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OurGWT Leader Lior Skaler recently asked us to take a look at the compensation plan of a company called Mandura – which claims that:
We were determined to create a compensation plan that favors the success of the IBO.Mandura is the first company ever to implement a compensation plan called the Straight Line Forced Matrix. With this revolutionary plan, once an individual enrolls as a Mandura IBO, any IBO that enrolls after them will fall into their organization, regardless of who personally sponsored the new IBO. At Mandura, we want you to understand where the commissions are going.
So who is this company, and is this a good thing – or revolutionary – or even noteworthy at all?
Mandura is yet another juice company. I’m sure it tastes great, has 10,000 health effects they can’t officially mention or prove, and is less filling. But its still yet another juice.
7 Income Streams:
1) Retail sales, up to 14.7%
$5 per bottle or $20 per case if people buy through your website, based on a $39 bottle, $72 for two, $136 for a case of 4. So that’s a whopping 14.7% commission at its best.
2) 1st Generation bonus
For anyone you personally sponsor, you get the same #s as above when they buy theirs monthly on autoship.
3) Bulk Order Bonus
If someone you sign up chooses a (ridiculous) 3, 5, 7 or 10 case MONTHLY autoship, you get bonus of $35, $55, $75 or $95 per month respectively
4) 2nd Generation Bonus
You make 1/2 of the first generation bonus on the autoship of your 2nd generation
5) Team Volume Bonus – the Straight Line Forced Matrix
20% of the overall compensation plan is put into a pool that EVERY member can potentially tap into… based on the sales of EVERY member in the company that joins after them. That sounds like a great thing right? Well… its a little more complicated than that.
They take that 20% and divide it up into 20 1% pools.Then they share that pool with everyone who qualifies for a particular rank. If you’re rank 1, you qualify for a share of 1 pool. If you’re tank 2, then you qualify for a share of 2 pools. If you’re the 20th rank – which is, I kid you not, “Grand Imperial Centurion” rank, you qualify for all 20 1% pools. Of course, the lower the rank pool, the more people that qualified for it, and the less anyone gets from that pool.
So that means that the people at the top rank get AT LEAST 20x as much income from this stream than a person at the bottom rank. But since WAY more people qualify for that rank, its probably more like 1000x as much, or more!
AND, that’s not all. Because only the people that joined AFTER you in the system count for your Team Volume Bonus. So the Grand Imperial Centurion who joined at the beginning maxes out far more than the guy at level 1 who joins 5 years later.
And if they didn’t reserve enough money for the top, they also have:
6) Group Volume Bonuses
http://www.manduracorporate.com/wp-cont … -rank1.gif
You get additional bonuses paid on up to 8 levels of purchases by your team. But there’s qualifications for the first 4 levels is based on personal purchases:
then later, you have a monthly group volume qualification FROM YOUR FIRST 4 LEVELS, in order to open up levels 5 to 8.
They range from $20 to $2 per case (from 1-8th level), and $5 to $0.50 per bottle.
7) Royal Bonus Pool
Based on total group volume, only for the Royal Centurion and above.
THE VERDICT: A MEAN GIMMICK
I don’t know about you, but if I’m a Grand Royal Centurion, I think these 1% bonus pools and the straight line forced matrix are great! If I’m just getting started, I’m wondering why the guys at the top are making 10,000x what I’m making. But at least I have my 14.7% retail profits. And tasty juice.
But realistically speaking, this is a classic example of the company making a huge deal – centerpiece even – out of an aspect of the comp plan that has zero or a small impact on the vast majority of people, but ends up making a lot of money for the people at the top. The 1st and 2nd generation bonuses as well as the Group Volume Bonus are all based on a unilevel, and ranks, and for most people are the main income stream. But then you have to hit constant and rising qualifications in order to make anything from these bonuses that make up a HUGE part of the total compensation. So in other words… its a system where a lot of people will make tiny cheques, and the people at the top will make a few enormous ones. And its competitive on the way up because the unilevel matters WAY more than your forced matrix.