At first glance, which appears to be more profitable?
- To earn 100% of what someone pays
- To earn 50% of what someone earns
For most, A appears to be the best choice, after all 100% is better than 50%.
But let’s break it down and use the, what if scenario, yes I realize “if” can be an infinitive word. But read along with me. (A) Let’s
say that you sponsor someone and they pay $25 and in return you make
$25 that would mean you earn 100% of what they pay. As long as they keep
paying, you will earn $25, nothing less and nothing more.
(B) Now let’s say you sponsor someone and they pay $25, but this
time you only earn 50% of that $25 meaning you get $12.50, however; you
also earn 50% of what that person also earns. So for example if they
earn $500 you will make $250. As long as they keep paying you will
never earn less than $12.50, but there is no cap on what you can earn in
50% matching.
True story: I misunderstood the 50% matching, and was actually a
little disappointed when I saw my earnings for each active member get
cut in half the next month, but this is what happened. One of my
personal referrals has gone on to sponsor quite a few people and it
doesn’t look like he is slowing up anytime soon.
The commissions I’m earning because of the 50% matching have far
exceeded what I would have made if I only earned 100% of what that
member pays.
If you have not seen the program or the compensation plan, I highly
encourage you to at least take a hard look, watch the video all the way
through.
Here’s the link to my blog, click on the banner at the top or to the right.http://www.professionalnetworker.org/?t=truestory
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