MLM Compensation plan is the backbone of MLM Business. While there are many compensation plans which are defined by MLM companies and custom compensation plans those are outlined by MLM business organizations, the forced plan is the most favorite compensation plan according to the internet analytics, forced plan has another name and it is “matrix plan”. forced plan is more attractive in the MLM industry.
The plan has usually a form of 2×2, 3×5 matrix etc.
the forced plan doesn’t have a leg system or breakaways like in other MLM Plans. hence the forced MLM Plan is easy to be managed.
If the forced MLM Plan is in 3×5 form, it means that the system can grow up to 5 levels which have 3 distributors in each level.
The width of a matrix plan is fixed, that means in matrix plan width and height are already defined. In the 3X5 matrix, its width is 3 and depth is 5, the first level of user has 3 users, then 2nd level contains 9 users and 3rd level contains 27, and the fourth level contains 81 users and his final level consists of 243 users.
In the 3X5 matrix, the member can get benefits up to the level of 5. If the first level width is over, that is in 3X5 matrix one user has 3 members in his first level, then the next join will be positioned any of his downline that is, from left to right.
How does Matrix MLM Plan work?
The popular matrix MLM plans are 2*12, 4*7, 5*7, and 3*9. The plan works by adding the default members to the first level and everyone else you sign up after the completion of the first level will spill over into the next level, and perhaps to deeper levels as per the plan.
If you choose the 3*3 matrix plan, you can recruit three members to the first level and the rest will spill over to later levels with a depth of three level. Here the matrix said to have three numbers in width as well as in depth.
Matrix Bonus is also an add-on bonus to give extra compensation to the distributors. This compensation is given to the members when they filled their matrix with the down-liners. If the business plan is 4*4 matrix system, the members should have 4 members on his first level downline, 16 members in his second level downline, 64 members in third level down-line and 256 members in the fourth level downline. This member is eligible for the Matrix Bonus.
What is Matrix MLM software?
A matrix MLM software solution is based on a forced matrix plan, which is an organized structure with fixed width and depth that renders a framework to your network making it easy for you to understand and conquer.
The forced matrix plan is also known as the ladder plan where the limited width provides an opportunity for hiring recruits at deeper levels. If you are confused about this plan reach out to us for a free demo, where we will enlighten you with how this plan can work for your business and help you maximize its potential, engendering great profits.
What Are The Benefits Of Forced Matrix?
Forced Matrix, Compared to other plans it’s simplifying your total teamwork. In this matrix, We have to set each level commissions for each level.
Forced matrix plan is positioned in a sequential left to right and top to bottom pattern. In this plan, the member is not allowed to select his position and is only allowed to select the sponsor. The member will get the commission on based on the level he is placed at for a particular payout period.
How Matrix MLM Software works
According to the inputs that your business objectives define, businesses will usually go for 2*12, 3*9, 4*7 and 5*7 type matrix plan where the first number defines the width i.e. the number of sponsors that can be accommodated at the same level, and the second number defines the depth i.e. the number of levels that the plan has. Hence when a maximum number of members has been added to one level, all additional entries will leak into the next and subsequently deeper levels.
While the members in a matrix MLM plan may be limited, this does not mean that your revenues will be too. In fact, a large number of MLM businesses are operating on the matrix network marketing software, quite successfully.
Advantages of Matrix MLM plan
This plan is considered a win-win for both businesses and the members on the matrix MLM software. This is because most if not all distributors are liable to benefits in more recruits and higher earning potential due to the spillover effect.
With the forced matrix plan, a distributor is also liable to a matrix bonus. Herein, once the distributor member completely fills their downline with recruits, i.e all width and depth levels are filled with no additional spillover space, they are entitled to get a matrix bonus!
Since the matrix network marketing software handles all these calculations itself, you as a business administrator have nothing to do but sit back and enjoy the appraises for a rapidly growing business without the tensions that come along with it!
Things you need to know about Matrix MLM Software
Most business administrators know the pains of having unhappy recruits under them who have worked for a long time on the same level but have never been promoted or when the wrong MLM policies decrease the amount of effective teamwork or commissions to each member. With Elite MLM’s software solution incorporating the matrix MLM plan, these tensions will soon be history!
Why? Because the Matrix MLM software enables you to do the following (all hassle-free ofcourse!):
- Outlining a matrix with specified width and depth for each individual member
- Organizing and structuring the data for your stock in a regularly updated database
- Maintaining a balance between products and sales so that you can manage the system with excellent efficiency
- Mandating how much bonus and commissions members at each level can acquire depending on your business policy
- Identification of high performing individuals and generating reports against their track records in the network
How to choose the Best Matrix MLM Software Company and Why Elite MLM is the Best matrix MLM Software Company.
Choosing the best matrix MLM software company can be the key to unlocking the full potential of your decision to go for the matrix MLM plan or any of its variants.