Who does not dream of receiving passive income by investing money only once? And such chances exist. The companies that use binary marketing are the sources of these opportunities. The scheme is actually working and legal.
Binary marketing: features
The basis of network business is network marketing. In it, the product is sold through a network of sellers - sales agents. In addition, sellers attract new customers.
Binary marketing is a type of network marketing (MLM - Multilevel marketing), and the system is based on the principle of doubling. If you are interested in find people free, follow the link to find out more.
How the scheme works
A distributor (in other words, a referral - a member of an affiliate program) builds a network consisting of two branches. He brings two partners, whose duty is to buy the product for a certain amount (usually one-time) and bring two partners each. One branch belongs to the person who brought the other two and is personal, the other is shared with the higher sponsor.
The referral controls the created team: in order to make a profit, both branches must fulfill the sales plan - close the loop. If the cycle on the branch is not closed, there will be no payouts from it.
More participants from the distributor means more income. However, it is clearly stated what percentages he will receive from personal sales and from group sales (from the levels below) - the depth of the system is regulated.
You can invite more than two team members. In this case, there will be an overflow - they will not take a place under the referral, but the lowest free cells.
Investment projects, as well as companies offering digital services, info products, goods (mostly cosmetics, nutritional supplements, household goods, etc.) use this type of marketing in their activities.
Difference from a financial pyramid
Binary marketing companies sell and promote a real product or service. Is the product missing or of no value? This is a financial pyramid. It is based on monetary investments and the attraction of more and more solvent participants, from whom the higher members of the pyramid make a profit. To learn more about arrest fact, follow the link.
Binary marketing system: advantages
- Not expendable. It is necessary to make a one-time purchase (a large amount).
- The first income after the implementation of the plan: two referred referrals who make a purchase for the specified amount and bring two more referrals who do the same.
- There are only two branches in the binary structure, which are easy to control.
- A larger number of participants means a larger turnover and more interest from investments.
- Rapid dynamic development of the structure.
Pitfalls
In binary marketing, there are also disadvantages, as in any type of marketing:
- the system attracts easy money, so there are many lazy people who want to get rich at the expense of others;
- there are restrictions on the depth of payments (otherwise the system will collapse): the number of steps down from which a referral can receive income is regulated;
- branch imbalance. One branch always has a sponsor who actively attracts new participants and builds new connections, while the other branch passively waits for income. This leads to skew.