Binary systems, are mostly for heavy-hitters, and top-notch
sales people who can sell others on the plan and not the
busines/products itself. Network Marketing should be about
selling/marketing quality products directly to consumers and
receiving compensation for the sale and not the recruiting of a new
rep.
Network Marketing is one of the most viable ways to make much more
than a good living and there are plenty of good companies out their
that really sell quality products at good prices. If you can find a
company that has a consumable product that people need and can use
every day or month then you may have a company with a strong basis
for being run as an MLM/Network Marketing company. However, you
will then have to look at the company's structure, its compplan and
determine if the company have a duplicatable marketing system.
These are some of the necessary aspects to consider when looking
for a good MLM company.
The binary system is not good in my book, I say this because the
average person may find it very hard or nearly impossible for them
to succeed in such a business venture.
More on this later.....
Originally posted by timandra:
Greetings, the below info is meant for those who can see
the potential of MLM as a legitimate business/ marketing
strategy.
The conversation regarding the compensation plan of ntiparis
spurred my interest to participate again. :p
Hmmm... As of today, from my own personal knowledge, there's
currently 4 main compensation plans in the industry. 1) Stairstep
Breakaway 2) Matrix 3) Unilevel 4) Binary (latest compared to the
previous 3). Each of these individual plans has their pros and
cons. But since the emphasis is on Binary Plan, allow me to share
my 2 cents worth.
One of the common misunderstandings revolving around Binary Plan is
that it's a money game, get rich quick scheme that should be
avoided at all costs, by any networkers. I must confess that I had
that perception before, but after reading through some books and
mags, it brought a whole new insight to my belief system. Also, the
misunderstanding was brought about by many unscrupulous companies
that employed the explosive growth of the Binary Plan in the past.
To the extent of overpaying to distributors that ultimately results
in the closure of such companies... This sure sounds like a pyramid
scheme! 
If anybody wants to realise the benefits of Binary, you must look
at it from a neutral point of view without any bias tendency
towards other plans. One unique aspect about Binary plan is that it
focus on 2, no more or less, income centres as your frontline.
Which is beneficial if you were to take into account the amount of
focus you can employ, thereby improving your effectiveness, as
compared to other plans which recommend more frontlines eg 3 and
more at one time. Also, commission will only be rewarded if one can
balance the volume their 2 income centres. Let's say for eg, my LH
group achieved $1000 sales volume, RH group $500, I'll not get
anything if the company commission payout is at $1k. Until my RH
group can achieve the remaining sum. It propels the upline to focus
on helping the weaker side.
Other than that, additional sales volume, sponsoring performed by
the upline group MUST be added down the list. So those along the
line will benefit together from it. Profits are shared among them.
Hardly noticeable in other plans, whereby , upline sales volume
will normally be absorbed by he, himself. That's when one WILL see
EXPLOSIVE growth in their group, thereby giving Binary plan the bad
name of money game... Also, there's no Breakaway from the group!
Which is beneficial for many networkers who often have a hard time
of re-establishing a new group all over again.
However, some cons include no max. cap for the amount one income
centre can earn. Some Binary companies employ the tatic of grossly
exaggerated figures one can earn with no limits! Please be careful
then, because based on figures, it will shutdown in a few months
time.. Reason? Over payout of more than 100%. Imagine monthly
turnover to be $1k but commission payout of 1.2k... So legitimate
Binary [b]MUST include a max cap. Also, some companies
practises flushing of unbalanced sales volume. From previous eg. 1k
& 0.5k will be flushed if you can't balance it!! A good Binary
company MUST safeguard against this. Another point to note for any
plans is the safeguarding against extreme front loading!! I've
heard of many 'reputable' companies asking new distributors to pump
in thousands of dollars for the inital investment... *faint*
One more thing to note is the accountability of people, because of
the explosive growth, it makes accountability of uplines and
downlines confusing... Imagine I bring in a friend but he's placed
10 levels below me.. That's when you must find a good company that
employs a good system! A good MLM company should employ such a
system whereby your presense is not absolutely essential of the
success of your group! Talk about time freedom.
Reason why Binary looks like a pyramid because of the idealogy of
income centres being added down the group. Also because of it's
explosive growth since 2 is the max for frontline directs. But
please bear in mind that income centres MUST also include sales
volume, not solely on sponsoring! Which means there must also be
sales/ customers etc. Guess those people whom some of you met dunno
what they're saying, if not careful, they'll have authorities
coming after them. However, this is something very contradicting,
because MLM is a business, in which sales should be accomplished
without door to door retail sales. If people focus solely on
looking for customers, they're just doing direct selling & not
employing the power of leverage... if they focus solely on
sponsoring, it's pyramid... 
a balance
is the best from my point of view of cos.. I guess it's safe to say
that the people you all met merely meant personal sales is
minimised but not totally eliminated.
Binary can fulfil much explosive growth as compared to other plans,
but the ideology is the same. The same amount of effort applies!
Not just because it employs a different concept, it should be
'condemned' by many networkers alike. 
If
you do look at it carefully, the emphasis meant growing 'deep',
unlike other plans which go 'wide', as to which is better, I leave
it to individuals to decide! Also for
information, we do have a reputable local Binary company doing
well! Heard of WBG?? it has already internationalise to korea,
australia, japan, and the regional countries within 2 years!
Guess this plan is not that bad after all lah...
Also, haha, guess I can never end... due to this new wave in
network marketing, more hybrid plans (combination of 2 of more
plans etc) are coming out, so be amazed by what the future can
behold! Be expected to see even more exponential growth for the
same amount of effort one may be putting in! The power of
evolution! So let's keep an open mind 
Would
love to share about other plans if I have the time... Haha. And
please, I come in peace so no flaming... turns people off.. Also
hope that this topic is unlike those topics about other networking
companies... plenty of flaming.. we're doing quite fine till now.
Till then! 
Any queries, just private msg me.[/b]
