I REFER ! AND YOU ?
How much will I get paid?..
The cost of recruiting new users to AGLOCO can vary. For many users it is simply sending an
email to friends or contacts – or talking to them directly. For others it is blog postings or website notices and for some users paid ads on search engines. The privacy and anti-spam policies
of AGLOCO and the track record on these issues of Ray Everett-Church (AGLOCO’s Chief Privacy Officer) makes the risk of getting spam, pop ups and other trash as a user a non issue.
In general, given the low level of work needed to recruit new users to AGLOCO and the zero cost in terms of money, the cost/benefit ratio of recruiting new users to AGLOCO seems to be highly favorable. Because there is no limit as to the number of referrals a user can recruit, the upper end on this opportunity could be high (which means it can be worth
putting in the effort to promote actively). This analysis was done two weeks after AGLOCO launched and there have been user postings noting referral networks of 4,000 and 5,000 already. At $30 value each this would be $120,000 (Ł60,000) to $150,000 (Ł75,000) so far, which means AGLOCO could make some serious recruiting users
a high return on their efforts.
Referral Example:
A user recruits ten people (10 direct referrals) – If on average,
each direct referral recruits 3 new users (some will recruit many and some none, but the average is 3 for each level of your network)
-- Value of 10 referrals $300 (Ł150) The user would have 30 indirect users one person removed.
– Value of 30 referrals $900 (Ł450)The user would have 90 indirect users two people removed
-- Value of 90 referrals $2,700 (Ł1350)The user would have 270
indirect users three people removed -- Value of 270 referrals $8,100 (Ł4050)The user would have 810 indirect users four people removed -- Value of 810 referrals $24,300 (Ł12150)Total referrals the user would have in the network would be 1,210.
At an average value of $30 (Ł15) for each referral the total value would be $36,300 (Ł18150)It should be noted that the AGLOCO referral system achieves two tasks: AGLOCO saves all the costs of marketing its services to potential new users. This is
sometimes a major cost many Internet companies face. Other network companies like MySpace,
Skype and YouTube also achieve this goal of users telling users, but in those cases users do not benefit in the value created by the growth of the user base. Users who help build the AGLOCO network are financially rewarded for doing so. Because most the value of network oriented companies is based on the size of the network, it is AGLOCO’s stated
goal that the people building the network share in the value they help create.
When are the cash payouts going to begin?
The simple answer is that it depends on “when AGLOCO makes enough money to both pay Members
and be a sustainable business”. But, by using the Viewbar you are accumulating credit towards the cash payments right now. Also,
as some Members have correctly pointed out, AGLOCO’s early revenue will not immediately translate into cash distributions to Members. While we do not know how large our initial revenue will be, we do know that AGLOCO has operating costs to pay. It is important to remember that AGLOCO is not a “get rich quick scheme”, and we maintain that the most
prudent way to build AGLOCO as a sustainable company is to calibrate Member distributions to company earnings. As such, the cash payouts will not begin until there is a comfortable balance between AGLOCO’s free cash flow and AGLOCO’s expenses. It is important to add that all Members will begin to accumulate hours from when they first start using the Viewbar (and referral hours will also be earned). Those hours will not be wasted. Both overall hours and monthly hours will be used in determining distributions to Members. Cash Distributions: To be a sustainable entity in the long term, AGLOCO makes Member cash distributions from its positive cash flow (revenue minus costs). Therefore, please do not expect a check after the first
couple of months as it will take time to collect revenue from
advertisers and this revenue must exceed costs in order to make cash distributions to Members. We will be keeping Members informed of our financials and you can visit the Official company blog at http://blog.agloco.com/ for the latest updates.
AGLOCO will be keeping Members informed of our financials (after a few months, when we start
getting realistic numbers) so they can track our progress on this. At this point, if our new ad system is operational in August, we should be able to give meaningful numbers for September.
How are you going to pay me if you don’t have any of my payment information? Before the cash payments begin we will verify your billing information and ask you to specify how you would like to be paid. We currently plan to have several forms of payment
available, including check, direct
deposit, and PayPal. Remember that only one account per Member is allowed.
Is there going to be a “minimum” payout level achieved in my account like many affiliate
programs have?
Yes, a minimum will be required to keep transfer costs down. All sums not distributed are
accumulated in the Member’s AGLOCO account until the minimum is reached.
How are the cash payments going to work?
So, here are three of the potential ways AGLOCO can pay Members. As you know, when you use the Viewbar you accumulate hours (currently up to 5 hours/month, and plus a credit of referral hours at a 25% rate). These hours, both your monthly totals and your overall accumulated hours, are the basis for cash distributions.
Monthy Viewbar hours: Based on the hours you and your referrals surf each month, you will get a share of the “distribution pie”. Your share is equal to your percentage of the total hours accumulated by all Members (including referral hours). How would this work? Here is a
hypothetical example. Suppose in a given month AGLOCO distributes $100,000 for that month’s hour accumulation. Also suppose that the total hours all Members have accumulated that month is 1,000,000 hours. This means that AGLOCO would pay $0.10 for each hour you are credited with that month. So in this example if you had accumulated (yourself plus referrals) 500 hours that month, you would be paid $50.
Total Viewbar hours: AGLOCO may also pay in the same manner as above based on total accumulated hours. This would “weight” the payment more towards those Members
who joined and began accumulating
hours earlier (including the time
before the cash payouts have begun).
AGLOCO buying Hours for Cash: Here’s how it would work. AGLOCO would set a price per hour (say, $0.15), and we allow Members to sell their hours back to us at that rate. There would likely be a minimum number of hours you could sell. For instance, AGLOCO may only allow you to sell in 100-hour blocks. Hours that you sell would be deducted from your total
accumulated hours for future distributions.
I realize that I have not given a concrete answer to “what an hour is worth”, “what a referral is worth”, or “the date you will be paid”. I wish I could. But, I maintain that to keep AGLOCO a sustainable venture, we must calibrate cash payouts to our actual positive cash flow, lest we suffer the same fate as AllAdvantage.
Ken Kuester made a great comment reflecting this a few weeks ago. He said:For all of you that are asking for calculations for how much pay, just consider this. There is truly no way anyone can calculate with all variables. The pay is dependent upon the advertisers paying agloco, the search engines paying agloco, the merchants paying agloco the commissions on the sales to agloco members, and any other sources of income. This money all goes into a pool, of which agloco management gets 10% and the rest is divided among the owners/members. There you have it. income is variable, percentages for management and the owners ia fixed. membership is variable. These variable parts will change by the minute. No reasonable mathmatician will attempt to arrive at meaningful calculations with two massive variables and one fixed quantity. All the mathmatician can do at this point is offer statistical
possibilities. In the short view, every person you sponsor now cuts down on the value of the cash pool individually. In the longer term, more members means agloco can charge more for the ads and make the cash pool larger. As far as clicking the ads, That will create cash
pool money when the few make purchases and the merchant pays agloco the commission on the sale.
In at least some cases, the member will immediately benefit from any discounts that are given to the agloco membership. Regards searches, I do not know what deal agloco has with google or the other search engines at this time, but I do know that as the membership goes up, so does the price google and the others will pay agloco for each search performed. Google currently pays aol 10 cents per search performed.
Best I can tell you is the per hour pay will fall into a range somewhere between .00001 cents and 1,000.00 dollars per hour.( both top and bottom values estimated with the fact that everyone is so desparate for
promises that poor Brian cannot say anything without it being considered a set in concrete
promise.) I intentionally used extremes. Try to keep your shirt on and wait and see what
materializes.
(Wait some seconds)
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