Before I even started looking at the Philippines to live all the data I came across should a negativity in many parts of the Philippines business sector. The Legacy scandal when it collapsed was one of the biggest I had not only seen here in the Philippines but worldwide. At the same time I heard all the complaining about the “scam” and how people were being forced to leave the Philippines but in reality how many didn’t get their money back?
One investor I know got over 36 x P250,000 investments into Legacy, another P1million across 4 this was all down to going via procedure because if anything the Legacy group knew the investments were insured that was the key to its working that even in failure people could recover their money. Had to be done in ways the banks an insurance companies would accept at the same time even though it was an unethical investment business there are many people still here that increased their money over the 12+ years it functioned as well as many more getting out with their investment later on.
Now the thing with these types of investments are they are easy to invest into without any work which is something I don’t like doing as I like to be in control of my money. Lets face it with the worlds financial sector losing all its money and ours how did they deal with it? give us terrible interest on our savings so they can loan our money out to others and be back in profit within no time. In reality there is no the ethics or morals in trading or the financial sector anywhere on the planet as they are solely driven by financial gain.
Where am I going with this? Well yesterday I was introduced to a scheme that has a lot of potential and many are already calling “pyramid scheme!” yet they obviously haven’t looked into the whole business venture. Its a functional business to start with and with a low start up cost. You invest just under P4,000 into a MobileXtreme package and that gives you 20 retail cards plus your own personal card for the business as a distributor. Your basically selling mobile phone load and once you get your 20 cards out at P250 each you have already recovered your P4,000 plus an extra P1,000 for the trouble. But wait what is the point of them giving you P1,000? well those cards you sold are re-load cards or retail however you want to put it in reality they are cards you can sell mobile phone load with from a single mobile phone across multiple networks as well as internet games cards, PLDT prepay, Smart Bro Prepay, Satellite prepay and even flowers. You haven’t just made P1,000 you have also setup a constant stream of income across the people you sold them to at 1 – 2 % return on their sales. They gain 10 – 14% on their own sales so everyone is happy.
Where is the downside? In reality I can’t currently see one as the network expands. If anything the drive to push as a number one retailer is likely only to have an affect where it can’t expand anymore due to saturation. At the same time this is still early on with the company starting in 2008. Add to that though the fact if your a distributor and get another distributor on board you gain P500 for every person you bring in at that level. With a system based on two accounts A + B where a person can only be in A or B but once you get one in each you gain another P500. I think this is where people are paranoid about a pyramid scheme but as I said as a distributor your already recovering P5,000 from the initial pack that is easy to offload where is the risk? Worst case scenario you sell load from just the distributor card and don’t bother selling your retail cards your looking at saving 10% on all your own calls and 10 – 14% of load you sell to friends and family etc.
Now the thing for me is spending the last few years here Network marketing seems to be one of the few ways businesses can succeed here due to the fact most people I know don’t really read newspapers, they only browse Facebook and just generally switched off to any marketing strategies that aren’t done face to face. The potential of growing this business is huge but at the same time controlling your members also means you have built a long lasting network of people for the future. For P4,000 I can’t really see the risk and to be honest we have sold 5 of the P250 cards in the first evening of telling people about the business. The Philippines is obsessed with mobile phones so its the right product for the right country.
Now I am introducing people to this if your interested email me at firstname.lastname@example.org for more information at the same time those that are just going to complain about its a scam or some pyramid scheme try and think “load business” they are everywhere here and generally you use a phone for each network this is why I know this business will work. Why? because I have 4 cell phones downstairs for each network that we sell to via the Sari-Sari those businesses generally cost P7,000 to setup and have been on going for years are they a scam too? Answer is no its the most convenient method of doing business in the Philippines and also with the P7k business your hassled to collect the money from your sellers on a regular basis. The LoadXtreme system you can bypass most of it because they can reload themselves at banks, Business centres and other locations. In reality if anything those paying P7,000 are getting the raw end of the deal because they are running around after retailers and the retailers have the hassle of having to stock 3 – 4 accounts for each network instead of just one.
I can see the risks of the P500 scheme if it keeps expanding the way sales are being submitted as distributors but I am pretty sure they have based the P500 on the fact of new business being introduced via the retail sims as all in all you have bought the P250 retail sims as a distributor and no point having them round the house not making you money you want them out and selling. 20 retailers earning not only you 1-2% but also the retailers 10 – 14% (Standard rates already not a gimmick) Doesn’t take much to see the company developing this product is thinking long-term as the retailers are the bread and butter.
Now I will say though this type of networking business structure is fairly normal in the Philippines and I know peoples concerns are with the Vitamins and other products out there. Ethically I don’t like the vitamin business because it doesn’t work as far as I am concerned because most people don’t need them and its an overpriced enterprise. But the load business is competing with the existing networks at a similar rate but bringing in new distributors as well as simplifying it for retailers. In reality the business model is more of an evolution of the existing load business bringing it forward but also the group using its buying power to introduce other sellable items to the retailer.
Negativity is something that I see all the time on business in the Philippines as you will see people thinking in dollars or euros saying its not worth the hassle for a business to make a few thousand pesos a month but in the same breath complain if your making good money it must be a scam. Have to make your mind up which it is! Because in reality there is business enterprise out there and often the people that complain about things being wrong or a bad investment have never bought or sold anything. That’s fine but in reality your more often wrong than right. Even down to piggeries that don’t have a huge profit in them but for personal consumption your saving. At the same time selling pigs to market isn’t a great business but still makes a small profit. Everything in life with business is time management, if pigs as they did here took me 30 minutes a day to deal with 3 sty and my profit on a bad
run was P700 per pig for 3 months it would still mean P21,000 profit for the 30 pigs which in hour terms is 42 total giving me P500 for every hour worked. Strange though often the same people that complain about business here are often struggling or had failed ventures and no longer in the Philippines (how do I know? because I IP trace people back when they leave crappy messages as they won’t leave their real names nearly always they are in the U.S!).