Organo Gold


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News Flash – Special Investigation: Organo Gold Federal Investigations
http://www.krgv.com/news/special-investigation-organo-gold-federal-investigations/

There’s now 2 healthy coffee companies fighting it out, with similar compensation plans, and similar claims of how their magic mushroom coffee and other drinks are the latest and greatest in the health and wellness space today.  But really, since I last did this post there have been numerous other coffee companies with the most recent issue with GANO EXCEL and GANO LIFE.

UPDATED August 5, 2013.  I just wanted to add that there are actually more coffee companies out there now who specialize just in coffee.  The newest one is a healthy AND WEIGHT LOSS coffee called Javita and there is one other one but it slipped my mind.  How fun is that constantly competing against the latest and greatest coffee company?!

Gano Excel has been around for a while, and early last year changed their compensation plan from a Unilevel to a Binary, causing major uproar within their company as they realigned the downline and a bunch of people left, and some new leaders came on board.

Organo Gold is a copycat that started up more recently – and is run by one of the former partners. Sound familiar? Like another ACN telecom spinoff, or the infamous rival pad companies.

They have similar products and both use a low-paying binary, but there’s a number of differences in the specifics of their compensation plans… though the overall ideas and rank-restrictions are similar. I bet a bunch of Gano leaders recently left for Organo Gold. And as more and more people find alternative sources (and cheaper over time) of Ganoderma coffee, residual income will dry up. It may be hot now, but something else will be hot later.

To summarize both vs GWT – GWT has a higher paying binary, more focus on fairness so that the people getting started have the same potential as the people at the top based on new volume, we have a better up front strategy with the support bonus and our packages include more product that you get full credit for up front, and our products can actually be retailed. With their low cost, they would need an army of distributors to make the kind of money we can with our products, and massive amounts of retail sales.

In other words, GWT’s compensation is completely in a whole other level with no “GAME-OVER” clauses that Organo Gold has.  Take a look here to understand.

http://ourgwt.com/ourblog/compensation-plan-pitfalls/
Organo Gold
http://www.beorgano.organogold.com/NA/compensationplan.asp

Updated August 5, 2013.  I’m now looking at this compensation plan as the comparison which I’ve updated below.

http://www.lifefxglobal.com/pdf/OGCompensationPlan.pdf

A Summary first, then the details. This is a typical highly rankified binary, where the people at the beginning make very little because its a low cost, low margin product that they have to keep buying, and the binary comissions go up as you go to higher ranks, and you need more sponsorship and specific volume requirements to hit higher ranks – then they keep loading more and more bonuses you need to qualify for… which is cheap for the company and means the new guy starting out can barely make anything and has to really fight through at the beginning. At least they do have some Fast Start Bonuses, but on the small packs they’re so small that its just a drop in the bucket.  “GAME-OVER”  Anything with ranks.

Retail Profits:
50% profit on the website, and up to 500% if you mark it up more to your customers is what they say. I’d like to see someone mark it up 10x what shows on the website and see what kind of sales they get.  In GWT, it’s 100% retail profit and people actually retail in GWT with Branding Parties, etc…

Fast Start Bonus:
You make a sort of wholesale profit depending on the package someone buys – so they do have between $20 – $150 depending on the package someone buys.  In GWT, you always get $50 wholesale profit plus the 5% IA match which is $112.50 worth.  So at GWT, even if someone comes in at the lowest package of Silver, you’re still earning $50 which is sure better then $20.  And if someone comes in at the highest package of Diamond, you’re still getting more with GWT.

Dual Team Commissions:

Another fancy name but it’s just a binary bonus.  Note here that THIS IS NOT RESIDUAL income, this is just a bonus.  I read in the fine print below.

“Only First Orders and Builder Packs are calculated for Dual Team.”

So you simply have two legs and you get bonuses for first orders and builder packs.  So again, this is not your residual income.
They pay out in cycles of 300 points and carryover the rest. They are yet another that pays out based on the smaller leg, yet take volume from both sides.  “GAME-OVER”.

This also means that it has to be a 50/50 plan because if you don’t have the 300 on the other side, you’re not getting paid out.

To start, its 10% of the small leg, meaning 5% of the overall if you do 50 personal volume per month.  Why?  Because if they’re saying they pay you 10% on the weaker leg, but they took the volume from your bigger leg, it means that you required twice as much volume to get paid the same amount so a direct volume to dollar payout means it wasn’t 10%, it was 5%.
15% if you do 100 personal volume per month as a Consultant, again which is really 7.5%
20% if you do 100 PV and are a Gold Pack or Sapphire qualified or above, again which is really 10%.

At GWT, from the first day that you join you receive 10% points to dollar, or 8% dollar to dollar on each and every single person from the first level, down to INFINITY!!!

Weekly earning potential is based on your rank:
Dual Team Earning Potential

THE FINE PRINT!

So in Organo Gold, for your to carry over volume, there have a rule.

Carry Over Rules: Should a Distributor remain inactive, any accumulated volume for the current commission period will be flushed. If the Distributor is active, but not Dual Team Qualified (1) the accumulated volume will not carry over the first month (2) 1/2 of the total volume in each leg will be flushed the second month, and (3) 2/3 of the total volume in each leg will be flushed the third month. If a Distributor meets the weekly Dual Team payout cap, any unused volume from the Pay Leg will be reset to 0, and the unused volume from the Strong Leg will be carried over.
This is a HUGE “GAME-OVER” clause because what it means is that if you don’t have at least 2 people in your team (one left and one right) you don’t carry over any volume in the first month.  The second month half of the total volume in each leg is flushed, third month 2/3 is flushed and after that I’m assuming it’s all flushed!  At GWT, even if you sponsor no one, as long as you keep your monthly IA contributions of $35/$75 or $150 you ALWAYS accumulate your volume!!!

Unilevel Commissions:

This is the meat and potatoes and what everyone wants in a compensation plan which is the residual income.  Unfortunately, with Organo Gold’s compensation plan, it falls into many “GAME-OVER” clauses which I’ll mention now.  Firstly, with a unilevel compensation plan, it doesn’t pay down to INFINITY.  “GAME-OVER”. Would you rather get paid down to 9 levels but requires you to reach a certain rank which most people don’t OR would you rather get paid down to INFINITY from day 1 with no requirements to reach a certain rank?

So when you first start out, you will get 5% commissions from the sales from your downline but only down to 3 levels.  “GAME-OVER”!  Again, you’re not getting all the levels without working for it and you can’t even get all the levels even if you’re a Crown Ambassador Consultant.  Here are the ranks you have to try to achieve which most people never do!

Marketing Associate, Supervisor, Consultant, Sapphire Consultant, Ruby Consultant, Emerald Consultant, Diamond Consultant, Blue Diamond Consultant, Black Diamond Consultant, Crown Consultant, Crown Ambassador Consultant.  WOWWWWWWW… that’s not going to be easy at all!

But back to the unilevel, once you reach Sapphire, you then get 4% (not 5% like the first one) on the 4th level, hit Ruby then you get 4% on the 5th, hit Emerald and get 3% (not 5%, not 4% like the ones before) on the 6th level, hit Diamond and get 3% on the 7th, hit Blue Diamond and get 2% (not 5%, not 4%, not 3% like the ones before) on the 8th level, and when you reach Black Diamond you get 1% (not 5%, not 4%, not 3%, not 2% like the ones before) on your 9th level.

Simply put, GWT pays 10% points to dollar or 8% dollar to dollar from the 1st level DOWN TO INFINITY!!!

By the way, if you actually look at what it requires to reach those higher ranks, I think you’ll realize it’s next to impossible.  Here is an example of the Blue Diamond (it’s a CRAZY INSANE juggling act!)

– Generate at least 200 PQV per calendar month. AND

– Accumulate at least 500,000 GQV per calendar month from the sales of your Unilevel organization with no more than 30% of the GQV coming from a single Unilevel leg. AND
– Help at least ten (10) of your personally enrolled Distributors become qualified Consultants or above (5-Left Team and 5-Right Team) per calendar month. AND
– Generate Dual Team Commissionable Volume (CV) of at least 100,000 on each Dual Team Leg (Left and Right) per month.
So why work with a compensation plan that requires you to reach certain ranks when at GWT, you have no ranks to achieve to unlock the full payout?!

Unilevel Matching Bonus:
If you qualify at your level, you can make matching bonuses too.  But don’t forget that the matching bonuses are paid on the UNILEVEL part of the plan.  So let’s compare here.  In Organo Gold, you’ll get paid 10% at first on your 1st Generation, and your 1st Generation earned either 5%, 4%, 3%, 2%, or 1% on their unilevel commission so at best, you’re taking 10% of 5%.  At GWT, you’re taking 10% of someone’s team commission cheque of 10%.  So GWT is simply better here.

To take it a step further, if you were the higher rank and take 20% of someone’s 5%, then you’re just matching GWT’s matching bonus but don’t forget that in most cases, your people are earning 1-4% and those people are also not earning %’s of people past the 9th level.  Where as in GWT, your people are earning 10% on the first level down to infinity so you’re taking a bigger percentage of a bigger percentage.  This is tricky because most people don’t learn to look at it this way.

Here’s the whole breakdown below but it’s pointless looking since you know what you know now.

Consultant 10%
Sapphire 20%
Ruby 20% 1st level, 10% 2nd level
Emerald 20% 1st level, 10% 2nd level, 10% 3rd level
Diamond and above 20% 1st level, 10% 2nd level, 10% 3rd level, 10% 4th level

Generational Leadership Bonus (Paid Monthly)

This is simply just another small bonus that tries to give you more when you have other ranked Sapphires and above in your team.  In this bonus, you can earn an additional 2-5% on your first 4 generations but the question is, why not just give this 2-5% without having to work for it in this bonus?  At GWT, you unlock the full potential of residual income from day 1!

Global Pool

Every company has this but Organo Gold is only sharing 3% where at GWT it’s 5%.  For 99.99% of the people out there, this is not something you should concerned about because they never get these ranks to earn it.  And also, majority of the people would rather make more money in a plan earlier on then only if you hit these crazy ranks.

You may have noticed that ranks and continual qualifications are important in this plan. Here’s the ranks, which require specific numbers of enrollment on each side, personal volume, and team volume. Typical of ranks, the early ones are easy, the later ones harder and harder.  “GAME-OVER”

Generational Bonuses & Global Bonus Pools

The higher your rank, the more additional bonuses you get on the entire team.

Ranks

Representative
• Purchased an Organo Gold marketing kit

Marketing Associate
• Has a Dual and has 50PV for the qualifying month

Supervisor
• Marketing Associate who has at least 500 PV or has sponsored 3 Promotional Product Packs

Consultant
• Qualified associate who has sponsored any of 5 Promotional Product Packs or accumulates 1000 PV.
• Must maintain 100PV for the qualifying month.

Sapphire
• $5000 week Dual Team earning potential
• 14,000 PGV in Qualifying Month and 100PV
• Must have 2 personally enrolled Qualified Consultants on both left and right team.
• Qualifying volume subject to the 40% rule.

Ruby
• $10,000 week Dual Team earning potential
• 40,000 PGV in Qualifying month and 200PV
• Must have at least 3 personally enrolled Qualified Consultants on both left and right team.
• Qualifying volume subject to 40% rule.

Emerald
• $15,000 week Dual Team earning potential
• 80,000 PGV in Qualifying Month and 200PV
• Must have 4 personally enrolled Qualified Consultants on both left and right team.
• Qualifying Volume subject to the 40% rule.

Diamond
• $20,000 week Dual Team earning potential
• 200,000 PGV in Qualifying month and 200PV
• Must have 5 personally enrolled Qualified Consultants on both left and right team.
• Qualifying volume subject to the 40% rule.

Blue Diamond
• $30,000 per week Dual Team earning potential
• Qualified Diamond with 500,000 PGV
• No less than 100,000 PGV on either dual team side.
• Qualifying volume subject to the 40% rule.

Black Diamond
• $40,000 per wk Dual Team earning potential
• Qualified Diamond with 1,000,000 PGV
• No less than 200,000 PGV on either dual team side. Qualifying volume subject to the 30% rule.
Crown Diamond

• $50,000 per week Dual Team earning potential
• Qualified Diamond with 2,000,000 PGV
• No less than 400,000 PGV on either dual team side. Qualifying volume Subject to the 30% rule.

Crown Ambassador
• $75,000 per week Dual Team earning potential
• Qualified Diamond with 5,000,000 PGV
• No less than 1,000,000 PGV on either dual team side. Qualifying volume subject to the 30% rule.

*30% rule implies that no more than 30% of the Required Qualification Volume can come from one Personal Enrollment Tree leg.

**40% rule implies that no more than 40% of the Required Qualification Volume can come from one Personal Enrollment Tree leg.

All in all, it’s “GAME-OVER” for that most people never reach the earnings they publish above.  In GWT, you get the highest access to payout from Day 1 with no ranks.