Hey JT,
It's not just the enrollment fees and commissions. Its the qualification requirement too...
If you enroll and want to have the highest commission level ( 15% in the binary ) you must pay 1000.00 up front, and have 100.00 on monthly autoship.
After spending that, you must enroll two distributors, one on your left and one on your right, who are active with 80 PV ( 100.00 per month in Moxxor personal volume ). ( You said 'qualified' but they just have to be active.
One of the most troubling things I came across is that the owners participate in the comp plan. That is, they are actually paid out from the binary volume as well as the distributors. At first, this sounds like a "cool, they succeed when we succeed scenario" but its really not. That's faulty logic and the wrong spin to put on it.
Here's why:
There is a bonus pool and a cap on the binary of 50%. If the owners hold the top 15 positions in the binary pyramid, all the volume flows through to them through multiple positions. Lets say there is a bonus pool of $20,000. And its divided among the top distributor positions. You hit the top position ( not really possible with the owners in the binary, but follow the rest of the logic ) and you think you are going to get the lion's share of the bonus pool - but you don't, because the owners keep their percentage for each of the 'company spots' above you.
At the end of the day, its the owners choice to run the business however they want. No one has to be a Moxxor distributor. But most companies do not participate in their own comp plan for this very reason - it smacks of nepotism within the company. The company and owners, after all, are also heaping a huge reward on the sale of $60 bottles of supplements that likely have a marginal cost to manufacture.
Once the initial launch activity fades, and people start taking a cold hard look at it, this could become a real issue. Plus, when people have that barrier to earning a commission - then learning they are playing against a stacked deck - its going to lead to distributors dropping out for a fairer commission proposition, even if the product doesnt have the same sizzle as Moxxor.
I don't think Moxxor will experience the explosive growth they predicted. I wouldn't be surprised if sales are already flattening, and this should be a total growth period.
Time will tell. But my money is on a comp plan revision within six months. Even then, momentum will be lost.