How Does the Compensation Program Work?
Patented 8-Point Compensation Program
We believe in empowering people through the direct-sales marketing system.
Instead of paying for marketing and advertising, this incredible company uses a direct sales strategy, and instead pays a commission to the distributors who helped make that referral sale happen.
Each sale ends up paying out about 54% commissions, and the company uses this direct sales model instead of employing its own marketing/advertising and sales departments.
The compensation plan is PATENTED -meaning no other businesses in the direct sales industry can use because it is so unique.
It is based on different sales channels, and on different levels or ranks. The higher the level or rank, the more commission points that a distributor will earn.
When a sale is made, the commission is split into eight different portions (referred to as points), and paid to distributors according to the “points” they earned on that sale.
As a distributor, you advance left to right through various levels or ranks, and earn additional points of commission for each rank they achieve.
You advance to higher levels (1a, 2A, 3A, etc.) based on your own direct sales as well as your group’s combined sales.
As you move up in rank (level), your commissions will also increase. For each new direct sale you make, you sponsor a new sales channel under that person.
If that person makes sales in that channel, you will earn commission on those sales based on the rank of that sales channel.
When a sale is made, the commission is split into eight different portions (referred to as points).
You’ll get a portion (or point) of this commission based on your level (rank) within the company.
Your level (rank) is determined based on how many sales (individual and team sales combined) that you have made.
For every single sale that is made there are eight points that are paid out.
Instead of paying for marketing and advertising, the company pays to its independent distributors instead.
On each sale, the company pays out about 54% in total distributor commissions, instead of spending that on salaried employees, or on marketing/advertising and sales budgets like other traditional companies.
Starting Out and Ranking Up
On your first two referrals (sales), you earn 1 point commission on each.
You’ve now opened up two referral lanes (known as your 1A lanes).
The third referral sale (direct sale) you make moves you up in rank to 2A. This rank pays 2 points of commission for each sale in all referral lanes opened at this level (rank 2A).
Once you have accumulated ten total sales (the combined total of your individual direct referral sales plus your teams’ sales), you then qualify for an advance to the 3A level, and you will earn… yep, you guessed it… 3 points commission on all sales in this next level.
As you and your team continue to sell additional products, you can advance to 4A (20 sales), 5A (50 sales) and 6A (100 sales) levels. And you can continue to increase in rank from there as well!
At the 6A level, after selling a combined total of 100 machines, you will earn 6 points of commission on every 6a channel sale. As an example, that is $2040 for every K8 sold in this channel.
What is important to remember is that for a new sale made in your 2A lane, you would make 2A commission which is equal to 2 points on that sale. Once you advance to a higher rank, say 3A, your next direct sale would open a new 3A sales lane, earning 3 points of commission. But if someone in your 2a lane were to make a sale in that lane, you would still only earn the 2A points because it is in your 2A lane, and not your 3A lane.
Any points you’re not qualified to earn (based on your rank and/or sales channel), they go up to your sponsor, and then to your sponsors sponsor, and then to your sponsors, sponsors, sponsor… until all 8 points have been distributed.
And as you sponsor others, any points left over from them, and their sales will pass upwards to you based on the remaining points.
Remember, with this patented compensation plan, the commission points earned are capped at an 8-point maximum, so you will be paid out fully on downline sales as long as those sales are within 8-points.
Most often, as your team members are sponsoring other new team members of their own, you will earn commission on those referral sales based on the sales channel they occur in.
However, there are times on indirect sales when you may not receive your own full point commissions, depending on what’s left as the 8 points are distributed from the person who made the sale, upwards to you. (see diagram above)
Lets look at the pay using some actual commission point values.
For the K8 machine, the commission point value is $340 per point.
As you can see – the basic compensation plan can pay some pretty high commissions and this is one of the reasons why it can make such a tremendous financial impact in your life as an Independent Distributor
Since this is a lot to grasp in written form, I have included a video below – It’s one of my favorite video’s because it shares some background about the company, discusses the advantages of becoming an independent distributor, and of course discusses the compensation plan we looked at above.
This video was made by another distributor, and until I make my own, I have decided to share his. That’s another thing I love about this business – we are all here to support each other and help each other succeed.
If you feel compelled to contact me for more information after you watch this video, I’d be honored to connect with you.
Like any business, there are several awesome team building and wealth creation strategies that you can implement when you start your business, to maximize your growth and profit potential.
With these strategies, you can also increase your long-term bonuses and learn how to “rank-up” more quickly, and earn more commission points with less sales.
You can even add new positions for yourself under your main ID by purchasing additional products.
Purchasing multiple products allows you the ability to use and thereby sell a wider variety or machines, because you can speak from experience about their effectiveness.
Purchasing multiple products also allows you to earn commission points on multiple positions, thereby increasing your total commissions earned.
You’re even allowed to have more than two positions – but we will talk more about that later.
For more about some advanced compensation concepts, take a look at the most popular Team Building and Wealth Creation Strategies used by many of the most successful Independent Distributors.
If you are interested in scheduling a complimentary discovery call specifically regarding these Advanced Wealth Creation strategies, please click to access my Advanced Strategy Discovery Call scheduler here.
I do offer hourly advanced strategy business success coaching for existing distributors as well – be sure to book that FREE discovery call if you’re interested in learning more!
If you have questions, would like to learn more about these industry-leading water ionizer machines, filtration systems, or if you'd like to learn more about creating your own income stream with this amazing business model, then message me, or Schedule Your FREE Discovery Call Now!