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Below, you will see two different comparisons made by two different leaders. Read and enjoy. We put both up so one could get more information.
1. Direct Sales & Personal Customer Commissions
Before I even get into this, let’s be honest and really ask the question, “How much retail sales are really happening with this product?”. The reality is that in most direct sales companies, no retail ever happens. Why? Because people would rather join as a member and purchase at the member price. Because in reality, no one would pay such a high cost for such products when they could find similar products in Walmart for much cheaper.
With GWT, retail sales happen ALL the time at home shows, and people selling bling off their bodies and at tradeshows too.
With Visalus, the more you sell personally the more higher commissions you get. At the highest, when you personall sell over $2500BV of products, you receive 25% commission.
With GWT, your profit margins are up to 250% with the lowest margin well above 25%. No comparison here, GWT just pays more.
2. First Order Bonus
This is a bonus you receive when a new member enrolls and places their first order during the initial enrolment date. Enroller get 20%, 2nd enroller gets 10%, 3rd and 4th get 5% each.
In GWT, you could treat this as when someone joins the company, how much IA volume they join with. Diamond has $2250, Gold has $750, and Plangsten has $187.50. In either case, every single person on the way up receives 10% commission per cycle with this volume. So it goes from the first enroller, to the infinite enroller.
The difference to understand here is GWT treats even the first order as part of the Team Commissions which pays EVERYONE 10%, rather than treating the first order as just another bonus stream where only 4 people get paid on it. I would prefer everyone to get paid like the way GWT does it. Wouldn’t you?
3. Rising Star Weekly Enroller’s Pool
The main difference here is that Visalus sets aside 2% of the sales and tries to pay that to the Rising Star people. In GWT, they take the 2% and pay it out to everyone equally. Again, as much as I am a “Rising Star” in GWT, I would rather my team equally split the companies 2% rather than putting it in my pocket. The Rising Star already make enough money, let’s share the money equally with everyone.
4. Fast Start Bonus
This applies to people who have achieved certain ranks. I’ll start off by saying that if you see a company with ranks, you should run away. Why? It means that not everyone is able to earn this type of income. With GWT, every income stream is available to every single person.
Also, the way this work is if you enroll someone at the ESS package, you can earn a $50 bonus. With GWT, you earn $50 whenever you enroll anyone from Silver, Plangsten, Gold, or Diamond.
In VISalus, they have additional overrides if you are a higher rank. The main thing to understand here is that in any company, you are either receiving more up front bonuses and lower residual income, or low up front bonuses, and higher residual income. In VISalus case, they have a lot of up front bonuses but lower residual income. For me, and many others, I would prefer a higher residual income because that is what we are working towards.
5. Team Commissions
Here is the juicy part. This is the part that everyone joins Network Marketing for. Unfortunately, VISalus uses one of the oldest compensation types in the industry which is the Unilevel Pay Plan. It means that you can have as many legs as you want. More recently, most compensation plans are binary in nature because you only have to build 2 legs.
In VISalus, when you first start out, you only receive 5% commission from your first 2 levels. In other words, any sales that comes through people in your third level and down to the very last level, you have no part. As you progress higher in ranks (and again, we know all understand why ranks are no good because they make the plan unfair), the more levels you get. And it remains at 5% all the way down to 8 levels. If you are lucky enough to hit Ambassador level, only then can you possibly get 2-4% of level 8 downwards…but only to the next Ambassador… so it’s not really to infinite.
Simple comparison with GWT, is with GWT you will receive 10% commission from the very first level, down to the very last level on day one and there are no ranks in GWT. Everyone has the same plan to follow and the same ball park to play in… it’s simply fair!
So you may wonder why do companies use ranks? It’s simple, first, they need big stories of people who make a lot of money to try to attract more people. Second, the company simply can’t afford to pay out huge residual incomes so they have to put in place ranks to restrict the flow of funds from the company to the members. In GWT, you have a naturally high mark-up profit margin which means they can simply pay their members a lot more without having to install ranks into the compensation plan.
As a way to understand, we have to look at the Earning/Distributor ratio which is how much do you earn per distributor in your team in regards to residual income. In VISalus, they have an example that says if you had 9840 people from which you sponsored 3 Active Associates who each had a $49 Balance Kit, and that was duplicated down to 8 levels (a very highly unlikely situation), you would then earn $72,324/month. So, to find out how much you would earn on one person, take the $72,324 and divide that by 9840 people which gives you $7.35 per person. In GWT, if you had 9840 people at the $75/month IA, that would give you $73,800/month in residual income and those can be from the first level down to the very last level (not just the first 8). If you had 9820 at Diamond which is $150/month that would earn you $147,600/month. Pretty simple to know which one is easier to earn.
However, this also isn’t as accurate. In VISalus, to be active, everyone must pay $125 PQV. So in GWT, if you had 9840 people paying $125 PQV per month, that would be $1,230,000 in sales which would pay you 10% which is $123,000/month in residual incomes. Would you pick $73,800/month or $120,000/month for the same effort? Almost double with GWT!!!
Not to mention in VISalus, their team commissions are paid monthly. In GWT, you get paid weekly!
Lastly, with VISalus, the longer you are in business the more money you leave on the table. Why? Because you don’t touch anything from level 8 onwards. So imagine if you had 30 million dollars of sale, 2 million which came from the first 8 levels, it means the 28 million dollars of sale from level 8 and onwards you never receive commission on.
Leadership Depth Bonus
We basically covered this in the previous section where you can get from 2-4% from level 9 down to the next Ambassador. Again, with GWT, you get 10% from the first level down to the very last.
6. BMW Bonus
With GWT, you get your choice of one of 7 seven cars to pick from, not just one BMW. Not to mention their car program is actually you putting your name on the lease contract. If you can’t maintain your qualifications, guess whose paying for the BMW now? In GWT, once you qualify, the cars is YOURS without any more qualifications.
7. Leadership Pool
Again, the company tries to set aside some of it’s revenue to create those huge stories but what that does is it takes revenue from paying other people within the company. In GWT, everyone gets more residual income equally and not just the top people. Even at my level, I would prefer my team to get paid more than the top people getting more income. Why? Because I believe in helping your team earn income. The top people are already earning great incomes.
8. Ambassador Star Bonus
Do I really need to go into this? Does this apply to even 98% of the people who are currently in VISalus? Of course not. And again, this is the company trying to create those huge stories to attract more people by setting money aside for people already making good income. In GWT, everyone gets paid fairly.
Other key differences
1) Visalus total payout is 60%. In GWT, it’s 70%. Pretty obvious here.
2) Active. To be active in VISalus you must pay $125PQV per month to be active. With GWT, it’s only $35 or $75 or you can choose $150.
3) In VISalus, you have 30 millon other people competing against you selling similar products. In GWT, there is not one other direct selling company that sells our products. On top of that, worldwise, no one has 19K, 21K and Plangsten! So what does that mean to you? It means you may make some decent money with VISalus (although for the same effort you can get more with GWT), but how long will that income really last? When you have such a competitive product and so much competition, these companies go for about 1-3 years and then usually sizzle away. Think about how many companies you’ve heard of that are just opening, and have some remarkable health products… how long have they lasted in the past?