How can JD Premium pay 70% on PV?

This is a great question that deserves a serious response.

When you start with a different goal in mind, you get a different kind of company.

Most investors in our industry are understandably profit driven, as most investors are. To maximize profits they ask, “what’s the very lowest amount of money I am forced to pay my employees, my distributors, and my vendors to get them to do what I need? Then what’s the highest amount I can charge the customers for products that come with a promise of an income?”

Because many people who come to network marketing don’t understand the way this industry works, they fall for the advertising hype that they can get rich quick. They sign up to promote some high-priced miracle product on the hopes of making a fortune. They cancel after a short time and the top few recruiters and investors in the company make off with vast sums of money.

Because of these and many other abuses he saw in the industry, but also because he admired the tremendous power for good in the industry, Roger Ball decided to start this company with a different goal in mind.

In our economy these days people are extremely skeptical, especially where their money is concerned…and especially knowing exactly what they have to do to earn their money. They’re afraid to go to work in a network marketing company for fear all their up-front work will be wasted (as it has in other companies they’ve tried).

So Roger dared to ask this question: “What if I start this company with the promise that I will never take more than a fixed profit, say…10%. And then I promise to maximize the payout to distributors…and, I open my books to them to prove it! Will that dispel the fear, help people relax and go to work, and give far more people the opportunity of a lifetime?

“What makes people afraid to get involved in an opportunity like ours?” He asks. Here are some answers:

“They’ll relax and go to work if they know I have their best interest at heart with rock solid guarantees and promises to maximize their earnings and open my books.

“They’ll relax if they know our products are competitively priced and offer the very highest value.

“They’ll relax if they get their products and checks on time.

“They’ll relax if they have plenty of training and marketing support.

“They’ll relax if they know the company won’t be out of business when they start earning big checks.

“They’ll relax if they completely understand the compensation program. There aren’t a lot of hidden hurdles, breakaways, balancing legs, and so forth.

“Here’s another important reason for distributor stress that many companies ignore. They’ll relax if they have a voice in compensation plan decisions. Here’s why.

“The sophisticated networkers are afraid of a company who will change the compensation rules down the road to increase their profits. But they do this after the founding leaders have built large organizations. This makes it impossible for founding leaders to enjoy the rewards of their initial hard work without having to jump over new hurdles that favor newcomers.

So Roger Ball’s promise is to build a company that will disclose many of the abuses and hidden industry practices that have made people afraid to try network marketing. We can be honest with our customers and IBOs, give them assurances and guarantees, and let them go out and build a business built on integrity and fair play.

Now, let me tell you why JD Premium can promise up to a 70% payout on Point Value plus a 50% Fast Start, 25% Matching Bonus, and a Directors Bonus Pool. It sounds almost impossible, but for three things:

1.    To remain competitive in the marketplace with products of varying margins, JD Premium uses Point Value (PV) (as most companies do). In other words, if a product costs the IBO $45 but IBOs only earn 70% commissions on 40PV, they are not really getting 70% commissions on $45 ($45 x .70 = $31.50). They’re earning it on 40PV or (40PV x .70 = $28). That’s only 62% of the actual dollar cost of the item but 70% on PV. According to Roger Ball PV is a very dangerous tool in the hands of greedy people because, as we said earlier, a company can maximize profits by charging the maximum and paying out the minimum.

2.    In our industry there are people who enroll but enroll no one or only one or two others. In our company we understand that these people won’t maximize their payout to 70% of PV because they won’t sponsor the number of people it will take. Therefore, if they enroll one or two, they aren’t paid 70%. They’re paid 10% to 30% of PV depending on their qualifications. So a larger percentage is paid to those who build deeper organizations.

3.    It also comes from the money we save at JD Premium from manufacturing our own products and living as lean as possible. You won’t see middlemen making a lot of money at JD Premium.

Why we protect unsophisticated networkers

Our promise at JD Premium is to protect the unsophisticated first-time networker. Where many companies keep the above facts hidden, our promise is to educate the unsophisticated first-time networkers and make promises they can trust. If all they want to do is buy the products and never recruit, we don’t penalize them with inflated prices. But if they choose to recruit at all, we offer wonderful incentives that allow them to pay for their products easily with only a little recruiting effort. And with a little more effort, they can earn an extra $500 a month. That part-time income alone would dramatically improve the lifestyles of many people.

Then there’s an amazing financial opportunity for anyone who develops the disciplines and skills of a professional networker. That is the opportunity that comes with a promise to maximize your income and open our books so you know we will never do anything to hurt you.

Roger has established a Leadership Advisory Council (LAC) where leaders and officers of the company come together on a weekly basis to agree on the decisions that affect everyone.