Experience Success with SoftWebMLM's Generation Plan

Welcome to SoftWebMLM, where we're committed to empowering MLM businesses with innovative compensation plan solutions. Our Generation Plan is designed to unleash the full potential of your MLM organization, driving growth, and maximizing earnings in a structured and efficient manner.


What is the Generation Plan?

  • The Generation Plan, also known as the Gap Commission Plan or Loyalty Plan, is a popular compensation structure in the MLM industry. In this plan, distributors are organized into generations based on their recruitment hierarchy.

  • Commissions are typically earned based on the sales volume or performance of each generation, with higher commissions paid out as distributors advance through the generations.

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How Generation plan works ?

To understand how this plan works, first you need to understand the concept of Generations. Generations are groups of downline members. Each generation will have a set number of levels of downline members. It varies from company to company but could usually be four or five levels.

An important thing to consider here is that even though the commission rates decrease as the generations grow, the number of members in later generations will be far more than the former ones. For example, if the First Generation has 100 members, the Second Generation is likely to be around 300, depending upon the number of levels in each Generation.

Types of Income in Generation Plan

  • Sponsor/Direct Income

    Sponsor or Direct income is income earned by referring someone in the system. For every direct referral, Networker gets paid by Sponsor income. Normally Sponsor/Direct income is Fixed amount of percentage of the package amount.

  • Retail Profit

    In generation MLM plan company’s offer product purchase from physical stores or E-commerce. Networker gets 5% to 20% flat discount on MRP while purchase product and it’s called Retails profit for them.

  • Performance Bonus

    Performance bonus is purely based on turnover which includes your self turnover and team turnover. Many MLM software company use BV(Business Volume) or SV(Sales Value) for turnover. Performance bonus is mostly monthly basis and it is level wise. Like if you have completed 1000 BV then you will earn 5% of it and it increases gradually.

  • Car/House Funds

    MLM Generation company tend to have loyal customers for their products in form of Networker. They offer funds on company turnover when Networker achiever specific condition. Like Networker achieve all levels of Performance bonus then they will be eligible for Car fund and car fund will be 5% of company total turnover.

  • Franchisee Income

    MLM Generation company offer franchise to their networker. It’s win win situation for company as well Networker. Company have proper distribution channel if they have more franchisee. Networker will have availability of product nearby whenever they require. Company offer 2% to 5% of turnover of that particulate franchisee.

  • When the payments are transferred in MLM Generation Plan?

    Normally, MLM software companies transfer payments Daily or Weekly or Monthly Basis. Even many companies provide option of user withdrawal, so user can withdrawal whenever he/she want.

Advantages of Generation Plan

  • Members tend to be slow in recruiting associates. Because of the emphasis on selling products, members tend to spend less time on recruiting new members. This situation negatively affects the company’s growth as an MLM business. It is equally crucial for an MLM company to keep getting new associates as it is about meeting sales targets.

  • Not suited for low sales volume products. Generation plan is not suited for companies into selling products like white goods and such low moving, but costlier products. This plan is suited mostly for high volume sales, not high value sales.

  • Selling high volumes of products on a regular basis is a must for members to have expected income. This puts undue pressure on team members and people with low sales skills tend to even drop off.

Uniqueness of Generation Plan

  • If you are a company selling high volume but low value products, this is the compensation plan you should be considering.


  • If your products are of good quality and you do not want to spend money on advertising, Generation Compensation Plan is the most suitable compensation plan for your company.


  • That will be one attribute which will definitely improve your company’s reputation as well. And if you are someone with good selling skills, trying to decide on joining an MLM company, you should be looking for one that follows this mlm plan.

Compensation In Generation MLM Software

The MLM Companies Define Their Compensation Plan Based On Their Policies. As A Leading Provider Of Generation Plan Software System, We Offer Different Compensation Structures As Per The Companies Requirements.

GENERATION COMMISSION

In a Generation Plan, the commission is calculated by 2 different ways – Level Wise income and Differential income.

REFERRAL / SPONSOR BONUS

It is same like in other compensation plans. This as a motivational bonus because these type of bonus is offered by sponsors to make members active in stable network expansion.

MATCHING BONUS

It is the amount earned as a percentage for every person signed on by your down lines. This actually starts almost 5-6 levels below you and is actually a motivation for you to grow your network deeper.

RANK ACHIEVER BONUS

his bonus is paid to existing members when they turn eligible to the higher level or rank. It acts as a promotion bonus in the MLM industry.

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