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Advantages of Binary Plans

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The key advantage of a binary plan is it pays based on volume. If you bring in orders, you get paid on them. There is no automatic cutoff beyond a certain number of levels as is the case in a unilevel plan or a forced matrix plan. While no plan pays unlimited depth (even though some claim to) the binary plan comes the closest. At first glance you might think it really is unlimited depth, but “binary creep” starts to erode commission payments as you go deeper and deeper into the plan (you did read the policies and procedures, right?) As more reps claim commission on an order, the commission rate drops. The company can’t keep paying out $10 to everyone in the upline on a $180 order if there are 20 or 30 people entitled to a commission. Eventually the payout shrinks to zero – but it goes far deeper than in most other plans.
Another key benefit of the binary plan is that, in theory, everybody only needs to sponsor 2 distributors. The average person sponsors about 2.7 distributors, so the average person should be able to make a binary pay plan work. Indeed, if everyone sponsors 2, then the plan works perfectly. While numbers are perfect, people unfortunately are not.

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