Comparing Binary and Matrix Compensation Plans in MLM
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Comparing Binary and Matrix Compensation Plans in MLM
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Direct sales business success mainly depends on their compensation plans. Two such popular compensation plans are binary and matrix compensation plan. Lets discuss the key differences between them.
For a matrix plan, they have fixed width and depth. If the distributor number exceed the width, they are placed as the downlines of their downlines. They have Matrix completion bonus; level/position bonuses; matching bonus; sponsor/direct referral bonus.
In a binary plan, there are two legs. One is the weaker leg and the other is the stronger leg. Here commissions are based on the weaker leg. They have binary bonus (based on weaker leg sales); pairing bonus; matching bonus; sponsor/direct referral bonus; ROI; custom bonus.
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