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Is Pillartech (PTL) a scam?
Dmitry
#1 Posted : Saturday, July 14, 2012 7:49:05 AM
Rank: New-farer


Joined: 8/12/2010
Posts: 51
Location: Nairobi
A friend tried to introduce me to a 'new' business.. its being run by a company called Pillartech. does anyone know anything about them... I read HERE that it might be a pyramid scheme :)
alma
#2 Posted : Saturday, July 14, 2012 8:30:47 AM
Rank: Elder


Joined: 7/20/2007
Posts: 4,432
Let me get this straight. You go to a website and you find a pyramid with the words mlm in it and ask if it might be a pyramid scheme?

I'm honestly missing QW
Jose: If I make it through this thug life, I'll see you one day. The Lord is the only way to stop the hurt.
Ash Ock
#3 Posted : Saturday, July 14, 2012 8:54:06 AM
Rank: Member


Joined: 8/27/2010
Posts: 495
Location: Nairobi
MLM's (pyramids) always try to hide their real intentions using funny math. At the end of the day, Pillartech will wipe out at least 99.6% of the suckers who join.

Reading their website here on how their system works and breaking down the math (below) as I had posted on another thread, one can immediately see the scam.

Quote:
“Assuming that your product requires each member in your downline to purchase $200 worth of product per month and you get an average of 10% of the money that flows up through your organization, you would need about 250 people in your organization for you to earn $5,000/month. This means that it would be about 5 levels deep and might look like this:

You + 5 + 25 + 125 + 95

For the sake of simplicity in building a 250-person organization, let’s just say your bottom level is still filling in and that’s why the bottom level has 95 people. If you got a 10% commission on all these people’s purchases, your monthly income would be $5,000/month. That sounds pretty good right? Well, here’s the rub. ALL of the 250 people in your organization are making little or no money, yet ALL of them were recruited so that they can get to where you are, that is, to financial independence. The people in the bottom level of the organization are spending $200 per month and making nothing. The 125 people in the level above them are spending $200 per month and are making less than $8 per month in commissions on average, so they are out $192 per month. The 25 people in the level above them each have an average of 9 people in their downlines and thus are making $180 in commissions and so they are losing $20 per month. The 5 people above them have an average of 49 people in their downlines and are making $980/month less the $200 they spend on products so they are clearing $780 per month. That’s not even equal to a $6/hr minimum wage job.

So, in order to achieve your financial independence, you’ve got an organization of 250 people and not a single one of them will be making more than the minimum wage. But ALL of them were recruited with the promise that financial independence was achievable. So in order to achieve YOUR financial goals, you have built an organization where fully 99.6% are unable to achieve THEIR financial goals.

You may say that all you need to do is to keep on building the organization and that will lift everyone up, right? That’s all well and good, but the ratio of people who are financially independent to those who are making little or no money DOES NOT CHANGE. There will always 99.6% working for minimum wage or losing money in an MLM. Do you really want to be part of a scheme that only permits 1 in 250 of its members to achieve the financial goals that everyone who has been recruited is expecting to attain?

What usually happens in these organizations is that the majority of people who are unable to meet their financial goals eventually get disillusioned and drop out and so everyone spends their time recruiting replacements. Few ever manage to rise very far, because the top people are already in place and the bottom members are getting replaced on a continual basis.”


So the question is, are you ready to join a "business" with a guaranteed failure rate of 99.6%?
Sent from my Black Nokia 3310
Dmitry
#4 Posted : Saturday, July 14, 2012 9:54:54 AM
Rank: New-farer


Joined: 8/12/2010
Posts: 51
Location: Nairobi
alma wrote:
Let me get this straight. You go to a website and you find a pyramid with the words mlm in it and ask if it might be a pyramid scheme?

I'm honestly missing QW

thats not PLT's website... its a blog thats explaining why plt is a pyramid scheme
Dmitry
#5 Posted : Saturday, July 14, 2012 10:07:44 AM
Rank: New-farer


Joined: 8/12/2010
Posts: 51
Location: Nairobi
this reminds me of certificates that people were buying a few years ago... buy 1, get three and sell them to 3 people below you in the pyramid :)
kanyimwa
#6 Posted : Saturday, July 14, 2012 10:41:51 AM
Rank: Member


Joined: 8/20/2008
Posts: 83
Pillar is more of a pyramid scheme than a MLM. First, they were with airtel but later airtel pulled out throygh a fully paid newspaper advert dissociating from any further dealings. Now they are with orange. wait and see. Secondly, its neither mlm coz what they are selling as the product is orange airtime that is available from even the shop at the streets. Most of the distributors there are former glnd and forever living distributors who got their distributorships cancelled in their former on disciplinary grounds. E.g Kihara Beauttah & Others (Check out a thread he initiated in this forum claiming gnld will close shop by 2015). Thats why they can't end their presentation without telling you: "Remember we are not like gnld, tienshi, or forever living".

Total scam!
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