Keionics 9x Review: Recruit 4 people, earn money
There is no information on the Keionics 9x website indicating who runs or owns the business, other than the following vague marketing spiel:
Keionics, is a group of professionals – from one of the world’s largest industry, touching the 8 trillion dollar mark by the end of this year, and is expected, to double by the year 2014, namely, The Travel Industry clubbed up with professional group of Alternative Career Industry Experts.
From what I can gather, ‘Keonics 9x’ is a MLM business opportunity attached to parent company ‘Keonics’. Keonics themselves don’t seem to offer anything different so for the purpose of this review I’m just going to refer to Keonics 9x as ‘Keionics’.
The domain ‘keionics.com’ (Keionics 9x merely runs off the subdomain ‘9x.keionics.com’) lists a Thailand office address under its WHOIS registration info:
Domain name: KEIONICS.COM
ITF Silom Palace Building
160/142 12th Floor Silom Road
Bangrak, Bangkok 10500 TH
‘Delta Infotech’ however appear to be an Indian firm run by a one Mr. Arun Mehrotraa. Back in 2011, the Keionics domain registration listed Mehrotraa by name along with an Indian based address:
Domain name: KEIONICS.COM
Registrant: Delta Infotech
C/O Arun Mehrotraa
15-248-B Civil Lines
Kanpur, UP 208001
Additionally on his Facebook page, Arun Mehrotraa lists himself as a ‘Coordinator’ at Keionics:
The same appears on his LinkedIn profile page too:
Putting two and two together Mehrotraa appears to be the person behind Keionics. Why Keionics supposedly has a Thailand based business address when he himself is based out of Uttar Pradesh in India though is unclear.
The Keionics Product Line
Keionics don’t have a retailable product or service with members instead only being able to purchase membership to the company.
Two e-books by author Angela Schulz Henke are included with the price of membership, but as per the company’s own admission, money paid by new members only covers the cost of membership:
The Total Cost of Purchase of the 2 E- Books: $27 (The Purchase Cost of this Profit Sharing Business).
Logically either you are purchasing the ebooks or membership, and given that it’s not possible to purchase the ebooks separately without membership to Keionics (through the company itself and thus being true retail), it follows that membership is what is actually being paid for and not the books themselves.
The Keionics Compensation Plan
Keionics use what they call a ‘profit sharing’ compensation plan model which rewards members on all sales made by company members.
What this effectively translates to is a single line compensation system with each position having four qualifying positions after it. Once those positions are full the original position qualifies for a commission payment.
Within this compensation structure are three main single line compensation systems, Bronze , Silver and Gold. In turn within each of these groups positions are called ‘Uno positions’ on their first placement and then ‘Duo positions’ on their second.
The basic idea is that upon purchasing Keionics membership for $27, members are given a Uno position in the Bronze line. Then, either by their own recruitment efforts or other company members’, once four new members are placed after them they then earn a $12 payout and the position becomes a Duo position, being re-entered into the line.
Again, once four positions are filled after the Duo position the position qualifies for a $42 payout.
In effect, 8 members join after the purchase of membership and Keionics pay out a $54 commission.
During the filling of positions of the Uno and Duo placements there is also a ‘9x’ qualification that needs to be met. This qualification requires the personal recruitment of 3 new members into Keionics.
If this 9x qualification is not met before a member’s duo position expires, they need to pay Keionics another $27 to receive a new Bronze Uno position where once again they have to try to recruit three new members before 8 people join after them.
If the 9x qualification is met before a duo cycle, the owner of the position is given given 9 new Bronze Uno positions (each with separate 8 new member qualification requirements) and a new Silver Uno position.
This Silver Uno position follows the same rules as the Bronze Uno positions do (4 new positions after it required to turn into a Duo position and then four again), as well as having the same 9x qualification requirement of recruiting 3 new members before the Duo position expires.
Once again if the 9x qualification is not met before a Silver Duo position expires, members must pay Keionics another $27 for a new Silver Uno position and try again.
Once the 9x qualification is met on a Silver position, members are once again rewarded nine new Silver Uno positions as well as a Gold Uno position – where the process repeats once again.
The first position given upon Gold 9x qualification re-enters the Gold lin cycle (Gold Uno and Duo) indefinitely, whereas all other Gold 9x positions simply expire.
Here are the payout amounts for each of the Bronze, Silver and Gold positions (note that 9x is simply 9 Uno+Duo positions):
- Bronze: Uno – $12, Duo – $42, 9x – $486
- Silver: Uno – $120, Duo – $420, 9x – $4860
- Gold: Uno – $1200, Duo – $4200, 9x – $48600
Membership to Keionics (essentially a Bronze Uno position purchase) is $27. There is no limit on the amount of memberships (positions) that can be purchased by one member.
The basic idea here is that you purchase a position and then by recruiting others into Keionics earn recruitment commissions and simultaneously increase your positions in the system.
The 9x system ensures that each member exponentially experience position growth but at the same time increases the recruitment numbers required to continue the position expiry and payouts.
The Silver and Gold levels are fed by the Bronze level which ultimately needs a constant supply of new members into the system to keep it going (9x positions and recycles from existing members will only go so far).
As far as products go, as mentioned before members aren’t paying for them but rather only for membership (which equates to Uno positions at the applicable level).
This is confirmed in Keionics’ own description of their product:
The beauty of this membership service package is that it is not a one time deal or a one time discount…
As well as the fact that if you don’t earn 9x qualification before a position expires as a Duo position, you simply pay Keionics $27 for another position and try again.
Also included with membership is a ‘Travel Service Gift’ which appears to be some sort of travel voucher. I thought it was a bit odd that the travel gift seemed secondary to the free ebooks given that Keionics emphasise the travel side of the business in their marketing spiel:
For the first time in the history of MLM – Keionics will be providing Tailor Made Services designed to suit your total traveling and vacation needs, fulfilling them, as and when you require.
I’m not sure if every $27 payment to Keionics attracts a new voucher but being described as a gift, this voucher is ultimately irrelevant when analysing the Keionics business model and compensation plan.
For all intents and purposes the ebooks and travel voucher are just freebies propping up a single line recruitment driven compensation structure.
Once people stop joining, so do the commission payments.