How to convince people this is not a pyramid scheme

Live forum: http://forum.freeipodguide.com/viewtopic.php?t=60492

sugartaspice

23-04-2007 21:50:05

Whenever I try to explain the freebie business to someone they always tell me that it is a pyramid scheme and should be illegal. Does anyone have a convincing argument, and differenced between this bussiness and a pyramid scheme? Thanks!

x323smostwantedx

23-04-2007 21:52:47

With your TR im guessing you have received some kinds of freebie, so just show them your FREE iPod or something like that.

gmario

23-04-2007 21:57:19

don't worry about what they think

x323smostwantedx

23-04-2007 22:01:33

[quote083ebb335b="gmario"]don't worry about what they think[/quote083ebb335b]
True, unless your asking them to help you

sugartaspice

23-04-2007 22:04:10

No it is like mostly family, I want to make them feel more...secure. Oh and they do realize that I receive free things (my macbook pro arrived today!!!) but they think that it is/should be illegal and is a pyramid scheme.

J4320

23-04-2007 22:04:17

it is a pyramid scheme sillyhead just tell them it's the good kind though kind of like how there are good peanuts and bad peanuts

edit -

just because there are bad peanuts doesn't mean you shouldn't eat peanuts

edit 2 - some peanuts can carry gonorrhea so be careful

edit 3 - lol nevermind i was thinking of the penis

zdub08

23-04-2007 22:05:22

it is a pyramid scheme isn't it? if everyone tried to complete a freebie site, a whole lot of people would be screwed.

just explain to people how they can make a big profit.

Offer4All

23-04-2007 22:10:47

Direct those people to the Brag Brag section of this forum.

J4320

23-04-2007 22:11:20

[quote969ee817bc="Offer4All"]Direct those people to the Brag Brag section of this forum.[/quote969ee817bc]

While you're at it, show them the trading post so they can go ahead and start trading without helping you.

sugartaspice

23-04-2007 22:25:01

haha. Pyramid schemes are illegal though. I am trying to ensure them I won't end up in jail

x323smostwantedx

23-04-2007 22:26:58

[quotef8d0c49f98="sugartaspice"]haha. Pyramid schemes are illegal though. I am trying to ensure them I won't end up in jail[/quotef8d0c49f98]
But u will, just give it a couple of years

sugartaspice

23-04-2007 22:33:24

lol, I hope not

x323smostwantedx

23-04-2007 22:39:48

[quote0507665dc9="sugartaspice"]lol, I hope not[/quote0507665dc9]
Why do you think some of the people that have been here for a long time dont have that high of a TR, you cant get more than a certain amount in a certain amount of time. If you do too much in a little bit of time, youll get a big invoice by the end of the year. shock , and if you dont pay that, well you know what happens

sugartaspice

23-04-2007 23:08:38

shock Oh dear. I think I am going to take my laptop and money and run

x323smostwantedx

23-04-2007 23:13:02

[quote9f3d89cee7="sugartaspice"]shock Oh dear. I think I am going to take my laptop and money and run[/quote9f3d89cee7]
If the laptop and money is all you've gotten, then you should be fine. But I see some people who have just joined and have over a TR of 100. Thats crazy. Good luck to them D

i was kidding about all of this, i was bored, sorry[/size9f3d89cee7]

egyptianruin

24-04-2007 07:05:56

Just tell them its incentive marketing.

johnjimjones

24-04-2007 07:46:54

[quote133e45faa2="egyptianruin"]Just tell them its incentive marketing.[/quote133e45faa2]

Exactly, and you can just follow it up with an explanation of how it works.

doylnea

24-04-2007 07:57:32

http//forum.freeipodguide.com/viewtopic.php?p=621344#621344
and then
http//forum.freeipodguide.com/viewtopic.php?p=621355#621355

dmorris68

24-04-2007 08:12:15

It isn't technically a pyramid scheme at all. PS's depend on a hierarchical structure of recruits and recruiters that extend to multiple levels. If I'm on top, I get a piece of what everybody makes, even from those multiple levels below me.

Think of incentivized marketing as more of a unit-quota commission sales program. You "earn" based on how many "sales" (referrals) you make. It's only a single "level" deep and not residual beyond your cashout (except for those few that allow you to repeat, but you don't continue earning from the same old referrals).

On its surface it does resemble a pyramid or even sometimes a Ponzi scheme, but when you look at the details of how it works it's easy to see the distinction. If they were truly either of those schemes, they would not be the flourishing, profitable, and widely advertised business model that they are, seeing as how the aforementioned schemes are illegal. ;)

manOFice

24-04-2007 08:23:32

[quote224a86e9cc="dmorris68"]It isn't technically a pyramid scheme at all. PS's depend on a hierarchical structure of recruits and recruiters that extend to multiple levels. If I'm on top, I get a piece of what everybody makes, even from those multiple levels below me.

Think of incentivized marketing as more of a unit-quota commission sales program. You "earn" based on how many "sales" (referrals) you make. It's only a single "level" deep and not residual beyond your cashout (except for those few that allow you to repeat, but you don't continue earning from the same old referrals).

On its surface it does resemble a pyramid or even sometimes a Ponzi scheme, but when you look at the details of how it works it's easy to see the distinction. If they were truly either of those schemes, they would not be the flourishing, profitable, and widely advertised business model that they are, seeing as how the aforementioned schemes are illegal. ;)[/quote224a86e9cc]

That sounds pretty good to me.

JennyWren

24-04-2007 08:52:59

The way I differentiate it is that with pyramid schemes, the people at the top get a lot and the people at the bottom get next to nothing, whereas with IFWs everyone is at the "top", and everyone has exactly the same chance and requirements to get the same "payoff".

DRay9911

24-04-2007 09:27:19

you can't just show brag bag pages, you need to explain HOW it works...

i print my status pages on the different sites i've worked on showing all of the people who have registered to the site (or i use screenshots, if i'm using e-mail).

i then print the 'offer' page showing the list of available offers and explain how that works.

then i tell them how when people sign up for an offer, their status on my page shows 'completed'. (i show them the difference between those who just registered and those who have completed an offer).

then i show them paypal statements showing the amount, or pictures of what i've received.

-dan

Iloveipods2

24-04-2007 11:11:48

It is a pyramid model. the reason freepay makes money is that in hopes that the farther down the bottom of the pyramid the less likely it is for you to finish. shrug

dmorris68

24-04-2007 11:40:00

No, it isn't a pyramid model. A pyramid model is multi-level, with one person at the top, one or more underneath, one or more underneath them, etc. Out to infinity. Everyone makes income directly proportional to the income of every single person below them, even if they're 20 levels down. Andy they continue to earn residual income from those people. As Jenny pointed out, the guys at the bottom get virtually zilch while the guy as the top get mega-bucks by comparison.

That isn't the case with Freepay and other incentivized marketing sites. They get paid a flat rate per lead, and they in turn pay a flat-rate in referral value to each referral. There is no splitting of income down a chain, because there are no vertical chains -- only horizontal ones. It's you at the top, and X number of refs. Your ref's refs do not count anything whatsoever towards your gain, therefore income doesn't "stack" like it does in a pyramid. Once you cash out, that's it -- you gain no more value from those referrals. A few cash sites like PrizeBook might stretch that last part a bit, since you do get paid repeatedly when refs cash out repeatedly, however the levels and income involved are still quite distinct from a pyramid.

bruman

24-04-2007 12:12:48

I usually just tell people about DIY sites. It's a lot easier and the payout is better.

sugartaspice

24-04-2007 13:50:21

Thanks Dmorris68 your info was very helpful )