The “matrix” is one of the newer approaches to Internet marketing and it differs from all the MLM hype that one might find while doing business on this side of the Internet. The whole idea is to start a massive campaign that involves a pre-launch of what is usually a service scheme offered to anybody who want a free ride in and maybe a free ride through out. For example, a matrix plan has a fixed shape that determines the size of a downline you can be paid on. If your company uses a 5×7 matrix, you can have no more than 5 people on your “frontline,” and can be paid no more than 7 levels deep, that’s people not a breakaway generation plan. If you already have 5 people on your frontline, any future people you enroll will have to placed somewhere below those 5 frontline people and this is called “spillover.”
This does not mean you can only have 5 times 7 or 35 people in your downline, no that’s not how it works at all. Instead each of the 5 people in your frontline can have 5 people on their frontline, and so on. So, a 5×7 matrix can actually hold as many as 5+5^2+5^3+5^4…or almost 100,000 people and that’s In theory. In reality it is very rare for a 5×7 matrix to be more than 2-3% full. The restricted width quickly forces the growth in active legs down and out of your matrix.
Spill over on the other hand can either be a curse or a blessing, depending on how you look at it in the wash. Matrix beta-testing and pre-launch investment proponents, say it is a great way to force people to help their downlines, since they’ll have to place people below their downline distributors.
Spillover also tends to keep people active, because they don’t want to lose out on the free downline spilling over from their upline. Matrix detractors argue that spillover is a form of “MLM welfare” that rewards weak and non-performing distributors. So if they are working, they already have people below them, so you’re more likely to place people in the holes under non-workers.
Matrix plans can also punish the top performers, since they have to place new recruits farther and farther down in their matrix. After awhile they get so little benefits from those new recruits that they lose much of their incentive to keep on producing day after day.
Many new matrix plans are available all the time so, be sure and learn the basic structures and plans before plunging in, based on what you hear or what you read the first time, the pre-launch matrix plan comes in many forms and many colors.