MLM remains one of the most popular business models in 2021. The Covid-19 pandemic and the resultant unemployment, layoffs, and pay cuts have forced people to look for alternate ways of income. MLM became an attractive option for many people during the pandemic, as over 120 million people joined MLM companies in 2020. This is a 4.3% increase from the previous year. It is a commendable figure considering the global economic slowdown caused by the pandemic.
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Best MLM Plan 2021 – Trending Network Marketing Plans
The most important things to consider when stepping into the MLM business are the company and the plan you are joining. As more and more people are entering the MLM business, here we have listed out and compared the best MLM compensation plan for 2021.
Binary MLM plan
The Binary MLM plan is one of the most popular MLM plans available today. It helps the company and distributors grow by encouraging collaboration and giving attractive rewards. The binary plan implements a two-legged structure in which recruits are placed on the left or right leg. The legs are called power leg and profit leg. A binary plan is one of the simplest MLM plans out there. This helps attract many new members without prior MLM experience to the network.
Matrix MLM plan
Members are arranged in a fixed number of rows and columns in the Matrix MLM plan. This limits the number of downlines that can be sponsored by top-level members. As the width of the plan is limited, companies can add further members in the downline and keep a restricted circle of top-level members. The most popular versions of matrix MLM plans are 3X9, 2X12, 4X7, and 5X7 matrices.
Unilevel MLM plan
The Unilevel MLM Plan is another simple and popular MLM plan. It is equally suited for small and large networks. The fundamental goal of this plan is to recruit plenty of members and arrange them evenly. There are no width restrictions in the Unilevel plan. Members can enlist as many new downlines as they can and create a more powerful and expansive network. The plan is easy to understand and does not require much training to master. It is a popular plan among beginners and part-timers.
Generation MLM plan
The Generation MLM plan places primary importance on product selling. This plan is successful with MLM companies in the FMCG field because it sustains the distributor’s motivation for selling, despite the position or generation they are in. The downlines in the generation plan are divided into different levels called generations. Payments and bonuses decrease as the generations progress.
Board MLM plan
The Board MLM plan is a variation of the matrix MLM plan and is often termed the revolving matrix plan. Just like the matrix plan, it is ideal for a network of a limited number of people. A board is the primary element of this plan and the number of members in the plan can vary based on the board used. The 2×2 format is the most popular board plan where each member has to recruit 2 distributors till all the spots on the board are filled. After a board is filled, it is split into two sub-boards and the leading members are promoted to higher levels.
Stair Step MLM plan
The stair-step MLM plan is one of the most reliable MLM plans and has been around for a long time. Distributors can develop a network as big as they prefer with their downlines. The stair-step plan is somewhat identical to the unilevel MLM Plan in which there is an infinite number of front-line positions. A percentage is linked to each level as the levels get deeper. Once the team is completely developed, it will “Break Away” and all the members will get small commissions.
Help MLM plan / Donation MLM Plan
The help plan or Donation MLM Plan is a chance for distributors and companies to gain huge profits in a brief duration. A help plan is also known as a donation plan, gift plan, or money order plan. It is not a conventional MLM plan. The primary idea is to give a gift to one member and get gifts from several members. People choose this plan because of its simple nature and the chance to earn considerable income.
MLM Plan Comparison
|MLM Plan||Difficulty||Popularity||Control on profit sharing||Capping||Genealogy||Levels of income|
|Binary MLM plan||Very Easy||Popular||Average||Yes||2 legs||Unlimited Levels|
|Matrix MLM plan||Very Easy||Popular||High||No||Unlimited||Limited Levels|
|Unilevel MLM plan||Easy||Moderately popular||High||No||Optional||Optional Levels|
|Generation MLM plan||Intermediate||Popular||Average||No||Unlimited||Unlimited levels|
|Board MLM plan||Intermediate||Moderately popular||Average||No||Optional||Optional Levels|
|Stair Step MLM plan||Easy||Popular||High||No||2 Legs||Limited Levels|
|Help MLM plan||Easy||Popular||Average||No||Optional||Optional Levels|
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These are the best MLM plans to consider in 2021. Here we have explained each plan and compared them based on difficulty, popularity, control on profit sharing, capping, geology, and levels of income. Not all plans may suit everyone. So choose a plan that plays to your strengths to kickstart your MLM journey.