WEWE Global Bonus Plan
Digital Entrepreneur? More like multilevel marketing stooge!
WEWE Global presentations refer to the Cloud Minting program as their “passive” investment opportunity. As we have seen, at a surface level all things being equal, if you are able to cash out early in the lifetime before the scam runs our of new investors the returns can sound convincing.
However it is the “active” investment opportunity which is the reason the passive returns are even possible in the first place. The active investment opportunity is quite simply a multilevel marketing scam, incentives which have been gamified by a dazzling array of bonuses, levels of rank and awards.
There isn’t just one bonus scheme, we have a Direct Bonus, the Infinity Bonus, a Matching Bonus, a Global Pool Bonus, the Fast Start Bonus, Rewards ( from iPhones through to Lamborghinis! ) and the WEWE Global retreat and Luxury VIP experience (for those Ambassador 8 Stars and above).
So, what do you need to do to earn that Lamborghini?
You need to build a network, a team, a circle of friends who you need to convince to join in and purchase WEWE Global products.
Specifically, over a three month period, you’ll need to invest at least €10,000 of your own into a Cloud Minting Program. Then rely on your network of referrals to cumulatively purchase €20,000,000 worth of packages, with no one member of this network making up more than 50% of the total team turnover.
As with all multilevel marketing / Ponzi schemes, this mountain of bonuses can only be sustained by recruiting an endless chain of participants as primary customers.
These compensation plans assume an infinite market and a virgin market, neither of which exists in the real world. WEWE Global, and broadly any multilevel marketing scheme is therefore inherently flawed, unfair, and deceptive.
So, can I trust this investment to make anything back?
The best research conducted on the efficacy of multilevel marketing business models is The Case (for and) against Multi-level Marketing by Jon M. Taylor, MBA, Ph.D., Consumer Awareness Institute
Dr. Taylor does a great job highlighting the dismal prospects of those caught in these multilevel marketing schemes.
On the predatory nature of scams like WEWE Global:
Worldwide feedback suggests that MLMs are also extremely viral and predatory. They feed on the product investments of a revolving door of new recruits, each subscribing to product purchases to qualify for commissions or advancement in the pyramid of participants. But for almost all newcomers, they are being sold a ticket on a flight that has already left the ground. MLMs can be extremely harmful, causing huge losses for those who invest the most in the schemes.
What question could a potential investor of one of these schemes ask in order to expose the ruse?
Obtain from the MLM recruiter the average earnings statistics for the MLM you are examining, showing the average amount of money paid by the company in commissions and bonuses to participants at the various levels in the compensation plan. Caution: If the MLM won't provide statistics of average earnings, you should consider that a red flag, as it would for anything promoted as a “business opportunity” or “income opportunity
What should we listen for during these WEWE Global presentations?
f you listen carefully to the pitch of the MLM recruiter, it should soon become clear whether they are selling the products, or the opportunity. If the latter, it is deceptive to sell you on signing up so you can buy products.
What metric could be used to determine success for the typical investor in WEWE Global?
The point that you want to determine is how many people come out ahead financially from their participation. The formula for profitability is very simple – money paid by the MLM to participants less money paid to the MLM by participants …our calculations show the balance is nearly always negative, meaning a net loss for participants. And it is even worse if you subtract operating expenses.
How likely is it that an investor in WEWE Global will come out ahead?
The loss rate for MLMs is at least 99%. This means that less than one in 100 MLM participants make a clear profit, and at least 99 out of 100 participants actually lose money! … It is even worse than classic, no product pyramid schemes (for which the loss rate is only about 90%)
WEWE Global claims over 200,000 investors, how should we interpret this number?
Avoid the MLM practice of comparing only currently "active" participants with "successful" participants who have been there for many years, (this) greatly skews the numbers in their favour - a huge deception.
Dr. Taylor concludes
MLM as a business model is the epitome of an “unfair or deceptive acts or practice” that the FTC is pledged to protect against … For promoters to present MLM as a “business opportunity” or “income opportunity” is a misrepresentation.
Now that we have made the case that the operating structure of WEWE Global is a precarious Ponzi Scheme, only possible because it can attract new investments, our next article will dive deeper into the people behind this scam, and the tainted history of projects they have associated themselves with.
DO NOT INVEST YOUR MONEY IN WEWE GLOBAL
IT IS A MULTILEVEL MARKETING SCHEME
DON’T RISK YOUR SAVINGS ON FALSE PROMISES
NO MATTER HOW CONVINCING THE SALES PITCH