Today we are here to do a review on the MonaVie compensation plan. Being in this industry for 18 years, I’ve learned different compensation plans and it really is important to make sure that you understand the different types of compensation plans that are out there if you’re looking to create long term success.
The first go-around when I first started in this industry at age 17 years old, I really didn’t know about comp plans, really didn’t understand them. As I see the industry grow, and as I see the industry come out with a lot of different type of companies, so has new direct sales compensation plans unfolded.
MonaVie Compensation Plan Basics
So let’s just review some basics about the MonaVie compensation plan. There are three main levels in the MonaVie Compensation Plan 2013. You’ve got Ruby, Diamond and Black Diamond. Now the MonaVie compensation plan operates under a binary plan. A binary compensation plan means that you need a left leg and a right leg in order to even enter into the compensation plan. You need to sponsor someone or enroll somebody or recruit somebody on your left leg and you need to do the same on your right leg.
Once you have a left or a right, then you’re open to the compensation plan as you start moving through the business. Now binaries in general, and MonaVie, work under this as well where they pay 10 percent of the lesser leg’s volume. So if you have one side of your leg that’s doing $20,000 in business, and one on the right is doing $5000 in business, you’re going to get paid 10 percent of the lesser leg.
Now one of the pulls that a lot of companies that have binary plans strive to utilize when they’re recruiting people is that you have a strong leg built already, meaning that John Smith, if you come in you already have a “power leg”. You just have to now build the other leg. This is tool that people within the MonaVie compensation plan use.
The Problem With The MonaVie Compensation Plan
The problem with that is that if you look at the binary it’s shaped like a triangle, and as people start coming into the plan there’s people that are on the inside legs. They’re not on the power leg. A lot of times, these people are starting to enroll. They’re starting to become on the inner legs of that binary plan, if that makes sense. This is how it works in the MonaVie compensation plan.
If you’ve never heard about the binary plan, this might be a little confusing, but as people start to enroll on the inside legs of power legs, they do not get to take advantage of that power leg volume. Most people in a binary plan have to build both legs, both sides of their business. There are a few that are positioned in a strong power leg.
My personal opinion about the binary plan is this… most people feel slighted after they get in and they’ve realized that they could have joined in the business with a power leg already built and since most people are never offered that opportunity to get involved with a power leg when they joined, as they start to move forward in the business, they start to realize that they weren’t handed the best opportunity to them in the sense of having already a business built underneath them. This goes on all the time within the MonaVie compensation plan.
How The MonaVie Compensation Plan Creates Bad Feelings
This creates is a lot of bad feelings within the MonaVie compensation plan, and that’s one of the things that I don’t like about the binary plans. Certain people are given the gift when they join while others aren’t. Certain people are given a whole bunch of volume or business volume because they joined on the power leg of the MonaVie compensation plan, and others don’t.
Unfortunately, like I said, the majority of people are on the inside leg of power legs. It’s really important to understand that you want to have a feeling of abundance as people are building their business, that they have an equal playing field.
Unfortunately, the binary plan compensation plans do not give folks the sense of equal playing fields and a lot of people feel very slighted as they start to build and understand the MonaVie compensation plan.
I believe that everybody that joins in a business should have the same opportunity as those that have joined before them or after them, the same. There shouldn’t be any special deals for certain people and that’s one of the things of why the binary plans create a lot of animosity within organizations. We talk a lot about this within our “Is MonaVie A Scam” video.
Monavie Compensation Plan “Breakway”
The other thing is the huge breakaway in the MonaVie compensation plan, meaning that if you enroll mom on the left and you enroll Uncle Bob on the right. Uncle Bob starts running and he’s moving and shaking, and you brought that business in because Uncle Bob wouldn’t be involved with the business if it wasn’t for you. It doesn’t matter how much he does, you’re going to get paid on the lesser leg, so if mom over here hasn’t done much, you’re going to get paid 10 percent of mom’s leg. So there’s a lot of breakage it’s called, breakage that goes to the company or breakage that is never paid out in sales volume to the associate.
Unfortunately, you get paid 10 percent of the lesser producing leg, as a general statement, 10 percent. Some are less, some are more, but in the MonaVie compensation plan it’s 10 percent. If you’re involved with a business, that person you got involved with the business, whether they’re on the left leg or the right leg, they wouldn’t be involved with the picture if it wasn’t for you telling them about the opportunity. Why should anybody be penalized on the business that they brought in because they’re not “balanced” correctly?
A Big “Gotcha” In The MonaVie Compensation Plan
You should be paid on what you bring into the Monavie compensation plan. It should not be a “got-you” game, that you have to balance this side and that side. It’s a very, very, very complicated plan, binary plans, but I’m telling you right now, that it has the most breakage to the company, meaning volume that the company does not have to pay out on.
So you want to be very, very careful with the binary plans. They’re one of the newer compensation plans in the industry. They’re definitely one of the most confusing compensation plans in the industry and structures within the MLM industry. But in my opinion, just for the fact that you’re paid on the lower leg, the lesser leg and you might have brought in a big producer and just because you haven’t balanced that right, you’re not paid on that volume. That doesn’t make sense to me.
So hopefully that helped a little bit also with the MonaVie compensation plan…
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They have different buy-ins. You can get involved with for over $1000, $1200. You could buy multiple cases of juice. I’m not a huge fan with large buy-ins on any type of business because that’s unfortunately where the majority of the MLM company sales come from. It comes from the front-loading of new reps when they come in with multiple case orders or multiple inventory orders of whatever product that they’re marketing. That’s another red flag that goes up with any type of business model in my personal opinion, and especially within the MonaVie compensation plan.
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We hope you found good value in this article about the MonaVie compensation plan.