Global Smart International Review: Global Smart Ads Ponzi launch
From what I can gather, Global Smart International initially launched on or around 2009.
The company initially marketed health and wellness products, with a reboot complete with new prelaunch phase announced recently.
Heading up Global Smart International is CEO and President, Ken Mackovic (below right).
According to Mackovic’s Global Smart International corporate bio;
Ken has more than 40 years worth of experience as an Owner or Master Distributor of several network marketing & direct sales companies, and has developed international sales and marketing teams of more than 250,000 independent distributors.
In the 1970’s, Ken became the youngest Diamond Direct distributor with ‘Amway’ (aka Quixstar International), and had more than 10,000 distributors in his downline.
In the 1980’s, Ken founded ‘Olde Worlde Products’, a small-scale Amway type MLM company. His company had 125,000 distributors who produced more than $100 million in sales, and operated in 5 countries over an 8 year period.
Olde Worlde Products is still active today under a different name with new owners, as a private label manufacturer (non MLM).
In the 1990’s, Ken helped re-launch ‘Pre-Paid Legal Services’ under the name of LegalShield and became an Executive Director before liquidating his assets. He organized and developed well over 24,000 associates in his downline.
In 2004, Ken co-founded ‘NexagenUSA’, an international MLM company with 80,000+ Distributors operating in 9 countries with over $80 million in sales. Ken resigned and sold his interest with NexagenUSA in 2005.
Ken has personally earned over $20 million in this industry. He has also mentored some of the top income earners of all time, such as: Dexter Yager (Amway), Dave Savula (LegalShield), and others that have gone on to make multiple millions of dollars!
In fact, he has directly helped nearly 50 people make a million dollars due to their direct association with him, and hundreds more make six-figure incomes.
Read on for a full review of the Global Smart International MLM opportunity.
The Global Smart International Product Line
Global Smart International initially marketed a range of natural health and wellness products:
- Om Lotion and Gel – “bio conductive energy products that are able to transmit the energy (sound wave) to the skin and body”
- Om Powder – “100% USP/FDA graded ingestible Kaolin Clay Powder, infused with Om technology”
- Om Colloidal Silver – “an all natural, broad spectrum germ fighter that is infused with Om technology”
- Relief Enhanced Energy Chips – “helps stop the pain of sore joints and muscles”
- Slym Enhanced Energy Chip – “helps you to lose weight naturally”
- Vitality Enhanced Energy Chip – “helps super charge your energy”
- Rest Enhanced Energy Chip – “helps you to always get a good night’s rest with total body relaxation”
- Love Enhanced Energy Chip – generate more love (and) trigger emotions”
- Power Enhanced Energy Chip – “helps conduct aweome [sic] male performance”
- Energize Enhanced Energy Chip – “resonates subtle energy (and) enhances performance”
- Slym Magic – “an organic, detoxifying tea that also supports weight loss”
- Slym Magic Clean Sweep Colon Cleanse – “keep your colon squeaky clean”
- Thermo Burn Plus – “a thermogenic, high potency, fat burning product”
- NuJoints – “nature’s most potent joint pain relief formula, containing cartilage structure and anti-inflammatory features”
- Natural V For Him – “an all natural herbal substitute for Viagra and other male performance products”
- Naturally 4 Her – “a highly effective female hormone stimulant”
- Life’s Defense – “helps prevent viral replication in the body and helps mitigate symptoms associated with active viral infections”
- Immuni-Plex Super Concentrate Formula – “created by the Amish (and) helps overcome heartburn, the flu, indigestion, allergies, migraines, harmful stomach bacteria, constipation, indigestion, fussy infants, and so much more”
- Super Vitaplex – “the most complete multi-vitamin & mineral product ever offered”
- Mighty OPC – contains Trans Resveratrol [helps fight aging] and Vitamin D3 [helps fight cancer]
- Zest 4 Life – “get all the energy you need without sugar and calories”
The Global Smart International compensation plan suggests that each product retails at $59.95.
Through the launch of Global Smart Ads, Global Smart International are also now selling online ad-packs.
Each Ad Pack includes 2,000 ad credits that can be allocated to display your 468×60 or 125×125 banner and/or text ads in the company rotator, and will circulate throughout the entire database of “ad viewers”.
“Ad-viewers” are believed to be Global Smart International affiliates.
For 20 ad credits, you can get ‘1’ real ‘human’ 20-second view to your website or webpage, via your banner or text ad, which means that each ad pack can deliver up to 100 real ‘human’ views that must verify each click with a CAPTCHA code.
For 5 ad credits, you can get ‘1’ impression of your banner or text ad throughout the entire GSA site, which means that each ad pack can deliver up to 400 impressions.
And there is no time frame to assign your ad credits as they never expire.
Global Smart Ad Packs also retail for $59.95 each.
The Global Smart International Compensation Plan
The Global Smart International compensation plan sees affiliates required to purchase products each month to earn commissions.
Commissions are paid out on retail sales, with residuals paid out via binary and unilevel compensation structures.
Additional performance-based bonuses are also available, including passive ROIs offered on Ad Pack investment.
Commission Qualification (Active Affiliate)
To qualify for commissions a Global Smart International affiliate must be “active”.
To be active and qualify for MLM commissions, a Global Smart International affiliate purchase at least 30 PV of product a month and recruit others who do the same.
Global Smart International Affiliate Ranks
There are twelve affiliate ranks within the Global Smart International compensation plan.
Along with their respective qualification criteria they are as follows:
- Affiliate – sign up as a Global Smart International affiliate and be commission qualified
- Supervisor – recruit and maintain at least four commission qualified affiliates
- Manager – recruit and maintain at least six commission qualified affiliates, order 60 PV of product a month and generate at least 2500 GV a month in your weaker binary team
- Manager II – maintain at least six commission qualified affiliates, order 60 PV of product a month and generate at least 5000 GV a month in your weaker binary team
- Director – recruit and maintain at least eight commission qualified affiliates, order 60 PV of product a month and generate at least 10,000 GV a month in your weaker binary team
- Director II – maintain at least eight commission qualified affiliates, order 90 PV of product a month and generate at least 25,000 GV a month in your weaker binary team
- Executive – recruit and maintain at least ten commission qualified affiliates, order 90 PV of product a month and generate at least 50,000 GV a month in your weaker binary team
- Executive II – maintain at least ten commission qualified affiliates, order 90 PV of product a month and generate at least 125,000 GV a month in your weaker binary team
- Executive III – maintain at least ten commission qualified affiliates, order 120 PV of product a month and generate at least 250,000 GV a month in your weaker binary team
- Presidential – recruit and maintain at least twelve commission qualified affiliates, order 120 PV of product a month and generate at least 500,000 GV a month in your weaker binary team
- Presidential II – maintain at least twelve commission qualified affiliates, order 120 PV of product a month and generate at least 1,000,000 GV a month in your weaker binary team
- Presidential III – maintain at least twelve commission qualified affiliates, order 120 PV of product a month and generate at least 2,000,000 GV a month in your weaker binary team
Retail Commissions
If a retail customer purchases Global Smart International products, an affiliate earns a retail commission equal to the difference between the wholesale and retail price.
For adpack purchases, this equates to a $19.95 commission ($59.95 retail minus $40 wholesale).
Preferred customers who wish to purchase Global Smart International products at a discount, must pay a $20 annual fee.
Preferred customer orders pay a $15 commission on physical products and $6 per adpack purchased.
First Order Bonus
The First Order Bonus is a cash bonus of $10 per physical product ordered starting from an affiliate’s third taken order (recruited affiliate or retail customer).
An affiliate’s first two sales are split with their upline (the affiliate who recruited them), paying only $7.50 per physical product ordered.
In turn, affiliates receive $7.50 when affiliates in their downline make First Order Bonus sales.
Adpacks pay out $5.60 from the third order and $4.20 on the first and second.
Note that these are first order bonuses and are only paid on a newly recruited or new retail customer’s first product order.
Residual Order Bonus
The Residual Order bonus is a commission paid out on recurring orders made after 7 days.
The first two recurring orders are paid at a rate of $1.35 per physical product ordered and then $1.80 from the third.
Ad Pack purchases pay $4.20 per pack ordered (first and second recurring sale) and then $5.60 from the the third.
As with the First Order Bonus, recruited affiliates pass up a percentage of their first two commissions to the affiliate who recruited them.
A matching bonus of 50% on Residual Order Bonuses paid to personally recruited affiliates is also available.
Residual Commissions (binary)
Residual binary commission in Global Smart International are paid out via a binary compensation structure.
A binary compensation structure places an affiliate at the top of a binary team, split into two sides (left and right):
The first level of the binary team houses two positions. The second level of the binary team is generated by splitting each of these two positions into another two positions each.
In this manner subsequent levels of the binary team are generated as required, with each new level housing double the positions of the previous level.
Positions in the binary team are filled via direct and indirect recruitment of Global Smart International affiliates.
At the end of each day sales on both sides of the binary are tallied up. Global Smart International affiliates are paid a commission for each 60 GV matched on either side of the binary.
How much of a commission is paid out per match found is determined by a Global Smart International affiliate’s rank:
- Affiliate – 10% ($6)
- Supervisor – 12% ($7.20)
- Manager – 14% ($8.40)
- Director – 16% ($9.60)
- Executive – 18% ($10.80)
- Presidential – 20% ($12)
Note that Global Smart Initiative daily binary earnings are capped as follows:
- Affiliate – $500
- Supervisor – $1000
- Manager – $2000
- Director – $5000
- Executive – $10,000
- Presidential – $20,000
To qualify for binary commissions, a Global Smart International affiliate must recruit at least two active affiliates (one on either side of the binary).
Additional Binary Positions
If a Director or higher ranked Global Smart International affiliate maxes out their daily commission cap for 30 consecutive days, they qualify for another binary position.
This position is placed within an affiliate’s existing binary team, effectively allowing the affiliate to double up on existing binary volume.
Residual Matching Bonus (binary)
Global Smart International affiliates are able to earn a matching bonus on binary commissions earned by their downline.
Residual Matching Bonuses are paid out via a unilevel compensation structure.
A unilevel compensation structure places an affiliate at the top of a unilevel team, with every personally recruited affiliate placed directly under them (level 1):
If any level 1 affiliates recruit new affiliates, they are placed on level 2 of the original affiliate’s unilevel team.
If any level 2 affiliates recruit new affiliates, they are placed on level 3 and so on and so forth down a theoretical infinite number of levels.
The Residual Matching Bonus pays a percentage match of residual binary commissions paid to affiliates in a unilevel team.
How many levels of recruitment a Global Smart International affiliate can earn on is determined by their rank:
- Affiliate – 10% match on level 1 and 3% match on levels 2 to 6
- Supervisor – 15% match on level 1 and 3% match on levels 2 to 6
- Manager – 15% match on level 1, 3% match on levels 2 to 7 and 2% match on level 8
- Director – 20% match on level 1, 3% match on levels 2 to 7 and 2% match on level 8
- Executive – 20% match on level 1, 3% match on levels 2 to 8 and 2% match on levels 9 and 10
- Presidential – 25% match on level 1, 3% match on levels 2 to 8 and 2% match on levels 9 and 10
Residual Commissions (unilevel)
Residual unilevel commissions in Global Smart International are paid out via a unilevel compensation structure.
This is the same compensation structure used to pay out the Residual Matching Bonus.
Through this unilevel compensation structure, a Global Smart International affiliate can earn on sales volume generated by their downline as follows:
- Affiliate – 3% on levels 1 and 2 and 2% on levels 3 to 5
- Supervisor – 3% on levels 1 and 2 and 2% on levels 3 to 6
- Manager – 3% on levels 1 and 2, 2% on levels 3 to 6 and 1% on level 7
- Director – 3% on levels 1 and 2, 2% on levels 3 to 6 and 1% on levels 7 and 8
- Executive – 3% on levels 1 and 2, 2% on levels 3 to 6 and 1% on levels 7 to 9
- Presidential – 3% on levels 1 and 2, 2% on levels 3 to 6 and 1% on levels 7 to 10
Generated preferred customer volume is paid out separately through the unilevel as follows:
- Affiliate – 10% on levels 1 to 5
- Supervisor – 10% on levels 1 to 6
- Manager – 10% on levels 1 to 7
- Director – 10% on levels 1 to 8
- Executive – 10% on levels 1 to 9
- Presidential – 10% on level 1 to 10
Residual Matching Bonus (unilevel)
As with binary commissions, Global Smart International affiliates are able to earn a match on unilevel commissions their downline earns.
Manager and higher ranked Global Smart International affiliates earn 5% on levels 1 and 2.
Global Bonus Pool
The Global Bonus Pool is made up of 3% of Global Smart International’s company-wide sales revenue.
The Global Bonus Pool is split into four smaller pools, which Manager and higher ranked affiliates can earn shares in as follows:
- Manager – one share in a 0.5% pool
- Director – one share in a 0.5% pool
- Executive – one share in a 1% pool
- Presidential – one share in a 1% pool
Rank Achievement Bonus
The Rank Achievement Bonus is a one-time bonus paid out when a Global Smart International affiliate qualifies at the Manager or higher rank for four consecutive weeks:
- Manager – $100 gift card
- Manager II – eight 1 oz silver American Eagle coins or 8oz of silver bars
- Director – two 1/10th oz gold American Eagle coins or $350 “gold acct”
- Director II – Apple iPhone 6s or MacBook Air or a “luxury designer bag”
- Executive – “2K Spa Day, Family Entertainment or Pro Photography”
- Executive II – “5K Weekend Getaway, Cruise or First Class Airfare for 2”
- Executive III – “10K Shopping Spree, cosmetic surgery or Rolex watch”
- Presidential – “20K Aged Corp with 50K Credit Line or pre-paid life insurance”
- Presidential II – “40K Mercedes, BMW, Lexus, Cadillac or (a) home makeover”
- Presidential III – “100K business, franchise, rental property or retirement acct”
Lifestyle Residual Bonus
Global Smart International affiliates are able to receive a guaranteed income per month, as determined by their rank:
- Manager – $125 a month
- Manager II – $250 a month
- Director – $500 a month
- Director II – $1250 a month
- Executive – $2500 a month
- Executive II – $6250 a month
- Executive III – $12,500 a month
- Presidential – $25,000 a month
- Presidential II – $50,000 a month
- Presidential III – $125,000 a month
Ad Pack Passive ROI
Upon purchasing an Ad Pack for $40, Global Smart International affiliate’s earn “up to” 3% a day ROI (max $18) per Ad Pack invested in.
To earn qualify for the daily passive ROI, a Global Smart International affiliate must view five company-supplied ads every 24 hours.
Ad Pack Shared Pool
The Ad Pack Shared Pool pays affiliates a 75% ROI ($48) on every Ad Pack purchased.
Ad Pack ROI Matching Bonus
Global Smart International affiliates are able to earn a matching bonus on daily Ad Pack ROIs paid to affiliates in their downline.
The Ad Pack ROI Matching Bonus is a 5% bonus paid out down two levels of recruitment.
Joining Global Smart International
Affiliate membership with Global Smart International is $20.
Global Smart International are also currently offering Founder Club affiliate membership.
Founders Club affiliate membership costs $1800 and, through Ad Pack ROIs, is advertised as “paying back” a $3240 ROI.
This represents a $1440 profit per Founders Pack. Founders Club Affiliates also receive a Presidential rank for 90 days.
A Global Smart International affiliate who recruits a Founders Club affiliate receives a $600 commission. $200 is also paid to their immediate upline (the affiliate who recruited the recruiting affiliates).
Each Global Smart International affiliate is able to purchase up to five Founder Packs ($9000 investment that pays out a $16,200 ROI).
Conclusion
As far as I can tell, Global Smart International was a legacy MLM company that wasn’t in the best of shape.
The compensation plan is convoluted and a reflection of the legacy MLM companies Ken Mackovic has previously launched and been involved in.
The Global Smart Ads Ad Pack stuff has only been recently added, in an attempt to tack on a revenue share Ponzi scheme to Global Smart International’s existing opportunity.
Simply put, the Global Smart Ads component of Global Smart International is a compliance nightmare.
Here’s how Global Smart International describe revenue generation for the Ad Pack ROIs:
This company-wide pool reserves a minimum of 5% of all global sales of Ad Packs, to be shared between the total number of Ad Packs in the pool.
On the raw math side of things you’re looking at each $40 Ad Pack investment paying out up to $24, plus the initial amount invested for a total of $66 (165%).
With Global Smart International affiliates the only one viewing ads, and solely for the purpose of qualifying for a daily ROI, the chance of retail customers purchasing Ad Packs is next to none.
What you’re left with is affiliate purchases of Ad Packs fueling ROI payments, making Global Smart Ads a Ponzi scheme.
New money flows into Global Smart International by way of affiliate investment in Ad Packs, with that same revenue used to pay out a 165% ROI.
Tax fraud may also be an issue, with Global Smart International advising;
If you reside in the USA, you will receive a 1099 once this bonus has earned you $600 in a calendar year.
A Global Smart International affiliate might run into troubles with the IRS should they compound their Ad Pack ROI payments by way of reinvestment.
Although the Ponzi fraud attached to Ad Pack investment is by far the biggest compliance issue with Global Smart International, it is not the sole red flag.
The whole Founders Club memberships is clearly a securities offering, with affiliates promised a $3240 ROI on each $1800 investment.
There is no mention anywhere on the Global Smart International website suggesting the company has registered with the SEC.
Nor does Global Smart International or Global Smart Ads appear in the SEC’s Edgar database.
Pay to play is also a prominent issue within Global Smart International’s compensation plan.
Founders Club affiliates purchase the Presidential rank for 90 days.
Affiliates who purchase physical products in bundles of eight, sixteen and thirty-two also receive temporary rank qualification.
This in turn directly impacts their income potential through the Global Smart International compensation plan.
When affiliates are purchasing products to increase their income earning potential, inventory loading becomes an issue.
Global Smart International don’t seem to care about this though, with each affiliate also required to place a minimum product volume order each month.
Global Smart International conduct no checks on whether affiliates stockpile product or actually order products because they tend to use them.
More likely than not the monthly product order requirement is going to be an autoship order, with excess product either given away or stored in a garage.
Another issue is the prevalence of recruitment quotas to advance in affiliate rank. With rank advancement directly tied to binary commission rates and daily payouts, recruitment of new Global Smart International affiliates becomes mandatory.
As to the Global Smart International’s products, some of them are certainly strange.
The energy discs in particular standout, with applying the small plastic discs to different parts of the body promising all sorts of benefits and remedies.
There’s also danger of an FDA investigation, with two of Global Smart International’s marketed containing claims about cancer.
The official Global Smart International product description for Mighty OPC states it
contains Trans Resveratrol [helps fight aging] and Vitamin D3 [helps fight cancer].
Whether Vitamin D3 helps fight cancer or not is not the issue, rather it’s the manner in which Mighty OPC is being marketed.
Clearly the Mighty OPC product description has been written to appeal to someone with cancer looking to “fight” it.
The product description for the Clean Sweep Colon Cleanse casually mentions ‘colon cancer is the #2 killer of men in the US‘.
Again, whether this fact is true or not is not the issue, rather it’s the inference that Clean Sweep Colon Cleanse will help prevent cancer in men.
To summarize, we have an established company whose management appears to have gone off the deep-end.
Regulatory caution has been thrown to the wind, with Global Smart International’s biggest problem the upcoming launch of Global Smart Ads, a full-blown adcredit Ponzi scheme.
On top of that you’ve got recruitment and pay to play issues in the compensation plan, kooky products and claims tying Global Smart International’s products to fighting and preventing cancer.
Coming from a guy who purportedly has “more than 40 years” experience in the MLM industry, it almost feels like a joke.
Seen one adpack ponzi you have seen them all.
Don’t these people that start these look at all the ones that have failed before they launch?
You need some sort of degree to explain the comp plan and levels.
So who exactly sells or buys the products? So its recruit or die once again.
You might wanna go an visit their website again as what you have on here does not match up with what they have now. Just saying.
Dunno what website you visited, but my compensation plan analysis is accurate as of the time of this comment.
globalsmartinternational.com/opportunity.php
Just saying.
I have to say that I really enjoy reading your blog. However, this particular post is full of inaccuracies regarding your explanation of GSI’s rewards plan, and how their ad packs actually pay out (which is more like a cash rebate, with benefits).
I know some of the people behind this and they are people of high integrity with no sullied backgrounds in this industry (which is rare).
Also, since they are still in pre-launch, many things are subject to change, as you’re probably looking at the 3rd or 4th older revision of their rewards plan that may have been cached in your browser (you should refresh and revisit again).
Also, no one is “required” to order anything each month to earn income. If you are not an “active” affiliate, you can still earn 6 ways in the rewards plan, but I suppose you didn’t get to read that far into the plan, which would be expected of any good journalist performing a fair and extensive investigation into the subject matter.
Another thing is an affiliate could refer a preferred customer in lieu of their own personal monthly order of $40, to satisfy the 30 CV requirement, which is quite legal. But again, if they don’t, they can still earn 6 ways in the plan, which is very fair.
Lastly, in what language is a loss ever considered an ROI? You mentioned earlier “Upon purchasing an Ad Pack for $40, Global Smart International affiliate’s earn “up to” 3% a day ROI (max $18) per Ad Pack invested in.”
Last time I checked, if I spend $40 on something and only get back $18, that is a $22 loss (or a 45% rebate, depending on how you view it).
Nowhere in their literature do they use the words “ROI”, “investments”, “recruit”, etc., yet, in a mild form of plagarism, you have changed the “official” wording published on their site to what you believe it should be.
If you do things like that, you have to make notations about it, otherwise it could come back to haunt you. But I’m sure that I don’t have to remind you of that.
In closing, the “MightyOPC” product you mentioned earlier with the cancer reference was discontinued 2 months ago.
So yes, you might want to revise portions of this post if you care to do so, as things in pre-launch are always subject to change.
Everybody loves BehindMLM… until we review their scam.
Mate whatever you want to call it, it’s a $64 ROI on a $40 investment.
Considering I only accessed it for the first time a few days ago, and that anyone can access the comp plan I linked to above and verify it themselves, this is obviously false.
Doesn’t excuse a $40 in, $68 out Ponzi scheme.
Optional crap when you’re engaged in financial fraud is pseudo-compliance.
If you kept reading, you’d see there’s a second component that pays out the rest.
Not referring to an investment doesn’t make it any less of an investment. We don’t engage in pseudo-compliance here.
If an MLM opportunity is soliciting investment on the promise of a ROI, it is what it is.
Yet it’s still on the Global Smart International website.
I highly recommend you read up on what the SEC think of adcredit Ponzi schemes – https://behindmlm.com/mlm/regulation/sec-reaffirms-adcredit-opportunities-are-illegal-ponzi-schemes/
I really want to know where you are getting $64 back on the $40 as far as I see whats on there now looks like 105% back on ad pack and that’s not even a guaranteed.
Invest $40
DAP Bonus = $18
DAP Global Shared Pool = an additional 75% ROI
$18 + (0.75) = $48. I’ve updated the $64 to reflect this, might have screwed up the math as I was working it out (the Global Smart International comp plan is that bloated I was pretty brain-dead by the end of it).
Evidently after I published this review and alarm bells went off at Global Smart International over the last 24 hours and they’ve pulled a Zeek Rewards.
When Zeek Rewards launched they promised a 125% ROI. A few months in they removed this reference from the compensation plan documentation but still, *winkwinknudgenudge*, paid out 125%.
Here’s the FAQ that contained the quoted ROI text above as of 2 days ago:
I can’t tell you exactly when they modified it, but sometime over the last 48 hours the original was scrubbed – globalsmartinternational.net/pdfs/gsa-faq-71416.pdf
They’ll still pay the 120% ROI, as that’s what the revshare algorithm is programmed to do, they’ll just be coy about it by not mentioning it (see Zeek Rewards).
After the first Ad Packs mature, watch for Global Smart International affiliate’s hyping up their $64 ROIs.
Now the Ponzi scheme is out in the open though, they might pay a slightly off amount to give the illusion of the ROI being random, like Zeek Rewards.
Oh wait I know where I got $64 from, I went $48 + $18 (which is actually $66!)… I’m still not 100% sure on this.
The $18 and 75% are from two separate bonuses, I think they stack (??). You get $48 from one and $18 from the other, for a total of $66 (??).
Hopefully one of the guys trying to cover this all up will chime in clarify for us.
Ok so this is confusing as hell now …if you go back to their website it is totally changed when it comes to ad packs thing …
I been looking at this for hours now and it seems like they just figured out a way to be totally in the safe zone whit comes to their advertising and Rev share part. Pleaee go and check it out part …
Not so much confusing as Ponzi scammers trying to cover their tracks after the cat was out of the bag.
It happens.
The SEC ultimately don’t care if you explicitly guarantee a ROI or not. Zeek Rewards initially launched promising a 125% ROI.
They later removed this verbiage from their marketing but internally continued to pay about the same. Didn’t stop it from being a Ponzi scheme.
Global Smart International affiliates aren’t going to invest in Ad Packs because they think showing ads to other Global Smart International affiliates is worth $40. They’ll do so because they believe they’ll be paid a ROI in the vicinity of 120%. Or at the very least, more than their initial $40 investment.
Given this ROI is composed of newly invested funds, Global Smart International is operating as a Ponzi scheme.
Well from what is see is going on here one might end up in profit with ad packs or loss… and it appears that company wide sales including physical products as well as advertising will determined that so in a nut shall you are buying advertising and can hope that company is doing good with sales to share the profits.
I cant seem to find how this will be a problem with SEC… what em i missing here…? Ohhh and I wouldn’t go as far calling them Ponzi Scammers just yet mate…
Does investing $40 to make a loss make any sense to you? There’s a reason Global Smart International initially marketed a 120% ROI.
Just because they’ve gone pseudo-compliance doesn’t mean that’s not still what their revshare algorithm is set to.
If only affiliate’s are purchasing the products it’s still a closed-loop system.
Global Smart International was an MLM opportunity in decline prior to this new prelaunch. Ponder that.
Using newly invested funds to pay off existing investors constitutes Ponzi fraud.
Well depends how one looks at it…if i wanna spend $40 and get some hits to my blog or Youtube vids or my slaes funnel for some of the products i promote ..etc and get a cash back on it with a small loss or possibly for free or possibly get a small profit..
I’m fine with that (I make money by promoting ClickBank products inside rev shares not alot but im happy with the results ) also I generate very decent amount of leads with one of my sales funnels with the rev share programs…
GSI might be onto something good here tho… it will depend on really runs the ship here …heck im gonna get some of their physical products and use test them on my Mother in-law to see if they work lol
When there’s insignificant advertising sales being made, the SEC aren’t – https://behindmlm.com/mlm/regulation/sec-reaffirms-adcredit-opportunities-are-illegal-ponzi-schemes/
Legitimate third-party advertisers aren’t interested in advertising to income opportunity participants who are only viewing ads to qualify for a ROI.
Furthermore, even if you only made a $40.01 ROI, the use of newly invested funds to pay off existing investors constitutes a Ponzi scheme.
Let me guess, they’re all adcredit Ponzis too. Figures.
As per the SEC, whatever is bundled with an adcredit Ponzi scheme is irrelevant. Newly invested funds used to pay off existing investors = Ponzi scheme.
Well believe it or not people inside these rev shar programs do buy products and the leads i get also buy… maybe you should try advertinsg in one of them and see for your self …
advertising in general is a risk you take you might make money with what you are selling and you might not..depends on the skills right…? So if GSI uses its profit from physical products being sold to share it with its members i dont see any problem there period…
now what would happen if instead of them giving you ad credits for the $40 advertising package they gave banner impressions…
lest say you get 4000 banner or text ad impressions just throwing a numbers here ..meaning no one in the company will have to click any ads…?
What you believe is irrelevant. Using newly invested funds to pay off existing investors = Ponzi scheme.
What is attached to a Ponzi scheme is pseudo-compliance and does not matter.
That doesn’t negate invested new adpack funds being used to pay off existing investors.
Furthermore if only GSI affiliates are purchasing products, you’re looking at a product-based pyramid on top of the Global Smart Ads Ponzi scheme.
Adcredits are adcredits, doesn’t matter how they dress them up.
Clicking ads doesn’t make an opportunity a Ponzi scheme, using newly invested funds to pay off existing investors does.
To add what if the had an external website attached to it with content on it ( not relevant to what the content is at this point) where they displayed the ads from the people that buy advertising packages…. or even if they partner up with an existing website that already gets alot of traffic on it (organic traffic) that will display GSI members ads….
So what you are saying no company in the world can share profits with its members with out being a ponzi…?
Nope. I’m saying newly invested funds used to pay off existing investors = Ponzi scheme.
Anything attached to the above is pseudo-compliance and ultimately irrelevant.
of course a company can share profits with its members. but the profit has be ‘real’ and not ‘fraudulent’.
selling products/services in a closed loop pyramid/ponzi is not real commerce and does not generate ‘real’ profit.
Well if people are getting a real product hows that consider newly invested funds?
Because the only reason they’re getting products (adcredits) is to qualify for a ROI. Legitimate third-party advertisers don’t buy advertising on closed-loop websites that only show advertising to income opportunity participants.
Pseudo-compliance and doesn’t negate newly invested funds being used to pay off existing investors.
Whatever is bundled to a business model that uses newly invested funds to pay off existing investors is irrelevant.
So you speak on behalf of everyone when it comes to why they are buying the product/service…?
You see..if they can serve banner or text add impressions on a website that has the traffic coming to it for my ad pack purchase and lest say they give 10000 ad or banner impressions for the $40 and offer me 45% cash back on my $40 thus costing me $22 and i don’T get any more back i will definitely advertise my stuff on it …
but like i said if they can get an external website set up or partner up with a existing one to display my ads im advertising man …
now if they decide to share some more profits with its members and my advertising becomes free or only $5 -$10 you damn right im gonna use their advertising service …
now if they decide to share some more profits from selling their other products i don’t see anything wrong there mate..
No, I’m speaking from a legal compliance perspective. Don’t like it? Take it up with the SEC.
Let’s stick to what Global Smart International are doing. That is selling adpacks and paying out a ~120% ROI from funds used to purchase subsequent adpacks.
Anything else is offtopic.
Using newly invested Ad Pack funds to pay off existing Ad Pack investors = Ponzi scheme. What does or doesn’t happen with “other products” doesn’t negate Ponzi fraud.
So if they only used profits from their other products and services and shared them with members (not including any money from ad packs sold at all) than what …?
But they only shared the profits with members that do buy advertising… lets chat privately lol 😛
If the majority of “profits” were derived from affiliates, they’d still be using affiliate (investor) money to pay off a ROI.
The source of the ROI revenue matters.
Ok I get what you are saying..but.. are you now saying (Ozedit: What I am saying is what I have said in plain English. No more, no less.)
Just to be clear here…so an MLCP(mlm lol) Company can NOT use its profits from physical products being sold trough MLCP structure to share it with its members that have bought ad packs in the company…?
If you put $x into an MLM income opportunity and get back >$x on your deposit, with funds you get back primarily sourced from other affiliates, you’re in a Ponzi scheme.
So here is the scenario… (Ozedit: If you wish to discuss “scenarios” do it elsewhere. This is a review of Global Smart International.)
Why don’t you read over what you wrote and see if it makes any sense?
Who bought what? What do they get out of it? What does the seller get out of it?
Why would company sell physical products and choose to spread the profit from that around with other people? What did *they* do to deserve it?
You say they bought AdPacks… But why would people buy AdPacks? According to the company, it’s to display their own ads. What does that have ANYTHING to do with products sold by somebody else?
Your question doesn’t make a lick of sense!
By itself, nothing. But this theoretical scenario you described does not fit GSI.
You described a pure referral system with no monthly minimum qualifications. GSI does not operate that way as it has monthly self-purchase commitments to stay qualified as per its own FAQ.
Your hypothetical is a strawman.
Dude you getting mad lol
1. People buy product (physically product ok..dont know what part you didnt get there )
2. Seller gets commission (MLCP structure!)
3. Because who runs the company is a Nice and Caring human being ..OK!
4. People buy ad packs because they get 10000 banner/text ad impressions which their ad will be displayed on an already established website/websites (that are vendor partners ) and their websites get over half a million daily visitors!
Now tell me seriously what part you dont get!?
GSI does not have a monthly requirement..you can come in the company for free and sell the products and earn commissions in an MLCP structure…
to get paid more ways yes you need to be qualified..6 ways to earn just by being a FREE member.. I suggest you take a good look at the comp plan.
a greater than 100% ROI, paid out of subsequently invested funds – making GSI a Ponzi scheme.
None of that has anything to do with using newly invested funds to pay out a 120% ROI.
What part aren’t you getting?
I have no idea where you are getting 120% from …get your facts straight first before you post such a thing.
From Global Smart International.
$40 in, 120% ROI out, paid out of newly invested funds.
Are you a member or just a mad admin?
All this time wasted and you still have zero understanding of what you are involved in.
I think you may want to pause and re-read the whole business plan in detail. Maybe then you can end your ranting.
It doesn’t matter who I am or if I’m involved in it or not …we are talking about the review of gsi here and what is being stated here by this review is false information.
Before you say that I am involved in something (which I am actually NOT) make sure you have full understanding about the company being reviewed here.
Do me a favor and go spend some time over at their website and get some facts before you say anything else.
How is it “false information” if it’s provided by GSI itself?
$40 in, 120% ROI out, paid out of newly invested funds. Those are the only relevant facts here.
Next waffle post will be spambinned.