Does Market America – Shop dot com truly offer a difference with their UnFranchise business model?
Today I am going to break things down and make a few comparisons so you can decide for yourself.
One of the major differences the company points out is, they are not like a typical multi-level marketing (MLM) company.
I have looked at a lot of comp plans over the last few years and must say, the Market America UnFranchise compensation plan is very different and more powerful than anything I have seen. The entire business model as you will see is different from a traditional MLM.
A Brief History of Market America – Shop dot com.
Founded in 1992, MA is a product brokerage online internet marketing company, meaning they do not manufacture any products themselves. Through various consumer analysis, MA determines the hottest trends and partners with companies to bring those products to market through the shop dot com web portal. Thus never putting themselves in a vulnerable position when products fall out of favor or are not selling well.
In 2010 Market America acquired Shop dot com for over 650 million dollars. Shop dot com was responsible for building Amazon and Yahoo’s web/search portals, among several others. In the last 4 years this has proven to be a brilliant acquisition as Shop dot com is rapidly becoming the best place to shop online.
With over 3000 partner stores and 30 million products to choose from, consumers create a free account and are paid up to 50% CashBack on nearly every purchase.
The company profits not from consumers, but the advertisers and the 3000 partner stores such as, Home Depot, Victoria Secrets, Nike, Best Buy, Target, Travelocity, Nordstrom’s, Anne Klein, Avis, Walgreens, Macy’s, Neiman Marcus, and The Apple Store, just to name a few.
Market America is a global company currently doing business in several countries; the United States, Canada, Australia, Taiwan, Hong Kong and the UK.
One of the most remarkable points of interest I found is, in 22 years the company has never had a down quarter in sales. They have paid out in estimated retail profits and combined total commissions equalling over 2.5 billion dollars to UnFranchise business owners.
JR Ridinger: CEO
Loren Ridinger: Senior VP
Marc Ashley: COO
Vince Hunt: COO, Shop dot com
Dennis Franks EVP
Kevin Buckman VP
Jim Winkler VP Sales
Michael Brady CTO
Let’s examine what makes Market America and the UnFranchise Compensation Plan so unique!
First, as mentioned above, the UnFranchise business model is very different from a typical MLM. The number one reason for this is…
Compensation bonuses are not paid to recruit people into a downline.
This is extremely important because most MLM’s pay such a small percentage on the weakest leg, that in order to generate any real income, a consistent flow of new recruits must be maintained. In addition, most multi-level comp plans incorporate all kinds of restrictions and quota’s in order for the distributor to generate a commission or residual check.
With the Market America Comp plan there are three ways to get paid. In order to fully understand how this works, first let’s look at the different divisions available an UnFranchise owner has at their disposal.
The company advertises access to ten different multi-billion dollar markets with their exclusive branded products.
The Top Four Main Areas of Specialization Include:
1. Health & Nutrition – Isotonix & nutraMetrix
2. Motives Cosmetics by Loren Ridinger
3. TLS Weight Loss Solution
4. Ma WebCenters
Three Ways UnFranchise Owners Are Able To Earn Income With The Market America Compensation Plan.
1. CashBack – An UnFranchise owner will earn CashBack from their online transactions and their customers transactions.
2. Retail Profits – Provide products and services for 10 to 15 Preferred Customers in order to earn 30-50% gross retail profit.
3. Leverage Time – Develop & manage only 2 sales and distribution organizations then duplicate those efforts!
UnFranchise Owners are required to keep a Transfer Buy in place each month of 50 to 150 BV. (Business Volume) depending on the distributors level. The transfer buy doesn’t kick in until the 3rd month, which allows a business owner time to start generating income. (65 BV is equivalent to about $100.00)
Traditional MLM’s will require distributors to purchase what is known in the industry as an “AutoShip.” Most AutoShips range anywhere from $75.00 to $100.00 dollars monthly, and are a fixed business expense.
There are two distinct differences that jump out when comparing most MLM pay plans to the Market Amercia – Shop dot com compensation plan.
1. An AutoShip is very different from a Transfer Buy. Why?
Because most Network Marketing companies offer a very small scope of products the Rep can choose from, sometimes only one or two choices are available. If I sell MonaVie or Shakeology for instance, I am stuck with either an antioxidant health drink or a weight loss product that I must purchase. For most people it is a monthly expense they normally would not incur.
A true transfer buy exists when you can purchase the same everyday products you would normally buy, and not have it effect you’re monthly budget. Therefore transferring you’re spending from one place to another without effecting your wallet.
The Shop dotcom web portal makes it ridiculously easy for anyone to transfer their spending. With so many products in every conceivable niche, having what the industry calls an auto-ship, is painless. Not to mention, UnFranchise owners get paid to shop on their own web portal.
2. The simplistic vertical pay structure which makes up the compensation plan and how BV can be placed.
Here is what makes Market America and owning an UnFranchise business unique. Everyone is paid the same 100% BV throughout the organization they develop or are a part of.
Go back and read that again, I know I had to!
How is that possible you ask? Simple, BV/IBV points are capped at 5000.
The smallest paycheck the company pays is $300.00. Each UnFranchise owner is given 3 Business Development Centers (BDC) when they open their Market America – Shop dot com business. There are two separate banks per BDC, one for BV (Business Volume) the other for IBV (Internet Business Volume). They accrue separately and simultaneously. BV rolls over and remains active for 12 months, while IBV is active for 24 months.
Each time both banks reach 1200 points, (up to 3600 points) a $300.00 check is earned. Accumulate another 1400 points totaling 5000, that releases a $600.00 check. For a total of $1500.00. Both banks then re-set to zero and the process starts over. In time as your business develops and your organization grows, each BDC can earn $3600.00 per week. Once completing the cycle you can open another BDC at no additional cost and make up to $3600.00. There is no limit on how many BDC’s you can open.
In order to be eligible for commission checks one must activate, meaning finding two business partners. One on each side, left and right. Keep in mind, there are no bonuses paid for sponsoring a new business partner. Which in my mind is a good thing! There is no pressure that way to continue to recruit a million people (that aren’t going to work the business) for a small one time bonus.
Retail profits (on average) are 30% and paid on all customer product sales along with BV or IBV points which will generate commission checks as shown above.
Now, lets get back to the sentence I asked you to read twice… “Everyone is paid the same 100% BV throughout the organization they develop or are a part of.”
BV = points. Points = commission checks. 100% of everyones points will get you to the ultimate goal of a commission check far quicker than a traditional MLM company.
To make the compensation plan even stronger, Market America – Shop dot com allows you to place BV under any personally sponsored UnFranchise business owner. By doing so, the BV flows right back up to the top. It is a totally different dynamic. Talk about an incentive to help your teammates create their first check!
Most MLM companies only pay on the weakest leg. Typically 10% to 15% BV, 25% if you’re really lucky, but you can’t place it below a newly sponsored rep and have everyone benefit.
Even though the Market America compensation plan doesn’t offer vacation bonuses, car bonuses, or any of the other gimmicky bonuses a lot of network marketing companies offer, this is a powerful compensation plan with a myriad of products and ways to build a business, part time from home.
Do you shop online? If so, its time to get paid to shop! Check out the Shop.com portal, create a free account and start getting CashBack from all of your favorite stores!
Setting Up Your Shop.com Account is Easy, Fast & Free!
If you have any questions or comments, please direct them in the comment box below. I would love to hear your thoughts, especially if you have come across a more powerful comp plan you would like to share.
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