What is a MLM Scheme and is JBP a MLM Scheme?
This question is one that is vitally important for me to answer. Before I can answer it, I need to define my terms. For the sake of ease, I will use Wikipedia’s definition of a Ponzi Scheme, "Multi-level Marketing(MLM) is a marketing strategy in which the sales force is compensated not only for sales they personally generate, but also from the sales of the other salespeople that they recruit. This recruited sales force is referred ot as the participant`s downline, and can provide multiple levels of comensation. Other terms of MLM include: Pyramid Selling, Network Marketing and Referral Marketing. Most commonly, the salespeople are expected to sell products directly to consumers by means of relationship referrals and word of mouth marketing. Some people use direct selling as a synonym for MLM, although MLM is only one type of direct selling, which started centuries ago with peddling.
This is how a MLM structure looks like!
Like you can see, it has a pyramid shape.
What makes Just Been Paid different from all the MLM schemes out here is firstly, you DO NOT have to sponsor or refer anyone into this business to make money. Yes Just Been Paid have a referral program(Level 1 = 10% & Level2 = 5%) but that does not count as a MLM Scheme because it is a bonus you get when you sponsor other people into Just Been Paid and is not necessary to sponsor anyone to earn with Just Been Paid. (To see how much the TOP20 earners have made with JBP and how much referrals they have click here).
In a MLM Scheme you must get people to join under you(referrals) so that when they make money or spend money, then you get paid from it.
In a MLM Scheme you must get people to join under you(referrals) so that when they make money or spend money, then you get paid from it.