Matrix MLM plan is a compensation plan that has fixed width and depth. The two members on the first level will remain fixed. Once the front line is completely filled, the rest of the members gets added to the next positions. It forms a pyramid-like structure called spillover.

Pros

l  Offers a higher earning opportunity

l  Enhance the consumer base

Cons

l  It is a confusing concept. Prospects take time to understand the width & depth of the pay scale.

l  The commission is paid, based on the position of the referral in the pyramid.

What Is Binary MLM?

There are two legs in the Binary MLM compensation plan; Left and Right. It has a sub-tree under every distributor associated with the business. When all the sub-trees are added, a binary tree is formed. Every new member that joins the business is split over to the next business level or the down lines. Moreover, the distributor gets a bonus for adding new members.

Pros

l  Unlimited payout

l  Profits are made from the success of the Upline

Cons

l  The overall structure is quite complex that includes all the recruits from the downline.

l  The chances of flushing are high here.

What is Unilevel MLM?

It is one of the most simple compensation formats that is widely followed in MLM companies. All the distributor’s sponsored members are placed in the first level directly. There is no spillover and all the recruitment efforts made by the distributors will benefit them directly.

Pros

l  Easy concept

l  Hassle-free distribution of commission

Cons

l  No provision for spillover and checkmate

l  Unlimited profit

l  The downline volume increase is not possible 

The selection of the compensation plan depends completely on the current requirements and the user’s choice. The crux is, MLM companies should select a compensation plan that will benefit their businesses. Dayjoy can be your true companion in that case. We have booked a spot in the India top MLM company list 2021 and we aim to assist & boost the bussing network marketing professionals with the best marketing strategies & compensation plans. Get in touch with us & accomplish your dreams right away.