This is a very good question. With so many con artists taking advantage of the anonymity the internet provides, seniors need to be careful before they leap into a new business deal. Getting the right answer to Is Wealthy Affiliate a pyramid scheme will help you protect your life’s savings.
To get that right answer, just continue to read our article. Your retirement years should be as bountiful and fruitful as your traditional career years were or even better. Take a few minutes and see the difference between the Wealthy Affiliate way and the pyramid scheme way
What is a pyramid scheme?
Before you get to the right answer, you need to know the right definition of all the terms. There are so many people putting out false definitions and information that it is hard to tell the players without the correct scorecard.
The definition of a pyramid scheme is– In the classic “pyramid” scheme, participants attempt to make money solely by recruiting new participants, usually where:
The promoter promises a high return in a short period of time;
No genuine product or service is actually sold; and
The primary emphasis is on recruiting new participants. (Source)
What is affiliate marketing?
This is a business model where you as an affiliate marketer represent different products made by other people or sold by other vendors. In other words, you are acting as a salesman or middle man and earn an agreed-upon commission for every product you sell through your efforts.
The Hallmarks of a pyramid Scheme and the Wealthy Affiliate Difference
#1. Emphasis on recruiting
This is where a company solely focuses on getting new members only and those new members need to pay a fee.
While Wealthy Affiliate does train you to recruit others, their business model is not solely based on recruiting. They have actual products you can represent and make money
#2. No genuine product or service is sold
You may be told there are products you can sell but they never materialize. Instead, you are pressured to recruit others and get them to pay to play.
Wealthy Affiliate has hundreds of thousands of niches and products you can represent and make money from. You never have to recruit if you are not interested in doing that
#3. Promises of high returns in a short time period
Get rich quick schemes, high return investments, and many other cons are frequently presented to seniors. They are all backed by some sort of story that only contains an element of the truth.
Wealthy Affiliate provides you with sound training to be a success plus they tell you that it may take between 6 months and a year before you see success as an affiliate marketer. There is no get rich quick hype with this affiliate marketing platform
#4. Easy money or passive income
These types of businesses tell you all the work is done for you and you only have to put in a 15 minute day to earn big bucks. You get to play more than you have to work.
With Wealthy Affiliate, you get lots of training and you have to put that training to good use, learn how to spot trends, implement new tools, and so on. There is a lot of work involved to succeed at affiliate marketing
#5. No demonstrated revenue from retail sales
This aspect of a pyramid scheme usually has the recruiters posting fake income statements or a lot of hype telling you how much money can be made. They never provide real physical evidence to support those claims or prove those posted income statements are true.
In other words, their high revenue claims are all smoke and mirrors. MLM companies do make money off of selling products and can prove it. Cons cannot and do not.
Wealthy Affiliate can prove how they make their money and they provide you with all the products and niches you need in order to make money for yourself.
#6. Complex commission structure
Many frauds have these but do not confuse an MLM company with being a pyramid scheme, most are not.
Wealthy Affiliate has a very clear-cut commission program and the commission you agreed to is all yours. You do not share it with anyone else in the company.
(Source for pyramid scheme hallmarks)
Pyramid Schemes Fail
This is a weakness that not even the founders of the scheme can prevent or guard against. they are just hoping to make their money and get out before their house of cards collapses.
There are just not enough people in one country, let alone the world, to support a pyramid scheme if you need to recruit 5 people, and your recruits need to recruit 5 people each, and so on down the line.
Wealthy Affiliate does not live by recruiting. That is why the platform has been around for over 16 years and has affiliate marketing members in 193 countries of the world.
It is almost impossible for a pyramid scheme to achieve such great results and last for a long time.
Is Wealthy Affiliate a pyramid scheme?
Pyramid schemes do not hold up to scrutiny. Once you shine a light on their organizations, a detailed search exposes all the illegal activities. When that happens, the people in charge are arrested and the scheme disappears.
But Wealthy Affiliate can be scrutinized and has been for at least 15 years. You will find a myriad of websites analyzing their promises, content, business model, and so on. There may be weaknesses to their program but those programs, tools, and products, etc., are not fake, illusions nor just for recruiting purposes.
You can make actual money through this platform without recruiting a soul. Plus, you have hundreds of thousands of chances to make a commission. The good news is there are no upsells and no sharing that commission with the people upstairs.
With Wealthy Affiliate, if you put the work in and make the right decisions, you can make a good retirement income. That fact gives you the answer you need to Is Wealthy Affiliate a pyramid scheme? No it is not.