ListZap Review: $6 position recruitment scheme
The ListZap website domain was registered on the 4th of May 2011, however the domain registration is set to private.
There is no information on the ListZap website indicating who owns or runs the business, other than the signing off of “MandJnet” on the ListZap “Terms and Conditions” page.
Further research reveals that this alias is associated with the domain “markandjames.net”, on which ListZap is currently being advertised:
Referred to as the “Mark and James Advertising Network”,
the company appears to be run by Mark Dosier and James Cole. Worth noting is that the above “Mark and James” banner has been stolen from another website, marketing something called the “Forex MegaDroid”:
In an email sent out to prospective affiliates last week, Dosier wrote:
I am Mark Dosier and would like to invite You to our latest Program; ListZap.
This program will be managed by myself and James Cole. James and I have been working together for about 5 year now.
We are currently privately inviting all the TOP marketers that we know and You are one of them!
We are only looking for 9 Top Marketers to help us filling the level 3 of the matrix so to grant them the maximum results with a small promotional effort.
We are only looking for people who can REFER at LEAST 15
Upgraded members to the site and we know that You are one of them ;o)
We will fill the 3rd Level in purchasing order so….Hurry Up!!!
Dosier and Cole’s latest MLM venture prior to ListZap was “ClickAdProfits”, launched in late July 2013. Here’s an excerpt from an email sent out by a ClickAdProfits affiliate marketing the scheme:
RevShare from Mark & James, trusted and experienced Admins & owners of The feeder, PIF43, NitroList, CashInSolos and many more successful programs, they have projected this program to be sustainable for the long-term!!!
ClickAdProfits claim on their website that they are a “legal revenue share”, charging affiliates $25.53 for an hourly share of revenue generated by other affiliates purchasing shares (until a share has generated a $30 ROI).
ClickAdProfits affiliates must click ten ads a day to qualify for their daily ROI, with the company providing advertising credits with each affiliate investment made.
Just over two weeks after launch, around August 6th payments to affiliates in ClickAdProfits began to stall.
On August 8th, Mark and James sent out the following email to affiliates explaining what had happened:
This is to explain what is currently happening and to explain what we are going to do.
Some Payza members have decided to open unmotivated disputes; We have not broken any terms and the content of their messages to Payza is clearly demonstrating it.
What is important for us is the decision of Payza about this.
As you can understand we cannot run a business like this if, even without breaking any term, some “hysterical” members can win a dispute.
We share 100% of our revenue everyday..so, to make a clear example, if today we share 10 and in the next days this 10 is taken away by unmotivated disputes, how can we run the site?
For the above reasons, Payza is not accepted anymore until their decision and all the Payza transactions in and out are temporarily suspended.
We have decided to keep separated the transactions of Payza that are negatively affecting the site and go ahead with the rest.
We should finish to “clear” the sharing pool from Payza by tomorrow morning and by that time we should be able to re-start the sharing system without any “external” influence.
Payments through other processors resumed for a short period of time before stalling again.
On August 26th, Payza was apparently reopened however the company advised that new investment was ‘dropping down day by day‘. In response to this, ClickAdProfits announced it was ‘going to (we must) modify the system’ and that it would let affiliates ‘know soon how and when‘.
At the time of publication ClickAdProfit affiliate support has been suspended, with the company promising to re-open on September 9th.
Read on for a full review of the ListZap MLM business opportunity.
The ListZap Product Line
ListZap has no retailable products or services. Affiliates join the company for free and then are able to send advertising to existing affiliates, which the company maintains as an “email marketing list”.
ListZap charges provides the above service for free, only charging affiliates to participate in the company’s compensation plan.
The ListZap Compensation Plan
The ListZap compensation plan revolves around the payment of $6 for positions in a company-wide 3×12 matrix.
A 3×12 matrix places an affiliate at the top of the matrix with three positions directly under them (level 1).
In turn, these three positions branch out into another three positions (level 2), which continues down for a total of 12 levels and 797,160 positions.
ListZap affiliates are paid a one-time commission whenever another affiliate purchases a position that falls within their matrix. How much of a commission is paid out depends on what level of the matrix the newly purchased position falls on:
- Level 1 – 50 cents per position filled
- Levels 2 to 7 – 25 cents per position filled
- Levels 8 to 12 – 20 cents per position filled
In order to qualify for commissions, ListZap affiliates must agree to receive 8 marketing emails a day from the company.
ListZap also pay out $3 per recruited member who purchases a position in the compensation plan.
Affiliate membership to ListZap is free, however affiliates must purchase compensation plan positions ($6 each) if they wish to generate commissions.
As Upgraded member You only need to refer 2 paid members to be in profit.
The above marketing spiel is what ListZap themselves use to market the opportunity, clearly confirming the reliance on recruitment of new affiliates to keep the scheme afloat.
The act of recruitment alone doesn’t sustain the scheme, however affiliates need to purchase $6 positions in order to generate commissions. This money comes from newly recruited affiliates.
Another red flag evident is the way in which ListZap encourage others to market the opportunity. Taken from a payment processor receipt provided to a ListZap affiliate, the company writes:
Comments = Do not forget to spread the word about ListZap! Use your payment proofs to attract new referrals!
When one considers the problems Dosier and Cole continue to experience with their just recently launched ClickAdProfits, the idea of starting up a brand-new opportunity seems odd.
I was going to put ListZap down to a cash injection fund for ClickAdProfits but at $6 a position, that’s not really going to cover the sort of ROI affiliates expect in an hourly ROI scheme.
In anycase, whether it’s a Ponzi scheme like ClickAdProfits or a recruitment-driven pyramid scheme like ListZap, the bottom line is both are unsustainable.
Payza issues aside ClickAdProfits would have eventually collapsed once new investment was reached a point such that the daily ROI paid out was too low to bother with.
ListZap will collapse as an opportunity once new affiliates stop buying $6 positions.