TOP SEVEN BENEFITS
OF THE XANGO COMPENSATION PLAN
INTRODUCTION.
At first glance, the XanGo™ Compensation Plan appears simple.
IT IS.
This pay plan can be explained in fifteen minutes and is
quickly understood even to newcomers to network marketing.
At first glance, the XanGo™ Compensation Plan may also appear to some
people as simplistic and unexciting.
IT'S NOT.
Delving into the components of this plan, one finds undeniable
and substantial reasons to find this plan to be genuinely exciting,
most lucrative, completely equitable and refreshingly honest.
Here are seven key reasons why you just have to love this plan.
1) IT'S SIMPLE AND EASY TO EXPLAIN.
Although it takes a few minutes to explain, those of us who've
worked other plans probably know just how complex a plan can be.
But pay plans that leave people with their head spinning is an
obstacle. The more people understand, the more confidence they
have that the plan can work for them.
XanGo™'s pay plan is wonderfully and refreshingly very un-complex.
Combined with the other easy-to-understand components of our
story, this fuels duplication and ignites the growth of
our organizations!
2) XANGO's UNILEVEL IS BUILT RIGHT.
A well built unilevel allows everyone to be successful. I call it
"the pay plan of the people" because part-timers can still
potentially get a substantial pay check. Because our product is
consumable, income is truly residual.
Here are some outstanding aspects of XanGo™'s unilevel:
*THERE IS NO LEG BALANCING! You can literally have all your
volume in ONE LEG! Compare that to other unilevels
wherein you can not be paid on the vast majority
of your sales volume because you are not "balanced"
between multiple legs.
*YOU CAN GO TO THE TOP OF THE PAY PLAN WITH 3 PERSONALLY ENROLLED DISTRIBUTORS. Naturally, you will want to
personally sponsor more, but you only need three
who duplicate...and if they end up in the same leg,
you can still have a great check! (Although this
is true, we are still recommending that one attempt
to have three distinct legs, as this tends to keep
the volume higher up in your pay stream which, in
turn, as your organization builds deeper, tends to
keep your paycheck higher.)
*BECAUSE YOU GO TO THE TOP BY HELPING AT LEAST THREE BECOME SUCCESSFUL, THIS PLAN INHERENTLY ENCOURAGES TEAMWORK.
We have a saying that "team work makes the dream
work." The only way a distributor reaches the top
position of premier (or any other title along the
way) is by helping their personally sponsored
distributors. This fact encourages "stacking"
distributors - placing people under people and
working closely with one's organization. Contrast
this dynamic with other pay plans that mostly
reward more and more personal recruiting without
helping those already onboard (or worse, offer
disincentives to helping others - such as your
"getting blocked" from certain bonuses when your
own people advance in the pay plan)!
*REASONABLE MONTHLY QUALIFICATIONS.
In the beginning, simply
order at least one case of XanGo™ per month and you
receive your monthly check. At no achievement level
are you required to order more than two per month.
That's it. No high pressured sales requirements to
recruit half the world every month to be paid
either.
*GET PAID UP TO NINE LEVELS DEEP!
As you progress in
your achievement titles, you get paid up to nine
compressed levels in your organization.
3) NO REDUCTIONS/RATIOS ON VOLUME.
In simple English, what this means is that when you spend one hundred
dollars, you are credited one hundred dollars for your personal
volume. When someone in your organization spends one hundred dollars,
a full one hundred dollars is added to your group volume (GV).
Sounds logical, right? Yet, most nutritional company pay plans
usually convert every wholesale dollar spent into a fraction,
variously called CV (Commissionable Volume), BV (Bonus or
Business Volume), "points" etc. For example: You purchase a product
costing you $100 wholesale. The actual credit you end up receiving
may only be $50 or $60 in CV, BV, Points etc...and your commission
percentage is applied on THIS REDUCED FIGURE.
Sound confusing? It is!
The very fact that XanGo™ doesn't play around with numbers like this
creates three distinct benefits:
*First, it KEEPS THINGS CLEAR AND SIMPLE - both for
distributors AND PROSPECTS!
*Second, it TRANSLATES INTO A GREATER PAYOUT THAN
THE ORIGINAL PERCENTAGES SUGGEST. Compare these two
examples: Example one involves a pay plan that pays
5% on the first level, but has a 50% reduced CV.
A person on your first level purchases $100. You
get paid on $50. 5% of $50 is $2.50, which is what
you receive in your check. Example two involves a
pay plan that again pays 5% on the first level,
but has no reduced CV. That's the XanGo™ plan.
A person on your first level purchases $100. Since
you get paid 5% on the full $100, your commission is
$5.00 - TWICE AS MUCH.
*The Third Advantage is that it means that it can be
up to TWICE AS EASY to qualify for your pay titles
based on the same group volume when compared to
other plans.
Compounded with Dynamic Compression, we can begin to see the
exciting ways that XanGo™'s unilevel plan can be actually quite
lucrative.
4) DYNAMIC COMPRESSION.
Dynamic Compression is one of the most dynamic and exciting
features of the XanGo™ pay plan.
This feature alone can potentially increase your check by 10%,
20%, even 50% or more in some cases every month.
Here's how we explain Dynamic Compression...it takes more than
a few words, but it's worth the effort...
Most networkers know how regular compression works.
An example of normal compression might go something like this: you
have a leg with a person on every level down to the tenth. Say, for
purposes of this illustration that you hold the achievement title of
Premier and are paid through the ninth level. At the close of the
month, the computer reads the orders for the month and notices that
the person on your third level didn't order, but everyone else did.
Therefore, the fourth level person will move up to the third position,
the fifth level person will move up to the fourth level position, etc.
The net result is that, not only are there no gaps but your tenth
level person actually moves up into your pay stream...at least
for this particular month.
That's normal compression.
XanGo™ has normal compression, as do many other companies.
But XanGo™ has something that's almost unheard of in our industry:
Dynamic Compression.
Dynamic Compression goes something like this:
Say you are a Premier and you are entitled to being paid
on nine levels. For purposes of illustration, say you have
a front line distributor who has people on all of his or her
nine levels, but has only qualified themselves to earn on,
say, five levels. Normally, in most every other company,
your front line distributor would collect a check on what they are
qualified for. The volume they could potentially be paid on (but
are not - at least at the time of the commission run) which is,
in our example, the volume under their fifth level...would NOT be
paid on. It would "break" or be "flushed" back to the company,
keeping the company profits higher. There's nothing wrong or
unethical about this...it's just how it works.
In Dynamic Compression, there is NO BREAKAGE TO THE COMPANY.
Instead, this unpaid commission is actually paid out. The
computer continues to search upline for each qualified position
to be paid out greatly increasing the depth that you can be paid to.
Here's an example:
We know the payout amounts are as follow:
Level 1 = 5%
Level 2 = 5%
Level 3 = 10%
Level 4 = 5%
Level 5 = 5%
Level 6 = 5%
Level 7 = 5%
Level 8 = 5%
Level 9 = 2%
-------------------
Total: 47% (with 3% going to the Global Bonus Pool).
Now, when the computer systems go to figure out how to pay those commissions... it actually looks at the plan from the bottom up. Start at the bottom with the $100, and work your way back UP the list.
* NOTE: PR = Preferred Rep, gets 3 levels... R=REP, gets 2 levels)
PREMIER - $2 (2% paid for 9th level)
5K - $0
PREMIER - $5 (5% paid for 8th level)
20K - $5 (5% paid for 7th level)
1K - $0
20K - $5 (5% paid for 6th level)
5K - $0
PR - $0
R - $0
5K - $5 (5% paid for 5th level)
1K - $0 (only qualified for 4 levels)
1K - $5 (5% paid for 4th level)
PR - $10 (10% paid for 3rd level)
R - $0 (only qualified to 2 levels)
5K - $5 (5% paid for 2nd level)
1K - $5 (5% paid for 1st level)
PR = Purchases $100
In this example, you can see that the computer continues to search UP from the purchase until it finds a qualified distributor for each level of paid commissions.
The PREMIER at top gets $2 on someone on his 16th level. The second PREMIER is getting $5 for someone on his 14th level. Even the 20K is getting paid on his 13th level (when the unilevel just says 7 levels). Do you see the power of dynamic compression! As you qualify for the levels 1K, 5K, 20K and premier... you increase how many levels you get paid on AND how likely you are to get rollup commissions.
5) XANGO MAINTAINS A 50% PAYOUT.
Because of Dynamic Compression, "breakage" that usually goes back to
the company in other pay plans gets paid to qualified distributors
in the XanGo™ pay plan.
Therefore, the company-wide payout percentage to XanGo™ distributors
is always the same.
In XanGo™'s case, the payout to distributors is 50 cents on the
dollar. "Half to the company, half to the distributors."
This creates stability and completely eliminates the need for the
company to change the plan later due to breakage or profitability
problems.
How important is this?
Those distributors who've been in this industry for a while know
about the problem of pay plan changes all too well. A company will
have a pay plan that can have a potential payout of 60 or 65% or
maybe more. But the fact is, the way the downline organizations
are built, a good deal of potential commissions are never paid...
at least for a while. Since they are NOT using Dynamic Compression,
the unpaid moneys "break back" or are "flushed back" to the company.
The computer models the company will run for the pay plan depend on
this. So, although a plan might POTENTIALLY pay out 65%, it
may ACTUALLY only pay out, say, 42% on a company wide basis.
The problem arises as downline organizations mature and more and
more distributors qualify for more and more of the commissions.
Eventually, the company might find itself paying out 58% or 60%
and realizes that it just can't afford - or simply is not willing -
to do so.
Enter pay plan "revisions," "upgrades," or (my favorite euphemism)
"enhancements." Suddenly - sometimes overnight - distributors
find themselves required to jump through new hoops and hurdles
just to maintain their present checks. The net result is that
many distributors do not qualify and their check goes down.
(And company profits go up again...which was the goal.)
The other unfortunate and sometimes tragic consequence is that
distributor upset interferes with normal business, momentum is
lost, and some, if not many, distributors quit. Some companies
and certainly many hard working dedicated distributors never
regain their momentum after these types of pay plan changes.
A CONSTANT PAYOUT LIKE XANGO'S CAN COMPLETELY ELIMINATE THESE PROBLEMS!
6) XANGO'S PAY PLAN COMES WITH AN EXTRAORDINARY OPPORTUNITY!
This may seem self evident, but it is fundamental. A 90% payout
on a product no one wants or will buy is not as good as a
one percent payout that everyone on the planet wants and will
buy. An extreme illustration but it makes the point.
XanGo™ has an incredible product with mass appeal. The track
record of our management team as well as how functional
beverages in network marketing have performed over the years
indicate that XanGo™ could reach $500 million to $1 billion
a year in worldwide sales. And...our timing is impeccable
since we are positioning ourselves at the beginning!
The stature of the company, the mass appeal and value of
our product and the growth projections are the CONTEXT
that make the XanGo™ compensation plan work! As one
distributor who's joined us has said, "With XanGo, I'm
trading in my current five figure monthly income
(he's earning $50,000 a month right now in another
company!) for a six figure one."
7) XANGO PROVIDES 3 WAYS TO GET PAID: WEEKLY, MONTHLY, AND QUARTERLY.
*WEEKLY. Earn up to 30% of your personally sponsored person's
first order when you are on auto delivery. Earn 15% of
your personally sponsored person's personally sponsored
people's first order when you are on the 200 auto
delivery program. GET PAID WEEKLY.
*MONTHLY. Earn 5%, 10%, and 2% on various levels up to nine
levels deep on your MONTHLY UNILEVEL CHECK. As we
saw above, these percentages are sometimes doubled
or tripled depending on Dynamic Compression in your
organization.
*QUARTERLY. And as you advance, profit share with the entire
company worldwide volume. 3% of net profits is placed into a
Global Bonus Pool that is shared amongst the top leaders --
based on their volume and level of achievement.
GET PAID QUARTERLY.
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--TOP SEVEN BENEFITS OF THE XANGO COMPENSATION PLAN-- (SUMMARIZED)
1) SIMPLE AND EASY TO EXPLAIN = Increased confidence and quicker
duplication.
2) UNILEVEL BUILT RIGHT = Good for both part time and full time
distributors/ No leg balancing/ Go to the top with 3/
Encourages teamwork and synergy/ Easy monthly qualifications/
Get paid up to nine levels deep.
3) NO REDUCED VOLUMES = A dollar is a dollar/ Simple to understand/
Translates into 50-100% greater payout when compared to
to other pay plans, than the numbers first suggest.
4) DYNAMIC COMPRESSION = Commissions that are unqualified for
compress up to the next entitled distributor/ Can increase
your check by 10%, 20%, or more.
5) XANGO MAINTAINS A CONSTANT 50% PAYOUT =
This means distributors don't have to worry about abrupt or
major pay plan changes designed to correct profitability problems
that many companies typically experience when the payout is not
constant.
6) XANGO'S PAY PLAN COMES WITH AN EXTRAORDINARY OPPORTUNITY =
Because pay plans and payouts are nothing without the
context of the company, the management team, the
mass appeal and marketability of the product,
and the timing and growth possibilities, XanGo
provides the most exciting possibility for network
marketing success for the foreseeable future.
A consumable product translates into truly residual
income.
7) GET PAID IN THREE DISTINCT WAYS =
Get weekly upfront money on first orders, a monthly
unilevel paycheck and, when you advance to the title of
Premier, a quarterly profit sharing check.
**************************************
IT'S GO TIME!
SUMMARY.
As you can see, a closer look at the XanGo compensation plan
reveals that it has been brilliantly thought out and was powerfully
created to accomplish the one thing such pay plans are intended to
accomplish:
To richly reward distributors when they build their business, no
matter how small or how large, no matter if they are part time or
full time.
In addition, this pay plan removes the smoke and mirrors we see
so often in the network marketing industry. It's honesty and
straightforwardness is indeed refreshing.
Moreover, the XanGo pay plan is proactive in preventing problems
or disruptive changes later on. Those who have suffered through
disappointments in other programs will especially appreciate this.
Naturally, the more effort one applies and the more effective one
is, the greater reward. No guarantee can be made as to what level
of income you will actually accomplish. Persistence and skill is
needed for any business success and individual results will vary.
Yet, many of us in the field are absolutely amazed at the opportunity
XanGo provides - and the pay plan is an important piece of that
opportunity. Whatever one's success has been in the past, the
widespread feeling among distributors is that XanGo will even be
better.