I’ve been rereading VEMMA’s newly approved comp plan… where in order to get paid – starting today – on one’s organization (the bonuses or overrides on ALL volume in your group) – the rep’s organization volume must be 51% customer orders. That means, customers who are not also reps.
This will have some massive fallout for company leaders wherever the 51% Customer rule is in force… Right now, just VEMMA.
How many reps with incomes over $1,000/mo – in ANY company including VEMMA – would qualify to get paid the 3-5% bonuses on their entire organizations (where most of the money IS once you BUILD an organization)…
…if the comp plan in their company required that 51% of the organizational volume had to be from CUSTOMERS – who are not also reps?
The rule says if that organizational volume is not 51% from customers who are not also reps, no bonuses are allowed to be paid. Zero.
This is a very big thing.
It will affect ALL the leaders in VEMMA.
And if implemented in similar companies, any leaders will see drops in their incomes. Because. It will take TIME to build up enough customers – who are not also reps – to equal the volume from all the distributors in those organizations.
And if the top leaders who’ve worked for YEARS to get where they are suddenly can’t get paid on the organizations they’ve built…
Here’s the other bad news about that likelihood –
ALL companies in our industry RELY primarily on their few leaders to build all the little heaps all the way down. If those who built our NM companies don’t get paid on their group volume (that typically includes nowhere close to 51% customer orders from non-reps), what would happen to those leaders?
Yes, the company would keep all that money, but NOBODY wants that. Least of all the companies. Because in no time, without the leaders, much of the distributor base falls away.
That’s what I’m pondering right now. Will sleep on it. Hope to see some enlightened suggestions while we digest this news of the 51% customer rule.
PS If you earn under $500/mo this won’t affect you much. If you have 20-30 customers and earn say $10-15/each, you’re not going to be affected. This is about top leaders with organizations they’ve built over many years, and most have very few customers that are not also reps. Much less 51%. That’s not been the focus of the traditional network marketing model.
I’m sure there’s more to come as the implications of the “approved pay plan” for VEMMA is implemented by them, and who knows who else.
PS A VERY good reason to be building YOU first. Then, whatever you’re marketing. At least you know you’ve got YOU. And that people will be attracted to YOU, Inc. 🙂
PS Ready to get YOUR 100 Customers in 100 Days?
Think what would happen to companies such as Amway and Melaleuca if this rule were implemented? Devastating repercussions….