One of the things I was looking forward to with LiveSmart 360 was the culling of non-active members so that we could get an accurate view of associates who actually committed to themselves with the company.
It’s one thing to get 160,000+ people to sign up for a business opportunity that costs them nothing and another thing entirely to get them to financially commit.
When the deadline came around to ‘lock your spot’ in the Smartline, LiveSmart 360 decided to extend it, twice.
When the second deadline rolled around LiveSmart further extended the deadline by deceptively stating that the culling process could take around two days to complete. The reality being of course that in the digital age you click a button and in a few seconds anyone who hadn’t bought a LiveSmart starter pack would have been culled from the Smartline.
Reality didn’t stop LiveSmart from engaging in don’t miss your last chance, no really we mean it this time you better signup now or we’re closing the doors forever OMG HURRY UP YOU’VE ONLY GOT 5 MINUTES TILL THE WORLD EXPLODES’ marketing tactics.
Finally, after the 48 hour culling process deadline became a bit of a joke, LiveSmart announced that instead of culling members and revealing exactly how many people financially committed to the company, that they were instead going to effectively mask the number of active associates.
LiveSmart decided that if you hadn’t committed to the company by buying a starter pack, that you’d still remain in the Smartline. Although instead of being completely removed, you’d just be ineligible for any commissions and cycle to the bottom of the Smartline list every 14 days.
This process would repeat until you either signed up with a starter pack or presumably contacted LiveSmart and demanded to be removed.
Clever on their part but at the least deceptive to new prospects who might assume that there’s actually 160,000+ active members in the company.
Recently LiveSmart 360′s Mike Potillo made a big hoo haa about the company’s first commission payouts;
This week, after only one full month in business, we paid out nearly $1 Million in commissions to over 2,000 LiveSmart 360 Members around the world!
One million dollars in comission payouts? Wow business must be booming!
Well, not really.
The first red flag here should be that the LockYourSpot website is currently claiming 167,107 LiveSmart 360 members.
Simple maths shows that in it’s first month of business just 1.1% of LiveSmart 360 associates received a commission payout.
Perhaps more unexciting is the fact that if we spread out one million dollars over two thousand associates we get an even payout of $500 per associate.
You don’t need me to tell you that’s nowhere near a full time salary. For some associates it won’t even cover their startup costs.
Remember though that the $500 number is an even distribution. As with all MLM/Network marketing companies those at the top of the downlines receive the lion’s share of commission payouts and LiveSmart 360 will be no different.
With $10 being the minimum commission payout it’s a safe bet to assume most associates made nowhere near $500 and a small inner circle at the top made much, much more.
Finally these numbers also reveal that 98.9% of LiveSmart 360 members failed to make less then $10 in commission payouts, or worse made nothing at all.
LiveSmart 360 is still well in the infancy stages as a business and it remains to be seen if it will eventually turn into the ‘multi-billion dollar company’ CEO Mark McCool hopes it will.
I certainly wouldn’t be widely publicising these opening figures as any kind of massive success story. If commission payouts of LiveSmart’s first month are anything to go by though, it seems there’s a hell of a long road to go yet.