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Post by Erich on May 17, 2006 11:24:23 GMT -5
Hello Everyone: I have been keeping a close watch on the SFI Compensation Plan since they rolled out this T-Net Program over a year ago. Even though it could cost me in future residual commissions from SFI.... I feel a moral and ethical obligation to advise everyone of the details of my 5+ year experience with SFI.. There has been a couple of important changes to the commission stucture since I joined and started actively marketing SFI back in Sept 2000. The currect commission plan is called T-Net and the most significant residual commission that is available to everyone is called the "Power Points Bonus Pool". In order to receive shares in this "Powerpoints Pool"... an affiliate must continue to increase their sales every single month. If you don't increase your sales each and every month then you are subject to lose in excess of 60% of your prior months commissions. This is exactly what happened to me from March 06 to April 06. In March my Sales Volume Points [SVP] totalled approximately 2900. In April my SVP was about 2600. Here are the results from those sales: March 2006 - 2905 SVP= $5317.17 April 2006 - 2650 SVP= $2264.67
It is of course impossible for one to continue to incease sales each and every month. It is also very expensive to market an opportunity like SFI. The profit margins have always been minimal... now they just aren't there under the current T-Net Plan. It is no longer profitable for me to market and advertise this program. SFI has "labled" this PowerPoints commissions as a "bonus" but with other MLM companies these type of commissions are built into the ongoing residual commissions structure. No other company has an "all or nothing type" bonus like this. It is literally impossible for an affiliate to increase sales each and every month and therefore qualify for the "lions share" of the residual commissions offered by SFI. My very first month with SFI was exciting because I earned $1591.00. My 2nd month compensation was even better at $4625.16. By January 2001 I was earning $6776.00. Here are my January Commission Earnings since 2001. Jan 2002- $7816.44 Jan 2003- $9474.30 Jan 2004- $5178.98 Jan 2005- $3190.38 Jan 2006- $5349.88 April 2006-$2264.67
I was SFI's 2005 Top Sponsor of the Year and was given a large Trophy for that accomplishment. I have won SIX PEAK PERFORMER Awards since Jan 2005. I am also a member of the SFI "Presidents Club". Prior to 2005 I was normally at or near the TOP of the SFI Leaderboard or Scoreboard every month for all the significant categories. I was and have been among the Top Five in sponsoring new affiliates since late 2000. That would include the sales that automatically go with that since all upgraded members are required to purchase products. I would like to provide an idea of the numbers required to achieve these awards and accomplishments.
The most important goal in promoting and marketing a network marketing program like SFI is to develop residual income. That is a major selling point of the SFI program. We must have a fair residual compensation plan in effect for this to be a proftable work at home opportunity.
Here is my April SFI Commission Statement:
Total Standard TNet April 2006 Commissions $776.99 Here are the compensation details for SFI in April 2006 copied and pasted from my plan.
Comp Plan Details Monthly Commission Statement Commissions earned in April, 2006 Erich Winnecke - Affiliate 181082 GTL Commission/Bonus Description Amount Standard TNet Commissions $776.99 Level 1 Pay $13.90 Level 2 Pay $6.80 Level 3 Pay $13.00 Level 4 Pay $21.35 Level 5 Pay $42.05 Level 6 Pay $92.16 Level 7 Pay $162.87 Level 8 Pay $168.13 Level 9 Pay $137.36 Level 10 Pay $72.98 Level 11 Pay $46.39 Dynamic Compression Bonus $798.05 Retail Sales Commissions $1.49 Veriuni Services 10 $1.49 Business Builders Bonus $750.00 Total April, 2006 Commissions $2,326.53 Prior Accumulated Balance $0.00 Standing Order for next month ($60.86) Less Processing & Handling Fee ($1.00) ------------ Total Commissions Payable $2,264.67
It was very difficult for me to make the decision to publish this but once again I felt an obligation to give this information to all those I am associated with. I know this is going to cost me thousands of dollars in future earnings but I'm just going to have to accept that and move on to another program that is profitable.
Take Care
Erich Winnecke
5/23/06 ADDENDUM: I have edited the above post but left my commissions history there. I've done this because SFI President and CEO Gery Carson has heard our concerns and is in the process of making some enormous changes to theSFI T-Net Compensation Plan. I believe these new enhancements will significantly impact everyone's SFI Income... especially 3 Phase Profits Affiliates. Please look for Gery's Announcement very soon.
EW
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Post by Sandi Moses on May 17, 2006 11:59:29 GMT -5
I have been with SFI since November of 2004, and have had one and only one profitable month, even though I have marketed to the best of my ability within my extremely limited budget. This month I spent $63.46 on products for personal use (inc. shipping) and my commission was $20.28. So far this year SFI has cost me a net $164.39. That is puny by Erich's standards, but it is a pattern that is 2.5 years in the making and still running. The idea may be "simple" but it is not easy, especially when my best affiliates keep dropping out. Even my mentor, my former Powerline Team Leader is no longer in the T-Net. I never thought I would see that day. You have no idea how many times I have almost dropped out; re-read my first sentence.
It has been very hard for me to tweak the letter series to send to the Leaders Club leads because I have not had the success that Erich has had. If anyone had ever backed me into a corner and demanded to know just how well I had done with SFI, they would have laughed hysterically and asked, "And you actually want me to join that?!" :-[Wel-l-l-l-l-l-l . . . . . . I have been trying to tweak the series to resend them out again, but will suspend the tweaking until I decide what to do next. Maybe Better Universe? I sent out one letter - maybe a series would produce more results.
Will I drop SFI? NO. I do think NOC has potential. I am planning to locally promote UBC because I think that has real potential, and the income residual. The only problem is that it is only residual beyond one year for Silver Team Leaders. And try though I might, I just cannot seem to get there again, even though I once was. Gery Carson seems to believe that STL is the result of minimal effort. I disagree. Anyway, I love many of the Veriuni products, and will continue to use them.
PS to Erich: A few of those cents from your Level 9 income came from me!
Sandi
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stirls
Long Time Member
Posts: 942
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Post by stirls on May 17, 2006 12:00:55 GMT -5
Erich - thank you for sharing this information. These numbers are eye opening and frustrating for someone like myself who has been working hard to grow my SFI team and income and seen success as of late. I have seen steady income growth month over month with SFI but am noticing a flattening out in the growth curve.
I would be interested to have Gary Carson reply to this post to get his perspective and answer some of the questions you raise about the SFI Tnet compensation plan. Would it be possible for you to invite him to post in this thread?
Chris
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Post by Skyrocket on May 17, 2006 12:03:46 GMT -5
Hi Erich,
I have now been a member of SFI since December 2005, not long I know but my experience so far has not been great. SFI do have a great set up, loads of tools, great products and an excellent affiliate site. Which is why I’m so confused as to why I find it very difficult to get EA sign ups. I’ve been getting Affiliates and Smart Start graduates fairly regularly, mainly from my newsletter and also because I have been giving it prime positioning on my website too. I’ve tried all manner of things to convert A’s to EA’s, from emailing them to leaving SFI to the follow up but nothing seems to get them to go one step further into EA. Then I’ve obviously thought about the fact that if I’m having so much trouble then what advice could I offer my downline and how long would they stick around if they too had the same trouble.
So I guess I was also coming to the conclusion that SFI wasn’t really for me, in fact you’ll notice that it’s now lost prime spot on my website, although it is still No.1 in my Top 3’s section for Home Based Business. The fact that I’ve made more money from Google Adsense by doing nothing apart from displaying ads on my site, tells me that all I’m doing is wasting effort with SFI. The valuable space I have for SFI on my site could be making me money with either Adsense or promoting an opportunity that will bring me steady cash like many of my other affiliations do.
I’ve always said it Erich, go with your instincts. You have a great business mind, you look at everything fairly, objectively and challenge anything that doesn’t seem to be working as it should. I respect your honesty and integrity and I trust that you will do the right thing. It’s a shame that SFI is such a tough sell and has changed it’s commission structure to make it even harder to make any money.
Thank you for being open and honest about this
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MP791
Junior Member
Posts: 28
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Post by MP791 on May 17, 2006 13:23:14 GMT -5
Thanks for taking the time to share this info. I have been promoting the SFI Click Bucks program and not the opportunity itself. I have a very small ad on my site and I make about $25 per month. I think they pay $2 for each sign up and for only those that stay in the program. From what I can see most drop out so I don't get credit for them. I think even this might be a waste of time.
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Post by jeremiah on May 17, 2006 14:15:39 GMT -5
Im curious to see who you will replace them with? I saw you had Success University on your site, are you thinking about replacing SFI with them?
Jeremiah
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Post by Lori on May 17, 2006 14:42:39 GMT -5
Hi Erich,
I appreciate your honesty, and to tell you the truth…I had a feeling this would eventually happen. Believe it or not, the first thing I thought about was not the loss of income, but the fact that I will not have to waste so many hours each day answering emails….that is sad when you think about it.
I didn’t tell you that for the past two months I went from being a STL back to being a BTL. I didn’t want to disappoint you, but I just couldn’t keep up having more svp than the previous month. So my checks went from being around $700-800 back to $250-330.
I am very disappointed in the compensation plan. I give SFI my all each month since Jan 2003 and then it feels like I get punished for something I can’t control. I had over 10 EA’s quit in one month. I certainly could not make up for that on my own and decided to let my STL status go.
What I am trying to say is that I completely agree with you and I am behind you 100%. I actually have a feeling of relief…for all the time, effort and money I put into SFI…I will get a big check for $267.00 for April…I am working for pennies and it seems I will never get ahead.
I have always had total confidence in you and you will always have my full support.
Your friend, Lori
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tnt7973
Member
Upcoming Graduate of 2006! Just turned 18 making money from Home. Top That!!!
Posts: 65
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Post by tnt7973 on May 17, 2006 15:25:22 GMT -5
Yes, I stopped promoting SFI on my website because I get tons of emails everyday from affiliates that wont upgrade. This doesn't bother me to much though, it's the fact that I get paid less than $1.50 residual for that EA for the whole month when they do upgrade. IDon't get me wrong, I love making sales, but I love sale that turn into residual income. SFI is a great program, but I think it's most profitable days have long gone. I even get questions from my newsletter from people asking, "Do you have something other than SFI" ? I knew that SFI was going to become like this early this year> But, I still told myself that things will change. It never did, so I took it off of my website. I have found another program that is good and pays even better than SFI but I won't disrespect Erich and put the opportunity on here! I am a big fan of residual income and Im always looking for ways to get some. SFI is a great program but the pay is WAAAaaaaaaayyyyy less than the amount of workt hat you have to put into it.
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Post by bornagain on May 17, 2006 16:23:22 GMT -5
Erich,
Thank you for your honesty. SFI has always been my personal favorite, but I was never a fan of the T-Net. I remember there was quite a bit of frustration (escpecially for many of the more successful affiliates) when it was introduced.
I was happy when they introduced the "Builder's Bonus", but obviously this does nothing to boost the residual aspect of building the business.
I would also like to see Mr. Carson's respone to this thread. Pleaes keep us posted on any new developments, if there are any.
Craig
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Post by Erich on May 17, 2006 16:24:21 GMT -5
Im curious to see who you will replace them with? I saw you had Success University on your site, are you thinking about replacing SFI with them? Jeremiah Hi Jeremiah I haven't seen you for awhile... I hope you are doing well. Yes I am currently giving SU a trial but I will not recommend it to others here unless it first works for me... I did that with BU because they had 2 other ways to make money in addition to marketing it.... and you qualified for a free vacation as an upgraded member. So with BU I feel confident no one will lose money who puts effort into it... I can't say that yet with SU. You can be certain I am doing 2 things right now... 1. Searching far and wide for an SFI replacement 2. Lobbying Gery Carson for some retro active changes to the SFI comp plan... I'm optimistic on the 1st but not on the 2nd. Take Care Erich
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Post by Erich on May 17, 2006 16:32:46 GMT -5
Erich, Thank you for your honesty. SFI has always been my personal favorite, but I was never a fan of the T-Net. I remember there was quite a bit of frustration (escpecially for many of the more successful affiliates) when it was introduced. I was happy when they introduced the "Builder's Bonus", but obviously this does nothing to boost the residual aspect of building the business. I would also like to see Mr. Carson's respone to this thread. Please keep us posted on any new developments, if there are any. Craig Hi Craig I agree with you 100%. Gery has already responded to me on this privately and has asked me to keep our conversations discreet which I agreed to do... You can bet on one thing... the entire WAH community will be watching closely to see what is going to happen... if anything. Not only do we have many of the top leaders of SFI as members here... most all of the other SFI and WAH webmasters are aware of our Forum and come here regularily to check things out as guests... We are currently getting over 1200 guests daily here during M-Th. Erich
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Roy
Forum Leader
Roy
Posts: 613
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Post by Roy on May 17, 2006 16:52:51 GMT -5
Erich,
You made recall, I send this to you back in November 2005, when I joined SFI
As I stated before I used Erich, CO-OP and got to STL status doing so. But the cost of obtaining an EA would be ok, if each EA stayed with you in your T-Net and promote their business. I am now only a BTL. I stop buying leads to promote SFI. I will still continue with SFI. The main problem I see with SFI is their products are price over market value (especially after shipping). If SFI got some product that would sell, where you would not had to buy your way into STATUS, and then SFI would be a fantastic program. Gery Carson needs to obtain some salable products. You an other have great concern and conversation with Gery about the current comp plan last year, before you started back promote SFI. Do you think Gery will listen now? I hope so. SFI is a great company, but need some great consumer product that is used (one that a cosumer buy often).
Roy
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shaned
Forum Leader
Posts: 197
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Post by shaned on May 17, 2006 17:07:36 GMT -5
I am also giving su a trial. I met Matt Morris this past weekend at a seminar along with Joel Comm, Perry Marshall, Dave Taylor, Craig Perrine, Marc Hardy and some others.
Matt was a very nice guy and we had some good conversations.
Shane
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Post by talfighel on May 17, 2006 17:14:07 GMT -5
Hi Erich,
First of all, I would like to say to you that I support your decision and your comments about SFI and the T-net. I totally agree with you. I am very glad that you brought this matter up. It has bothered me since the T-net started.
I remember back when the T-net started, many people in SFI, including me, thought that it will make a big difference in everyones commissions and teams, in a positive way that is. I also remember that after a few months, people in the SFI Dboard complained that the T-net is a complete waste of time.
Now don't get me wrong, I love SFI and I always had faith in it.
The only reason why I got into SFI is because I loved the idea of the word "residual income".
I hope that Gery Carson does something about this.
Tal
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Post by Sandi Moses on May 17, 2006 17:27:37 GMT -5
I won't have time to make major website changes until next week as tonight is our "AWANA Fair" at church - big deal if you're either a kidlet or a leader. Not sure which I am! And I work the rest of the week which limits my time online.
Anyway, I may boost promotion of BU and subdue promotion of SFI but I definitely will NOT repeat NOT promote Success University. Not only did I receive SEVEN spam messages within seconds of signing up several months ago, but "that other guy" is promoting the heck out of it. He can have it. I want no part of it and I could never in good conscience recommend it to anyone.
Sandi
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Susan Jennerjohn
Long Time Member
Thanks to my Work at Home job, I am able to spend a lot of time with my grandson
Posts: 845
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Post by Susan Jennerjohn on May 17, 2006 18:23:01 GMT -5
To be honest I have never understood or felt comfortable with SFI. Most of my signups drop out due to lack of understanding it. I try to explain the best I can to no avail. I would not feel bad dropping this program. I have alot of money into it and nothing to speak of as far as sales or residual. (and I have worked hard at it)
I think there are other less complicated income making programs out there.
Erich, you know what you are doing in Internet Marketing, and if you doubt a program with the money you are making, my piddly pennies aren't worth the trouble.
Susan
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Sandra
Senior Member
Posts: 853
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Post by Sandra on May 17, 2006 18:28:01 GMT -5
Erich,
Thank you for telling us about this. I agree that it must have been a difficult decision for you, as SFI did bring you quite a bit of money over the years.
I was starting to see some success with SFI, but I still spent more than I earned. I kept promoting it big time though since everybody seemed to be so optimistic about it. I kept saying to myself: it's only a matter of time!
I will follow your lead. I may keep it on my site until the end of the month, or until we find a better program.... but it will definitely go soon!
Sandra
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Post by Hank and Dot on May 17, 2006 20:45:18 GMT -5
To be honest I have never understood or felt comfortable with SFI. Most of my signups drop out due to lack of understanding it. I try to explain the best I can to no avail. I would not feel bad dropping this program. I have alot of money into it and nothing to speak of as far as sales or residual. (and I have worked hard at it) I All along I thought the problem was me! I have worked SFI faithfully. Get plenty of prospects, affiliates, and smartstart grads each month, but no EA's I have sent the follow up emails and offered gift certificates with no response. People have signed as a prospect, then an affiliate, then completed Smart Start all within a matter of minutes. I felt these people really weren't serious and just clicking their way through the information. Tonight I got notification emails from SFI and Better Universe with prospects. Some people are signing up for both. That's okay, but I feel these are just "lookers". I can't pay for my EA status each month just for prospects to "look". It is costing me too much money, and I have nothing to show for it. Thanks Erich for being upfront with us. Whew.... I feel better just saying that
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Gery Carson
New Member
President & CEO *** Strong Future Intl
Posts: 3
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Post by Gery Carson on May 17, 2006 20:57:25 GMT -5
I would be interested to have Gary Carson reply to this post to get his perspective and answer some of the questions you raise about the SFI Tnet compensation plan. Would it be possible for you to invite him to post in this thread? Chris Thanks, Chris. I have been corresponding with Erich all day about this topic. There are numerous clarifications that need to be made. I'll address some of them in a new post momentarily. And I would welcome any and all questions! Gery Carson
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stirls
Long Time Member
Posts: 942
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Post by stirls on May 17, 2006 21:02:43 GMT -5
Gery - I look forward to your post
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Post by bornagain on May 17, 2006 21:17:46 GMT -5
Gery,
I too look forward to your response. I appreciate you taking the time to come here and add your take on this matter.
Craig
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Post by Hank and Dot on May 17, 2006 21:25:07 GMT -5
We look forward to your post also.
Hopefully some issues can be resolved.
Hank and Dot
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Post by gainingprofit on May 17, 2006 21:33:36 GMT -5
Cant wait for you post as well there is alot of things going on that need to be addressed.
Thanks
Joe
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Gery Carson
New Member
President & CEO *** Strong Future Intl
Posts: 3
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Post by Gery Carson on May 17, 2006 21:41:58 GMT -5
I am going to preface this Post from Gery Carson by letting everyone know that a message like this that contridicts the thoughts and/or beliefs of Gery Carson is not allowed at the SFI D-Board and would never be posted. He makes certain all messages are pre-screened and does not allow anything critical of the SFI Program. They simply delete anything and everything that might bring into question the quality & validity of the SFI program... regardless of whether it is truthful or not....
CENSORSHIP is definitely the way they respond to an open debate of an issue related to SFI being less than the best...
So you will NEVER hear BOTH sides of an issue at the SFI Discussion Board. Hopefully we are above that...
We'll let him have his say here.
Secondly, this is a very typical Gery Carson type of response to criticism.
Everytime someone brings into question the validity and quality of an SFI program or plan... he automatically disputes what the person says and then goes into a speel about how bright the future is and how he has all these wonderful programs that are coming out soon and just "around the next corner".... and these "new enhancements" are going to make everyone more money and solve the current problems. He always paints a rosy portrait of what SFI looks like and will look like. He is a salesman and knows and uses all the right words and phrases that sell an idea or plan.
It hasn't happened yet and I don't expect it anytime soon.
The BOTTOM LINE...
-ask yourself what you are making from SFI, - ask yourself what your are spending on advertising -ask how much time and effort you are putting into this and if it is worth all the efforts and headaches...
If you are happy with the answers to those three questions then you are fine with your SFI compensation and you can move on to another thread...
Now we will let Mr Carson have his say.....
Erich
=======================1. First of all, I would caution everyone about the "grass being greener on the other side." It usually isn't. In other words, you may not love the way SFI is performing for you. You may think "there's gotta be something better." There may be and I'm confident enough in all that SFI offers to encourage anyone to compare SFI against any other opportunity. But rash decisions are dangerous so...please...do your due diligence: You may have even seen the comparison chart we created for that purpose in our New Affiliate Guide: www.sfimg.com/Training/AffiliateGuide.sfiIs T-Net perfect. Of course not. Then again I've yet to see any comp plan that is in 20 years of studying ever facet of network marketing compensation plans. Is T-Net going to be improved? We are of course CONSTANTLY looking for ways to improve our comp plan. We are constantly taking suggestions and we consider every suggestion carefully. One of the reasons for SFI's success is that we are always listening to our affiliates and incorporating their suggestions. If you have ideas to improve the comp plan or anything else, PLEASE let us know! 2. Erich is a tremendous Internet marketer, but with all due respect to Erich, he has drawn some incorrect conclusions about the SFI comp plan. It's important that you see both sides. I'm not going to get into argumentive debates here, but I will be more than happy to discuss and explain any points of the comp plan. 3. SFI has a very long and successful track record. Though the name "SFI" only came into existence in 1997, it is fair to say that SFI has been in development now for 20 years. We have learned a tremendous amount in that time and we have invested literally many millions of dollars refining our system. We are a multi-million dollar company today because of the tens of thousands of hours that have been invested in making SFI the best it can be. SFI works. If that was not true, we would have been out of business years ago. The fact is, SFI has recently been hitting key numbers that we haven't seen since 2004. Upgrades percentages are at the highest point in our history currently and they will almost certainly go up soon (see #4). 4. You may have seen my recent mention of things that are coming. Two MAJOR BREAKTHROUGH programs are nearing completion. They will have a major impact and cause much new growth and excitement. We also have another another major product launching this Fall. I am extremely excited about these developments and know they are going to create a lot of sparks and new interest in SFI around the world. 5. You are all part of a strong team that Erich has spent many years building. It would be extremely sad for this to be 'thrown to the wind", especially when I have told Erich that I am more than willing to work on solutions that would satisfy Erich and his team. 6. I'm here to listen to all your concerns and I'm open to all suggestions (as I always am). All input is welcome and encouraged. THANK YOU for allowing me to come to your forum and perhaps help in some way!! Thanks again, Gery Carson SFI Founder & President
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Post by mschmidt10 on May 17, 2006 21:47:44 GMT -5
Hi Erich,
I really appreciate all the detail you've shared about your experience with SFI. I had been working on growing my SFI network in hopes to earn residual income. I haven't been making money with it yet, but I viewed it as an investment for future residual income. Your data really helps me keep it in perspective.
Thanks, Mark
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tnt7973
Member
Upcoming Graduate of 2006! Just turned 18 making money from Home. Top That!!!
Posts: 65
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Post by tnt7973 on May 17, 2006 21:52:31 GMT -5
Thanks gery for taking the time and posting to our forum!! I am glad to see that you are willing to help us!!
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Roy
Forum Leader
Roy
Posts: 613
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Post by Roy on May 17, 2006 22:32:29 GMT -5
Hi Erich, Gery and other Forum Members.
Thank You Gery for voicing your concern.
How many of SFI affiliates have buying customers? We need products that are price-competitive and good value for the money including deliver cost. . These product need to be consumed by the purchaser in a short time period. Then the product can be sold to a customer over and over again. I personally think the T-Net would then be O.K., if this was true.
If you could sale $100.00 PV worth of product a month and each of your downline average the same then, the T-Net chart would look like this with 10 Level.
Commission Level 1 $12.00 Level 2 $36.00 Level 3 $84.00 Level 4 $180.00 Level 5 $372.00 Level 6 $756.00 Level 7 $1,524.00 Level 8 $3,060.00 Level 9 $6,132.00 Level 10 $12,276.00
I also think all SFI affiliates purchases should be commissioned the same way any other commission is calculated. We should not have to purchase product to insure ours Leadership Ranks. We need a good value consumable product.
Thanks Roy
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stirls
Long Time Member
Posts: 942
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Post by stirls on May 17, 2006 22:34:56 GMT -5
Gery - thank you for taking the time to address our issues and to do so within 24 hours. With the help of Erich I have been working hard to grow my SFI business and over the last 3 months seen excellent results. As you may or may not know I recently have qualified for the SFI President's list and am currently in the top 6 on the SFI top sponsors board.
So, that being said I do have a vested interest in SFI and would like to see my SFI income continue to grow. Because I am on the growth stage of my SFI business I have not experienced the same negative results as Erich. However, I am concerned at the long term residual income that SFI offers if someone as successful with SFI as Erich is not seeing positive results. This raises the question as to why I should put in the time and money to grow a business today if tomorrow I will not see the rewards of my labour.
I am curious about the "Major Breakthrough" programs you mention - but based on the last major program "NOC" I am reserving judgement on the income potential. I admit I have not fully studied NOC and I personally find it a bit difficult to understand. I have also not heard many positive results. So hopefully the next 2 major break through programs are "breakthroughs" and will generate substantial income for SFI affiliates.
My challenge with the comp plan is that to cover the costs of EA it takes 25 EAs. If you assume that to become EA you purchase an IAHBE membership for $29.95. With a personally sponsored EA who also purchases IAHBE your monthly commissions from this EA is $1.19. If you don't include the Business Builder Bonus in the equation you will need 25 EAs to earn enough to cover the costs of your IAHBE fees.
The reason I do not include the BB bonus is because this is a one time payment - if I stop promoting SFI for a month I will not earn any BB bonus payments so I will need the monthly commissions from my EAs to cover my costs.
To make the SFI comp plan comparable to many other programs out there I would like to see the SFI comp plan include a "sell 3 and your fee is covered" opportunity. There are several programs that many people in this forum promote, myself included. In programs that are sell 3 and its free it is easy to quickly cover your costs and then move your costs into promotion, growing your business even more. The fact that SFI does not offer this and so many other programs do this is a quick glimpse as to why the grass is greener with other programs.
In your post you make several vague comments on why SFI is a good program but honestly I am still not convinced. I was hoping you would provide more specifics. Nothing in your post is new and most is already posted on the SFI website, Smart Start, or in dBoard posts. I was hoping you would address Erich's concerns directly as they are my concerns as well as most members here in the forum.
I started with SFI and promote it to create a residual income. Currently my largest commission payments from SFI comes from the Business Builder Bonus - not residual income for past efforts – despite being a top 10 sponsor for 3 months. According to Erich’s situation this is what I can continue to expect from SFI. Which to be honest is less than I get from promoting Clickbank products, which have higher conversion rates and higher payouts. Selling Clickbank is also easier as there is no personal contact to encourage a sale or helping grow a downline. So in my eyes without legitimate residual income opportunities the grass is greener.
You mention that Erich "has drawn some incorrect conclusions about the SFI comp plan". I appreciate the fact that you do not want to start an argument in the forum but I would be interested in hearing your point of view as specific reasons to why the comp plan is good and why Erich's conclusions are incorrect.
How does SFI create a legitimate residual income with the current T-net?
If you don't feel comfortable posting here in the forum please send me an email or PM
I look forward to your reply
Chris Stirling SFI ID # 8923829
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Post by gainingprofit on May 18, 2006 0:24:05 GMT -5
Wow stirls you have a really good point here about click bank products plus promoting those they are free and you make a profit from them as well. But I have been in SFI for about 7 months now and only these last couple month i have been having some sort of success with sfi, but even then i have spent more money on advertising then i made.
There has to be some sort of way where we can make it a win win situation where we get bonuses and a decent residual income pay out! Cause at this rate i dont see my self promoting SFI as hard as i use to because in the end we will come out of pocket !
I much rather promote Click Bank way harder cause i know that the pay out will be well worth it!
Joe
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stirls
Long Time Member
Posts: 942
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Post by stirls on May 18, 2006 0:35:42 GMT -5
Joe - Clickbank products are worth it as they provide short term income. However the reason I like SFI or network marketing programs is they offer the ability to create short term income with Business Builder Bonuses as well as recurring residual income for the long term.
If Gery can prove to me that the residual income piece is there in the SFI T-net comp plan and it is easy to achieve then SFI is much more attractive to promote than ClickBank products. But currently my income from SFI is 80.5% Business Builder Bonus (short term income) despite being a top sponsor.
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