Infinity Downline is NOT an Affiliate Program.
September 2, 2010
Artikel dibawah ani adalah sumbangan dari salah seorang pembaca. Minta maaf kepada mereka yang kurang fasih berbahasa Inggeris. Kalau ada perkataan atau ayat yang kurang di fahami sila tinggalkan komen di bawah post ani. Insyallah terjemahan kedalam Bahasa Melayu akan di keluarkan inda lama lagi.
It has come to my attention that a lot of Infinity Downline members are introducing ID as an affiliate program in order to dismiss claims that it is a scam (Pyramid Scheme). Some also said that it is not an MLM (Multi-level Marketing) Scheme, hence, it is not a scam.
There are two misconceptions here:
1) Infinity Downline being an Affiliate Marketing Program.
2) MLM Programs are scams.
Infinity downline is not an Affiliate Program, it is in fact a Multi-Level Marketing (MLM) program. MLM programs are genuine marketing strategy, not necesarily a scam given the right circumstances.
1) Lets first look at the first misconception; “Infinity Downline as an Affiliate Program”.
First of all, an Affiliate Marketing Programs are designed to steer potential customers in the right direction, i.e., towards the company’s main website/products. Each one of these affiliates will earn some commission or will be rewarded for every purchase made by their referrals. This can be done by creating a seperate personalised website to promote a company’s product(s). So, when a potential buyer comes by, they will be directed towards the main company’s website by a personalised link where they can make the necessary procedure to make payments for the product(s) bought. The affiliate will then be given a few percentages of the buyer’s payment as commission. This is called a single-tier affiliate program. Members fee are usually $0 and affiliates will not be given commission from new members, only from purchases.
An affiliate program may only have one or two-tier program AT MOST, not three and certainly NOT INFINITE. If a program has more than two tiers, then it is called a Multi-Level Marketing program (MLM), NOT an affiliate program. For a two-tier affiliate program, an affiliate may be paid for every customer who registered and paid to become a member, as well as from purchase of products. However, the new member will NOT be put under the affiliate as you would a downline in an MLM program. Instead, this newly registered member will directly be put as a member of the company the same way the affiliate who asked him to join is put as a member. So, there is no downline in the case of an affiliate marketing. An affiliate will only earn commission when a customer becomes a member or purchase a product.
What sets an affiliate marketing from MLM is that every affiliate will not be obligated to recruit members in order to earn income or secure their position in the program. Every affiliate will be on the same level as any other affiliates and no one is a downline nor an upline. Their main income will be from commissions obtained from their sales of products and certainly NOT MEMBER RECRUITEMENT.
Take a look at the Amazon’s Affiliate Program as an example. To be an affiliate of Amazon, all you need to do is register FOR FREE. Then advertise their products on your website. For every sales made from the traffic created by your website, you will be given certain percentage as your commission.
2) As for the second misconception “MLMs are Pyramid Schemes”;
Not all MLM schemes are scams, so it is incorrect to label MLM programs as Pyramid schemes. Only MLM programs that are based on member recruitement and DO NOT SELL any products are deemed Pyramid Schemes.
Multi-level, as its name suggests, is a marketing strategy designed to create multiple levels of distributors (networks). In a LEGITIMATE MLM program, a distributor will earn from commission of sales, member recruitement and also from sales of their downlines, NOT SOLELY from member recruitement. Which means that even when a distributor fails to recruit any members, they may still earn from the sales of products.
Why are programs based ONLY on member recruitement (Pyramid Scheme) deemed as scams? Read the previous post for more details.
So, about Infinity Downline…..
Now, as for Infinity Downline, yes you have a personalised website to create traffic to the company’s main website.
But for what purpose? Where does your income come from? What are the products being sold by Infinity Downline?
The purpose is certainly NOT to broaden the chances of SALES. Your income certainly DOES NOT COME FROM SALES because they are NO PRODUCTS sold by Infinity Downline.
The personalised website is obviously for the sole purpose of member recruitement and nothing else! All income generated will be solely from member recruitement and nothing else. Sure there are softwares that we can access to by becoming a member of Infinity Downline. But do you see anybody promoting those products? Are they even for sale? Do they even benefit you? NO, NO and NO. This is the perfect definition of a PYRAMID SCHEME. Furthermore, because every member MUST recruit downlines upon downlines in order to earn, Infinity Downline is no doubt creating Multipe-level of networks, which violates the definition of Affiliate marketing!
In conclusion, Infinity Downline is NOT AN AFFILIATE PROGRAM!