WHY ZEEK REWARDS CLOSED THEIR DOORS - HOW IS ZEEK REWARDS AND PENNY AUCTIONS PROFIT ACTUALLY CALCULATED?
Taking in to account the RECENT DOOR CLOSING OF ZEEK REWARDS AND ZEEKLER Have you ever wondered how unique bid auctions calcuate the daily profit? I have as well, so I went out and did my due diligence and here were my findings. I hope your find this is helpful in your discovery process as to choosing a viable bid auctions opportunity to particiatpe as an affilate with.
Bid autions are a exciting extremly lucrative new craze that almost everyone is getting on the band wagon and this is for multitude of reasons It seems that ithe concept has created a paradigm of the way people think of typical MLM , which is normally based on tools and events. ZEEK REWARDS AND ZEEKLER Were just the pioneers of the industry and could not handle the growth and PROVIDE the proper infrastructure to sustain and manage their insane growth with causing too many noticeable issues. One they were late on commissions "BIG NO NO, two the customer service was horrible "NO WAY TO HANDLE ISSUES , and Three, they DID NOT communicate EFFECTIVELY to the field or provide them with transparency .That said, I give them credit on helping many people to earn substantial incomes and understand the power of compounding their commissions.
TRADITIONAL MLM MODEL:
TOOLS - The traditional model that is tried and true is tools and events. Which simply means that you use tools, books, dvds, videos, conference calls to expose prospects to the home based business.
EVENTS - Once you have a prospect in the system of plugging into training and attending weekly meetings you then encourage them to attend a major event which will increase their overall believe level in the company they are involved with. At this event they will see success stories of and testimonial of people like them self's and be encouraged to leverage TOOLS to expose new people and plug them into the
SYSTEM , which is a simple teachable duplicatable process to make exposing a new prospect and acquiring a new customers as easy as possible.
Here is the RUB, most distributors affiliate's and Representatives of these companies are not making much money or having a large amount of success based on how much they are investing back into their home based business,which includes tools, meetings, training's, team events local one on one meetings all expense you can use as tax deduction on your new business.
Now lets switch gears back to the unique bid auctions and why it s is attracting so many people. I have listed the reasons why its so alluring.
WHY BID AUCTIONS ARE STILL A GREAT MODEL WHEN DONE RIGHT:
a) Fastest growing segment in MLM and afiliate segmate unique bid auctions
b) Major change in compensation fundamentals. The systems is designed to encourage you to allow to leverage your commission's earned by utilizing marketing dollars to attact more customers which in turn creates more daily profits.
c) No need to attend weekly local meetings and training's.
d) Abilty to Daily compounded profits of your commissions and daily profits based on activity and marketing dollars.
e) Monthly recurring autoship or site/ back office fee can be paid from your commission's.
f) No products for reps to investor or have to purchase or store any product.s.
i) With proper income disclosure affiliates are not embarrassed to share their income and or profits because they are acutaly making money with very little effort.
SO THE QUESTION HOW DOES ZEEK REWARDS CALCUALTE DAILY PROFIT.
Disclaimer: I am not a Representative of Zeek Rewards or zeekler, this below analisis is just my opinon and in no way represents the acutaly daily profits of the company. The number bvelow are calculated soley based on assumptions and review by www.allpennyauctions.com .
The best I could do is find the historical data for zeek on all penny auctions which reivews and reports on the top 200 bid auctions.
During a 7 period used a snap shot between July 6th 2012 and July 13th 2012 bids's paid verse bids won which can provide a picture as to daily profits for the company.
However this does not take in consideration that all sample bids that are not used expire after 30 days expire. Zeek would still keep the profits from these un used bids. So the numbers below (do not inlclude bids placed on active or canceled auctions as well as bids that were paid by afiliates but were never used or expired )
To calcuate the daily profit from auctions you can use the following formula
The best I could do is find the historical data for zeek on all penny auctions dot com which reviews and reports on the top 200 bid auctions.
During the last 7 days a snap shot of bids's paid verse bids won can be reviewed which can provide a picture as to aprox daily profits for the company.
However, these figures do not take in consideration that sample bids that are not used expire after 30 days if there not used. Zeek would still keep the profits from these un used bids. Which are a substantial ammount. Also (does not inlclude bids placed on active or canceled auctions as well as bids that were paid by afiliates but were never used/expired )
To calculate the daily profit from auctions you can do the following these numbers are approx.. based on 7 days
Cost of bids received - MSRP or cost of product + total cost of bids won = gross profit
MSRP or cost of product / gross profit = 7 day net daily profit
The following data was suplied by allpennyauctions.com
Over the last 7 days aproxx cost for bids purchased
$663,575 / 7 DAYS = $94,796
Cost MSRP products won over last 7 days.
$117,339 / 7 DAYS = $16,762
Total Final Purchase Prices for products won last 7 days $19,375
Calculations by Globalresourcebroker.com
($663,575 - $117,339 ) + 19,375 = gross profit $565,611
$117,339 / $565,611 = 7 day profit percentage .176 % / 7 days = aproxx daily profit 2.52%
To be fair -
Please note, that the margins can be significaly higher when you factor in the following five factors:
1) This model is based on MSRP not cost of products provided onthe auction
2) This model is based on active bids purchased at .65 each for the 7 days and does not take into account all bids sample bids that affiliates padi $1 each for.
3) This model does not account for all the profit earned from sample bids that were given away and purchased for $1 that have expired and never made it to the auction.
4) This model does not inlucde operational cost however, based onthe bid cost this is assumed to be part of the cost per bid.
5) This model does not account for upfront commisions paid to affilates for intial bid purchases.
I hope this review is helpful when making your decision to join uniqe bid auctions, for more info on my review take a moment and visit our blog.