HOW DOES THE MATRIX MLM PLAN WORK?

Matrix MLM plan is one of the top compensation plans which maintains both self-growth and team growth simultaneously. Network marketing companies with matrix MLM plans use matrix MLM software to manage and automate processes effectively.

This article gives you an idea of what a Matrix MLM plan is and how it works.

What is a matrix MLM plan?

Matrix MLM compensation plan is defined as a pyramid structure with fixed width and depth in the first level. This plan limits the number of distributors you can sponsor on the front line but encourages you to hire more members in the downline. The Matrix MLM plan is very unique compared to other MLM plans. An efficient MLM software manages and operates the entire business process easily.

How does the matrix MLM plan work?

Let us look at how a matrix MLM plan works with an example.

Consider a 3*2 matrix plan, where 3 is the width and 2 is the depth.

Here width [3] is the maximum distribution that can be added to a level. Once the 3 members are placed into a matrix tree, the first level is completed. The next joinings are fixed on the next level i.e, the 2nd level.

Under each distributor in the first level, 3 members are again added to the second level. Altogether, there will be 9 members in the second line. This process of adding new members to the next level is known as spillover. The positions of added members are based on available spots on each level.

Here distributors are forced to add new members in the second or upcoming levels as there is a limit in width. Hence this plan is also known as the forced matrix plan.

Spillover preferences

• Top to bottom - Left to right spillover: Here new members are added from top position to bottom and also from left to right available spots.

• Alternative spillover: On completing the first level, the rest of the members are added to alternative positions below each member in the first level.

• Sponsor preference: In some matrix plan, the business owner or even the members gets an opportunity to place new members as per their preferences.

Advantages of matrix MLM plan

• Perfect plan with advanced group sales

• More compensation leads to more benefits and opportunities

• Once the frontline is filled, the distributor becomes active and they automatically start adding new members

• Position compression allows the admin to fill the hole formed when a sponsor drops out from the matrix tree

• Hybrid i.e, this plan can be combined with other MLM plan to achieve more benefits

Conclusion

If you wish to use a matrix MLM compensation plan in your MLM software, this article will help you understand what a matrix plan is and how it works. The matrix plan takes less time to expand. So, if you have all the elements to build an MLM software, then go ahead with a matrix MLM compensation plan and become super-successful.