Everything you need to know about Matrix MLM plan
Multi-Level Marketing is one of the key business modules that deliberately hold the attention of every business people around the world. There are numerous MLM compensation modules available in the market and there are many more yet to come. Some of the popular MLM plans that are available in the market are binary, matrix, board, generation, and Hybrid. This blog will completely give the clusters of matrix MLM plans.
What is Matrix MLM?
Initially, matrix MLM has been so popular among African Entrepreneurs, but now across the world, it is a much-preferred one. The main reason behind this is it gives liberation along with restrictions to investors. There are two types of matrix MLM plans available in the market.-Forced matrix MLM and Auto-Matrix MLM. In the Auto-Matrix plan, users will get placed in the available space of the Sponsor. Usually, Matrix works as left to right formula. The main signs of this matrix MLM are it restricts the depth and width of genealogy.
How does it work?
The process flow of Matrix MLM plan is so simple to understand, the depth and the width will be fixed by the owner of the firm. The default members(The own downlines) will get placed in the first level as per the matrix and the rest will get spillover. Eg: If the Matrix is 2*2 means, a user can recruit two direct Members under him, if he holds a third member-then spillover occurs. The third user will be placed in the next available space. Some companies prefer 4*4, 5*5 as per their company needs.
It's similar to the Binary MLM Plan, there are pre-defined members in the run- but if the user exceeds then the user might not have a place to hold. But Forced Matrix, allows the exceeding user to get a place in the next available slots. The most common matrix MLM plans are 3X9, 2X12, 4X7, and 5X7.
Types of Matrix Compensation Plans
Sponsor Bonus
This is the basic compensation bonus processed in matrix MLM, whenever a direct downline adds below the sponsors. This bonus will be processed once the sponsor fills his first level.
Level Commissions
The level commission will come into action when your direct downlines initiate new sales. Whenever your direct downline gets Sponsor Bonus, you will be served with a Level commission. But enabling the level commission is completely optional and it will be decided by the company.
Matching Bonus
Whenever the direct downlines earn rewards or commission, the direct sponsor will get a certain percentage or fixed amount as a Matching bonus. This is also completely optional and can be disabled anytime by the MLM Company.
Position Bonus
A position bonus is the one that will be earned when the matrix structure has been achieved by the sponsor. I.e. in the 2*2 matrix total user will be 1+2+4=7user. When the 7th user is placed, the sponsor will get the percentage commission. The percentage of position bonus is editable as per the MLM company regulations. You can also edit the position to be attained to get the position, you can change the 7th user to the 3rd user as wish.
Forced Matrix Bonus
When the matrix structure is fulfilled, the sponsor will get this forced matrix bonus.
For example, in a 3X3 matrix plan, members will need to recruit three members on the first downline, nine members in the second downline, and twenty-seven members in the third.
If you are planning to start your MLM business and want to make a profit, then matrix MLM is the best option for you. If you plan all the commissions, rewards, and recognition bonuses then you are ready to go. There is a wide range of MLM software providers in the market, choose the best fit for you as per the requirement, then nothing can stop you from being super successful!