ARIIX

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http://ariix.com/

Ariix as many people will tell you was started from a few people who came from the USANA group.  But in the end, it’s a company entirely on it’s own and separate from USANA.

Their compensation plan can be found here.

http://www.ariix.com/pdf/COMP-PLAN-HIGHLIGHTS.pdf

And before going through the comparison, I highly suggest you watch the compensation pitfalls training below first.

http://ourgwt.com/ourblog/training-master-list/compensation-plans-made-simple/

By understanding the above, you’ll much easier understand compensation plans as a whole but also understand what I mean by GAME-OVER in the below comparison.

ARIIX payout is 50%.  At GWT, payout is 75%.  GAME-OVER.

Do we need to go in any further?  No, but we’ll do it anyways.

1) Retail Sales
Every company has to have retail sales but the question is do retail sales actually happen?  When it comes to nutritional products like ARIIX, it’s much more common for someone to join as a member or preferred customer and buy at the members pricing rather then retail.  The beauty about GWT is that their products lend to much more of a retail potential through home parties, trade shows, look books and catalogues, etc…  With GWT, their profit margin is unmatched at 100% retail profit.

2) The main residual income comes from ARIIX’s MULTILINE Infinite Wide and Infinite Deep compensation plan.  On paper it may look fancy and exciting but once you watch the training on compensation plan pitfalls you realize the biggest issues here.  The fact that they promote infinite wide means an instant “GAME-OVER”.  Why would one want to have to build more then 2 legs and build infinite amount of legs when building 2 legs is the easiest?  The simple question that I always ask people is why does a company make you build more then 2 legs when 2 legs is the minimum one has to build?  Again, if you had 10 people you brought in to the business, then going infinite wide you would place one person on each leg (so none of them get benefit of you placing below them).  In GWT, with a binary system, you simply place 5 people on one leg, and 5 people on the other leg and now, everyone benefits.

The other issue with the ARIIX compensation plan is that they have what’s called the POWER line (or your biggest leg), and then your PAY lines (which are your smaller legs).  And they pay out 15% on the PAY lines.  Let’s do a simple comparison here.  Let’s say on your POWER line you had 20,000 volume, and on your PAY line you had 10,000 volume.  At ARIIX, it would pay you 15% on the PAY line of 10,000 which is $1500.  At GWT, it would take 20,000 volume add the 10,000 volume which is 30,000 volume and then pay you 10% which is $3000.  So simply, GWT pays you 100% MORE then ARIIX.  And GWT is easier because you don’t have to build multiple legs.

Let’s take another example.  Let’s say at ARIIX you had 100,000 volume on the POWER line, and 50,000 on the PAY LINE, it would then pay you 15% on the PAY line of 50,000 which should be $7500.  BUT, at ARIIX, the maximum pay on any line is $2000.  So you would have received $7500 but they capped you at $2000 (which really sucks).  At GWT, it would take 100,000 plus 50,000 which is 150,000 and then pay you 10% which is $15,000.  At GWT, the maximum per BC is $10,000 so you would take home $10,000 instead of $2,000.  Do you want $10,000 or $2,000?  GAME-OVER!

But really think about this, the longer you are in business the harder ARIIX becomes because you constantly have to open up new lines.  Isn’t it just logically easier to only every have to build two legs?

In the end, ARIIX has matching bonuses but so does GWT.  ARIIX has cruises, cars, and trips and so does GWT.  But GWT also has the global revenue sharing which I didn’t see so far from ARIIX.

But regardless, the most important part of a compensation plan is the residual income which comes from the team commissions.  It’s how you can sleep at night knowing your income is stable and not reliant upon bonuses which are unstable.

Two quick other points as well that came in after.

1- their product  is 15% ..ours start at 20 all the way to 50%

2- Smoking gun is they promote buying centers in cross lines teams. Not only it’s ILEGAL and why Skybiz  got shut down, the worse is no one’s team is safe as everyone buy multiple centers in other teams and build where they want and not in their sponsors line. WHO WOULD ALLOW THAT …imagine the mess and grievances this creates as dist keep jumping ship to another line and the upline doesn’t benefit from it. This alone is GAME OVER because it completely wipes out any security you have in earning long term residual income.

And most importantly, please read the below which talks about the industry of products that ARIIX is in.

WANT versus NEED

It’s easier to sell a want then a need. Want is more powerful then need. For example, people don’t need to smoke, but they want to. People don’t need to drink, but they want to. People don’t need to buy designer labels, but they want to. In nutrition, selling a need was good many many years ago. When there was only a few nutritional companies or telecom companies or utility companies. Nowadays, there are too many choices amongst MLM and even the local grocery and pharmacies to buy nutritional items. In GWT, people are happily saving money into their IA to one day buy the item they’ve always wanted and have been saving up for.

Education in products

In most health companies, you have to become half a doctor to be able to effectively sell their products. In GWT, everyone knows what a watch is, jewelry, etc… so it’s SUPER simple.  In nutrition, you have to not only become half a doctor, but also you need to train your team on how to become half a doctor.  Duplication is key and the longer it takes for someone to learn about their products, the longer the duplication process.  And the more learning there is in a system, the more complicated it can become, and you can potentially lose a lot of your team due to this.

Competition

According to the DSA, there are now 96 million people worldwide who are in the health and wellness industry.  As great as companies can be, if there are too many people competing against you, it’s almost impossible to make those huge incomes as you always wanted.  If you had joined these huge companies when they first got started 20 years ago, you’d be in a good situation because there wasn’t that many companies back then in health and wellness.  Today, every month or even every week there is the newest latest and greatest health and wellness company.  And I’m constantly being approached by these company’s to join them, bring a team over, and they’ll give me some type of joining incentive (cash, inherit a downline, etc..).  In summary, if you’re today in a health and wellness company, it’s almost pointless.  Even if you establish a huge team, after a few months, when the latest and greatest company comes out, most of your team leaves you and now you’re back to trying to building a brand new team.  The industry retention ratio is roughly 10-18% so that means after one year with 100 people, only 10-18 of them are left.  It’s exhausting and if that’s the deal in health and wellness companies, then no thank you!