Comparing Binary and Matrix Compensation Plans in MLM
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…
The skinny
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