Xerveo Review 2.0: Great improvements & retail focus
BehindMLM’s first Xerveo review went live in November of 2012.
Mid last year in June, a reader informed us that ‘Xerveo is now a new company and a new owner….‘
Purportedly Xerveo’s compensation had also changed significantly since 2012, prompting the need for an updated review.
Today we take a look at what’s changed over at Xerveo these past few years.
For reasons unknown, the “about us” page on the Xerveo website still has no information about who owns or runs the business.
The reader who informed us about the compensation plan change asserted Michael Cunningham was the new owner. This I was able to verify via an unlinked to page on the Xerveo website (“team”);
Few things could prompt Michael Cunningham to leave a comfortable retirement in Australia and return to the demands of corporate life. But the chance to lead Xervéo and benefit the lives of hundreds of thousands around the globe with best-in-class products and a rewarding, enabling opportunity was irresistible.
Michael has found tremendous success in advertising, precious metals trading and 25 years in network marketing with three companies, Field and Corporate, all of which gives him unparalleled knowledge and savvy to lead Xervéo.
Why this team page isn’t linked from a page on the Xerveo website itself is unclear.
In any event, Cunningham was appointed CEO of Neways in 2002. Cunningham’s Xerveo corporate bio claims he
spent many years in Asia developing and opening new markets prior to accepting the role of CEO.
In that position, he helped grow the company from $250 million in annual sales to $850 million, which impacted countless lives in myriad positive ways.
Prior to his appointment as CEO of Neways globally, Cunningham served as CEO of its Australian division for a number of years. He retired in 2005.
The Xerveo Product Line
Whereas Xerveo’s website previously had no information about their product line, today an energy drink, coffee, and nutritional products are featured.
- Xerveo Motion – a weight loss and energy drink “naturally sweetened with organic stevia (and) naturally colored with the juices of fruits and vegetables”, retails at 24 cans for $85, 48 cans for $150 or 192 for $499.99
- Xerveo Cafe – “combines the highest quality instant organic coffee infused with Garcinia Cambogia”, retails at $61.95 for a box of twenty-one single-serve sticks
- Xerveo Cleanse – “precisely formulated to aid in purifying the five major elimination organs of the body”, retails at $49.95 for a bottle of 30 capsules
- Xerveo Digest-All – “a whole-food sourced enzyme supplement that aids in the digestion, breakdown, and use of all foods and fats”, retails at $29.95 for a bottle of 30 capsules
- Xerveo Nourish – “an all-natural multivitamin and mineral supplement that uses whole food fruits and vegetables”, retails at $49.95 for a bottle of 60 capsules
- Xerveo Protect – “a unique whole-food salmon oil, delivers the beneficial omega fatty acids family – omega 3, 5, 6, 7 and 9 – and also astaxanthin”, retails at $34.95 for a bottle of 30 softgel capsules
- Xerveo Vivify – “anti-aging & cellular nutrition”, retails at $89.99 for a bottle of 90 capsules
Although not listed as “products” on the Xerveo website, the company’s online store also lists a selection of artisan soaps for $11 each.
The Xerveo Compensation Plan
The new Xerveo compensation plan ditches the matrix-based one for that of a unilevel compensation structure.
Retail sales are now a strong focus, along with various performance-based bonuses on offer.
Xerveo Affiliate Ranks
There are nine affiliate ranks within the Xerveo compensation plan.
Along with their respective qualification criteria, they are as follows:
- Distributor – sign up as a Xerveo affiliate
- Executive Distributor – generate an accumulated $1000 in retail sales volume
- Master Distributor – maintain $200 a month in retail sales volume, recruit and maintain at least two active affiliates and have a total monthly downline volume of $1000 PTV
- Power Distributor – maintain $300 a month in retail sales volume, recruit and maintain at least four active affiliates (one Executive Distributor or higher and one Master Distributor or higher) and have a total monthly downline volume of $2000 PTV
- Silver Leader – maintain $400 a month in retail sales volume, recruit and maintain at least six active affiliates (four Executive Distributors or higher and two Power Distributors or higher) and have a total monthly downline volume of $4000 PTV
- Gold Leader – maintain $500 a month in retail sales volume, recruit and maintain at least seven active affiliates (three Power Distributors or higher and one Silver Leader or higher), have a total monthly downline volume of $6000 PTV and $12,000 GV
- Platinum Leader – maintain $600 a month in retail sales volume, recruit and maintain at least eight active affiliates (two Silver Leaders or one Gold Leader), have a total monthly downline volume of $8000 PTV and $25,000 GV
- Blue Diamond Executive – maintain $700 a month in retail sales volume, recruit and maintain at least nine active affiliates (three Silver Leaders or one Platinum Leader), have a total monthly downline volume of $12,000 PTV and $60,000 GV
- Red Diamond Executive – maintain $800 a month in retail sales volume, recruit and maintain at least ten active affiliates (three Platinum Leaders or two Blue Diamond Executives), have a total monthly downline volume of $16,000 PTV and $150,000 GV
An active affiliates (Master Distributor qualification) is an affiliate who generates at least $100 PV a month.
PV stands for “Personal Volume” and is sales volume generated by an affiliate’s own purchase of product and retail customer orders.
PTV stands for “Personal Team Volume” and is sales volume generated by personally recruited affiliates.
GV stands for “Group Volume” and is sales volume generated by an affiliate’s entire downline (unilevel team).
Retail commissions are paid out on the sale of Xerveo products to retail customers.
How much of a retail commission is paid out is determined by a Xerveo affiliate’s rank:
- Distributor – 20%
- Executive Distributor – 22%
- Master Distributor – 23%
- Power Distributor – 24%
- Silver to Platinum Leader – 25%
- Blue Diamond Executive – 27%
- Red Diamond Executive – 28%
Commissions are also paid out on preferred customer orders, at a rate of 10% per order placed (minimum two autoship orders must be active in order to qualify).
An affiliate who meets the qualification requirements for preferred customers commissions, also receives $50 worth of Xerveo product credit each month.
For each additional two retail autoship orders placed, an affiliate receives an additional $25 in credit.
Residual commissions in Xerveo 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.
Xerveo cap payable unilevel levels at ten.
Residual commissions are paid out as a percentage of sales volume generated on each unilevel level, with how many levels a Xerveo affiliate can earn on determined by their affiliate rank:
- Master Distributor – 5% on level 1 and 2% on level 2
- Power Distributor – 5% on level 1, 2% on level 2 and 3% on level 3
- Silver Leader – 6% on level 1, 3% on level 2, 4% on level 3 and 5% on level 4
- Gold Leader – 6% on level 1, 3% on level 2, 4% on level 3, 5% on level 4 and 6% on level 5
- Platinum Leader – 6% on level 1, 3% on level 2, 4% on level 3, 5% on level 4, 6% on level 5 and 7% on level 6
- Blue Diamond Executive – 8% on level 1, 4% on level 2, 5% on level 3, 6% on level 4, 7% on level 5, 8% on level 6, 9% on level 7 and 10% on level 8
- Red Diamond Executive – 8% on level 1, 4% on level 2, 5% on level 3, 6% on level 4, 7% on level 5, 8% on level 6, 9% on level 7, 10% on level 8, 11% on level 9 and 12% on level 10
Xerveo’s Generation Bonus uses the same unilevel team as residual commissions, with a generation defined in each unilevel leg when a Silver Leader or higher ranked affiliate is found.
Once found, the first generation of that leg is capped off and the second begins.
In this manner a Xerveo affiliate is able to earn on up to seven generations, determined by their rank:
- Silver Leader – 5% on the first generation
- Gold Leader – 5% on the first generation and 2% on the second
- Platinum Leader – 5% on the first generation, 2% on the second and 3% on the third
- Blue Diamond Executive – 7% on the first generation, 3% on the second, 4% on the third, 5% on the fourth and 6% on the fifth
- Red Diamond Executive – 7% on the first generation, 3% on the second, 4% on the third, 5% on the fourth, 6% on the fifth, 7% on the sixth and 8% on the seventh
Distributor Enrollment Commissions
Distributor Enrollment Commissions are a recruitment commission paid out when a newly recruited affiliate places their first product order.
The commission rate paid out is 20% of the net retail price of the order.
Rank Achievement Bonus
When Xerveo affiliates qualify at specific ranks, the following Rank Achievement Bonuses are paid out:
- Master Distributor – $200
- Power Distributor – $500
- Silver Leader (must qualify for two consecutive months) – $1500
- Gold Leader (must qualify for two consecutive months) – $5000
- Platinum Leader (must qualify for three consecutive months) – $10,000
- Blue Diamond Executive (must qualify for four consecutive months) – $20,000
- Red Diamond Executive (must qualify for four consecutive months) – $40,000
Leadership Bonus Pool
The Leadership Bonus Pool is made up of 2% of Xerveo’s company-wide sales volume.
The Leadership Bonus Pool is paid out monthly, with Xerveo affiliates earning shares in the pool as per their affiliate rank as follows:
- Silver Leader – 1 share
- Gold Leader – 2 shares
- Platinum Leader – 3 shares
- Blue Diamond Executive – 5 shares
- Red Diamond Executive – 8 shares
Affiliate membership with Xerveo is $55.
We didn’t have much to go on regarding Xerveo’s products in our initial review, with the Xerveo website today a vast improvement.
Xerveo’s products are presented clearly and retail pricing is readily available on an online store platform.
The products themselves still appear to be rooted in tamarind, however in a broader sense there’s nothing that really stands out. The addition of artisan soaps seems out of place in what is otherwise your typical weight loss and nutritional supplement MLM offering.
The recruitment-driven matrix Xerveo initially utilized has been ditched for a retail-centric unilevel, which is again another vast improvement.
Of particular note is a Xerveo’s monthly retail requirements, which increase corresponding to an affiliate’s rank.
Min Monthly Personal Volume (QV) Requirement – Based on Retail
This encourages healthy retail sales even at the top tiers of the compensation plan.
Retail autoship has also been nicely woven into the compensation plan, paying out 20% the first month and 10% thereafter. The product credit bonus was a nice touch and serves as an effective retail incentive.
The weak area of the Xerveo opportunity, if I had to pick one, is the product offering. As I mentioned earlier, nothing really stands out.
Still if the products work they’ve overall a pretty solid offering, which is marketed effectively are complimented by a retail-orientated compensation plan.
You can’t ask for much more than that in an MLM business opportunity.
My suggestion if you’re contemplating Xerveo affiliate membership would be to try the products and go from there. It probably wouldn’t hurt to check out health stores in your area to suss out the competition too.
If all of that checks out, you’re looking at a $55 buy in plus whatever products you purchase to get you started. Good luck!