AdIncomeMatrix Review: $20 Income Hybrid Pack investment
06As per the AdIncomeMatrix FAQ, the owner of the company is identified as Bruce Bjert Olsson.
The AdIncomeMatrix website domain (“adincomematrix.com”) was registered on the 28th of February 2015, however the domain registration is set to private.
Other than his LinkedIn profile listing his current location as Spain, details on Olsson are sketchy.
The AdIncomeMatrix FAQ claims the company is part of something called the “Residual Income Group”. Members of this group have limited experience with running companies, but do have experience in participating in revenue-sharing opportunities:
WHAT ARE THE PREVIOUS PROGRAMS THIS GROUP HAS HANDLED IN THE PAST?
There is always a first time in everything we do, because we were not born with anything we are doing now.
Our group don’t have any previous program we have manged at the moment but leaders in the group have experience in online business in the area of affiliate marketing, PPC Advertising and Mailer adverts, even partcipating (sic) in other RevShare Programs as members.
Revenue-sharing in MLM circles pretty much exclusively refers to what are otherwise known as Ponzi schemes.
Read on for a full review of the AdIncomeMatrix MLM business opportunity.
The AdIncomeMatrix Product Line
AdIncomeMatrix has no retailable products or services, with affiliates only able to market affiliate membership with the company itself.
Once signed up, AdIncomeMatrix affiliates can purchase $20 “Income Hybrid Packs”.
Bundled with each of these packs are a series of advertising credits, which can be used to display advertising on the AdIncomeMatrix website.
The AdIncomeMatrix Compensation Plan
The AdIncomeMatrix compensation plan sees affiliate purchase $20 Income Hybrid Packs, which create both a matrix cycler subscription and revenue-sharing position.
Matrix Cycler Commissions
$10 of each $20 Income Hybrid Pack is used to generate a $2 matrix position every day for five days.
These positions are entered into a series of four matrix cyclers, with commissions paid out once enough subsequent positions have been purchased as follows:
- Matrix 1 (3×1, three positions to fill) – $1.50 commission and a position in Matrix 2
- Matrix 2 (3×1, three positions to fill) – $3 commission paid, a new Matrix 1 position and a position in Matrix 3
- Matrix 3 (4×1, four positions to fill) – $5 commission paid, a new Matrix 1 position and a position in Matrix 4
- Matrix 4 (5×1, five positions to fill) – $36 commission paid and a new Matrix 1 position
Note that 30% of the Matrix 4 commission paid out must be put towards the purchase of additional Income Hybrid Packs.
$10 of each $20 Income Hybrid Pack is used to fund a revenue-sharing position, which eventually pays out an advertised $15 ROI.
How fast this ROI is paid out is determined by how quickly subsequent Income Hybrid Packs are purchased.
Note that as with matrix commissions, 30% of all revenue-sharing commissions must be put towards the purchase of additional Income Hybrid Packs.
Referral commissions on Income Hybrid Pack purchases by recruited affiliates are available, paid out down two levels of recruitment (unilevel):
- level 1 – 7%
- level 2 – 3%
AdIncomeMatrix affiliate membership is free, however affiliates must purchase at least one Income Hybrid Pack position in order to participate in the income opportunity.
As such, the defacto minimum cost of AdIncomeMatrix is $20 (the cost of one Income Hybrid Pack).
Mirroring the spate of recent subscription-based matrix cyclers we’ve seen launch (and subsequently collapse), AdIncomeMatrix offers up more of the same.
Both the revenue-share and matrix cycler components of the compensation plan function as Ponzi schemes, serving no other purpose than to shuffle newly invested funds to pay off existing affiliate investors.
The revenue-sharing component is straight forward enough, offering an advertised 150% ROI paid out of subsequently invested funds.
The matrix cycler is more fixed in nature, mathematically requiring a certain number of new positions to be invested in before a ROI is paid out.
The fraudulent nature of AdIncomeMatrix’s business model is all but confirmed in the company’s “no refunds” refund policy:
All purchases are NON-REFUNDABLE.
We share the revenue from your purchase with all members, so we cannot afford to offer refunds.
As with all Ponzi schemes, once new affiliate investment dries up, there’s no funds to pay ROIs with and the scheme collapses.
The 30% mandatory reinvestment will serve to keep AdIncomeMatrix from collapsing for some time, but sooner or later the inevitable will happen.
In their FAQ, AdIncomeMatrix attempt to address this fundamental Ponzi scheme business model flaw:
Most company force matrix fail, because of less position purchase into the system, which makes the matrix to stop and the system crash.
This can NOT happen in AdincomeMatrix because we have that covered with the daily sub plan and every time your position cycle in Level 2, 3 and 4, the system generate a new position for you in Level 1 to enable new members that just join to earn as fast as possible.
While the first paragraph is correct, in that Ponzi schemes collapse when new affiliate investment dries up, the second fails to remedy the problem.
The daily sub plan simply spreads out the creation of positions over five days at a time, doing nothing to inject new funds into the system. $20 is still injected as a lump sum, each time a new Income Hybrid Pack is invested in.
As for the phantom positions created as affiliates cycle through the four matrices, again these do not generate new revenue for AdIncomeMatrix to pay out.
Infact all these positions do is create an additional strain on the system, as they generate commissions without pumping any new funds into the scheme.
Despite the obvious investment-related nature of AdIncomeMatrix, Bruce Bjert Olsson insists he’s not running a Ponzi scheme:
IS ADINCOMEMATRIX AN INVESTMENT, MLM, HYIP OR PONZI SITE?
We are not an INVESTMENT, MLM, HYIP or PONZI program. The formula behind this model is proven and works every time.
Make no mistake, as per its business model AdIncomeMatrix is very much a fraudulent Ponzi investment scheme. And the only thing the Ponzi model has been “proven” to do, is transfer newly invested funds into the hands of early investors.
Those being Bruce Bjert Olsson and his buddies, four of which have been made admins of the AdIncomeMatrix Facebook group.