Matrix Comp Plan
The Matrix comp plan is sometimes referred to as a forced matrix plan, has many variations however the concept is the same. This network marketing structure has a set width and downline that you will be compensated on.
Due to the limited frontline distributors are encouraged to work their multilevel marketing downline through training and mentoring. Any new reps that are brought in after your frontline is full must be positioned under one of your existing downline. This is commonly referred to as “spill over” which you can also read about in “binary comp plan”. for example in a 3×5 plan you can only sponsor 3 front line reps and have the ability to earn 5 levels deep (earning from 243 potential reps).
Advantages: The advantage the forced matrix plan has over the Unilevel or stair step breakaway plans is this is a team atmosphere, motivating other for success meaning a better reputation. (less pissed off reps = less rip off reports). Also once your frontline is built, now you can focus your time on building your team and not babysitting.
Disadvantages: This team feeling does have its limitations however because as your team down and your tree becomes wider your incentive to work with the lower levels of your team becomes less and less. don’t get me wrong, there is money on those levels but if you didn’t train your team to be leaders.. you’ve got a lot of work ahead of you for a lot less money.
In a study done in the 80′s (which people are still talking about) found that the average “Network Marketing Rep” sponsors less than 3 frontline reps. this makes a wide matrix plan makes success harder than say a Binary comp plan. So when you’re doing your research make sure if it’s a Matrix it has a narrow and deep, this way you can still have the team work with a better chance of success.