From Obsolete Film
Is Market America a gimmick or perhaps is it legal?
Market America has been obtaining a large amount of attention recently. Online forums are a buzz whether or not Market America is really a Scam. The fast and simple answer is no...it's not a scam. However, after doing my research on this company I have found several troubling issues.
What exactly is Market America?
Based on Market America they are "a product brokerage and Internet marketing company that specializes in One-to-One Marketing." What's One-to-One Marketing? Only a fancy term for MLM or Multi-Level Marketing. And what exactly is a product brokerage? An expensive word for any wholesaler. They provide what they call an "unfranchise" for their members which allows the members to recruit more members and get paid commissions on their own purchases.
What do they offer?
Market America sells from shoes to financial lending. They do appear to really push their lines of generic health, personal care and anti-aging products. However, it's not necessary to buy them and there are name brand products available as well.
What's the Market America Comp plan?
The comp plan is just plain confusing...either they don't do a good job describing it or they purposefully made it confusing to cover what your real profits is going to be. So I did more research to discover exactly what their compensation plan is and just what their real payouts are. This is where it gets scary folks.
So I went to the Market America main site (no affiliate site) and that i couldn't find any more information on their own payout structure. Hmmm...I wonder why? And so i started a chat session with someone named Alex who kept saying to call their field office to reply to my questions (yeah right!...like I will fall for that certain simply to wind up on a hard sales call). After a lot of persistence Alex finally explained that I may find an exhibition with an affiliate website, but that some affiliates decide to turn the presentation off. I wonder why they would do this? So I did several searches and finally found an affiliate site which had a presentation and wow did my head start to spin. I needed to view the payout structure many times to understand what they were talking about. Now I know why most affiliates not show the presentation.
First to be able to qualify to start earning money you must purchase 200 BV (Business Volume) worth of product.
What is BV you may well ask? Yeah me too. So to friendly but frustrated Alex at the chat center, and again I'm continually told to make contact with their field office to reply to what BV is. Well not entirely Alex does produce some rehearsed meaning of what BV is but can't or maybe won't answer how much BV pertains to in dollars...you realize the funny green stuff us humans use down here on planet earth. And so i went back towards the forums and search engines scouting around for the elusive BV. Finally, I found it on some regional Market America Challenge site...it seems like they challenge their members to purchase specific products and when you win the task you receive preferred seats for their conference (that you still need to purchase). The BV exchange rates are variable and depends upon these products sold. BV is around 60-90% of the dollar worth of the merchandise. Most products seem to have a BV value of around or simply under 80% towards the dollar. So to qualify you have to buy approximately $250 price of products...hmmm that isn't bad I wonder why it is so secret?
Next refer a couple to qualify.
To begin earning money you have to refer a couple (who both buy 200 BV price of product) for your left and right business line.
Begin to make money!
You make money in line with the GBV (Group BV) and you are limited to 3 business lines...hold on you can add one more two business lines by doing something they call "Re-Entry". What's Re-Entry you may well ask? I've no clue and frankly I'm fed up with searching to find out how you can translate Market America terms and acronyms. Once both legs of the business line generates 5000 GBV each then you receive $1500. Therefore if BV equals approximately 80% and also you need 10,000 BV to earn $1500 which means your company lines need to purchase or sell approximately $12,500 price of product. Which of course means you obtain approximately 12% commissions. Sorry for that algebra problem.
Hold on it gets better...
Addititionally there is something called IBV. I understand you are going to ask so here is exactly what Market America defines IBV as "IBV (Incentive Business Volume) is the Unit (Point) Value assigned to an IBV Product/Service to calculate IBV Commissions". Are you currently confused yet...yeah me too. Also, now you can make even more money by registering for a Market America charge card and using it on all of your MA purchases! WooHoo!
So how much can one make?
The marketplace America presentation will show you how easy it is to create $10,800 a week or $561,600 annually! Ok...you would like the truth right? The fact is that based from the earnings statement for the Canadian form of the presentation only 2.07% of members make a lot more than $80,000 and 65.75% of members make $3000 or less and 44.89% make $1000 or less per year. Tip: always view the Canadian form of a business opportunity presentation because in Canada multilevel marketing companies must disclose the particular earnings of their members. So do you want to spend your time, money and effort the promote a course that has an average earnings of $1000 or less for almost 1 / 2 of their members?
To conclude: Is Market America Scam or Legal?
Market America isn't a scam and is legal. However, their payout structure is extremely confusing and the average members rate of success isn't very good. They do seem to have a wide range of products that will be able to entice most online shoppers. If you are planning to become listed on Market America achieve this for that products they offer not the business opportunity. Any business opportunity in which you only make $1500 commission off of $12,500 in sales isn't excellent for me. So my advice is to help keep looking and merely shop because you wish to shop, not to earn money.