Hybrid MLM Plan

How the Plan Works

The Hybrid MLM plan is a combination of multiple compensation plans, selected based on the company’s policy. By merging the benefits of these plans, the company can offer a balanced and flexible structure that suits the business model. This approach allows for the advantages of each plan to complement one another, creating a unique and tailored compensation structure for participants.

Upon determining the company’s compensation plan, users will be placed within the structure of each selected plan. For example, in a Hybrid MLM model that combines Unilevel and Binary plans, a user will be placed in both the Unilevel and Binary tree structures. This allows for the distribution of commissions from both the Unilevel and Binary structures, giving the user the opportunity to earn from both streams. The combination of these two structures ensures that users can benefit from a more diverse range of income opportunities, maximizing their earning potential.

Example:

Referring Process (Common for All Plans):

• Alice is the referrer who refers Bob, Charlie, David, and Eva.
• Bob refers Frank and Grace.
•  Charlie refers Hannah, Isaac, and Jack.

Explanation of Filling for Each Plan:

Unilevel Plan:

In the Unilevel plan, all users directly referred by a single person go to the same level. So:

• Alice refers 4 people (Bob, Charlie, David, Eva) directly on her first level. They are all placed in Alice’s first level.
• Bob refers 2 people (Frank and Grace). Since there are no limitations on the depth of the structure, Bob’s referrals are placed directly on Bob’s first level.
• Charlie refers 3 people (Hannah, Isaac, Jack). These users are placed directly under Charlie’s first level.

Binary plan:

In the Binary plan, users are placed in two legs (Left and Right). The system requires balancing both legs to maximize commissions. Here’s how the filling process works:

• Alice refers Bob and Charlie to the Left leg, and David and Eva to the Right leg.
• Bob refers Frank and Grace. These referrals will be placed on Bob’s left leg and right leg.
• Charlie refers Hannah, Isaac, and Jack. These will be placed in Charlie’s left and right legs accordingly.

In this case, the Binary structure encourages users to refer people on both the left and right legs, balancing them to earn commissions.

Matrix Plan:

In the Matrix plan, users are placed into a fixed-width structure (e.g., 3×9). This means a user can refer only up to 3 people in the first level, and after the 3rd person, subsequent referrals are placed in the next level.

• Alice places Bob, Charlie, and David on Level 1. The 4th referral, Eva, will go to Level 2.
• Bob places Frank and Grace,Grace on Level 1 of Bob’s matrix.
• Charlie places Hannah and Isaac,Jack on Level 1 of Charlie’s matrix,

Summary of the Filling Process:

• Unilevel: All direct referrals are placed on the same level, and users can refer people without constraints.
• Binary: Referrals are placed into left and right legs, and users must balance both legs to earn commissions.
• Matrix: Users can refer up to a fixed number of people at each level, and subsequent referrals fill the next available spots in the structure.

Commission Calculation in Hybrid MLM Plan

Commission calculation in a Hybrid MLM plan depends on the specific plans chosen to be merged. The usual bonuses from each individual plan can be applied, allowing the company to offer commission structures based on the unique features of each plan. For example, if the company merges a Unilevel plan with a Binary plan, the respective bonuses for each structure can be calculated independently, providing multiple income streams for the users.

Additionally, it is possible to set merged rules and commissions by introducing certain criteria that link one plan’s bonus to the other. For instance, the company could set rules where eligibility for a bonus in the Binary plan is dependent on the performance in the Unilevel plan, or vice versa. This creates a flexible system where commissions can be tailored based on combined performance across both structures, allowing the company to customize the plan to meet specific business goals while ensuring fairness for participants.

Benefits of Choosing the Hybrid MLM Plan

• Multiple Income Streams: Distributors can earn from multiple compensation structures (e.g., Unilevel, Binary, Matrix), increasing their overall earning potential.
• Flexibility: The Hybrid MLM plan allows companies to merge different plans, tailoring the compensation model to fit their business strategy and market needs.
• Maximized Earnings: By combining multiple earning structures, distributors have the opportunity to earn from various sources, reducing dependence on a single income stream.
• Better Team Growth Incentives: Distributors benefit from multiple recruitment and team-building models, fostering growth across different levels and structures.
• Balanced Risk: If one structure has slower growth or faces challenges, the other structures provide opportunities to earn, minimizing income volatility.
• Attracts Different Types of Distributors: The Hybrid model appeals to both direct sellers (with Unilevel) and team builders (with Binary/Matrix), accommodating diverse strengths and recruitment strategies.
• Customizable Rules: Companies can create custom commission rules, such as linking earnings between different structures, allowing for more complex and rewarding compensation systems.
• Increased Retention: The diverse earning opportunities encourage distributors to remain active and engaged, knowing they can earn from different activities within the system.
• Scalable: As the network grows, the Hybrid MLM plan can accommodate new structures and reward strategies, scaling effectively with the company’s expansion.
• Faster Promotions: The Hybrid structure allows distributors to earn more quickly as commissions are drawn from multiple streams, which can motivate them to progress through ranks faster.
• Enhanced Motivation: Distributors are motivated to recruit and build teams in various ways, as they can see direct and indirect rewards across different compensation models.
• Increased Flexibility for Sponsors: Sponsors have multiple ways to support and incentivize their downlines, creating a more dynamic and cooperative environment for growth.