Binary or Matrix MLM compensation plan; Choose the best marketing plan as per your requirement

An MLM or multi-level marketing software is an affiliate marketing management tool designed to manage the entire marketing network and its users by incorporating various compensation plans. According to ITSpectrum, a leading MLM service provider, this software works on a pyramid selling concept where different marketing strategies are applied for the sale of products or services and revenue is generated for the company. MLM software is best at providing its end users with the ability to see the network status, income, and manage transactions at the same time.

Multilevel marketing is a booming concept and is used by companies to promote their business by using their customers as the marketing channel. As depicted by the best MLM development company in India, in the multilevel marketing network two compensation plans are used extensively; the Binary and the Matrix plan. These two plans are highly preferred by the organizations and businesses as per their requirements.

Advantages of using MLM software-

• Offers digital wallet functionality for smooth deposits and withdrawals of forex and cryptocurrencies.

• MLM software is updated with the latest functionalities like alerts and notifications simply using one-click-send systems.

• Pre-defined MLM plans (Binary, Uni-level, Referral, and Overriding) are integrated following the trends of the financial markets.

• The MLM software can be updated with multiple languages and can be customized as per business requirements.

• The MLM software comes integrated with Google 2Factor Authentication, SSL certificate, DDOS, and antivirus.

• High-end security feature with 24/7 tech support.

Here is the complete comparison of Binary and Matrix MLM compensation plans –

Binary MLM compensation plan

This multi-level marketing plan is designed in a simple manner and is a commonly used plan by organizations. According to ITSpectrum, any member of the marketing network using the plan can recruit only two members of their choice. The recruited members of the network are also termed as the right leg and the left leg of the member as well. The binary MLM compensation plan is also the most reputed MLM plan as all the member in the network is treated equally without any form of discrimination.

As suggested by the best MLM development company in India some of the key benefits of Binary MLM compensation plan are –

• This plan lets you initiate returns from the success of your upline in the network.

• This plan comes with an unlimited payout limit.

• This plan works more like a team and the sponsors are always actively involved in the growth of the downlines.

• This plan comes with upline which also helps in building another leg in the marketing network.

In simpler words, a binary MLM compensation plan is basically a two-legged structure where the distributor in the network requires recruiting two sponsors down the line. As per this marketing plan, two downlines can be placed on both the right and the left leg of the binary MLM structure. According to this marketing compensation plan when two or more downlines are recruited in the network the downline will be placed accordingly next to the available position of the binary MLM structure.

Matrix MLM compensation plan

According to the best MLM development company in India, the Matrix MLM compensation plan is also known as the forced matrix plan and is one of the commonly used power-packed MLM plans as well. A matrix MLM plan works by arranging members down the line by maintaining a certain level of width and depth. This plan is easy to be applied because of having less number of participants, thus providing a risk-free environment for the different MLM companies and also provides high earning possibilities as well. It is represented as ‘MxN’ in the network where ‘M’ represents the width and ‘N’ represents the depth of the network.

Some of the key benefits of a Matrix MLM compensation plan are –

• This plan provides you with immense money earning capabilities.

• This plan allows you to grow rapidly and in an unlimited manner.

• With the increase in the number of new members your income also increases and the members grow independently.

• This plan lets you designate the frontline distributors and help you shift your focus in other areas like developing your frontline executives in the marketing network.

A matrix plan basically works according to two parameters which are the width and the depth which are represented by ‘m’ and ‘n’ as mentioned above. Some of the commonly used matrix MLM plans are of the order of 3x7, 4x7, 5x7, 3x9, and 2x12. A brief comparison of Binary and Matrix MLM compensation plan –

• In terms of payments, the Matrix MLM plans pay more than the Binary MLM plan.

• Implementation of a Binary plan is quite easier as compared to a Matrix plan because of the involvement of bilevel distribution of members.

• The downline expansion is far easier in the case of a Binary MLM plan as compared to the Matrix MLM plan.

• A Matrix plan is totally dependent on teamwork which is not the case for the Binary MLM plan.

• A Binary plan does not require downline matching, whereas downline matching becomes important for the Matrix plan.

Summarising the above it can be said that both the plans come with their own advantages and disadvantages which may be or may not be helpful for you. According to ITSpectrum, this is the reason why you have to choose the appropriate plan according to the affordability and accessibility of your business process. However, both the Binary and the Matrix MLM compensation plans are highly superior at their level of work.